EXTENSIONS of REMARKS 5097 EXTENSIONS of REMARKS in SUPPORT of an APRIL Age of Dairy Farmers Is Now 55 Years Or Discouraging the Young and Begin ADJUSTMENT Old

Home , Gerhard Herzberg

March 24, 1981 EXTENSIONS OF REMARKS 5097 EXTENSIONS OF REMARKS IN SUPPORT OF AN APRIL age of dairy farmers is now 55 years or discouraging the young and begin ADJUSTMENT old. ning farmer from entering the farm This point was exemplified in a ing industry. HON. STEVE GUNDERSON March 20 front page article of the First, the April price adjustment OF WISCONSIN Wall Street Journal which stated: must not be eliminated. Rather, the IN THE HOUSE OF REPRESENTATIVES Farmers have been getting out of dairying entire price support system must be in droves. There are currently about 170,000 considered as a package with, not sep Tuesday, March 24, 1981 U.S. dairy farmers, down 35 percent since arate from, the following points. 1969, and a proposal by the Reagan Admin e Mr. GUNDERSON. Mr. Speaker, on istration to hold down dairy price supports Second, immediate action should be Thursday of this week the House will could hasten the departure of more dairy taken to stop the unrestricted impor consider H.R. 2594 to eliminate the men. tation of casein for human consump April adjustment in dairy price sup Nevertheless, the administration in tion. The use of casein as a substitute ports. I am gravely concerned that sists that the elimination of the April for dairy products has a direct effect consideration of the adjustment alone price adjustment is necessary to cut on the cost of the dairy price support without concurrent consideration of down on the cost of the dairy price program and the current Government all other factors that influence the support program and to limit the over stockpile of dairy products. dairy industry may lead the Congress production which has resulted in Gov Third, greater .attempts must be into making a hasty decision which it ernment stockpiles of dairy products. made by the Federal Government to will regret in the not too distant It is a simple economic fact that the promote and export American dairy future. proposed elimination of the April products. A recent trade mission to I would, therefore, like to bring all price adjustment Will not accomplish Mexico and Central America by Wis of the relevant economic factors to the what it is advertised to do. Further, consin Secretary of Agriculture Rhode attention of the House so they may any action, such as the elimination of indicated that a potential market see why the elimination of the April the April price adjustment, that might exists for nonfat dry milk in this area price adjustment is unwise and, yes, cause a major shift in U.S. dairy pro because of the changing world supply unwarranted. duction could also have a very nega situation. Such exports of American Mr. Speaker, we are today at the tive impact on consumer prices in this dairy products could occur with a very crossroads of our country's economic country in the future. limited subsidy. Needless to say, such future. In recent years our fiscal Dairymen and economists both exports would · greatly diminish policy has promoted excessive Govern agree that maintaining the present present Government stockpiles and ment spending and has led to sky price support level or, for that matter, prevent such stockpiles from occurring rocketing inflation. Our monetary lowering the current price level will in the future. policy has promoted high interest not decrease production in the short Fourth, the buy-back level for dairy rates. The American people and their run-8 to 12 months-as predicted by commodities should be increased. In economic systems cannot long endure the USDA. Bred dairy animals simply today's· current economic and high in this duel pressure. do have a financial viable alternate terest rates, it is unrealistic for the I sense a strong commitment on the use. They will freshen and be milked. Federal Government to sell commod part of the American people to change Additionally, overhead costs continue. ities back to the manufacturer at 105 our current economic situation. Yet, if Simply stated, production will in percent of the purchase price. The we are, in fact, to realize a new begin crease in the short run so as to recover amount should be increased to at least ning for our country, the farmer must the decreased commodity profit over a 110 percent. This will encourage more be the cornerstone of our efforts. greater amount of production. Need products to be in private hands as well Have we ever really considered how less to say, this will negate a good por as greater sales efforts of those prod fortunate we are to live in a country tion of the projected savings to the ucts. Government costs will also be re with efficient, productive farmers? Federal budget in the immediate duced accordingly. The productivity of the American agri future. Fifth, the request for a hearing on cultural community has helped the This can only spell further trouble proposed changes in the Federal milk American consumer in his battle for the dairy price support program. marketing orders as they relate to re against inflation by providing a suffi When the arbitrary stopgap measure constituted milk should be denied. cient supply of wholesome agricultural proposed by H.R. 2594 fails to accom There is already a sufficient option to commodities at a reasonable price. Ad plish its intended purposes of cutting the consumer with the fast-mixing ditionally, any extra production has dairy production and Federal spend powder which is widely available in assisted our balance of trade in a time ing, the next proposal will probably be the regular food distribution chain when foreign imports far exceed a reduction in dairy price supports to presently. American exports. 60 or 65 percent of parity. Finally, it is important to emphasize Because of the crucial role the In short, those of us who seek to that the dairy price support program farmer plays in the American econo preserve a fair price support program, has worked for the purpose it was in my, it is important that the Congress of benefit to the farmer and consumer tended. It has guaranteed an adequate does not enact legislation that would alike, are being thwarted by those who supply of wholesome dairy products to restrict, inhibit, or discourage the agri are unwilling to consider all of the the consumer. It has further guaran cultural sector. issues that affect the dairy farmer as a teed that the price of dairy products is But that is exactly what H.R. 2594 package. reasonable and free of wide shifts in will do if it, indeed, becomes law-dis Mr. Speaker, there is a way in which price which often occur with commod courage the young and beginning we can reduce the present Govern ities. One only needs to look at the farmer from entering or continuing in ment stockpiles of dairy products and market for peanut butter and citrus the farming industry. This would be the Federal cost of the dairy price sup fruits this year to realize how impor particularly devastating to the dairy port program without injuring the tant it is to the consumer's interest to farming community since the average productivity· of the American farmer avoid wide shifts in price.

e This "bullet" symbol identifies statements or insertions which are not spoken by the Member on the floor. 5098 EXTENSIONS OF REMARKS March 24, 1981 Therefore, I urge the House not to way of the world. But stop for a moment, Government over which the President take any action on dairy price sup and think of the children of Atlanta the has the least control-the military. Do ports and, particularly, the April price harmless children, who have died a cruel we really wish to condone the continu death at the hands of some unfeeling mon ing violence of the military that we adjustment without completely consid ster. That someone who to this very day ering all of the points I have raised as roams free to kill children, that someone can expect with this flow of arms? an entire package. They are, indeed, who has made us all afraid. Afraid of the The people of Massachusetts, by all interrelated.• stranger who walks behind us on the way means of a resolution adopted by the from school, who brings fear when we are State senate, has called on the Con alone for a moment away from the protect gress "to withdraw further United THE CHILDREN OF ATLANTA ing eyes of our families. States support to the military junta in I think about those children who have El Salvador, and to cease any military HON. ROMANO L. MAZZOLI died in Atlanta. I know that they will never graduate from school, go to their first intervention by arms or other support OF KENTUCKY dance, to college, have a career, a marriage, ..." I commend the resolution's IN THE HOUSE OF REPRESENTATIVES or families. I say to myself, Dear Lord, who author, Senator Jack H. Backman, and Tuesday, March 24, 1981 has the right to take away the joys of child urge my colleagues to consider this hood? And isn't it a shame that this killer compelling statement. The resolution •Mr. MAZZOLI. Mr. Speaker, today, haunts us like a shadow in the night? That follows: the American people are confronted killer will teach us many things, like how to with an unfortunate human tragedy; be afraid, how not to trust, and how to hate, RESOLUTION MEMORIALIZING THE PRESIDENT 23 black children linked by brutal AND THE CONGRESS OF THE UNITED STATES because we don't understand why someone TO WITHDRAW MILITARY AND OTHER AS murder or disappearance are the would kill. We are taught that bad people die, does that mean that those little chil SISTANCE FROM THE PRESENT GOVERNMENT center of national concern. However, OF EL SALVADOR this is not solely a black problem; it is dren were bad? I don't think so. Never forget the children of Atlanta, they Whereas, eight United States citizens, and a national problem. were just like me, they were your son's, your over eight thousand civilians, including the There is little or no evidence leading daughter's, your brother's, your sister's, the archbishop of San Salvador have been killed to the murder or murderers of these little kid next door, the playmate on a rainy in El Salvador in the past year; and children. Thus, young children and day, someone you could tell your secrets to, Whereas, many of those killed were the families in Atlanta and throughout or argue with, about any little thing. They victims of the military and paramilitary the Nation are held hostage to their were children who could laugh, cry, dance, forces of the military junta which has taken fears and apprehensions. and above all, Love. control of the Government of El Salvador; I would add that these brutal mur Never forget that most of the things that and children want from life, are the simple Whereas, Archbishop Romero, before he ders come during a period where vio things. was assassinated, made a special plea to the lence against minorities has increased We just want to learn, have fun, make United States Government to cease its sup dramatically. This violence has taken friends, and have people love us, and most port of the military junta of El Salvador; an emotional and psychological toll on of all, we want to grow up! and the minority communities affected. I would like to close by saying this to the Whereas, direct and indirect United States We do not know whether the killings children that have died in Atlanta. intervention will lead to serious regional in Atlanta are racially motivated. But We shall not forget you, we shall forever warfare, increasing the already acute suffer we do know that they are tragic, re mourn your loss, perhaps you have gone on ing of the majority of the citizens of that gardless of the color of the victims or to a better world, for you are, and forever embattled nation; and shall be children of God. Whereas, the present military junta in El the murderers. We also know that No one will hurt you now, no one will Salvador is not supported by a majority of these murders must be stopped. cause you tears, for I know deep in my heart the population, but relies for its survival on I commend the administration or that you rest in the arms of the Lord, and the strength of the military forces; now President Ronald Reagan for increas there you will be children again. therefore be it ing Federal activity in conducting the Play in the skys of heaven, dance in the Resolved, that the Massachusetts Senate investigation of the deaths of the chil clouds and the wind, let the angels be your requests the President of the United States dren in Atlanta and for providing playmates, and know you are forever and the Congress of the United States to needed financial assistance. loved.e withdraw further United States support to the military junta in El Salvador, and to Following, is a brief speech delivered cease any military intervention by arms or by 9-year-old Erika Lomax of Keene MASSACHUSETTS STATE SENATE other support; and be it further Elementary School in Northeast ADOPTS RESOLUTION ON EL Resolved, that the Massachusetts Senate Washington, D.C., at a memorial serv SALVADOR appeals for a cessation of further violence ice for the slain children. and for establishment of full respect of It is only fitting that the words of a HON. BARNEY FRANK human rights in El Salvador; and be it fur child could bring us closer to the ther meaning and impact of the deaths of OF MASSACHUSETTS Resolved, that copies of these resolutions these children. IN THE HOUSE OF REPRESENTATIVES be transmitted forthwith by the clerk of the Tuesday, March 24, 1981 Senate to the President of the United The speech follows: States, the members of the congressional COMMENTS OF ERIKA LoMAX AT THE MEMORI •Mr. FRANK. Mr. Speaker, people delegation from the Commonwealth and the AL SERVICE FOR THE SLAIN AND MISSING AT around the country are questioning Secretary of State.e LANTA CHILDREN the wisdom of the administration's Distinguished Guests, Families, and policy of military support for the Friends, I am truly honored that I have junta in El Salvador. If we review the GENESEE CHAPTER DAR PRE been given the opportunity to speak to you magnitude of the violence during the SENTS ITS GOOD CITIZEN today. AWARDS I am only sad that we are not here for a last year, and the role of the military joyous occasion, but one that has shocked and paramilitary forces in perpetrat the Nation and filled our hearts with grief. ing that violence, it is not hard to un HON. DALE E. KILDEE But in my own way, I feel that I must derstand why U.S. support for the OF MICHIGAN speak out to say only what is in my heart. regime should be curtailed. U.S. sup IN THE HOUSE OF REPRESENTATIVES I am a child, special in my own way, as port for the Government of El Salva unique as each star that shines in the heav Tuesday, March 24, 1981 ens. dor is tantamount to U.S. endorsement I look forward in my life to growing up. I of the regime's abhorrent human •Mr. KILDEE. Mr. Speaker, each will someday graduate from school, go to rights record. Besides this important year the National Society of the college, have a career, a marriage, and chil moral factor, support for the existing Daughters of the American Revolu dren. A cycle that must go on, for this is the regime strengthens that arm of the tion presents its Good Citizen Award March 24, 1981 EXTENSIONS OF REMARKS 5099 to outstanding high school students. icaid rolls, and more abortions-none been prevented, and the resulting feel The Genesee Chapter DAR, located in of which are desirable or indeed ac ing of dispair and guilt must be un Genesee County, Mich., recently pre ceptable. bearable. It is unacceptable that sented its awards to 25 area high I believe it is also necessary that people should suffer in this way when school students led by Ernane Jung of family planning remain a Federal we may have the means to prevent it. Carman High School, the State rather that State program. Is is Section 3 transfers the adolescent winner. I offer my congratulations to mainly an education and counseling pregnancy program from title VI of these young Americans who have been program, rather that one providing the health services and centers amend honored by the Genesee Chapter treatment. These fuctions should not ments of 1978 to title X of the Public DAR. The other winners, and their be performed haphazardly. There Health Service Act, where it logically high schools, are: Beth Boyer, Swartz should be a uniform Federal policy. It belongs. A number of technical Creek; Cheri Cain, Hamady; Duane is unlikely that the program will be changes were included, although no Chizmadia, Lak.eVille; Catherine Col self-supporting: the population the requirements were changed. We did, lin$, Capac; Rhonda Councilor, Our program services is generally without however, delete section 601, the find Lady of the Lakes; Kimberly K. Dean, discretionary income; they need to be ings and purposes, because if needed Flushing; Mary Desrochers, Flint Cen encouraged to understand and seek at all, it belongs in the report lan tral; Shelly Edgerly, Kearsley; Jeanne services rather than face financial bar guage to clarify congressional intent Fowler, Flint Northern; Beth Hein riers to receiving them. rather than in the statute. rich, Ainsworth; Curtis Jablonski, Mt. Further, the data base must be na As in the other programs, we have Morris; Deidre Lentz, Bendle; Eileen tional for us to determine the effec reduced the authorization for adoles Merrell, Bentley; Cathleen Miller, tiveness of the program and the need, cent pregnancy significantly. The 1981 Genesee; Maureen Miller, Atherton; if any, for continuing it past 1985. authorization of $75 million is de Julie Ann Nasser, Clio; Cindy Rein Section 2 of this bill deals with the creased to $14 million for fiscal year hart, Hill-McCloy; Tenee Smith, Flint Genetic Diseases Act. It authorizes 1982, a reduction of 81 percent. The Northwestern; Gwen Athene Tarbox, funds for fiscal years 1982 through prohibition on the use of these funds Flint Academy; Regina Watson, 1985, without substantive change. The for abortions is continued. Powers; Monica Wooley, Beecher; 1981 authorization of $35.5 million re The adolescent pregnancy program Theresa Ann Worrell, Michigan duced to $18 million, a decrease of 49 focuses on assisting communities to School for the Deaf; Carolyn Yurko, percent. This section also makes clear provide counseling and treatment to Yale; and Judy Kay Zurakowski, Rich that Congress considers sudden infant pregnant adolescents in the hope of mond.• death syndrome to be included in the assuring healthy babies. The program definition of genetic diseases. also provides counseling to adolescent The genetic diseases provides test- parents and parents-to-be to help pre INTRODUCTION OF FAMILY ' ing, counseling, and treatment for in pare them for parenting, referral to PLANNING LEGISLATION dividuals. Through this program, we appropriate educational and vocation are learning more about the factors al services, adoption counseling and re HON. HENRY A. WAXMAN which may cause a child to inherit a ferral, and referral to appropriate pe OF CALIFORNIA particular disease, which diseases may diatric care. Supplemental services of IN THE HOUSE OF REPRESENTATIVES be genetically related, and how to child care to enable the adolescent treat and ultimately prevent such dis- Tuesday, March 24, 1981 parent to continue her education or eases. An important part of this pro work, consumer education and home •Mr. WAXMAN. Mr. Speaker, today gram is testing and counseling for making, counseling for family mem I am introducing a bill to reauthorize pregnant women. Discovering the bers-such as the parents of adoles the family planning, adolescent preg presence of or potential for a particu cent parents-and transportation are nancy, and genetic disease programs. lar disease while a fetus is in the also included in the program. Provi These programs are exceptionally im womb can allow a physician to treat sion of these services will result in portant because they focus on the edu the fetus or to send the prospective healthier children, prepare adoles cation and counseling of young people mother to the proper medical facility cents to be better parents, and assist to avoid unwanted dangerous pregnan when she gives birth. The child will in keeping them off the welfare rolls. cies and to assure healthy babies when have a much better chance of survival I strongly believe the programs con pregnancy occurs. and leading a productive life if the tained in this bill to be both valuable The sections dealing with the family necessary specialists and equipment and cost effective. These programs planning program Chicago</a>, Denver, Houston, San Fran research centers around the world ing each retiree. Our system is des cisco, and Washington, D.C., and by that have developed the miracle grains tined to collapse unless some action is overseas offices in Latin America and which hold the best hope of adequate taken to offset the changes which are Asia. food supplies for the less-developed expected to take place in the nature of IIE was founded in 1919 in the after nations. The institute administers our population. math of World War I. Its assigned task many projects for the Ford Founda The legislation I am introducing pro was the promotion of international tion, and is active as well on behalf of poses to raise the minimum age at understanding through international the Agency for International Develop which an individual may collect maxi educational exchange. Today IIE car mum social security benefits by 3 ment, the Rockefeller Foundation, ries out this mission through the ex and numerous other supporters of months every year for a period of 12 change of students and scholars, years, beginning in the year 2000. In educational cooperation and of devel knowledge, and skills between the opmental assistance. this way, the increase would not affect United States and 130 countries. anyone who is currently retired or is IIE is perhaps best known for its ad By administering programs for such contemplating retirement within the ministration of the U.S. International sponsors, IIE is able to make a major next few years. At the same time, it Communication Agency's mutual edu impact on international relations recognizes that individuals live longer, cational exchange program, the Ful through cultural 'diplomacy. Its pro healthier lives than they did when the bright fellowships for U.S. and foreign grams expose both the current and system was first created. This proposal students at the predoctoral level. Year the next generation of leaders of other would shorten the number of years after year IIE is successful in attract nations to the values of American soci which an individual spends as a retiree ing hundreds of thousands of dollars ety, and offer training other countries by postponing the year at which an in of support for this program from uni need to build their own societies. Re dividual may collect benefits. In this versities, corporations, and other non search conducted through HE-related way, it shortens the number of years governmental sources, a remarkable projects is having a major impact on for which the system is currently record of public and private sector co increasing the world's food supply. obliged to pay. Earlier retirement operation for the public good. IIE also serves the public and Ameri after age 62 would continue to be The Institute of International Edu can higher education through its edu available with actuarily reduced bene cation also conducts some 200 addi cational services-public service activi fits. tional programs for other U.S. Gov ties supported through contributions. This change also recognizes that in ernment agencies, foreign govern Through educational services, IIE the future, relatively few people would ments, international organizations, brings information and counseling to otherwise be paying into the system, foundations, corporations, and educa some 200,000 American and foreign and a relatively great number taking tional institutions. Altogether IIE students each year and provides over out. I think it makes sense to work a assisted some 8,500 American and for 50,000 copies of its many publications bit longer and be secure with the eign students, distinguished interna to students, educational institutions, knowledge that benefits will not be tional visitors, and research profes counseling centers, and libraries all cut, nor will taxes be increased. I urge sionals on technical assistance projects over the world. my colleagues today to consider my overseas during the 1980 academic IIE's educational services include legislation carefully, as I feel it seeks year-a notable record for a private conference programs, scholarship pro to make the social security system nonprofit agency and a major contri grams, and many other activities that sound and secure for retirees of the bution to the development of interna bring needed assistance to organiza next century.e tional understanding. tions and individuals concerned with In addition to its role in the mutual international educational exchange. THE INSTITUTE OF educational exchange program of the As the central clearinghouse for infor INTERNATIONAL EDUCATION U.S. International Communication mation about exchange in the United Agency, IIE administers a portion of States, the Institute of International HON. BILL ARCHER USICA's international visitors pro Education plays an important role in gram, which brings distinguished for making productive educational rela OF TEXAS tionships a reality. IN THE HOUSE OF REPRESENTATIVES eign visitors to the United States from over 100 nations each year. The intent IIE has a special relationship with Tuesday, March 24, 1981 of the program is to increase the American colleges and universities, •Mr. ARCHER. Mr. Speaker, on the knowledge of the United States of in some 500 of which are affiliated with occasion of their annual national fluential citizens of other lands. the institute as IIE Educational Asso- March 24, 1981 EXTENSIONS OF REMARKS 5101 ciates. IIE assists American higher praiseworthy, whose efforts ease ten ELLSWORTH FARMERS UNION COOPERATIVE RETAIL PRICE education in many ways. sions, educate young minds, provide COMPARISON-Continued The institute's overseas offices in comfort, break down barriers of igno Latin America and Asia provide on rance, allay problems with resolve and Product March March Percent the-scene assistance in interviewing hope, and exemplify the brotherhood 1980 1981 increase and screening applicants overseas for of man. Dieseffuel ...... 1.03 1.20 16.5 American colleges and universities, Such a person is Virginia T. Torelli 18.3-34 rear tractor tire ...... 381.05 402.80 5.7 and dispense information on U.S. 0.72 0.87 20.8 of Manlius, N.Y. She is the director of 1.81 2.17 19.9 higher education to tens of thousands the international student office at Eg~/Jr=gi~i::::::: :: ::::::: : ::::::: 16.75 20.20 20.6 of foreign students each year. They Syracuse University and, I am proud 20.95 26.43 26.2 ~~~~~ - ~~ -.~ ~~.:::: :::::::::::::::::::::::::::::: 14.49 16.60 14.6 offer orientation programs, testing to say, a constituent of mine. Qimbiotic penicillin ...... 6.25 7.20 15.2 facilities, libraries, and catalog collec Her work is the principal reason, Super 721 alfalfa seed (lb) ...... 2.10 2.35 11.9 Ladino ckM!r (lb) ...... :. 2.40 3.50 45.8 tions, and in general act as overseas perhaps, the only reason, for the suc 0-0-60 fertilizer (ton) ...... 128.00 140.00 9.4 ambassadors for American higher edu cessful program for foreign students cation. at the university. IIE's regional offices in the United In a manner which is at once tender The proponents of the elimination States function strongly as service and firm, Mrs. Torelli has been a of the April adjustment in dairy price agencies in international affairs for friend and counselor to foreign stu supports insist that dairy production the areas in which they are located. dents during traumatic moments. She will go down as a result of their ef Originally these offices were founded has been to them a source of strength forts. Such an assumption ignores the to link IIE more closely with the col through episodes of fear and duress, obvious. leges and universities throughout the and to the community she has been an With skyrocketing costs of produc United States that are the institute's intelligent adviser and an effective ad tion, such as those experienced by Mr. partners in educational exchange, and ministrator. Hendrickson, the dairy farmer will to bring together local citizens and ·in She does her work quietly, calling no have no choice in the shortrun but to ternational students in activities that attention to herself. It is fitting that increase production so as to recover would give these students a better we Members of Congress recognize her the diminished commodity profit over knowledge of this country and im eminent example and excellent a greater amount of production. This prove Americans' understanding of achievements and that Syracuse will will, of course, only add to the current other cultures. soon award her a citation for distin Government stockpiles of dairy prod The growing need in today's world to guished service. The honor is indeed ucts. increase all citizens' awareness of in deserved.• In short, the elimination of the April ternational affairs has broadened the price adjustment will have just the op focus of IIE's regional offices. Semi posite effect of its intended purpose.e nars and conferences, programs for ELIMINATING AN ADJUSTMENT schools and rural communities, exhib WILL NOT DIMINISH PRODUC TION FREEDOM OF INFORMATION its, presentations are among the citi ACT zen education programs of IIE's re gional offices. This is in addition to HON. STEVE GUNDERSON the ongoing assistance to colleges and OF WISCONSIN HON. ROMANO L. MAZZOLI universities. Regional offices advise IN THE HOUSE OF REPRESENTATIVES OF KENTUCKY and consult about international educa Tuesday, March 24, 1981 IN THE HOUSE OF REPRESENTATIVES tion; work closely with campus study Tuesday, March 24, 1981 abroad advisers, foreign student advis e Mr. GUNDERSON. Mr. Speaker, ers, admissions officers, and the indi yesterday I attended a field hearing of •Mr. MAZZOLI. Mr. Speaker, I com vidual student, and make available the the Livestock, Dairy, and Poultry Sub mend to the attention of my col full range of IIE publications and in committee of the House Committee on leagues the following article by Jack formation services. Agriculture in Dubuque, Iowa. At that Valenti which appeared in the March The Institute of International Edu time testimony was received from Mr. 13, 1981, Washington Star, entitled cation, its staff in the United States Corliss J. Hendrickson of Beldenville, "Too Free With Our Information." and around the world, and the thou Wis., as to the effect of the elimina Mr. Valenti makes valid points about sands of volunteers who give of their tion of the April price adjustment on problems caused by the Freedom of time and energy on behalf of interna the average dairy farmer in Wisconsin. Information Act to the Nation's intel tional cooperation together form a sig Mr. Hendrickson pointed out that, ligence agencies. nificant national asset. according to a report in the December The Freedom of Information Act It gives me special pleasure to salute 29, 1980, U.S. News & World Report, needs to be amended and hearings on the Institute of International Educa the price of whole milk increased 6.9 this issue, supplementing those held tion and to express the hope that this percent during 1980. Needless to say, last year, will be conducted in the fine organization will continue its tra much of this increase went to whole weeks ahead by the House Intelligence dition of effective service to the salers and retailers rather than the Committee. Nation and the world for many years dairy farmer. The article follows: to come.e Mr. Hendrickson then noted the fol Too FREE WITH OUR lNFoRMATION lowing changes in the cost of produc I spent some time recently in Western tion of his dairy farm from March Europe chatting with key European offi A CITATION WELL DESERVED 1980 to March 1981 based upon prices cials, including several in the intelligence TO VIRGINIA T. TORELLI at the Farmers Union Cooperative in services of Great Britain and France. They Ellsworth, Wis.: seem persistently nonplussed by peculiar HON. GEORGE C. WORTLEY ities in the American spirit, centered mostly OF NEW YORK ELLSWORTH FARMERS UNION COOPERATIVE RETAIL PRICE on our Freedom of Information <FOI> Act COMPARISON and the porous quality it confers on the FBI IN THE HOUSE OF REPRESENTATIVES and the CIA. As one foreign official put it to me, "I Tuesday, March 24, 1981 March March Percent Product 1980 1981 increase daresay none of my colleagues today would e Mr. WORTLEY. Mr. Speaker, in pass on to the Americans sensitive data these times of global strain and stress, Supertube 518 oil 30 gallon drum ...... $104.20 $118.59 13.8 about the work of our operatives on the it is well to note individuals, especially Regular gas ...... 1.19 1.32 10.9 Continent-or even hint at anything which 5102 EXTENSIONS OF REMARKS March 24, 1981 would identify agents we have in the field. It is not the cost of handling these re Polish people will be continuing their It would be suicide for our people. It is al quests that should cause us concern. It is internal struggle to create a society in ready deadly to your own." the disposition of crucial material, often col which they can live freely and safely. Another said, "How on earth can you pos lected at great risk from sources who believe These brave people have troubles sibly collect and hold intelligence which it is sacrosanct, who suddenly discover to may slip into foul hands simply because their horror and fear that it is not. All of enough without adding to them the someone you do not know writes in and asks which causes our colleagues in Europe to anguish caused by knowing an ill child for information? How you can have an intel shake their heads. cannot be cured because of lack of ligence organization that routinely gives This unease among our friends is not evi medical facilities and personnel. While away its files passes my understanding." dence of paranoia. As William Burroughs we cannot fight the Polish peoples' in It isn't enough, they complain, that mate put it, "A paranoid is a man in possession of ternal political battle, we can at least rial extracted from the FBI and CIA with all the facts." hope that their children will return Freedom of Information requests is put The work of the FBI and the CIA is by through a sifter that supposedly culls out nature shadowy. But they labor to ensure from the Deborah Heart and Lung secret material. They point out that people the security of the nation. Most Americans Center healthier and happier and that are processing so many requests that assume that work is going forward with dis their families and friends will be human error makes it literally impossible to patch, skill and diligence. But many Europe strengthened and encouraged by these expunge all that is not designed to be made an friends of this country are queasy not so children.• public. Slippage is inevitable-and when it much about the quality of the labor, but of happens, the irretrievable occurs. the impermanence of its safety. The intent of the FOI Act is laudable. One can only pray that the Congress and TRANSPORTATION ISSUES IN Light thrown on dark crannies of the gov its oversight committees can figure out THE 96TH CONGRESS ernment usually illuminates a good many some common-sense balance which places practices that should be corrected. But a off-limits sensitive information which is now balance is required, say these Europeans. leaked or routinely given away. There is le HON. TED WEISS OF NEW YORK CASUAL MADNESS gitimacy in the phrase "national security in It is one thing, they point out, to probe formation."• IN THE HOUSE OF REPRESENTATIVES the Department of Labor or Transportation Tuesday, March 24, 1981 for information, but to uncork the files of DEBORAH HEART AND LUNG the FBI and the CIA is a kind of casual, and •Mr. WEISS. Mr. Speaker, I am sub they hope momentary, madness. CENTER SIGNS AGREEMENT mitting today for the RECORD my sum The FBI received some 18,800 requests for TO AID POLISH CHILDREN mary of transportation issues in the information in 1979, and the CIA recorded 96th Congress: some 14,000 requests since 1975. No one can HON. EDWIN 8. FORSYTHE The 96th Congress produced a disappoint be certain how many of the CIA requests OF NEW JERSEY ing record on transportation issues of great come from foreign governments operating IN THE HOUSE OF REPRESENTATIVES est concern to New Yorkers and other urban through cover names. And there is a differ residents. Enactment of well-publicized bills ence between sending along a file of newspa Tuesday, March 24, 1981 to deregulate railroads and the trucking in per clippings, and parceling out documents dustry could not obscure the failure to pro with lines blacked out, with no one in the e Mr. FORSYTHE. Mr. Speaker, today in Philadelphia an historic vide a fairer forniula for funding mass tran Agency quite certain that all that should be sit, require at least some form of passive excised has been. event will take place. The Deborah safety restraint in automobiles, and halt the Most people would acknowledge that Heart and Lung Center, which I am spending of billions for wasteful projects criminals, both organized and unorganized, proud to have in my congressional dis such as the Tennessee-Tombigbee Water are filing requests by the long ton to the trict in Browns Mills, N.J., and the way. FBI to learn what the feds may have on Government of Poland will sign an Off the floor of Congress, the battle over them that might be embarrassing or damag agreement inaugurating a program for the proposed Westway highway continued, ing-and to act on what they learn. Frag and General Accounting Office staff began ments of information are as valuable as the the care of Polish children. The Deborah Heart and Lung a probe-at my request-of New York City's complete dossier. purchase of new Grumman buses under an Unhappily, some past events have con Center will provide pediatric cardiac $89 million federal grant. The buses were vinced a good many people that the FBI surgical treatment to Polish children withdrawn from service after discovery of and the CIA skulk about doing rude acts not in need of this treatment. A great widespread structural defects, and the countenanced by our own laws. Public suspi many Polish children suffer from car extent of repairs to be paid for by the man cion about two enterprises, without whose diac disorders and are unable to obtain ufacturer remained unclear at the end of vigilance we might be more anxious than we the medical care they need because 1980. are now about our future security, stirs our One of the great disappointments of the unease. Poland has a shortage of physicians trained in pediatric cardiac surgery. In Congressional session involved the failure to In the war against terrorism in Europe, enact the Surface Transportation Act of the intelligence services of the West Euro an additional effort to help correct 1980, which would have significantly in peans find it necessary to foresee violent de this problem, Polish physicians and creased mass transit funding for all major signs before they are hatched. The only medical personnel will also be able to urban areas. New York City's share of all known method to do that is to collect infor observe the techniques and procedures federal mass transit subsidies would have mation so that if a design is forming it may used by the medical staff at the Deb grown from 15 to 20 percent, up $87.8 mil be thwarted before it occurs-or at the very lion a year. least to pick up the spoor of those sponsor orah Heart and Lung Center. ing the skulduggery before they kill some I am proud that this program with The new formula was based on miles of body. Poland is made possible through the rail and bus service an area provides, not on generosity of private contributions to population, as under current law. The AN INSTITUTIONALIZED LEAK change would have brought 72 cents per ve What the public doesn't know, and prob the Deborah Hospital Foundation, hicle mile of mass transit to every major ably cannot know until it is too late, is how which has been serving the New city in the nation, except New York-which well our police and intelligence services are Jersey area for 58 years. Happily, the would have received 58 cents per mile. That prepared to act before some violent deed is free care provided our children is now share per mile was smaller due to a limit on done. We have so institutionalized the being extended to Poland's needy chil the federal assistance any one city could be "leak" in this country that nothing is truly dren. provided. But the formula still represented safe from prying eyes. Granted that we may The joy healthy children bring to a .great improvement, one that may not be too often stamp Top Secret on a formula for their family and friends is universal. possible in the new Congress. dried milk; granted also that much of what Both the House and Senate has passed is delivered to someone asking for informa So, too, is the heartbreak that is suf bills with this new funding formula. But in tion is valueless. But it is nonetheless true fered by those same families and spite of the outstanding efforts of Rep. that in handling literally thousands of re friends when the child is ill. Today, as James Howard <D-NJ>, Chairman of the quests, brief lapses in scrutiny run through the agreement is signed for the pediat Surface Transportation Subcommittee, too out the whole costly process. ric cardiac surgical program, the little time remained to reconcile other dif- March 24, 1981 EXTENSIONS OF REMARKS 5103 ferences between the two bills, and the leg buses failed to provide adequate ventilation ian public opm1on over the past 4 islation died as time ran out on the 96th when air conditioning broke down. As a years away from the Marxist-Leninist Congress. result, many buses were idled during the concepts of the Communist Party and The measure's most controversial section summer. Yet testing of the window design dealt with requirements for access to public installed after City Councilwoman Carol in favor of the values shared by the transportation for handicapped persons. I Greitzer and myself had objected to the to United States. and other Western Eu opposed an amendment by Rep. James tally sealed windows originally proposed ropean nations. The Italian Commu Cleveland <R-NH) which would have re had not been completed when the buses nist Party <PCD has, in fact, suffered moved the obligation of localities under ex were delivered. some significant reverses during this isting law to provide service for the handi The GAO team will examine the U.S. period, despite severe economic diffi capped. That amendment was defeated, and Urban Mass Transit Administration's re culties, the continuing plague of do a compromise substitute passed that pre quirements that mandate sealed windows mestic terrorism, and the devastation served the basic assurance of service, and re and other items on buses, regardless of local quired that prompt alternative services be conditions, to see whether different proce caused by a major earthquake. provided. At the same time, the substitute dures for testing and selection of optional This encouraging trend, I believe, re amendment would have made today's strin features are warranted. sults in large measure from the pru gent federal requirements flexible enough The movement against Westway contin dent and realistic approach to Italian that local governments could provide service ued strongly, as 22 elected officials in New American relations, which was consist while planning for the most cost-effective York joined me in asking the U.S. Army means of access in the future. ently followed by the previous admin Corps of Engineers to deny a permit needed istration, despite some intermittent Efforts to require use of air bags as pas for construction of the extravagant road sive safety restraints in new automobiles way. Three U.S. agencies-the Fish and criticism, and which I hope will be ad before 1983 failed on several occasions in Wildlife Service, Environmental Protection hered to by Secretary Haig and his the 96th Congress. But the bill which final Agency, and National Marine Fisheries colleagues in the years ahead. Simply ly became law still requires installation of Service-also took a stand against the stated, this involves, in the Ambassa air bags by 1983 in at least one line of small permit, which is necessary to allow dredging dor's words, "a policy of noninterfer cars sold by each manufacturer in the U.S. and filling of a 2.8 mile-long section in the ence in the internal affairs of allies, market, as an option for the car buyer. Hudson River along the West Side of Man Congressional approval of accelerated but of stating openly its preference hattan that Westway's design would re that Communists not participate in funding for the $3 billion Tennessee-Tom quire. bigbee Waterway came despite evidence A tour of the proposed Westway corridor the governments of allies." that the project will only subsidize barge was sponsored by myself and 34 other elect While contacts have been broadened companies and duplicate an existing trans to some extent between American dip portation network on water and rail. Indeed, ed officials in October, 1980, along with 47 the majority of companies claimed by the community leaders and activists and repre lomats and Communist Party officials, U.S. Army Corps of Engineers to benefit sentatives from 40 local and national organi the distinction between enhanced com from the project either do not exist, or have zations. The tour took note of the valuable munication and approval has been stated they would not use the canal. Stop businesses and neighborhoods Westway made consistently and effectively ping the project now would save the Ameri would destroy or adversely affect. The future of Westway under the new with apparently quite positive results. can people many times more dollars than Mr. Speaker, I include in the RECORD the several hundred million already spent. Reagan administration is uncertain. Advi Deregulation of both trucking and rail sors to the new President have recommend at this time the full text of the final road industries passed Congress during the ed a review of segments of the Interstate interview with Ambassador Gardner summer of 1980. These landmark bills repre highway system which remain unbuilt to de and commend it to the attention of my sent steps toward removing government reg termine their cost effectiveness. Westway is colleagues, as well as to those in the ulation from areas of commerce where effi the most expensive of all those projects. Reagan administration who reportedly ciency, and lower prices, were thought best The highway is now estimated at more than are engaged in a comprehensive review promoted by less restraint. Regulation is re $2 billion, or over $8, 700 an inch-the most tained in areas where possible monopolistic expensive highway ever proposed. I have of U.S. relations with our European practices pose significant dangers to the argued that the trade-in of those highway allies. consumer's interests. monies for mass transit purposes makes the The article follows: Hearings were held at my request in New most sense. Finally, the EPA took a coura CFrom the Los Angeles Times, Feb. 11, 19811 York City by both the U.S. Department of geous step last summer when it proposed Transportation <DOT) and a Congressional disapproval of New York State's plan to ITALY TullNING AWAY F'ROM COMMUNISTS, Subcommittee on my legislation to halt pro fight air pollution in the metropolitan area. RETIRING U.S. AMBASSADOR SAYS posed federal regulations that would allow EPA correctly criticized the state for failing <By Louis B. Fleming) transport of nuclear waste through major to seek out funding for mass transit from all RoME.-There has been a fundamental cities. Local officials and community activ possible sources. Such funding is critical to shift in Italy over the last four years, away ists joined me in urging the DOT to with air quality: improved mass transit should from the Marxist-Leninist concepts of the draw its proposals. If implemented, the reg induce drivers to leave the road, reducing Communist Party and in favor of the values ulations would once again allow transport of pollution caused by automobiles. As of this shared by the United States and other lethal nuclear waste through the heart of writing, no solution has been agreed to and Western nations, according to U.S. Ambas our city across the Queensborough Bridge, no final action has been taken.e sador Richard N. Gardner. up Third Avenue, over to Amsterdam "This is the most satisfying thing I have Avenue, on to the Cross-Bronx Expressway, seen happen in these four years," Gardner and across the George Washington Bridge RETIRING AMBASSADOR RE to New Jersey. PORTS FAVORABLE TRENDS IN said, discussing his term as ambassador A General Accounting Office study of the ITALIAN PUBLIC OPINION here. purchase and testing of 837 Grumman He is leaving Feb. 27 and returning to the Flexible buses by New York City is under academic world. His replacement has not way at the request of myself and Rep. John HON.CLEMENTJ.ZABLOCKI been named. L. Burton <D-Cal.), chairman of the House OF WISCONSIN "Four years ago I was distressed to find Subcommittee on Government Activities IN THE HOUSE OF REPRESENTATIVES how much Marxist-Leninist thinking had and Transportation. Investigators will deter penetrated the high schools, universities, mine whether tests before delivery should Tuesday, March 24, 1981 the intellectual press, the arts and culture have detected the structural defects that e Mr. ZABLOCKI. Mr. Speaker, in a here," he said in a farewell interview. "The forced the city to remove the entire fleet of Los Angeles Times interview on the penetration was greater than with any new vehicles from service. In addition, the eve of his departure last month, retir other ally." GAO will examine warranties obtained by ing U.S. Ambassador Richard N. Gard He noted that he was referring to Marx bus purchases in New York and other cities ist-Leninist concepts in order to draw a to find whether the public is being ade ner offered some interesting, and sharp distinction with the Marxism still os quately protected in cases where the prod hopeful, comments about recent politi tensibly practiced by the Italian Socialist uct proves to have serious deficiencies. cal developments in Italy. Party, regarded by the United States as a I asked for the GAO study in August after According to Ambassador Gardner, constructive partner in the new Italian gov the small openable windows included on the there has been a definite shift in Ital- ernment. 5104 EXTENSIONS OF REMARKS March 24, 1981 A new comer is being turned, Gardner They had a five-minute coversation over an individual who can change his mind went on. "The near hegemony of Marxist coffee at a dinner given by President Sandro quickly," Gardner said. "It is an institution, Leninist thought is being broken. There is a Pertini for then-President Jimmy Carter with a complex bureaucracy, deeply condi resurgence of non-Marxist liberal thought." last summer. tioned by its past and profoundly resistant Looking at the political situation itself, he Gardner also accepted, for the first time, to change." called attention particularly to Communist invitations to attend dinners and receptions He was critical of Communist Party oppo Party electoral losses over the last four where he came in direct contact with senior sition to American and NATO operations in years. Communists. Previously the contacts had Italy, including the stationing of Pershing "The Communists are on the defensive for been handled by other embassy staff mem II missiles under the· theater nuclear forces the first time, and I hope they stay that bers. And he entertained some Communist accord. That is one of the issues likely to way," he said. intellectuals, including the historian-jour come up during Foreign Minister Colombo's The shift has been accompanied by in nalist Giuseppe Boffa, as part of an energet visit to Washington. Italy has yet to desig creased interest in and respect for the ic program of entertaining many segments nate the missile sites, a decision likely to stir values of freedom and liberty associated of Italian society. fresh parliamentary debate. with the United States, he said. "A cautious dialogue with the Communist Gardner and his wife, Danielle, will fly to "There is no country in the world where Party clearly serves the national interests of Washington Feb. 27, then return to Italy in the common man retains greater affection the United States so long as it is always April, when Gardner will begin a two-month for the United States and what it stands for made clear that communication does not visiting professorship at the European Uni than Italy," he said. · mean approval," Gardner said. versity sponsored by the 10 Common Gardner, who has made a priority of gain "This enables the United States to under ing greater respect and recognition for Italy stand better what is going on inside the Market nations in Florence. He will lead among American policy makers, expressed party and it gives an opportunity to try to seminars at the Aspen Institute in August his personal gratification at the way the influence them over the long term in direc and return in September to his post as new Administration in Washington has tions favorable to us." Henry Moses professor of international law dealt with Italy. He noted that one of Presi Beginning in 1977, the United States has and organizations at Columbia University.e dent Reagan's first phone calls following in followed a policy of pledging non-interfer auguration was to the Italian prime minis ence in the internal affairs of allies but of ter, Arnaldo Forlani, and Reagan's first stating openly its preference that the Com U.S. TRADE WITH THE MIDDLE meeting with a high Western European offi munists not participate in governments of EAST, 1978-80 cial will be Thursday with Italian Foreign allies. Minister Emilio Colombo. The policy was articulated by then-Presi "It is gratifying that the new Administra dent Carter following controversy over alle HON. PAUL FINDLEY tion is signaling its recognition of the very gations that the U.S. Embassy here had OF ILLINOIS great importance of Italy in the Atlantic played a direct political role in earlier years. IN THE HOUSE OF REPRESENTATIVES alliance," Gardner said. "Whether measured Gardner said he saw only a remote possi in terms of its geopolitical position, its polit bility that the Communists would change Tuesday, March 24, 1981 ical and economic importance or its real on the fundamental questions of accepting e Mr. FINDLEY. Mr. Speaker, the contribution to the alliance, Italy deserves true Western concepts of democracy and in to be in the inner circle of the alliance." living up to full obligations of NATO mem Commerce Department has released He singled out for special recognition the bership. figures on U.S. trade with the Middle decision of Italy in 1979 to accept missiles "Many American scholars make the mis East in 1978, 1979, and 1980. This under the North Atlantic Treaty Organiza take of thinking of the Communist Party as trade was as follows: tion's new theater nuclear forces plan. Chancellor Helmut Schmidt of West Ger U.S. TRADE WITH THE MIDDLE EAST 1978-80 many had made his acceptance of the mis siles conditional on the acceptance by an [Dollars in millions] other European continental nation and Italy provided that. Exports (including reexports) Imports "Furthermore, the 6th Fleet could not op erate effectively without the home port 1980 1979 1978 1980 1979 1978 facilities in Italy," Gardner said. Arab countries ...... $13,502.7 $11,053.5 $9,412.1 +$30,270 +$22,368 + $15,681.6 But he acknowledged that Italy remains Percent of world ...... 6.12 6.09 6.56 12.6 10.84 9.12 vulnerable to communism, to terrorism, to $541.8 $404.1 $374.0 $6,576.8 $4,940.2 $3,481.6 its dependence on energy imports-more ~~e:~k :::::::::::::: :::: :::::: : ::::::::::::::::::::::::::::: :: ::::::::::::: $196.7 $159.5 $157.1 $15.5 $10.6 $28.8 Dpbouti ...... $11.6 $8.0 $4.0 (') than any other Western nation-to its eco $1,873.6 $1,432.9 $1 ,134.1 $458.4 $381.('6 1105('.6 nomic difficulties and the everpresent 24.3 41.6 $316.6 $352.3 $618.4 243.4 earthquake problem. ~~ : : ::: ::::: ::::::::::::::::::::::::::::::::::::::::::::: : :::::::::::::::: 07.3 33.7 $235.0 $2.5 $4.1 $0.6 "On balance I would say Italy is some Kuwait ...... ••.•...... •...... li86.1 r, 64.7 $744.8 $471.9 ff6.8 $49.6 Lebanon ...... $303.0 $227.4 $142.2 $32.6 4.6 $14.8 what less vulnerable than it was four years Libya ...... $508.8 $468.1 $425.0 $7,124.0 $5,256.0 $3,799.3 ago," the ambassador said. "Some of the Mauritania ...... $20.1 $7.0 $8.0 $0.4 ('~ $1.0 dangers of four years ago have receded, Morocco ...... $344.4 $271.3 $406.4 $35.3 $39. $43.5 Oman ...... •...... $94.9 $87.9 $65.1 $344.3 fll6.7 $354.0 temporarily at least, but I do not mean that Qatar ...... $128.8 $138.3 $76.7 $236.6 79.1 $318.0 we can be complacent or that the funda Saudi Arabia ...... •...... $5,768.5 $4,875.0 $4,369.9 $12,508.S $7,983.4 $5,307.1 Somalia ...... •...... $55.8 $32.0 $21.0 $0.4 mental problems have been solved." Sudan ...... $142.5 $103.0 $157.0 17.3 $16.('6 $14('6. The ambassador expressed satisfaction $239.2 $229.3 $142.5 25.9 $165.2 $36.8 with the political reverses of the Italian ~rnisia·:::::::: : ::::::::::::::::::::::::::::: : ::::::::: ::: ::: ::::::::::::::::: $173.5 $175.1 $83.0 59.9 $95.4 $21.1 UAE ...... $997.9 $666.8 $493.2 $1,987.81 $2,1 55.1 $1,857.9 Communist Party, which has had declining $6.5 $13.7 $25.9 $18.5 $4.0 support since it polled a record 34.4% in the ~= ~ ~)·:::::::::::::: : :::::::::::::::::::::::::::::::::::::::::::: $77.4 $214.1 $30.6 $0.8 $1.5 ~.7.4 national elections of 1976. Israel ...... •...... •...... $2,045.0 $1,854.9 $1 ,925.1 $934.1 $749.1 $719.5 Percent of world ...... 0.9 1.02 1.34 0.39 0.36 0.42 "In the 1979 elections they lost one out of Other non-Arab countries ...... $715.6 $1,586.8 $4,108.5 $611.8 $3,111.7 $3,1 66.4 nine voters and those results were con Percent of world ...... 0.32 0.87 2.86 0.25 1.51 1.84 firmed in the elections of 1980," he said. $11.3 $66.0 $17.0 $5.9 $13.0 $12.0 "Equally important, these elections showed $69.5 $42.0 $25.0 $5.6 $5.0 $6.0 fJ::~~:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: $71.9 $104.0 $24.0 $86.8 $109.0 $96.0 for the first time that the Communists were Iran ...... $23.1 $3,684.5 $338.9 $2,783.7 2 doing less well with the 18-to-25-year-old Turkey ...... $539.8 s1~m $358.0 $174.6 $201.0 s s~m Middle East total ...... •...... $16,263.3 $14,495.2 $15,445.7 +$31,815.9 + $26,228.8 +$19,567.5 group than with other voters." Wof1d total...... $220,548.7 $181 ,637.0 $143,577.0 $240,834.3 $206,326.0 $171,978.0 Gardner broadened contacts between Middle East percent of world ...... 7.4 8.0 10.8 13.2 12.7 11.38 American diplomats and Communist Party officials, a process that began under Presi • Less than $50,000. dent Gerald R. Ford, but he continued to · Source: U.S. Department of Commerce, Bureau of the Census, Washington, Feb. 4, 1981. exclude high party officers from official em bassy functions. Although the value of U.S. exports to $13 billion, the value of U.S. im Gardner became the first American am to this region were up significantly in ports almost doubled in the same bassador to meet Communist Party Secre tary Enrico Berlinguer. 1980 over 1978, going from $9.4 billion period, going from $15.7 billion in 1978 March 24, 1981 EXTENSIONS OF REMARKS 5105 to $30.3 billion in 1980. This latter As a result, the total U.S. exports to Saudi vailed at the time and the U.S. firm did not fact, of course, is largely because of Arabia show no real dollar growth, 1979's receive the work. Zero work means zero the rising cost of oil. $4.9 billion being, in fact, a decline from income for the U.S. economy and zero tax ·This table of trade figures demon 1978's $4.4 billion when adjusted for a 12- revenues. percent inflation rate. Moreover, the U.S. Second, these taxes are forcing U.S. firms strates just how important it is to the portion of the Kingdom's enormous import to replace American staff with British, Irish United States to expand its exports to bill, averaging 22 percent over the period and other English speaking expatriates who this region to diminish the great trade 1975-79 is beginning to show a noticeable are not taxed on income earned abroad. Mr. imbalance we are now suffering. decline. Abdullah T. Dabbagh, Commercial Counsel An important step to improving our The health of this market affects all or at the Embassy of Saudi Arabia in Wash trade competitiveness in the Middle Americans, because U.S. firms buy Ameri ington states that the proportion of U.S. East and elsewhere is the removal of can products. According to the Associated citizens employed by U.S. firms in the King U.S. tax law disincentives to exports. General Contractors of America, 90 percent dom declined from 65 percent in 1976 to 35 The American Businessmen's Group of the material and equipment used by U.S. percent in 1980 due to the 1976 tax law. The contractors are U.S. products. The U.S. De findings of the Middle East Marketing Re of Riyadh prepared, in 1980, a position partment of Labor estimates that every bil search Bureau Ltd. investigating U.S. firms paper on "America's Loss of Business lion dollars in exports generates 30,000 do in Riyadh, showed a 10-percent drop in U.S. in the Middle East." This paper focus mestic jobs. The U.S. Commerce Depart citizen employees of U.S. firms over the es on several trade disincentives which ment puts the figure at 40,000 jobs per bil period 1977-78 with heavier losses in the nu place U.S. businessmen at a disadvan lion dollars of exports, and a study conduct merous mid-sized firms. This corroborates a tage compared with European, Japa ed by Aramco shows 53,000 U.S. jobs created report by Chase Econometrics Associates, nese, and other competitors. Foremost by the same one billion dollars. Thus, the which estimates a further 10 percent drop among these trade disincentives ac Saudi Arabian market is responsible for be for 1980. cording to this paper, are U.S. tax laws tween 145 and 260 thousand domestic U.S. Beyond the obvious loss of income and jobs. revenues attendant to declines in the hiring affecting Americans working overseas. U.S. firms are not losing ground in Saudi of U.S. citizens to work abroad, there is also Since exports mean jobs for U.S. Arabia due to attitudinal hindrances on the the fact that people tend to direct business workers and a strong U.S. economy, it part of either ourselves or our hosts, as to their countries of origin due to familiar is critical for the Congress and the some assert. The Saudis still desire Ameri ity with home specifications and productS as Reagan administration to work to can goods and services; they are simply no well as to a modicum of nationalism. In gether to make reform of U.S. tax law longer willing to pay the ever-growing pre Saudi Arabia, where nearly everything is disincentives to trade a top priority of miums for buying American over European imported, this phenomenon is most pro our 1981 agenda. or Asian. Certainly the very existence of our nounced. Over the past five years, the char Excerpts follow from the American group attests that U.S. firms are interested acter of importing to the kingdom has Businessmen's Group of Riyadh paper in this market; sufficiently interested to changed drastically. While at one time, dedicate their full efforts and resources to items were usually imported for a specific which demonstrates why this task is working here in the Kingdom. project, local dealers and vendors now pre so urgent: The fact is that we can no longer success import vast quantities of materials and AMERICA'S Loss OF BUSINESS IN THE MIDDLE fully compete with foreign firms who re equipment for sale on the local market. Our EAST ceive support from their respective govern collective experience has shown us that, U.S. COMPANIES OPERATING IN THE MIDDLE EAST ments. This support ranges from effective given this ever increasing local availability, ARE AT A COMPETITIVE DISADVANTAGE WITH subsidies to outright ownership, control and people will procure the products of their EUROPEAN AND ASIAN FIRMS BECAUSE OF U.S. supply of labor. The policies of most foreign countries of origin whenever possible. A LEGISLATION AND EXECUTIVE ACTION WHICH governments with respect to assistance to very telling example of this is the fact that RESTRICTS AND IS OFTEN PUNITIVE AS COM their own firms in foreign markets renders export of U.S. heavy equipment to Saudi PARED TO GOVERNMENTAL SUPPORT BY OTHER U.S. legislation highly disincentive by com Arabia fell 5.5 percent from $200 million in NATIONS FOR THEIR COMPANIES OVERSEAS parison. If the U.S. wishes to reverse the 1978 to $189 million in 1979. We call on the United States Congress to current trend, to regain lost foreign sales Further, our experience shows conclusive recognize this situation and to enact imme and the resultant income and tax revenues, ly that the days when only U.S. products diate legislation which would- to improve our enormous trade deficits, and could met U.S. firms needs and U.S. or U.S. Eliininate taxes on American expatriates to return to a leading position in the world based specifications are sadly, over. Both which force U.S. firms to hire foreigners or marketplace, U.S. firms operating overseas Japan and Korea produce many items to price themselves out of the market: must be allowed to confront foreign compe American standards, and much of Europe Provide financing for American firms titiors on a more equal footing. produces substitutes acceptable even to the which would put them on a competitive The single item most often cited by U.S. Corps of Engineers. footing with foreign firms; and firms operating overseas and by independ With respect to taxing U.S. corporations' Rationalize anti-trust, anti-boycott, anti ent investigators as a cause for the dwin foreign income we direct attention to the corruption and other laws which penalize dling U.S. share of international business is benefits given to our competitors by their U.S. firms abroad without advancing any the current text and interpretation of the respective governments. significant policy objectives. individual foreign earned income legislation, Italy and Japan do not tax the overseas The Kingdom of Saudi Arabia is in the Sections 911 and 913 of the Internal Reve earnings of their firms at all. The Republic world's largest single market for construc nue Code. No other industrial nation taxes of Korea affords its contractors a 50-percent tion and other contracted services, for the the overseas earning of its citizens as rigor exemption on income from abroad. France, related consulting and design fields, and for ously and no other major industrial power West <a href="/tags/Germany/" rel="tag">Germany</a> and the U.K. allow their cor the attendant materials and equipment. As taxes such earnings at all. It is more than a porations partial exemptions and/or tax such it is also the most competitive single coincidence that it is just these same payment deferrals to bolster operations. market for these labor and production in powers-South Korea, West Germany, the We must point out that operating in a de tensive services in the world. It is likely to U.K., Japan, Italy, Canada and France-to veloping country such as Saudi Arabia is in remain so for at least the decade of the 80's. whom U.S. firms are losing work at present. herently different from operating in, say, U.S. firms are losing ground rapidly in The direct effects of the present legisla Western Europe. Most Saudi Arabian gov Saudi Arabia. While fully 9 percent of all tion are two-fold. First, bids tendered by ernment regulations are complex, time-con construction projects in the Kingdom were U.S. firms are inflated by the projected suming and variable. Even in the capital and awarded to U.S. contractors in 1975, our excess cost of maintaining taxed American other major cities, employees cannot rea share dropped to 6 percent in 1978 and con personnel and are thus unsuccessful. A sonably be expected to enter the local hous tinues to decline with only 3 percent of con study made by the Associated General Con ing market and must be provided for. Out struction going to U.S. firms in 1979. tractors of America of an actual bid shows side of the cities, food and often water must Even the civil and military construction that the projected cost of using American also be provided. Communication, both in contracts let by the U.S. Army Corps of En staff was nearly twice that of using compa ternal and international, utterly necessary gineers on behalf of the Saudis are going rable British staff. 75 percent of that differ for the direction of business to the U.S., is substantially to foreign firms. In fact, the ence was founq to be the result of taxing extraordinarily expensive. Thus operating U.S. share of such work has plummetted the American individuals' foreign earned costs and overheads are enormous and re dramatically from 35 percent in 1975, to 5 income. This resulted in a total bid 3 per quire large quantities of cash to be con percent in 1978 and then to 2 percent in cent higher for the American-staffed U.S. stantly available. In consideration ol this 1979. firm. A 2.3-percent spread in offers pre- and the fact that the vast majority of con- 5106 EXTENSIONS OF REMARKS March 24, 1981 tracts in the Kingdom are multi-year in U.S. EXPORTS FINANCED BY EXPORT-IMPORT BANK BY U.S. EXPORTS FINANCED BY EXPORT-IMPORT BANK BY term, we request the U.S. Government allow STATE AND ESTIMATED JOBS ASSOCIATED THEREWITH, STATE AND ESTIMATED JOBS ASSOCIATED THEREWITH, job-based accounting methods to calculate corporate tax due, scaled for percentage of FISCAL YEARS 1978-79 FISCAL YEARS 1978-79-Continued completion to be utilized. Such a plan would [In millions of dollars] [In millions of dollars] facilitate use of capital without significantly altering the ultimate liability incurred. U.S. Eximbank U.S. Eximbank contract authorized U.S. jobs contract authorized U.S. jobs Without such a minimal concession as this, value amount value amount our totally exempt foreign competitors will continue to benefit at our expense.e Alaska: Total ...... 153.1 116.l ...... 1978 ...... Kentucky: 1979 ...... 1978 ······································· 4.2 4.2 168 1980 ...... 1979 ...... 9.3 8.5 372 1980 ...... 13.3 12.l 532 EXIMBANK SUPPORTS JOBS Total...... ------Alabama: Total ...... 26.8 24.8 ...... 1978 ...... 10.6 8.5 424 Louisiana: 1979 ...... 4.5 4.0 180 1978 ...... 24.9 20.3 996 HON. LES AuCOIN 1980 ...... 12.3 11.6 492 1979 ...... 16.l 13.6 644 OF OREGON -'------1980 ...... 85.4 75.6 3,416 Total...... 27.4 24.l ...... ------IN THE HOUSE OF REPRESENTATIVES Arkansas: Total ...... 126.4 109.5 ·················· 1978 ...... 21.8 21.8 872 Massachusetts: 1979 ...... 24.0 23.9 960 1978 ······································· 66.6 61.2 2,664 Tuesday, March 24, 1981 1980 ...... 23.2 23.l 928 1979 ...... 152.6 92.9 6,104 ------1980 ...... 326.0 202.6 13,040 e Mr. AuCOIN. Mr. Speaker, while Tota~...... 69.0 68.8 ...... ------Arizona: Total ...... 545.2 356.7 ...... hacking away at the Export-Import 1978 ...... 3.6 3.0 144 Maryland: Bank's lending authority, opponents 1979 ...... 15.9 14.6 636 1978 ...... 11.4 10.5 456 1980 ...... 40.0 33.0 1,600 1979 ...... 17.6 15.7 704 of the Bank have glossed over one of ------1980 ...... 26.2 24.5 1,048 the most important contributions that Tot aI...... 59.5 50.6 ...... ------California: Tot aI ...... 55.2 50.7 ·················· it makes to our economy: jobs. The ad 1978 ...... 463.0 330.l 18.520 Maine: ministration is trying to sell unilateral 1979...... 1,396.2 936.3 55,848 1978 ...... l .l 40 1980 ...... 2,072.2 1,509.7 82,888 1979 ...... 0 0 0 trade disarmament under the guise ------1980 ...... 1.9 1.9 76 To ta I...... 3,931.4 2,776.l ...... that export assistance only helps Colorado Total ...... 2.0 2.0 ...... "profitable corporations" and "busi 1978 ...... 10.7 u m Micf1J~~n·:· · · · ······· ·· ·········· · ········ · ····· 441.3 224.8 17,652 ness must do its part" in sacrificing l~~~ ::::::::::::::::::::::::::::::::::::::: ~ : ~ 4.5 200 1979 ...... 183.5 143.7 7,340 ------1980 ...... 524.7 346.8 20,988 along with the rest of the country. Total...... 20.3 16.5 ...... ------Even if we were to accept the premise r.onnecticut: Minn!~~· ······· ·· ··· · ···· ··· ····· · ····· · ··· 1,149.5 715.3 ...... that American business needs no as :m ::::::::::::::::::::::::::::::::::::::: m:r m ~:m 1978 ...... 104.4 78.7 4,176 sistance in meeting predatory financ 202.l 139.4 8,084 1980 ...... __75_1._0 __63_2 ._4 __30_. 04_0 :m ::::::::::::::::::::::::::::::::::::::: 269.2 118.0 10,768 ing in the international marketplace, Total...... 1,087.8 804.0 ...... T I ------even if we ignore the continuing de District of Columbia: Missoo~~a ···································· 575.7 336.l ...... cline of American products in world 34.5 26.4 1,380 tm lm::::::::::::::::::::::::::::::::::::::: 43.8 30.7 1,752 competitiveness, we cannot forget that m~ :::: :: ::::::::::::::::::::::::::::::::: _____m m32_ -5___ 1980 ...... 50.2 46.0 2,008 Total...... 90.2 84.5 ...... T t I ------the companies that export employ 128.5 American workers. Simply, exports Delaware: o a ·· ·· ·· ·· · · · · · · ·· ··· ·· ··· ·· · ·· ·· ·· ·· · 103.l ·················· mean jobs. Recent figures show that 1978 ...... 108.0 52.0 4,320 Mi~~r.. :········ ·········· · ················· 15.3 15.2 612 m~ ::::::::::: ::: ::::::::::::::::::::::::: m : ~ lru u~ 1979 ...... 15.0 15.0 600 one in nine manufacturing jobs in the ------1980 ...... 19.9 17.6 796 Total...... 456.7 225.7 ...... Total ------United States are export dependent. Florida: . Montana: ··· ·· ··· ··· ····· ··· ··· ··· ··· ··· ··· ·· 50.2 47.8 ······· ··········· And in my own State of Oregon, over :m::::::::::::::::::::::::::::::::::::::: lm l~u rn~ 1978 ...... 10 percent of the manufacturing work 1980 ······································· 206.6 186.8 8,264 1979 ...... ers are paid by exports. ------1980 ...... ______Before my colleagues accept the ar Total...... 402.5 352.8 ...... Total...... gument that it is American business 126.0 97.8 5,040 im ::::::::::::::::::::::::::::::::::::::: l~~ : ~ m rn~ N1i~r~~7: :: ::::: :: ::::::::: :: :::::::::::: 35.l 29.8 1,404 that is sacrificing through cuts in Ex 1980 ······································· __13_9.0 ___ 10_5 .3___ 5,5_60 1980 ...... 62.3 53.l 2,492 imbank, I would remind them once Total ...... 301.6 241 .2 ...... Total ...... 223.4 180.7 ...... again that Eximbank means jobs, pro Hawaii: North Dakota: ductive jobs. I know of few Members 1978 ...... 3 .3 12 1978 ······································· 10.5 0 420 1979 ······································· 2.4 2.4 96 1979 ······································· 11.3 6.2 452 who would knowingly and willingly 1980 ...... ___ 2.2___ 2.2___ 88 1980 ...... ______11.8 6.7 472_ sacrifice the livelihoods of their con Total ...... 4.9 4.9 Total ...... 33.6 12.9 ...... Iowa: Nebraska: stituents and the long-term economic 1978 ...... 9.3 8.7 372 1978 ...... 2.3 1.8 92 health of the country on the basis of 1979 ······································· 25.0 15.4 1,000 1979 ...... 3.7 3.3 148 1980 ...... 60.l 28.6 2,404 12.2 11.0 488 such rhetoric. ------1980 ...... ------Tot aI...... 94.4 52.7 ...... Tot aI ...... 18.2 16.l That is why, Mr. Speaker, I call to Idaho: New Hampshire: ·················· my colleagues' attention figures which 1978...... l .l 4 1978 ...... 4 .3 16 1979 ...... 109.5 93.0 4,380 1979 ...... 2 .2 8 show the amount of exports Exim sup 1980...... 0 0 0 1980 ...... 5.3 4.5 212 ported in each State over the last 3 ------Tot aI...... 109.6 93.l ...... Tot aI...... 5.9 5.0 ...... fiscal years. Illinois: New Jersey: 1978 ...... 606.l 512.2 24,244 1978 ...... 142.5 122.8 5,700 More important, however, the fig 1979 ...... 1,179.9 847.3 47,196 1979 ...... 674.2 515.8 26,968 ures also show the estimated number 1980 .. :...... ------1,689.5 1,033.l 67,580 1980 ...... ------342.9 255.3 13,716 of job-related Eximbank activity. I Tot aI...... 3,475.5 2,392.6 ...... Tot aI ...... l,159.6 893.9 ...... Indiana: New Mexico: commend this information to the 1978 ...... 68.0 52.5 2,720 1978 ...... 0 0 0 Members' attention and hope they will 1979 ...... 58.l 30.9 2,324 1979 ...... 3 .3 12 1980 ...... __7_0.7 ___ 63_ .3___ 2,8_ 28 1980 ...... 1.8 1.7 72 consider it carefully before deciding ------the fate of Exim and the fate of work Total...... 196.8 146.7 ...... Tot aI ...... 2.1 2.0 ...... Kansas: Nevada: ers in their districts. 1978 ...... 25.5 22.2 1,020 1978 ...... 1979 ...... 50.8 40.2 2,032 1979 ...... The table follows: 1980 ...... 76.8 53.7 3,072 1980 ...... March 24, 1981 EXTENSIONS OF REMARKS 5107 U.S. EXPORTS FINANCED BY EXPORT-IMPORT BANK BY U.S. EXPORTS FINANCED BY EXPORT-IMPORT BANK BY As of this writing President Reagan has STATE AND ESTIMATED JOBS ASSOCIATED THEREWITH, STATE AND ESTIMATED JOBS ASSOCIATED THEREWITH, submitted a proposal to phase-out the 11-D and VI Public Service Employment <PSE> FISCAL YEARS 1978-79-Continued FISCAL YEARS 1978-79-Continued programs of the CETA Act by September [In millions of dollars] [In millions of dollars] 30, 1981. I strongly support this action and urge U.S. Eximbank U.S. Eximbank you to vote in agreement with President contract authorized U.S. jobs contract authorized U.S. jobs Reagan. value amount value amoont CETA must return to its original purpose as a training program for the purpose of Total ...... Total ...... 1.7 1.7 ...... New York: Wyoming: placing the hard-core unemployed into pri 1978 ...... 1,808.1 1,219.4 72,324 1978 ...... 0 0 vate sector jobs. PSE does not accomplish 1979 ...... 2,132.0 1,437.3 85,280 1979 ...... 1 .1 this purpose so it must be phased-out now. 1980 ...... 0 0 1980 ·······································------3,463.5 2,448.0 138,540 ------If the CETA Act is to be re-authorized Ohio: Total...... 7,403.6 5,104.7 .: ...... Tot aI...... 1 .1 ...... during F/Y-1982, it must be re-enacted as a Unallocable by State: 1978 ...... 221.0 102.5 8,840 1978 ...... 3,596.6 2,749.0 143,864 training program for the truly needy so 1979 ······································· 185.5 136.7 7,420 1979 ...... 2,748.6 2,126.0 109,944 they might have lasting and permanent 1980 ...... __24_0._5 __18_2 .9___ 9,6_20 1980 ...... __l,_92_6 ._6 __l,_67_4 .4__ 7_7.0_64 jobs. Olda~I...... 647.0 422.1 ...... Total...... 8,271.8 6,549.4 ...... Thank you for your time and considera tion. May the Lord Jesus bless you and 1978 ...... 56.4 44.7 2,256 Notes.-The above figures reflect the degree of detail included in guide you as you serve in Washington. 1979 ...... 38.5 32.1 1,540 Eximbank's records. However, because subcontractors, and even separate 1980 ...... __4_0 .3___ 38_.2 __ 1...:._,6_12 manufacturing sites in the case of a nationwide sulJl>lier, are not usually broken Sincerely, out in the information supplied to Eximbank at time of authorization some JAMES W. HAUSER, Total...... 135.2 115.0 ...... States actually have higher values than shown above; and some have lower Fiscal Manager.• values. ~8...... 18.5 17.8 740 The "Unallocable by State" totals above include transactions for which a 1979 ······································· 49.3 29.4 1,972 U.S. bank or other institution is shown as "exporter of record" (primarily 1980 ...... 26.7 21.3 1,068 discount loans and insurance) but which cover a number of U.S. suppliers who FEDERAL GOVERNMENT ------are not specifically identified to Eximbank.e To ta I...... 94.5 68.5 ...... SERVICE TASK FORCE Pen1"ts'~~.~.=...... 351.5 225.7 14,060 1979 ······································· 556.9 595.8 22,276 1980 ...... 533.0 352.2 21 ,320 HON. MICHAEL D. BARNES ------IN PRAISE OF CETA BUDGET OF MARYLAND Puert: °i:3~ ············ · ······ · ·· · ··········· 1,441.4 1,173.7 ...... CUTS IN THE HOUSE OF REPRESENTATIVES 1978...... 7 .6 28 1979...... 4 .4 16 HON. TOM CORCORAN Tuesday, March 24, 1981 1980 ...... 7 .7 28 Total ...... ---1.3---1-.7-.-... -....- ... -... -.... OF ILLINOIS • Mr. BARNES. Mr. Speaker, several Rhode Island: IN THE HOUSE OF REPRESENTATIVES weeks ago I sent my colleagues a letter mL:::::::::::::::::::::::::::::::::::: m m 2 . ~~ Tuesday, March 24, 1981 inviting them to join the Federal Gov 1980 ······································· __7_7 .5___ 59_ .o__ 3....:.. ·1_oo e Mr. CORCORAN. Mr. Speaker, I ernment Sevice task force, an organi South T~~ina ;···· · ···· ·· ··················· 149.8 130.1 ...... would like to bring to the attention of zation of House and Senate Members worlting to develop a greater under 1978 ...... 1.2 6.1 288 my colleagues a letter I recently re- standing of Federal employee issues. m~ :::::::::::::::::: : :::::::::::::::::::: __i_g ___ l5_1 : ~---~-~~ ~~~:~!r~es~d~~f d~~!g~n·7:~r~~~~~J As task force chairman, I am pleased 39 8 32 9 to report that a number of our ablest South Ti:0ia;······························· · · ·················· budget cuts. It is worthy of special at- 1978 ...... o o tention because it is written by some- colleagues from both sides of the aisle and representing every region of the mL:::::::::::::::::::::::::::::::::::: : ~ : ~ one whose program is scheduled for ------drastic budget rescissions. I am speak- country have joined in the effort to Tenne::~ ····· · ·· ·· ············· ········· ··· · ·4 ·4 ·················· ing of the CETA program, one which insure the kind of Federal workforce 1978 ...... 34.o 30.o 1,360 has recklessly expanded, as has much the American people expect and want. of the Federal bureaucracy, and has As Members consider participating mt:::::::::::::::::::::::::::::::::::: i§ : ~ m m in the task force, I hope they will Total ...... --1-4.-9 --5-3.0-.-...- ... -....- ...- .... lost sightt of the reason for which it Texas: was crea ed-to train the chronically review the variety of services the task force offers. As an information con mL:::::::::::::::::::::::::::::::::::: 1 ·~~~:~ m : ~ m~~ unemployed for jobs in private indus- 1980...... 105.9 413.8 28,236 try. CETA was never intended to duit working to supplement the efforts of the authorizing committees with Total ...... --2.-39-2.4--1•2-55-.4-.-... -....- ...-'-- ... -.... create permanent public service jobs, Utah: but subsequent additions to the origi- timely data and analysis, the task mL:::::::::::::::::::::::::::::::::::: s:l d 25~ nal program do just that. The two force can provide information and re 1980 ...... ___l.4___ 1_.1 ___ 56 areas which will be phased out are sponses to constituent problems and inquiries that otherwise would have Total...... 7.9 6.9 ...... those which provide public service jobs Vir~inia: with no future purpose. They do not required significant staff time. For ex l~~L: :::: :::: :: ::::: ::::::::::::: ::: :::: it~ m 1 ·~~~ contribute to the long-range benefits ample, in connection with its work on 1980 ...... __2_9 .4___ 2_8 .2__ ....:..l.1_76 of the workers or our economy, while the President's hiring freeze, executive Total...... n.2 64.9 ...... elimination of them will help return pay, cost of living adjustments, and proposed reductions in-force, the task Ver~t ...... 0 0 CETA to its primary function and save 1979...... o o millions of taxpayers' dollars. I com- force has already aided Members of 1980 ······································· ___3._1 ___2.9___ 1_24 mend Mr. Hauser and am pleased to fices with memoranda prepared upon Total...... 3.1 2.9 ...... insert his letter in the RECORD: request and sample constituent corre spondence. W~~f.~ '...... 661.4 246.1 26,456 KANE COUNTY CETA SERVICES, 1979 ...... 2,331.2 1,138.0 93,248 Geneva, nz., March 11, 1981. Because Members may also be inter 1980 ...... __3,_36_4.0_---'-l,8_89_.o __ l3....:..4 ,5_60 Congressman ToM CORCORAN, ested in figures reflecting the com Total...... 6,356.6 3,273.1 ...... Longworth House Office Building, bined total of Federal employees and Wisconsin: Washington, D.C. retirees by State, the task force staff mL:::::::::::::::::::::::::::::::::::: :m ~~ : ~ rn:5 ~~ DEAR CONGRESSMAN CORCORAN: I have been has prepared a table providing such in 1980...... 797.4 438.8 31,896 the Fiscal Manager for the Kane County formation. No fewer than 16 States ------CETA program for the past six years. I west ~~/nii...... 1·663·4 886.1 ·················· wrote you in August 1978 concerning the re- have more than 100,000 citizens who 1978 ...... o o o authorization of the CETA Act and my either work or have worked in the 1979...... 6 .6 24 opinions. My views have not changed since Federal Government. California, 1980 ...... ___u ___ l_.1 ___ 40 that time. Maryland, New York, Texas, Virginia, 5108 EXTENSIONS OF REMARKS March 24, 1981 and the District of Columbia have a submit Mr. Pollen's letter for the ational this year under the leadership of quarter million or more Federal em RECORD. Rep. Michael D. Barnes, D-Md. ployees and retirees. Also, I would like to call to the at It is the first caucus to focus on legislation tention of Members who have not yet and executive action affecting federal work I insert the table for Members' infor ers and job installations. mation: had a chance to seriously consider Barnes, who convened the Federal Gov joining the task force two articles ernment Service Task Force late in the 96th TOTAL NUMBER OF FEDERAL EMPLOYEES AND RETIREES BY about the organization which ap Congress, said it will serve as an informa STATE peared recently in the Washington tion clearinghouse and a link between feder Post and the Federal Times. I invite al groups and Capitol Hill. Alabama...... 107,038 Members wishing further information It will follow and supplement, but not du Alaska················································································ 29,122 about the task force to contact our of plicate, the work of congressional author Arizona...... 61,588 fices at 225-9120. izing committees, he said. Arkansas ...... 30,399 The letter from David Pollen and The task force, which attracted 35 mem California...... 501,974 bers last year and 33 so far in the 97th Con Colorado...... 85,820 the two articles follow: gress, has an open membership. But it is Connecuticut ...... 30,420 ROCKVILLE, MD., Delaware...... 8,195 concentrating its recruiting efforts on con District of Columbia ...... 378,316 March 6, 1981. gressmen with high concentrations of feder Florida 131,998 The PRESIDENT OF THE UNITED STATES, al employees in their districts and has a goal Georg~ :: :: : :: :::::::::::: ::: :: :: :::: ::: ::::::: ::::::: :::::::: : ::::::: : : ::: ::::: :::::: 135,448 The White House, of 70 members this year. Hawaii ...... 47,578 Washington, D.C. Staff director Robert Honig said there are Idaho...... 17 ,896 DEAR MR. PRESIDENT: As a senior career 78 House members with 20,000 or more fed Illinois················································································ 156,363 civil servant with more than 17 years of civil Indiana...... 63,051 eral constituents-not including retirees, and military service, I harbor bitter postal workers or the military. More than Iowa...... 27,798 thoughts about my decision to devote my Kansas...... 37,307 150 representatives have federal constituen Kentucky...... 60, 114 professional life to the cause of better gov cies of 10,000 or more, he said. "They are a Louisiana...... 52,176 ernment. sizable and knowledgeable voting bloc," he Maine ...... 14,372 I am not one of those who was promoted added. Maryland...... 240,302 up the civil service ladder on the basis of Among issues on the task force agenda are Massachusetts...... 89,226 length of service. I had a fine career in the Michigan...... 81,446 the administration's hiring freeze and pro private sector which I gave up to enter the posed staff reductions, proposed cost-of Federal government at the supergrade level ::~:::: ::::::::::::::::::::::::::::::::::::::::::::::: :::: :::::::::::::::::::: :~ : ~!j because I saw an opportunity to help this living cuts for retirees, civil service and Missouri ...... 111,010 Hatch Act reforms, universal social security Montana...... 21,872 country improve itself. coverage and affirmative action. Nebraska...... 24,539 Before entering Federal service I had made an enormous investment in education Guiding the group with Barnes are vice Nevada ...... 15,963 chairmen Stan Parris, R-Va., and Vic Fazio, New Hampshire ...... 25,148 and experience. That investment included New .le!sey...... 108,143 time, money, and a great deal of hard work. D-Cal., and executive board members James New Mexico...... 48,699 For the past 17 years I have capitalized on Howard, D-N.J., Tom Lantos, D-Cal., Harold New York...... 243,511 that investment to produce results for my Washington, D-Ill., and Fortney <Pete> North Carolina ...... 68,907 employer, the people of this country. Stark, D-Cal. Parris will serve as the task North Dakota ...... 14,407 force liaison with the Office of Management Ohio ...... 146,069 What is my return on this investment and effort? <1> economic strangulation ·which and Budget and other administration offi Oklahoma...... 84,746 cials. Oregon...... 45,608 has reduced my purchasing power to below Pennsylvania ...... 212,584 the point at which it stood when I first en An aide to Parris said the group hopes to Rhode Island...... 15,639 tered government in 1965 <every other persuade the adlninistration that federal South Carolina...... 55,094 group in the country has received some ad workers will be its best allies in the fight South Dakota ...... 17 ,541 justment for performance and inflation over against waste in the bureaucracy. Tennessee...... 100,657 Staff director Honig, formerly with the Texas ...... 257,091 this same period of time>; and <2> member ship in a group of a few thousand executives Senate Labor Committee, and Jerry Ander Utah...... 65,772 son, who worked with ACTION and state Vermont ...... 6,614 upon which this government depends for re Virginia ...... 268, 733 liable operation, day after day, a group government in Ohio, will lead the efforts of Washington...... 104,268 which is the butt of every conceivable kind a small staff that includes volunteers and West Virginia...... 25,141 of disparaging remark from those who hold student interns. Wisconsin ...... 38,251 office The caucus will be funded by member Wyoming...... 10,953 Mr. President, please take the time to dues <$125) and clerical contributions, plus Grand total ...... : ...... 4,743,751 read the list of specific job titles of those in donations. the senior civil service. You will find there Honig said the task force has had "very the most crucial, complex, and demanding open and extensive" contract with federal Mr. Speaker, the millions of Ameri type of job assignments imaginable: air union and professional groups and is "ex cans who make up a Federal work force target selector, nuclear safety officer, tending its reach" to the research communi force have just as great a stake and social security actuary, research laboratory ty. just as powerful a commitment to the director, etc. We cannot be replaced with Its main activity so far has involved brief safety by the trained, experienced people ing members on federal issues-such as the Nation as the people they serve. That necessary for good job performance unless hiring freeze-through short memos, Honig in recent years their efforts have not salaries are brought into line, i.e. raised to said. been well received reflects a record for the market level of those kinds of skills. Originally formed as a House organiza which this body must bear some re The country can fool itself only so long tion, the group recently amended its bylaws sponsibility. before it pays the penalty of a dry-rotted to include senators. Sen. John Warner, R One senior civil servant, who hap civil service which cannot do the job. If we Va., has joined the caucus and other key pens to be a constituent of mine, wrote do not care, we rot. senators have expressed interest in doing so, to President Reagan on March 6, to We are economic men as much as every Honig said. one else in the country. We are dying on the In a statement, Barnes said he initiated express bitterness and frustration that vine; so are our functions, and so will the the task force last year because "it had is spreading throughout all ranks of government. become very apparent that government Government. David S. Pollen had a Sincerely, would have to re-examine its role and its fine career in the private sector, when DAVIDS. POLLEN. functions. he saw "an opportunity to help this "It seemed imperative to us that Congress country improve itself," and entered [From the Federal Times, Mar. 16, 19811 maintain a balanced approach to reform by reasserting a commitment to the men and the Federal Government. Seventeen NEW HILL CAUCUS SCANS FEDERAL WORK women who, as much as anyone, desire to years later Mr. Pollen found himself PROBLEMS serve the public and achieve public confi one of a "group which is the butt of <By Keith A. Sinzinger> dence." every conceivable kind of disparaging A bipartisan congressional task force on As one of its first public activities, the remark from those who hold office." I federal employee issues has become oper- task force will publish a four-page newslet- March 24, 1981 EXTENSIONS OF REMARKS 5109 ter on a trial basis. It will be available to Texas, 148,000 federal workers, and 66,400 be held in Westchester, Calif. The outside parties by subscription at a yet-un retirees. luncheon honors all police and fire de determined price. Tentative plans call for 20 Task Force members hope to come up partments from nine South Bay area issues a year. with proposals that would spare the twice yearly cost-of-living raises that federal, cities. But it will especially single out [From the Washington Post, Mar. 6, 1981] postal and military retireees get. President two outstanding individuals who have NEW HILL TASK FORCE FOR FEDERAL Reagan has proposed cutting retirees back distinguished theinselves by risking EMPLOYES to one inflation adjustment each year. They their lives in the performance of their <By Mike Causey) plan to work closely with the Senate Gov duties: 1981 Medal of Valor recipients Members of Congress representing 1.2 mil ernmental Affairs Committee and the Newland Hingley, El Segundo police lion jittery taxpayer-voters <who get their House Post Office-Civil Service Committee, officer, and Thomas Kiesewetter, Re paychecks from Uncle Sam> are forming a which have jurisdiction over most federal dondo Beach firefighter. task force to monitor the Reagan adminis postal employe matters. Staff director Honig says the task force Officer Hingley is being honored for tration's plans to cut back federal programs his persistence in pursuit of three bur and whack jobs. hopes to convince Congress that it doesn't Coalition members come in all racial, make sense to beat bureaucrats on the head glary suspects. On March 26, 1980, ethnic, regional and political hues. But they and then expect them to go joyfully about Hingley was writing a speeding ticket have a couple of things in common. They their important business. Politicians some when he heard a man call out that are politicians who would like to keep get times forget that feds are people too, that someone had broken into his house. ting reelected, and they represent people they have the same dislike of red tape and He reported the burglary over his who make up 42 percent of the federal work waste· as other taxpayers! • radio and then noticed a suspicious ve force from states and congressional districts hicle turning onto the street from an where feds are a major political force. Legis alley. With sirens wailing, Hingley lators are most anxious that their constitu FEDERAL BANKING ents, who pump millions of dollars into REGULATIONS pursued the car on his motorcycle. hometown economies, don't wind up on wel The driver sped through the neighbor fare or in unemployment lines. HON. ED BETHUNE hood with Hingley close behind. Object of the Federal Government Service OF ARKANSAS At one point the car suddenly Task Force: To serve as an information net IN THE HOUSE OF REPRESENTATIVES stopped as if in response to the siren. work on issues-jobs, retirement, reorgani Before Hingley could park his motor zation-of interest to U.S. workers, and to Tuesday, March 24, 1981 advise key members of Congress that they cycle, the driver slammed the car into represent lots of federal and postal em e Mr. BETHUNE. Mr. Speaker, I was reverse. Hingley was struck and ployes. Staff director Robert Honig says at pleased to note that my colleague on thrown to the ground, breaking· his least 75 House members come from districts the Banking Committee, Congressman wrist. with 20,000 or more federal workers. The DAVE EvANs, and others introduced a The driver of the car then raced off typical congressional district has 500,000 resolution recently to require Federal as Hingley chased him on foot. The people-men, women and children-so a banking regulators to take a look at car went out of control and crashed voting bloc of 20,000 or more is something capital adequacy requirements for to consider every other November. into a parked car. Hingley confronted Rep. Mike Barnes CD-Md.) chairs the small versus large commercial banks. I the driver and two passengers as they group, which includes Reps. Vic Fazio <D hope the regulators will take heed of got out of the car and ordered them to Calif. ), Barbara Mikulski CD-Md.), Stan our concern that financial institutions freeze. One of the men reached behind Parris and Frank Wolf CR-Va.), Tom Lantos be given a fair shake in terms of bank his back as if to draw a weapon. Hing CD-Calif.), Morris Udall CD-Ariz.), William ing regulations in these highly com ley fired one shot at the suspect and H. Gray CD-Pa.), Roy Dyson CD-Md.), petitive times. the three immediately surrendered. Robert Matsui CD-Calif.), Norman Dicks CD Data from a recent study indicate Wash.), Robert Roe CD-N.J.), Julian Dixon They were taken into custody on sus CD-Calif.), Glenn Anderson CD-Calif.), that banks in my State of Arkansas picion of burglary. Edward J. Derwinski CR-Ill.), Benjamin are subject to different capital re The firefighter's Medal of Valor will Gilman CR-N.Y.), Thomas Bliley CR-Va.), quirements. In fact, the study shows be awarded to Redondo Beach fireman Marjorie Holt CR-Md.),. William Whitehurst that Arkansas banks under $100 mil Thomas Kiesewetter for his quick CR-Va.), and Tony Coelho CD-Calif.). Other lion maintain an average capital-to thinking in the rescue of two potential members are D.C. delegate Walter Faunt asset ratio of 8.20, while larger banks drowning victiIIlS. roy, and resident commissioners A. B. Won have a significantly lower average. I On February 2, 1980, Kiesewetter Pat of Guam and Baltasar Corrada of underst~nd that these requirements Puerto Rico. and two paramedics were called to the The Task Force will begin a Senate re affect the pricing of a banks services breakwater in Redondo Beach's King cruiting drive today. <Sen. John Warner CR and can put a banker at a competitive Harbor. On the scene, he was told that Va.) is the only member so far.> Pamphlets disadvantage. two people had fall en from the explaining the importance of the federal In that this is a national issue, af seawall, and the harbor patrol officer postal-retiree population in each state will fecting our entire banking structure, I suggested that it would take 15 min go to the 99 nonmembers in the Senate, and once again commend the gentleman they should open some eyes. Consider some utes to get a patrol boat on the scene. from Indiana for the introduction of After scaling the seawall, Kiesewet numbers: House Concurrent Resolution 82, and Alabama has 60,000 federal workers and ter saw two figures struggling in the 25,000 civilian federal retirees . . . Califor hope that it will inspire banking regu 57-degree water. Immediately, he dove nia, more than 290,000 federal workers and lators to review this important issue.e into the water toward the drowning 138,000 government retirees . . . Florida, pair. He successfully pulled to shore 80,000 feds and 86,000 retirees ... Illinois, both a 24-year-old man and a 10-year 101,000 U.S. workers and 35,000 retirees ... SOUTH BAY POLICE AND FIRE Maryland, 131,000 workers and 50,000 retir MEDAL OF VALOR RECIPIENTS old boy, who were exhausted and suf ees ... Virginia, 144,000 workers, 66,000 re FOR 1981 . fering from exposure. tirees ... District of Columbia, 207,000 Kiesewetter's quick reaction saved workers, 42,500 U.S. retirees . . . Michigan, HON.ROBERTK.DORNAN the two from almost certain death as 54,000 and 13,000 ... Missouri, 64,000 work- five people have been severely injured, ers, 25,000 retirees ... New York, 157,000 OF CALIFORNIA IN THE HOUSE OF REPRESENTATIVES and one killed, under similar circum feds and 63,000 retirees ... New Jersey, stances. 68, 700 feds and 30,000 retirees ... Washing Tuesday, March 24, 1981 ton State, 61,000 U.S. employes and 33,000 Mr. Speaker, the heroic acts of these retirees ... West Virginia, 15,800 feds and e Mr. DORNAN of California. Mr. brave men are representative of the 6,400 retirees ... Pennsylvania, 126,000 U.S. Speaker, on Thursday March 26, 1981, selfless dedication and devotion to workers and 44,000 retirees ... Massachu the seventh annual South Bay Police duty of their entire departments. I am setts, 56,000 feds and 30,000 retirees, and and Fire Medal of Valor luncheon will extremely proud of the courageous 5110 EXTENSIONS OF REMARKS March 24, 1981 force of individuals who make up the getting weapons from the United States and disagreement with the Reagan administra South Bay fire and police depart China. What is the difference?" tion's "ready-made doctrine" on El Salvador ments.e Other comment gathered by the Associat and his challenge of the administration's ed Press: statement that the Latin American country West Germany-Essen Westdeutsche All was investigating the murder of three WARNINGS ON EL SALVADOR gemeine, liberal: "It was not the communist American nuns and a church worker last countries that created the revolutionary sit December. On the latter issue, he said "If uation in El Salvador. Rather, it evolved as the price of keeping a job is to participate in HON. JOHN J. LaF ALCE a result of social structures to which Wash the continuing cover-up of those responsible OF NEW YORK ington contributed in maintaining." for this barbaric act, that price is too high IN THE HOUSE OF REPRESENTATIVES Britain-The Guardian, liberal: A second for me to pay." Tuesday, March 24, 1981 Vietnam-type war is "not likely and inher White said his firing is a clear signal to ently improbable," and a threat to d~tente career foreign service employees: "Do not •Mr. LAFALCE. Mr. Speaker, the ad is "not on the cards since the Russians have send in reports that conflict with precon ministration's new policy initiatives no desire to be involved," but President Rea ceived theories, and tailor your recommen toward El Salvador have produced a gan's handling of the situation "has signifi dations to what Washington policymakers great deal of controversy both at cantly alarmed America's friends and allies. want to hear." home and abroad. Critics are fearful What, for example, will happen when there His firing is also a clear indication of the that these initiatives are giving the is a crisis which more directly affects the in change in direction of U.S. foreign policy-a wrong signals to right-wing dictator terests of western Europe?" shift from emphasizing the importance of France-Le Monde, independent: Presi human rights to an emphasis on combatting ships throughout the world, by en dent Reagan appears to be testing the mem terrorism. The former policy does not re couraging internal repression and dis bers of the North Atlantic Treaty Organiza quire allegiance from or to the left or the couraging social and economic re tion and the Latin Americans as well as right. The latter forces one to choose sides, forms. Soviet President Leonid Brezhnev. and the choice is not always clear.e While there is abundant evidence Norway-Arbeiderbladet, leftist: "There is that external assistance is being pro widespread fear that El Salvador could vided to the anti-junta forces, the become another Vietnam. The conflict HIGHER LEARNING cannot be solved by military means, only by roots of the civil war lie in decades of political means." exploitation by the ruling class. Denmark-Ekstra Bladet, independent HON. CARROLL HUBBARD, JR. Therefore, the only true long-term so Liberal: "A comparison between El Salvador OF KENTUCKY lution to the civil war is real social and and Vietnam is almost too natural. That ecomomic reforms; and that realiza Reagan and Gaig deny every comparison is IN THE HOUSE OF REPRESENTATIVES tion appears to be missing in the ad no surprise, but their political actions con Tuesday, March 24, 1981 ministration's statements on El Salva tradict these denials.'' Politiken, independent-liberal: "The e Mr. HUBBARD. Mr. Speaker, I am dor. Without those reforms, which United States has a clear right to put a stop sure you agree that we must balance President Duarte of El Salvador has to Cuban influence by ... halting weapons the need for national fiscal responsi publicy supported, military assistance supplies to the guerrilla front. But it is also bility with the importance that higher would be counterproductive and inef the United States' duty to force the junta to education has for our American fective. stop its repressive policies and to open the system. As the House deals with mat In two thought-provoking editorials way for far-reaching economic and social re ters affecting higher education, I in its March 15 and 16 editions, the Ni forms." would like my colleagues to take note agara Gazette has explored some of In Thailand, the conservative, English of the views of my constituent, Leslie the aspect of the new policy on El Sal language Bangkok Post also attacked the Reagan administration, saying America's Ann Freels of Cadiz, Ky. Mr. Speaker, vador. The first, entitled "El Salvador friends and allies were dismayed because it I submit the following: Role Viewed Dimly," emphasizes the was paying "not a flicker of attention to As a student of senior standing in a Ken hostile response which this new policy other trouble spots" and was "pouring good tucky institution of higher learning, I am has encountered in foreign circles. The money to prop up what the democrats have becoming increasingly alarmed at the finan second, entitled "Robert White's called a corrupt and ruthless junta." cial status of our nation's colleges and uni Warnings," details what happened to a versities. I realize the nation's economic member of the foreign service when ROBERT WHITE'S WARNINGS crisis and give all my support to the refor he courageously refused to adopt the Governments, especially those headed by mation of this crisis. However, I would like new line on El Salvador. I hope that people who have all the answers, don't like to express my concern about any adverse af my colleagues will heed the warnings to hear criticism from within of what has fects that efforts to relieve our present eco been stated as official government policy. nomic situation might have upon education. expressed in both of these editorials. Criticism can lead to questioning of that I urge you to consider the importance of The editorials follow: policy and that can lead to the impression educated Americans in reviving our present EL SALVADOR ROLE VIEWED DIMLY that the government may not have all the economy and furthering the American The Reagan administration's support of answers it claims to have. cause. I also encourage you to vote favoura the ruling junta in El Salvador came in for So people in government who criticize the ble concerning any issue that supports our strong criticism in leftist and liberal Europe policies of superiors don't stay in govern American educational system. an newspapers last week. Many expressed ment very long. Ways are found to silence Sincerely, fears of another Vietnam war; some disput the critics and one simple way is to fire LESLIE ANN FREELS•• ed the American charges that the Soviet them. Government employees worry about Union and its allies were responsible for the job security just like anyone else and so, fighting in the little Central American aware of the consequences, those same em ECONOMICS OR POLITICS? country. ployees tend to keep their mouths shut. In West Germany, the left-leaning West Robert White is an exception. He has, in faelische Rundschau of Dortmund dis no uncertain terms, told the Reagan admin HON. JOE MOAKLEY missed assurances from Secretary of State istration that it is pursuing a dangerous OF MASSACHUSETl'S Alexander Haig that the United States course in El Salvador. He has also dared to IN THE HOUSE OF REPRESENTATIVES would not get involved in another Vietnam. criticize the government of his host country "The beginning of the escalation in Indo for covering up a murder plot. So Robert Tuesday, March 24, 1981 china was also marked by the arrival of White, a man in a position to know what's e Mr. MOAKLEY. Mr. Speaker, the American advisers," the paper pointed out. going on and a man in a position to know Congress is presently in the midst of a Denmark's B.T., and independent how to shape U.S. government policy, has Conservative tabloid, said "President Rea been fired as ambassador to El Salvador. painful but very necessary process of gan's accusations of foreign arms deliveries More than that, he has been ousted from reducing the Federal budget. No mes to the guerrillas are precisely like the Soviet the foreign service, ending a 25-year career. sage has come across any clearer from leaders last year excused the invasion of Af White told a House committee the other last year's election than that the ghanistan by claiming that the rebels were day that he was fired for two reasons: his growth of the Federal budget must March 24, 1981 EXTENSIONS OF REMARKS 5111 slow down, and the economy must im cuts, President Reagan defends them as eco decided he had to make real domestic cuts prove. nomically essential. He and his aides argue to allow for a huge rise in defense spending. Unfortunately, the distinction that that only by cutting across the board can And he naturally avoided targets among seems to have disappeared under the they get the budget under control and open those likely to be part of his constituency. the way for economic growth. Every interest His budget proposed a 20 percent tax on cloak of that mandate is the distinc has to share the burden, they say. The only fuel for private and corporate airplanes, tion between what is economics and exception is the "truly needy." which would have cut down on an enormous what is purely political. There certain Those are the arguments. The facts, as subsidy. But when the owners and pilots ly are economic reasons for cutting they have begun to emerge in Congressional screamed, the proposal was withdrawn. the Federal budget, but most of the hearings, are different. It is clear now that They were Reagan voters. decisions as to where the cuts should the Reagan cuts would hurt people who by None of this is surprising. Ronald Reagan come are very political decisions. any definition are needy-and would spare and David Stockman can say, fairly enough, And, in keeping with long Republi juicy targets among the better-off. And the that they have no political hope of chang can tradition, the cuts are coming at decisions on what to cut were not so much ing the budget if they take on the pilots and economic as political. the Medicare recipients and the pensioners. the exclusive expense of the bulk of Consider this amazing fact: The United But it is sad if a fiscally reformist Adminis American citizens-middle- to low States Government now spends about $1 bil tration loses a chance for reform in outra income ·people-while those privileged lion a year on health payments to elderly geous subsidies and in programs that are few in the upper-income brackets are persons who have annual incomes of more really out of control. left untouched. Not only will they than $30,000. Is the Reagan Administration It would be nice, anyway, if Stockman & suffer virtually no cuts in Federal pro proposing any cuts in or ceiling on those Co. were less pious about the budget they grams that benefit them, but they will payments to the non-poor? No. The figures hammered together in a few weeks. They on Medicare recipients and their incomes sound sometimes as though they thought it also be the major beneficiaries of the appeared in a fascinating story by David E. administration's proposed tax cuts. had been handed down from Mount Sinai. Rosenbaum in The New York Times. About It is a human effort, and a highly political Worse yet, for all the sacrifices they 1 million Americans over 65 have incomes one. are being asked to make, it does not above $30,000, he wrote. On average they The realities of the Reagan program, as look as though the American people get $1,000 a year in Medicare payments. Of they become clear, also caution against will even get the one thing they said in course many rely on that money. But in a rushed Congressional action. Under the November that they wanted-an econ world of financial limits they are not "truly guise of economic theory, the Administra omy in control. Instead, what is being needy." tion is trying to push through a good deal of proposed is a program that even Peter The same story told about a husband and ideology: not just in cutting this budget or wife, both disabled, who have seven children that but in eliminating whole programs re G. Peterson, Secretary of Commerce and survive on public assistance. Richard in the Nixon administration and now peatedly authorized by Congress, such as Schweiker, the Secretary of Health and legal services for the poor. chairman of Lehman Brothers Kuhn Human Services, was asked on a television Loeb calls "too much of an all-or-noth program what would happen to them under Senator Daniel Patrick Moynihan warned the Reagan program. They "wouldn't have the other day that the budget process was ing gamble, too much of a high-wire being perverted. "We're changing 30 years act." Mr. Peterson also warned that if to worry about being cut," he replied, be cause they were "a classic case of ... the of social legislation," he said, "in three days even a few of the administration's as truly needy." of budget markups."• sumptions about unemployment, infla But Administration budget experts said tion and interest rates are wrong, the the family would lose at least $6 a week for deficit for the fiscal year 1982 could each child in school, under Reagan propos DEATH OF A VA HOSPITAL readily climb to $100 billion, the larg als to cut food stamps for children getting est in history. free school lunches. Assuming four children HON. FRANK J. GUARINI The Democratic House does not wish in school, the family would lose $24 a week to be obstructionist, Mr. Speaker, but in food stamps: a painfully significant OF NEW JERSEY neither will we stand idly by while amount for people who scrimp to get along IN THE HOUSE OF REPRESENTATIVES on beans and macaroni. social and economic progress that has That family, and others like it, would lose Tuesday, March 24, 1981 been achieved slowly and painfully not only food stamps. The Reagan budget over the last half century is swept e Mr. GUARINI. Mr. Speaker, we are proposes cuts in fuel assistance for the poor, all aware of the need to make govern aside on the whim of a few millionaire grants to the states for welfare, Medicaid members of Mr. Reagan's "kitchen and other programs. Administrative spokes ment more efficient. Many of us have cabinet," and of assorted other young men fence with the figures, but there can preached that waste must be eliminat administration gurus who may be no longer be any doubt that some truly des ed, and that the only way for govern bright but who have little conception perate Americans will be worse off. ment to survive and prosper is for of the responsibility of government. Public assistance programs are not sacro each level, local, county, State, and No less a conservative commentator sanct. But there is a striking contrast be Federal, to work together to insure tween those budget cuts and ones that that each dollar is properly spent. than George Will observed sometime President Reagan chose not to make-a con ago that: Under the old definitions a project trast in both equity and amount. was judged by the need for the project It is politically difficult and morally ques For example, there is widespread, nonpar tionable to "reform" laws, rules, incentives tisan concern about the growing cost of ad and the proven cost effectiveness of and disincentives to which powerful inter justing Social Security and Federal pension the solution proposed. However, now, ests and vulnerable lives have conformed, payments annually to reflect increases in under the guise of economic austerity, and on which they depend. A large state is the Consumer Price Index. This week Re we have a movement to end some proj rendered conservative in the sense that it publican senators proposed that the pay ects even though they meet the strict must face the fact that society is not a Tin ments be pegged instead to prevailing wage est tests of need and cost effectiveness. kertoy that can be tinkered with casually. rates. That change would save $3.8 billion a year-more than twice the $1.8 billion the One such project is the proposed VA Finally, Mr. Speaker, I would like to Administration wants to cut from food hospital in Camden, N.J. The Reagan share with my colleagues an excellent stamps. administration is asking Congress to article by Anthony Lewis of the New When the senators took the idea to the rescind the fiscal year 1981 appropri York Times, March 19, 1981, which President, he rejected it out of hand. He ated money that would make the Vet spells out the need for Congress to had made a campaign promise, he ex erans' Administration hospital in critically review the Reagan budget plained, not to change the cost-of-living in Camden a reality. In the next 2 proposals before us: creases. The reason, in short, was political. When Reagan campaigned, he did not talk months I hope that you will listen ECONOMICS OR POLITICS? about cutting food stamps or making most carefully to my New Jersey colleagues <By Anthony Lewis> of the other substantive reductions he has about why approval of this rescission BosToN, March 18.-When challenged on now proposed. He spoke of saving what had would be a vote for waste and ineffi the human impact of his proposed budget to be saved by ending "waste." In office he cient government. </p><p>79-059 0 - 1984 - 60 - (Vol. 127 Pt.4) 5112 EXTENSIONS OF REMARKS March 24, 1981 For several years now the New ed assurance that the Federal Govern For his commitment to the commu Jersey delegation has worked with the ment would deliver its piece of this in nity of Dumont and to the enhance Veterans' Administration to bring a novative partnership plan." ment of the quality of his profession, geriatric medical center to south Working with the VA in pursuit of he has earned our deep respect and Jersey. Most recently, this work has this plan, the State of New Jersey ap sincere gratitude. been advanced by my colleague JIM propriated $9 million for a new medi I am proud to extend to Chief Tobin FLORIO of Camden. The Veterans' Ad cal education building in Camden and my congratulations on a job well done ministration found that there were Cooper Medical Center rebuilt and and my very best wishes for happiness 300,000 veterans in south Jersey and reequipped its building at a cost of $45 and good health in retirement.e 700,000 veterans in the south Jersey million. The State medical school and Philadelphia metropolitan region. De the Cooper Medical Center were to mographic studies show that the stand with the Veterans' Administra IN HONOR OF CALIFORNIA'S number of veterans over the age of 65 tion Hospital as a triad in the research COUNTY AGRICULTURAL COM will double in the next 10 years, and and care of the geriatric veteran. MISSIONERS that by the year 1990 veterans will This project is urgently needed. The comprise 60 percent of the U.S. male veterans of Pennsylvania and New HON. VIC FAZIO population over 65. . Jersey need it, the national research OF CALIFORNIA As you can see, the planning for this community on geriatrics needs it, the IN THE HOUSE OF REPRESENTATIVES hospital was not done in a vacuum. business community of South Jersey Tuesday, March 24, 1981 The Veterans' Administration had needs it, the health firms which have long come to realize that with the spent millions of dollars preparing for •Mr. FAZIO. Mr. Speaker, agricul aging of the veterans population there the center need it, and all of us who ture is California's No. 1 industry. In would have to be a shift in the types have spoken against waste and the 1979, the fertile soils of California sup of care provided. With congressional need for efficient government need it ported over 200 different crops, which support the VA began a program to as an example of what government at were valued at over $14 billion and designate national geriatric research all levels can do in conjunction with shipped throughout the United States and education centers, of which private enterprise. and foreign countries. Weather, water, Camden was one. and good farmers are some of the But now if President Reagan and Do not defeat this showcase of gov major factors contributing to Califor the OMB have their say there will be ernment promise. The life of more nia's bountiful crops. One other prime no geriatric hospital in south Jersey to than a hospital hangs with the rescis factor in California's agricultural suc serve veterans. In a small but impor sion vote, we are voting on the health cess has been the presence of Califor tant hearing conducted by Congress of a community and our veteran popu nia agricultural commissioners. man FLORIO the Veterans' Administra lation.e California County Agricultural Com tion stated that the need is still there missioners will celebrate their first 100 for this hospital. They also stated that CHIEF WILLIAM TOBIN years during their annual convention there were no studies showing this ap HONORED FOR SERVICE to be held in May 1981 in Santa Cruz, proach to be anything but necessary Calif. No other State in the United for the future. In fact, the VA did not States has the agricultural commis learn about the cancellation of the HON. HAROLD C. HOLLENBECK sioners system, which has been in ex project until after OMB informed OF NEW JERSEY istence in California since 1881. It is Congressman FLORIO. IN THE HOUSE OF REPRESENTATIVES fitting that the California agricultural What we must make fellow Members Tuesday, March 24, 1981 commissioners be recognized and hon of Congress understand before they ored for their contributions to the vote on this rescission of funds is what e Mr. HOLLENBECK. Mr. Speaker, well-being of California and our will be lost if this project is not com Chief William Tobin, who has com Nation. pleted. The Federal Government has piled 35 years of distinguished service As prescribed by State law, the already spent $7 million of the $75 with the Dumont Police Department, county agricultural commissioner is million appropriated for this project. is retiring from his position. I wish to responsible for the local administra The lack of a geriatric hospital serving join the members of his force and his tion of statewide enforcement pro the needs of veterans will force expan law enforcement colleagues in recog grams which promote and protect the sion of current facilities that will run nizing the achievements of his distin agricultural industry of the State and far greater than the $75 million cost of guished career. protect the public health, safety, and the specialist Camden unit. Chief Tobin, a lifelong resident of welfare. In fulfilling this responsibili But the loss of Government funds Dumont, joined the department in ty, the objectives of the county agri does not stop there. The loss of the 1946 and rose through the ranks to his cultural commissioner are: Camden VA facility will mean the loss present position in 1974. He is a recog To serve the citizens of their respective of 10 years of planning the urban re nized authority in forensic investiga counties and of the State of California by development of Camden around the tion and the laws of search and seizure protecting and promoting the agricultural health care industry. The Federal and rules of arrest. industry in the interests of health, safety, Government will now have to step in In addition to fulfilling his responsi and welfare; and to maintain a viable and provide urban redevelopment system of production and delivery of an bilities for the safety of the citizens of abundant supply of wholesome food and funds instead of stimulating private his community, Chief Tobin has main fiber to domestic and export consumers. sector initiatives to urban renewal. For tained active involvement in the you see, Mr. Speaker, against the Bergen County Chiefs Association Ex In order to achieve these objectives promises of the VA hospital various ecutive Board, the New Jersey Chiefs, and to maintain the integrity of the private and public agencies have and the International Chiefs Associ purpose of the country agricultural become involved in an ever-expanding ation. He is a member of the New commissioner's office, it is the policy program to serve the health care Jersey State Identification Officers of each agricultural commissioner to: needs of New Jersey and revitalize the Organization and of Police Benevolent 1. Protect the agricultural resources and area. To quote from a review of the Association Local No. 83. For many the environment of California in a manner that will result in the greatest longterm Camden VA Geriatric Medical Center, years, Chief Tobin has instructed benefit to all; "Since 1972 the private sector and young officers in law enforcement pro 2. Preserve local determination in admin public sector in New Jersey has acted cedures at the Bergen County Police stering statewide laws and regulations, and decisively and in good faith on repeat- Academy. insure that all interagency and joint policies March 24, 1981 EXTENSIONS OF REMARKS 5113 provide adequate flexibility to accommodate STATEMENT BY THE AFL-CIO elations of "subversive, anti-socialist forces" overriding local concerns and resources; EXECUTIVE COUNCIL ON in the Polish unions. POLAND In recent months the Soviet Union and its 3. Protect the agricultural industry, the satellites have launched a massive and slan public, and the environment through en derous propaganda attack on the AFL-CIO forcement of existing laws and regulations HON. EDWARD J. DERWINSKI because of its assistance to the Polish work and the support of new legislation only OF ILLINOIS ers. We will be no more intimidated by these when existing laws are inadequate; IN THE HOUSE OF REPRESENTATIVES predictable tactics than the Polish workers 4. Protect the agricultural industry and have been. Tuesday, March 24, 1981 The Polish economy is on the verge of the environment from the introduction and e Mr. DERWINSKI. Mr. Speaker, the bankruptcy, the result of mismanagement spread of damaging pests by the judicious by the Polish government and the ineffi use of regulatory authority; Executive Council of the American Federation of Labor & Congress of In ciencies inherent in the Soviet-imposed eco 5. Abate pest infestations based on statu dustrial Organizations <AFL-CIO>, nomic system. Yet , Poland's economic trou tory authority when it is in the public inter during its mid-winter meeting in Bal bles are cited to counter Solidarity's de est and welfare; mands for a 40-hour week, better wages and Harbour, Fla., adopted the following lower prices. 6. Encourage and promote the suppression resolution on Poland. I enter it in the Because we share the aspirations of Po of pests by biological, cultural, mechanical, RECORD for the information of the land's workers for a better life and for an chemical or any combination of these meth Members. economic climate more conducive to Solidar ods and use regulatory authority to sup STATEMENT BY THE AFL-CIO EXECUTIVE ity's success, the AFL-CIO is prepared to press pests by the interruption of biological COUNCIL ON POLAND, FEBRUARY 17, 1981, support an extension of Western credits to cycles; BAL HARBOUR, FLA. Poland, but only under conditions that safe The historic achievement of the Polish guard the rights and interests of the 7. Protect people, animals, property and Workers in creating and sustaining the first workers. the environment from exposure to harmful free and independent trade union move Poland's debt to the West already pesticides by the enforcement of all laws ment in the communist world has excited amounts to more than $20 billion, the larg and regulations which provide for the ap the deep admiration of free trade unionists est of the East bloc countries. To ensure re propriate, safe and efficient use of essential everywhere. payment, the international banking commu pesticides; Since its birth in the strikes of last nity has in the past pressured the Polish August, Solidarity's membership has rapidly government into policies of austerity, which 8. Protect consumers from fraud and de swollen to ten million-three times the have been borne by the workers in higher ception and assure equality of competition membership of the Polish Communist prices and longer work weeks. The exten between producers and shippers in the mar Party. With the collapse of the old official sion of credits or rescheduling of Poland's keting of fruits, nuts, vegetables, eggs and "unions," abandoned by the workers, Soli debt could intensify the exploitation of honey by the uniform enforcement of mini darity now incontestably represents the Polish workers and threaten their hard-won mum standards of quality, packaging and la workers of Poland. This triumph is a tribute gains. beling established for these commodities; to the courage, skill and discipline of Lech The AFL-CIO will support additional U.S. aid to Poland only if it is conditioned on the 9. Encourage development of alternate Walesa and the Solidarity leadership, and the valiant working people of Poland. adherence of the Polish government to the disposal methods for substandard commod The AFL-CIO salutes the brave men and 21 points of the Gdansk Agreement. Only ities which will prevent waste of these re women of Solidarity, and pledges full sup then can we be assured that Polish workers, sources; port of their cause in whatever ways they through their free unions, will be in a posi 10. Publish an annual report of each coun deem useful. tion to defend their gains and to struggle ty's agricultural production and production The Executive Council is proud to note for a fair share of the benefits of Western facilities to establish a basis for the logisti that the Polish Workers Aid Fund, estab aid.e cal support of the agricultural industry and lished by the General Board last Septem ber, has raised over $200,000, which is being compile special reports to other agencies UNITED STATES GIVES THE when required; and used, in accordance with Solidarity's wishes, for the purchase of much-needed office EDGE TO FOREIGN FIRMS 11. Provide without political bias, effec equipment and supplies. This Fund, built tive, uniform and objective administration from contributions from every level of our of the responsibilities and functions over trade union movement, demonstrates the HON. GEORGE C. WORTLEY which the County Agricultural Commission strong solidarity of American workers with OF NEW YORK er has jurisdiction. the struggle of their Polish brothers and sis IN THE HOU~E OF REPRESENTATIVES ters. The agricultural commissioners are The Polish government continues to Tuesday, March 24, 1981 today enforcing legislation of the basic throw up obstacles to Solidarity. The gov • Mr. WORTLEY. Mr. Speaker, as the quarantine sections that have stood ernment has still not lived up to its side of Congress considers American industry for over 90 years. It has been the en the 21-point agreement signed in Gdansk on and foreign competition, we must ex forcement of these quarantine laws August 31, 1980. Media censorship has not been eliminated; Solidarity has been denied amine not only the theory but also the that has helped to keep California ag the means of publishing a weekly magazine; reality of present circumstances and riculture free from most of the major provincial chapters of Solidarity have been future action. insect and plant diseases found in harassed by authorities; the government Chris J. Witting has studied the other parts of the world. has refused to publish trade union legisla problem and proposed a solution. He is The work of the agricultural com tion; members of KOR <the Social Self-De the chairman and chief executive offi fense Committee, allied with Solidarity) are cer of Crouse-Hinds Co. in Syracuse, missioners is to be commended as their being persecuted; the government has presence, dedication, knowledge, pro dragged its feet in implementing the agree N.Y., and is a constituent of mine. fessionalism, and hard work has in ment on free Saturdays and a 40-hour work Mr. Witting recently made his argu sured an adequate food supply for mil week. ment and recommendation in a com lions of people and a healthy economy These actions can only fuel worker unrest. mentary, which follows: The Polish Communist Party appears intent [From the Washington Star, Mar. 4, 19811 for the State of California. Our Na either on provoking a confrontation or on U.S. GIVES THE EDGE TO FOREIGN FIRMS tion's residents as well as citizens of undermining Solidarity's position. other nations are the beneficiaries of Adding to the tension, the Soviet Union <By Chris J. Witting) an amazing supply of agricultural and its Warsaw allies have conducted a re Like most American businessmen I am a products grown throughout the year lentless campaign of intimidation aimed at staunch supporter of free trade. But I am frightening the Polish workers. Some 20 also disturbed by the glut of foreign goods in California. Califomia, her farmers, Soviet divisions have been amassed along that has invaded our shores. Sixteen per and agricultural commissioners can be the Polish border, while the Soviet propa cent of the bicycles, 23 per cent of the cars, proud of the first 100 years of serv ganda apparatus fires verbal threats, at 88 per cent of the black and white TV sets ice.e tacks on Solidarity's leadership, and denun- and 99 per cent of the radios bought by 5114 EXTENSIONS OF REMARKS March 24, 1981 Americans last year were made in foreign EUROPEAN RULES mended complete repeal of the offset. factories. At the moment nobody knows exactly They reason that UI and pensions This happened because we have the what "international standards" means. But both compensate for services rendered lowest tariff barriers in the world; because it is a fact that many of the international at an earlier date; risks covered are production costs, including labor, are often standards now in existence reflect European not duplicative and protection is ap far lower overseas; and because other gov practices. Under the GATT code, then, ernments zealously protect, favor and subsi American manufacturers are being asked to propriate for each. The offset is not dize their industries-while the U.S. govern abide by standards familiar to our competi consistent with the changes in manda ment takes a perverse pleasure in making tors and foreign to us. tory retirement law. The modified life as costly as possible for its businessmen. To be sure, there is that "wherever appro offset will be extremely difficult for Our government appears to have only the priate" escape clause. For example, we don't the States to administer. Offset legis dimmest perception of the realities of inter have to abide by international standards if lation would be best left to the individ national trade. It continues to act out of a they undermine national security, threaten ual States. In fact, the complete offset bias that may have been admirable in the health and safety, contribute to deceptive of the prior law was conformed· to by trust-busting days of Teddy Roosevelt, but practices, or affect the climate or geographi only 14 States-8 of which were condi is totally out of place today. In its obsession cal conditions. But we all know that excep with monopolistic practices, it burdens tions are the sugar coating 'that makes it tional on the Federal legislation. American industry with costly rules and reg easier to swallow the pill. The plain fact is In my home State we are confronted ulations, while our overseas competitors en that those exceptions can be interpreted as with a unique problem. The Oregon courage the creation of trading companies loosely or as stringently as officials under Legislature only meets biennially, and and cartels. fire desire. our constitution prohibits State stat FTC STEPS IN RETALIATION ute predicated on Federal law. Thus It doesn't take much imagination to fore The current attempts of the Federal our retired-unemployed are still sub see our trading partners clamoring for the ject to the full offset provisions of the Trade Commission to regulate the way in right to bid on public projects in this coun which American industry sets its standards old Federal statute. Should Congress try on the basis of international code. They delay until next year-when the en serve as a crucial case in point. Under our surely would not hesitate to remind our gov capitalistic system most industry standards ernment that it agreed to enforce GATT. forcement complications 1µ1d inequi are set by voluntary groups free of govern And they will suggest that if the American ties of the modified offset become too ment control. In the electrical industry, for government doesn't live up that treaty, then obvious to ignore-the further modifi example, Underwriter's Laboratory and the they will be forced to take retaliatory steps cation or repeal of the unemployment National Protection Association, both non by raising additional tariff and nontariff profit organizations, generate standards pension offset Oregonians would again barriers of their own. suffer unnecessarily. that govern the design, production and in All GATT signatories share one point in stallation of products. common. They're all interested in the lucra The original pension-unemployment It is because of those standards that <from tive market that reaches from the Atlantic offset was formulated to eliminate a an electrical standpoint) the federal govern to the Pacific Oceans and runs from the perceived abuse of the UI program. It ment appears to have only the dimmest per Great Lakes to the Gulf of Mexico. It's the was found that some persons were un ception of the realities of international richest market in the world, as rich as all employed and pensioned by the same trade. American residential, commercial and the European markets combined. Anything firm and were not available or willing industrial buildings are the safest in the they can do that will make it easier for to work-they were truly retired. world. But here comes the FTC with pro them to penetrate this market-without posed rules that would govern the way These persons should be disqualified unduly abandoning their own protectionist from benefits by the State UI division standardmaking bodies go about their task. policies-they're bound to do. In addition to being costly and complex, American industry need not stand by because they are not av.ailable and most of the proposed FTC rules would be helplessly and watch its hardearned stand willing to work. A · blanket provision counter-productive. If adopted, they would ards wither away. We can buttress our own that penalizes older workers who work stifle innovation and result in a decrease in codes, enforce them, improve them and in from necessity and are subjected to in the output of new standards. troduce new ones as technologies emerge. voluntary unemployment-nearly The FTC says it is afraid voluntary stand What's more, we have it in our power to 5,000 in my State alone-is a poor ard-making bodies behave in an arbitrary raise international standards to our sights method to penalize those few who way that serves vested interests and re and expectations. But to do that we need at strains domestic trade. In short, it wants to the very least the understanding and coop abuse the system.e make sure that the giants of industry do not eration of officials in Washington. Instead run roughshod over small and moderate of trying to subvert our voluntary standard sized firms by controlling the standard making process, they ought to be taking THE FLOOD OF ILLEGAL ALIENS making process. steps to support and strengthen it.e MUST BE CONTROLLED But as the chief executive of a moderate sized electrical manufacturing company, I HON. ROBIN L. BEARD am not in the least concerned about my ELIMINATE FEDERAL UNEM- larger competitors seizing the standard PLOYMENT-PENSION OFFSET OF TENNESSEE making regulations to the detriment of my IN THE HOUSE OF REPRESENTATIVES company. But I am seriously concerned HON. JAMES WEA VER about the erosion of American standards in Tuesday, March 24, 1981 my industry to the point where foreign com OF OREGON •Mr. BEARD. Mr. Speaker, today I petitors can flood the domestic market with IN THE HOUSE OF REPRESENTATIVES am introducing, along with Mr. cheap and inferior goods. Tuesday, March 24, 1981 COELHO, the Immigration and National Right now American standards that govern everything from circuit breakers to •Mr. WEAVER. Mr. Speaker, I am Security Act of 1981, a bill which chicken coops are under attack in the name today introducing legislation that offers a comprehensive approach to of free trade. A few years ago the 85 nations would completely eliminate the Feder one of this country's most serious · who are signatories to the General Agree al unemployment-pension offset. The problems: the increasing flood of il ment on Tariff and Trade <GATT> agreed in controversial full unemployment-pen legal aliens into America. principle to eliminate standards that serve sion offset was modified by Public Law It is now estimated that there are as barriers to trade. Early last year Con 96-364. Unfortunately, these changes anywhere from 5 to 10 million illegal gress passed the Trade Agreement Act of did not go far enough. Most UI claim aliens living in America, many holding 1979, which <among other things) includes the GATT code on standards, and the presi ants receiving social security benefits jobs. In the last several years the dent signed it. will still be subject to the pension Border Patrol has apprehended over a This law says that wherever appropriate, offset because of the base-year em million illegal aliens per year attempt governments and the private sector must ployer contribution provisions. ing to enter the country. Since those abide by international standards-which The National Commission on Unem apprehended usually represent only a now supersede domestic ones. ployment Compensation has recom- fraction of those actually entering, the March 24, 1981 EXTENSIONS OF REMARKS 5115 enormity of the problem is easily dis And the American taxpayer and un to limit legal immigration to the target set cerned. employed should not have to be the by Congress in 1975, and exceeds average What are the implications of this victims of other countries' population immigration for the past 70 years. This level silent invasion? The problem can be also exceeds the total immigration for per explosions. manent residence of all other countries in broken down into several areas: My bill, which is identical to one the world combined. In the economic area, illegal immi being introduced by Senator HUDDLES SECTION 5: ASYLUM gration clearly exacerbates unemploy TON, would do four things essentially: ment, especially among America's it would increase enforcement of the This section provides first that an appli poor. The presence of millions of il cant for asylum show that the qualifying immigration laws, prohibit the know persecution or fear of persecution is due to legal aliens who will work cheap and ing employment of illegal aliens, place conditions prior to departure from his or work scared is a temptation to many. a ceiling on the total amount of legal her homeland, and not due to the actual employers who would rather hire ille immigration, and offer amnesty to cer fact of departure alone. This section also de gals than Americans. I reject the argu tain aliens with sufficient community fines the "entry" into the U.S. of an appli ment that American citizens will not ties and residence. cant for asylum, as a means of returning the accept the jobs illegal aliens will. If I want to emphasize that no unfair level of procedural rights afforded an there were no illegal alien labor force, burden is being placed on employers to asylum seeker to the same level as is used in working conditions and wages would other civil immigration proceedings. And serve as enforcers of the law. When third, this section requires the drafting of have to be attractive enough to draw the act is fully in effect, the responsi contingency plans to handle future large American citizens. Moreover, I believe bility of employers will be no more groups of asylum seekers, including the es the huge unemployment rate among than is currently required to check out tablishment of reception centers outside the America's poor youth is directly relat the validity of a credit card via tele U.S. ed to their inability to find entry-level phone call-in. The effect of this language will be to jobs because of competition from mil Nor does the act establish some form make asylum more difficult for some aliens lions of illegal aliens. of national identity card system. It to achieve, but will reduce the adjudication Illegal aliens do not just hold agri burden on the government and the support merely seeks to use the social security costs for local and state governments from cultural sector or entry-level jobs. number as a means for employment. asylum procedures, such as those now being They are increasingly found in highly The act also does not affect any experienced in Florida. paid construction and manufacturing present or future bracero type of pro SECTION 6: PAROLE LIMITATION positions. In fact, former Secretary of gram for those sectors of the economy The Attorney General's parole authority Labor Ray Marshall states that if the where such a program is needed. was or-iginally intended to be used in indi millions of illegal aliens were removed Following is a section-by-section vidual emergency situations when it was from the work force, the American un summary of the bill and an article by necessary to bring an alien into the United employment rate would drop to 4 per William Raspberry of the Washington States temporarily. However, this authority cent immediately. Why should Ameri Post on the harmful effects of illegal has been distorted by prior attorney gener can workers have to compete with the immigration on America's poor and als who have admitted large groups of world's poor millions for jobs in their aliens. This provision would restore the jobless-entitled "Their Tired, Their original intent of the authority. own country? Poor-Our Jobs." That illustrates another cost of il The bill and article follow: SECTION 7: RECORD OF ADMISSION legal immigration. Every percentage Under specified circumstances, those il THE IMMIGRATION AND NATIONAL SECURITY legal aliens who qualify would be permitted point of unemployment costs the tax ACT OF 1981 payers billions of dollars in unemploy to obtain permanent resident status. This ment compensation, food stamps, and SECTION 1 would be accomplished by amending an ex This section entitles the legislation as the isting section which granted the same status other payments. We have also learned Immigration and National Security Act of to illegal aliens who had entered the coun recently that illegal aliens increasingly 1981. try prior to June 30, 1948. are receiving Government benefits, SECTION 2 The requirements would include continu such as public housing and medical ous residence since January 1, 1978, regis Provides a preamble to the Immigration care. and Nationality Act for the guidance of tration within six months of the implemen In the environmental area, our rate courts and others in interpreting the act's tation of a secure Social Security card of illegal immigration gives our coun provisions. The preamble recognizes the system, financial sponsorship similar to that try the highest rate of population required of applicants for legal immigration, need for a generous immigration policy, but a showing of undue hardship if forced to growth of any industrialized nation. emphasizes also the need for controlled and leave the U.S. and admissibility in accord We will never have environmental sta limited immigration. ance with Section 212<a>. bility in this country as long as our SECTION 3: STRENGTHENING OF BORDER PATROL SECTION s: FAIR HIRING PROCEDURES population grows that fast, because Requires expansion of the Border Patrol This section would prohibit the knowing the demands on our dwindling supply to at least 6,000 officers, and provides for employment of illegal aliens. It would pro of open land and natural resources are the procurement and use of the most vide graduated civil and criminal penalties intensified. modern equipment and support available. It for violations. Authority would be given to Uncontrolled immigration is also a also provides the authorization for a new, more secure alien identification card. The the Attorney General, Secretary of Labor threat to the national security of this effect of this section would be to increase and Secretary of HHS to implement a country. When Fidel Castro can decide the resources available to enforce the immi gradually phased-in program. to dump with impunity tens of thou gration laws. In the first phase, an applicant for em sands of undesirables on us, our na ployment would be required to sign an affir SECTION 4: NUMERICAL LIMITATIONS mation that he or she is eligible to work in tional sovereignty is violated. Secure Establishes a flexible ceiling on legal im the United States. The affidavit could be borders are an integral part of sover migration admissions. The ceiling is set at made part of the already existing W-4 with eignty. No other industrialized coun 350,000, including all immigrants. In an holding form each employee must already try in the world allows its borders to emergency, and only after consulting with fill out. This easily and rapidly initiated be violated on such a massive scale as Congress, the President may "borrow" ad procedure, along with increased enforce the United States. Nor do I accept the missions from the next year in case of emer ment procedures envisioned by Sec. 3, would argument that we in America must act gency, and/or may disregard internal statu provide immediate relief from the flood of as a safety valve for those countries tory limits below the overall ceiling. illegal alien labor while the more extensive The President must report to Congress national fair hiring procedures in Phases which cannot-or will not-moderate each year the projected number of admis Two and Three are implemented. their population growth. As long as sions, and the Secretary of Labor must Phase Two would be an institution of a foreign nations can use America in report an opinion to Congress on whether verification system to improve the security that fashion, they have no incentive to that level of admissions will affect the U.S. of the social security numbers now required secure control of their population. workforce. The effect of this section will be to be used by all applicants for employment. 5116 EXTENSIONS OF REMARKS March 24, 1981 Such a system would include the initial new life in this nation, we are suddenly A REAL SUPPLY-SIDE TAX CUT cross-checking of the existing social security made to face the harsh but subtle reality of data for obvious errors, such as that of sev racism in international relief and refugee eral employees having identical numbers. assistance. HON. JOHN J. LaF ALCE Further, there would be a check of social "The United States is not only paying for OF NEW YORK security numbers submitted by new employ European and Russian refugees to come to IN THE HOUSE OF REPRESENTATIVES ees for fraudulent or erroneous numbers. the United States, but paying the cost of Tuesday, March , 81 This latter verification could be accom their immigration to Israel and to other 24 19 plished through a system whereby an em Middle East and European countries. It is e Mr. LAFALCE. Mr. Speaker, one of ployer could simply call in a prospective em ironic that in the. midst of the concern the most disreputable aspects of the ployee's social security number and receive about the cost of the recent incoming of u .S. tax code is the marriage penalty almost instant verification. Initially, this Cuban refugees, one suggestion was that $10 tax on marri·ed worki·ng couples. This would possibly have to be done on a random million· of the already paltry aid to the basis. If the number were found to be inval countries of the African continent, where penalty imposes an inequitably higher id, the prospective employee would be re more than one-third of all refugees are to be tax burden on married working cou quired to correct the problem before his em found, would be devoted to Cubans." ples than on single taxpayers, which ployment would be confirmed. But while Wilson, a St. Louis attorney, means that families are being penal If the Employment Security Administra was calling for equitable treatment among ized for their married fidelity. tion of the Department of Labor, with 2,600 refugees, she also expressed her fear that The elimination of this penalty offices nationwide, were incorporated into the influx of all refugees will excerbate the would not only serve the interests of the system, the verification and correction already dire employment problems of black process probably would be expedited. When Americans. fairness, but it would also have an im- a social security number was valid, the em The recent riots here, she said, were a mediate and substantial impact on the ployer would receive a transaction or au warning that "if an accommodation is not supply side of the economy. Married thorization code, showing that the number soon made between refugee accommodation working couples are the most likely to was valid and that the employer reported as and domestic unemployment, there is going plow tax relief back into investments required. to be increased tension and trouble. and savings, because they are the Phase three would involve the issuance of "While we say, 'Give us your tired, your households with a long tradition of a new and more secure social security card poor,' to those outside," she said, "we say saving for the proverbial rainy day. which would be based on positive proof that also: give jobs to those inside so that they the individual is a citizen or legal resident. will receive the refugees as fellow humans Yet, this real supply-side tax cut has The new card would have some type of and brothers and sisters, rather than as been relegated to the amorphous unique identifying element, such as a serial competitors for scarce jobs in a shrinking second tax cut bill by the administra number or photograph. The data from employment economy. tion, while it proceeds with its Keynes- these cards would again be submitted for "We need an immigration and refugee ian across-the-board tax cut. verification when an individual applied for a policy which can control the flow of immi- Nancy s. Barrett, an economist with new job. However, there should be adequate grants so as to better match the demand for CAB, has written an excellent case for facilities by this time to verify immediately labor and avoid unnecessary competition for an immediate end to the marriage tax every new applicant for employment. entry-level jobs that are so desperately needed by our youth." penalty in an article for the Washing- SECTION 9: FEES AND CHARGES If there is one overriding theme to this ton Post in its March 19 edition, enti This section would clearly establish the authority of the Attorney General to pre convention, it is the desperate economic tiled "Working Couples Could Use the scribe a uniform schedule of fees and plight of the bottom-of-the-barrel black Break." I hope that all of my col charges for immigration related procedures, Americans. And their situation is growing leagues will remember her arguments which would help defray the cost of the new worse as the result of entry-level competi- as we approach the omnibus tax bill enforcement procedures. tion of Cubans, Southeast Asians, Haitians later this year. and Mexicans-including the uncounted The article follows: hordes of illegal aliens. CFrom the Washington Post, July 4, 19801 And even while NAACP officials are ago- WORKING COUPLES COULD USE THE BREAK 'THEIR TIRED, THEIR POOR-OUR JOBS nizing over the problem, other Americans In view of the Reagan administration's <By William Raspberry) are calling for blanket amnesty for the "un- strong commitment to the supply-side phi MIAMI.-Black Americans are suffering a documented workers"; already here-often losophy of tax reduction, it is curious that severe case of mixed emotions with regard on the ground that they are willing to take its 1982 budget proposal passes up a poten to the tidal wave of Cuban refugees that the dirty, demeaning and low-paid jobs that tially powerful supply-side opportunity: low threatens to inundate this south Florida the American home-grown poor are unwill- ering the marginal income tax rate for a city. ing to take. married couple's second earner. Also known On the one hand, there is bitter resent Roger Conner, executive director of the as the "marriage penalty," taxation on the ment over the fact that the Cubans have. Federation for American Immigration basis of a couple's joint income imposes a been treated much better than Haitian refu Reform <FAIR> has met that argument with much higher marginal <and average) rate of gees who also want to come to America. On two key points. First, a lot of Americans are tax on the second earner than if the tax the other, refugees of all sorts and colors working at those jobs, which means that the were computed on the basis of that person's are viewed as unfair-potentially dis illegal aliens represent unfair competition, individual income. Lowering this tax would astrous-competition to America's own particularly since they are frequently will- provide a much stronger impetus for supply struggling blacks. ing to work at less than legal wages. side growth than across-the-board tax cuts, Margaret Bush Wilson, chairman of the Second, by no means are all the aliens em- adding both to saving and to work effort. board of the NAACP, played both these ployed at sub-pat jobs. "Illegal aliens have According to supply-side theory, a tax cut themes in her Monday night keynote ad been found working as painters on the can actually reduce inflation as it increases dress to open the organization's 71st annual Statue of Liberty, earning union wages, and real growth if it provides an incentive for in convention here. as construction workers on the District of · creased work effort and saving. First, re She questioned the logic, accuracy and Columbia's subway, earning a minimum of garding work effort, common sense-not to fairness of classifying the fleeing Cubans as $16,000 annual salary,'' Conner told the mention a myriad of statistical studies-sug "political refugees" <as though economic Select Commission on Immigration and Ref- gests that second earners have far more dis hardship were no part of their motivation> ugee Policy meeting last December in San cretion than single earners in the choice of and fleeing Haitians as "economic refugees" Antonio. whether or not to work and for how many <as though political repression were no part "I know of no one who argues that Ameri- hours per week. If a reduction in marginal of theirs). can workers should have to compete with tax rates is to have any impact on work But the racial overtones of U.S. immigra the world's labor force for jobs in their own effort at all, it is likely to have a far greater tion policy go far beyond the Caribbean. country." effect on second earners than on any other "There are eight million refugees in the But while Conner discusses the problem in group. Yet these individuals, under the cur world, three million of them on the African terms of legal equity, Benjamin L. Hooks, rent system, have the highest marginal tax continent," Wilson told convention dele NAACP executive director, talks about it in rates of any group. gates. "But while America is outreaching to terms of its explosive potential, a warning It is noteworthy that the labor force par Asia and to Europe to invite refugees to re that takes on special urgency in this city so ticipation rate of Swedish women increased ceive the benefits and economic support for recently tom by racial strife.e by roughly 10 percentage points following a March 24, 1981 EXTENSIONS OF REMARKS 5117 change from joint to individual taxation. In Cleveland Cathedral Latin High ed shipbuilding plan or a promise to Sweden, however, the majority of these School and won the title of all-scholas take definitive action. The industry married women work part-time, suggesting tic quarterback. While at Xavier, the will need time to recover from its diffi that the supply-side effect was to increase work effort while permitting wives to com Toledo Touchdown Club named him culties. bine paid employment with child care and as the most outstanding player in Yet, through all the black clouds other family responsibilities. Ohio. In 1941, Mutryn led the State in looming ominously over the shipbuild Turning to the impact on saving, again scoring and took the Xavier football ing industry, I am happy to report there is overwhelming evidence that many team to a 9-1 record. Cincinnati foot that there is at least one bright star households can afford to save only if there ball fans will always remember which is demonstrating what a is a second earner. Median earnings of two Mutryn as an exciting player who healthy industry can do for this earner married couples are about $25,600, gained all-American honors for 2 con compared with $18,100 for single-earner Nation and its economy. That star is couples. The only way most families have secutive years before he left Xavier. the Bath Iron Works. been able to keep up with inflation since the After serving in the Armed Forces Situated on the southern coast of early 1970s has been increasing labor force for 2 years, Chet Mutryn began his Maine adjacent to the Kennebec participation and hours worked of second pro football career in 1946 when the River, the Bath Iron Works shipyard, earners. Declining productivity combined Cleveland Browns signed him and sent with its current team of aggressive, with the oil drain <as skyrocketing prices of him to play in Buffalo, where he highly capable, and farsighted manag imported oil have transferred income to stayed 4 years. Mutryn earned all OPEC nations) would have meant a huge ers, and its labor force of some 6,000 drop in family living standards had this American Football Conference honors dedicated and highly skilled shipbuild supply-side response not occurred. in 1948 and 1949 and missed only one ers, has achieved construction mile When incomes fail to keep up with infla game in 5 years. When Mutryn retired stones unprecedented in modem ship tion, most people attempt to maintain living from pro football in 1950, he ranked building history. standards by reducing savings and even fourth among all the pros of the 1946- Taking a shipyard with a backlog of going into debt. Obligations such as a mort 59 era in average yards gained per $125 million in "unfavorable" con gage and car payments must be met. And carry. tracts in 1975, the BIW management families who have not responded to infla Chester Mutryn now owns a real tion by having a second earner at work will team, headed by Mr. John Sullivan, save less than two-earner families. Thus, a estate business in Garfield Heights, chairman of the board and chief ex tax policy that encourages a supply-side re Ohio, which community I am proud to ecutive officer of Bath Iron Works, sponse by families burdened with inflation represent. He has been active in the and supported by the aggressive and will mean greater overall savings, as fewer affairs of many civic groups and is cur long-ranged policies of Mr. Byron Ra families need to dip into bank accounts or rently vice president of the Cleveland daker, chairman of the board and go into debt to meet their needs. Society of Poles, an organization made chief executive officer and Mr. Eddy Clearly, the Reagan administration wants up of professionals and businessmen Nicholson, president and chief operat to minimize the tax loss associated with any of Polish descent. supply-side policy. <Alternatively, of course, ing officer of the Congoleum Corp., the aim could be simply to relieve excessive I wish to congratulate Chester turned the shipyard into a highly suc tax burdens on everyone-probably a very Mutryn and his wife, Isabelle, and two cessful operation with a backlog of sound policy.) But for real supply-side bang daughters, Barbara and Deborah, on nearly $800 million worth of contracts for the buck, tax cuts should be targeted his induction into the Xavier Universi today. where they are most likely to encourage ty Athletic Hall of Fame. All of Cleve Having been awarded the lead ship saving and added work effort. Reducing land and Ohio is proud of you, Chet.e contract for the FFG-7 class guided taxes on second earners is clearly such a policy. missile frigate, and subsequently 17 And there are alternative ways to accom A SHIPBUILDING SUCCESS additional frigate contracts, Bath Iron plish it: either a tax credit against part of STORY Works has responded by delivering its the second <lower) income, as proposed in first 6 ships an average of 16 weeks the Carter budget, or optional individual fil ahead of contracted schedules and at a ings for two-earner married couples, as sug HON. DAVID F. EMERY projected savings to the Navy, and the gested by Rep. Millicent Fenwick. Neither OF MAINE American taxpayer, of nearly $30 mil proposal would increase taxes for single IN THE HOUSE OF REPRESENTATIVES earner families. And such a tax reduction lion. would avoid costly windfalls to individuals Tuesday, March 24, 1981 Mr. Speaker, no other shipyard at whose supply-side response is likely to be •Mr. EMERY. Mr. Speaker, I believe this time can boast of such a tremen negligible.e I would be quite accurate in stating dous performance record. In fact, so that the American maritime industry, noticible has the success story at Bath been lately, that I am happy to share CHESTER MUTRYN'S INDUCTION like its sister industries, the U.S. auto motive industry and the U.S. housing with my colleagues the following arti INTO XAVIER UNIVERSITY cle which appeared in the March 6 edi ATHLETIC HALL OF FAME industry, has been engulfed in a se verely depressed state of affairs for tion of the Journal of Commerce. the past several years. Despite the problems of our mari HON. MARY ROSE OAKAR time industry, the Congress and the OF OHIO During this time, new ship construc tion orders, both Navy and commer American people can take heart with IN THE HOUSE OF REPRESENTATIVES cial, have been extremely low, further the performance of the Bath Iron Tuesday, Marc.Ji 24, 1981 exacerbating the perilous state of our Works. I believe the mangement and •Ms. OAKAR. MT. Speaker, on Feb naval forces and the dwindling capa work force at the Shipyard deserve a ruary 28, 1981, Chester Mutryn, bilities of our Merchant Marine. hardy round of applause for a job thus former all-football pro from Cleve The Reagan administration's pro far well done. land, Ohio, was inducted as an original gram for rebuilding.our Navy is a posi BATH IRON WORKS: A SUCCESS STORY charter member into the Xavier Uni tive step which I believe should be BATH, MAINE.-The chairman of Bath Iron versity athletic hall of fame. Out of supported by the Congress. I am confi Works Corp. says three things are responsi the thousands of Xavier students who dent that the new administration will ble for the firm's turnaround from an ailing work equally hard to reestablish our shipyard with a backlog of $125 million in have attended Xavier since the turn of "unprofitable" contracts in 1975 to a this century, Chester Mutryn was Merchant Marine over the next 4 money-making operation with a $767 mil among the first elected to Xavier's years. However, the ills that currently lion backlog today. hall of fame-quite an honor. plague our shipbuilding industry The factors are modem management, ex Chet Mutryn earned a name for cannot be cured overnight. Nor can tensive planning and a good work force, said himself in football when he played at they be corrected by a simple project- John F. Sullivan Jr., a former chemical en- 5118 EXTENSIONS OF REMARKS March 24, 1981 gineer who became president and chief ex FFGs-were delivered a total of 62 weeks Only one other black person, Wayne ecutive officer of the Gongoleum Corp. sub early and a total of more than $28 million Embry of the Milwaukee Bucks, has sidiary in June, 1975 and chairman earlier under contract. become a vice president of a National this year. Bath Iron Works has 12 more of the FFGs In a wide-ranging interview at his office to deliver, the chairman said, "We're target Basketball Association team. this week, Mr. Sullivan also voiced optimism ing delivering them 17 weeks early-each," While Wes Unseld successfully com on the future of the American shipbuilding he said. . pleted his career as a player and pre industry under the Reagan administration, Mr. Sullivan, a native of Pasco, Wash., pares to reach new successes as a man warned that abolition of federal ship-con gives a great deal of credit to his Maine agement official, he also maintains his struction differential subsidies could "de work force. commitment to contributing his time stroy" the industry, and predicted the U.S. "This is a shipbuilding and shipping com and energies to help others. Navy will divide contracts for six new munity and there's a great deal of pride, he guided-missile frigates between Bath Iron said. "When the ships go down the (adja For his work in Baltimore, and in Works and Todd Shipyards Corp. cent Kennebec> river, there's a great deal of our Nation's Capital, on behalf of the The backlog of ship orders at the Bath pride, and this makes a great difference." sick and the needy, the United Black yard is the largest the 97-year-old ship The yard has been heavily oriented to Fund will honor Wes Unseld on builder has had since World War II and in Navy construction in the last few years, but Wednesday, March 25 at the Capital dollar terms, possibly its largest ever, com company spokemen said the sought-for mix Center. pany officials said. But six years ago, it was is half-and-half Navy and, merchant marine. And on Sunday, March 29, in the a different situation. In the backlog now are two tankers, a final home game of the season for the At that time, Mr. Sullivan said, the yard's dredge ship and a 643-foot, ocean-going backlog consisted of contracts that lacked barge. Bullets, which has been designated as proper cost-escalation clauses and thus were Contracts soon will be let on six more of "Wes Unseld Appreciation Night," a costing the yard money. Bath's work force the FFGs, however, and Mr. Sullivan said portion of the proceeds from that numbered about 2,500. Productivity was he hopes the yard gets its "fair share." New night will go to two of the concerned minimal. The absenteeism rate was high. York-based Todd Shipyards in recent weeks people programs to which Wes Unseld Then Mr. Sullivan, the executive vice has called for a fair share for its Los Ange gives his service in love-Baltimore's president of operations at Hayes-Albion, a les and Seattle yards, too, warning that a Kernan Hospital and Children's Hos manufacturer of automotive products was move by the Navy to let the contracts on pital in Washington. named president of Bath. the basis of price alone could badly damage Todd. I want to join the United Black STRONG MANAGMENT The warnings underline a difference Fund and the many organizations and "The thrust of what I did was build a brought out in the independent Kaitz individuals in paying tribute to Wes strong management team, develop modern report issued a year ago, Mr. Sullivan said: Unseld, an extraordinary disciplined management practices and implement Bath produced FFGs for about $53 million them," Mr. Sullivan said. athlete who is also an extraordinary each, while Todd produced them for about man of dedicated devotion to the well That included the use of management by $68 million each. objectives, a system in which top executives But, he said, "I doubt very much if <the being of his fell ow human beings. and their subordinates talk together, set in Navy) would award all of them to one yard. I have attached information regard dividual and specific objectives each year, If they did it strictly on price, yes. But it's ing Wes Unseld's career and the com then monitor performance against them. probable the Navy will want yards on both ments of the Bullet organization in an Mr. Sullivan said he took the system a step coasts." nouncing his retirement. I know you further, monitoring performance on a He admitted, however, that "as a taxpay will join me in wishing Wes Unseld monthly basis and adding additional objec er, I think we should buy ships where we tives. and his family God's blessings and get the best buy for our money." much success in the years ahead. He also stressed long-range planning, in The Bath chief said he is optiinistic at the cluding a 10-year plan for facilities and a 10- future for both his yard and the American WES UNSELD ANNOUNCES RETIREMENT year marketing plan. It takes five to seven shipbuilding industry in general. Wes Unseld, a man whose name has years for a Navy ship, for example, to move "I think the Reagan administration means become synonomous with Bullets' basket from the inception stage to final planning what it says. I think they are going to in ball, announced he will retire at the end of stages, he said, and it is "better not to wait crease the size of the Navy, increase the size the 1980-81 season. till the sixth year" to begin gearing up a of the merchant fleet, and encourage <ship "It's time to quit," Unseld said explaining shipyard. building) rather than discourage it, as the his decision. "I've had problems with both Mr. Sullivan said he also encouraged com previous administration did," he said. of my knees this year. Even with the offsea munication "up and down, and it had a pro The future of federal construction differ son, I don't know if I could play next season found effect." A cost-reduction program, in ential subsidies, which help make up the or not." which employees receive awards for sugges cost difference between building ships in The man who everyone equates with tions that save money, was begun. An American yards and in cheaper yards over bone-jarring picks and fullcourt outlet energy management program and a strong seas, is not in doubt "from what I've heard," passes, has missed 14 games this year be apprenticeship program were established. Mr. Sullivan said.e cause of knee problems. He had major sur Heavy use was made of industrial engineers gery on his left knee during the 1973-74 for the design of greatly expanded facilities. season and played in just 56 games that MASS PRODUCTION TRIBUTE TO WES UNSELD year. Unseld's right knee has bothered him Emphasis was put on a smooth "mass pro this season and forced him to miss three of duction" style flow of work. The yard builds HON. WALTER E. FAUNTROY the last seven contests. ships in individual modules that contain OF THE DISTRICT OF COLUMBIA "Wes has been the heart and soul of the some 70 percent of the needed equipment, Bullets' franchise from the first day he rather than building and launching a shell IN THE HOUSE OF REPRESENTATIVES stepped onto the court in 1968," Bullets' of a ship first. Tuesday, March 24, 1981 President Abe Pollin said. "He has truly The results included an eight-fold increase been a credit to the game of basketball. I've in productivity and a drop in absenteeism. e Mr. FAUNTROY. Mr. Speaker, I am never known a finer human being in my The work force grew to about 6,000 and ap very proud to bring to the attention of life." plications still pour in-some 3,500 since my colleagues that one of America's The 6-7 Unseld was chosen by the Bullets Jan. 26 alone, according to company offi outstanding athletes is being saluted on the first round of the 1968 NBA draft, cials. And the bottom line came not only in and honored for his distinguished con the second player selected overall, after productivity, but in a performance record tributions to professional basketball twice earning All-American honors at the that is the yard's proudest boast. and the communities where he lives University of Louisville. "Since that time <1975), we have not been and works. I speak of Wes Unseld, who He was an instant success! In his initial late on any ship, Navy or commercial," Mr. NBA season, Unseld was chosen both Sullivan said. recently announced his retirement as Rookie-of-the-Year and the League's Most Nor, he added, has the yard gone over a player for the Washington Bullets Valuable Player. He and Wilt Chamberlain budget. Three merchant ships were built basketball team. He will remain with are the only players to have won both the and delivered a total of 37 weeks early. The the organization as a vice president, an same season. Unseld was also selected to the yard's first five guided-missile frigate- achievement of special significance. NBA All-Star Game, his first of four ap- March 24, 1981 EXTENSIONS OF REMARKS 5119 pearances. The Bullets did well too, improv being asked to gamble on the conflicting THE KEYNESIAN ATTACK ON ing their record from 36-46 the previous judgments of military dictators, leftist guer PRESIDENT REAGAN'S TAX year to 57-25. rillas, CIA counter-intelligence agents, presi STRATEGY AND DR. CRAIG The Bullets, who had never experienced a dential advisers, and- a plethora of lesser ROBERTS DEVASTATING RE winning season before he arrived, have re noble figures, each intent upon maintaining corded 10 plus-.500 seasons since. Unseld a partisan image-be it the threat of Com SPONSE has been a major force in sending the Bul munist insurgency or the banner of a na lets to 12 consecutive playoff appearances. tionalist revolution. HON. JACK F. KEMP He was voted the Most Valuable Player of My reservations should not be miscon the 1978 NBA Championship series that OF NEW YORK strued as the misgivings of a post-Vietnam IN THE HOUSE OF REPRESENTATIVES brought Washington its first sports title in isolationist, quite the contrary. I whole 36 years. Tuesday, March 24, 1981 In his 13-year NBA career, Unseld has heartedly believe the United States must achieved numerous accomplishments. He have a fundamental role in world affairs, e Mr. KEMP. Mr. Speaker, one of the ranks sixth all-time in rebounding; is one of but a fundamental role in what direction, finest minds among the neoclassical only a handful of players who have both and to whose benefits? By what criteria do critics of Keynesian theory belongs to scored 10,000 points and pulled down 10,000 we say "nay or yea" to a regime seeking aid Dr. Paul Craig Roberts, Assistant Sec rebounds; ranks third all-time among play of our arms? I'm not satisfied with the an retary of the Treasury for Tax Policy. off leaders in rebounds and is the Bullets' swers I have received, more importantly, I'm Recently in the Wall Street Journal, all-time leader in games played, rebounds, not satisfied with the information forth minutes played and assists. coming from this Administration. In the ab Dr. Roberts outlined the fundamental Although he's a man who doesn't discuss sence of hard facts, facts incontrovertibly flaws of the Keynesian theory-on such things, Unseld's achievements off the free of partisan viewpoints, the American which the Keynesian critique of Presi court are monumental also. In 1975, he was public is being treated to a fractured vision dent Reagan's economic program is the first recipient of the Walter Kennedy of Latin America. based. Citizenship Award, given annually to the How, I wonder, is it possible to pursue an Roberts shows why the Keynesian NBA player or coach making the greatest aggressive foreign policy in Latin America, criticism falls because the Keynesians civic contribution to his community. A past with any degree of understanding, when we have failed to answer President Rea Vice-President of the NBA Players' Associ have yet to understand and confront the ation, he began working as a volunteer at gan's deceptively simple question: Kernan Hospital soon after joining the Bul problems facing the over 19 million His "Why is it inflationary when you lets and has continued that association panics presently living in the United States? spend what you earn, but not infla through the years. Recently, Unseld was In the United States the average income of tionary when the Government spends named to the Mt. St. Mary's College Board most Hispanics is one-third to one-half that what you earn?" A change in tax rates of Trustees. Much of his free time is devot of their non-Hispanic counterparts, while does not change the amount of money ed to assisting his wife, Connie, at the Un the percentage of Hispanic families living in the economy, and does not change seld's Developmental Center for Children below poverty level is nearly four times the aggregate demand. Therefore, the which she opened last winter. national average. In terms of unemploy ment, the number of unemployed Hispanics notion that President Reagan's cut in WES UNSELD is nearly double the national average. How marginal tax rates could be "inflation Sixth all-time in rebounding. can this Administration presume to under ary" is nonsense. Third all-time in playoff rebounding. stand the complex problems facing Latin Moreover, the classical economists One of only two players to have won Americans in El Salvador, when they have have shown how tax cuts do work Rookie-of-the-Year honors and the NBA yet to comprehend the problems facing His only by changing people's incentives. Most Valuable Player the same season. panics here at home? Cutting marginal tax rates, the only Played in 12 playoffs; the second highest By the 1990's, the U.S. Census Bureau es number of any center in NBA history. kind of tax which people face in the Played in four All-Star Games. timates Hispanics will be the second largest real world, increases the incentives to The Bullets' recordholder in games, min minority in the United States. Reverend work and invest. Tax cuts which do utes played, rebounding and assists.• Mario Vicaino, head of the Roman Catholic not lower marginal rates have no Church's Southeastern regional office for effect but to produce a deficit. Hispanics in Miami brings home the point This is not the first time this cri of the size of the Hispanic population in tique has been leveled against the LATIN AMERICA this country in an unconventional way. He argues that the U.S. is the fifth largest His Keynesians. But it is remarkable that panic country in the world, in terms of pop no Keynesian theorist, to my knowl ulation after Mexico, Spain, Argentina and edge, has publicly answered this devas HON. ROBERT GARCIA Colombia. tating critique, much less refuted it. OF NEW YORK Our priorities for dealing with the world Until the Keynesians turn themselves IN THE HOUSE OF REPRESENTATIVES are skewed and fundamentally flawed. to this flaw in their theory, their argu Where is the logic in providing military as ments, exemplified by the editorials of Tuesday, March 24, 1981 sistance to a repressive and corrupt Salva the New York Times and the Wash e Mr. GARCIA. Mr. Speaker, I would doran military junta, when at home His ington Post, amount to so much hot like to enter into the CONGRESSIONAL panics are disenfranchised, ostracized, and air. RECORD an article I recently wrote for generally shut-out by an ignorant and fre I commend Dr. Roberts' excellent ar El Diario-La Prensa, a New York quently belligerent Anglo world? ticle to my colleagues. Spanish language daily, on March 24, Foreign and domestic policy must be con [From the Wall Street Journal, Mar. 19, 1981. structed in a manner that reflects the inter 19811 ests of the people it is affecting; a long-term KEYNESIAN ATTACK ON REAGAN'S LATIN AMERICA THE MR. perspective is not only imperative it is an PLAN The presence of American military advis obligation the Reagan Administration owes <By Paul Craig Roberts> ers in Central America does not reflect what to this and future generations. The commit I consider to be a perceptible response to ment to democracy, I believe, must begin at Every morning when I pick up my New Latin American realities. home, not in our neighbor's backyard, and York Times I expect to read in Steven Supposition, innuendo, and an avalanche certainly not at the point of the gun. Rattner's reports that I have abandoned of contrary evidence have confused and supply-side econmnics. After all, he even re muddied the issues at hand. Simply stated, The winning of "hearts and minds" is an ported that Jack Kemp himself had aban what have we to gain, besides an escalation important goal, a goal that needs to be pur doned his own bill in disagreement over an in rethoric and violence, by increasing our sued both here and abroad. The question is, inconsequential detail. military commitment to El Salvador; fur can we afford to aggressively confront an in Mr. Rattner has established himself as thermore, what are the implications for our creasingly volatile Latin America while we leader of a corps of reporters trying to drive future involvement throughout Latin Amer passively ignore the festering problems of permanent wedges into any crack of dis ica? The American people I believe, are America's growing Hispanic community?e agreement that policy discussion inevitably 5120 EXTENSIONS OF REMARKS March 24, 1981 generates. The object is to isolate the If you are a Keynesian, however, you People will learn also that supply-side eco supply-siders. Last week Hobart Rowen, a don't think about any of this, because in the nomics doesn't have a "Phillips Curve"-the Washington Post commentator long identi Keynesian model tax cuts have only a single idea that you can't have higher economic fied with the liberal Keynesians, said it purpose-to increase demand. Therefore, growth without higher inflation. To get a wouldn't be long before supply-side econom Keynesians focus only on the question: "Phillips Curve" you have to mix together ics is back on the shelf. Critics sense that if · What are people going to do with the tax re demand stimulus and supply disincentives they can blunt and deflect the intellectual funds that they get back on their existing like high marginal tax rates and inadequate cutting edge of the Reagan program, the earnings? The answer is that what they do capital cost recovery. Thus when The Wash rest of it can gradually be chopped up with with them is much less important than how ington Post charges that President Reagan's the ..familiar interest-group and income-re they respond to the changed incentives. If "scenario lies far beyond the limits of any distribution arguments. savings, investment and work effort do not past experience in this country or any other But in spite of all the journalistic smoke, respond to higher after-tax rewards, then industrial democracy" it is wrong for two the supply-siders still have on their side the the policy will have no effect on the econo reasons. It ignores the policy context of the Office of Management and Budget, Treas my, and the downside risk is simply: no past experience in this country, and it over ury, and the President-not exactly what change. looks Japan. In 1974 the Japanese had a you would call a hunkered-down position. Keynesians, however, should have their real economic growth rate of -0.2% and an And the Reagan tax bill is still very much . question answered, even if it is irrelevant. inflation rate of 24.5%. Five years later real alive. The problem isn't in controlling the Polls indicate that people plan to use more growth was 6.1% and inflation was 3.6%. policy but in controlling the explanation of than half the tax refund to build savings Now that's what I would call a real rosy it. and pay off debts. But suppose they spend it scenario. President Reagan's is a piker by While supply-siders have been busy all. Keynesians would say that total spend comparison. Do the "prestige press" and making the policy, stalwart representatives ing has increased and, therefore, the tax congressional Democrats really believe that of the status quo like Walter Heller and cuts are inflationary. But the government is the U.S. economy can't perform even half as other leftover economists from a bygone era spending less, so how has total spending in well as the Japanese? Supply-siders see have been busy explaining the policy in creased? nothing to be gained from writing off Amer Keynesian terms. When you hear supply At this point the critics claim that Con ica at the start.e side economics interpreted by a demand-side gress will cut taxes, but not spending. economist, it sounds scary indeed. Surely then the tax cut would be inflation ary. No, not unless the Federal Reserve EXPLAINING INFLATION REFUGEE CRISIS IN EAST prints more money. AFRICA The policy will be "actively inflationary," A tax cut without a spending cut can warns Otto Eckstein of Data Resources Inc., result in a budget deficit, but a deficit is not an economic consulting firm. Supply-side inflationary unless the Fed monetizes it. If HON. HOW ARD WOLPE the Treasury finances the deficit by selling analysis, chimes in Mr. Heller, is a "fairly OF MICHIGAN tale." The true story, he charges, is that bonds to the public, it recovers by borrowing supply-siders are unleashing the wolf of in what it handed back in tax refunds, and IN THE HOUSE OF REPRESENTATIVES flation to devour the country. Because both total spending does not change. That's why Tuesday, March 24, 1981 these demand-siders have been so thorough supply-siders insist that it is not necessary ly associated with the policies that have in to offset a tax cut with a budget cut in • Mr. WOLPE. Mr. Speaker, on undated us with inflation, people think they order to avoid inflation. The supply-side ra March 19, 1981, the Foreign Affairs must be inflation experts. tionale for the budget cut is to prevent the Subcommittee's on Africa and Human It is nevertheless a fact that neither Mr. increase in private savings from being used Rights and International Organiza Eckstein nor Mr. Heller has ever been able up financing the growth in government tions jointly sponsored a thorough and to explain why it is inflationary when spending. Supply-siders want the increased comprehensive hearing on the African people spend their own money, but not savings to go into private capital formation when the government spends it for them. and not into government bonds. refugee crisis. The problem of African Yet it is easy enough to understand why Tax cuts are associated in people's minds refugees is a most serious and shock supply-side tax cuts aren't inflationary. All with higher demand and inflation because ing one which has received very little you have to do is to stop thinking like a that is the way it works in the Keynesian attention by our public officials and Keynesian. policy to which they are accustomed. In the the media. In light of the magnitude The administration wants to cut personal Keynesian policy the purpose of a tax cut is of the refugee crisis I would like to income tax rates, not in order to give people not to alter incentives but to create a draw to the attention of my colleagues more money to spend, but in order to in budget deficit. The Fed is than pressured to monetize the deficit in order to increase ag my opening remarks before the For crease incentives to earn more taxable eign Affairs African Refugee hearing: income. Today people are taxed at unprec gregate demand. But since the Reagan ad edented high rates on any additional income ministration is not cutting taxes in order to OPENING STATEMENT OF HON. HOWARD that they earn, either from work effort, stimulate demand, it will apply no pressure WOLPE, CHAIRMAN, SUBCOMMITTEE ON AFRICA saving or upgrading their skills. The inevita on the Fed to monetize debt. Today, the Foreign Affairs Subcommit ble results of little reward for extra effort Indeed, it is applying the opposite pres tee's on Africa and Human Rights and In are worsening work attitudes, high absen sure, which has confused some of the ternational Organizations are jointly hold teeism rates, reluctance to work overtime Keynesians in the Fed. Your policy will ing a hearing on the refugee crisis in Africa. and to assume risks, and the lowest personal have no effect a tall, they say. The fiscal This represents the first of the Africa sub saving rate in anyone's memory. stimulus you are providing with the tax cut committee's hearings on the Administra For the supply-side policy to work, tax will be offset by the tight monetary policy tion's Fiscal Year 1982 Foreign Assistance payers don't have to respond to lower mar you are urging on us, and the policy will be request. ginal tax rates by giving up vacations, going a wash. We hope the Fed catches on sooner During the past year, public officials and on a double-shift and saving all of their rather than later that we are not trying to the media have focused an enormous income. When you have a work force of provide a fiscal stimulus. amount of attention on the plight of the more than 100 million people, small individ PERSONAL VS. BUSINESS Indo-Chinese refugees, the Haitian boat ual responses result in a large aggregate Once people catch on to the supply-side, people and, more recently, the Afghan refu effect. If the average number of hours they will realize that the old categories of gees in the Near East. Very little attention, worked per week rises from 35 to 35.5, GNP personal versus business tax cuts don't however, has been devoted to what has rises by $24 billion. If the absentee rate de make any sense. The proposed reduction in . become the world's most serious and shock clines by one-half percentage point, GNP the personal income tax rates is a business ing refugee problem-the problem of Afri rises by about $10 billion. If the personal tax cut too. It automatically reduces the can refugees. savings rate rises from about 5.5% to about maximum capital gains tax from the Today, Africa has the largest refugee pop 7.5%, as it did after the Kennedy tax rate present 28%. It increases the rate of return ulation of any continent in the world. Ac reductions, private savings increase by $42 to investment income across the board. It cording to the United Nations High Com billion annually at current income levels. lowers the tax rates on partnerships and un missioner for Refugees <UNHCR>. Africa The increased savings together with the rev incorporated business income. It increases has just under half of all the world's refu enue "reflows" and the budget cuts more savings. It improves work attitudes, lowers gee population. Moreover, the number of than pay for the tax cuts, thus making pos wage demands and contributes to better African refugees has jumped sharply over sible "crowding in," or increased capital for labor productivity. What "business tax cut" the past four years and continues to in mation. does more? crease at an alarming and uncontrollable March 24, 1981 EXTENSIONS OF REMARKS 5121 rate. In December of 1977, the UNHCR re representation at the 1980 Geneva Confer flows. Pittsburgh has a serious prob ported that the number of African refugees ence on Indo-Chinese refugees was led by lem with its crumbling bridges. In residing outside of their own countries was former Vice President Mondale. Conse approximately 828,000. By December of quently, representation at any lower level Boston, it is the disappearance of a 1978, the figure had more than doubled to would be viewed by many African and large fraction of its water supply, and nearly two million. And today, non-UN ob United Nations officials as an indication in New York, street maintenance is so servers estimate the number of African ref that we in the United States are not really far behind that it would take 150 years ugees at four million-again, the figure has concerned about African refugees. in its present replacement cycle to get doubled in just over a two year period. I want to take this opportunity to com the streets all restored. The principal cause for the large number mend the Subcommittee, and its most able of African refugees continue to be civil leader during the 96th Congress, my good Mr. Speaker, I could go on and on strife in various parts of Africa. Currently, friend and colleagues Steve Solarz, for its with other examples. But, the impor there are no less than five wars raging successful efforts to secure increased assist t'ant thing is that now is the time for a throughout Africa; in Namibia, the Western ance for African refugees. As long as the Sahara, Chad, the Ogaden and Eritria. All problems remains as critical as we find it solution. Let me emphasize that I be of these conflicts have produced large flows today, the Subcommittee will continue to lieve that restoration of basic infra of refugees into neighboring countries. In fight for increased US flinding levels for the structure is primarily a job for local the past year, fighting in Chad has pro African continent. Traditionally, the US has governments, themselves. But, the duced over 100,000 new African refugees. been one of the principal supporters of hu cost is prohibitive at present and the Continuing instability in Uganda following manitarian refugee assistance worldwide. Federal Government must be willing the elections in that country has produced a That tradition of assistance should not stop large number of refugee who have fled into short of Africa's door. We have all witnessed to lend a helping hand. Moreover, to the southern Sudan and Zaire. If the Nami the success of the international relief effort underscore my belief that local gov bian conflict is not resolved soon, the in Kampuchea. I am confident that if the ernments must help themselves, an number of Africans fleeing the northern same amount of attention can be focused on underlying premise behind my legisla part of that country will swell the situation in Somalia, we can avert what could easily become a ·great human trage tion is that the municipal bond market However, most dramatic has been the is functioning well and the cities and number of refugees fleeing the country of dy.e Ethiopia as a result of the conflict in the towns that would qualify for a Federal grant under my bill must be credit Qgaden. Three years ago, the number of MUNICIPAL CAPITAL Ethiopian refugees in Somalia was less than worthy. 80,000. Today, the number of refugees in So ASSISTANCE ACT OF 1981 malia is estimated at 1.5 million and, accord I believe, Mr. Speaker, that my bill ing to a senior official at Oxfam, as many as HON. MARY ROSE OAKAR provides a way to tackle a most serious 3,000 refugees enter the Somali refugee OF OHIO problem without a major or intoler camps on a daily basis. Although the situa IN THE HOUSE OF REPRESENTATIVES able strain on either local or Federal tion in Somalia is most critical, it certainly budgets or on the Nation's capital is not atypical of patterns to be found Tuesday, March 24, 1981 markets. throughout Africa. •Ms. OAKAR. Mr. Speaker, today, I Despite the magnitude of the Africa refu am reintroducing a bill that I submit Specifically, the Municipal Capital gee problem, the U.S. Government has not ted to the House during the last Con Assistance Act of 1981 establishes a fi responded to the African problem in the nancing device known as a debt-service way it has to those in the Near East and gress. Except for some modification Indo-China. Although it is difficult to due to our economic condition today, grant which is a contract by the Fed obtain a breakdown of the amount the the Municipal Capital Assistance Act eral Government to pay a stated por United States spends per capita on the refu of 1981 is, in essence, the same legisla tion of the total principal and interest gees it assists in other regions of the world, tion with the same goals and objec of specific bond issues to finance spe it would appear that refugees outside of tives that my 1979-80 proposal intend cific restoration work on basic infra Africa fare much better than those on the ed to accomplish. structures. The Federal payments continent. In fiscal year 1981, the U.S. Gov Basically, the Municipal Capital As ernment requested $54 million for African would be spread over the life of the refugees and $324 million to Asian refugees. sistance Act of 1981 is a bill designed bonds with a maximum of 20 years On a per capita basis, this is approximately to tackle the very serious problem of and a minimum of 10. My bill specifies $28 per African refugee and in excess of dealing with the dangerous deteriora debt-service grants of 25 percent of $300 for Asian refugees on a per capita tion of the basic infrastructure-the the total interest and principal on basis. While it certainly could be argued underlying capital stock of our cities these bonds. The bond issues would be that the requirements and needs of refugees and towns while, at the same time, rec in different regions of the world vary, this ognizing the legitimate budgetary con normal tax exempt local debt with no great disparity greatly concerns the Sub straints due to the overall economic Federal guarantee-only a pledge to committee and cannot and should not con realities we are faced with today. make annual payments amounting to tinue. Mr. Speaker, many of our older 25 percent of the total debt service. Moreover, even though the number of Af My bill would authorize debt-service rican refugees has nearly doubled in the cities are on the brink of physical dis past two years, the overall funding levels for aster because local authorities have grants on $25 billion principal amount African refugees has lagged far behind the put off attending to the problem of de of bond issues over 5 years or $5 bil assistance for refugee programs for other teriorating infrastructure because lion a year. regions. It is in the context that the Sub there were and continue to be other The total Federal payment amount committee will review the figures presented urgent needs. Admittedly, restoration by the Administration for Fiscal Year 1982. ing to $12 to $13 billion would be I understand the amount proposed for Afri is a very expensive proposition. How spread over 25 years. This is the can refugee programs if $77 million. In light ever, it is clearly cost effective in the proper way to pay for such capital ex of the magnitude of the refugee crisis in sense that complete replacement will penditures. Africa, and the upcoming refugee pledging cost much more in the future. Fur conference in Geneva, I hope that we can thermore, our cities and towns can no Mr. Speaker, as stated earlier, resto begin today the process of assessing the ade longer afford to delay in coming to ration of basic infrastructure is a quacy of the Fiscal Year 1982 request for grips with this serious situation. costly business and while there are African refugees. Additionally, I am hopeful My own city of Cleveland is plagued limits on our resources, we cannot be that the Administration will address itself by a water system that is in dire need paralyzed by current budgetary con to the question of the US representation at straints that may spell doom for the the Geneva Conference. The members of of repair; by bridges, approximately the Subcommittee on Africa feel very one-fifth of which are in such poor future of cities and towns throughout strongly that the Administration send the condition that they qualify for Feder our country. I urge my colleagues· to highest level delegation possible. This is al bridge replacement funds, and by a have vision and support the Municipal particularly important since the .American sewer system that frequently over- Capital Assistance Act of 1981.e 5122 EXTENSIONS OF REMARKS March 24, 1981 VETERANS EDUCATION AND making the maximum service contri CALL TO CONSCIENCE TRAINING ACT OF 1981 bution $12,000. I estimate the cost of this program to be in the $45 million HON. PHILIP M. CRANE HON. DAVID F. EMERY per year range; far less than the muti- OF ILLINOIS oF MAINE billion dollar cost potential of a direct- IN THE HOUSE OF REPRESENTATIVES IN THE HOUSE OF REPRESENTATIVES ly transferable education benefit. Tuesday, March 24, 1981 Tuesday, March 24, 1981 Finally, the bill includes a leave of e Mr. PHILIP M. CRANE. Mr. Speak • Mr. EMERY. Mr. Speaker, I am in- absence program. This will allow service members to take time, the time er, Herschel Auerbach, an outstanding troducing legislation today to provide necessary to complete college without American, a personal friend, and a a new "veterans education and train- constituent, is a long-time supporter of ing" <VET> program for service- having to leave the service or lose the ideals for which this great Nation members and veterans of our Nation's their tenure. I believe that this provi stands. He is an advocate of America's Armed Forces. son will greatly enhance the retention exportation of those ideals. He recog This program will provide education of highly motivated and highly quali nizes that the United Nations was es and training opportunities to persons fied individuals whose only option at tablished to espouse those same ideals, who enlist and reenlist in the Armed · the present time is to leave the service in the interest of positively influenc forces. It also provides a limited assist- and attend schoql. ing the world's nations to promote ance program to help career service- Mr. Speaker, this bill is the product peace and freedom. Mr. Auerbach, members provide for the education of of a great amount of thought and re however, shares the concern many of dependents. It allows members of the search. A large portion of the work us hold, that the United Nations is no Armed forces to take a leave of ab- was done by the Noncommissioned Of longer the champion of freedom its sence to complete their education and ficers Association of the U.S.A. charter declares. More and more fre then return to service without loss of <NCOA> and I extend to them my quently, the United Nations has failed tenure or other penalty. gratitude. I also want to thank my to represent an approach to global I am introducing this legislation to staff and others on the Hill who have problems which encourages peaceful Benefit the veteran, to improve re- contributed to the research and draft solutions. Actions taken in and accept cruiting and retention in the Armed ing of this bill. ed by the General Assembly that en Forces and to benefit the Nation. dorse violence are contrary to the You may ask how one bill can ac- This bill is the companion measure U.N.'s Charter and only serve to make complish all these things and I will to S. 7 42 that was introduced in the more painful the efforts of conflicting tell you that history provides the Senate last week by my colleague from parties to resolve their differences. En answer. Several studies have shown Maine, Senator BILL COHEN. I am most dorsement of the PLO and resolutions that the veteran is better educated pleased to sponsor this bill in the which brand Zionism as racist are ap and earns more than his nonveteran House of Representatives. palling examples of what is happening counterpart. A 1975 Army study found As a member of the House Armed to the international body to whom 25 percent of all persons who entered Services Committee, I have repeatedly most nations turn for mediation. Such the Army were specifically motivated heard testimony that the armed serv actions are disgusting. by the GI bill. The same study found ices sorely need a return to a program Mr. Auerbach's concern for the di that 24 percent would not join without for educational benefits to attract and rection the United Nations is heading a GI bill. Subsequent research shows retain individuals who can fill critical haS lead him to become instrumental that recruiting would improve if the high skill positions. This type of GI in organizing the Committee for U.N. GI bill was returned. Finally, the United States will always benefit from bill program is essential if this Nation Integrity. On February 2, 1981, the does not want to return to a draft. It is committee bought a half page in the higher public education among its citi- a priority that must be addressed this Chicago Tribune to enumerate its zens, but in this case, the U.S. Treas- ury concedes that a veteran who trains year, and not postponed while studies alarm for the future of the United Na under the GI bill returns more than and evaluations demonstrate what we tions. That article is reprinted here for the benefit of my colleagues, and I the cost of training to the Treasury in already clearly know. commend it to your attention: taxes on higher earnings made possi- This bill is a thoughtful, realistic [Advertisement from the Chicago Tribune, ble by a GI bill education. and fair approach to alleviating some Feb. 2, 19811 The vet program is fairly simple to of the manpower problems that plague understand. Any person who enlists or our Armed Forces. It demonstrates our CALL TO CONSCIENCE We are representatives of the internation reenlists in the Armed Forces and commitment to provide for those who al academic, arts and science communities serves honorably for 2 years will reserve their Nation, while at the same who voice alarm at the growing danger to ceive a basic education benefit of 18 time not diminishing the role played world peace resulting from the erosion of months. If the person serves for 4 by the Vietnam era veteran. In my the United Nations. years, the number of months of educa- opinion, no other contribution to this The United Nations was established 35 tions payments will increase to 36 Nation is more valuable than that years ago in the wake of the devastation of months. The amount of payments will given by the patriotic young men and World War II to promote peace among the be the same as that provided to Viet- women who voluntarily give a portion nations and the well-being of all their peo ples. It came into being with a mandate to nam era veterans training under the of their youth to the defense and oppose violence and to prevent war, to fight old GI bill, $342 per month. readiness of this Nation. hunger and disease, to explore and advance The second part of my bill creates a the human condition. savings program for career service- As a body, Congress has been remiss But the United Nations is no longer the members who wish to provide for their in rewarding their contribution in guardian of social justice, human rights and dependent's education. This, too, is a recent years. Accordingly, I urge my equality among nations. Indeed, perverted simple program which allows service- colleagues to join me in support of by irrelevant political machinations, it is in members to contribute $25 to $100 per this GI bill program, "The Veterans danger of becoming a force against peace month to an education fund. The serv- Education and Training Program Act itself. ice will, after the servicemember has of 1981 <VET)." Its swift consideration Nowhere is the failure of the United Na tions more tragic than in the Middle East. completed 10 years of service, add $2 and passage will answer a great need The Soviet invasion of Afghanistan, the war for every $1 the member has contrib- and reflect our rededication to provid between Iran and Iraq, the prolonged incar uted to the fund. The maximum con- ing for the servicemember and veteran ceration of American Hostages in Teheran, tribution from the member is $6,000, who serve this great Nation.e grave crises in Indochina and elsewhere are March 24, 1981 EXTENSIONS OF REMARKS 5123 inadequately ch8.llenged while the United Gerson Cohen, Chancellor, Jewish The Seton Hall University; Sir Mark Oliphant, Nations pursues a course of action destined ological Seminary; Saul B. Cohen, Presi Great Britain; George E. Palade, Nobel Lau to undermine the principles on which the dent, Queens College; Wilbur Cohen, Uni reate, Yale University; Eduardo Palmas, organization was founded. versity of Texas; Cy Coleman; Henry Steele Uruguay; Jan Peerce; Arno A. Penzias; We bear witness to the assaults orches Commager; Leon N. Cooper, Nobel Laure Nobel Laureate, Bell Laboratories; Richard trated by the Soviet and Arab blocs in their ate, Brown University; Irwin Cotler, McGill E. Pipes, Harvard University; Norman Pod campaign to isolate and discredit Israel. The University; Andre F. Cournand, Nobel Lau horetz; Irwin Polishook, CUNY; Harold Pro United Nations condemns the historic Egyp reate, Columbia University; Michael Curtis, shansky, President, City University Gradu tian-Israeli peace treaty and exalts PLO ter Rutgers University; Midge Deeter; Alan M. ate School; Theodore K. Rabb, Princeton rorists. Those who vow to eliminate the Dershowitz, Harvard University; Ralph University; Dorothy Rabinowitz; Isaiah E. State of Israel and refuse to make peace are Mason Dreger, Louisiana State University; Robinson, N.Y.C. Commissioner on Human permitted to sit in the councils of the peace- Father Robert F. Drinan; Sir John Eccles, Rights. . makers, while Israel, a member state cre Nobel Laureate, Great Britain; A. Roy Eck Robert Rosenzweig, Stanford University; ated in fidelity to the principles of the ardt, Lehigh University; Oscar Secco El Henry Rosovsky, Harvard University; United Nations, is slandered and faced with lauri, Uruguay; Benjamin K. Epstein; Carlos Eugene V. Rostow, Yale University; Bayard the threat of delegitimization. Sabat Ercasti, Uruguay. Rustin, A. Philip Randolph Institute; Abra The United Nations resolution which Emil Fackenheim, University of Toronto; ham L. Sachar, Chancellor, Brandeis Uni branded Zionism, the national liberation Jose Figueres, Costa Rica; Hamilton Fish, versity; Harold A. Scheragle, Cornell Uni movement of the Jewish people, with the Jr.; Father Edward H. Flannery, Providence, versity; William R. Sears, University of Ari false label of racism must bear some repon R.I.; Paul J. Flory, Nobel Laureate, Stan zona; Emilio G. Segre, Nobel Laureate, Uni sibility for the scourge of anti-Semitism now ford University; Gerold Frank; Milton versity of California, Berkeley; Donna Sha reappearing in many parts of the world. Friedman, Nobel Laureate, Hoover Institu lala, President, Hunter College; Albert In its preoccupation with Palestinian tion; Frank Gervasi; Bernard Gifford, Rus Shanker, President, AFT; Sargeant R. rights, the United Nations neglects the sell Sage, Foundation; Eli Ginzberg, Colum Shriver; Benjamin M. Siegel, Cornell Uni plight of millions of men, women and chil bia University; Donald A. Glaser; Nobel Lau versity; John Silber, President, Boston Uni dren in other parts of the world who are in reate, University of California, Berkeley; versity; Beverly Sills; George Sluizer, Neth immediate danger of death from famine, Nathan Glazer, Harvard University; Shel erlands; Jerry Stiller and Anne Meara; Her disease and war. don Glashow, Nobel Laureate, Harvard Uni bert Stroup, Brooklyn College. The manipulation of the world forum has versity; Marshall Goldman, Wellesley Col Rabbi Marc H. Tanenbaum; Raymond reached beyond the halls of the General As lege; Leo A. Goodman; University of Chica Tanter, University of Michigan; Edward sembly and has politicized-and thereby go; Fred Gottheil, University of Illinois. crippled-many of the United Nations' spe Teller, University of California, Berkeley; Alfred Gottschalk, President, Hebrew Sister Rose Thering, Seton Hall University; cialized agencies. The campaign to ostracize Union College; Pierre Grosjean, Belgium; Israel has obstructed the efforts of the In Barbara Tuchman; Michael Walzer, Insti ternational Labor Organization, the World Chaim Gross; Ben Halpern, Brandeis Uni tute for Advanced Study; Ben Wattenberg, Health Organization, the United Nations versity; Milton Handler, Columbia Universi American Enterprise Institute; Wilse B. Educational, Scientific and Cultural Organi ty; Rev. Donald S. Harrington, Community Webb, University of Florida; Steven Wein zation, among others, all dedicated to pro Church; Celia Heller, Hunter College; berg, Nobel Laureate, Harvard University; moting higher standards of living, social and Arthur Hertzberg, Columbia University; Leo Weitz, Pace University; Elie Wiesel, economic progress, international cultural Gerhard Herzberg, Nobel Laureate, Canada; Boston University; Shelley Winters; and educational cooperation. It has made an Robert Hofstadter, Nobel Laureate, Stan Herman Wouk; Rosalyn S. Yalow, Nobel international charade of their labors to ford University; Robert W. Holley, Nobel Laureate, VA Hospital; Vladimir Yankele extend freedom of speech and press, to help Laureate, Salk Institute; Gerald Holton, vich, France; Oscar Zeichner, City College, the working man and woman, to meet the Harvard University; Sidney Hook, Hoover N.Y. needs of children, to achieve equality for Institution; Benjamin L. Hooks, NAACP; Affiliations for identification purposes women. Irving Louis Horowitz, Rutgers University; only. In devotion to the fulfillment of the Irving Howe, City College of N.Y.; Eugene Committee for U.N. Integrity, 9 East 40th United Nations' humanitarian and peaceful Ionesco; Suzanne Keller, Princeton Univer Street, New York, N.Y. 10016. goals, we cannot remain silent while forces sity. Chicago Officers: Hershal Averbach, which incite hatred and foment war betray Peter B. Kenen, Princeton University; Chairman, P.O. Box 881, Palatine, IL 60067. our hopes for world peace and progress. We Robert Kibbee, Chancellor, CUNY; Georges Prof. Oscar Miller, Co-Chairman, P.O. call upon the United Nations-and each Klein, Nobel Laureate, Sweden; Lawrence Box 4348, Chicago, IL 60680.e member nation-to embrace once again the R. Klein, Nobel Laureate, University of ideals of the United Nations Charter and to Pennsylvania; Lane Kirkland, President, restore the promise that the United Nations AFL-CIO; Milton R. Konvitz, Cornell Uni BUDGET CUTS WILL DENY VET can achieve a better world for all humanity. versity; Arthur Kornberg, Nobel Laureate, ERANS HOSPITAL AND MEDI Morris B. Abram; Christian B. Anfinsen, Stanford University; Boris Kozolchyk, Uni CARE CARE Nobel Laureate; Juan Jose Arevalo, Guate versity of Arizona; Polykarp Kusch, Nobel mala; Efraim Schacht; Aristeguleta, Venezu Laureate, University of Texas; Simon Kuz ela; Kenneth Arrow, Nobel Laureate, Stan nets, Nobel Laureate, Harvard University; HON. JIM MA ITOX ford University; Robert Merle, d'Aubigne, Seymour P . Lachman, CUNY; Norman OF TEXAS Paris; Julius Axelrod, Nobel Laureate; Lamm, President, Yeshiva University; Katherine Balfour; Jose Leon Barandiaran, Gerald Leinwand, President, Oregon College IN THE HOUSE OF REPRESENTATIVES Peru; John Bardeen, Nobel Laureate, Uni of Education; Louis Lerner; Bernard-Henri Tuesday, March 24, 1981 versity of Illinois; Salo W. Baron, Columbia Levy, France. University; Simon Bauer, Cornell Universi Robert Leuenberger, Switzerland; William e Mr. MATTOX. Mr. Speaker, as re ty; Simone de Beauvoir, France; Daniel Bell, N. Lipscomb, Jr., Nobel Laureate, Harvard ported in the Washington Post of Harvard University; <a href="/tags/Paul_Berg/" rel="tag">Paul Berg</a>, Nobel Laure University; Seymour Martin Lipset, Hoover Thursday, March 19, 1981, Mr. Art ate, Stanford University; Sir Isaiah Berlin, Institution; Rev. Franklin H. Littell, Temple Fellwock, commander in chief of the All Souls College, Oxford. University; Mario Vargas Llosa, Peru; Veterans of Foreign Wars, has accused Leonard Bernstein; Marver Bernstein, Sophia Loren; Stanley Lowell; Andre Lwoff, the Reagan administration of "balanc President, Brandeis University; Hans A. Nobel Laureate, Paris; Donal E. J. MacNa Bethe, Nobel Laureate, <a href="/tags/Cornell_University/" rel="tag">Cornell University</a>; mara, John Jay College; Theodore Mann; ing the Veterans' Administration Bruno Bettelheim, Stanford University; Frank E. Manuel; Brandeis University; budget on the breaking backs of the David A. Bickimer, Pace University; Max Edwin M. McMillan, Nobel Laureate, Uni veteran, his widow, and orphan." Bill, Switzerland; William Birenbaum, Presi versity of California, Berkeley; Zubin This is more important than every dent, Antioch College; Felix Bloch, Nobel Mehta; Reuben Merenfeld; Veneuela; day press-release rhetoric. what makes Laureate, Stanford University; Walter H. Robert K. Merton, Columbia University; it so significant is that the VFW is the Brattain, Nobel Laureate, Whitman College; <a href="/tags/Stanford_Moore/" rel="tag">Stanford Moore</a>, Nobel Laureate, Rockefel organization which last year broke Herbert C. Brown, Nobel Laureate, Purdue ler University; Daniel Patrick Moynihan; with 80 years of precedent by endors University; Robert F. Byrnes, Indiana Uni Robert S. Mulliken, Nobel Laureate, Univer versity; Herbert Callen, University of Penn sity of Chicago. ing a Presidential candidate-Ronald sylvania; Arthur Cantor; Sol C. Chaikin, Ernest Nagel, Columbia University; Daniel Reagan. Now Mr. Fellwock says the President, ILGWU; Paddy Chayefsky; Nathans, Nobel Laureate, Johns Hopkins President's budget proposals, which Claude Clivenstein, France. University; Msgr. John M. Oesterreicher, would eliminate more than 7 ,000 medi- 5124 EXTENSIONS OF REMARKS March 24, 1981 cal personnel from the fiscal 1981 and change contemplated in the basic entitle delphia/South New Jersey area was 0.7 beds 1982 budgets, will deny medical and ment to either compensation payable to vet per 1,000 veteran population. Financial con hospital care to veterans in need. erans with service-connected disabilities or straints reduced that facility to 242 beds as I applaud Mr. Fellwock's courage in in the pension program for veterans in need previously described. In addition, there are due to their non-service-connected disabil nine other construction deferrals as follows: pointing out so forcefully the yawning ities and their survivors. There is however, a 1. Denver, Colorado-one-year deferral of gulf that exists between the Presi projected decrease in the cost-of-living in addition to existing facility. dent's statements of last sum.mer and crease to be effective October 1, 1981 for 2. New Orleans, Louisiana-two-year de his budget proposals of this spring. those in receipt of compensation from 12.3 ferral of addition to existing facility. The President's flip-flop on veterans' percent to 11.2 percent for a savings of some 3. Washington, D.C.-two-year deferral of issues is an excellent example of how $96 million. In all fairness, we cannot take a nursing home and parking facility. dangerous it can be to blindly accept exception to the proposed compensation in 4. Long Beach, California-two-year defer his scenarios without question, as we crease at this point in time since we do not ral of addition of research and education. know what the inflation rate will be when 5. Palo Alto, California-two-year deferral have been asked to do. As the VFW enacting legislation clears Congress. Our of addition of surgical and related functions. and other veterans' organizations can primary concern in this area is that this 6. East Orange, New Jersey-two-year de attest, some of the President's rosiest benefit not be eroded by inflation and that ferral of renovation project. scenarios can be subject to radical the increase granted is proportionate to 7. St. Albans, New York-two-year defer change. that reflected by the Consumer Price Index. ral of laundry facility. It behooves us all, as participants in The pension program is, of course, in 8. Gainesville, Florida-two-year deferral the constitutional process, to reflect dexed to the CPI and increased proportion of expansion for research and education. carefully on this issue as a highly il ately and concurrently with the social secu 9. Chillicothe, Ohio-two-year deferral of lustrative aspect of the current eco rity benefit increase each July. As is a a clinical addition and modernization. matter of record, the V.F.W. has never been The one- and two-year deferrals of these nomic debate. I recently chaired a happy with the new pension program estab other construction projects with on-going hearing of the Budget Committee's lished by Public Law 95-588 since, in our double digit inflation will make them even Task Force on National Security and opinion, the assured income levels are too more costly. Quite frankly, we fear the Veterans, at which one of my col stringent. Presently a veteran alone is as eventual cancellation of these projects also. leagues made an excellent point: "If sured an annual income of $4,460 including Coupled with the above, Mr. Chairman, the administration can be so radically all other income from all sources, including there is a planned revision of personnel ceil wrong on this one particular area. I social security benefits which is a mere $69 ings and an announced reduction in VA per think it mandates us who are on the per annum above the Orshasky update of sonnel <FTEE's) of 11,704 through 1986 of the poverty line of $4,391 for a single person which 6,767 will be cut from indirect medi Budget Committee to look very closely alone. cal care predicated upon 1980 base figures. at some other programs." With respect to educational benefits for Needless to say, Mr. Chairman, we of the At that hearing, spokemen from the Vietnam veterans under the GI Bill, it is in V.F.W. are shocked almost to disbelief with major national veterans' groups tended by this Administration to completely the cancellation of the Baltimore and roundly denounced the President's eliminate both correspondence training and Camden facilities and the deferral of other proposals. Insofar as it elaborated on flight training and retain the present 10 construction projects. Mr. Fellwock's basic premise, the year delimiting date for completion of GI While campaigning last August, President VFW's statement was of particular in Bill benefits. Although we have opposed the Reagan addressed our national convention elimination of flight training and corre in Chicago, Illinois and stated among other terest, and I submit it for the RECORD spondence training, the latter in particular things ". . . to me, it is unconscionable that so that I can share it with my col for Vietnam veterans who are housebound veterans in need are denied hospital and leagues. and have no other means to advance their medical care because of inadequate funding STATEMENT OF DONALD H. SCHWAB OF THE education, the complaints we have received which has closed hospital beds and cut VFW with respect to reduction or termination of health-care personnel within the VA." Am Mr. Chairman and Members of the task these benefits have been almost without ex plifying this commitment the Republican force: Thank you for the privilege of ap ception from those who operate the schools. party platform reads in part: pearing before this distinguished forum to Most disturbing is the fact that the Ad "We will maintain the integrity of the present the views of the Veterans of Foreign ministration proposes to reduce outpatient Veterans Administration. We will seek to Wars of the United States. This is for me an medical visits by veterans in need with non keep it separate and distinct from other fed auspicious occasion for it is the first time to service-connected disabilities by 1. 7 million eral agencies as the single agency for the my knowledge that the various veterans' or and, in addition, to apply a $5 deductible administration of all veterans' programs. In ganizations have been permitted to appear payment by the veteran for beneficiary particular we feel it is of vital importance to before the Budget Committee. travel while seeking needed medical atten continue and expand the health programs My name is Donald H. Schwab and it is tion. Although the original intent was to provided to veterans through the Veterans my privilege to serve the more than 1.9 mil charge a $10 deductible fee, we are, again, Administration hospitals. Here we see the lion men and women of the Veterans of For hurting those most who are in real financial need for increased access to care, especially eign Wars as their National Legislative Di need. These provisions will greatly reduce for older veterans. rector. access to VA medical care to veterans and "We further advocate continued and ex Mr. Chairman, the basic fiscal year 1982 increase the number who must seek commu panded health-care for our Vietnam veter budget submitted by the Carter Administra nity care and, to our shame, line-up with ans and consider it vital for the Veterans tion was probably the most realistic one in welfare recipients, aliens and yes, even draft Administration to continue this program for several years in that it provided $24.9 billion dodgers and unwed mothers. the rehabilitating of the disabled as well as in budget authority and $24.4 billion in out Alarming, Mr. Chairman, is that the Ad its job training efforts." lays for the Veterans Administration. That ministration has canceled construction of Adding greatly to our concern is the is not to say there were not several areas the 400 bed acute care hospital at Balti planned reduction through fiscal year 1986 which concerned us deeply. more, Maryland and the 242 bed intermedi in the Veterans Administration's Depart We now have, I believe, the Reagan Ad ate care hospital at Camden, New Jersey ment of Medicine and Surgery of 6, 767 indi ministration's proposed amendments to the consisting of 120 nursing care beds and 122 rect medical care personnel which can only Carter Administration's fiscal years 1981 extended care beds of which four were to lead to one thing, and that is the closing of and 1982 budgets for the Veterans Adminis have been intensive care beds. The need for additional hospital beds, more wards or even tration. Briefly, Mr. Chairman, the present the Baltimore hospital of 400 beds consist entire hospitals. Hospitals and beds cannot Administration would reduce the fiscal year ing of 200 internal medicine, 120 surgical be operated by hands-on medical personnel 1981 budget by more than $200 million and and 60 psychiatric beds has been fully Justi alone, but only with the support of a full $831 million in fiscal year 1982 for a cut of fied. The Camden hospital originally con compliment of indirect medical care person more than one billion dollars for the two sisting of 480 beds, 300 of which would have nel. The planned reduction of the VA years. Personnel reductions <FTEE'S> been medical, surgical and neurological, 60 system to 78,900 operating beds in fiscal amount to 1,837 in fiscal year 1981 and 7,995 acute psychiatric beds and a 120 bed nursing year 1982 approaches the figure many be in fiscal year 1982 for a total loss of 9,832 home was also fully justified. Figures availa lieve will make the system not cost effective personnel. ble at the time indicated that the national and surely not a viable back-up for the De As previously promised by the new Admin average of VA beds per 1,000 veteran popu partment of Defense hospital system. In ad istration, and to its credit, there is to be no lation was 3.2 beds. The ratio in the Phila- dition, we understand new personnel reduc- March 24, 1981 EXTENSIONS OF REMARKS 5125 tions will require the closing of approxi Benefits by consolidation of claims process ance of the Congressional Steel mately 60 wards and reducing the daily hos ing and loan guaranty function into a cen Caucus for the fourth quarter of 1980: pital census from a little over 67 ,000 to tralized operation, whatever that is. Along 64,000. As a matter of fact, one highly with this action is a projected reduction of placed and knowledgeable VA official stated 4,697 personnel between now and 1986. To MONTHLY REPORT, STATEMENT OF EXPENSES AND FUND entire hospital closings are inevitable. us this would indicate that not many years BALANCE STATEMENT, U.S. HOUSE OF REPRESENTA Mr. Chairman, we have stated for years hence, there will no longer be 58 Veterans TIVES, CONGRESSIONAL STEEL CAUCUS that one of the primary objectives of the Administration Regional Offices, but Office of Management and Budget is to merely satellite or contact offices in the 10 Statement of Expenses, October 1980 close up the VA hospital system by letting Federal regions with all adjudication of Salaries...... $5,122.48 facilities deteriorate and starving it with in claims accomplished by VA Central Office Travel ...... adequate funding and personnel, just exact personnel. Stationery: Donation, Mr. Bevill...... 72.11 ly what happened to the Public Service Hos Other proposed insidious actions to de Postage ...... pitals. Our assertion has been denied and stroy our veterans' hospital and medical Tetephone •. .• ... .• . •• .•• •• .• . ••• •• .• •••. •.•.• ...... •...... •. •. . •• •...... • 59.68 Publications ...... even ridiculed by the Office of Management care system and veterans' benefits include, Equipment...... 163.35 and Budget. However, that this is in fact the but are not limited to the following: Printing• ...... •.....•.....•.. case is unquestionably confirmed by a 1. To cap the special and incentive pay of Miscellaneous...... 26.70 memorandum which has come into my pos VA physicians and dentists authorized by session bearing the heading "Executive Public Law 96-330, passed by both houses Total expenses for October 1980...... 5,444.32 Office of the President-Office of Manage over the veto of the President, by paying no ment and Budget-March 5, 1981,'' the ap more than 12 percent of the total funding Fund Balance Statement, October 1980 propriate portion of which is herein quoted: appropriated. Balance forward (as of Sept 30, 1980) ...... 433.92 "However, in current economic conditions, 2. Failure to include in the budget not one Total revenue (clerk hire and donations)...... 5,194.59 some delays can be in the hospital construc cent to fund the scholarship program for Total ...... 5,628.51 tion program can be accommodated without VA health-care professionals also author significant shortrun damage to the VA ized by Public Law 96-330, which could Less expenses: October 1980...... 5,444.32 medical system. The ones chosen here do reduce or eradicate the shortage of physi not have imminent hazards in existing cians, dentists and nurses. Balance of revenue...... 184.19 structures and do not affect bed levels sig 3. The closing of all 91 outreach facilities Plus interest deposit ...... •...... •..•.....•...... ~ nificantly. In addition, the existence of to assist Vietnam veterans with psychologi Balance...... 212.50 excess medical care capacity in many areas cal, drug or alcohol related problems as au of the United States make questionable the thorized by Public Law 96-22. Statement of Expenses, November 1980 need for a separate VA medical system. <Un Mr. Chairman, the V.F.W. will not sit idly Salaries...... 2,521 .51 derscoring supplied.> This Administration by and watch this attack on nearly the Travel ...... will conduct a complete review of alterna entire spectrum of veterans' benefits with Stationery ...... tive methods for providing readily available, out a fight, the like of which you may have Postage ...... quality medical care for eligible veterans. never witnessed. We look to this Committee, Telephone ...... 40.21 The continuation of currently planned con the Veterans' Affairs Committee and the Publications ...... 12.60 struction in overbedded areas may add to Appropriations Committee to be our cham Equipment ...... 165.00 Printing...... •...... the excess and prove to be a wasteful Feder pions in dealing with the President's Office Miscellaneous ...... al expenditure." of Management and Budget and in the halls Obviously, Mr. Chairman, and most unfor of Congress and save our veterans' hospital Total expenses for November 1980...... 2,739.32 tunately, the Reagan Administration has and medical care system. fallen into the trap laid by the social wel As our National Commander-in-Chief, Fund Balance Statement, November 1980 fare planners in the National Academy of Arthur Fellwock, stated in testimony before Balance forward (as of Oct 31 , 1980) ...... 212.50 Sciences and the Heritage Foundation who both Senate and Hosue Veterans' Affairs Total revenues (clerk hire) ...... ~ recommended eliminating the VA hospital Committees earlier this month, "We must and medical care system and, also, a pro never forget, nor permit the nation to Total ...... 2,734.01 posed resolution of the American Medical forget, that those of us who served during Less expenses: November 1980...... 2,739.32 Association to mainstream veterans health periods of war and hostility have rendered a care by treating those with service-connect very special service to our great nation. We Balance ...... 5.3le ed disabilities in community hospitals and have given years of our lives, we have given those with non-service connected disabilities years from our families and we have given on a welfare basis. years from our personal endeavors, if not Mr. Chairman, and let me make this abun also our physical and mental health." dantly clear, the Veterans of Foreign Wars A quote in the current edition of the MINORITY VIEWS OF HON. BILL of the United States will fight this proposed Readers Digest by Jose Narosky states the FRENZEL, HON. WILLIAM L. dismantling of the VA hospital and medical case most eloquently: "In war, there are no DICKINSON, HON. ROBERT E. care system with every resource at our dis unwounded soldiers." BADHAM, HON. NEWT GING posal. We will fight this outrage in every Again, Mr. Chairman, permit me to reiter RICH, HON. WILLIAM M. county, parish, district and precinct across ate the appreciation of the V.F.W. for the THOMAS, HON. GARY A. LEE, this nation. We will fight this betrayal of privilege of appearing for the first time our nation's wartime veterans at the polls in HON. JAMES K. COYNE, AND before this forum to present our views on HON. LYNN MARTIN 1982 if that is what it takes. Make no mis this most crucial matter of the Veterans Ad take about our dedication to this end. We ministration budget. who have fought battles in the past are well Thank you.e HON. BILL FRENZEL prepared and quite able to fight this battle, too. OF MINNESOTA As our Commander-in-Chief testified MONTHLY STATEMENT OF EX IN THE HOUSE OF REPRESENTATIVES before the full Committee earlier this PENSES AND FUND BALANCE Tuesday, March 24, 1981 month, that although we applaud the Presi OF CONGRESSIONAL STEEL dent's goal to reestablish a stable economy, e Mr. FRENZEL. Mr. Speaker, the the Veterans Administration has already CAUCUS FOR THE FOURTH foil owing minority report of House sustained disproportionate budgetary and QUARTER OF 1980 Ad.ministration Republicans will be a personnel cuts. Operating hospital beds handy reference for debate on com have been slashed from 121,000 in the 1940's HON. BARBARA A. MIKULSKI mittee budgets: when there were only 15 million veterans to a planned 78,900 in fiscal year 1982 with a OF MARYLAND MINORITY VIEWS OF HON. BILL Ji'RENzEL, veteran population of over 30 million and a IN THE HOUSE OF REPRESENTATIVES HON. WM. L. DICKINSON, HON. ROBERT E. reduction in daily patient census in VA hos Tuesday, March 24, 1981 BADHAM, HON. NEWT GINGRICH, HON. WIL pitals from the current level of 67 ,000 to less LIAM M. THOMAS, HON. GARY A. LEE, HON. than 64,000. e Ms. MIKULSKI. Mr. Speaker, I am JAMES K. COYNE, AND HON. LYNN MARTIN The Reagan Administration also plans to submitting for the RECORD the month During the past decade, the total authori- reorganize the Department of Veterans ly statement of expenses and fund bal- zation for committee budgets in the House 5126 EXTENSIONS OF REMARKS March 24, 1981 of Representatives increased astronomical Senate Republican Conference adopted a mittee on Public Works and Transportation ly. Standing committee budgets rose from resolution with the purpose of achieving at has demonstrated yeoman efforts at holding approximately $6.3 million in 1970 to $30.7 least a 10 percent reduction in committee costs down over the last several years; as a million in 1980; budgets for the various budgets. result we recommended an authorization select committees climbed from $1.2 million We watched with admiration the actions level which reflected no cut from last year's in 1970 to $3.4 million, 10 years later. De of our counterpart Committee in the expenditures. spite this phenomenal growth, these budg Senate-Rules and Administration-in prun The Subcommittee on Accounts was able ets have, for the most part, been routinely ing committee requests to achieve its 10 per approved. cent reduction target, an action which the to trim $4 million off of the bloated commit 1981, however, represents a marked con full Senate ratified on March 3. This con tee requests, and an additional half million trast. Committee budgets rather than being trasted vividly with the profligate reality of from House Information Systems. Initially, accorded a perfunctory review, have been the House where budgets pleaded for more the Subcommittee seemed likely to adhere subjected to intense scrutiny. What was staff, more travel, more equipment, more of to a formula which would have ensured once perceived as a mundane "housekeep everything purchaseable. hefty increases in committee budgets; how ing" matter, has been the focus of legisla Although the Senate effort serves as a ever, once the genuine concern of Republi tive concern since the opening days of the model, dissimilarities in the funding process can Members about the spiraling costs of 97th Congress. as well as the distinctive needs of the two committee budgets was recognized, the for With the results of last November's man chambers necessitate an alternative ap mula was discarded and more rigid stand date still fresh, with the public demanding proach. While the Senate sought a 10 per ards applied. reductions in government spending, with a cent decrease from last year's authoriza In particular, the Minority would like to new administration striving for significant tions, we seek a more stringent reduction- economies, it would be expected that the 10 percent from last year's expenditures. In commend the new Chairman of the Sub House of Representatives would direct close large measure this reflects the fact that a committee on Accounts, Rep. Frank Annun attention to the costs of its internal oper significant portion of committee staff costs zio, for his successful efforts to hold the line ations. To that end, the Minority on House <those for salaries of so-called "statutory" on committee costs, and for his pledge to Administration-seriously concerned over personnel, for which $27 million has been carry out a vigorous oversight program so the ever-escalating committee costs-estab appropriated to date in fiscal 1981) are not the Subcommittee will have better informa lished a goal of reducing committee budgets subject to review in the funding process. tion for next year's budget assessment. overall to a level 10 percent below the ex With such a sizable amount of committee Nevertheless, the Minority Members be penditures incurred in 1980. costs unaccountable, more severe reductions lieve that the cuts made, although represent We expect that committees of the House are necessary in the budgets presented to ing a good first step, are still insufficient. would recognize the pressing need for fiscal the House. We urge that an additional $6.5 million be restraint during these times of austerity. It AUTHORIZATION LEVELS cut from the budget totals recommended by was with understandable shock and dismay Even though we sought an overall 10 per the Committee on House Administration, that we witnessed committees submit "busi cent cut in expenditures, the reductions thereby establishing an overall budget level ness-as-usual" budgets to House Administra were not universally applied. One panel tion-budgets which topped $37 .8 million, of $27,363,322 for House committees. The the Committee on Armed Services-present HIS budget should also be reduced by more an astounding $7 .6 million or 25 percent ed·a compelling justification for a budget in over last year's expenditures. than one million. We offered amendments crease; we therefore supported the amount to this effect in committee. Regrettably, SENATE EXPERIENCE recommended by the Subcommittee on Ac these were rejected on party line votes. The Ironically, while the budgets of House counts. Likewise, we were in accord with the following table illustrates our recommended committees displayed an insatiable desire Majority Members of the Committee in pro for more money, the Senate assumed a radi viding Standards of Official Conduct with authorizations on a committee-by-commit cally different posture. Last December, the the authorization level requested. The Com- tee basis. </p><p>TABLE A.-BUDGET RESOLUTIONS APPROVED BY THE COMMITIEE ON HOUSE ADMINISTRATION </p><p>House Percent increase/decrease Proposal of OOP Committee Authorization 1980 Expenditures 1980 Request 1981 l~8ra~~~ Administration 1980 1980 membels House (Senate model) ' recommendation authorization expenditure Administration </p><p>Aging ...... 1,233,000.00 1.153,838 1,322,000 1,109,700 1,233,000 0 +6.9 865,382 Agriculture ...... 1,247,200.00 1,115,440 1,307,398 1,122,480 1,294,187 +3.8 +16.0 1,003,896 Armed Services ...... 827,000.00 683,920 1,042,000 744,300 952,223 +15.l +39.2 952,223 Banking, Finance and Urban Affairs ...... 2,560,287.00 2,224,100 2,591,105 2,304,258 2,457,631 -4.0 +10.5 2,001,690 District of Columbia ...... 289,670.00 248,843 316,624 260,703 288,719 -.3 +16.0 186,632 Education and labor ...... 2,522,000.00 2,271,839 2,769,980 2,269,800 2,635,901 +4.5 +16.0 2,044,655 Subcommittee on labor-Management Relations (Pension Task Force) 2 ...... 207,200.00 177,543 256,862 186,480 196,186 -5.3 +I0.5 159,789 Energy and Commerce ...... 3,750,000.00 3,659,477 4,700,000 3,375,000 4,043,722 +7.8 +10.5 3,293,530 Foreign Affairs ...... 1,875,123.53 1,627,760 2,049,948 1,687,612 1,888,609 +.7 +16.0 1,464,984 Government Operations ...... 2,274,900.00 2,080,253 2,648,267 2,047,410 2,461 ,885 +8.2 +18.3 1,872,228 House Administration ...... 1.744,500.00 1,513,161 1,219,000 1,570,050 1,219,000 -30.l -19.4 1,219,000 Intelligence (Permanent Select) ...... 972,420.00 882,014 938,700 875,178 938,700 -3.5 +6.4 793,813 Interior and Insular Affairs ...... 1,316,679.00 1,116,392 1,448,214 1,185,011 1,295,293 -1.6 +16.0 1,004,753 Judiciary ...... 1,406,677.71 1,282,733 1,432,540 1,266,009 1,417,519 + .8 +10.5 1,154,460 Merchant Marine and Fisheries ...... 1,682,171.00 1,538,836 1,850,476 1,513,954 1,700,414 +l.l +10.5 1,384,953 Post Office and Civil Service ...... 950,000.00 846,475 1,639,000 855,000 978,530 +3.0 +15.6 761,827 Public Works and Transportation ...... 1,870,000.00 1,614,668 2,175,000 1,683,000 1,870,000 0 +15.8 1,614,668 Rules ...... 615,000.00 457,434 599,300 553,500 530,738 -13.7 +16.0 300,011 Science and Technology ...... 1,896,800.00 1,849,068 2,346,900 1.707.120 1,896,800 0 +2.6 1,664.162 Standards of Official Conduct ...... 5,000.00 420,533 450,000 450,000 450,000 -10.0 +7.0 450,000 Small Business ...... 776,000.00 726,747 776,000 698,400 776,000 0 +6.8 654,073 Veterans' Affairs ...... 352,490.00 309,891 514,880 317,241 359,550 +2.0 +16.0 278,902 Ways and Means ...... 2,252,000.00 1,928,611 2,918.109 2,026,800 2,450,782 +8.8 +27.1 1,735,750 Narcotics Abuse and Control ...... 600,000.00 557,713 551,173 540,000 551,173 -8.1 -1.2 501,941 Subtotal, House committees ...... s 33,721,118.00 s 30,287,289 37,863,476 30,349,006 33,886,562 +.5 +11.9 27,363,322 House Information Systems 4 ...... 9,881,000.00 9,684,262 9,531,000 8,892,000 9,000,000 -8.9 -7.1 7,148,250 (7,975,000) </p><p>Total (including HIS) ...... 3 43,602,118.00 s 39,971 ,551 47,394.476 39,241,906 42,886,562 -1.6 +7.3 34,511,572 (35,338,322) </p><p>1 The ~le achieved a 10-percent cut in overall authorizations; the percentage cuts, however, varied on a committee-by-axnmittee basis. This column illustrates how a IO-percent cut in authorization would appear if applied equally to all HOuse committees. 2 Although the subcommittee requested separate funding for its study of pension plans. the Committee on House Administration consolidated the subcommittee request within the budget of the subcommittee's parent committee-Education and labor. 3 The totals do not include authorizations or expenditures for 2 select committees which expired in early 1980: OCS and Committee on Committees. Authorization for OCS was $116,000; for Committee on Committees, $287,857. Conlbined expenditures were over $300,000. 4 The amount of $7,148,250 was recommended in subcommittee and represents a 25-percent reduction from the original request of $9,531 ,000. The amount of $7,975,000 was offered in full committee and represents a deletion of funds for all new proposed activities, and will be recommended on the floor. March 24, 1981 EXTENSIONS OF REMARKS 5127 Our efforts to reduce committee budgets committees which have appeared before the with committee work. This is an inappropri should not be interpreted sol.ely in terms of Subcommittee on Accounts. On the Com ate and unnecessary use of staff, particular dollar savings to the American taxpayer. mittee on Rules, for example, only 1 of 17 ly for an exclusive committee whose Mem The ever-increasing infusion of cash to investigative staff was allocated to the mi bers have but that one assignment. The House committees also bears negative conse nority; on the Committee on Foreign Af amendment, which would have lowered the quences from an institutional standpoint. fairs, only 3 of 55; and on the Committee on authorization by 34 percent from last year's The increase in committee budgets has Energy and Commerce, only 15 of 135. Im expenses, was rejected. spawned the growth of innumerable sub provements in staff ratios, as contemplated Committee on Post Office and Civil Serv committees which breed their own staff bu in the proposed budgets, appear to be only ice.-By far, this was the most controversial reaucracies and fragment the coherent con minimal. resolution considered by the Committee on sideration of policy issues. There is a real The Senate in 1977 adopted a rule to pro House Administration. The key point of danger that our staff is growing so rapidly vide the minority with one-third of the com contention involved a proposed $200,000 in size and influence that it may soon, like mittee staff positions. During the recent (plus an additional $116,000 in salaries) for the Senate staff, be making policy for us. transition, this standard was retained. Twice a Redistricting Data Center to provide The increase in committee budgets has in the past decade, in 1970 and 1974, the Members with information and consultation fed the demands for more and more staff. House adopted amendments stipulating that regarding reapportionment. As redistricting In 1970, less than 400 staff members were the minority be earmarked a one-third is a state responsibility, not a Congressional hired by moneys provided in standing com share of committee funding resolutions allo one, the value of such a center operated by mittee funding resolutions. By 1980, nearly cated for staff hire. Regrettably, in each a congressional panel appeared dubious; its 1,000 committee staff were hired pursuant case, the Democratic Caucus subsequently purpose-illegal. to these resolutions. Although select com nullified the minority staffing provision. After rejecting amendments to prohibit mittees demonstrated only a moderate Understandably, House Members, in the this service, the Committee ultimately re climb from 70 staff in 1970 to just over 100 wake of the staff explosion during the considered its action on the resolution, and in 1980; House Information Systems <which 1970's and its attendant cost, are reluctant then deleted the $200,000 in funding for the did not exist in 1970) added another 198 per to approve any provision which might fuel Center, adding language to the resolution sonnel to the congressional staff population. any further expansion of staff. Yet the prohibiting use of funds for that purpose. The advantages of committee staff assist issue of staff growth and the issue of estab Unfortunately, the Committee did not ance has diminished as the increase in staff lishing standards for minority /majority delete the $116,000 for personnel to manage has been too fast, too large, and too ineffi staff allocations are uniquely separable the service, so the Post Office Committee ciently distributed. The bulk of the moneys items. Equitable minority treatment does gets a free gift of unneeded staff. It had in funding resolutions represent staff sala not presume any escalation in staff growth. previously been given another free gift of ries; these resolutions therefore, provide a Rather it would be a beneficial complement unneeded staff when it requested extra posi means to manage and limit staff expansion. not only to the capabilities of the minority tions for its Franking Commission duties. TRANSFERABILITY party, but more importantly to the institu Sel.ect committees.-Funding for three tion as a whole. For the staff disadvantage Select Committees-Aging, Narcotics Abuse At the early stages of the Committee's de now evident is simply counterproductive. It liberations, we advanced amendments to and Control, and Intelligence-was reviewed shortchanges the minority, it shortchanges by House Administration. We acknowledge impose a limit on the amount of money the legislative process. which could be expended on salaries in each that special circumstances often require the resolution. COMMITTEE REVIEW creation of select committees; yet we are Presently, committees are authorized a Of the 25 funding resolutions considered concerned that, unless due care is exercised, lump sum amount in the funding resolution by the Committee on House Administration such committees may interfere with the ef and, with certain exceptions <specialized only 3-Standards of Official Conduct, fectiveness of the standing committee training, procurement of consultants, reim Armed Services, and House Administra system. bursement of computers and related serv tion-received the unanimous endorsement We suggested greater spending cuts for ices from the House Information Systems), of the full Committee. Aging and Narcotics Abuse and Control be there is no restriction on the transfer of Of particular relevance is the budget pre cause of their lack of legislative jurisdiction. funds from one committee account to an sented by the Committee on House Admin It is our intent to attentively examine the other. istration. The Committee requested-and monthly activities reports of the select com The salary limitation amendment encom was granted-an authorization of $1,219,000. mittees to ensure that they are a comple passed a twofold purpose. First, it would This represents a decrease of not only 30.1 ment to, and not a duplication of, the stand eliminate the possibility of transferring percent from last year's authorization, but ing committees which exercises legislative money from non-salary items such as travel more remarkably, a decrease of 19.4 percent authority in the relevant areas. or equipment for use in hiring additional from last year's expenditures. We congratu House inJormation systems.-No more staff. Second, and more significantly, it late our Chairman for substantially reduc perplexing budget was received than that of would establish some rough line-item differ ing costs and pledge our continued support HIS. For two months the HIS budget pro entiation between salary and non-salary to that end. However, it is regrettable that posal was scrutinized by the Policy Group items-thereby imposing greater account the Committee's budget was not a model, on Information and Computers. A bewilder ability and rationality on the committee but rather an obvious exception, to this ing array of statistics was presented; supple budget process. year's funding process. mentary materials provided appeared more These amendments similarly were reject Several of the committee budgets raised likely to obfuscate than enlighten. Indeed, ed on party line votes. issues apart from cost which deserve some on the day before the HIS budget was to be attention. considered by the Subcommittee on Ac MINORITY STAFFING Committee on Rul.es.-In 1975, the Com counts, a new budget was delivered which We also proposed amendments to the fund mittee on Rules operated with a funding evidenced little correlation with the previ ing resolutions which would have provided resolution of $30,000, and with the able as ously supplied material. the minority with one-third of the funds al sistance of 18 staff members. By 1981, the The minority's only recourse was to offer located for sta.tf salaries. Such amendments, Committee had amassed 45 staff members various amendments, all defeated, reducing however, were not offered to those Commit and if this resolution is adopted, will be the authorization. Our goal was to prevent tees with unitary or nonpartisan staffs granted a budget authorization of $530, 738. beginning new programs costing over $1 mil Armed Services, Intelligence, and Standards It might be argued that some restraint lion until our Committee understood what of Official Conduct. has been displayed since this year's authori HIS was doing with its existing programs. Although a one-third standard applies to zation is modestly lower than the one adopt We acknowledge that HIS has been of con "statutory" staff, no such guidelines apply ed in 1980. However, this ignores the fact siderable benefit to the House, inspiring and to staff hired pursuant to funding resolu that the 1981 authorization level represents promoting technological advances which tions. As a consequence, only about 15 per a 16-percent increase over 1980 expendi have strengthened our resource capabilities. cent of the staff hired pursuant to funding tures. However, HIS has also displayed a penchant resolutions are assigned to the minority. An amendment was offerd during full for pursuing programs of questionable value Even if statutory staff are incorporated in committee consideration on February 25, to and limited applicability. It is our view that the ratio, the total minority share hovers at reduce the authorization by the amount of to embark on new programs, before any a low 20 percent. This ratio is manifestly in annual compensation for individuals desig thorough review is undertaken, would be equitable for a body in which Republicans nated as "associate committee staff". Cur unwise. constitute 44 percent of the membership. rently, the Committee on Rules sets aside a Beginning last year, committees were re We have been amazed at the disparity in portion of staff slots to allow Members to quired to reimburse HIS for services pro investigative staff ratios for many of the personally appoint an individual to assist vided. Although there remain some difficul-</p><p>79-059 O - 1984 - 61 - (Vol. 127 Pt.4) 5128 EXTENSIONS OF REMARKS March 24, 1981 ties in the implementation of the reimburse ELEANOR PRECH'S RETIREMENT <a href="/tags/University_of_Chicago/" rel="tag">University of Chicago</a>, which is widely ment policy, we believe this is a good step, known and respected for its authorita and one which should be extended in the tive, accurate, and nonpartisan social future. HON. MARY ROSE OAKAR OF OHIO welfare research and analyses. PARLIAMENTARY IMBROGLIO IN THE HOUSE OF REPRESENTATIVES The most alarming finding of this study is that the administration's pro In the past, the House has considered Tuesday, March 24, 1981 each committee's funding resolution sepa posed cuts in Federal spending will rately on the floor. Although rarely was it •Ms. OAKAR. Mr. Speaker, on Feb reduce the income level of the poor permissible to offer amendments, there was ruary 13, 1981, the citizens of the in some cases to less than 50 percent always the opportunity to debate the merits Greater Cleveland community marked of the poverty standard-and those hit of each funding resolution and vote on each the retirement of a beloved and re- hardest of all will be the working poor. one individually. . spected journalist-Eleanor Prech, The President claims that he has left Now we are confronted with a new proce who retired as nationalities writer for a safety net for low-income Americans, dure designed to prevent careful Congres the Cleveland Press. Eleanor Prech but this study clearly and convincingly sional scrutiny of each Committee's budget. leaves behind 44 years of distinguished demonstrates that this is not so. All the funding resolutions have been journalistic writing for the Press, conveniently grouped into one omnibus res Mr. Speaker, this study dramatically olution. No longer will there be separate where she served at different times as underscores t)le need for Congress to consideration and a separate vote. Whatever editor of a "Round the World" in develop alternative budget cutting debate time will be provided will be liinited Cleveland column, editor of "War proposals that will not harm the poor, at best. The intent is to make the whole Zone Department" during the Second the elderly, mothers with children, package carry the big-spending Committee World War, editor of the "Women's and others in our society who are least budgets-Rules, Post Office and Civil Serv Pages," and then nationalities writer able to withstand a loss in services and ice, Energy and Commerce-each of which upon the retirement of Mr. Theodore benefits. For the information of my Inight fail in an isolated vote. Andrica in 1973. colleagues, the executive summary of This procedure is another form of "gag Before joining the Press in 1937, El the study "The Poor: Profiles of Fami rule", ill-suited to careful deliberation. It eanor attended Miami University in lies in Poverty" follows: only hampers the responsible exercise of Oxford, Ohio, Cleveland College of our legislative duties. We hope and expect THE POOR: PROFILES OF FAMILIES IN POVERTY that the House would reject this departure Western Reserve University, and Co <By Tom Joe, Cherly Rogers, and Rick from traditional practice. lumbia University. In 1956, Eleanor re Weissbourd> ceived a special honor by winning a $5,000 grant from the former New EXECUTIVE SUMMARY CONCLUSION York Herald Tribune to study in The Administration's proposed reductions Committee Republicians believe that the Europe for 1 year, where she gained a in federal spending will exact a high price committee funding process is one which from low-income Americans. Substantial cries out for greater accountability, equity, firsthand knowledge of the lives of Eu cutbacks are slated for the means-tested and fiscal control. Granting that progress ropean women. programs that provide the primary lines of has been made this year, we strongly urge Once she had become nationalities defense for the poor against destitution: Aid the following improvements: writer in 1973, Eleanor devoted virtu to Fainilies with Dependent Children Elimination of the distinction between ally all of her time and efforts in re <AFDC), food stamps, Medicaid, energy as statutory and investigative staff, requiring porting the activities of Cleveland's 64 sistance, public housing and the Compre that all staff costs be incorporated in the nationality groups. By her interest hensive Employment and Training Act funding resolutions; <CETA>. In some cases, the combined and involvement in these activities and impact of the Administration's budget pro Integration of the Appropriations Com by her desire to communicate in a posals will reduce the income level of the Inittee and the Budget Committee into the colorful and descriptive style the cus poor to less than 50 percent of the poverty committee budget review and oversight toms of Cleveland's nationality standard. process; groups, Eleanor helped to build better Although the merits of combatting infla Continued reductions in committee spend community understanding among all tion by reducing federal spending are debat ing, to stem the previously uncontrolled Greater Clevelanders in a direct and able, this report does not address this issue growth in committee budgets; personal way. and is in fact premised on the inevitability Incorporating a one-third minority staff Eleanor's nationalities column of spending reductions. The following anal ing provision in the funding resolutions, to ysis, instead, serves to underscore the need establish a fair share allocation of staff re always brightened the pages of the for alternative budget cuts. This paper pro sources; Press and brought smiles to the faces vides no such alternatives; it serves a prior Elimination of "associate committee staff" of countless readers. I will miss read purpose in portraying the alarming conse <now utilized by Rules, Appropriations and ing her column, but I am grateful to quences of the Administration's recommen Budget>; Eleanor Prech for having expanded dations on the poor. Review of Rule XI, clause 5Cd) which re my horizon in understanding other President Reagan's proposals to reduce quires fractionalized subcommittee staffs. peoples and cultures.• federal spending for these public assistance programs have two critical flaws: they strip Another goal, newly added to the list, is to low-income fainilies of their already meager restore the traditional practice of consider REAGAN'S BUDGET CUTS: DEV resources while inflation continues to erode ing committee funding resolutions separate the value of their incomes, and they shift ly and on their own merits-and not as an ASTATING IMPACT ON THE POOR significant fiscal burdens onto states and lo indistinguishable part of an omnibus resolu calities whose budgets are already in the tion. red. In order to show the stark effects of On the single Resolution reported by the HON. FREDERICK W. RICHMOND the cuts on the poor, we have presented a Committee on House Administration, we OF NEW YORK number of profiles of typical low-income will ask the House to amend it to meet our IN THE HOUSE OF REPRESENTATIVES families under the current system and target of a total 10-percent reduction under under the proposed changes in the six pro la.st year's expenses. If that amendment is Tuesday, March 24, 1981 grams listed above. The following provides a not adopted, we urge defeat of the resolu e Mr. RICHMOND. Mr. Speaker, I brief synopsis of our findings. tion. know my colleagues will be interested Over half of the states provide combined In the week ahead, the House will have an in an excellent study of the impact income from AFDC and food stamps below opportunity to address the heretofore un 75 percent of the poverty standard, and in controllable cost of its own committee struc upon the poor of President Reagan's few states does the combined income equal ture. We believe that the House must dem proposed budget cuts. The study was the poverty level. On top of these already onstrate that it also is ready to participate prepared by Tom Joe, Cheryl Rogers, low benefit levels, the Administration's pro in the sacrifice it is seeking of all Ameri and Rick Weissbourd of the Center for posals regarding AFDC and food stamps will cans. We will be measured by our example.e the Study of Welfare Policy of the result in several additional hardships for March 24, 1981 EXTENSIONS OF REMARKS 5129 the poor. First, the monthly disposable be cut by 25 percent. Average annual pay The cumulative effect of these budget income of all AFDC and food stamp recipi ments in nine states would decrease from cuts on low-income families threatens to se ents will be reduced. Non-earners will drop $158 to .$114 while energy prices continue to verely undermine their already weak pur several percentage points while earners fall escalate. chasing power. As a result, states and local an -average of 21.5 percentage points in the For low-income persons living in federally ities will be forced to assume increasing re states selected for study. Secondly, the pro subsidized housing, the Administration pro sponsibility for low-income persons. This is posals will discourage work by making it less posals will further reduce their income by 5 likely to cause serious political, administra profitable to maintain earnings. In one percent over the next 5 years. The national tive and financial problems for state and state, a working AFDC mother earning aver average monthly contribution per tenant in local governments. Politically, they will be age wages will receive the same monthly dis Section 8 housing in FY 1979 was $92.43. forced to limit eligibility or reduce services posable income as a nonworking AFDC Under the Administration proposals, this for one group over another if they cannot mother. In all states, the difference between will rise to $108.70 in FY 1986. Although the raise local revenues. Administratively, they the total income of an earner and non difference between these numbers appears earner decreases dramatically under the Ad small, it represents an 18 percent payment will be faced with several new technical ministration's proposals. A third effect will increase for a low-income family whose problems such as those associated. with es be to subvert the positive value of work budget is well below the poverty standard. tablishing and operating mandatory work through a punitive workfare program that For low-income families whose incomes are programs and administering multiple pro does little to lessen dependency. already being diminished by other assist grams through block grants. States and lo The average annual Medicaid expendi ance cuts, increased rental payments only calities will also be forced to assume an ad tures for an AFDC family of three in FY magnify the economic hardship they are ditional cost burden as many current recipi 1978 was $1,140. The President has proposed likely to face. ents in federal-state matching programs will $100 million in savings in 1981 and a cap of On top of these income and service reduc have to be covered by General Assistance 5 percent on 1982 expenditures. Although tions, employment opportunities through and served in county. hospitals which are no specifics have been made public, it is Public Service Employment <PSE> programs funded entirely through state and local rev likely that Medicaid recipients who lose are being eliminated. Of the more than enues. some or all of their Medicaid benefits will 300,000 people to be affected. by this, many not have the income necessary to cover can be expected to return to public assist Alternative budget cuts must be developed. losses up to $1,140. ance rolls or unemployment insurance, that require sacrifices froin segments of t:l:~e Low-income energy assistance payments, thereby increasing the burden on govern population that can sustain a loss in services which in FY 1981 already failed to meet the ment in terms of rising benefit payments and benefits. 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