May 9, 1979 EXTENSIONS OF REMARKS 10509

MENT REPORT.-The Secretary shall set forth available to the United States Geological -Page 274, line 1, strike "(b) (1)" and in in each report to the Congress under the Survey, the Bureau of Mines, or any other lieu thereof insert "(c) (2)". Mining and Minerals Policy Act of 1970 a agency or instrumentality of the United Page 333, lines 14 and 15, strike "after the summary of the pertinent information States. date of enactment of this Act". (other than proprietary or other confidential (Additional technical amendments to -Page 275, line 8, change "28" to "27" and information) relating to minerals which is Udall-Anderson substitute (H.R. 3651) .) change "33" to "34".

EXTENSIONS OF REMARKS A NONFUEL MINERAL POLICY: WE Of course, the usual antagonists are lined These Americans descend from .Japa­ CAN NO LONGER WAIT up on each side of this policy debate. But, nese, Chinese, Korean, and Filipino an­ as Nevada Congressman J. D. Santini points cestors, as well as from Hawaii and t'iher out in our p . 57 feature, their arguments Pacific Islands such as Samoa, Fiji, and HON. JIM SANTINI go by one another like ships in the night with nothing happening-until the lid blows Tahiti. In southern , where OF NEVADA off. we have the greatest concentration of IN THE HOUSE OF REPRESENTATIVES But, how do you get the public excited Asian and Pacific Americans anywhere Wednesday, May 9, 1979 about metal shortages? in the Nation, their valuable involvemept Even Congressman Santini's well-meant in the growth and prosperity of our local • Mr. SANTINI. Mr. Speaker, a com­ "Mines and Mining Subcommittee on En­ communities is very evident. monsense editorial, appearing in the vironmental Regulation and Enforcement" goes by the mind in a blur. And the Presi­ All through this week, they will be April 23 edition of the periodical Iron joined by other Americans across the Age, makes some plain observations of dent's "Interagency non-fuel minerals pol­ icy study," formed at Rep. Santini's urging country in celebration of the important a policy vacuum existing in this coun­ does!1't do much better. role Asian and Pacific Americans have try today every bit as critical as that What we're talking about, folks, is future played in the modern development of this which we call our energy policy. We sim­ metals supplies! The stuff you make things country, one which still continues to this ply cannot wait until we reach a similar out of! Who relates to non-fuel minerals, day. state with nonfuel minerals. We simply or, all these agencies, committees and sub­ cannot afford to wait. No industrial na­ committees, for heaven's sake! There is much to be enjoyed and tion can do without adequate mineral Of course, our industry hardly needs a lec­ learned by participating in the events supplies any more than it can do with­ ture on the importance of metals to our na­ that mark this as Asian/ Pacific Heritage out adequate energy supplies. The need tional well-being. But it may need a little Week. It is an opportunity too great to of a Federal policy on nonfuel minerals shaking up. So, here's a bit of history from pass up. I am sure that anyone who does Congressman Santini. take the time to do so will become con­ cannot be put off year after year after On the day Normandy was invaded, Hitler year. I believe that the national pas­ vinced as I have, that the Asian/Pacific stopped chewing the rug long enough to American community has a history of time of being unconcerned with nonfuel sweep the German General Staff off the com­ minerals must be turned around. munications channels and voice an hys­ many accomplishments and a future of I urge my colleagues to also consider terical plea for someone to get him some immense potential.• the hard truth in the following edi­ tungsten! Will some future U.S. president have to torial as it relates to the massive with­ take to the tube? THE DAVIS-BACON ACT SHOULD drawals of mineral lands sponsored in So, if you think we need a realistic energy BE REPEALED H.R.39: policy but are not all that excited about, or IF You SUPPORT AN ENERGY POLICY aware of, the need for a realistic metals pol­ To say the least, the recent nuclear plant icy, then you've got another think coming. HON. ELDON RUDD breakdown at Three Mile Island re-focussed I hope?e OF ARIZONA national attention on the need for a realis­ IN THE HOUSE OF REPRESENTATIVES tic, clearly-defined energy policy. Coincidentally, the accident occurred short­ ASIAN / PACIFIC AMERICAN Wednesday, May 9, 1979 ly before President Carter was due to go on HERITAGE WEEK • Mr. RUDD. Mr. Speaker, my home the airwaves with his latest plan for coming State of Arizona has especially felt the to grips with the energy problem. adverse impacts of inflation in its rural But this time he did get national atten­ HON. GLENN M. ANDERSON communities and Indian reservations. tion instead of the usual stifled yawns and OF CALIFORNIA hopes of the country that the regular TV Certainly, one of the greatest contrib­ programming would resume soon. So now, IN THE HOUSE OF REPRESENTATIVES uting factors increasing inflation is the maybe we will come up with an energy pol­ Wednesday, May 9, 1979 Government's unwarranted imposition of icy that makes sense. higher closed-shop construction wages. Running quietly side-by-side with energy, e Mr. ANDERSON of California. Mr. The Davis-Bacon Act requirement though, is another policy vacuum that is Speaker, through a joint resolution ap­ that the prevailing union wage be paid every bit as critical to the country. proved by the Congress last year, this for federally assisted housing projects What I am talking about is the need for week in May has been declared Asian/ has directly caused the inordinate rise a realistic metals mining policy that will Pacific Heritage Week. I bring this to work toward the best interests of the coun­ in the cost of public housing construc­ try in the years ahead. the attention of this body because of my tion in Arizona and throughout the Now, there's nothing I can foresee that sincere belief that the contributions Nation. wm dramatize the metals policy issue like made to our country by the over 2 mil­ I find it particularly appropriate that the nuclear failure did for the energy pol­ lion Asian/ Pacific Americans of this our colleagues in the Senate Select Com­ icy-thank goodness. But that doesn't make Nation deserve special recognition and mittee on Indian Affairs are this week the need any less important. appreciation. considering the impact of the Davis­ No industrial nation can do without ade­ This week also marks the anniversaries Bacon Act on publicly financed housing quate metals supplies any more than it can of two important events in American do without adequate energy supplies. programs on Indian reservations, many history. On May 7, 1843, the first .Tapa­ of which lie in Arizona's Fourth Con­ Right now, though, the mining of cop­ per, lead, zinc and other metals is ham­ nese entered the United States, and gressional District which I represent. pered by costly, e...::cessive environmental rea­ May 10, 1869, was the day when the first The artificially inflated costs of Davis­ ulations that threaten to drastically redu~e transcontinental railroad, largely built Bacon result in less actual construction metals supplies and increase our depende.nce by Chinese laborers, was completed. for hospitals, schools, and other facili­ on outside sources. These are but two of the many events in ties, which are badly needed in many Would you believe, for example, we may our Nation's history which we should Indian communities. see no zinc smelters operating in this coun­ try by 1985? consider this week in honoring Ameri­ The Senate committee has prepared a cans of Asian/ Pacific heritage. concise report on Indian housing which

• This "bullet" symbol identifies statements or insertions which are not spoken by the Member on the floor. 10510 EXTENSIONS OF REMARKS May 9, 1979 The Act was intended to address such situ­ clearly delineates the inftationary i~­ INAPPROP!UATE RESERVATION RATES In the case of reservation area rates, ap­ ations by allowing the establishment o! pact of Davis-Bacon and serves as addi­ apprenticeship and training programs ln tional evidence that this antiquated parently the Department of Labor has sim­ plistically taken the rate established for the which a nonskilled worker could work on a legislation should be repealed. nearest metropolitan area and increased it Davis-Bacon governed project at a lower This position was recently confirmed by an amount sufficient to transport a work­ apprenticeship wage in order to gain the by a General Accounting Office study, er from the metropolitan area to the reserva­ the experience and training necessary to resulting in the GAO's recommendation tion and back each work day. By virtue of qualify the worker for master craftsman that Congress repeal the Davis-Bacon their nonspecificity, reservat ion Davis-Bac.jn rates. rates are prohibitively high. Yet, the Department of Labor's Bureau o! Act. Apprenticeship and Training (BAT) which I am pleased to have joined my col­ The few contractors located near an IHA generally have lower wage rates than the administers these programs has not taken league from Minnesota, ToM HAGEDORN, Davis-Bacon rates. The requirement of Davis­ any initiative to adapt them to the reserva­ and 74 other colleagues in cosponsoring Bacon rates often causes such potential con­ tion and make them work. Only one tribe-­ H.R. 1900, which would repeal the Davis­ tractors to shy away from bidding on an the Navajo Nation-has had a large scale Bacon Act. I sincerely hope that Con­ IHA's project simply because the contrac­ and successful apprenticeship program and gress will deal with this important issue t:>r must reduce the firm's wage scales after then only after the exertion o! much effort during the present session. the IHA project is completed (a demoralizing Few other tribes are large enough or diverse procedure to the worker), except in the un­ enough to make such a program, as presently I commend to my colleagues the brief administered by BAT and the Navajo Tribe, report on Davis-Bacon Act requirements likely event that it obtains another Davis­ Bacon governed job or is able to bid success­ a success. One of the many requirements ls from the Senate Select Committee on fully at noncompetitive levels in the private that the IHA or tribe applying for an ac­ Indian Affairs, and include it at this market. Unfortunately, the superficially pre­ credite:i program must be able to guaran­ point in the RECORD: pared and nonspecific Davis-Bacon wage tee that a trainee will have work experience (From a report on Indian housing o! the rates under which an IHA must operate tend for at least a 3-year period. An appro~red pro­ U.S. Senate Select Committee on Indian to diminish the number of interested con­ gram must also have a significant classroom Affairs, April 1979] tractors thereby diminishing the level o! component; an activity which much be done on a large scale in order to become cost DAVIS-BACON WAGE RATES competition and cost-effectiveness to the point that, in many instances, only one firm effective. And, finally, an IHA or tribe at­ The requirement for HUD Indian pubfic bids on a project. tempting to establish such a program must housing programs to pay "Davis-Bacon" wage gain approval from the State apprenticeship rates on all HUD-assisted construction has UNEQUAL APPLICATION council, violating the Federal policy of a di­ been identified by many different IHA's as a Under the HUD Indian public housing pro­ rect government to government relationship major source of inflation and delay. gram most of the house const ruction is on with Indian tribes. Unfortunately, the rela­ The Davis-Bacon Act requires that all con­ detached, if not scattered, single-family units tionships between many tribes and unions struction labor wages on HUD-assisted In­ in isolated rural areas. No ot her federally as­ have not been very good since many tribes dian housing projects be paid at least at the sisted housing program of a similar nature is are outside the immediate areas of high un­ rate preva111ng in that area. The original subject to Davis-Bacon. The Davis-Bacon Act ion activity. purpose o! the act was to prevent Federal of 1931 was applied to public housing proj­ Despite the urgings of the chairman of the contractors from engaging in the practice ect s at a time when all Federal public hous­ Select Committee on Indian Affairs during o! bringing into an area of Federal construc­ ing proje:::ts were located in urban areas and t he 95th Congress, and the requests of var­ tion out-of-State workers who generally were multi-family dwellings. Today, single ious tribes, BAT has not resoonded with an worked !or less than the local community family units assisted by both HUD's FHA, and apprenticeship and training program that. workers thereby undercutting and depress­ USDA's FmHA are not subiect to Davis-Bacon is usable on a reservation. The Department ing preva111ng local wage scales, demoraliz­ wage rates, yet HUD Indian units are re­ of Tnterior's BT A- Tndian Action Training ing local labor markets, and in turn, disrupt­ quired to pav those •ware rates. (IAT) program has established employment ing local economic conditions. While thP Following is a table o! the average wage training projects on more than 50 reserva­ Davis-Bacon Act has provoked a significant rates established under Davis-Bacon which tions. DOL's own Employment and Training amount of controversy, the arguments pro graphically portrays the ext reme variances Administration (ETA) has Comprehensive and con have in large part been irrelevant contained within one HUD region (IX) on Employment and Training Act (CETA) of­ to the unique problems ensuing from the 35 different projects governed by 20 different fices on more than 100 reservations. Given application o! the act in the reservation Davis-Bacon determinations : the two other existing Federal programs, it setting. aopears that there are more than enough The act was supposed to have prevented VARIANCES IN OAVIS-BACON RATES WITHIN HUD REGIO N training resources out of which BAT could the Federal Government from becoming IX easily construct a worthwhile and appro­ party to a procedure which could cause non­ priate prop:ram. Noneth~less , BAT has yet local workers to depress local wage levels Number Average to take any interest in Jndian apprenticeship and take jobs from local workers. Precisely, Reservation of projects wage rates r programs although Indian community un­ the opposite is true on Indian reservations. employment rates generally eclinse even the The direct result o! Davis-Bacon has been a Moapa River, Nev ... ------1 $14. 83 worst urban g hetto black teenaae rates, with discrimination against local hire of Indians Fort Mohave, Calif. ______1 14. 75 some reaching as high as 80 percent. because !ew have had the opportunity to All Mission, Calif. •. ------1 14. 05 Pyrami d Lake, Ne.v______1 13.42 RELATIVE IMPACT ON COSTS gain a marketable sk1ll to the degree t hat Fort McDowell, Ariz.______1 12. 98 There is some disryut e over t he degree of it is feasible !or a contractor to hire these Salt River, Ariz.______2 12. 94 impact that Davis-Bacon wae-e rates have on workers at Davis-Bacon rates. Pa pago, Ariz. .. ------2 12. 81 Navajo, Ariz.______6 12. 24 the cost of HUD Indian housing. In an in­ The act was not designed to increase con­ formal survey o! several IHA's it appears that struction wages or beneft t rates in an area. Laguna , N. Mex______1 11.83 Northern Pueblos , N.Mex. ______1 11.72 the percentage of the t.atal development cost Its purpose was to maintain wage levels al­ Navajo, N.Mex . .. ------2 11.26 attributable to total labor costs (as opposed ready found to prevail in an area where fed­ Zuni , N. Mex ______1 10. 34 to materials and equipment costs) ranges erally assisted construction is to take place. All Indian, N.Mex ...• ------·---- 6 9. 60 Mescalero, N. Mex______1 8. 47 from 40 percent to 53 oercent for one housing Yet, as applied on Indian reservations where White Mountain, Ariz. ______1 7. 14 unit in an average project. little, if any, similar precedent setting con­ Sa n Ca•los, Ariz.______1 7. 14 HUD recently conduct ed a study which in struction activity has been performed, the Gila River, Ariz ______2 6. 94 6. 58 draft form indicated that reservations with Davis-Bacon rates are often much higher Rou nd Valley, Calif. . . -----·------2 high Davis-Bacon wage rates did not have than they would otherwise be. In large part, Te-Moak , Nev .. ------1 6. 50 Goshute, Nev ... ------1 6. 08 high dwelling construction costs. b11t reser­ this is because the Department of Labor has vations with low wage rates had moderate and made little or no effort to compute Davis­ •.Average of 3 trades: Carpenters, plumbers, and electricians. low dwelling construction costs. Jn other Bacon rates that are specific to each reserva­ words, t he draft studv attempted to show tion situation. Many reservations are not lo­ Source : HUD 1978 draft survty ; HUD r~gion IX. that low wage rates help keep some pro.1 ects cated in unionized areas. Despite the fact the Department o! Labor surveys are sup­ NO MEANINGFUL APPRENTICESHIP OR TRAINING inexpensive, and that it is not high wage rates posed to include all workers performing sim­ ALLOWED BY THE DEPARTMENT OF LABOR that make other projects expensive. ilar work in the area, both union and non­ Despite t he fact that in most instances RE : OMMENDATIONS union, studies by the General Accounting Davis-Bacon rates are inflationary because Whether or not Davis-Bacon wage rates Office and private researchers have estab­ of their nonspecificity, it is difficult to argue are engines of inflation on HUD Indian lished that Department of Labor procedures against the payment of high wages to Indian homes. one thing is clear: as presently ad­ o!ten involve the use of old data, data from workers, especially in high unemployment ministered, the Davis-Bacon program bars outside local areas, or simply t he use of the areas such as are found on most reservations. local unemployed Indians from working on prevailing union rates in construction-all Yet, few Indians are ever hired on many their own housing project s. The Department practices which discriminate against non­ IHA projects because the pool of skilled labor of Labor should immediatelv mnke a con­ unionized bidders in the reservation areas. on most reservations is almost nonexistent. certed effort to de\·elop an Indian apprentice- May 9, 1979 EXTENSIONS OF REMARKS 10511 ship and training program that works on I n­ now been located. Consequently, the IRS their own liberty, but on behalf of ours dian reservations. Such a program should said it would not reimburse the center as well. make maximum use of the existing Federal for money it had already returned to It is also this sense of ethnic pride in efforts under CETA and the BIA, and should employees. be designed to insure a measurable and sig­ the accomplishments and heroic deeds nificant increase in Indian employment on By this time it was too late to get the of their forebears which has made such HUD and other Davis-Bacon regulated Fed­ money back from the employees who a strong impact on our own society--dis­ eral construction activity on reservations. For had spent the money or were no longer proJ,:ortionate to the number of American both practical and policy reasons, the pro­ employed by the center. citizens who presently claim Hungarian gram should respect the direct one-to-one re­ The IRS cannot remedy this unfortu­ ancestry. lationship which the Federal Government nate situation because it does not have As chairman of the Committee on For­ possesses with Indian tribes. HtJD, Dep~rt­ the authority to expend funds without a ment of Labor's ETA, and DOl's BIA should eign Affairs, I welcome this opportunity cooperate fully in assisting BAT's lead role in legal obligation to do so or a statutory to pay tribute to the patriotism and cul­ the expeditious development of t his program. authorization. This bill provides that the tural enrichment which the people of The Department of Labor should also de­ Secretary of the Treasury determine the Hungary have proudly and unabashedly velop wage rates that are specific to each amounts withheld and treat these contributed to American life.e IRA's situation. Prevailing wages should be amounts as tax overpavments which are determined on the basis of actual surveys, not then reimbursable to the center. paper extrapolations from metropolitan areas The bill would also allow the em­ hundreds of miles away. These IHA specific ASIAN/ PACIFIC AMERICAN ployees involved the option of repaying HERITAGE WEEK rates should both insure that Indian workers their social security over a period of are paid sufficient and fair wa~e rates and that local contractors are not frightened time if they wish to be covered for the away from bidding on IHA projects by arti­ period during which FICA taxes were HON. ANTONIO BORJA WON PAT ficially high labor rates. originally withheld. OF GUAM And finally, HUD and the Depart ment of The Senate Finance Committee re­ IN THE HOUSE OF REPRESENTATIVES Labor should jointly consider exempting viewed and passed this legislation last those HUD-assisted Indian house~ that are year. The full Senate passed the bill as Thursday, May 3, 1979 detached single family units from the Davis­ a rider to an authorization bill on B~con requirements. As a substitute to pro­ e Mr. WON PAT. Mr. Speaker, as one tect the interests of Indian workers, HUD August 23, 1978. The authorization bill of the cosponsors in the House of legis­ should tal{e hiq; h level initiatives re..,uesting and the Jefferson County Mental Health lation which authorized this week to be that the Department of Labor and BIA work Center rider subsequently died in con­ honored as Asian/ Pacific American Her­ with HUD to institute an apprenticeship and ference. itage Week, I want to congra-tulate all training program to insure that local Indians Having come so close to final passage those who are working hard to make this are allowed fair and equitable employment last year, the bill deserves expeditious historic occasion a success. opportunities . ~ approval by the 96th Congress. A com­ panion bill will be introduced in the I am proud to be a Pacific American. Senate by my colleague, Senator HART. I And I am doubly proud to be fortunate THE JEFFERSON COUNTY MENTAL to serve Guam as its congressional rep­ HEALTH CENTER RELIEF ACT hope this legislation can be enacted without delay so as to eorrect the in­ resentative. equities that have arisen as a result of Today, I will be serving on a special HON. TIMOTHY E. WIRTH administrative misunderstandings be­ panel on Asian/ Pacific American Rights OF COLORADO tween the IRS and the Jefferson County at George Washington University where Mental Health Center.• we shall discuss employment concerns IN THE HOUSE OF REPRESENTATIVES of our people. This is an extremely im­ Wednesday, May 9, 1979 portant matter and I hope my statement • Mr. WIRTH. Mr. Speaker, I am intro­ which I now insert in the RECORD will be COL. MICHAEL KOVATS DE FABRICY helpful to those who share my concern ducing today a bill for the relief of the IN MEMOR!AM Jefferson County Mental Health Center. that all Americans, regardless. .of their Located in Lakewood, Colo., the center ancestry or birtholace, be given equal provides mental health services for a HON. CLEMENT J. ZABLOCKI employment rights: tricounty area. Unfortunately, the cen­ OF WISCONSIN EMPLOYMENT CONCERNS OF PACIFIC ISLANDERS IN THE UNITED STATES ter has suffered a series of administra­ IN THE HOUSE OF REPRESENTATIVES tive misunderstandings with the Internal (By Antonio B . WON PAT) Revenue Service that can only be rem­ Wednesday, May 9, 1979 Ladiec; and gentlemen. as a co-s,..,onsor of edied through legislation. e Mr. ZABLOCKI. Mr. Speaker, it is a the legislation that made Asian-Pacific Her­ The problem developed over the pay­ privilege to .ioin my colleaques tod·w in itage Week possible, I am happy and proud to be here particioating in this Asian-Pacific ment of social security taxes by the cen­ commemorating the bicentennial of the Human Rights Conference. For too long, the ter. The Jefferson County Mental Health death of Col. Michael K'Jvats de Fabricy, needs and rights of Asian Americans and Center, a nonprofit organization, is ex­ commandant of the Pulaski Legion which Pacific Islanders in the United States have empt from employee participation in the distinguished itself on manv occasions been ignored. The saying "minority-yes, op­ social security program. However, the during our War of Independence. pressed-no" is commonly applied to justify employees at the center elected to par­ The life and career of this distin­ the exclusion of Asian Americans and Pacific ticipate in the program. guished Hungarian patriot has been well Islanders in voluntary affirmative action pro­ Proper forms were filed with the IRS documented by the American Hun in the cause of a lack of the proper forms, the nent scholars of the Revolutionary mainland. Any serious discussion of employ­ center had been wrongfully withholding period. ment concerns of Pacific l '! landers in the the FICA taxes. The IRS told the center I believe, however. that this occasion mainland must begin with an analysis of some of their socio-economic characteristics. to reimburse the employees for FICA serves as an important reminder to all HoweYer, any such analysis is difficult to taxes withheld and that the IRS would of us in this bod". and in the country at conduct largely because there is so little reimburse the center. large, of what the concept of freedom d ata w~th which to work. The Jefferson County Mental Health has meant to thoc:e who have been denied The political relationship between the Center reimbursed 133 employees for a it throughout much of the history. It is United States and the Pacific Islands is such total of $74,128. Shortly thereafter the also a poignant reminder that many that islanders can travel freely to the United IRS informed the center that p~oper brave Hungarians have fought for free­ States; they are not subject to immigration forms had originally been filed and had dom in the past, not only in defense of laws and quotas that otherwise apply to 10512 EXTENSIONS OF REMARKS May 9, 1979 nationals of China, Japan, the Philippines contracts let by any Federal agency." How­ and have certainly brought many hours and other Asian countries. Consequently, the ever, the Office of Federal Procurement Policy of entertainment to the citizens of Tulsa Immigration and Naturalization Service does and the Small Business Administration have not monitor the migration of islanders to issued propo£ed implemenhtion language and northeastern Oklahoma. the mainland. that limits the groups to be designated "so­ The American Theatre Company has Moreover, the U.S. Bureau of Census does cially and economically disadvantaged" to also sponsored an annual statewide sum­ not provide a classification for Pacific Is­ Blacks, Hispanic Americans and Native Amer­ mer tour over the past 5 years. This tour landers residing in the United States to icans. The exclusion of Asian Americans and has allowed thousands of interested identify their race or place of origin. Al­ Pacific Islanders from the "socially and eco­ Oklahomans to view, and participate in, though I have been informed that the census nomically disadvantaged" category places the many of these productions of quality questionnaire for the 1980 census will allow burden of proof of eligibility on the individ­ and depth. I have appreciated many of identification of place of origin, there is at ual minority member to document his status present no official way o! knowing how many as disadvantaged; a condition that is difficult these productions, and hope they will islanders are living in the mainland. to prove in light of the lack of census and continue as an integral part of our com­ The only sources of information available socio-economic data on Pacific Islanders in munity in the years ahead. The com­ are individual, private observations made by tJhe mainland. And what if the reviewing of­ pany is now celebrating its lOth anniver­ civic organizations such as the Sons and ficer never even heard of Guam, Saipan, Rota, sary, and I am sure thev will continue Daughters of Guam in San Diego, Hafa Adai Samoa? to build upon the strong foundation they Club of Fairfield, California, Guam Club of Employment concerns of Pacific Islanders have strengthened throughout the past Long Beach, concerned Asian American and in the mainland are part of their overall, as decade.e Pacific Peoples in , and the Guam one writer put it, "struggle against anonym­ Territorial Society of Washington, D.C. and ity" the writer said: a few independent surveys conducted by "In American society, the principal means doctoral candidates at di1Ierent graduate by which a group gains public and govem­ SALUTE TO REDLANDS COMMUNITY schools. ment response to its needs is political pres­ HOSPITAL These sources estimate that in California sure, which is partly a function of numbers. alone there are approximately 50,000 Gua­ Pacific Jslanders are particularly ill-equipped manians, 70,000 Samoans and 30,000 other is­ to use this method. Their numbers are small, HON. JERRY LEWIS landers from the Trust Territories and the and, having lived through a long period of OF CALIFORNIA Northern Marianas. colonization, they are limited in their ability IN THE HOUSE OF REPRESENTATIVES I! their figures are correct, what they in­ to confront an insensitive system. They have dicate is a massive migration of Pacific Is­ not even begun, as other minorities have, to Wednesday, May 9, 1979 lan.ders to the mainland. We must accurately present their case. despite the fact their edu­ • Mr. LEWIS. Mr. Speaker, 50 years ago, and officially ascertain these numbers in order cational level and job opportunities may be the citizens of Redlands saw many years to be able to study and determine their needs the lowest among U.S. minorities." on a comprehensive basis. In the eight years that I have served as of dreams and hard work culminate in The same sources mentioned also estimate delegate and Congressman from Guam, I have the reality of the Redlands Community that 75 percent of the Guamanians are active seen a developing awareness on the part of Hospital. It is my privilege to represent or retired military personnel, their depend­ Congress of the Pacific Islands as political t.his communitv whose con~ern for their ents, and relatives. A much smaller percent entities and not just as colonies or mili­ fellow man is truly remarkable. consists of Guamanians who attended col­ tary bases. This awareness is reflected in the Since that time. Redlands Community lege here and remained after graduation. negotiation of commonwealth status with Hosnital h8s served peoT)le with first­ Strides have been made in minority em­ the Northern Marianas and the creation of class medical care and treatment sup­ ployment since 1964 with the passage of the an office for a delegate from American Samoa, Civil Rights Act, Title VII of which bars em­ among other thin!;!S. ported totally through the efforts of the ployment discrimination on basis of race, I have also just recently detected a grow­ community. color, religion, national origin and sex. Like ing awareness on the part of Congress of I wish to resnectfully ~ubmit a brief other minorities with whom they are grouped, the concerns and needs of Pacific !slanders history of th~ hospital which was pre­ i.e., the Chinese, Japanese and FiUpinos, Pa­ as a minority group in the United States. pared by Ardith Bq,'ker and wic::h all who cific Islanders have made some progress into This e.wareness is reflected in legislation in­ have made the Redlands Community professions and into the corporate manage­ troduced in Conq:ress that mv office monitors Hospital what it is today continued suc­ ment structure. However, observers agree and which I either sponso.r, cosponsor or cess in the next 50 years. that although there is some u-pward mobility, otherwise support. Much of this legislation is barely a handful of Pacific Islanders get past designed to amend existing federal programs The history follows: middle management positions. to expressly include Asian .Americans and REDLANDS COMMUNITY HOSPITAL, 1929-79 A canvassing of the membership of the Pacific Tslanders or to support existing pro­ Redlands Community Hospital has been civic groups mentioned above indicates that grams that already include Asian Americans a sincere community effort since a charter the overwhelming majority of Pacific Is­ and Pacific Islanders. was granted May 18. 1927. Thirteen doctors landers are employed in non-technical. non­ The time has come for Pacific !slanders had soearheaded the drive for a hospital, sk1lled. non-professional .1obs. That is not in the mainland to assert themselves. This eighteen members of the community signed surprising in light o! the estimation that less particular conference and the celebration of the Articles of Incorooration. seventeen than 1 percent of them have college degrees. this week as Asian-Pacific Heritage Week acre<; of land were donated by Mr. and Mrs. Many Pacific Islanders complain that they should be the first giant step in this Edward Cope and Building Fund Drive get lower salaries than their white counter­ direction.e Pledge Cards fiew through the mail-postage parts who have equal or even less education 2 cents! and who are performing the same job. This The new hC'spital opened its doors on charge is consistent with the often cited AMERICAN THEATRE COMPANY March 18, 1929, with 40 beds. 16 cribs, 2 theory that most emplovers t!hink they can ADDS TO OKLAHOMA HERITAGE oTJerating rooms. a medical-advisory board get away with paying lower wages if they of 4 doctors and 11 administrative. house­ hire .Asians and Orientals who are often keeping and maintenance employees. The characterized as law-abiding, submissive, HON. JAMES R. JONES first laboratory, the first obstetrical equip­ non-assertive and less likely to make a fuss ment, the first receotion room and the fur­ or challenge their superiors. OF OKLAHOMA nishing of many patient rooms were all As with other races in the Asian American IN THE HOUSE OF REPRESENTATIVES donated. The tradition o! caring was estab­ category, Pacific Jslanders remain !or the Wednesday, May 9, 1979 lished throu~h these gifts and by a memo­ most part ineligible for inclusion in specific rial fund of $10.000 contributed to help the affirmative recruitment programs. And to­ • Mr. JONES of Oklahoma. Mr. Speaker, "deserving and needy persons in Redlands." day, the legality of voluntary affirmative ac­ I would like to take this opportunity to The first surgery was performed March 18 tion programs to help minoritv grouPs over­ commend a group of citizens who have and the first baby was born on March 20. come the effects of past discrimination is be­ brought laughter, joy, warmth, and Routine laboratory work ccst $3. room fees ing questioned in the c~se of Weber vs. Kaiser ranged from $8.50 to $12, a maternity cost Aluminum presently pending decision before cultural fulfillment to the citizens of for ten days was $75 plus 50 cents a day for the U.S. Supreme Court. An adverse decision Tulsa and northeastern Oklahoma over nursery. in that case would set back what progress has the past decade-the American Theatre Depression day descended and there are been made. Company. records of $1 to $5 being paid "on account." Pacific Tslanders for the most part also re­ The American Theatre Company, a RCH reported a $350 deficit. the first year. main ineligible for participation in manv member of the Theatre Communications By 1932 times were really hard and there federal programs. A case in point is PL 95- were headlines of a feared clcsing of the 507, !ormerlv the Addabbo bill. The legisla­ Group, has brought a great number of hosoital. $12.000 was needed by July. Rates tion intended that all minority g-roups be prestigious theatrical productions to were lowered to encourage use. women afforded "the maximum practicable oppor­ Tulsa. These contributions have en­ canned fruit and jelly and raised funds and tunity to participate in the performance of riched the cultural heritage of our city oranges. The headline finally read "Com- May 9, 1979 EXTENSIONS OF REMARKS 10513 munlty Hospital Operated at a Loss But scored one salient issue just the other day jected aggregate national surplus in Special Gifts Overcome Deficit." when he noted that congressional failure An elected Board of Directors evolved State budget in :fiscal1979. following the years of devotion of the to fund the StA. te share of general reve­ Additionally, the bulk of the surplus original charter members. A Corporate Body nue sharing "would be a vote to go back­ for 1978 was spread throughout the was formed by 100 community members wards to the kind of thinking that says South and the West, where some 85 per­ from which these Directors would be elected. Washington has a monopoly on concern cent of the surplus was located. Thus, A small memorial wing of wards was added and expertise in problems that Gover­ if we eliminate the State share, our in 1938 and a memorial laboratory was given nors, mayors, and county officials grap­ action would fall inequitably on the great in 1939. Another memorial enlarged and ple with every day." number of States who do not have the modernized the Maternity Wing in 1950. What is at stake, in other words, are By 1956 the hospital was outgrowing its operating surpluses that some of their 76 beds and an Expansion Fund Campaign the principles underlying the relation­ sisters enjoy. was launched-the first drive since 1928! ship of the Federal Government to the It is further folly, Mr. Speaker, to The Moseley Wing provided 29 additional S tates and localities. Certainly, there al­ base a major programmatic decision beds and, with a new Radiology Wing, was ways is some tension between the Na­ such as this on t he anticipation of con­ dedicated June 29, 1958. tional Government, on the one hand, and tinued State operating surpluses. The Rapid growth of the community soon the S tate and local governments, on the indicated a critical need for expansion and evidence to back up this point is am­ an ambitious plan was drawn for a new other. Generally, this tension provides ple. Both Chase Econometrics and Data Tower. Once again the community contrib­ for creative federalism, but it is founded Resources, Inc., project declines in these uted time, talent and funds to make this on the principle of power sharing and surpluses from 1978 to 1980, and by addition possible. The Tower was dedicated not power domination. The elimination 1980, the national aggregate will be in on December 4, 1966 and RCH was licensed of the State share threatens to under­ deficit. for 195 beds. In 1971 an addition of labora­ mine the power-sharing relationship More so, it is highly questionable tory, radiology and auditorium was accom­ within our system to no useful end. plished without another fund drive. whether accurate assessments can even Redlands has grown from a village of To some extent, I can understand the be made about the general health of 13,000 to a city of 40,611 and RCH from 40 committee's advertised intent in pro­ State governments simply by examining beds to 195 with a. medical staff of 78. With posing what it did. There is not one the aggregate surplus or deficit. the devotion of the community still strong, Member of this body who has not been In the Economic Report of the Pres!. needed space will be built, costs wlll be exposed to the justifiable demands of our contained, government requirements will be dent, it is stated that movements in electorates for greater fiscal accounta­ these aggregates: met and the health needs of the area will bility on the Federal level. Yet, while ba met. e .. . conceal great diversity across states the money issue has gained prominence, and among cities and areas within states .. .. I believe that the locus of decisionmak­ Extreme care must therefore be used in REVENUE SHARING ing authority deserves equal billing. The drawing general conclusions about the fiscal frustration that our people feel results condition of the state and local sector, or of not solely from their perception that we individual areas within it, from the ag· HON. JOHN B. ANDERSON are spending their money without end; gregate surplus or deficit. OF ILLINOIS it grows also from the sense that they A report prepared by the Joint Eco­ IN THE HOUSE OF REPRESENTATIVES have no say in helping to determine nomic Committee in January spells out Wednesday, May 9, 1979 those ends. even more clearly the danger of basing Revenue sharing, at least, holds out e Mr. ANDERSON of Illinois. Mr. absolute judgments on the "surplus": the real promise that the organs of de­ The surplus that now exists in state and Speaker, shortly after the cherry blos­ cisionmaking closest to the people, State soms bloom each spring, Congress begins local budgets is not all it's cracked up to and local governments, will be able to be .... It may rise today but it seems likely its semiannual stab at fiscal responsi­ channel taxpayers' funds to useful and to fall tomorrow. This is another reason !or bility under the guise of the first con­ locally determined purposes. If we end not altering policy judgments of underlying current resolution on the budget. And, Federal funding for the State share of fiscal or economic needs because of short­ just as the blossoms wither with age, the revenue sharing, we are doing several term bulges in the surplus. promise that the budget debate will be truly responsible fades as the reality of things. First, we eliminate States from These facts and estimates underscore political jockeying crowds out the best a successful and necessary program. Sec­ the fiction of the majority's arguments intentions. ond, even though this is not a fact ad­ for eliminating revenue sharing for the I support the amendment before us to vertised by the Budget Committee, States. restore a portion of the State share of States transfer about 40 percent of their If the facts are not there to buttress the general revenue-sharing program. entitlements to local governments; its argument, I can only speculate on And, I would have supported restora­ therefore, striking the State share has a why the majority of the committee acted tion of the total State share. But, the definite impact on local revenues as well. as it did in this case. Quite frankly, I see fact that we are forced to offer such an Finally, if we eliminate State participa­ no reason for its action other than to amendment only illustrates why our tion in GRS, more and more authority, foist a fiscal and political charade upon habit of confusing fact with fiction and responsibility, and control will flow to­ the American people and to get the replacing resolve with expediency has ward Washington, and the accompany­ budgetary monkey off its back by recom­ demeaned the budget process. I fear that, ing cession of State and local decision­ mending a policy that is indefensible and if we continue to make recommenda­ making can only contribute to the demands revision. tions that are as selfishly motivated as estrangement from Government that Mr. Speaker, in 1976, Congress ex­ the committee's proposal, the concurrent has characterized the prop-13, budget­ tended the general revenue-sharing pro­ budget resolution will acquire a new cutting mood. gram by the overwhelming margin of 361 nickname, the "fiscal follies of 1979." Few philosophical arguments are to 35. At that time, the yearend operat­ Mr. Speaker, I need not restate all the without practical considerations, and the ing surplus of the States amounted to arguments that have been made in favor committee has offered a few practical 6 percent of general fund expenditures. of general revenue sharing. Many of my justifications for its action. Yet, upon The projection for 1979 is 3.6 percent of colleagues have made these points in the examination, Mr. Speaker, those ex­ general fund expenditures will be made last several days during our debate and planations fail to pass the test of prac­ up by surplus. Congress in 1976 did not in the past when we created and later ex­ tical scrutiny. move to eliminate the State share of tended the revenue-sharing program. For instance, the main argument for­ funding. Rather, it voted to extend that But, there remain certain outstanding warded by revenue-sharing opponents is funding even though the budgetary sit­ issues which deserve our attention before that the States enjoy a relatively healthy uation, on the surface, was even more we vote again, as I hope we do, to restore fiscal climate. On the basis of an over­ favorable to the States than it is now. the outlay and budget authority targets all State budget surplus, they argue that If it did not eliminate State participa­ for the full program. States can bear the elimination of their tion then, should it do so now? Obviously, there are key philosophical, share of GRS. Yet, as has been em­ From what I have heard, Mr. Speak­ as well as practical, considerations in­ phasized and reemphasized, three er, nothing has convinced me that it volved in this discussion. For instance, States-Texas, Alaska, and Califor­ should not continue; rather, there are my friend, Gov. Jim Thompson, under- nia-alone account for most of the pro- more reasons why it should continue.• 10514 EXTENSIONS OF REMARKS May 9, 1979 HUMAN RIGHTS FOR MINORITIES Church Properties, the cases were taken to reach, it is only too tempting to bypass LIVING IN ISTANBUL the Courts, however, the Governing Boards the grim headlines and head for the were not perm! tted the basic right of all sports pages. That temptation is par­ Turkish citizens t o have legal re ~ resentation HON. HERBERT E. HARRIS II to support their positions. This right is ticularly strong when our papers have guarant eed by the Constitution of the Turk­ such fine sportswriters as Terry Pluto, OF VIRGINIA ish Democracy and amplified by the Law, a native of my own Parma, Ohio, in the IN THE HOUSE OF REPRESENTATIVES and specifically by the Code for Lawyers. 23d District. But newspapers have not Wednesday, May 9, 1979 The members of the Governing Board are been Terry's only medium. His articles brought before the Prosecutor and are being have appeared in Sports Illustrated, • Mr. HARRIS. Mr. Speaker, my friend, harassed by the police. Sports magazine, and other publications. the Reverend Theodore H. Chelpon of St. "The situation has become worse during Most recently, Terry's first book was Katherine's Greek Orthodox Church of the past few days and incidents have occurred published, the poignant story of how, at northern Virginia, has written me and which did not take place even during the Ottoman Empire, or during the first years age 39 and after an 8-year retirement, enclosed an important press release former World Series hero Jim Bouton which I want to call to the attention of after the founding of the Turkish Democracy. The General Directorate of Church Properties, made an incredible comeback last sum­ all Members of the House of Representa­ in the name of the Turkish St3. te, ls expro­ mer as an Atlanta Braves pitcher. Ter­ tives. It is apparent that our Turkish al­ priating Churches, annexes of these churches, ry's book is called "The Greatest Sum­ lies are not going to amend their at­ and other real property which belong to our mer", and I and other sports fans hope tacks upon the human rights of the community and are under the ecclesiastical it would not be his last. Christian minorities living in Istanbul. jurisdiction of our Patriarchate. Five Churches have been expropriated and have Terry was born in Cleveland, and at­ I feel strongly that these violations tended Holy Family grade school in should become part of the public record now become 'occupied Church properties', in­ cluding: Parma, later graduating from Benedic­ of our Congress, and that President Car­ The Church of St. George, Endrlnekapl; tine High School and Cleveland State ter should exert every influence to halt The Phanar Church of St. George, Mourat University. He has worked for the Cleve­ the atrocities. Molla; land Press, Greensboro Daily News, and PATRIARCH DEMETRIOS PROTESTS TuRKISH The Church of the Virgin, Salmatrovran­ Savannah Morning News. GENOCIDAL POLICIES-ARCHBISHOP LAKOVOS klou; URGES CARTER ADMINISTRATION To INTER­ The Church of the Virgin, Tek!our Sarae, Luckily, I do not have to wait for a VENE and second book from Terry to enjoy his NEw YORK, N.Y., April 19, 1979.-The An­ The Church of the Archangels, Etenes. writing-he is now covering the Balti­ cient Center of World Orthodoxy: The Ecu­ "We, a.s the Patriarchate, protest these llle­ more Orioles season for the menical Patriarchate of Constantinople, a.nd gal actions of the General Dlrecorate of Baltimore Evening Sun.e the Greek Orthodox minority in Turkey, on Church Properties." the eve of the celebration of Easter, are ex­ The Patriarch stressed that the Church periencing new crises of harassment, taxa­ Properties Law 2762. and the statement signed tion a.nd genocidal oppression by the Turk­ by the Churches and Institutions ln 1936, do CAPTAIN STAN ANDERSON ish Government. not change their designation as minority 60 AND RETIRING His Holiness Patriarch Demetrlos, spir­ communities properties, which differ (from itual leader of 250 mllllon Orthodox Chris­ the organlcal and operational viewpoint) tlons, issued a strong protest to Prime Min­ from the Moh"! mmedan properties. This spe­ HON. DON H. CLAUSEN ister Bulent Ecevit, ln a telegram asking cial designation (of minority community OF CALIFORNIA property) 1s safeguarded by Turkish Law. him to "intercede" so that the "lllegal ac­ IN THE HOUSE OF REPRESENTATIVES tivities, which surpassed any undertaken by Patriarch Demetrlos concluded: the Ottoman Empire, may be brought to a.n "I ask that you intercede and issue a direc­ Wednesday, May 9, 1979 end". tive to the persons responsible so that the e Mr. CLAUSEN. Mr. S ~eaker, on May Archbishop Iakovos, Exarch of the Ecu­ lllegal activities of the General Directorate menical Patriarchate in the Western Hemi­ of Church Properties, which surp,sses any 21, 1979, Capt. Stan Anderson of United sphere, appealed to President Carter, Secre­ undertaken by the Ottoman Empire, may be Airlines will celebrate his 60th birthday tary of State Vance, and Prime Minister broug"ht to an end". and will retire after having held the No. Ecevlt to intervene, urging the immediate Archbishop Iakovos, 1n a telegram to Pre­ 1 seniority position among United's 6,500 cessa.tion of the continuing "genocidal pol­ mier Ecevlt, said: pilots. Icies" directed against the Ecumenical Pat­ "The over three million Americans of the His retirement in a sense represents riarchate and the Greek Orthodox commu­ Greek Orthodox faith whose ecclesiastical ju­ risdiction lies with the Ecumenical Patriarch­ the beginning of the end of an era as nity in Turkey. so many of the men who became pilots The Patriarch forcefully stressed in his ate of Constantinople (Ic:tanbul), urge you telegram: to use your good offices to brln15 about an Im­ during World War II retire after long The expropriation or five churches· mediate halt to abusive treatment of our and illustrious careers in commercial The prohibition of legal repres~ntatlon Mother Church and our fellow Greek Ortho­ aviation. which is guaranteed by the Constitution of dox Christ1a11s in your country. This is a time So that my colleagues may appreciate Turkey; to heal existing wounds not to open new ones." the tremendous experience we are losing The abolishment of the Governing Boards as these men retire, I am submitting for of the Churches, Schools and Philanthrop­ To Secretary of State Cyrus Vance, the Ic Institutions; Archbishop sent the following telegram: the RECORD an article written about Stan The confiscation or holy ecclesiastical ar­ "The over three mUllan Americans of Greek Anderson. To him, and the countless ticles from the Churches. and Orthodox F ::t lth who are under the ecclesias­ others like him. I say. than'< you for pro­ Exerting strong economic pressures de­ tical jurisdiction of the Ecumenical Patri­ viding outstanding service to your coun­ manding of unjust real estate taxes by the archate of Constantinople (Istanbul), urge try. Churches, Schools and Institutions, which you to use the good services of your high office The article follows: had been promised that no taxation would to conve:r and strongly express to the Turkish be imposed. Ambassador ln Washington and his govern­ CAPTAIN STAN ANDERSON The Patriarch, who had twice before pro­ ment our indlg"nation over continuing geno­ When Wlkiup's Captain Stan Anderson tested actions Imposed by Turkey against the ci::l.al policies of the present regime. We hope retires next week he wlll hold number one Patriarchate, the Churches, the Schools and you wtll resoond to our justifiable plea and seniority poslt;lon among the 6.500 pilots o! the Philanthropic Institutions, had been led advise me of the results as soon as posslble.''e the world's laqest airline and wm leave to believe that these problems would be fa­ behind one o! the most enviable records in vorably resolved. commercial aviation annals. Anderson flew The Patriarch's telegram stated: "Our the airline's passenger runs for 38 continu­ Patriarchate and our Community have fallen AUTHOR TERRY PLUTO ous years, a distance o! over 300 million victim to administrative and legal decisions passenger miles with a perfect record. Dur­ dictated by the General Directorate o! ing this time he never "scratched the paint. Church Properties, imposing actions which HON. RONALD M. MOTTL got a. wheel stuck in the mud, d1nged a OF OHIO navigation light or inJured a passenger or are lllegal. The Directorate, which today is cabin attendant" while matching wits with more oppressive than ever before asserting IN THE HOUSE OF REPRESENTATIVES some of the worst of nature's storms. that the 'preva111ng order is dlstu~bed', pro­ Wednesday, May 9, 1979 Anderson is proud of his record o! never ceeded to abrogate the title of ownership having been the cause of a delayed depar­ that the Patriarchate, the Churches and the • Mr. MOTTL. Mr. Speaker, when in­ ture by showing up late at the airport. He Institutions legally acquired since 1936. Fol­ flation is heading upward, gasoline is also completed over 100 rating and pro­ lowing the claims of the Directorate of getting short and solutions seem out of ficiency checks without being asked to repeat May 9, 1979 EXTENSIONS OF REMARKS 10515 a maneuver. This is about as good a record for aviation didn't begin unt11 after World ergy to consider in this process, for recom­ mendation to the President, an appropriate as one can get. War II. Prior to that period it was still de­ Captain Anderson, who calls himself a bit batable whether the airplane would ever be level of priority for trucks of all weights to of an exercise and health nut, is in excellent practical. Aviation came into its own during provide for an adequate supply of gasoline to physical condition and believes that his avi­ World War II proving itself to be an awsome insure continued service to the public con­ ation proficiency is greater today than at any military force. But after the war, the public sistent with the other requirements of the time in his career. But he has reached the acceptance of the civil transport plane has Plan. been so great that the airplane ran the train Sincerely, mandatory retirement age of 60 and must STUART E. EIZENSTAT, set down his wings. Says Anderson, "While off the tracks and the passenger ship off the the early air mail transport pilots received sea. But the past 10 years has been LeGrand Assistant to the President, most of the publicity from the glamor days Epoch in civil aviation with the introduction for Domestic Affairs and Policy.e of aviation (and they should because they of the wide body jets, the fastest, safest, were first) modern airline pilots probably most convenient way to get from here to have more fun; moving back and forth anywhere. Says Captain Anderson, "It has across the nation and the oceans at 600 been good to have been a part of it." e TOMMY THE CORK miles per hour, out running and overflying line squalls, tornados and blizzards (instead of having to turn back) and being able to HON. HENRY B. GONZALEZ land with zero ce111ng and only a few hun­ ADMINISTRATION AGREES TO PRI­ OF TEXAS dred feet of forward visab111ty a,.t the desti­ ORITIES FOR TRUCKING AND IN THE HOUSE OF REPRESENTATIVES nation rather than having to hold some­ place. This indicates the tremendous advance TAXICABS UNDER RATIONING Wednesday, May 9, 1979 that aviation has made in just the span of PLAN the last 20 years. e Mr. GONZALEZ. Mr. Speaker, I be­ Is he ready to give it all up? "Sure," says lieve it was Samuel Butler who said last Captain Anderson. "Life doesn't go on for­ HON. JOHN D. DINGELL century: "Every man's work is always a ever. A person should take the opportunity OF MICHIGAN picture of himself." This thought came to do something else for a while, even if it IN THE HOUSE OF REPRESENTATIVES to mind when I read a feature article in is only to go sit in the sun. But it has been Wednesday, May 9, 1979 the Washington Star Monday before last, a magnificent job. In retrospect, I would April 30, 1979, about a great man, a rather have been a pilot than to have been e Mr. DINGELL. Mr. Speaker, today, I personage, the Honorable Thomas G. President." received a letter dated May 9, 1979, Captain Anderson joined United Air Lines Corcoran, known affectionately since the in 1940 at the time United started an experi­ from Mr. Stuart E. Eizenstat, assistant New Deal days as "Tommy the Cork." mental course to train airline pllots from to the President for Domestic Affairs The very nature of the newspaper arti­ scratch. That meant that the students would and Policy, clarifying an earlier com­ cle, indeed any newspaper article beset complete instrument training before train­ munication I had with him relative to by space limitations and constrictions, ing for the commercial pilots license. The gasoline rationing within the trucking prevents it doing full justice to the sub­ idea was that the airline could train airline industry. The letter indicates that the ject. And it being true that a man's pilots from the beginning in their own way. administration will consider an appro­ Anderson was the youngest in the original work is always a picture of himself, we class of 20 and was one of the first to grad­ J;riate level of priority for trucks of all then do not have a full and complete pic­ uate and is the last of the class to retire. weights to provide for an adequate sup­ ture of the man, Thomas G. Corcoran, When the U.S. entered World War II in De­ ply of gasoline consistent with other re­ rather, we have a glimpse, or vignette. cember, 1941, this initial class of young quirements of the gasoline rationing But this is living history of the best aviators had already been trained as airline plan. kind and perhaps it will stimulate fur­ transport and instrument pilots. When the The United Parcel Service and other news of the bombing of Pearl Harbor came, ther indepth studies while there is time firms have been concerned about this as­ and Mr. Corcoran, in plenitude of Anderson was in the air and heard the news pect of the plan. It is my understanding on his aeronautical radio. strength of mind and body can contrib­ Captain Anderson started his airline career that Mr. Eizenstat's letter alleviates that ute greatly to American historical devel­ flying the Boeing 247, a marvel of its day, a concern and I am advised that United opment. magnificent twin-engine all metal 11 passen­ Parcel Service is in strong support of I have known Thomas G. Corcoran, not ger transport with a top speed of 160 miles the rationing plan as a result of this intimately, but well enough to know his per hour. During the ensuing years, he flew letter. great mind, great heart, and generosity. the nations passenger runs as an airline Cap­ The letter also indicates that the ad­ tain abroad the DC-3, DC-4, DC-6, DC-7, I was a student when I ftrst read his ministration will use its flexibility under name and its association with the great­ Convair 340, DC-8 and will finish his career the plan to taxicab operators to in the current "Queen of the skies", the est social, economic, and political .ad­ Boeing 747, a 400 passenger, 600 mile per insure that they have gasoline as appro­ priate. vances in America in the 20th century, hour goliath. and I was thrilled years later to make his On his last trip, Anderson is scheduled to In addition, I also have received a fly to Hawaii accompanied by family and letter from Gov. Richard D. Lamm, acquaintance. friends, along with a full load of passengers. chairman, Natural Resources and En­ I salute and thank the Washin:;rton Most pilots who retire return the airplane to vironmental Committee of the National Star and Sandra McElwaine for an excel­ its home base, but Anderson will fly his final Governors' Association, informing me lent and valuable service. flight westbound and when he steps down that the Association, "supports the ad­ The article follows: from the three story high flight deck to the [From the Washington Star, Apr. 30, 1979] ground on Oahu, that will be it. There is an ministration's amended standby gas ra­ obituary in aviation that says "to fly west, tioning plan." TOMMY CORCORAN, A WASHINGTON my friend, is a fllght we all must take for The letter from Mr. Eizenstat follows: INSTITUTION our final check.'' Anderson says he has a col­ THE WHITE HOUSE, .(By Sandra McElwaine) lateral axiom for retirement living which Washington, D.C., May 9, 1979. There are many cliches about Washing­ says, "Old pilots never die, they just fly Hon. JOHN DINGELL, ton's legendary giants-a tiny breed of power away." Anderson announced the first thing U.S. House of Representatives, brokers, the movers and shakers. They tend he was going to do when he got to Hawaii Washington, D.C. to be lawyers, they are always men. Their was "get into the ocean for as long as I want DEAR CHAIRMAN DING ELL: Concern has prestige and influence allows them to tran­ and not have to come out and fly a flight been expressed for gasoline rationing for scend mere administrations, tapping that home. After that, I'm going to sit under a trucks, particularly those under 10,000 not-too-mysterious force that guides this palm tree for as long as it is fun. And after pounds, involved in intra-city and inter-city city irrespective of the fleeting personalities I have enjoyed a few days of retirement, I delivery. It is obvious that such trucks are who come and go. will think about tomorrow." important to the economy even in the event Thomas G. Corcoran has been such a Anderson has been fiying the heavy jets of any fuel crisis. Regulations to implement legendary Washington figure for nearly a for the past 20 years. He estimates that since the Gasoline Rationing Plan will be nec­ half-century. He is all the conventional 1960, he has spent the equivalent of 8'12 reg­ essary. The Plan itself provides flexibility to cliches rolled into one. And today, he stands ular work years at an average altitude of 7 designate additional priorities and supple­ nearly unique in that capacity. miles up. The Captain says while due credit mental allotments. It is the Administra­ At 78, Tommy Corcoran is a silky, smooth has been given to the pioneers of aviation, tion's intention to utilize this fiexibillty as operator who has always known how to get from the Wright Brothers through the World appropriate to meet concerns such as express­ things done. He has been doing just that War I aces to the early air mail pilots, ed by the trucking, taxicab and other indus­ since 1933, when he rose to power as FDR's through the barn storming days, feas1b111ty tries. We will direct the Department o! En- personal hatchetman and fixer, or, as he 10516 EXTENSIONS OF REMARKS May 9, 1979 more politely describes it, "his liaison to the tucket, R.I. in 1900. His father, a lawyer, was known as "Frankfurter's hot dogs," "The Hill, especially the Senate." the son of an Irish immigrant, his mother Whiz Kids," and "The Gold Dust Twins." Whatever t:re title, Corcoran was a top dog the descendant of a pre-revolutionary New "It's the luckiest thing that ever hap­ in the White How;e from 1933 to 1940, and is England family. According to his two younger pened," says Corcoran now. ··Ben was the still nimbly dealing at the vortex today. brothers, in his youth he was an outstanding architectural genius and I was the front "Tommy was much, much more powerfu,l, athlete and student, immensely popular and man. The things we worked on were the in his day t han Hamilton Jordan is now, extremely outgoing. High school fotmd him toughest financial ones, and the diehards says Washington lawyer and former col­ constantly dabbling in politics. said we were ruining the country. We were league. Marx Leva. "He cultivated a certain "My father always used to say that a boy called every name in the book. I enjoy pub­ mystique, the force behind the throne, a who did not take the politics of his father lic rows. I'm Irish and I can take the heat." shadowy eminence . behind the scenes. He and the religion of his mother was either "They were the greatest team I've ever always liked that image." a victim of child abuse or a filial ingrate," re­ seen," says civil rights lawyer Joe Raub, "Tommy was powerful because he was lates Corcoran. He is a Democrat and a who worked for them in 1935. "What Tommy R oosevelt's representative," states FOR's Catholic. did in the 1930s was one of the great legal former secretary, Grace Tully. "He always At 12, he peddled newspapers, at 15 worked and political performances of all time." had access to the . When he called on a farm for 15 cents an hour, led a strike Cohen and Corcoran's political and legis­ we knew it was somet hing important and for better pay and was fired. lative feats and the urging of Frankfurter put him through." From public high school in Pawtucket he brought them to the att-ention of President Striding in his penthouse suite at the K worked his way through Brown University Roosevelt. They became part of his "brain street offices of Corcoran & Rowe, where he where he won essay contests, was valedic­ trust," and took on the majority of the h :ls operated since the early 1940s, he is still torian of his class and made Phi Beta Kappa president's tough jobs. Throughout the years an impressive figure. The phones ring con­ his junior year. at 1600 Pennsylvania Avenue, Corcoran re­ stantly. he juggles two or three calls, squint­ "There are very few activities he has not mained on the payroll of the Reconstruction ing to catch a view of his beloved Potomac had a liberal share in" states his senior year­ Finance Corp. and Cohen at the Interior River. which is almost totally oblit erated by book, "and very few men that do not know Dept. the ad vent of new high rise buildings. him." He became an accomplished pianist, "Tommy would call and say, 'I've just The m ystique lingers on, as the bustling, debator, orator, star of the class football team sooken with the President. and I'm calllng nattily dressed figure recounts tales of and a champion hiker. you from the White House' when he was in Roosevelt's second New Deal, interspersed He took his masters degree at Brown and some dingy office in I nterior," ~.aughs Rauh. with quotes from the Bible and the literary "Boy, did people pay attention. then enrolled in . To corcoran was the Whit e House premier masters. He skips from subject to subject build up income he gave lectures-at two with bewildering, bullet-like rapidity. The odd .1obber, legman. expediter, armtwister, dollars a head--on how to pass tough exams, and speechwrlter. He coined such memorable words cannot keep up with the thoughts. and was made Note Editor of the Harvard To emphasize a point, he gesticulates and phrases as "Rendezvous with Destiny" and Law Review, a coveted honor. "Instinct for the Jugular" for FDR. Together fixes his sparkling blue eyes upon a visitor His scholarship attracted the attention of with a Svengali-like stare. In lighter mo­ the "Twins" wrote and pushed through Con­ Professor Felix Frankfurter, who was instru­ gress the Stock Exchange Act. TPe Fair La­ ments there is a lilt to the compelling voice, mental in his appointment as secretary to an aside joke. a touch of the blarney here bor Standards Act, The Eecuritles and Ex­ Supreme Court Justice Oliver Wendell change Act. The Public Utility Holding Act and there. Tommy the Cork is a bit of a Holmes in 1926. rogue. and others that completely transformed "That was one of the greatest periods 1n His life is a good one. He lives alone in a American life. my life," 1ecalls Corcoran, who handled re­ "Nobody ever we11t to bed ." recalls Jim spacious 10-bedroom house on Woodland search and writing chores for the jurist he Drive. His faithful companions are a labra­ Rowe. "We'd write and create a new bill over­ worshipped. "I called that year going to night. Once when I left at 3:00 a .m . I thought dor retriever and a schnauzer. His wife d ied 'Holmes University.' I learned more from in 1956 and his six children are all gro•.vn. I'd been disbarred from t:re f!roup. If you him than any history book. He taught me worked for Corcoran you couldn't be married. ("I've just paid m y last tuition bill," he the significance of living. We would walk sighs.) He lived by Plato's rule that :::ervants of the together every afternoon, this little Irish state should be under 30 and single. There His needs are tended to by three servants Catholic boy, and the distinguished Brah­ of many yea.rs. "The ultimate luxury in this were no dlstractlons." min. Through the Holmes' generosity I met "Tommy was far more to Roosevelt than life is personal service." says Corcoran. "You everyone in Washington and fell in love with pay what you have to to get it, and give up simply a hatchet man," says lawyer and for­ this town. In a way I admired Mrs. Holmes mer Frankfurter clerk, David Ginsburg. "He other things for it." the most. She was a great lady." Recently his worl{ pace has eased up a bit. was solace, supoort, advisor and entertainer. Corcoran lived in a garret on 18th St., He was a first rate musician and played the "He doesn't work as hard as he did," says earned four dollars a week, and managed to his legal partner of 30 years, Jim Rowe. piano and accordion beautifully. save enough money to send his brother down "FDR really loved tbe evenin!!'s when "When he was young he was a real ascetic, the Amazon River, something he himself had but he's mellowed a little. He's more frivo­ Tommy would olay his favorite songs," re­ alway:: wanted to do. lates Grace Tully. "Tt was all very informal lous, more devoted to the ladies, now t hat he The Holmes', then both 83, were childless. has the time; he does odd things. He's always and we had a marvelous tlme." They brought young Corcoran into their At 40, Tommy married hie; hard-working on airplanes. It used to be for weddings, now family as they had so many Harvard gradu­ it's funerals. He's a gerontophile, a wor­ secretary, Peg-gy Dowd. "One of the two most ates before him. He was always referred to eligible women in Washington," writes Ar­ shipper of old men; that's one of the keys to as "Sonny." his character. thur Schlesinger. In Corcoran's office there is a painting and "I marrie:i like a good Irishman." says At the moment, besides practicing his very sampler done by Mrs. Holmes and the jus­ influential brand of law at Corcoran & Rowe, Tommy. "An Irish son never marries until hts tice's chair left to him by Holmes' will. mother dies." he is writing a bool{ about his halcyon years­ When the clerkship expired, he joined the the times he cajoled, persuaded and bull1ed There were six children tn 12 years. New York law firm of Cotton, Franklin, Hi'> eldec;t son Tim, 34. labels him a oatrl­ a recalcitrant Congress into passing Roose­ Wright and Gordon where he specialized in velt's liberal and far reaching legislation. arch. "He was a hard driving father. He al­ corporate law, stock mergers and issuances. ways wante1 t'S to wtn. We were sent to one There are tactics developed then which he With recommendations from Frankfurter he stlll sklllfully employs to advantage upon his pressure school after another, and were ex­ operated a one-man employment agency for oe::ted to be No. 1. He was btg on individual large list of top corporate clients--clients Harvard Law School graduates, developing whose names he will not divulge-Tenneco sDorts, and we all had to take endless boring an amazing knack for putting together the les<-ono;;. Skiing. languages. tennis. saUlng, is one, "Everybody knows I represent right man and the right job. In 1932, at the guitar. piano. He gave a plano to every school them,"-and for large New York insurance request of Eugene Meyer, governor of the comoanies. anyone of us went to. Federal Reserve Board, he returned to Wash­ "There was never any tlme to play ball or "Tommy hasn't missed a step in all these ington as counsel to the newly created Re­ mess around. We didn't have many friends years," says a longtime friend. "Peo;>le treat construction Finance Corporation. outside the family. We were alwa"s learn!n~ him like an elder statesman. He, himself, has "No one el~e in the firm would come," he one improvin?-:. upwardly mobile thlng after no nower except for the fact he knows every­ recalls. "They were all marri-ed. I was the another. To this day he still sends me books body everywhere. He's very persuasive and only bachelor. If I hadn't come down here I he thinks I should read. people do things for him because they like wouldn't have had any fun at all." The turning ooint tn Corcoran's Whlte him. He works the Hlll cloakrooms ltke a He got involved in politics and worked on House career came when he sought the job charm. Tommy is like Old Man River, he the Federal Housing Act. Sam Rayburn then of Solicitor General of the United States. just keeps rolling along." asked him to assist him with the Securities According to Rauh, b e got four Supreme "Tommy has always been capable of doing Act facing a tough congressional fight. court justices to sign a letter to Roosevelt anything he wants," states Marx Leva. "The It was through Rayburn that he met Ben urging the appointment. Frankfurter, who only person you can compare him to is Clark Cohen, another Frankfurter protege who Corcoran had helped place upon the court, Clifford. The two of them stand alone." was to become his inseparable partner and refu~ed to sign. The appointment was never Thomas G . Corcoran was born in Paw- life-long friend. Together they became made. May 9, 1979 EXTENSIONS OF REMARKS 10517

"Roosevelt had promised me the job, when see his name in the paper representing any­ of the 33d Congressional District of New I wanted to leave, but agreed to stay on and thing but the most conservative interests. help him save face with his court packing York dealing with an important matter Maybe Lindy Boggs can bring him back." of interest: Reinstatement proposals for plan," says .corcoran. "I wanted a job where "I'm sorry to see Tom abandon so totally I was all on my own. The Solicitor General his idealism and capacity !or leadership,'' a national selective service system. is the lone arguer before the Supreme Court. says David Ginsburg. "He's a Slld figure who Too often, Members of thL House are It was one of the heart breaking things of must explain his conservatism. One wonders thought to be taking one side of an issue my life. I decided to leave and practice law." where he would have ended if he stayed in for our home districts and another on The breach with Frankfurter never healed. the government. He did not fulfill his the floor in debate. My entry will make He felt betrayed. They never spoke again. capacities." There are several theories as to Frank­ it clear that this is my feelings on this With a shrug, Corcoran answers, "What controversial matter. furter's lack of support. Ben Cohen states: was liberalism under Roosevelt, is considered "Frankfurter thought Corcoran was too in­ conservatism today. I'm stlll a liberal. Not a My statement is as follows: volved in politics and probably couldn't give Joe Rauh left-winger." STATEMENT OF REPRESENTATIVE GARY A. LEE it up. He had been in the front lines too The changes and contrasts between earlier Deciding between reinsta <;ement of the often, had taken too many risks. It gave him eras and today are, not surprisingly, a matter draft and total reliance on our all-volunteer many more enemies than those who had of some interest to Thomas G. Corcoran. military can be like looking for solid ground been less discrete and less effective." And also, not surprisingly, he has had mixed between the shores of the Atlantic. "That incident was one the watershed epi­ opinions on those who have followed Roose­ The deep-seeded resentments of America's sodes of Tommy's life," says David Ginsburg. velt in the White House. no-win wars in Vietnam and Korea have "His streak of idealism was battered. He "Harry Truman and I were at loggerheads produced a strong no-draft sentiment at felt thoroughly let down. It was the one for years," he has said. "He called me a home. At the other extreme is the reality thing he wanted and asked for. I think 'goddamn Harvard snob.' Still, I think Tru­ of an America which could be caught un­ Frankfurter placed the Supreme Court on a man was a great guy and very strong on for­ prepared for its own defense. Our search pedestal, and lifted it above his friendship eign policy. President Eisenhower, I don't for an island of compromise may very well and indebtedness to Corcoran. I think he think about him much.'' And Kennedy? "I not please anyone. was abysmally wrong." was a good friend of Joe Kennedy. I was I have taken the position that we need, Corcoran left the White House in 1941 to close to Jack but I never went to the White at the very minimum, a registry of ellg!ble form China Defense Supplies; lend lease to House when he was there. I didn't like Mrs. yo~mg men and women who could be calh;d China and a thriving law practice. Kennedy. When I have that feeling I don't into the service. In tandem, we should With Claire Chenault, whom he greatly give a damn whether people liked me or not." begin constructing the mechanisms of a admired ("His portrait is one of my most Lyndon Johnson wins praise from the selective service system that could be imple­ prized possessions") he organized the Flying New Dealer. "I think Lyndon Johnson is go­ mented at any minute. Tigers and kept the Chinese supplied until ing to be one of the great men of American While I don't favor a return to universal America entered the war. history. He tried to do something about dra.ft provisions, I'm convinced that unless problems that everyone else dodged.'' we devise the system today, the time we The Carter administration draws a cool lose in an emergency could be fatal. "Since Peggy died, my kids have been my evaluation. chief interest," says Tommy Corcoran now. Our key to success in any tactical war "They listen to me and do what I want be­ "The trouble with them is that they're not will be response time. In the worst of cir­ cause I convince them to." using the people in this country with ability. cumstances-strategic nuclear war--<>bvl­ I think we're in more danger now externally ously troop strengths will be academic. But "I've always been in love and wished I and internally than during the depression were married, but no one want to take on six the numbers of trained ground and air or at Pearl Harbor. forces we can field in a conventional war children. Anyway, they all beseeched me not "I remember that my chief, Mr. Roosevelt­ to. They didn't want to be like Cinderella here or on allied soil can decide the out­ a convinced Democrat whose imagination come of most battles. with a wicked stepmother." could encompass the whole universe and yet Over the years he has been one of the Even the most vocal of no-draft advocates close in on the last six inches-was willing will admit that today's all-volunteer m111tary town's most eligible extra men. Always in his crises to accept the participation and charming, polite, and available, a magnifi­ is adequate for peacetime but we need sub­ advice of all men, no matter what their stantial buildup by ready reserves in a time cent escort. The social pages describe his fathers' parties." outings with Anna Chenault, widow of his of combat. There is the problem. Today, "The Carter group" he feels, "is an im­ those reserve strengths are approaching an great hero, Gen. Clair Chenault, and Con­ penetrable circle. They won't let the people gresswoman Lindy Boggs. all-time low. In another decade at this through who want to help them. Ben Cohen, p 3ce, we wlll be dangerously shallow in ready "He takes Anna to Republican parties, and who was in charge of domestic infiation Lindy to Democratic parties," says Jim Rowe. under Roosevelt, has been trying desperately reserve forces. The papers have missed his evenings with The special circumstances of today's need to get through to the White House to ex­ will undoubtedly lead to implementation of another widow, Sissy Bowman, who works plain how to deal with the problem. They for Sen. Russell Long, and is described as a a selective service which differs greatly froiu "typical Georgian beauty." won't let him in. It's a frozen situation." our memories of the last three decades. His chaffeur-driven car is at their dis­ Tommy Corcoran has special fondness for For instance since our need is !or traine

tions with other organizations fighting to Sut herland, 729 East Main St., Lexington, Sacramento Valley N.L.G., P .O. Box 1534 overturn the decision. In addition, Guild KY 40502. I (056) Sacrament o , CA 95807. members are fi ghting to expand special ad­ Ea st Tennessee N.L .G ., Univ. of Tenn. Law St. Louis N .L.G ., P .O. Box 4269, St. Louis, missions programs for minority students at School, 1505 W. Cumberland Ave., Knoxville, MO 63163. law schools across the country. In all these TN 37916. San Diego N.L .G., c/ o Judy Digennaro, 2127 activities, the Task Force works to improve East Texas N.L .G ., c/ o Robin Collins, Box 54t h S t reet, San Diego, CA 92105. the Guild's ties with minority legal organi­ 1848, Na cogdoches, TX 75961, ( 713 ) 560- 2014. S.F. Bay Area N.L .G ., 558 Capp Street, San zations. Eugen e N .L.G ., Law Cent er, Room 115, Francisco, CA 94110 ( 415) 285- 5066. The Legal Services Task Force is a network Univ. of Oregon, Eugene, OR 97" 03. Sa n Joaquin Valley N.L.G ., c / o Doug Rip­ of Guild members who are legal services at­ *Gainesvllle N.L.G., c/ o David Sobel!, 3037 pey, 212 Nort h Echo, Fresn o , CA 93701. torneys and legal workers. The Task Force is S.W . Archer Rd., Gainesville, FL 32608. S a n t a Clara Valley N.L.G., 255 E . William playing an act ive role in the effort to union­ Hofstra N.L .G., Hofstra Univ. Law School, St., San Jose, CA 95112. ize legal services programs, an effort which !-Iempst ed, NY 11550. Seat tle N.L .G. (035) , 1206 Smith Tower, includes issues like program structure and Houst on N.L .G ., 210 "C" St rat ford, Hous­ Seatt le, WA 98104, (206) 622- 5144. quality of representation as well as more ton, TX 77006, (713) 522-7362. Sout h Carolina N.L.G., c/ o Steve Metalitz, common issues of employment conditions. Iowa City N .L.G., Univ. of Iowa Law 89 Warren St., Charleston, SC 29402 ( 803) 'The Military Law Task Force publishes School. Iowa Citv. TA 52240. 577-3170. "On Watch," a newslet ter on mllitary law. *Jacksonville N.L.G ., c/ o Mark Greenberg, Sout hern Arizona N .L.G., P .O . Box 3554, Members support organizing work among !... ega! Services, 604 Hoga n St., Jacksonville, Tucson , AZ 85722. G .I.'s and do legal work around discharge FL 32202. Sout hern California N.L.G ., 712 South upgrading, milit ary discipline. and ot her im­ Kansa s City N.L .G .. c / o St eve Chin, 330 Gra ndview, Los Angeles, CA 90057, (213) portant issues affecting servicepeople. Nort h 17t h S t., Kansas City, KS 66102. 380- 3180. The Gay Right s Task Force is developing La nsing N.L.G ., P .O . Box 18232, Lansing, S outhern Illinois N.L .G ., P .O. Box 657, Car­ litigation mat erials t o help fight discrimina­ M-: 48901. bo n d a le, IL 62901. tion against gay people in such areas as Lawrence N .L.G. c/ o Marilyn Harp, 205 Sou thern Region Office, P .O . Box 582, parental cust ody, employment, and housing. Pinecone, Lawrence, KS 66044. Cha rlest on, S.C. 19401, (803) 723- 8935. Members of t he Task Force are act ive in the Louisville N.L.G. Box 3598, Louisville, KY Sp ok ane N.L .G ., c/ o Nell Sarles, Inst. Legal current rash of bat tles over gay right s ordi­ 40201. Services Proj., Ea stern State Hosp., Box A, nances. Madison N .L .G. Univ. of Wis. Law School Medica l L ake, WA 99022. The Housing Task Force publishes a news­ Madison, WI 53706. ' S yr a cuse N.L .G ., Syracuse U . College of letter with art icles on rent control, t enant Massachusetts N.L.G. 595 Mass. Ave., Cam­ La w , Syracuse , New York 13201. organizing, "cooping," and o ther issues in bridge, MA 02139, (617) 661-8898. T oledo N.L .G ., c/ o John Coyne, 2340 Oak housing law. The Guild is a co-producer of *Memphis N.L.G. C/ o Bill Van W yke, E. Harbor Rd., Fremont, Ohio 43420. Shelterforce, a n ational newspaper on hous­ Arkansas Legal Services, P.O. Box 1149, W. T em ple Univ. N.L.G., 1427 Walnut St., ing issues. Memphis, AR 72301. Philadelphia, PA 19102. Miami N.L.G . c/ o Irwin Stotsky, Univ. of T win Cities N.L.G., Box 7193, Powderhorn Miami Law School, Box 24807, Coral Gables, S t a t ion, Minneapolis, MN 55407, (612) 721- APPENDIX III FL 33124. 3938. (Chapters of the National Lawyers Guild Mid-Hudson N .L .G. c/ o Pierette Williams U. Penn . N.L.G ., U . Penn. Law School, 34th as list ed in their publication, GUILD NOTES 293 Wall St., UPO Box 3783, Kingston, N.Y: and Chestnu t S t s ., Philadelphia, PA 19104. in April 1979 : ) 12401. Valpar aiso N.L .G ., c/ o John Johnson, Val­ Alabama N.L.G., P .O. Box 141, Montgomery, Milwaukee N.L.G. 536 W. Wisconsin Ave. p a raiso Law School, Valpa raiso, IN 46383. AL 36101. No. 300, Milwaukee, WI 53203, (414) 273- Vermont N.L.G ., P.O. Box 536, South Roy­ Ann Arbor N.L.G., Hutchins Hall, Ann 1040. alt on, VT 05068. Arbor, M! 48104. *Mississippi N.L.G . c/ o Pat O'Roarke, 947 Villanova N.L.G ., Vlllanova Law School, Ant ioch N.L.G ., Antioch Law School, Box Bellevue Pl., Jackson, MI 39201. Garey Hall, Villanova, PA 19085. 258 1624 Crescent Place, Washingt on, D .C. National Office, N .L.G. 8t;3 Broadway, Room W a shingt on , D.C.-N.L.G ., P .O. Box 29211, 20009. 1705, New York, N.Y. 10003, (212) 260-1360. Washington, D .C. 20017. Athens N .L.G ., Box 2563, University Stn., *Nashv1lle N.L.G. c/ o David Lambert, 1216 Wayne State N.L .G ., Wayne State U. Law Athens, GA 20602. 16t h Ave. S .. Na<;hv1lle. TN 37212. School, Det roit, MI 48202. Atlant a N.L .G ., c/ o Amy Totenberg, 1500 Nebraska N.L.G . c/ o D . A . Walker, 309 West We>t Virginia N .L .G ., c/ o David Orablll, Healey Bldg., 57 Forsyth St., N.W., Atlant a , Rio Road, Lincoln, NE 68505. 808 Union Bldg., Charlest on, W. Va. 25301. GA 30303, (404) 523-4611. New Hampshire N .L.G. Franklin Pierce Law West Texas N.L .G ., c/ o Steven Owen, 1978 Austin N.L.G., Townes Hall, Room 109, 2500 Ctr., 2 White St., Concord, N.H. 03301. lOt h S t . No. C, Lubbock, TX 79401. Red River, Aust in, TX 78705. New Jersey N.L .G. 108 Washingt on St., Yale N.L .G ., Box 98, , New Baltimore N.L.G . c/ o Morgan, 3125 No. Newark, N.J. 07102. Calvert S t., Baltimore, MD 21218. Haven, CT 06515. New Mexico N.L .G . c/ o Peggy Nelson, P.O. FOOT N OT E Bloomington N.L.G., Indiana University Box 1086, Taos, N.M. 87571. Law School, Bloomington, IN 47401. New Orleans N.L.G. c/ o Mary Howell, 806 ~ There is not yet a chapt er in this state; Brooklyn Law School N.L.G., Brooklyn Law Perdido, Suite 401, New Orleans, LA 70112. l'! ity, but t he person list ed has agreed to School, 250 Joralemon St., Brooklyn, N .Y. New York City N.L.G . 853 Broadway, New act as Guild contact for t his area.e 11201. York, N.Y. 10003, (212) 673-4970. Buffalo N.L.G ., J . Lord O'Brien Hall, P.O. N.Y.U.-N.L.G . N.Y .U. Law School, 40 Box 88, S .U .N.Y ., Buffalo, N.Y. 14260. Washington Square South, New York, N .Y . GAO ACCESS TO EXECUTIVE Central Arizona N.L .G .. Ariz. State Univ. 10012. BRANCH INFORMATION Law School, Tempe, AZ 85281. Nort h Carolina N .L .G ., c/ o Ken Quat, 109 Champaign-Urba na N .L .G ., c/ o Sandy Taylor St., Chapel H111, N.C. 17514, (919) VandeKauter, 105 East Chalmers, No. 203, 929- 8067. HON. LEE H. HAMILTON Champaign, IL 61820. N. Conn. N.L.G., 487 Main Street, Suite 2, OF INDIANA *Charlottesville N.L .G., c/ o Sean Delaney, Hartford, CT 06103. Legal Assistance Societ y, Univ. of Va. Law IN THE HOUSE OF REPRESENTATIVES Notre Dame N.L.G., c/ o Dave Crosset t , Notre School, Charlottesvme, VA 22901. Wednesday, May 9, 1979 Chicago N.L.G .. 343 South Dearborn, No. Dame Law School, Notre Dame, IN 46556. 918, Chicago, IL 60604, (312) 939-2492. Oklahoma N.L.G ., c; o Doug Parr, Univ. o! e Mr. HAMILTON. Mr. Speaker, I would Cincinnati N.L.G ., P.O. Box 3156, Cincin­ Okla. Law School, Monnet Hall, Norman, OK 73069, (405) 232-2512. like to bring to the attention of my col­ nat i, OH 45201. leagues recent statements given to me Cleveland N.L .G ., Cleveland-Marshall Col­ Philadelphia N.L.G ., 1425 Walnut Street, lege of Law, Cleveland. OH 44115. Philadelphia, PA 19102. by the National Security Council and Columbus N.L.G ., P.O. Box 3329, Colum­ Pittsburgh N.L.G ., Univ. of Pitt. Law the State Department stating reasons for bus, OH 43210. (614 ) 299-1592. School, Forbes & Bouquet Streets, Pitts­ denying information regarding foreign Dayton N.L.G ., c/ o Bob Oakley, 201 Irving burgh, PA 15260. arms sales to the General Accounting Ave., Dayton, OH 45409. Portland N.L.G., 519 S.W. 3rd, #418, Port­ Office and a legal memorandum prepared land, OR 97204. Denver N.L .G ., 1764 Gllpin, Denver, CO by the American Law Division of the 802HJ. (303) 320-4071. Puget Sound N.L.G., Univ. of Puget Sound Congressional Research Service regard­ Law School, 8811 S. Tacoma Way, Tacoma, Des Moines N.L .G ., c; o Allen. Babich, Ben­ WA 98401. ing GAO access to executive branch in­ nett, 102 East Grand, Ste. G101 Des Moines IA 50309. • , Rutgers-Camden N.L.G., c; o Jim Rely, 20 formation. Stoneleigh Park, Westfall. N.J . 07090. The CRS statement prepared by Rich­ Det roit N.L .G ., 1308 Broadway, No. 704, Rutgers-Newark N.L.G ., Rutgers Law ard Ehlke, legislative attvmey for the Detroit, MI 48226, (313 ) 963-0843. School, 180 University Ave., Newark, N .• T. American Law Division, concludes that East Kentucky N.L .G ., c/ o Goldman and 07102. in the absence of a claim of executive 10526 EXTENSIONS OF REMARKS May 9, 1979 Hon. ZBIGNIEW BR 7,EZINSKI, ment policies and their execution, it is our privilege by the executive branch that policy to safeguard appropriately access to there are not good grounds for denying Assistant to the President for National Secu­ rity Affairs, National Security Council, internal memoranda refiecting individual, policymaking information not directly Old Executive Office Building, Washing­ bureau, and agency views and recommenda­ concerned with expenditures of funds to ton, D.C. tions leading to final policy decisions. the GAO. DEAR MR. BRZEZINSKI: On May 30, 1978, I 31 U.S.C. 54. part of the Budget and Ac­ The statements of the State Depart­ reouested the General Accounting Office to counting Act of 1921, provides that ment and the National Security Council conduct a study of the arms sales process All departments and establishments shall and the CRS legal paper follow: with a view to determining at what early furnish to the Comptroller General such in­ sta!!'e of an arms sales cycle Congress might formation regarding the powers. duties, ac­ COMMITTEE ON FOREIGN AFFAIRS, tivities, organization, financial transactions, April, 1979. receive information in order r;o improve its own review procedures. In order to accom­ and methods of busine"s of their respective Question posed by Congressman Lee H . offices as he may from time to time require Hamilton concerning the leg.al authority for plish this task, it was necessary for the GAO of them; and the Comptroller General, or any denying information to GAO : to obtain information from sP.ver!l.l Execu­ of his assistants or employees when dUly What is your legal basis for denying the tive branch agencies which are involved in authorized by him, shall. for the purpose of Comptroller General any information? the arms transfer process, including the Na­ securing such information, have access to Answer submitted by Under Secretary of tional Security Council. and the right to examine any books. docu­ State for Security Assistance, Science and The GAO testified before the Committee ments, papers. or records of any such depnrt­ Te:::hnology, The Honorable Lucy Wilson on Foreign Affairs Subcommittee on Inter­ ment or establishment. The authority con­ Benson: national Security and Scientific Affairs on tained in this section shall not be applicable The statutes governing GAO access to de­ February 23, 1979, that "National Security to expenditures made under the provisions partment records !31 U.S .C. sec. 54) extend Council staff refused to even discuss the cases of section 107 of this title. only to provide unqualified access to records with us," referring to the specific arms sales On its face, the provision's language is not relating to the expenditure of government cases that the GAO bad selected to review limited to "records relating to the expendi­ funds in the course of financial audits con­ in order to undertake its report. ture of government funds in the course of ducted by the GAO. The history and context. I would like to know if this assertion is financial audits" but embraces records re­ of section 54 make clear that it was not in­ accurate and what procedures exist for NSC garding the "power, duties. activities. [and] tended to provide such unqualified access assisting the GAO in a Congressional inquiry. organization" of the various departments to records and papers related solely to pol­ Other que:;tions need answers: and establishments of the executive branch. icy formulation and imnlementation. Thus. Why did NSC staff refuse to discuss the The term "activities" arguably envisions while the Department's firm policy is to work GAO was undertaking for a Congres­ more compreh ensive review of agency records cooperate as fully as possible with the GAO sional committee? by GAO than would normally be encom­ surveys and studies of United States Govern­ On what authority and on what legal basis passed within a traditional financial audit.I ment policies and their execution, it is our did NSC staff apparently refuse to meet with Furthermore. the pro•Jision does not differen­ policy to safeguard apPropriately access to GAO on this study? tiate between factnal information and "rec­ internal memoranda reflecting individual, I would ~ppreciate an early reply to these ords and papers related solely to policy for­ bureau, and agency views and recommenda­ questions. mulation and implementation". Thus. even tions leading to final policy decisions. With best regards. if 31 U .S.C. 54 is limited to records relating Sincerely yours, to the expenditure of government funds NATIONAL SECURITY COUNCIL, LEE H. HAMILTON, sought in the course of a financial audit, the Washington, D .C., April19, 1979. Chairman, Subcommittee on Europe. fact that the records are internal policy Hon. LEE H. HAMILTON, memoranda does not automatically disquali­ Chairman, Subcommittee on Europe and the THE LIBRARY OF CONGRESS, fy them from coverage if relevant to the Middle East, U .S. House of Represent­ CONGRESSIONAL RESEARCH SERVICE, purpose of the access provision. atives, Washington, D.C. Washington, D.C., April 25, 1979. It is true that 31 U.S.C. 54 was part of the DEAR MR. CHAIRMAN : Dr. Brzezinski has To House Foreign Affairs Committee. original 1921 Budget and Accounting Act, asked me t o reply to your letter of March 1, From American Law Division. enacted at a time when GAO's and the 1979, on the subject of the recent General Subject GAO Access to State Department Comptroller General's functions were con­ Accounting Office study of the arms sales Records. ceived to be narrower than they are today.2 process. I regret the delay in responding to Enclosed please find a reoort on GAO ac­ However, legislation enacted in the super­ you, but the questions you posed required cec:;s to executive branch information. vening 50 years has greatly expanded the discussions with a number of National Secu­ The report was prepared in response to role of GAO. The Legislative Reorganization rity Council Staff members, including one your request for an analysis of the scope of Act of 1946, 31 U.S.C. 60 , authorizes the individual who has since left the Staff. 31 U.S.C. 54, an access-to-records provision, Comptroller General to "make an expendi­ Our general policy regarding GAO investi­ and the State Dep:trtment's reliance on that ture analysis of each agency in the execu­ gations is that we cooperate as fully as pos­ statute as authority to deny access to GAO. tive branch of the Government (including sible with the investigators, and that we pro­ The precise nature of the documents sought Government Corporations). which, in the vide relevant information unless it is ( 1) pol­ and the part icular investigative interest of opinion of the Comptroller General, will en­ icy deliberative, (2) especially sensitive from the GAO was not discusc:ed. The report thus able Congress to determine whether public a national security perspective, or (3) pro­ speaks in general terms regarding the Fcope funds ha" e been economically and efficiently vided in confidence by another agency. I un­ of GAO access to information. If further administered and expended." The Legislative derscore the word "especially," because the analysis is desired, plea~e contact us. Reorganizat ion Act of 1970 and the Congres­ fact that information is classified does not RICHARD EHLKE, sional B\ldget and Tmpoundment Control prevent providing it to the GAO in the great Legislative Attorney. Act of 1974 added duties to GAO which solid­ majority of cases. ified its position as an arm of the Congress In the arms sales investigation, members THE LIBRARY OF CONGRESS, in matters extending beyond financial audit­ of our Staff did meet with the GAO investi­ CONGRESSIONAL RESEARCH SERVICE, ing. Pursuant to 31 U.S.C. 1154, the Comp­ gators, and, I am told, did disc11ss the cases Washington, D.C. troller General is to "review and evaluate under review to the extent permitted by our GAO ACCESS TO EXECUTIVE BRANCH the results of Government programs and ac­ general policy. However, by the time the in­ INFORMATION tivities carried on under e'{isting law . . ." GAO was thus to be "the principal supple­ vestigators aoproached the NSC, they had The General Accounting Office has been obtained quite a bit of information from the denied access by the State Department to mentary staff for assistance to committees agencies. with the result that mostly policy documents relating to arms sales. In rec:ponse in their analysis of existing agencies and ac­ deliberative information was sought at this to a question from a member of Security and tivities" and was envisioned as "an arm of level. In order to foster full, frank, and ooen the Congress in examining and analyzing the Scientific Affairs, a department representa­ activities of existing Federal programs and discussion within the Executive branch. on tive supplied the following authority for 3 future policy issues, we judged it best not to denying information to GAO: in the budget evaluation process generally." The 1974 Congressional Budget Act expanded divulge either agency positions or recommen­ The statutec; governing GAO access to de­ GAO's role in assisting committees with their dations to the President on these cases. Thus, partmental records (31 U.S.C. sec. 54) extend there was very little additional information program evaluation and oversight function.• only to provide unquallfied access to records Thus, GAO not only performs traditional that our Staff could provide. relating to the expenditure of government If the GAO investigators believe that they fiscal audits, but conducts so-called manage­ fund<; in the course of financial audits con­ ment audit<; and program evaluation and did not receive information that should have ducted by the GAO. The historv and context anal sis. It defines the term "audit" as in­ been provided under our general policy, of section E4 make clear that it was not in­ cludin~ more than iust ver'fication of ac­ please have them contact me. Also, if I may tended to provide such unqualified a.ccec:s to counts. transactions. and financial state­ be of further assistance to you, please do not records and papers related solely to policy hesitate to contact me. m':!nts but as a con"e:>t which also embraces formulation and implementation. Thus, "[c]hecking for compliance with applicable Sincerely, while the Department's firm policy is to co­ CHRISTINE DODSON, operate as fully a<> possible with the GAO Staff Secretary. surveys and studies of United States Govern- Footnotes at end o! article. May 9, 1979 EXTENSIONS OF REMARKS 10527 laws and regulat ions; examining the efficien­ [The amen dment), I am assured b y GAO been on the underlying authority of the GAO cy and '3conomy of Government operations; counsel, does not provide the GAO wit h addi­ or the propriety of its requests but on the and determining the extent to which the tional access authority. It largely restates [31 need for mechanisms to enforce the right of desired results have been achieved.":; This U .S .C. 54). A comparison of the new language access. This longstanding con:;ressional ac­ description of GAO's functions comports versus the old Is a t tached. If anything the ceptance of the broad interpretation given with its statut ory mandates and is reflected new language. by striking the term "finan­ his access authorit y by the Comptroller Gen­ in the tasks assigned to it by committ ees of cial" ... would appear to have a weakening eral, combined with the literal scope of not Congress. effect . In fact, it is to escape the excessively on ly 31 U.S.C. 54 itself, but the other statu­ While the dut ies and responsibilities of restrictive construction of "financial trans­ t ory directives to GAO, would seem to refute the GAO have been expanding, the access­ actions" by Federal agencies that the word the argument that policymaking informa­ to-records provision, 31 U.S.C. 54, has re­ "financial" is deleted.'o tion not directly concerned with expendi­ mained untouched. Periodic controversies­ Oversight hearings in 1975 portrayed GAO ture of funds is outside the Comptroller similar t o the one in question-have arisen in broad terms. Access problems were not General's access authority. over the sufficiency of the authority in 31 t he focus of t he hearings, but the Chairman With respect to the instant controversy, U.S.C. 54 to procure records and information of t he House Government Operat ions Com­ the State Department appears to be basing from agencies in t he course of t he GAO's mittee described GAO as "far more than it s refusal to provide information to GAO on expanded review and evaluat ive responsibil­ just an auditor. It serves as a vital resourct:> its interpretation of t he st atutory language ities. However, several arguments can be of the Congress by obtaining. analyzing, and and context of 31 U.S.C. 54. Executive privi­ made that the GAO does have broad author­ presenting through its audit. review, and lege has not been asserted and this report ity, under 31 U.S.C. 54 or other statutes, to reporting activit ies, information necessary does not address the question of GAO ac­ gain access t o agency records. As discussed t o enable t he Congress to legislate more cess in the face of a claim by the executive above, the language of the access provision effectively." 17 The same committee reported branch of executive privllege. can be interpret ed to encompass more than a bill in 1978 which would have granted the RICHARD EHLKE, merely fact ual financial information needed Compt roller General the right to enforce Legislativ e Attorney. for a fiscal audit. In addition, the Comp­ his right to access t o records in court.1s In FOOTNOTES troller General argues t h at acce ~:: s necessary its report, the Committee emphasized its 1 See, Morgan, The General Accounting Of­ to achieve the sta t u t ory d irective is implicit view that GAO was entitled to all records in the new authorities vested in the GAo.o fice: One Hope for Congress to Re_5 ain Parity nece3sary to perform its various functions: H • Congress has not felt t he need to revise 31 o f Power with the President, 51 N.C.L. Rev. A principal duty of GAO is to make inde­ 1279, 1353 (1973). Morgan cit es floor debates U.S.C. 54 or provide new access aut hority pendent audit s of a gency operations and every time it has given the GAO new over­ on the Budget and Accounting Act of 1921in­ programs and to report to the Congress on sight responsibilities or when disclosure dicating that the power of the Comptroller problems have arisen.r the manner in which Federal dep:J.rtments General to investigate . . . all matters re­ and agencies carry out their responsibilities The consistent interpretation by the lating to the receipt, disbursement, and ap­ Comptroller General of the breadth of t he In establishing GAO, Congress recognized plication of public funds . .. (31 U.S.C. 53 . access provision is entitled to great weight t hat t he Office would require complete acces-> Emphasis supplied) was int ended to permit as an administntive interpretation, particu­ to the records of the Federal agencies. Thi "" GAO review of agency efficiency as well as fi­ larly when such interpretation has been need would not be fulfilled If GAO's access nancial int egrity. 51 N.C.L. Rev. at 1353 n. voiced before Congress which has chosen not t o records, information, and document s per­ 273, cit ing, 58 Cong. Rec. 7292-3 (1919) . to revise it.q The Compt roller General has taining to the subject matter of audit or ~Bu t see, note 1, supra. The evolution of frequently aired his problems in gaining ac­ review is limit ed. The int ent of t he variou« the GAO from an agency doing "desk audits" cess to agencv records before congress ional laws assigning authority and responsibility to one engaged in more comprehensive au­ committees. The response has not been calls to t he GAO is clear on this point. diting and review activities is described by to amend 31 U.S.C. 54 to cover the records Elsewhere, t he Committee confronted t h e the Acting Comptroller General in hearings sought, but to provide effective enforcement recurring argument that GAO access does on the Legislative Reorganization Act ot mechanisms to enable GAO to effectuate its not extend to opinions as opposed to factual 1970. Hearings on the Organization of Con­ !lccess rights. The assumption has been that information: zo gress Before the Joint Committee on the Or­ the general access provisions of 31 U.S.C. 54 Other sources have raised the concern t hat ganization of the Congress, 89th Cong., 1st or the access implicit in the statutes grant­ tying section 3 to 31 U.S.C. 54 could h a ve sess. 1363, 1364-1369 ( 1965) . ing GAO various review and oversight pow­ t he effect of restricting t he Compt roller Gen­ 3 H. Rept. No. 91-1215, Le:tslative Reor­ ers are sufficient; what is needed is a way eral's authority t o obtain data from Federal ganizat ion Act of 1970, 91st Cong., 2d Sess. to enforce them. agencies through court enforcement. The 18,81 (1970). Compt roller General relies upon section 54 ~ See, S . Rept. No. 93-924, 93d Cong., 2d For example, the Comptroller General's Sess. 72 ( 1974) . memorandum outlining his legal authority as his principal authority to support request s for information from Federal agencies. It is ~ Hearing on Review of the Powers, Proce­ to gain access to the records of the Emer­ dures, and Policies of the General Account­ gency Loan Guarantee Board was submitted couched in terms of t he agencies' obligation to furnish "information" to the Comptrolle~· ing Office Before a Subcommittee of the before the Senate Banking, Housing, and Ur­ House Government Operat ions Committee, ban Affairs Committee in 1972. Problems of General. Some a e-encies have a t tempt ed to withhold material from him on t he basis that 94th Cong., 1st Sess. 5 (1975) (testimony ot GAO access to foreign affairs and mllitary Comptroller General Staats) . information were aired ext ensively In Con­ " informat ion" means "factual information only" and does not ln-:lude opinions. conclu­ o See, Hearings on Defense Production Act gre ~ s in 1973. In response to the documenta­ amendment s or 1972. Before the Senate Com­ tion of denials of access to GAO, provisions sions, conjectures. recommendations, and similar matter. Su ch an int erpret ation !') mittee on Banking, Housing & Urban Affairs, to cut off funds if access was not provided 92d Cong., 2d Sess. 52 ( 1972) (Memorandum were attached t o State Department and clea rly erroneous. Section 54 gives t he Comp­ t roller General t he right t o examine t he on Right of the Comptroller General and Unit fO'd St ates Information Agency anpro­ the General Accounting Office to Have Ac­ priations authorizat ion bills.10 The focus of "books. documents, papers. or records" of a n agency. Section 54 should be given t he cess to the Records of the Emergency Loan concern was not whether existing law pro­ Guarantee Board) . vided sufficient aut hority to gain access to broadest meaning possible ir:. order that the Comptroller General will have the right of 7 Where right to access to non-government the records being sought by GAO, but what records are involved, GAO access has fre­ enforcement mechanism was appropriate. access t o all t hose records he needs to fulfi l! t he GAO's statutory responsibll1tles. The quently been spelled out since the general The fund cut-off provision of the State De­ authority of 31 U.S.C. 54 extends only to de­ partment b111 wac; not enacted. largely on same breaclth of coverage also Is Intended t o apply to the righ t of court -enforced access partment s and establishments of the execu­ procedural grounds.11 The USIA provision, to informat ion conferred under section 3 tive branch. See, e.g., 15 U.S.C. 771 (energy however, was passed. but the President information). There are numerous statutory vetoed it and he was sustained in t he This posit ion is reinforced by the !act that Eection 3 speaks in t erms of 31 U.S.C. 54 ot provisions specifically giving the GAO access Senate .' ~ "any ot her provisions of law or agreement to records of recipients of various types of A b111 to revise and restate certain func­ gr an t ing the Comptroller General a right to federal financial assistance. See, 42 U.S.C. tions of the Comptroller General was also a ccess" to material in the possession of a JR57; 19 U.S.C. 1918; 42 U.S.C. 4592; 45 U.S.C. Introduced in 1973.13 It would have amended Federal a gency. 722. Specific GAO access authority may also 31 U.S .C. 54, not to provide additional acce"s Thus, the f) rohlems of GAO access t o ex­ be spelled out with respect to independent authority. but t o clarify current statutory ecutive agency records and the arguments establishments. See, 7 U.S.C. 12-3 (Com­ langnage.14 The bill would have deleted the surroundin~ the scope of its authority to modity Futures Trading Commission). See modifier "financial" t o the word "transac­ obtain information have been before the also, Hearings supra note 6 at 56. tions " and the term "methods of business". Congress several times in recent years. The 8 See, Elt Ltlly & Co. v. Staats, 574 F .2d 31 U.S.C. 54 would then have provided ac­ position t h at GAO is limited to fin 3. ncial au­ 90 '1: (7th Clr) , cert. denied, 99 S. Ct. 362 cess to "informat ion regarding t he powers, diting of executive agencies and that its ac­ (1978) . The case Involved GAO access to the duties. orvanizatlon, t ransactions. operations, cess to information is restricted to factual, records o! government contractors purs\tant and activities . .." Is Senator Percy, a co­ fiscal, data ha$ not been embraced by Con­ to special access provisions and contract sponsor. emphasl7ed his view of the clarify­ gress. When informed c! access difficulties, clauses. While 31 U.S .C. 54 was not In issue, ing nature o! the proposed amendment: the focus of congressional debate has not the court justified GAO access on the basis 10528 EXTENSIONS OF REMARKS May 9, 1979 ot not only the terms or the particular ac­ grant sons; one exemplified by Dr. John for several days, coming from his native cess provisions in question but also the DiBiaggio, the other personified by my country of Italy, to go through a terrible broad investigatory powers of the Comptrol­ colleague and friend, U.S. Senator ABRA­ experience that they all endured at that ler General to "investigate ... all matters HAM RIBICOFF. time in order to come into this great coun­ relating to the receipt, disbursement, and try of ours for the opportunities that it application of public funds ..." contained Dr. DiBiaggio's father came from Italy would provide for him, and later for his in 31 U.S.C. 53. 574 F.2d at 910. only 60 years ago. Senator RrsrcoFF's family. 10 See, 119 Cong. Rec. 19627 (June 14, family emigrated from Russia. While all Sixteen years old, not knowing a word of 1973). A report on GAO Access to Records of us here know of the Senator's great the language, not knowing a single person. Problems Encountered in Making Audits of record, not all realize the details so per­ It wasn't until 1926 that my father was to Foreign Operations and Assistance Programs tinent to my point. After working his way share the day that you are sharing today, and to become a citizen of this country. appears at 119 Cong. Rec. 19631-19637. In­ through law school, ABE RrsrcoFF wa~ ternal memoranda and working papers were And during that period of time he at­ frequently the subject of controversy. Id. at admitted to the bar in my own State in tended night school, and worked hard so he 19630. 1933. In 1938, he was elected to the Con­ could return home to visit his family once 11 See, 119 Cong. Rec. 29235, 33577-8 necticut Legislature, there served two again-which he did in 1928. And at that (1973). terms, became a judge of the Hartford time he met a young lady, a very beauti­ 1' 119 Cong. Rec. 33579, 35071, 35428-33. Police Court serving some 7 years, was ful young lady, whom he chose to be his 1" S. 2049 , 93d Cong., 1st Sess. elected to Congress representing the dis­ wife, and who followed him to this country 11 See, 119 Cong. Rec. 20656, 20662 (June trict I am now proud to serve, and there­ in 1929. 21, 1973) . after became Connecticut's Governor. He She was pregnant on that boat coming 1" 119 Cong. Rec. 20659. became Secretary of the Department of over, and it was a crowded boat. And they 10 Hearing on Improving Congressional Con­ were to have a beautiful daughter, who is trol of the Budget Before the Subcomm. on Health, Education, and Welfare under my older sister, who was born in the City Budgeting, Management, and Expe!'lditures President Kennedy, and stepped out to of Detroit. of the Senate Government Operations Com­ commence the first of three successive My father wen t to Pennsylvania from that mittee, 93d Cong., 1st Sess., Part 3 at 7 (1973). terms . as our U.S. Senator. Then last brief start in Ellis Island, and worked in The Comptroller General also viewed the week he announced he would decline to the coal mines for a period of time, and amendment as essentially restating present seek a fourth term to commence after decided that that was not for him, and that law. Id., 40. See also, Id., 27-33 for a descrip­ he would have to emigrate further west to tion of GAO access problems in a variety of the 1980 election. There we see the exam­ find his opportunity. And this he did; moved situations. ple of the "land of opportunity" personi­ to Detroit and went to work in the Ford S. 2049 was not reported from committee. fied in our Senator RrsrcOFF. Motor Company, which in those days before Senator Percy proposed to offer the access In a similar manner, Dr. DiBiaggio, unions was nothing more than a sweatshop. amendment as a provision of the Congres­ following his own educational path, And he stayed ~here until 1930 or there­ sional Budget Act. It did not appear in the worked his way through the intellectual abouts, when a friend of his went into busi­ reported versions of the 1974 Act. channels in Michigan. From a humble ness in Texas-a cc-;.Isin , if you will-who Amendments to 31 U.S.C. 54 were also invitej him down there to join him in busi­ proposed in 1976 and 1977 to deal with a beginning as a child of immigrant par­ ness. which he did. specific problem of GAO access to FBI rec­ ents to a career as a forceful academi­ And it was an awful time, the thirties and ords. The spn.!1sors emphasized their belief cian, Dr. DiBiaggio was recently unani­ the late twenties, as most of you know. that GAO already possessed the access au­ mously chosen to become the next presi­ In 1932 he was to have a son-perhaps the thority, but felt that clarifying legislation dent of the University of Connecticut only misfortune they ever had. And he stayed was necessary in the face of repeated chal­ with its thousands of students seeking to there for another year and decided that in­ lenges by the Attorney General. The bills deed he could not support his family there emulate his achievements. Last week, Dr. and he moved back to Detroit, and he went would have added to the end of 31 U.S.C. DiBiaggio was called upon to address 54 the declaration that with respect to the to work in Detroit again. But now with the Department of Justice and its divisions, the nearly 500 newly naturalized citizens Briggs Manufacturing Company, which was access provision is applicable to audits, re­ from scores of foreign nations. later to become the Chrysler Motor Company. views and examinations co!1ducted by GAO At this meeting, Chief Judge T. Emmet And he started out, since there was no pursuant to 31 U.S.C. 65-7 and 31 U.S.C. 1154 Claire of the U.S. District Court for the other job, as a doorman, because that was the and extends to all records and not only those District of Connecticut complimented only job they had available: he could stand pertaining to receipt, disbursement, or ap­ outside the plant and open the door for the Dr. DiBiaggio as he pointed to the edu­ people coming in. He said he would do any­ plication of public funds. See, 122 Cong. Rec. cator's stirring address. He extolled the H 280 (daily ed., March 23, 1976); 123 Cong. thing. He was a big, strong, robust man, Rec. E 3146 (daily ed., May 19, 1977). guidance this son of an immigrant had opening a door into the plant. 17 Hearing on Review of the Powers, Pro­ provided that dav for all who swore al­ And after about two weeks o! that he cedures, and Policies of the General Ac­ legiance to our great Nation. went in to see I guess what was then a fore­ counting Office Before a Subcommitt ee of In order that all mav know what Dr. man-they didn't have personnel managers the House Government Operations Commit­ DiBaggio had so movingly presented, I in those days-and said to the foreman "I tee. 94th Cong., 1st Sess. 2 ( 1975). would like to place a copy of his address, simply can't do this; I'm just too strong and 18 H. Rept. No. 95-1586, 95th Cong. 2d Sess. too robust and too healthy to be opening (1978). ' as supplied to me by former U.S. Senator doors." And the foreman said the only other 1~ Id., 5. John A. Danaher, in the RECORD: job available is a foreman. And my father 20 Id. 8. The bill passed the House on Octo­ ADDRESS OF DR. JOHN DIBIAGGIO said, "I'll take it." ber 3, 1978. 124 Cong. Rec. H 11360 (daily Thank you, Judge Claire. And thus m y father became a manager, and ed.). See, Hearings on Strengthening Comp­ I am really pleased to be given this op­ he worked very hard. He worked very, very troller General's Access to Records Before a portunity. I can't tell you how much today hard, and later was to become a general fore­ Subcommittee of the House Government Op­ means to me, as it means so much to all man, and finally to retire some years ago as erations Committee, 95th ConO". 2d Sess of you. I share your joy; I want you all to a supervisor of the Chrysler Corporation­ 0 truly a remarkable accomplishment. (1978) ·• • • know that. And my remarks will not be formal-you have heard enough formality My mother worked as well. She worked as already from the justices. a domestic; she worked in factories; she ADDRESS OF DR. JOHN DI BIAGGIO I want to talk to you as people, people washed dishes; she did whatever was neces­ that have come from backgrounds so much sary. And I could recall in the 1930's when like my own. It does my heart so much my parents-because I remember the dis­ HON. WILLIAM R. COTTER good to look at all these good and beauti­ cussions-when my father was making thirty­ ful faces out there in the audience-so three dollars, every other week, and we lived OF CONNECTICUT many different faces. And that's what is so on that. And not only did we live on that, IN THE HOUSE OF REPRESENTATIVES marvelous and wonderful about this coun­ but they managed to send a little home to Wednesday, May 9, 1979 try of ours; that's what makes it so great. each of their parents every month, back in That is truly America. And I understand Italy. That is incredible for us to think of • Mr. COTTER. Mr. Speaker, we all ac­ that, I understand that so very clearly. today, but that is the kind of dedication and cent the fact that this great Nation of Because you see, ladies and gentlemen, commitment that they had. our~ provides all of us with an oppor­ what t he Judge did not say is that my par­ Occasionally my sister and I, and now our tumty to achieve according to our abili­ ent s were immi~ra11ts. Sixty years ago, sixty children, talk about the years when we were years a:::o , 1919, my father got off a boat at poor. But we were never "poor"; we just ties. Only last week this truth was Ellis Tsland-an experience that many of never had the material things in life when brought home for all of us to see. In­ you did not have, fortunately. Ellis Island, we were children, but we had love and com­ volved were the instances of two immi- from a boat in which he was in steerage passion and that very special heritage that May 9, 1979 EXTENSIONS OF REMARKS 10529 was granted us because our parents chose to Because in those days we were criticized, like him have imposed and :filling out emigrate to this great country. those of us who were the children of im­ the paper to prove they have done so. And I remember so vividly, so very vividly, migrants, those of us who had peculiar As Business Week points out in its when their friends went through the expe­ names in neighborhoods where those names excellent article on this subject in the rience that you are going through today, and weren't often heard; those of us even who May issue: how much it really meant to each and every had to learn a second language when we one of them, and bow their friends and their started high school: English, if you will. The money that the colleges spend on relatives attended the ceremony, and how And I remember in those days when we compliance doesn't come out of Uncle Sam's much we all felt for them and how we cele­ used to deny, at least sutx:onsciously, I'm pocket. It comes from the institutions and, brated afterwards that they had become citi­ sure some of us, our ethnlcity. And what a ultimately, from the students themselves. zens of this country. terrible shame that was, because I'm now Institutions have to cover these costs And I remember how proud my father has so desperately proud of it. But it was that t hroul!h tuition increases, at a time when always been, and even to this day, of his commitment that they gave us that allowed inflation is making the price higher of edu­ citizenship papers, and how proudly he has us to achieve whatever we wished to achieve cation impossible for more and more stu­ displayed those papers. And how I felt and in life. · dents, says Dr. Elliott (President of George have felt since that time that perhaps my We overcame all those prejudices that Washington University). father becoming naturalized was as impor­ existed, and some that stiU do; we overcame all those language barriers; we even over­ Universities are burdened by these tant as any degree that I ever achieved, and regulations and the resulting paperwork, how remarkable that truly is. came the cultural shock that some of us You see, my father is truly a patriot. Un­ had to go through when we started to meet and their independence is being de­ fortunately, so many of us born in this children from other environments who had stroyed. Students are hurt by the in­ country lack real apureciatlon of the oppor­ lived far different lives than we had. And creasing regulations and redtape, as are tunities that we have here. My father always we adjusted. parents and taxpayers, in short, the speaks so strongly in defense of this country And I am here to tell you today, ladles people whom we represent or are sup­ and gets so angry with those who would criti­ and gentlemen, that all that effort was worth it. Because, you see, I have had the pleasure posed to represent here in Congress. cize it, who would find fault with some of The obvious question is, then, Who the problems that do exist in this country, of being a practicing professional in this some of the problems that we are not yet able great country. As the Judge said, I have had benefits from this huge burden? The to cope with. But he believes in this country, the opportunity to be the head of a huge answer is that only the liberal and leftist and he has good reason to believe in this medical center, and now, quite humbly, I ideologues in the bureaucracy benefit. country, as I do. have become the President of a great They get to ram their social ideas down You see, this great melting pot of cultures university. our people's throats. We in Congress have that we bring here, where we derive so much You, each and every one of you, each and the power to stop this, even if we had from one another, where we have the oppor­ every one of your sons and daughters now have that same opportunity available to you, to override Mr. Carter's veto to do it. We tunity to share so many things, to share our could end affirmative action and all the values and to learn from one another, to if you will only call upon your very rich share our collective wisdom and greatness heritage, your inherent drive to succeed that other programs which make up the vast that each of our cultures has brought us. brought you to this nation, and your ability majority of this bureaucratic meddling Even to share our food, which is truly a good to sacrifice which so many of our citizens in the affairs of our academic com­ and remarkable experience, I think you w111 in this country have lost--if you will apply munity. all agree. those qualities you can achieve whatever The obvious answer, then, is that a My sister, that beautiful girl that was mar­ you wish, I assure you. I know. You see, my family did it, and I substantial proportion of Congress, even ried shortly before me-by the way, married a majority of Congress, is made up of the son of Polish immigrants. And he is a am here today as a guest of the Chfef Judge child psychologist, a very successful child of the District Court to address you. It is a Members who are quite willing to see the psychologist in the City of Detroit, and they long way, ladies and gentlemen, from Ellis voters, taxpayers, and the academic have two wonderful children, one of whom Island and that boat that my father came community suffer. This matters less to has very brown eyes and dark hair, like mine, to this country on. many of my colleagues than interfering and the other who has blue eyes and blonde Thank you very much. with the ideologues who want to shove hair as can be. And I think that is remark­ (Applause) e through the affirmative action programs able and wonderful, and another reflection which Americans oppose 9 to 1. of what we can become. The most important thing, ladies and gen­ It is time for the American public to tlemen, what I feel this country has pro­ FEDERAL REGULATIONS ARE A MA­ clean house. And if the academic com­ vided us, is opportunity, real opportunity. JOR PART OF THE COST OF A munity wants to regain its independence You see, my parents came from truly peasant COLLEGE EDUCATION from the bureaucratic Napoleans in stock. Their parents were farmers in Italy, Washington, they will have to join -this in a small region of northern Italy from public rising, and even take the lead in it. which they migrated. And as I said before, HON. JOHN M. ASHBROOK The text of Mary Paul's May 1979 they supported them when they came to this OF OHIO Business Week article, "Pricing Paper­ country, because there was little other choice. Had they not supported them I'm sure they IN THE HOUSE OF REPRESENTATIVES work by the Pound," follows: would have starved following the period of Wednesday, May 9, 1979 PRICING PAPERWORK BY THE POUND World War I, and then the period immedi­ (By Mary Paul) e Mr. ASHBROOK. Mr. Speaker, it may ately following World War II. Government regulators are a bigger tribu­ And I can remember our parents sending be of interest to parents struggling to lation to college presidents than student pro­ packages in those days back that contained send their children to college that a testers ever were. They have never occupied clothing and coffee, and other basic needs, major portion of the cost of education the administration building, but their copi­ which they so much desperately required fol­ goes into Federal paperwork. Taxpayers, ous regulations occupy administration time, lowin~ that war. bear a huge share of the cost of college multiply reporting paperwork, and restrain And what is really amazing, you see, I'm education in this country, may be inter­ academic freedom. the first in my family to go to college-ever. The paperwork that educational institu­ Now, I had to work my way through college. ested to know that the cost of Federal paperwork for each student is now in the tions must file with the government is no My father provided as much as he could, but longer measured by the page but by th-e he could not provide all of it. hundreds of dollars per student per year. pound. A single report from the University And I started in a city college, as the At Duke University, according to Busi­ of North Carolina at Greensboro weighed in Judge said, Wayne University in Detroit. And ness Week magazine: at 12 pounds plus. I worked e--ery night and I worked my way The per student cost of imp1ementinl!. HIGH PAPERWORK COST through professional school, and I worked federal social programs and meeting the Al~ that bulk is also extremely costly. Th~ my way through a graduate degree. But it reporting requirements rose from $58 per Department of Health. Education and Wet­ all didn't seem so bad in retrospect; it was student in 1968 to $451 in 1975. rather a marvelous, unique opportunity. And fare, which requires the reports, says it adds I'm pleased that it happened that way­ Please remember that we are not talk­ enough funding to cover the costs of the I'm so pleased that it happened that way. ing about Federal aid being $451 per year regulations, but colleges generally disagree. But what they really gave me, you see, was per student. We are not talking about A recent report by the Southern Associa­ the ambition, establishing a goal for me, say­ tion of Colleges and Schools found that com­ ing to me from the time I was a young child tuition being $451 per year per student. plying with federal regulations costs some if you are going to go to college you are going We are saying that that $451, straight private colleges as much as halt of every to do something important; you are going from the pockets of parents and tax­ dollar of aid received. over and above the to prove that you are acceptable to this payers, goes into nothing but meeting amount provided by HEW for com'pli.An-ee. society. the regulations Mr. Califano and others One administrator interviewed for the u- 10530 EXTENSIONS OF REMARKS May 9, 1.979 sociation's report says: "All of us agree that colleges really face financial difficulty in com­ including veterans' benefits, if the school for the most part the ideas behind the regu· plying with t he regulations. didn't comply. Hillsdale hired a lawyer. lations are good and worthy. The difficulty But a group of college presidents who met The college won the first round before an is that when bureaucrats write regulations, wit h the Secret ary recently disputed this administrative law judge who decided that they make them extremely complicated and st a t ement . They went further and said they HEW couldn't withhold funds. HEW bas ap­ difficult to administ er as well as expen­ did not believe t hat the regulations even at­ pealed. sive in time and effort." t ain t he social objectives t he law intended. FIGHT FOR INDEPENDENCE The end result, he says, is that "regulations Congress has asked HEW to prepare an­ Independence, says Hillsdale's administra­ are becoming so numerous that they en­ ot her st udy of t he costs of regulatory com­ t ive vice president, LeMar Fowler, is what croach on the freedom and action of the pri­ pliance. the fight is really all about. "We don't accept vate colleges." The American Council on Education says federal aid," he says. "We've been independ­ "What makes it so hard to fight t hese in­ t he cost to universities and colleges of af­ ent since the beginning, and we want to con­ fringements is the bad image you get when firmat ive action programs "has only just .t inue t hat way. you give the impression you are against the begun to be felt." "You can't be independent with the federal programs," says another administrator. "Peo­ ln 1975, HEW interpreted Title ::x to mean gover nment giving you money," he adds. ple get confused when you say you support that schools must spend as much on women's Rep. Phil Crane (R.-Ill.) a. graduate of the goals but want freedom, t oo." intercollegiat e a t hletics as on men's. This Hillsdale, supports colleges that choose to Public university administrators are often has meant that some schools' foot ball teams rema in free from the encumbrances of fed­ more troubled because they tend to accept that had been self-sustaining have had to eral funding. more federal ald. divert some revenues to women's sport s. The "There's more freedom of all kinds when In 1976, the four major universities in ruling has led to cutbacks in some schools' an inst itution is free from government con­ the nation's capital-George Washington, at hletic programs for men. t rol." he says. "That control is sometimes Georgetown, American, and Catholic-issued "The absurdit y of this kind of ruling is subt le and somet imes not so subtle, but it's a declaration of independence from federal appalling when one realizes the implica­ getting harder in today's climate to m aint ain control. In the statement, at the time wit h­ t ions," says one college administrator. t he kind of independence that Hillsdale out precedent, the universities stated their "Where will it end?" offers." resolve to " ... maintain institutional inde­ Regulation also diverts an institution's CONTROL OF DESTINY pendence from any external intervention resources from t he purpose for which they which threatens the integrity of our institu­ Gardner-Webb College in Boil1ng Springs, were intended. The University of North Caro­ N.C., doesn't accept federal funding for its tions, including refusal of federal funds lina reports that its computers were swamped which carry such threats." programs either. Says President Craven E. in at tempting t o compile ten reports re­ Williams: "The control of our own destiny TOUGH TO TURN DOWN quired by HEW. requires a freedom to do what our own sense In today's economy, however, it's tough for DIVERTS OTHER RESOURCES of freedom dictates. We feel that, because any institution, public or private, to turn "All other uses of t he computer stopped," we do not accept aid, we don't have to wait down federal funds. Schools like George says t he universit y's director of institutional for a decision from a state legislature or from Washington, which has both a medical and research. "For six months, we did nothing Washington." a law school, find it impossible to refuse but HEW report s." Former President Kingman federal funding. George Washingt on President Lloyd H. Brewster describes the federal attitude With the exception of some private rel1- Elliott recalls t he bureaucratic hassle that t oward aid and regulation as one of "now gious schools, no institution can make do result ed when HEW challenged his school on that I have bought the button, I have the without student ald. Title JX requirements. right to design the coat." HEW bas ruled that Title IX of the Civil In January, 1975, HEW began a review of President Eisenhower saw it all coming 25 Rights Act, which requires equality in admis­ t he school's law center in response to a com­ years ago when he warned "The prospect of sions standards, covers any institution re­ plaint. "We provided t hem with armloads of domination of the nation's scholars by the ceiving federal assistance in the form of data, but t he next year they were back ask­ federal government, project allocation, and scholarships, loans, grants, or other funds. ing for more interviews," Dr. Elliott says. By the power of money is ever present and is Because their students receive some federal 1977, the school had met request s for addi­ gravely to be regarded." assistance, schools that may never have tional dat a four times. Today, the late President's Orwell1an vision gotten a federal dollar for their programs are During t he three and a half years of inves­ has come true. Says Duke University Presi­ now classed as recipient institutions. t igation, t he school had to hire an attorney, dent Terry Sanford: "The avalanche of recent FASTER THAN INFLATION 12 facult y members were involved in compil­ government regulations t hreatens to domi­ These schools must produce the paperwork ing informat ion, and, for a time, the law nate campus managements. At the present the regulations require. And the time and school's dean and associate dean worked on rate, it is not difficult to imagine a day cost of that paperwork are increasing at a the project almost full-time. when faculties and administrators will rate far ahead of the rate of inflation. "They were doing this when they should spend all their time filling out govern­ At Duke University, for example, the per­ have been doing academic things for the ment forms . .. . " e student cost of implementing federal social scho:>l," savs Dr. Elliott. programs and meeting the reporting require­ The Investigation ended in a bureaucratic ments rose from $58 l.n 1968 to $4E.1 in 1975. whimper. "After all that time and money An even more dramatic example is George­ HEW ended up taking our word that the school had not violated the Title IX statute." SCIENCE AND THE AUTOMOBIL.E, town University, where the per-student cost PART II skyrocketed from $16 in 1965 to $356 ten STUDENTS ARE LOSERS years later. The money that the colleges spend on com­ A study by the American Council on Edu­ pliance doesn't come out of Uncle Sam's HON. GEORGE E. BROWN, JR. cation shows the cost of complying with fed­ pocket. It comes from the institutions and, OF CALIFORNIA eral regulations at six sample colleges and ult imat ely, from the students themselves. universities was $10 mllllon, excluding the Institutions have to cover these costs IN THE HOUSE OF REPRESENTATIVES Title IX regulations. t hrough tuition increases, at a time when Wednesday, May 9, 1979 Just establishing an affirmative action plan inflation Is making the price of higher edu­ to meet HEW criteria cost the University of cation impossible for more and more families, • Mr. BROWN of California. Mr. California at Berkeley $400,0()0, while the says Dr. Elliott. Speaker, yesterday I addressed myself to University of Michigan shelled out $350,000 All student s pay, but the students who the importance of the automobile to our to develop its program. suffer most from tuition hikes are the ones society, and discussed one of the major At a large university, the total cost of all who can afford it t he least-low-income and regulations can run l.nto the millions. The Federal programs aimed at improving the minorit y st udent s who use the social pro­ automobile for all of society. Besides the University of Illinois spent $1.3 million on grams that push up college costs. all program regulations In 1975. Georgetown Cne private institution, Hillsd•le College funding problems for the Automotive and Duke paid about $3.6 million each. in Hillsdale, Mich., is resisting HEW on the Propulsion Research and Development CHARGE OF EXAGGERATION Title IX admissions policy issue. Hillsdale, Act of 1978 CPubJic Law 95-238), there is However, HEW Secretary Joseph A. Cali­ which has never taken federal funds except another problem in the Department of fano claims that colleges and universities for st udent aid In its 134-year history, was Energy with this program, and that is tend to exaggerate compliance costs. He says told by HEW in December 1977, that it would the lack of high level attention it has HEW has found that costs of regulations begin enforcement proceedings against the received. In industry there are still other barring discrimination against the handi­ school unless t he required affirmative action problems. capped are "far lower than the universit ies program was established and Hillsdale began said they were." filing compliance reports. Innovation is a difficult problem for our Mr. Califano previously stated that insti­ Hillsdale, which had never discriminated society, but it seems to be especially diffi­ tutional comments on the costs of adminis­ on the basis of sex or race, refused. HEW cult to innovate in mature industries. like tering Title IX did not prove to him that threatened to cut off all federal student aid, the American automobile industry. Per- May 9, 1979 EXTENSIONS OF REMARKS 1053.1 haps the automobile industry is incapa­ innovate. The industry is reluctant to ance and everything else. But really, there's change . . . The industry is in business to not a lot of money spent on research ... I ble of significant innovation. I do not sell cars, not to engineer automobiles." imagine you could find hundreds of people really know. One thing is clear, however, Asked his opinion of scientists in the major doing research on cancer." and that is that the American automo­ auto companies, Beno Sternlicht, board As for government automotive scientists, bile industry today is a great barrier and chairman of Mechanical Technology, Inc., a W. Dale Compton, vice-president for rese::1 rch force against innovation. firm w ork in~ on the Stirli:1g en :si ne, replied: at Ford Motor company, said, "They don't The second part of the recent series "I don't think that they're not working have very many. The government does not from the Detroit Free Press addresses hard. I don't think that they're hiding (de­ have a major facility devoted to automotive this aspect of the automobile industry, velopments). I think that what t~ey're doing research." and describes some of the interplay be­ is concentrating on the thing that will re­ As a result, the millions of dollars that the duce the buck today at the expense of the government spends, generally through the tween government and industry. buck 20 to 30 years from now." Departments of Energy and Transportation, The article follows: Selling cars and making money are, of and the Environmental Protection Agency, (From the Detroit Free Press, Apr. 23, 1979] course, legitimate concerns for private busi­ do not necessarily compete with or challenge AUTO INNOVATION OFTEN STALLS OUT nesses. Despite the claim of GM's Muench the automobile industry. The energy department spends about $95 (By Judith Serrin) most comoany spokesmen say their research staff is do!ng all that is humanly, not eco­ million for motor vehicle research: $48 mil­ William C. Durant, then a Michigan insur­ nomically, possible. lion for new kinds of vehicle propulsion, ance salesman, was on a buggy ride through Such a statement has several effects. For such as gas tur'oines. Stirling enq- ines and southern Michigan one day in the 1880s when one, it gives the imoression that work on ceramic components; $37.5 million on elec­ he met a man driving a light, two-wheeled safety, emis"ions control and fuel economy tric and hybrid vehicles; nearly $6 million on road cart. is in good hands. alternative fuels; and the rest on use at The man was bitter. He believed his cart, "It's what I call the 1939 World's Fair syn­ t ransportation systems. which he had patented, was an excellent de­ drome," said Ralph Nader, the consumer But the money spent on electric cars, ac­ vice-big enough to ca.rry a substantial advocate, recalling the wondrous "cars of the cording to one consulting engineer, has gone amount of goods, yet lighter than a regular future" he saw when he was five years old to companies concentrating on battery re­ buggy and difficult to overturn. Still, he sajd, and his parents took him to the New York sea.rch to produce a car t.1at can drive across no carriage manufacturers were interested World's Fair. country. in it. "A viable electric vehicle can be built with The man was one of the first victims of "I~'s basi.cally the process of giving the public the Imoression that the latest scien­ tod::ty's batteries," he argued, if the goal is NIH: the "not invented here" syndrome of to produce an inexpensive, limited perfcrm­ the American transportation industry. tific ed{?es are being probed." The statement also may scare off potential ance car for short trips. He says the auto Durant bought the man's patent for $50 companies are willing to do this, and neither and set up the Flint Road-Cart Co. Profits comoetitors who figure that, even if they do deYeloP something, they cannot match the they nor. the Department of Energy have the !rom the ca.rt put him on his way to becoming imagination to think along those lines. a millionaire and the founder of General giant firms' money and marketing resources. Four companies in California could tell None of the energy department's money is Motors. you why. spen~ on the internal combusion engine, ac­ That outcome, however, is little consolation cordmg to Vincent Esposito, acting director to people who have tried since then to "crack Back in 1959, the state of California passed its first law reauiring pollntion control of the department's office of tnnsoortation the walls of Detroit," as one inventor puts it. programs. The department relies on the au­ NIH has become a common auto industry devices on cars. Tre law was to take effect tomobile industry to do that work, he says. phrase. It is often used when major com­ two years after the state certified at least The department has funded all four major panies i«nore or disparage developments they two different control devices. auto companies in research on the gas tur­ have not come up with themselves. The four major automobile comnanies bine engine. Ford did a year's work on the Some industry officials have conceded the working through the Motor Vehicles ·Manu~ Stirling engine under a department ccntnct. existence of the syndrome. Former General ~acturer's Association, said they were work­ Ford also owns five percent of Mechanical Motors executive John DeLorean has railed mg as hard as possible but the de~ r ices could Technology, Inc., the company that now holds against NIH. The heads of Chrysler's and not be ready until the 1967 model year. the department's Stirling contract.e GM's new devices sections say they rarely Me:mwhile, four independent companies buy ideas; but then, they say, most ideas they d.eveloped control devices and had trem cer­ get are unsound. tified ea~lier . Reversing previous claims, the Although the best known, NIH is only one automobile companies then produced the de­ of many barriers to automobile innovation. vices-and drove the independent firms out CONSUMER'S GUIDE TO THE The trip !rom science to showroom can be a of business. SACCHARIN ISSUE gantlet. It can also take a long time. Such incidents make many people susoici­ Lawrence R. Hafstad. retired head of Gen­ ous of automobile research. Joan Claybrook, eral Motors research division, has said that head of the National Highwav Transport3.tion HON. RICHARD L. OTTINGER science is what takes place more than 10 Safety Administration, for examnle, accuses OF NEW YORK Chrvsler of sidetracking technology that years in advan ce of a car's production, engi­ IN THE HOUSE OF REPRESENTATIVES neering five to 10 ye·us away, and design, less could improve fuel economy on trucks and than five years away. vans. Wednesday, May 9, 1979 Not all scientific projects can endure that And the suspicions contribute to the ?tories, almost a folklore, of inventions made o Mr. OTTINGER. Mr. Speaker. during long. James W. Furlong, Chrysler's chief of the next few weeks the House of Repre­ research planning, says the general guide is mto auto company l "' boratories but kept off that nine out of 10 research projects fail. It the ~arket. ~o do the thousands of people sentatives will be reconsidering the sac­ is his job, he says, to decide when a project who tinker With their cars and assume they charin controversy. Confusion and un­ has been worked on long enough to call it a can do a better job than the manufacturers. certainty surround this issue both in failure-although some, such as the gas tur­ When he came to General Motors in 1955 Congress and around the country. To­ bine engine, have been around for 25 years said Hafstad, the former research dire,.tor' "th'lt's one of the first things I looked day's New York Times presented a con­ without a clear pass or fail. i~nt o : because I, too, had heard that the companies sumer's guide to the saccharin contro­ In solving problems, says Nils L. Muench, had a tricl{ carburetor that ran a lot better, versy: Why it exists, the known risks and technical director of the GM Research Labo­ a w~ol~ lot of thin~s ... as soon as I got on benefits, possible substitutes for sac­ ratories, "we have two constraints at least. the mside I inquired about it." charin and tips for enhancin~ I':Weetness One is what's do-able, what ideas do you ~e concluded, he said, that "there's nothing without sweet~ners . I commend this ar­ have? And the other is what will it do to 'the to It. In a competitive society, it just couldn't price of the car?" ticle to my colleagues. be done." This article concludes with a discus­ John Conde, transoortation curator at the Questions h 3ve been raised, however. about Henry Ford Museum, says, "Moc:t of the sion of possible alternatives to saccharin. t~e amount of competition in an industry developments that have come along in the With only four major companies, two of them I believe this is particularly important. industry, with very few exceotions, are to get repeatedly in financial trouble. Clea.rly, the ideal solution to the present the cost of building it (the car) down. If it "These are not difficult scientific nro:>lems" controversy would be a safe substitute. hapnens to be to the benefit of the consumer facing the automobile industry, ·consumer that's great." ' There would be no reason to allow con­ advocate Nader said. tinued u~e of saccharin-which unques­ After several years of studying the auto One characteristic of automotive science is tionablv presents !'Orne health risk-if a industry's future for the Congressional Office that it is incestuous. of Technology As"'essment. Larry Jenney, an Jack Wong, senior automotive engineer at satisfactory substitute were available. OTA staff member. concludes: the I~sura~c~ Institute for Highway Safety, On April 10 I introduced H.R. 3582 "My ~ersonal view is that, like many explamed, Its a fiield in which there's a lot which provides for a 3-year phaseout of mature mdustries, there is a reluctance to of money spent, in manufacture, in insur- saccharin as an additive to our food. 10532 EXTENSIONS OF REMARKS May 9, 1979 H.R. 3582 allows a sooner phaseout i! a The outraged public response prompted United St ates. While many believe that cycla­ substitute is approved within 3 years. the Congressional moratorium and two more mate was unjustly banned and is far safer Passage of my bill would put industry on reviews by the National Academy. Meanwhile, than saccharin, it is unlikely that cyclamate all foods containing saccharin (but not sac­ will be put back on the market. Another pos­ notice that it must come up with a suo­ charin-sweetened cosmetics and drugs) must sibilit y, Aspartame, is still under review by stitute and it would provide a reasonable bear this warning: "Use of this product may t he Food and Drug Administration after but definite time for this. I believe this be hazardous to your he!l.lth. This product charges of testing irregularities delayed its approach is preferable to continuing the contains saccharin which has been deter­ market ing. Aspartame lacks the versatility o! present moratorium because it takes into mined to cause cancer in laboratory animals." sa ccharin becau!':e it is broken down by high account the concerns of present sac­ RECENT WARNINGS heat and prolonged cont act with water. charin users while providing the neces­ Three studies have now shown that sac­ Three ot her approved sweete.,ers­ charin, when fed t o pregnant animals. can xylit ol, sorbit ol and mannitol-are dige!;tible sary incentives to industry to work on bv h uman bein gs and t herefore yield calories. alternatives. I personally am confident cross t he placenta, accumulate in the fetus However, t hey are absorbed so slowly that that those favoring dietetic foods will 3nd cause cancer in male ofisprinq;. Several t hey do not produce an abrupt rise in blood have their needs met by American indus­ ot her st udies showed that saccharin could sugar, mak ing t hem useful for d 'abetlcs. All try. enhance the cancer-causing potential o! three can cause diarrhea when consumed ln ot her substances. more than moderate amounts. The article by Jane E. Brody from the However, of 10 studies exploring saccha­ New York Times follows : Xylit ol, found naturally in some fruits and rin's ability to damage genes (the presumed vegetables, markedly reduces tooth decay SACCHARIN : UNRESOLVED RISKS AND AN basis for a cancer-producing effect), only when substituted for sugar. However, recent UNCERTAIN FUTURE three had positive findings. animal studies su~gest that it can cause (By Jane E. Brody) Since 1970, 10 human studies-all with bladder t umors, gallstones and adrenal tu­ In t hree weeks, the Congressional mora­ scientifi c shortcomings-have been com­ mors. Sorbitol, a GRAS substance used in torium on t he Food and Drug Administra­ plet ed wit h similar confusing results. They cand · es, cough drops and ot her processed tion's proposal to ban saccharin comes to an compared bladder cancer incidence in dia­ foods, can accumulate in cells, and a Rus­ bet ics (who presumably have used more sac­ end. In t he 18 months of saccharin's stay of sian researcher has suggested that it may execution, a few new studies have been com­ charin !or more years than others) with non­ contribut e to nerve and blood vessel damage pleted; many health, consumer and industry diabetics; they looked into the use o! sac­ in diabetics. groups have testified for or against sac­ charin by bladder cancer patients, and they FTuctose, or fruit sugar, the latest sweet­ charin; millions of Americans have voiced searched for a trend in bladder cancer that ening rage, also contribut es as many calories might be associated with increasing use of as ordinary t able sugar (sucrose) . However, their desire to have the noncaloric sweetener saccharin. remain on the market despite the possibility s'nce it is about 50 percent sweeter than that it can cause cancer, and two prestigious Nine of t h e studies had negative findings, sucrose, somewhat fewer fructose calories are national scientific panels have carefully re­ but the lOth, conducted by a team of Cana­ needed t o get t he same sweetening power. viewed the saccharin indictment. dian researchers, showed a 60 percent in­ The savings is uiddling for t hose concerned But no conclusive findings have come creased risk of bladder cancer among men about t heir weight. But fructose has an im­ forth, the issue is still being hotly debated (but not women) who used saccharin. port ant advan tage for the diabetic-it and the morat orium will probably be ex­ UNCZRTAIN RISKS doesn't need !nsulin to get into the liver and tended while Congress considers new legis­ The National Academy, the F .D.A. and bo:iy cells. Thus. there is no sudden demand lation. many independent scient ists ha·ie con­ for insulin, which diabetics cannot produce Meanwhile, from the consumer's stand­ cluded on t he basis of the-: e admit tedly in­ in adequate amounts. Fructose is also a point, the sweet life has acquired a decidedly adequat e findings that saccharin is a weak u seful sweetener for persons with reactive sour taste, with overtones o! confusion and carcinogen in a nim:1ls and is probably capa­ hypoglycemia (low blood sugar) . who tend to uncertainty. Is saccharin dangerous? Isn't ble of causing cancer in people. ! ts primary overproduce insulin when sucrose ls con­ sugar worse? I! saccharin is banned, what act ion may be as a co-carcinogen or pro­ sumed. can take its place? Following is a consumer's m eter of ot her cancer-causing substances. Alt ernatives to Sweeteners. Since the guide to the saccharin controversy : why it Ot her t han t he fet us, which seems espe­ greatest ·use of saccharin is in diet beverages, exists, the known risks and benefits, possible cially vulnerable, it is not known who may which otrer nothing at all o! nutritional substitutes !or saccharin and tips !or en­ be moo;t susceptible to saccharin's carcino­ benefit, eliminating consumption o! these hancing sweetness without sweeteners. genic effects. At the least, it would seem wise can greatly reduce your intake o! the con· A CHECKERED PAST t o avoid saccharin expo.o ure during preg­ t roversial sweetener. Discovered in 1879 and m,arketed in 1900, nan cy and while nursing. Although only Try subst it uting unsweetened drinks-­ saccharin was subjected to a safety review males were affected in the studies so far, club so:ia, mineral water or just plain tap ordered by President Theodore Roosevelt in there is no guarantee that saccharin is safe water. If you drink coffee or tea, gradually 1912. It passed. In 1955 and again in 1968, for females. reduce the amount of sweetener you use; the National Academy of Sciences scruti­ DOUBTFUL BENEF ITS you may be able to eliminate tt altogether. nized t he sweetener. Again, it was cleared, Some 80 percent of the nation's 10 million Nadine Condon of the American Dietetic but furt her safety studies were recom­ diabetics are said t o U!'e some art ificially Associat ion suggests some ways to get the mended. In 1969, its noncaloric companion, sweetened foods and drinks. Eaccharin is also effect of sweet ness without actually adding cyclamate, was banned after animal tests in­ popular among t he millions who are trying to any sweet ener. One is to use sweet spices and dicated that it could cause bladder cancer. shed or keep off excess pounds. But, in fact. herbs, such as cardamon, coriander, basil, The study that spelled cyclamate's doom no studies have demonst rat ed that use of nutmeg, ginger or mace. Another is to cara­ used a 10-to-1 combination of cyclamate and sa ccharin helps diet ers lo"e weigh.t or dia­ melize t he sugar nat urally present in fruits saccharin, but t he latter remained on the betics cont rol t heir blood sugar. Actually, and vegetables, for example, by putting market as a "generally recognized as safe" there is some evidence t hat saccharin may grapefruit, b an :1 nas. onions or t omatoes un­ (GRAS) food additive. increa!'e a ppetite and int erfere with blood der t he broiler or by letting the water just Use of saccharin climbed precipitously, su gar regulat ion by st imulat ing insulin. cook out in a p"ln of carrots. A little shred­ reaching about seven million pounds a year The average American has gott en heavier ded coconut will make fruits taste sweeter.e by 1976. An estimated 50 to 70 million Ameri­ since the burgeoning popularity of non­ cans-including one-third of the children caloric sweet eners, and consumpt ion of real under 10-consume saccharin regularly. Sac­ sugars has actually increased. Overweight charin's GRAS status was revoked by the persons may do bet ter to try to break their A CONGRE~SIONAL SALUTE TO F.D.A. in 1972 after a preliminary study in­ addict ion t o sweets r ather than perpetuate WICKES CORP. volving pellets o! saccharin implanted in the it by the continued use of saccharin. Cer­ bladders of laboratory animals suggested that t ainly, those who put saccharin in their it too could cause cancer. coffee or tea (saving 18 calories per teaspoon HON. BOB TRAXLER of suga r ) a nd then consume a 400-calorie The National Academy o! Sciences took OF MICHIGAN another look in 1974 and proclaimed the piece of cake c r pie are kidding no one but evidence !or saccharin's carcinogenicity in­ themselves. IN THE HOUSE OF REPRESENTATIVES conclusive. An uneasy truce remained until At t his point , saccharin's main benefit ap­ Wednesday, May 9, 1979 March 1977, when a Canadian study showed pears to be psychological, giving the dieter that larl!e doses of saccharin fed to pregnant and the diabetic a sense of security about e Mr. TRAXLER. Mr. Speaker, I am rats and their weanlings produced bladder t heir abilit y to deal with their problem. Such pleased to bring to my colleagues' atten­ cancers in the male offspring. The Canadians quality-of-life benefits are not unimportant. tion the 125th birthd<'~V celebration of immediately banned saccharin (although but consumers must ask whet her they are Wickes Corp. This multibillion-dollar or­ they still sell cyclamate): in this count r y, worth t he possible risk of cancer. ganization had its humble beginnings in the F.D.A. said that the law, which !or­ ALTERNATIVE SWEETENERS the heart of Michigan's eighth district, bids the use of cancer-causing food additives, Current ly, saccharin is t he cnly noncg,loric Saginaw. Though manv businesses sur­ required that saccharin be banned here, too. sweetener approved for marketing in the vive the tribulations of their early years, May 9, 1979 EXTENSIONS OF REMARKS 10533 few can boast of the success that Wickes reply or seems to be hJ.ving difflculty in CARTER GAS RATIONING PLAN Corp. has achieved. comprehending, rephrase the thought rather OPPOSED BY GOP Wickes' secret for success is no secret. than repeat it exactly. It has prospered because it has worked 5. Look directly at the person while speak­ to satisfy people's needs. Wickes has been ing. Even a slight turn of the head can ob· scure the deaf person's vision. Other distract­ HON. BUD SHUSTER able to survive the fads and fancies of ing factors include beards and mustaches. OF PENNSYLVANIA an emerging nation because it has been 6. Don't be embarrassed about communi­ IN THE HOUSE OF REPRESENTATIVES content to roll up its sleeves and provide cating with p aper and pencil. Getting the the basics, reaching people where it message across is more important than the Wednesday, May 9, 1979 mattered most--in their homes, their medium used. • Mr. SHUSTER. Mr. Speaker, President diets, and in designing and building 7. Establish eye contact. It helps convey Carter's request for emergency standby better machines to do their bidding. the feeling of direct communication. 8. Don't restrict conversation to business authority for gasoline rationing, House Due to Wickes' sophisticated manage­ matters. Deaf people have feelings and opin­ Resolution 212, is not a plan to ration ment and information systems it has ions. Humor, gossip and small talk help gasoline but one which allocates the right boomed in recent years. Through the everyone relax. to buy gasoline. maximum utilization of its available re­ Many deaf children attend regular schools The plan is discriminatory costly, eco­ sources, Wickes has been able to realize where teachers and hearing students have to nomically disruptive, bureaucratically a large increase in its sales, and the learn communication techniques. This main­ bizarre, and an invitation to commit future looks even more promising. I be­ streaming is much easier with deaf students fraud. lieve that these achievements are re­ who have learned to speak, rather than rely­ ing solely on sign language. The most im­ The Republican Policy Committee markable and deserving of recognition. portant advice for those who hear is to re· which I have the honor to chair, already Wickes Corp. exhibits the best aspects member that deaf people can speak. Deafness is on record, strongly and overwhelm­ of our free market economy, and I am is not muteness. ingly, in urging defeat of this bureau­ sure that my colleagues feel as I do that Information about communicating with cratic boondoggle. the United States has grown because deaf people, as well as speech and hearing in­ If you are in the "junker car" business corporations such as Wickes have grown. struction for deaf people, can be obtained at the Lexington School for the Deaf, 30th Ave· there would be an even bigger boon to I feel priviledged that I have had this the boondoggle. This plan will create a opportunity to honor a great American nue and 75th Street, Queens, N.Y. 12370, phone (212) 899-8800.---steady Reader. junk dealers bonanza because affluent business-Wickes Corp.e Dear Reader: people could purchase junker cars and Many thanks for passing on some extreme­ thereby obtain additional ration coupons. ly useful information.e This is still another example of the in­ eptness of the Carter administration in COMMUNICATING WITH THE DEAF coming to grips with this country's se­ rious energy problems. HON. BARBARA A. MIKULSKI E. C. GATHINGS This poorly conceived, highly costly OF MARYLAND plan, is nothing more than an unwork­ IN THE HOUSE OF REPRESENTATIVES able blueprint for a cumbersome bu­ HON. JACK BRINKLEY reaucracy to regulate the lives and the Wednesday, May 9, 1979 OF GEORGIA livelihood of the American peoole. It de­ e Ms. MIKULSKI. Mr. Speaker, I would IN THE HOUSE OF REPRESENTATIVES serves to be resoundingly rejected. like to share with my colleagues a letter For the benefit of my colleagues, I recently published in Ann Landers' na­ Tuesday, May 8, 1979 would like to share with them the entire tionally syndicated column which con­ • Mr. BRINKLEY. Mr. Speaker, it has text of the Republican Policy Committee cerns all of us who at one time or an­ been said that a truly great man can be position statement by inserting it in the other will have occasion to communicate measured by his concern for others. RECORD: with our deaf and hearing-impaired con­ Congressman E. C. "Took" Gathings was HoUSE RESOLUTION 212-EMERGENCY STAND­ stituents. Since hearing impairment is such a man. BY AUTHORITY FOR GASOLINE RATIONING­ one of the most widespread of handi­ Took's 30-year record of vigorous RATIONING PLAN No. 1. caps-an estimated 2 million Americans congressional leadership and unstinting President Carter's plan for "Emergency are totally deaf and about 12 million commitment to serving his district, his Standby Authority For Gasoline Rationing" is more suffer from some tvpe of hearing discriminatory, costly, economically disrup­ State of Arkansas, and his country will tive, bureaucratically bizarre and an invita­ problem-! hope that many of my col­ stand as vivid reminders of his greatness. tion to commit fraud. This plan is strongly leagues will have the chance to become His guiding hand influenced a wide opposed by the Repub!ican Policy Committee. acquainted with this particular segment gamut of national issues from America's The Energy Policy and Conservation Act or of their constituency. Although it would agricultural programs t'O improving vet­ 1975 (EPCA) directs the President to dratt. be ideal if we could all learn sign Ian­ erans' services. rationing and conservation plans for use dur­ guage, I hope that mv colleagues will find But Took Gathings' legacy does not ing emergencies. On March 1, 1979, President helpful the suggestions provided by Dr. Carter submitted to Congress for approval ~ end here. I recall an incident that reveaJs gasoline rationing plan. Under EPCA, Con­ Connor for communicating with the deaf another, more personal dimension of this without knowing- sig-n language as they gress has 60 legislative days to approve th~ uncommon man's character. plan. If the plan is approved, the Presi~ent appear in the following letter: In traveling between Washington, D.C., may implement the plan upon a determma­ Dear Ann Landers : and my home district in Georgia, it was tion that a severe curtailment of gasoline Many deaf people work or come in contact my pleasure, on several occasi'Ons, to supplies exists. Congress then has 15 days with people who have had little or no previ­ after the President's determination to ap· ous contact with deafness. Here are eight ex­ cross paths with Took Gathings at the prove or disapprove use of the plan by a vote cellent suggestions for hearing people from airport. On those occasions, I saw a man of either House of Congress. Dr. Leo E. Connor, executive director of the who unfailingly made it a point to meet The Administration's highly complex plan Lexington School for the Deaf, Queens, N.Y. every young man or woman who was is based upon a nationwide registry of owners Please print them, Ann. traveling from his district to Washington of gasoline-powered motor vehicles which 1. It is important t o have the deaf person's to serve as his congressional page. These does not exist. It is estimated that it will take attention before speaking. He may need a tap 14 months to comuile the list. The Admin­ on the shoulder, a wave of the hand or an­ young people were bright and eager, but no doubt a little apprehensive about their istration estimates that it will cost $100 mil­ other signal that you wish to communicate. lion to establish the plan and $1.6 bllllon to 2. Speak slowly and clearly, but don't exag­ new adventure in the Nation's capital. operate per year. gerate and overemphasize. This distorts lip Took Gathings went that extra mile to The plan sets up a new C\.1rrency in ration movements and makes speech reading more give each page a warm, personal wel­ coupons for the payment of gasoline. Cou­ difficult. come. pons will be issued to the registered owner 3. Try to show facial and body expression He was that kind of man-one who of the motor vehicle through banks and fi­ when you speak. You don't have to be a nancial institutions with extra allotments pantomine expert to do this. cared deeply about every person whose for essential public health and safety ve­ 4 . Not all deaf people can read lips, and life he touched. And each of our lives is hicles. Farmers and users with si~mificant even the best speech readers miss many richer for having known and had the gasoline reauirements have been promised words. Therefore, if the deaf person does not privilege of serving with Took Gathings.• special allotments which have not yet been OX:XV----{)63-Part 8 10534 EXTENSIONS OF REMARKS May 9, 1979 determined. These coupons will be redeemed be denied their sole source of transpOi'tation. Forever and ever I shall love her, at gasoline stations for the right to purchase This concept would be unfair to poor Ameri­ Till my beating heart shall ceaae, gasoline. The ration coupons will be freely cans, especially those residing in rural areas For I know when God made her, negotiable, creating a new type of money or where no alternative to automobile trans­ He made his masterpiece. currency. The economic impact of this is portation exists. Even cit!es with public mass MAURICE GoLDSMITH .• unclear and will result in a so-called "White transit would be disadvantaged if their tran­ Market," permitting citizens and businesses sit systems are incapable of absorbing sud­ with greater needs to purchase extra cou­ den increases in ridership. The "White Mar­ lOWA FUEL NEEDS IGNORED BY pons from motorists willing to sell them. It ket" would produce a windfall for affluent DOE is estimated by the Department of Energy citizens owning more automobiles than they that the "White Market" price of a coupon need, and to those who can rely upon pub­ for one gallon of gasoline could be worth lic transportation. The result would be large HON. THOMAS J. TAUKE about $1.22, not including the cost of the transfers of coupons and income between OF IOWA gasoline. the poor and the affluent and between the The gasoline rationing plan submitted by countryside and the cities. IN THE HOUSE OF REPRESENTATIVES the Carter Administration is one which in­ The Administration's gasoline rationing Wednesday, May 9, 1979 volves a potential stranglehold over t he plan is another example of the ineptness of American economy. It proposes that special the Carter Administration in providing solu­ e Mr. TAUKE. Mr. Speaker, the fuel oil powers be given to the President never before tions to the Nation's serious energy prob­ situation in Iowa and much of the Mid­ granted during peacetime and without spec­ lems. The Administration's gasoline ration­ west is critical, and it appears to be get­ ifying what degree of gasoline shortage will ing plan has taken two years to develop. cost­ ting worse. The Iowa Energy Policy "trigger" its implementation. In testimony ing $3 m1llion in contracted assistance. Yet Council noted a 12-percent shortfall of this plan does not increase or even conserve before the Congress, citizens, agricultural the fuel in April and projects a 20- to and business groups urged disapproval of gasoline supplies. The plan will not affect this plan. the actual physical distribution of gasoline 25-percent shortage this month. Several This gasoline rationing plan would do itself. It indirectly allocates a shortage. The ot her Midwestern States, including more to disrupt the economy than to ease plan does not ration gasoline-it allocates the Nebraska and Missouri, project s1milar an energy shortage. In fact, the General Ac­ right to buy gasoline. The General Account­ shortfalls in May. counting Office state-5 t hat this plan would ing Office has called this plan a $2 billion The seriousness of the shortfall can­ not save gasoline, but merely redistribute it dollar program to reduce lines at gasoline not be overemphasized. The production stations, but one which will not result in among users. The redistribution scheme is of food and fiber in the United States discriminatory and inequit able to rural and gasoline savings. This poorly conceived, suburban motorists, to farmers, to travelling highly complex plan is nothing more than a and the livelihoods of thousands of salesmen, to delivery services, to taxicabs, costly blueprint for a cumbersome bureauc­ farmers are at stake; 94 percent of all and to those in areas without mass transit. racy t o regulat e the lives and livelihood of farm vehicles and nearlv all of the The Ust is almost endless. the American people. It deserves to be re­ trucks used to haul farm supplies require Operation of this gasoline rationing plan soundingly rejected.e fuel oil. Bad weather in the Midwest has depends entirely upon an accurate national forced farmers to concentrate their registry of vehicle owners and sets forth a GOD'S MASTERPIECE planting activities solely to the month bizarre syst em for obtaining coupons. State of May. As a result, farmers need more motor vehicle administrators would complle listings of all the owners of gasoline-powered fuel oil now to get their crops planted. motor vehicles in their St at es. This cumber­ HON. NICHOLAS MAVROULES But the projected shortages may leave some procedure involves the re[!istrations of OF MASSACHUSETTS farm machines idle in the fields with 115 milllon automoblles, 10 m1llion of which IN THE HOUSE OF REPRESENTATIVES nothing but weeds to grow up around change ownership every month. Wednesday, May 9, 1979 them. Only 13 states presently have the com­ I became fully aware of the serio,ts­ puter capacity to process their registrations e Mr. MAVROULES. Mr. Speaker, I ness of the fuel oil situation in Iowa for these purposes. Not among t hese are the would like to take this opportunity to heavily populated stat es of California (with during the congressional recess. Several 15.5 m11lion motor vehicles) , Ohio. Michigan, bring to the attention of my fellow col­ oil jobbers in my district informed me and New Jersey. The American Association ot leagues a poem commemoratiing Moth­ that they would soon be forced to turn Motor Vehicle Administrators testified that er's Day by the Bard of Swamoscott, away farm customers if additional sup­ State officials could not compile these lists Mass., Maurice Goldsmith. The poem is plies were not forthcoming. In response, quickly, and if required to do so they would a beautiful reminder to all of the special I began an investigation of the fuel oU need sizable grants from the Federal govern­ meaning of Mother's Day. situation and called it to the attention ment. Considering the number of automo­ Mother's Day, which will be celebrated of Iowa and Federal officials. biles that are bought and sold monthly, this on Sunday, May 13 this year, was orig­ Ust would be at least 10 percent inaccurate Last Friday, during a speech in Des at all times. inally conceived by Anna M. Jarvis in Moines, President Carter wisely acknowl­ The federal bureaucracy could process this 1907 as a day to pay tribute to her own edged the fuel oil shortage i:l Iowa. In composite national list, calculate ration al­ late mother and all the other mothers of so doing, he pledged that "rural Amer­ lotments according to historic use by class her community. This celebration was ica will not run dry." And he stated that of vehicles and mail "ration checks" to own­ made official in 1914 when President he would not allow agricultural produc­ ers accordingly to be cashed for "ration cou­ Woodrow Wilc;on made the holiday offi­ tion to be bothered by a fuel shortage. pons" at desi~na ted issue points. These cou­ cial. Since that time we have set aside pons would be redeemed at service stations I commend the President for his rec­ in exchange for the right to purchase gaso­ this day each year to commemorate our ognition of the problem and for his stated line. Nation's mothers. intent to resolve it. However, I fear that Most Americans recognize that this bu­ Mr. Speaker, this poem brings the full his promises are nothing more than reaucratic system lends itself to massive "bu­ meaning of Moth~r·s Day before us and, empty rhetoric. The agency established reaucratic red-tape" and mismanagement. again, I commend to to my colleagues: Moreover, distributing ration coupons ac­ to carry out the President's promises­ cording to ownership of vehicles discrimi­ GoD'S MASTERPIECE the Department of Energy

pelled by fuel, and which is manufactured would have occurred 1f it were in existence producing countries charge and basically primarily for use on public streets, roads, that year. in whatever amounts they determine. and highways (except any Yehicle operated EXEMPTIONS on rail or rails) . They have no incentive to shop SEc. 5. (a) The President may exempt the around for the lowest prices, or to expand (2) The term "fuel" means gasoline and travel of any automobile or automobiles of diesel oil. The President may include any an Executive agency during any national sources of supply, particularly among other liquid fuel or gaseous fuel within the emergency or disaster to the extent neces­ non-OPEC countries, or to limit the meaning of the term "fuel" if he determines sary to respond to that emergency. amount of imports, since the price of that such inclusion is consistent with the (b) The President may exempt automo­ the domestic oil they control and the need to conserve energy. biles owned or leased by the United States value of the tax breaks they enjoy in­ (3) (A) The term "base period automo­ Postal Service to the extent he considers bile usage" means, with respect to any Execu­ crease, as the price and volume of im­ such exemption necessary in order for the ports climbs. The United States has be­ tive agency in existence on September 30, Postal Service to effectively carry out its 1977, the aggregate number of miles trav­ responsi b111 ties. come the captive, in effect, of an oil im­ eled by automobiles owned, or leased for (c) After September 30, 1983, the Presi­ port system that works to increase, rather more than six months, by that agency dur­ dent may exempt for one year any Executive than lessen, dependence on other coun­ ing the fiscal year ending September 30, 1978. agency, to the extent he considers such ex­ tries' energy sources; and that aggra­ (B) In the case of any agency which was emption necessary in order for such agency vates rather than diminishes the bal­ not in existence on September 30, 1977, such to effectively carry out its responsibilities. ance-of-payments deficit and the crip­ term means the aggregate number of miles No exemption under this subsection may which the President determines would have pling inflation that results. permit an Executive agency's automobile The following article in the Washing­ been traveled by automobiles owned, or usage to increase in any fiscal year over the leased for more than six months, by that ton Post 3r breeder reactor fight, I in it if I was sure we weren't going to get New mechanisms and new assurances are am quite supportive of the efforts of some oil, but not if we were going to get oil needed, Lane says, for moving private invest­ because we are liable to lose the Aramco President Carter to resolve this matter. ment into oil exploration where it is needed I hope my colleagues will join me on the concession." overseas. Aramco, the Arabian American Oil Co House floor in reversing the recent vote Lane's view is shared in part by Lehman of the House Committee on Science and is made up of Exxon, Mobil, Standard oii Bros.' Martin Roberts, who talks about the of California and Texaco, and produces most "great structural changes" in world oil mar­ Technology, which rejected all efforts at of Saudi Arabia's oil. Page, in other words, kets over the last 25 years. Roberts points out compromise. said Exxon did not want to increase oil pro­ that today more than 60 national oil com­ The Los Angeles Times has been a duction if it jeopardized relations with the panies control about 80 percent of the world's careful chronicler of this dispute, and a May 9, 1979 EXTENSIONS OF REMARKS 10543

responsible voice on the nuclear question stituent of mine from Houston, Dr. Whit~ (1902-08)-who felt that, "The captains of in general. I would like to bring to my ney G. Sampson, president of the Ameri­ industry . .. should not have their activities colleagues' attention their most recent can Association of Ophthalmology. His prohibited, but rather supervised and, within editorial on the Clinch River breeder re­ reasonable limits, controlled!" During Roose­ remarks were made in address to the velt's administration, 44 suits were filed by actor, which properly praises President Washington State Academy of Ophthal­ the government under the Sherman Act. Carter. mology and raise several valid points In the beginning, the Sherman Act, which The article follows: about the regulatory powers of the FTC essentially proscribes personal, contractual [From the Los Angeles Times, May 9, 1979] which I would like to commend to the and corporate activity (conspiracies) in re­ CARTER IN THE CLINCH attention of my colleagues: straint of trade or commerce, and in the fos­ President Carter has sent word to Capitol ADDRESS BY DR. WHITNEY G . SAMPSON tering of monopolies of trade or commerce, provided that, if convicted, the defandant Hill that he will continue to fight any PROLOGUE further work on the construction of a breed­ was guilty only of a "misdemeanor"-and er-reactor demonstration plant. A specter is haunting the practice of medi­ therefore subject to not more than a year of His position, according to an internal cine! The specter of its emasculation as a imprisonment or a fine of not more than White House memorandum disclosed in The noble and honorable profession by powerful $5,000 dollars, or "both ", in the discretion of Times last week, has not changed. He be­ and unrelenting governmental and private the court. lieves that any breeder built with the rela­ forces. However, as the result of (Kozak's), "in­ tively crude technology now available would How is such a specter possible in a free creased authority requested continually and be a waste of money and a threat to his society where everyone is supposedly granted granted in response to organized pressures", campaign to curb the growth in the world the right to life, liberty and the pursuit of today (1979 ), if convicted a defendant, "shall supply of weapons-grade plutonium. his trade or profession, free from the au­ be deemed guilty of a felony", and on convic­ A breeder reactor takes its name from the thoritarian forces of government? tion thereof, shall be punished by a fine not fact that it "breeds" plutonium as part of Jan Kozak, formerly a member of the Sec­ exceeding one million dollars if a corporation, the proces of using uranium fuel to generate retariat of the Community Party of Czecho­ and if an individual, one hundred thousand electricity. slovakia, published a pamphlet 1 in 1957 in dollars or by imprisonment not exceeding Carter's resistance to a breeder, on which which he codified the basic and classic tech­ three years, or by both said punishments, in work already has begun in Clinch River, niques of graceful, unsensational, non-revo­ the discretion of the court. (PL 93-528-1974 Tenn., will not sit well with Congress, which lutionary metamorphosis of a democratic and Amendment signed into law by President wants the $2.2 billion breeder badly, but he representative society into a socialist state by Gerald R. Ford) . is right to hold out. parliamentary and regulatory methods. In commenting upon the serious ramifica­ His position is even more commendable Impossible? Platitudes? Let's review very tions of the Sherman Act, the well-known with the hindsight of the nuclear power plant briefly Kozak's premises and see if they don't author Ayn Rand-from whose classic "Atlas accident at Three Mile Island that occurred start to ring a few bells! Paraphrasing ap­ Shrugged" the title of this presentation is some days after Carter advised his staff pri­ propriately for relevance to the theme of this borrowed respectfully-proffered the follow­ vately that he would not budge on the presentation: ing remarks in an article published in 1962." breeder. "A piece of enabling legislation is adopted "If I were asked to choose the date which Three Mile Island was a clear warning to remedy some easily discoverable public marks the turning point on the road to the that there are problems of design and opera­ concern. A new agency is created-or an ultimate destruction of American industry, tion still to be worked out on light water old one is (s iven expanded authority; and and the most infamous piece of legislation reactors. A breeder represents a step up­ once established follows normal agency pro­ in American history, I would choose July ward in complexity from conventional reac­ cedure and behavior. 2nd, 1890-the date of approval of t he Sher­ tors roughly similar to that from a Piper ''The public's need for remedial action be­ man Anti-Trust Act--which began that gro­ Cub to a space capsule. comes more precisely defined over a time tesque, irrational, malignant growth of Carter made his intentions known with span (months, years, and even generations). unenforceable. incompliable, unjudicable his reaction to a staff p!l.per in which his Increased authority is granted periodically contradictions known as the anti-trust laws." domestic advisers urged him to keep peace in response to organized pressures, both arti­ As Miss Rand points to further. although with Congress by promising an even bigger ficial and real and from both above and "Restraint of Trade" is the essence of anti­ bree:ier demonstration soon if Congress below. trust activities, no exact definition of what would drop its plans for Clinch River. "All in good time, a new authoritv is there. constitutes "Restraint of Trade" can be Across the bottom of the memorandum self-contained; and a new instr{lment of given. The courts in the U.S. have been he wrote: "I would rather go down swing­ power has arisen. sufficient unto itself. By engaged since 1890 in deciding case-by-case ing. A large breeder in the near future is such parliamentary means, a democratic and exactly what the law proscribes; and no a waste of money." representative government can be made au­ broad definition can unlock with any reality In ruling out the breeder, Carter sided thoritarian, legally and piece-by-piece. the exact meaning of the anti-trust statutes. with his National Security Council and oth­ ''The individual, who one year is free and "This means that a businessman has to ers. Their advice was that he could cripple independent, is next year just a little more live under the threat of a sudden, unpredict­ his campaign to persuade other nuclear na­ J·estricted-then a little more-and a little able disaster, taking the risk of losing every­ tions to hold down, perhaps even reduce, more. Suddenly, overnight, he no longer is thing he owns or being sentenced to jail. the world stock of plutonium if he showed an individual. He is a cog, being moved inex­ with his career, his reputation, his property, the slightest interest in a technology that orably by the monolithic machinery of the his fortune-the achievement of his whole would add to the plutonium stock in his own state! lifetime-left to the mercy of any ambitious country. "And not a shot is fired!" young bureaucrat, who for any reason, public In resisting Clinch River, Carter did not PUBLIC'S NEED FOR REMEDIAL ACTION or private, may choose to initiate proceed­ slam the door on all breeder technology, but ings against him." only on that now easily available. I n a letter In order to apply the relevance of this Another serious hazard existing in the re­ to congressional leaders, he said the United concept to the problems facing all profes­ medial provisions of the anti-trust statutes States should "pursue a vigorous program sionals today-especially physicians-let's is the possibility of treble damage suits, of breeder-reactor research and development turn the clock back a bit and review some which may be retroactive. Firms and indi­ so that this option can be commercially happenings during the past few years that viduals which run afoul of the anti-trust available to us if and when we need it." are of grave concern as we look to the future. laws are exposed to such suits, in addition to That is far short of what Congress wants. On July 2nd, 1890, the Sherman Anti-Trust any fines and imprisonment levied by the but Carter is right to stop his promise at Act was signed into law by President Benja­ government, even though their offense was research. In view of the many questions min Harrison. This bill was enacted to rem­ a course of action or conduct that "every­ about breeder technclogy-ranging from edy (Kozak's) "easily discoverable public one" considered to be quite legal at the those of domestic he:llth and s::~.fetv to those concern" over the huge monopolies that were time-as well as ethical; however, a subse­ of world stability-he is on the right developing at the turn of the century, and quent re-interpretation of the law declared course.e allegedly, were driving the small businessman it to be illegal. out of the market due to unfair business This is an example of "retroactrve" (ex practices, price-fixing and an assortment of post facto) law, and although such laws are SHOULD HIPPOCRATES SHRUG­ supposedly amoral activities. forbidden specifically by the U.S. Constitu­ REGULATORY POWERS OF FTC The Sherman Act got perhaps its biggest tion, they exist unequivocally in the form boost into the arena of Big-Brotherism dur­ of the Sherman Act and its multiple amend­ ing the "Trust-Busting" administr::~.tion of ments since 1890. HON. BILL ARCHER President Theodore "Square-Deal" Roosevelt To complete the relevant history pertinent OF TEXAS to the theme of this presentation, in 1914 1 IN THE HOUSE OF REPRESENTATIVES Kozak. Jan: "How Parliament Can Plan during the administration of Woodrow Wil­ A Revolutionary Part In The Transition To son, (Kozak's) "the public's need for reme- Wednesday, May 9, 1979 Socialism," and the "Role of the Popular Masses," American Edition, published by the ~ Rand , Ayn : "America's Persecuted Minor­ e Mr. ARCHER. Mr. Speaker, the fol­ Long House, Inc., New Canaan, Connecti­ ity-Big Bus!ness", Published by Nathaniel lowing is an address by a friend aad con- cut, 1962. Branden I nstitute, New York, 1962. \ \ 10544 EXTENSIONS OF REMARKS May 9, 1979 dial action becoming more precisely defined" Federal Trade Commission-and, "at the This was the second "Bang" against medicine culminated in the creation of the Federal mercy of any ambitious young bureaucrat" by the FTC and the first of its "TRRs'' under Trade Commission to help "police" industry who chooses to initiate regulations for re­ its new rulemaking authority granted by and stop abuses and "unfair trade practices." medial action against allegedly unfair prac- Public Law 93- 637 (and GOLDFARB)-as The "FTC" was empowered with investiga­ tices. announced by Terry S . Latanich, Esq., Staff tive enforcement authority to issue "cease­ ASSAULT ON PROFESSIONALISM Attorney with the FTC's Bureau of Con­ and-desist" orders against all trade practices Since that "Black Monday" when "Gold­ sumer Protection which has responsibility which it considered to affect "commerce" farb" changed the destiny of all professions over TRR No. 456. Attorney Latanich is typi­ adversely. in the U.S. (June 16th, 1975). the profes­ cal of Miss Rand's description of the, However, for many years the FTC lan­ sions, and Medicine in particular, have been " . .. bureaucrat who for any reason, public guished ineffectively in the anti-trust arena assaulted by the Federal Trade Commission or private, chooses to initiate proceed­ since its true enforcement powers were weak on a broad front that has resulted in serious ings ..." Without any background in Medi­ and its staff was lacking in both manpower concern and frustration among their leader­ cme in general nor Ophthalmology in par­ and fiscal appropriations to handle ade­ ship and confusion and hostility among the ticular, this aggressive consumer advocate quately (Kozak's) "the public's need for re­ rank and file! Specific examples affecting tlle supervised the development of a "TRR" that medial action." practice of medicine include: was not only ill-considered. poorly written AN AUTHORITY IS THERE FTC vs. AMA, et ux (Conn. & New Haven)­ and inconsistent. but has ramifications that go far beyond the " easily discoverable public Borrowing on Miss Rand's format, if the Initiated December, 1975, and decided on November 13th, 1978, by Ernest G . Barnes, concern" (Kozak) over limited abuses in the author ( WGS) were asked to choose the year ophthalmic industry. This "TRR" has already and events that mark the turning point on Administrative Law Judge for the FTC-in a 312-page decision finding the defendants been modified two times in less than a year­ the road to the potential demise of all pro­ September 15th. 1978, and January 12th, guilty of a grand conspiracy to stifle all ad­ fessionalism-and especially the profession 1979-and more are needed for clarification of Medicine-! would choose the year 19'75: ,·ertising in Medicine and to subvert any in­ I badly if the legality of this ''TRR" is upheld and I would cite the following landmark nov:ltive form of health care delivery! This by the courts. events in support of this thesis: a ction was initiated without any warning by I Aside from the direct and immediate con­ ~ A. Magnuson-Moss Act (PL 93-637)­ the FTC and was the first "Big-Bang" ex­ cerns for Ophthalmology, of far greater sig­ \ Signed into law by President Gerald R. Ford erted under its newly-granted authority (PL nificance is that if "TRR No. 456" is upheld 03- 637). on January 4th, 1975 (the same day as PL by the courts, it would establish the un­ 93-641 ! ) . This blll amended the Federal The "Cease and Desist" order issued by precedented authority of an agency of the Trade Commission Act by granting to the Judge Barnes astonishingly forbids the AMA federal government (F-TC now-others later) FTC broader rule-making authority-includ­ and its constituent organizations from in­ to override and preempt the laws and regula­ ing the implied power to preempt any and \'Olving themselves in any way in monitoring tiOns of state legislatures in all medical mat­ all conflicting state laws-as well as signifi­ the advertising and promotional practices of ters at the whim of any "ambitious bureau­ cant civil enforcement authority-viz .. the physicians. If any misleading advertising or crat" who may consider them to be "unfair"! levying of penalties up to $10,000 for each deceptive practices arise, individual physi­ TRR No. 456 could serve as a precedent and every violation of its rules! Additionally, cians or medical organizations must repCJrt which could lead the FTC to try to strike the Act provided for fiscal !J.ppropriaticns them directly to the FTC for its investiga­ down other state laws such as those regulat­ totaling 265 million dollars through Septem­ tion and resolutlon. ing medical licensure, discipline and prac­ ber 30th, 1979, to fund its policing activities Even more ::;weeping in this "Cease and tice; hence the greater ramifications of this of industry and commerce! Desist" order is that the AMA may not estab­ TRR pose a serious threat to the entire prac­ Coming immediately behind PL 93-528 lish ethical .:s·u idelines governing advertising tice of medicine. and indeed all professions, discussed earlier. viz., the increase in the and solicitation for a period of two years which far transcends its apparent immedi­ punitive provisions of the anti-trust stat­ after the order becomes final (90 days unless ate consequences for Ophthalmology! The utes, the year 1975 was indeed a giant step held in abeyance during appellate proce­ A 1A and several other organizations includ­ forward for those interests bent toward the dures)-and after such a period (2 years). ing. interestingly enough, the American control and policing of all trade and com­ not unless it first obtains the permission Optometric Association, and nine states (in­ merce in the U.S. and approval of the FTC! cluding Texas!) have field a petition for B. Goldfarb vs. Virginia State Bar (U.S. The administrative law judge in this case­ review of TRR No. 456 of the FTC in the U.S. Supreme Ct., June 16, 1975): From a case a salaried employee of the FTC for over 30 Court of Appeals for the District of Columbia involving minimum fee schedules by lawyers. years-has declared astonishingly in his Circuit. As is the case with the Cease & in its decision ruling that such schedules lengthy opinion that the AMA (and presum­ Desist order concerning advertising by phy­ were in violation of the Sherman Anti-Trust ably all of its constituent organizations) is sicians. this matter may well go before the Act. the High Court also held that: organized for the profit of its members be­ U.S. Supreme Court before it is resolved, 1. "The nature of an occupation, standing cause it has done such things as offer a re­ and hopefully, declared an unconstitutional alone, does not provide sanctuary from the tirement plan and oppose enactment of cer­ t;surping of prerogatives of state authority Sherman Act-nor is the public service aspect tain forms of National Health Insurance! As by a regulatory agency of the federal gov­ of professional practice controlling in deter­ a fer !)rofit corporation, therefore, it is sub­ ernment. In this regard, it is interesting to mining whether (the Sherman Act) excludes ject to regulation of its "Trade & Com­ note that a petition to stay (delay) the im­ professions"! merce" activities by the FTC! plementation of TRR No. 456 was denied by 2. "Whatever else it may be, a (professional As Newton N. Minnow-one of several at­ Chief Justice Warren E. Burger because, act) is a service; and the exchange of such torneys for the AMA-has observed in com­ (paraphrased) " Since the rule does no harm, a service for money is commerce in the most menting on this order by the FTC, "I sub­ it shall be implemented pending its judicial common usage of that word"! mit that George Orwell's '1984' has arrived review." 3. "(Sherman Act) ... shows a carefully six years early for Medicine; for the world of The constraints of time and space pre­ studied attempt to bring within the act every Big-Brother seeking to take over tbe inde­ clude an in-depth discussion of other plans person engaged in business whose activities pendent professional practice of Medicine that t he FTC has for the profession of medi­ might restrain or monopolize commercial has arrived in 1978 !" cine; but suffice to say, they include some intercourse among the states"! Although devastating in its impact on the "Lu-Lus'' ! For openers: The F-TC is concerned that physician 4. "In the modern world it cannot be practice of Medicine and its concept of ethics and professionalism. this order is not yet a direction and monitoring of basic medical denied that the activities of (professionals) education, post-graduate training, continu­ play an important part in commercial inter­ final one. It must still come before the fun Federal Trade Commission-where the re­ ing medical education activities, "Certifica­ course; and that anti-competitive activities tion " and "Recertification" of professional by such professionals may exert a restraint sults are less than optimistic since the FTC initiated the action to begin with-the U.S. competence. etc., represent a conspiracy to on commerce"! limit the en try of more physicians in to the And suddenly-overnight-the "authority Court of Appeals. and most likely the Su­ preme Court before, and "if", it becomes market place--especially from disadvan­ is there, self-contained: and a new instru­ final! taged and minority backgrounds-thereby ment of power has arisen unto itself; legally The AMA is committed to fight this mis­ limiting the availability of medical care, and piece-by-piece." (Kozak) O.ri\·ing up fees for medical services and "And not a shot (has been) fired!" guided decision with the full extent of its re­ sources-as its dynamic EVP, James H . Sam­ increasing the inc::nne of physicians! The decision of the Supreme Court in the mons, M.D .. has stated "to your last dues As noted by another "advocate" from the "Goldfarb Case" was a devastating blow to dollar!"-as it is so contrary to the public's FTC, Jonathan E. Gains, forn1er director of the concept of professionalism; for it sum­ interest and so alien to the basic American its Bureau of Competition, at a recent medi­ marily threw out the time-honored "learned t raditions of freedom-which by "parliamen­ cal anti-trust seminar in Chicago (December profession" exemption from the Sherman tary means (is becoming) authoritarian ... 15-16th. 1978). " ... in the best of all pos­ Act; and consequently-with the stroJ.::e of a and mere restricted ... legally and piece-by­ sible worlds, (medical education-specialty pen-placed all professionals under the ju­ piece!" (Kozak) board certification-etc.) should be run by risdiction of the anti- trust statutes and FTC TRR No. 456-Advertising of Ophthal­ non-physicians and the physician role should made them subject to regulation by the al­ mic Goods and Services-Initiated January be limited to acting as advisors to the deci­ most unbelievingly naive bureaucracy of the 16th, 1976, and made effective July 3rd, 1978. sion makers!" Although no regulations have May 9, 1979 EXTENSIONS OF REMARKS 10545 been promulgated yet by the Bureau of Com­ hope that the High Court will approve the Drug Company was released February 27th, petition concerning these matters, Mr. Gaines vesting of essential professional disciplinary 1979, which has important ramifications for has stressed that, " ... the Bureau is study­ activity in statutory agencies, viz .. such as prepaid health care programs! Briefly, the ing these issues very carefully for State Boards of Medical Examiners, vis-a-vis, High Court held that "provider agreements" abuses ..."; and implied that regulations voluntary organizations. e.g.. County and between an insurer and providers establish­ may become necessary to satisfy "the public's State Medical Associations which are under ing the fees for goods and services "was not need for remedial action as it becomes more a ttack currently by the FTC. the business of insurance", regardless of the precisely defined!" (Kozak). In this opinion. the Supreme Court held claim that such cost-savings arrangements In winding down these observations con­ t hat a disciplinary rule of the Arizona State may well be sound business practice and may cerning the assault on professionalism, one Bar prohibiting advertising by lawyers did insure ultimately to the benefit of policy­ cannot help but comment on the frustration, not violate the Sherman Act-since the rule holders in the form of lower premiums. confusion, anger and sense of helplessness was an act of government imp~sed by a state Henceforth. such agreements are no longer thrust upon the leaders of the medical pro­ acting in a sovereign capacity! In the foot­ held to be exempt under the anti-trust laws! fession by the helter-skelter demands and notes of this opinion. the Supreme Court The issue of whether such agreements are in activities of competing and conflicting fed­ noted-with approval-the position of the violation of the Sherman Act was not a mat­ eral agencies of the govHnment concerned AMA's Judicial Council on Advertising, viz., t er before the court; and will have to be tested in the District Courts. The application (or rather-concerning themselves) with the Section 6.00 of its Opinions and Reports, Re­ vised May 1977! Keep your fingers crossed­ of this decision to Medical Eye Care Service delivery of medical services! For example: programs and other prepaid health programs The Department of Health, Education and this may be a good omen of things to come!! should be obvious-and onerous!e Welfare (HEW) has for years been charging In the meantime. each of us should both Medicine to "clean its own house"; viz., get adopt and practice the timeless advice from rid of its incompetent and dishonest Shakespeare's Hamlet, "This above all-to physicians, improve its standards for basic, thine own !::elf be true!" And in our hearts graduate and post-graduate medical educa­ and daily activities, "Refuse to shrug" the tion, put a lid on hospital costs and physi­ Tenets of Hippocrates-because when all of THE CONSTITUTIONALITY OF THE cians fees, etc. Yet, every positive effort the cards are played, they are our aces-in­ PANAMA CANAL TREATY IMPLE­ expended by the profession in this direction the-hole! MENTING LEGISLATION-THE IS­ has been attacked by the FTC as being in And finally, although I am .not here to­ SUE OF PANAMANIAN GOVERN­ restraint of trade and commerce in one form night to recruit membership for any or­ MENT APPOINTEES AS U.S. CIVIL or another! ganization. I cannot help but comment on OFFICERS The General Accounti.ng Office (GAO) has the importance of a strong, unified and fi­ requested that the various specialty dis­ nancially secure front line of defense against ciplines develop comprehensive manpower the assault upon our profession. Remember­ HON. ROBERT K. DORNAN our adversaries are attacking us with the studies to project for adequate numbers of OF CALIFORNIA properly trained physicians to deliver medi­ full weight and resources of the U.S. Gov­ cal care in the future; and you guessed it, ernment-legally-and with our tax dollars IN THE HOUSE OF REPRESENTATIVES the FTC claims that such studies are con­ paying their costs! Wednesday, May 9, 1979 spiracies to limit the number of physicians, Defense and counter-attack in the federal reduce competition and keep the cost of courts are enormously expensive, as well as • Mr. DORNAN. Mr. Speaker, during medical care high! painfully time consuming! If the ultimate the negotiations on the Panama Canal As observed by Miss Rand, these conflicting costs of all of the battlefronts to which Treaty of 1977, the administration agreed activities are representative classically of the medicine is committed presently in federal to the most unusual provision, under " ... grotesque, irrational, malignant growth courts alone could be totaled at this point in time, it would stagger the imagination­ article III, paragraph 3 of the treaty, in of unenforceable, incompliable, unjudicable establishing the Panama Canal Com­ contractions known as the antitrust laws." (how does "Eight Figures" sound!) These costs must be borne by the profession mission. As a U.S. Government agency, THE BOTTOM LINE through its financial support of those orga­ as I mentioned in previous statements to Can medicine survive as a profession if nizations equipped and able to conduct the this body, the Commission is to be gov­ its ability to teach itself, improve itself and battle-and we all know which ones they are! erned by five Americans and four Pana­ regulate itself is stripped and forbidden by Our collective petty disagreements over the manians. We have the further anomaly regulatory agencies of the federal govern­ details of conducting the battle must be set of nonresident aliens serving as agents ment and court decisions? aside, or we shall most assuredly all take the What is the bottom line below which it "Deep-6" together! of the United States. I do not know how, cannot sink in order to retain its position The future "surprises" that the FTC and constitutionally, this feat can legally be as the noblest of all professions serving other regulatory agencies have in store for accomplished. I would hope that, be­ mankind? medicine will also need both offensive and tween now and the final debate on the These questions are not answered easily defensive efforts-all of which will cost Panama Canal implementing legislation, in today's so::ietal environment; a::Jd a con­ maney! Al though in "The Best Of All Pos­ some of my colleagues would be kind siderable amount of circu111Spection is re­ sible Worlds" it costs nothing to talk about enough to explain a way in which we quired of the profession, its leaders and its your rights and privileges, in the real world could accomplish this without doing di­ individual memters. It must be understood of the Barnes', Latanichs', Gaines', and other clearly that what has happened seemingly countless bureaucrats, it costes plenty to de­ rect and immediate violence to the Con­ "overnight" is, in fact, the culmination of fend them! Each of us should ask ourself stitution. nearly ninety years of legislative and ju­ privately, "Am I paying my share?" It will probably be said, Mr. Speaker, dicial activity that allowed "an authority EPILOGUE that this is a mere technicality. But, as ... self-contained ... to become established It is unfortunate indeed-but a reality of I underst-=llld it, there is no small pro­ ... legally ... piece-by-piece ... restricting life-that a few of each generation of physi­ vision of the Constitution that could not (our) activities a little more ... then a little cians will either disavow or betray the es­ be dismissed as a mere technicality. The more . .. and a little more ... without a shot sence of the principles of medical practice sum total of these technicalities provides being fired!" (Kozak) and ethical behavior to the detriment of the the legal bulwark of our liberties. There With this reality in mind, Medicine must entire profession! For it is those few who is no sacred set of provisions of the Con­ resolve that its bottom line is the preserva­ perpetrate the abuses that fuel the engines tion of its professionalism and code of ethi­ stitution that are open to loose interpre­ of the bureaucracy to quench "The public's tation, while others are to be subiected cal behavior-proffered by Hippocrates cen­ need for remedial action!" (Kozak) turies ago-which separates physicians from to rigid application. The Constitution it­ It is to those who have kept their oaths to mercha.nts and tradesmen and places service Fippocrates willingly and sincerely-and self, Mr. Speaker, makes no distinctions. to mankind above economic rewards; and its with some sacrifice "Refused to shrug" So I ask: How can we make Panama­ leaders and members must recoanize that his tenets of professionalism-to those who nian citizens, actually Panamanian Gov­ remedial action-if forthcoming ;t all-will move our profession forward and give cre­ ernment officials, civil officers of the come slowly, as the legislative and judicial dence to its continued existence-that I have processes move at a snail's pace! United States? I will be happy to have sou'3ht to address this presentation! an explanation. In the meantime, I During this period. Medicine must con­ With your understanding, patience and tinue ta recognize that its Achilles-Heel has would like to submit Dr. Charles Breech­ unyielding support-both moral and finan­ er's testimony of M<:Jrch 7, 1979, concern­ always been the member of the professio.n cial-the ominous specter of Medicine's who dishonors it by his unethical activities­ emasculation as a noble and honorable pro­ ing this issue. I would appreciate it if my largely economically motivated-and :new fession-shall pass! colleagues would give the matter their methods of discipline must be evolved to closest attention. control those who would dishonor its FOOTNOTE TESTIMONY BY DR. CHARLES BREECHER tene-ts! A recent U .S. Suoreme Court decision Since this presentation was delivered, are­ in Bates & Steen vs State Bar of Arizona­ cent decision of the U.S. Supreme Court, viz., Re Issue 4: Can a non-resident alien be decided on June 27th, 1977, offers some Group Life & Health Insurance Co. vs. Royal made a civil officer of the United States? 10546 EXTENSIONS OF REMARKS May 9, 1979 The U.S. Constitution prescribes citizen­ SENATE COMMITTEE MEETINGS ship requirements of varying length for 10:00 a .m . elected officers only (President, Vice-Presi­ Title IV of the Senate Resolution 4, Banking, Housing, and Urban Affairs dent, Senators, members of the House of agreed to by the Senate on February 4, To receive testimony on S. 85 and 353, Representatives), but is silent on civil offi­ 1977, calls for establishment of a system bills to strengthen the ability o! the cers. Indeed, the U.S . Constitution does not Federal Reserve Board, focusing today lay down any mandatory qualifications for for a computerized schedule of all meet­ on the need for reserve requirements non-elective public office except indirectly. ings and hearings of Senate committees, for the conduct of monet ary policy. subcommittees, joint committees, and Th~ thesis that a non-resident alien owing 5302 Dirksen Building no allegiance to the Government appointing committees of conference. This title re­ 1 :00 p .m. him, but owing such allegiance to another quires all such committees to notify the Appropriations ( Office of the Senate Daily Digest-desig­ country, could become an officer of the ap­ District of Columbia Subcommittee pointing Government and clothed with a \ nated by the Rules Committee-of the To resume hea rings on proposed budget significant part of its authority, is not to tirr..e. place. and purpose of all meetings estimates for fiscal year 1980 for the my knowledge accepted by any sovereign when scheciuled, and an:r cancellations Government of t he Dist rict of Government on earth. The makers of the or changes in the meetings as they occur. Columbia. U.S. Constitution, having Just emerged from As an interim procedure until the 1114 Dirksen Building .I foreign domination, would have been the computerization of this information be­ most unlikely persons to admit that pos­ MAY 15 sibility, so one should not be surprised that comes operational the Office of the Sen­ 9:30 a .m. ( ate Daily Digest will prepare this infor­ they did not rule it out explicitly. Governmental Affairs ( However, there are two provisions of the mation for printing in the Extensions of I Remarks section Of the CONGRESSIONAL Governmental Efficiency and t he District U.S. Constitution which implicitly rule out of Columbia Subcommittee that non-resident aliens could become civil RECORD on Monday and Wednesday of To hold oversight hearings to examine { officers of the U .S. Government. each week. the Federal Government's policy rela­ First, Art. II, Section 4 says that ... all Any charges in committee scheduling tive to relocation of offices. civil officers of the Unit ed States, shall be will be indicated by placement of an as­ 6226 Dirksen Building removed from office on impeachment for, and terisk to the left of the name of the *Judiciary { conviction of, treason, bribery, or ot her higb unit conducting such meetings. Business meeting to mark up S. 390, to crimes and misdemeanors. Meeting schedule for Thursday, May expedite and reduce the cost of en­ How could a non-resident alien commit 10, 1979, may be found in the Daily Di­ forcing existing antitrust laws, and treason, as defined in the U.S. Constitution? gest of today's RECORD. S.J . Res. 68, to proclaim the week of June 17 t hrough 23, as "Product Safety Further, how could the U .S., which has no MEETINGS SCHEDULED jurisdiction over non-resident aliens, im­ Week". MAY 11 2228 Dirksen Building peach and convict them for high crimes and 9:30a.m. Judiciary misdemeanors? U.S. laws defining bribery. Finance and other high crimes and misdemeanors Antitrust. Monopoly and Business Rights Energy and Foundations Subcommittee Subcommittee do not apply to non-resident aliens. so what To resume oversight hearings on the im­ To hold hearings on S . 334, to provide standards would be used in impeachment plementation of the energy taxation proceedings? regulation of certain anticompetitive policy for tax proposals relating to en­ development s in the agricultural in­ How could a non-resident alien be tried ergy production. dustry. at all under the due pro~ess clause? It seems 2221 Dirksen Building 318 Russell Building evident that the makers of the U .S. Consti­ 10:00 a .m. Appropriations Select on Indian Affairs tution did not admit the possibility that To hold hearings on S. 751 , to provide for Transportation Subcommi tt e ~ non-resident aliens could become civil of­ the relocation of the Navajo and the ficers of the United States, when they wrote To resume hearings on proposed budget Hopi Indians estimates for fiscal year 1980 for AM­ the impeachment clause. Nor, to my knowl­ TRAK. 1202 Dirksen Building edge, is there any case where a non-resident 1224 Dirksen Building Select on Small Business alien has been made a civil officer of the To continue hearings on the effect of United States. Banking, Housing, and Urban Affairs Business meeting, to mark up pending Government regulations on the pro­ Second, Art. VI, Section 3, provides that calendar business. duction and utilization of coal. ... all executive and judicial officers, both 4232 Dirksen Building 5302 Dirksen Building 10:00 a .m . of the United States and of the several States, *Commerce, Science, and Transportation shall be bound by oath or affirmation, to sup­ Appropriations port this Constitution.... Communicat ions Subcommittee To continue bearings on S . 611 , proposed Interior Sub::ommittee Here also, it is evident that a non-resident Communications Act Amendments, To continue hearings on proposed alien could not swear such an oath which and S. 622, proposed Telecommunica­ budget est imat es for fi scal year 1980 might bring him in direct conflict with his t ions Competition and Deregulation for the Smit hsonian Institution. duties as a citizen of his own country. Act. 1223 Dirksen Building The drafters of the implementing legisla­ 235 Russell Building Banking, Housing, and Urban Affairs tion seem to be aware of the problem because Energy and Natural Resources To hold joint hearings with the Com­ the implementing draft says that: "Each di­ Business mezting on pending calendar mittee on Governmental Affairs on rector ... shall take an oath faithfully to business. S . 332, proposed Consolidated Banking discharge the duties of his office". That 3110 Dirksen Bullding Regulation Act. provision can of course not dispense with the 2 :00p.m . 3302 Dirksen Building constitutionally required oath for all civil Commerce. Science, and Transportation Governmental Affa irs officers of the United States. Further, the Communications Subcommittee To hold joint hearings with the Com­ draft implementing legislation of 3 March To continue hearings on S . 611, proposed mittee on Banking, Housing, and Ur­ 1978 mentions only "foreign nationals" as Communications Act Amendments, ban Affairs on S. 332, proposed Con­ directors of the Panama Canal Commission and S . 622, proposed Telecommunica­ solidated Banking Regulation Act. notwithstanding any U.S. law, but not non­ tions Competition and Deregulation 3302 Dirksen Building resident aliens. It may be possible to con­ Act. 10 :30 a .m. tend that a resident alien not owing alle­ 235 Russell Building *Judiciary giance to any foreign country might become MAY 14 To resume hearings on proposed legisla­ a civil officer of the United States, since he 9:30 a.m. tion relative to regulatory reform. could probably be impeached and could also Energy and Natural Resources 2228 Dirksen Building probably swear the oath required under Art. To hold hearings on S. 968, to expedite VI o! the United States Constitution. How­ processing of applications from Mid­ MAY 16 ever, the Panamanian directors would be western residential, agricultural, and 9:30a.m . non-resident allens. industrial consumers for crude oil Governmental Affairs transportation systems. Conclusion: The U.S. Constitution, by Civil Services and General Services Sub­ lmpllcatlon, does not allow non-resident 3110 Dirksen Building committee aliens owing allegiance to a foreign country Select on Small Business To hold oversight hearings on the activi­ and subject to its jurisdiction, to become To resume hearings on the effect of Gov­ ties of the Former Presidents Program ernment regulations on the production and t he Presidential Transition Pro- civil officers of the United States, as the im­ and u tilization of coal. plementing legislation would ordain.e gra.xn. 6226 Dirksen Building 4200 Dirksen Building May 9, 1979 EXTENSIONS OF REMARKS 10547 Governmental Affairs Labor and Human Resources 10:00 a.m. Governmental Efficiency and the District Health and Scientific Research Subcom­ Banking, Housing, and Urban Affairs of Columbia Subcommittee mittee To hold oversight hearings on the ac­ To continue oversight hearings to ex­ To hold hearings on proposed legislation tivities of the banking system. amine the Federar Government's policy to investigate drug reform programs. 5302 Dirksen Building relative to relocation of offices. 4232 Dirksen Building Commerce, Science, and Transportation 6226 Dirksen Building 2:00p.m. Surface Transpor tation Subcommittee Judiciary Appropriations To continue hearings on S. 796, proposed To hold hearings on the nominations Transportation Subcommittee Railroad Deregulation Act. of Frank M. Johnson, Jr., of Alabama, To resume hearings on proposed budget 235 Russell Building to be U.S. Circuit Judge for the Fifth estimates for fiscal year 1980 for the Circuit Court of Appeals, and Dolores Department of Transportation. Environment and Public Works K. Sloviter, of Pennsylvania, to be U.S. 1224 Dirksen Building Environmental Pollut ion Subcommittee To hold oversight hearings to explore the Circuit Judge for the Third Circuit. MAY 18 2228 Dirksen Building status of efforts by the Environmental 9:00a.m. Protection Agency and Department of Labor and Human Resources Finance Justice to enforce Federal en!viron­ Business meeting to mark up S. 209, to Taxation and Debt Management Generally mental requirements. provide for the establishment and im­ Subcommittee 4200 Dirksen Building plementation of Federal laws relating To hold hearings on S. 100, to provide to the reguLation of employee benefit a deduction for expenses incurred by Labor and Human Resources plans. the replanting of trees by the timber Health and Scientific Research Subcom­ 4232 Dirksen Building industry and environmental groups, mittee. and S. 394, to provide that certain au­ To hold oversight hearings on the imple­ 10:00 a.m. mentation of mental health policy Commerce, Science, and Transportation thors and artists be considered em­ ployees of certain corporations under programs. To hold oversight hearings on the status 4332 Dirksen Building of conserving the salmon and steel­ specified contracts. head fish stocks in the State of Wash­ 2221 Dirksen Building MAY 24 ington. 10:00 a.m. 8:30a.m . 235 Russell Building Labor and Human Resources *Energy and Natural Resources Energy and Natural Resources Health and Scientific Research Subcom­ To continue hearings on S. 885, proposed Business meeting on pending calendar mittee Pacific Northwest Electric Power Plan­ business. To continue hearings on proposed legis­ ning and Conservation Act. 3110 Dirksen Building lation to investigate drug reform pro­ 3110 Dirksen Building grams. 9:30a.m. Governmental Affairs 4232 Dirksen Building To resume hearings on S. 262 and 755, Judiciary bills to require that all Federal agen­ MAY 21 Constitution Subcommittee cies conduct a regulatory analysis be­ 9:30a.m. To resume hearings on S. 506, proposed fore issuing regulations, and to require Energy and Natural Resources Fair Housing Amendments Act. the use of less time consuming pro­ Energy Regulation Subcommittee 2228 Dirksen Building cedures to decide cases. To receive testimony from officials of Labor and Human Resources 3302 Dirksen Building the Department of Energy and certain To hold oversight hearings on the im­ 11:00 a.m. oil companies on the supply situation plementa tion of farm workers' collec­ Select on Small Business of diesel fuel , gasoline and heating oil, tive bargaining programs. To hold hearings on the nomination of both nationally and regionally. 4232 Dirksen Building Paul R. Boucher, to be Inspector Gen­ 3110 Dirksen Building 10:00 a .m. eral, Small Business Administrat ion. 10:00 a .m. Banking, Housing, and Urban Affairs 424 Russell Building Commerce, Science, and Transportation To hol