January 21, 1986 EXTENSIONS OF REMARKS 193 EXTENSIONS OF REMARKS THE CONSUMER FRAUD ACT OF H.R. 3913 for a contingency fee based on a per­ 1985 A bill to regulate commerce and to prohibit centage of the monetary relief awarded in unfair or deceptive acts or practices in the action involved; or commerce, and for other purposes on any other contingency fee basis, A. GILMAN unless, in the case of actions brought under HON. BENJAMIN Be it enacted by the Senate and House of OF NEW YORK section 4. the amount of the award of Representatives of the United States of a reasonable attorney fee to a prevailing IN THE HOUSE OF REPRESENTATIVES America in Congress assembled, plaintiff is determined by the court under section 4Cd)Cl). Tuesday, January 21, 1986 SHORT TITLE SECTION 1. This Act may be cited as the <10) The term "statement" means any rep­ Mr. GILMAN. Mr. Speaker, I recently intro­ "Consumer Fraud Act of 1985". resentation in any form of advertising, any oral or visual presentation, or any other rep­ duced legislation to protect the consumer DEFINITIONS from unfair or deceptive commercial practices. resentation, presentation, or conduct which SEC. 2. For purposes of this Act: is communicated to consumers. H.R. 3913, the Consumer Fraud Act of 1985, <1) The term "commerce" means trade, <11> The term "supplier" means any has the following four main provisions de­ traffic, commerce, or transportation- person who is in the business of making signed to identify consumer fraud and punish between a place in a State and any goods or services available to consumers. those responsible: place outside such State; <12) The term "unfair consumer practice" First, it would define consumer fraud. which affects trade, traffic, commerce, means any of the following: Second, consumer fraud would constitute or transportation described in subparagraph offering or advertising goods or serv­ : and ices for sale to a consumer and not selling grounds for cancellation of a contract be­ within the District of Columbia or such goods or services as so offered or adver­ tween an individual consumer or a small busi­ within any territory or possession of the tised, or without ability to supply reason­ nessman and a seller. If a consumer suffered United States. ably expectable public demands, unless the a loss as the result of fraud, treble damages <2> The term "consumer" means any indi­ offer or advertisement clearly and conspicu­ could be recovered from the responsible vidual who is offered or supplied any goods ously discloses the limitation; party. or services for personal, family, or house­ CB) making false or misleading statements hold purposes, and any small business con­ with respect to goods or services which are Third, State attorneys general could sue, as cern which is offered or supplied any goods offered for sale or sold to a consumer with parent patriae for the citizens of their State, to or services for use in connection with the respect to- enjoin the continuation of any consumer fraud business of such concern. m the need for such goods or services; and to recover damages, which may be dis­ <3> The term "goods" means personal and (ii) the need for repair or replacement of tributed to damaged parties under direction of real property, but such term does not in­ such goods or services; the court. The Attorney General of the United clude securities or interests in securities. (iii) rights, privileges, or remedies, in con­ <4> The term "organization" means an nection with the purchase of such goods or States could also bring such suits. entity, other than a government, estab­ services; Fourth, consumer fraud would be a Federal lished or organized for any purpose, and in­ the grade, age, quality, style, standard, ecute in State or Federal court. foundation, institution, trust, estate, socie­ or model of such goods or services; or Mr. Speaker, I ask my colleagues to please ty, union, club, church, and any other asso­ accepting consideration for goods or of consumer fraud being perpetrated upon the service, banking, accommodations in hotels, services and failing to deliver such goods or American public. The bill will assist consumers restaurants, or other places, admission to perform such services as promised or failing in protecting themselves against unfair or de­ exhibitions, performances, or other places, to return or refund deposits or advance pay­ ceptive trade practices, allowing a defrauded and the use of property owned by another ments for goods or services which are not consumer to void a contract, and to sue for person. rendered in absence of any default or <7> The term "small business concern" breach of obligation on the part of the con­ treble damages with legal fees. Should the shall have the meaning given it in section 3 sumer making such deposits or advance pay­ seller or his agent use either communication of the Small Business Act <15 U.S.C. 632). ments; or transportation, including the mails, for distri­ (8) The term "State" means each of the using physical force, threat of physical bution or collection of the product, they may several States, the District of Columbia, the force, tortious threats or harassment, or then be subject to either a $10,000 fine for an Commonwealth of Puerto Rico, Guam, the misrepresentation of law in the course of a . individual, a $500,000 fine for an organization, Virgin Islands, American Samoa, the Trust sale or attempted sale to a consumer of Territory of the Pacific Islands, the North­ goods or services or in the course of collec­ or a 3-year prison term, or both, These strin­ ern Mariana Islands, and any other terri­ tion of the purchase price or any portion of gent penalties should serve to stop those who tory or possession of the United States. the purchase price of goods and services willfully attempt to defraud customers. (9) The term "State attorney general" from a consumer: Mr. Speaker, I insert the text of H.R. 3913 means the chief legal officer of a State, or making a statement that goods are in the A ECORD and I invite my colleagues to any other person authorized by State law to original or new if such goods are deteriorat­ study it carefully and to follow with their strong bring actions under section 4 or section 5. ed, altered, reconditioned, reclaimed, or oth­ Such term includes the Corporation Coun­ erwise used; or support: sel of the District of Columbia. Such term

e This "bullet" symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor. 194 EXTENSIONS OF REMARKS January 21, 1986 connection with the sale of any goods or end of the period specified in the notice nization', 'sale', 'services', and 'unfair con­ services. given under paragraph Cl). sumer practice' have the meanings given SANCTIONS RELATING TO UNFAIR CONSUMER <3) The final judgment in any action them in section 2 of the Consumer Fraud PRACTICES brought under subsection shall be res Act of 1985. SEc. 3. (a) Any contract or agreement in judicata as to any claim based upon an "(b)(l) Each State attorney general shall commerce which provides for the purchase unfair consumer practice under this Act by have authority to bring an action,· in the any person on behalf of whom such action name of the United States, in an appropri­ of goods or services and which results from was brought and who fails to give the notice a transaction involving an unfair consumer ate district court of the United States or in specified in paragraph <2> before the end of any State court of competent jurisdiction to practice by a supplier may be voided by the the period specified in the notice given affected consumer. enforce the provisions of this section. under paragraph <1 ). "(2) In any case in which a State attorney Cb) Any person who induces a consumer to Any action brought under subsection general brings an action under paragraph enter into a contract or agreement pursuant < 1) may not be dismissed or compromised <1 ), the State attorney general shall give to or in furtherance of an unfair consumer without the approval of the court. Notice of practice shall be liable to such consumer in notice of the commencement of such action any proposed dismissal or compromise shall to the United States by- an amount equal to 300 percent of the be given in such manner as the court di­ damage or loss sustained, together with an "CA> submitting a copy of the complaint rects. involved to the Attorney General of the amount equal to the cost of any legal action Cd) In any action brought under subsec­ United States < 1>- fee). Such amount may be recovered in a fied mail) and to the United States attorney <1) the amount of any attorney fee to the for the district in which such action is com­ civil action in an appropriate district court prevailing plaintiff shall be determined by of the United States or in any State court of menced; and the court; and "CB) submitting a written disclosure of competent jurisdiction. (2) the court may, in its discretion, award any evidence or information in his posses­ The district courts of the United a reasonable attorney fee to a dependent sion which is material to the effective pros­ States may have jurisdiction of any action upon a finding that the State attorney gen­ ecution of such action, to such United brought under this section without regard eral has acted in bad faith, vexatiously, States attorney or by registered mail or cer­ to the citizenship of the parties or the wantonly, or for oppressive reasons. tified mail to the Attorney General. amount in controversy. An action under this Any monetary relief recovered in any "(3)(A) The Attorney General may enter section may be brought not later than three action brought under subsection (a)(l) an appearance in any action brought under years after the date on which the unfair shall- paragraph <1) during the 45-day period fol­ consumer. practice was discovered or reason­ <1) be distributed in such manner as the lowing the receipt of notice under para­ ably should have been discovered. district court in its discretion may author­ graph <2>. The State attorney general in­ ACTIONS BY STATE ATTORNEYS GENERAL ize; or volved may prosecute such action if the At­ SEC. 4. < 1) Any State attorney general (2) be deemed a civil penalty by the court torney General fails to enter such an ap­ may bring a civil action in the name of the and deposited with the State as general rev­ pearance before the end of such period, or State, as parents patriae on behalf of con­ enues; notifies the court in writing during such sumers residing in the State, in any district subject to the requirement that any distri­ period that the Attorney General will not court of the United States having jurisdic­ bution procedure adopted by the court shall enter such an appearance. tion over the defendant or in any State afford each person involved a reasonable op­ "CB) If the Attorney General enters an ap­ court of competent jurisdiction, to secure portunity to secure his appropriate portion pearance in an action in accordance with monetary relief as provided for in this sec­ of the net monetary relief. subparagraph , then the action shall be tion for any damage or loss- INJUNCTIVE RELIEF prosecuted by or under the direction of the which is sustained by such consumers SEC. 5. The Attorney General of the Attorney General. The Attorney General by reason of an unfair consumer practice; United States, the appropriate United shall not be bound by any action taken by and States attorney, the Postal Service, or the the State attorney general involved, and with respect to which an action may State attorney general of any State in may proceed in such action as if such action be brought by any injured party under sec­ which a prohibited act or practice occurred had been commenced by the Attorney Gen­ tion 3. An action under this section may be State, after notifying the Attorney General "CC> If the Attorney General fails to pros­ brought not later than three years after the of the United States> may, upon a finding ecute an action with due diligence during date on which the unfair consumer practice that any person is engaged or is about to the six-month period following the entry of was discovered or reasonably should have engage in any act or practice which consti­ an appearance by the Attorney General in been discovered. tutes an unfair consumer practice, may accordance with subparagraph . or (3) The court shall exclude from the issue subpenas, and bring an action in the during such additional period as the court amount of monetary relief awarded in any appropriate district court of the United after notice may allow, then such action action brought under paragraph <1) any States, or in any State court of competent may be prosecuted by the State attorney amount of monetary relief which- jurisdiction, to enjoin such act or practice. general involved in accordance with para­ duplicates amounts which have been Such courts shall have jurisdiction over graph Cl). awarded for the same damage or loss; or such actions and shall provide appropriate "(4) For purposes of this subsection, the is properly allocable to consumers who relief. Such courts may grant a temporary term 'State attorney general' means the have excluded their claims in accordance restraining order, or a preliminary or per­ chief legal officer of a State, or any other with subsection Cb)(2). manent injunction without bond. person authorized by State law to bring ac- (4) The court shall award to the State as AMENDMENTS TO TITLE 18, UNITED STATES CODE tions under this subsection.". · monetary relief an amount equal to 300 per­ Cb) The table of sections for chapter 63 of cent of the total damage or loss sustained, SEC. 6. Chapter 63 of title 18, United· title 18, United States Code, is amended by together with an amount equal to the cost States Code, is amended by adding at the adding at the end thereof the following new of the action . "§ 1346. Unfair consumer practices "1346. Unfair consumer practices.". Cb)(l) In any action brought under subsec­ "(a)(l) Whoever, in connection with the tion < 1 ), the State attorney general shall, sale, attempted sale, or distribution of goods at such times, in such manner, and with or services to a consumer, or in connection SPECIAL EDUCATION such content, as the court may direct, cause with the collection or attempted collection PROGRAMS notice of such action to be given by publica­ of the purchase price or any portion of the tion. If the court finds that notice by publi­ purchase price of goods or services by the cation would deny due process of law to any use of any means or instrumentality of HON. LEE H. HAMILTON person, the court may direct further notice transportation or communication in com­ OF INDIANA to any such person according to the circum­ merce including the use of the mails, will­ stances of the case. fully or negligently engages in an unfair IN THE HOUSE OF REPRESENTATIVES (2) Any person on whose behalf an action consumer practice, shall be fined not more Tuesday, January 21, 1986 is brought under subsection may elect than $100,000 if an individual, or not more to exclude from adjudication the portion of than $500,000 if an organization, or impris­ Mr. HAMIL TON. Mr. Speaker, I would like to the State claim for monetary relief attribut­ oned for not more than three years, or both. insert my Washington Report for Wednesday, able to such person by filing notice of such "(2) For purposes of this subsection, the January 1, 1986, into the CONGRESSIONAL election with the court not later than the terms 'commerce,' 'consumer', 'goods', 'orga- RECORD: January 21, 1986 EXTENSIONS OF REMARKS 195 SPECIAL EDUCATION PROGRAMS rective, and other support services that help DAUGHTER OF SAN SEBASTIAN During the mid-1960s, I was struck by the a child benefit from the special education number of parents in every part of the dis­ programs. In one state, for example, 25 per­ trict asking for better public school pro­ cent of its school transportation budget is HON. BILL FRENZEL grams for their handicapped children. Few spent on handicapped children, though they OF MINNESOTA schools had adequate special education pro­ make up only 3 percent of its school popula­ IN THE HOUSE OF REPRESENTATIVES grams, and many had none at all. The tion. Schools facing major problems among Tuesday, January 21, 1986 handicapped were often overlooked and not their traditional students-including low provided basic training. Today the situation achievement test scores and high drop-out Mr. FRENZEL. Mr. Speaker, Laurie Brown, has changed dramatically. Handicapped rates-are faced with increasingly difficult of Coon Rapids, MN, a Minneapolis suburb, children have been integrated into the funding decisions about programs for the public schools, giving them a new sense of completed a 2-year Peace Corps assignment self-esteem while giving others increased handicapped. in the Philippines in 1985. levels of understanding. The catalyst was Recent Supreme Court decisions have Her experience, in the town of Matag-ob, in passage by Congress in 1975 of the Educa­ stated that there are limits to the amounts Leyte Province, was typical of the Peace tion for All Handicapped Children Act, schools must spend on the handicapped, rec­ Corps. The work was hard, the privations were Public Law 94-142. Looking back over the ognizing that an exorbitant amount on one many, the pay was poor. past ten years, I can see remarkable child at the expense of all others. However, Often she found that when she could help the Court has also held that schools can be progress. But looking ahead, I see several to make life better for the people with whom challenges remaining. required to provide supportive services that Public Law 94-142 requires states to pro­ are not a major burden on school officials. she worked, it was in ways which had little re­ vide a free and appropriate public education The task for schools has been made more lationship to her skills and education. Other to every handicapped child aged 5-17. To re­ difficult by the federal government picking assets, like adaptability, patience, courtesy, ceive federal aid, states must ensure that up only about a quarter of its proposed judgment, and love were often more important handicapped children are educated in the share. A new concern is the possible impact than training. least restrictive environment possible, with of the recently-passed Gramm-Rudman bal­ When her time was up, the people with the goal of "mainstreaming" them into reg­ anced budget amendment, which mandates whom she worked drew a resolution of thanks ular classes. Today 68 percent of all handi­ sharp cuts in overall federal spending over to Laurie Brown. It calls her an "Ambassador capped students are in regular school classes the next 5 years to achieve a balanced feder­ and get only support services: 25 percent are of Goodwill," cites her good work, and desig­ al budget by 1991. Although many programs nates her as a "true daughter of our Barangay in separate classes in the school. The law re­ years, one of grams for the handicapped will be basically cially parents, teachers, and state and local their truest Ambassadors of Goodwill in the left to state and local education officials. school officials. The federal government person of Miss Lorie Brown, who despite our The federal role has been primarily one of should ensure adequate funding levels, and shortcomings and ways of life have stead­ trying to ensure the access of the handi­ local businesses can help by improving fastly withstood the rigors of our economic capped to public education, without impos­ conditions . the American Friends Serv­ in 1984 was "a political opening," concluded vail so as to not alienate what amounts to a ice Committee, and the YWCA. The coali­ a report by WOLA and IHRLG. Serious im­ 'loyal' opposition." tion, along with the Commission on U.S.­ pediments to free choice by the voters were The institute frequently attacks the con­ Central America Relations, published what minimized in the report. There was censor­ tras, but is squeamish about Sandinista it called a "basic information" book on Cen­ ship, but the parties were permitted "to abuses. In a rundown of contra leaders, it tral America. According to the book, the communicate to the Nicaraguan people" lists Lucia Cardenal de Salazar as "widow of Sandinista.s have done little wrong, and their "vision for the future" and "to criti­ Jorge Salazar, wealthy coffee grower killed when they have, it was only because the cize freely the performance of the govern­ in a November 1980 dispute with Nicara­ United States forced them to. ment." Repeated "incidents of harassment guan police." Shirley Christian of the New Take the massive Sandinista arms build­ and intimidation" occurred-Sandinista York Times reports in her book Nicaragua up. It began in 1979, at a time when the U.S. mobs broke up opposition rallies-but they that Jorge Salazar was assassinated by San­ government was reasonably friendly, and didn't affect much. The chief opposition dinista security forces. Baldizon confirmed has gone on unabated. Nicaragua now has party, the Coordinator, which dropped out that Sandinista leaders were involved in by far the largest military force in Central charging that the election wasn't free or plotting and carrying out Salazar's death. America. Yet the "basic information" book fair, acted for "political reasons." The biggest splash made by "the commu­ attributes the Sandinista buildup to fear of Eldridge says that half the leaders of the nity" has been with its well-timed reports of a U.S. invasion. "In short, the Nicaraguans Coordinator would rather have an invasion contra abuses. The most famous of these want to raise the military, and thereby the by U.S. Marines than participate in an elec­ was written by Reed Brody, a New York political, cost of a U.S.-sponsored invasion," tion. If so, then why did the Coordinator lawyer. He charged that the contras attack it says. Nor do the Nicaraguans threaten accept the Sandinista condition that the purely civilian targets, and he cited in­ their neighbors. "Despite the difficulty in contras be asked to lay down their arms for stances of killings of unarmed women and distinguishing between offensive and defen­ the election? In fact, the Coordinator's can­ children, rapes, beatings, kidnappings, sive weapons, it is clear that the military didate, Arturo Cruz, negotiated feverishly forced recruitment of new troops, disruption strengthening that Nicaragua has under­ for a postponed election in which the oppo­ of harvests, and intimidation of people join­ gone in the la.st few years is primarily defen­ sition would take part. At the key moment, ing government programs. With a congres­ sive, not offensive." Even MIGs from the though, the Sandinista.s backed out. sional vote on aid to the contras a few weeks Soviets, the book says, wouldn't give Nicara­ The Sandinista sympathizers continue to away la.st spring, the Brody report got big gua "a credible offensive force capable of in­ insist that political pluralism is the general play in the press. But it was, at best, open to vading any country in the region." rule in Nicaragua. America's Watch pro­ question. A Reagan administration exami­ The book is vague about the political lean­ claimed in July 1985 that "while prior cen­ nation of the report found that six incidents ings of the Sandinista directorate, vague in sorship has been imposed by emergency leg­ cited by Brody had been carried out by a a way that misleads. Borge, th.e interior islation, debate on major social and political contra officer later executed for murdering minister, is described as "a poet and a writer questions is robust, outspoken, even often civilians and that four incidents occurred Cwhol has studied law at the National Uni­ strident" in Nicaragua. In fact, just as under before the contras were constituted as an versity." This is the fellow who confided to Somoza's regime, debate is allowed only so organized force. Brody blames the contras Playboy magazine in 1983: "I told Cmy long as it doesn't threaten the r:.uthorities. for killing a French doctor with mortar fire, mother] that I would not be blackmailed by The America's Watch report claims that but the contras say they had no mortars in her gentleness and her naivete and that I the group does "not take a position on the that incident and that Sandinista fire killed January 21, 1986 EXTENSIONS OF REMARKS 199 him. Moreover, the administration says 48 CONGRESSMAN GILMAN SEEKS "section 2l IN GENERAL.-Subsection of section scribed Brody in action to a House subcom­ ability can benefit. For the working poor and 46 of the Internal Revenue Code of 1954 by striking out the period at the end of supporter of the Sandinistas. Also, he centives to businesses to provide dependent paragraph <3> and inserting in lieu thereof always spoke badly about the policy of the care facilities as a business or, to provide day ",and". government of the United States and of care for their employees. My bill grants a 10- (b) DEPENDENT CARE PERCENTAGE.-Subsec­ President Ronald Reagan. percent tax credit for any investment now eli­ tion Cb) of section 46 of such Code , or the Nicaraguan government. But they man­ in supporting H.R. 3928 and insert the text at "(ii) 5 percent, in the case of dependent aged to corroborate some of the Brody care center property which as subsection "The community" does make some efforts Representatives of the United States of America in Congress assembled, and by inserting after subsection the fol­ to demonstrate evenhandedness. WOLA, El­ lowing new subsection: dridge says, has been "steadfastly encourag­ SECTION I. REFUNDABLE CREDIT FOR EXPENSES FOR HOUSEHOLD AND DEPENDENT "(S) DEPENDENT CARE CENTER PROPERTY.­ ing dialogue in Nicaragua, as in El Salva­ CARE SERVICES NECESSARY FOR For purposes of this subpart- dor." Indeed, WOLA sponsored a visit to the GAINFUL EMPLOYMENT. "(!) TREATMENT AS SECTION 38 PROPERTY.­ United States by leaders of El Salvador's (a) SECTION MOVED TO APPROPRIATE PLACE For the period beginning after December 31, guerrilla forces. But the contra leaders in IN SUBPART C OF PART Ill OF SUBCHAPTER A 1985, dependent care center property shall Nicaragua are out of bounds. Eldridge is for OF CHAPTER 1 OF THE INTERNAL REVENUE be treated as meeting the requirements of a dialogue between Duarte and his Commu­ CODE OF 1954.- paragraph (1) of subsection and of section and military opposition to the Sandinistas (b) CONFORMING AMENDMENTS.- 21 of such "(B) more than 90 percent of the gross under little pressure in the talks to make Code ." GS-15, Physical Scientist, Defense Map­ He is listed in "Who's Who in the Mid (d) EFFECTIVE DATE.-The amendments ping Agency Headquarters, from Aug 1972 West." made by subsections . Cb), and shall to 20 June 1974. PROFESSIONAL SOCIETIES AND COMMITTEES apply to the period after December 31, 1985 GS-16, Chief Scientist, Defense Mapping Member, American Astronomical Society. <1972 to current). IN THE HOUSE OF REPRESENTATIVES PUBLICATIONS Dr. Martin's activities in the open nation­ Author: "Available Gravity Data," ACIC al and international scientific areas has Tuesday, January 21, 1986 Symposium Effects of Anomalous Gravity been curtailed with his spearhead activities Mr. CLAY. Mr. Speaker, there comes a time on Missile Trajectories, 1960. in the classified programs. His works in this in every generation when the inner qualities Co-Author: "Harmonic Analysis of the Se­ area have resulted in a series of highly clas­ and outward accomplishments of a few spe­ lenodetic Control System of the Department sified reports which one day, when released, will be recognized for their scientific and cial individuals allow them to rise above the of Defense, 1967." "A Study of the Rate of Rotation of the Earth from Occultations of technical achievements. normal aspects of everyday achievement and stars by the moon, 1627-1860," Doctoral Dis­ CIVIC AND COMMUNITY ACTIVITIES cause special attention to be focused upon sertation, 1969. "Uncertainties in the Lunar them. One of these individuals is Charles F. Ephemeris," Published in Science, 1970. April 1971, elected in a non-partisan race Martin from the First Congressional District of Papers: "A Study of the Rate of Rotation for City Council of Rock Hill, Missouri- 7 ,200 population. Missouri. of the Earth from Occultations of Stars by the Moon 1621-1850)," Commission 17 of 1970 to 1972 was member of Mayor's Com­ Charles F. Martin, was born in Carrollton, mittee on Parks and Recreation in Rock MO, on August 19, 1927. He completed his el­ the International Astronomical Union, 1964. "Determinations of the Earth's Gravita­ Hill, Missouri. ementary and secondary education in the Member of the Municipal Task Force of State of Missouri and upon graduation from tional Field from Satellite Orbits" presented Rock Hill, MO. at the International Union of Geodesy and high school was accepted at Lincoln Universi­ President of the Interested Citizens of the Geophysics, September 1967. Rock Hill, MO, Improvement Association. ty-Jefferson City, MO-from which he grad­ "Model Error Compensation in Orbit De­ uated in 1949 with a bachelor of arts degree Vice President and President for the termination" presented at the American As­ Schall School PTA. with a mathematical engineer major and later tronautical Society Seminar, December Assistant Cub Master of the Boy Scout received his masters and doctoral degrees 1969. Pack 318. from Yale University. "Impact on Navigation and Geodesy Com­ In 1971, received the alumni award for ex­ His first employment after graduation was in patibility on Geodetic Measurements." Pre­ emplary accomplishment in the field of sci­ a supervisory position for a major life insur­ sented at the International Symposium on ence. ance company for several years in the city of Geodetic Measurements and Computations. In 1972, received a fraternal achievement Ahmadu Bello University . Zaria, Ni­ award from Kappa Alpha Psi. St. Louis. But, due to his love for math and geria, 28 March-1 April 1978. science and a keen desire to use the tools 1976-77, Member, Area 5 Planning Com­ "GPS: Current and Future Applications." mittee for Montgomery County School that he had acquired at Lincoln University, he Presented at ASPI ACSM Convention, System. applied for and was accepted for a position as Denver, Colorado, 10 Jan. 1980. 1973-74, Assistant Scoutmaster, Troop a cartographic photogrammetric aid by the "Technological Developments in Surveys 480, Burtonsville, MD. Department of the Air Force. and Mapping over the next 20 years," pre­ 1975-76, Burtonsville E.S. PTA President. I include at this point the positions that he sented at the "Futures" Conference, Sur­ 1975-77, Scoutmaster, Troop 480, Burtons­ has held with the Department of the Air Force veys and Mapping; Energy, Mines and Re­ ville, MD. sources; Ottawa, Canada, 12-13 November 1977-78, Banneker JHS PTA President, and other Federal agencies and the various 1981. awards, achievements and publications he Burtonsville, MD. INTERNATIONAL SCIENTIFIC ACTIVITIES 1980-1984, President, St. Louis Club of has written, and other vital information. Washington, DC. DR. CHARLES F. MARTIN A. Represented the Yale University As­ tronomy Department: As you can tell by the above, Charles PREVIOUS POSITIONS 1. Greenwich, England, Astronomical Ob­ Martin has been a very active and busy indi­ Supervisor-Mammoth Life Ins. Co.: June servatory, July 1964. vidual who has dedicated himself to his job 1948-Jan 1951. 2. Paris, France, Astronomical Observato­ and country. Yet, in doing so he has still man­ 1st Lt, U.S. Army, Jan 1951-Sept 1953. ry, August 1964. aged to be a loving and devoted husband to GS-4/5, Cartographic Photogrammetric 3. West Berlin, Astronomical Observatory, his wit e Marge II and a caring father to his Aid, Department of Air Force, Jan 1954 to September 1964. Nov 1955. 4. Copenhagen, Denmark, Astronomical three children, and still somehow managed to GS-7 /9, Cartographer, Department of Air Observatory, September 1964. devote a portion of his leisure time to involve Force, from Nov 1955 to Jan 1958. B. International Astronomical Society, himself in community and civic activities. GS-11, Geodesist, Department of Air August 1964: Panel-Occultations of Moon Mr. Speaker, I ask that my colleagues join Force, from Jan 1958 to Mar 1960. by Stars. me in paying tribute to Charles F. Martin, who January 21, 1986 EXTENSIONS OF REMARKS 201 retired on December 31, 1985 after more than rate which is currently 10. 72 percent. This leg­ iture to offset the decrease. The result is 30 years of dedicated and devoted service to islation would affect all interest payments the anomaly of having amounts set aside for his country and in wishing him and his lovely made after January 1, 1986. interest actually reducing the principal. family many more years of success and happi­ While this bill does not transfer the $60 mil­ Each year, the revenues attributable to in­ ness. terest erode the U.S. investment in the lion to the general fund of the U.S. Treasury, it canal by that amount. He will be honored by coworkers and will restore the proper level of our principal in H.R. 664 is designed to stop this erosion friends at a retirement luncheon on the Panama Canal. by two relatively minor amendments to the Thursday, January 23, 1986, at the I have decided not to seek an immediate Act. The first requires that PCC interest Fort Myer's Officers Club. transfer of these funds because such an revenues be deposited into the miscellane­ action would have a highly adverse and nega­ ous receipts of the General Treasury, rather THE PANAMA CANAL INTEREST tive impact on the cash flow requirements of than into the PCC Fund. The second makes ACT OF 1986 the Panama Canal Commission. clear that the interest revenues deposited Mr. Speaker, because this is a somewhat into the miscellaneous receipts account do complex issue, I ask unanimous consent to not decrease the U.S. investment. Only de­ posits into the PCC Fund do so. The bill will HON. JACK FIELDS have printed in the RECORD the committee OF TEXAS not only halt further erosion of the U.S. in­ report on H.R. 664 which includes a narrative vestment in the canal, but will also ensure IN THE HOUSE OF REPRESENTATIVES history of the interest problem. that future interest revenues will be avail­ Tuesday, January 21, 1986 I would urge my colleagues to join with me able as General Treasury funds. Mr. FIELDS. Mr. Speaker, I am today intro­ in suppprting this effort to ensure that the tax­ The Committee intends that the enact­ payers of this Nation enjoy the benefits of a ment of H.R. 664 will have no effect on the ducing a bill to further resolve a problem in calculation of the so-called "contingent pay­ Public Law 96-70 dealing with the payment of full and accurate Pnnama Canal interest pay­ ment. ment" to Panama under paragraph 4 of interest on the U.S. investment in the Panama Article XIII of the 1977 Panama Canal Canal. AMENDING THE PANAMA CANAL ACT OF 1979 Treaty. That Treaty provision requires the REGARDING THE PAYMENT OF INTEREST ON PCC to pay Panama the excess, if any, of Due to an ambiguity in section 1302 of the THE U.S. INVESTMENT IN THE PANAMA CANAL Panama Canal Act of 1979, the portion of tolls canal operating revenues over operating April 22, 1985.-Committed to the Com- costs, up to a maximum of $10 million annu­ and other revenues collected by the Panama mittee of the Whole House on the State of Canal Commission that was attributable to the ally. Both the PCC and the General Ac­ the Union and ordered to be printed. counting Office testified in the 98th interest on our investment in the canal was Mr. JONES, of North Carolina, from the Congress that H.R. 5655 would not affect the way the con­ Treasury. company H.R. 664; Including cost estimate tingent payment is calculated. The Commit­ The effect of this action was to erode our of the Congressional Budget Office. tee agrees with the PCC and GAO analysis investment base by decreasing the level of The Committee on Merchant Marine and on this point. Fisheries, to whom was referred the bill our investment in the Panama Canal. As a to amend the Panama Canal Act LEGISLATIVE HISTORY result, some $60 million was diverted from the of 1979 regarding the payment of interest In the 98th Congress, on May 15, 1984, the general fund between October 1, 1979, and on the United States investment in the Honorable Jack Fields, Ranking Minority December 31, 1985. Panama Canal, having considered the same, Member of the Subcommittee on Panama These funds could only be used for those report favorably thereon without amend­ Canal/Outer Continental Shelf introduced expenditures authorized by the Panama Canal ment and recommend that the bill do pass. H.R. 5655, a bill essentially the same as H.R. Commission and were not available to finance PURPOSE 664. On May 16, 1984, the Subcommittee conducted a hearing on various aspects of other Federal programs nor to reduce our The purpose of H.R. 664 is to stop the ero­ the payment of interest on the investment staggering national deficit. sion of the United States investment in the of the United States in the Panama Canal. In an effort to correct this serious problem, I Panama Canal that is occurring as a result At that hearing, the GAO testified that the introduced H.R. 664, a bill which authorized of ambiguity in the Panama Canal Act of PCC should pay or transfer its interest col­ 1979, Public Law 96-70, . The bill lections from the PCC Fund into the Gener­ that the interest payment on our investment in accomplishes this purpose by requiring that the canal be paid directly into the general al Treasury as miscellaneous receipts. GAO the portion of tolls and other revenues col­ believes that the legislative history of the fund of the U.S. Treasury. lected by the Panama Canal Commission H.R. 664 was the subject of several con­ Act indicated that Congress intended that and attributable to interest on the the interest collections be transferred into gressional hearings, passed both Houses of U.S. Investment be deposited into the Gen­ the Treasury for the taxpayers' benefit. Congress, and on December 23, 1985, was eral Treasury as miscellaneous receipts. GAO feels that this can best be done by signed into law-Public Law 99-195-by the Under current law, these revenues are de­ transferring the collections into the Treas­ President. With its enactment, we have now posited into Panama Canal Commission ury as miscellaneous receipts. The GAO po­ Fund, resulting in a reduction of the sition on this matter is discussed at length ensured that our annual interest payment, of U.S. investment in the canal. about $10 million a year, will be properly de­ in a GAO paper entitled "Return on U.S. In­ posited and utilized for other Federal pro­ BACKGROUND vestment in the Panama Canal" of the Act requires the 83-36 dated March 22, 1983). With the problem of all future interest pay- PCC to take in revenues sufficient to cover The PCC, also citing the Act's legislative ments now resolved, the remaining issue is all costs of operating the canal, including in­ history, deposits the interest collections into terest on the U.S. investment in the canal. the PCC Fund as it believes the Act re­ the level of the U.S. investment upon which The interest rate is set annually by the Sec­ quires. The PCC does not believe that it has the interest payment is calculated. Currently retary of the Treasury pursuant to section the authority to make transfers from the that level has been reduced by the $60 million 1603 of the Act, which also specifies that Fund on its own volition. Nor does it have that is deposited in the Panama Canal Com­ the U.S. investment in the canal shall be in­ authority to make deposits in any fund mis.sion Fund. ceased by PCC expenditures and decreased other than the PCC Fund. The PCC indi­ The bill I am introducing today would raise by PCC revenues. Since revenues and ex­ cates that congressional action is necessary the principal on our investment in the canal to penditures are usually almost equal, they to state clearly that the Commission has au­ the level where it should have been had no in­ offset each other in adjusting the U.S. in­ thority to transfer its collections of interest terest funds been diverted for the past 6 vestment. from the PCC Fund to the General Treas­ years. PCC revenues attributable to interest on ury. With the passage of this legislation, the De- the U.S. investment are the exception to The Subcommittee marked up H.R. 5655 partment of the Treasury would be authorized this rule. Because the Act does not specify on June 12, 1984, adopting one amendment what is to be done with these revenues, the offered by Mr. Fields. The amendment to add the $60 million that is deposited in the PCC simply deposits them in the PCC Fund, struck the word "directly" from the lan­ Panama Canal Commission Fund to the level in accordance with section 1302 of the Act. guage requiring interest to be "deposited di­ of our principal, which is $76.9 million, and to Thus, the revenues collected for interest rectly into the Treasury as miscellaneous re­ calculate our annual interest payment by mul­ serve to decrease the U.S. investment in the ceipts." The purpose of the amendment was tiplying that figure by the prevailing interest canal, but there is no corresponding expend- to eliminate any possibility that use of the 202 EXTENSIONS OF REMARKS January 21, 1986 word "directly" could be construed as direct­ lCa) of the bill will have no impact on the side of the budget. Therefore, the budget ing the PCC to deposit the interest on the level of the U.S. investment. impact of the bill would appear as an in­ U.S. investment into the General Treasury Section 2.-Section 2 of the bill simply crease in receipts, as shown in the following on a daily basis. The PCC currently ac­ states that the provisions in the bill will table. counts for its deposits into the PCC Fund become effective when the bill is signed into on a monthly basis. The Fields amendment law. In other words, the changes made by would allow the PCC to account for the in­ the bill are prospective only. [By fiscal years. in millions of dollars] terest deposits into the General Treasury at Inflationary impact statement the same time that it accounts for deposits Pursuant to clause 2Ca> of Rule XI of 1986 1987 1988 1989 1990 into the PCC Fund. the Rules of the House of Representatives, On June 19, 1984, by unanimous voice the Committee estimates that the enact­ Estimated budget authority ...... - 0.4 - 1.2 -1.8 - 2.4 - 2.8 vote, the Full Merchant Marine and Fisher­ ment of H.R. 664 will have no significant Estimated outlays ...... - 0.4 - 1.2 - 1.8 - 2.4 - 2.8 ies Committee ordered H.R. 5655 reported effect on prices and costs in the operation of to the House as amended by the Subcom­ the national economy. The impact of this bill falls within budget mittee. See House Report 98-858. COMPLIANCE WITH CLAUSE 2 ( 1 l ( 3 l OF RULE XI function 400. On June 25, 1984, the House passed the Basis of estimate: The bill is assumed to bill under suspension, sent it to the Senate, In the consideration of H.R. 664, the Committee made no new oversight findings take effect at the beginning of fiscal year where it was never acted upon. and recommendations within the meaning 1986. In the absence of this bill, the invest­ On January 24, 1985, the Honorable Jack of clause 2(b)(l) of rule X. ment will continue to decrease each year by Fields introduced H.R. 664, a bill identical The requirements of H.R. 664 contain the amount of the interest credited to the to the version of H.R. 5655 which passed in no new budget authority or increased tax unappropriated balance of the Commission the House on June 25, 1984. On March 7, expenditure reportable under section 308 Fund; this will, in turn, diminish the 1985, the Subcommittee on Panama Canal/ of the Congressional Budget Act of 1974. amount of the annual interest obligation in Outer Continental Shelf held a hearing on The Committee on Government Oper­ the future. H.R. 664 prevents further de­ the 1986 Panama Canal Commission budget, ations has sent no report to the Committee creases in the investment and, therefore, re­ including a discussion of the $10 million in­ on Merchant Marine and Fisheries pursuant sults in an increase in receipts on the feder­ terest payment to the United States. The to clause 4<2> of rule X. al budget. two witnesses the Honorable William R. The estimate and comparison pre­ The deposit of interest income into the Gianelli, Chairman of the Board of the pared by the Director of the Congressional general fund of the Treasury instead of the Panama Canal Commission, and Dennis P. Budget Office under section 403 of the Con­ Panama Canal Commission Fund would not McAuliffe, Administrator of the Panama gressional Budget Act of 1974 is set out affect the budget totals. Canal Commission, testified that H.R. 664 below. 6. Estimated cost to State and local gov- will have no negative impact on the Com­ CONGRESSIONAL BUDGET OFFICE COST ESTIMATE ernments: None. mission's budget or financial procedures. On 7. Estimate comparison: None. April 3, 1985, the Subcommittee unanimous­ 1. Bill number: H.R. 664. 2. Bill title: A bill to amend the Panama 8. Previous CBO estimate: None. ly approved H.R. 664. On April 16, 1985, the 9. Estimate prepared by: Heidi E. Zukoski. Merchant Marine and Fisheries Committee Canal Act of 1979 with respect to the pay­ also unanimously approved H.R. 664, report­ ment of interest on the investment of the 10. Estimate approved by: James L. Blum, ing it to the House. United States. Assistant Director for Budget Analysis. 3. Bill status: As ordered reported by the DEPARTMENTAL REPORTS SECTION-BY-SECTION ANALYSIS House Committee on Merchant Marine and Section l.-Section 1302(b) of the Fisheries, April 16, 1985. No reports were received on H.R. 664 at Panama Canal Act of 1979 requires that all 4. Bill purpose: The bill requires the por­ the time this report was filed. tolls and other receipts of the Panama tion of tolls collected from the Panama CHANGES IN EXISTING LAW Canal Commission be deposited in the Canal to cover the interest on the United In compliance with clause 3 of rule XIII Panama Canal Commission Fund in the U.S. States' investment in the Canal to be depos­ of the Rules of the House of Representa­ Treasury. Section lCa) of the bill amends ited into the general fund of the Treasury. tives, changes in existing law made by the section 1302(b) of the Act to direct that the Under current law, the Panama Canal Com­ bill, as reported, are shown below. Existing portion of PCC tolls and revenues that rep­ mission computes interest on the federal in­ law proposed to be omitted is enclosed in resent the interest on the U.S. investment vestment based on a rate established by the black brackets, new matter is printed in in the Panama Canal be deposited into the Secretary of the Treasury, and recognizes italic, and existing law in which no change General Treasury as miscellaneous receipts. this as an operating cost. The Commission is proposed is printed in roman. The Committee intends to make clear that then collects tolls based on this and other this new language not be construed as di­ estimated operating costs and deposits the PANAMA CANAL ACT OF 1979, PuBLIC LAW 96- recting the PCC to deposit the interest on revenue in the Panama Canal Commission 70, 93 STAT. 452 the U.S. investment into the General Treas­ Fund in the Treasury. However, because TITLE 1.-ADMINISTRATION AND ury on a daily basis. The PCC currently ac­ there is no mechanism to transfer the REGULATIONS counts for its deposits into the PCC Fund amount of the interest payment from the on a monthly basis. This section would Commission Fund to the general fund of • • • • allow the PCC to account for the interest the Treasury, the funds collected for the in­ CHAPTER 3.-FuNDS AND ACCOUNTS deposits into the General Treasury at the terest payment remain in the unappropriat­ same time that it accounts for deposits into ed balance of the Panama Canal Commis­ Subchapter I-Funds the PCC Fund. The procedure to be fol­ sion Fund. lowed by the PCC in depositing interest rev­ Furthermore, because of the methodology • • • • enues into the General Treasury and ac­ used to calculate the U.S. investment, the PANAMA CANAL COMPANY FUNDS; COMMISSION counting for them is detailed in a June 8, amount of interest accumulating in the un­ FUNDS 1984, letter to Chairman Walter B. Jones, a appropriated balance is reducing the SEc. 1302. • • • copy of which is appended to this report. amount of the U.S. investment. The (b) On or after the effective date of this Section l.-Section 1603(b)(2> of the Panama Canal Act of 1979 states that the Act, tolls for the use of the Panama Canal Act states that monies deposited into the U.S. investment in the Canal will be in­ and all other receipts of the Commission "Treasury" O». This section of the able on that investment. Consequently, pursuant to sections 1602 and 1603 of this bill strikes the word "Treasury" and inserts Panama Canal tolls would have to be higher Act shall be deposited into the Treasury as in lieu thereof "the Panama Canal Commis­ in order to generate sufficient receipts to miscellaneous receipts. sion Fund." This ensures that the deposit in cover the interest costs. Such tolls are the General Treasury required by section shown as offsetting receipts on the spending • • • January 21, 1986 EXTENSIONS OF REMARKS 203 CHAPTER 6.-TOLLS FOR USE OF THE PANAMA Commission as interest would no longer concessions, or whether Soviet compromises CANAL serve to reduce the United States' invest­ will be needed. • • • • ment in the Panama Canal. This revision Under the domestic limits each leader will be implemented in the following two CALCULATION OF INTEREST faces, neither side can credibly threaten ways: sharp increases in military spending. The SEC. 1603. Ca) • • • a. The Treasury, on the basis of the afore­ outlook here is for more cuts in the Presi­ Cb) The investment of the United States mentioned monthly report, will no longer dent's defense budget. Mr. Gorbachev does described in subsection Ca) of this section­ credit interest receipts to the account of the not hide his preoccupation with the stagnat­ <1) shall be increased by- Commission's special fund. ing Soviet economy, or his reluctance to see the amount of expenditures from ap­ b. The Commission will account for the military spending go up to keep pace with propriations to the Commission made on or change in a manner which will cause no fur­ U.S. technological efforts. after the effective date of this Act, and ther alteration in the investment base. Observers are alert for early signs of the value of property transferred to Both of these amendments would affect movement in superpower relations. U.S. the Commission by any other department or deposits of monies made on or after enact­ allies have already put forward a proposal agency of the United States, as determined ment of the legislation and thus would not in accordance with subsection of this sec­ at the Vienna talks on Mutual and Balanced present the Commission with the problem Force Reductions. It calls for a small reduc­ tion; and of having to implement their terms retroac­ (2) shall be decreased by- tion in U.S. and Soviet forces to precede an tively. agreement on verification measures. U.N.­ the amount of the fund covered into Please be advised that an identical letter the [Treasury] Panama Canal Commission sponsored talks on Afghanistan will resume has been sent to Congressman Hubbard. soon and could provide a post-summit test Fund pursuant to section 1302 of this Act, Sincerely, the value of property transferred to of Soviet intentions. At the Stockholm Con­ WILLIAM R. GIANELLI, ference on Disarmament in Europe, each the Republic of Panama pursuant to this or Chairman. any other Act on or after the date on which side has pledged to work on "confidence the Panama Canal Treaty of 1977 enters building" measures and the principle of non-use of force. Bilateral talks are also into force, and AFTER GENEVA the value of property transferred by planned on preventing the spread of nuclear the Commission to any other department or weapons and establishing centers to reduce agency of the United States. HON. LEE H. HAMILTON the risk of nuclear war. BOARD OF DIRECTORS, OF INDIANA In Geneva, nuclear· and space arms talks PANAMA CANAL COMMISSION, will resume in mid-January. Both sides IN THE HOUSE OF REPRESENTATIVES June 8, 1984. agreed at the summit to seek progress in Hon. wALTER B. JONES, Tuesday, January 21, 1986 areas of common agreement, including cut­ ting strategic arms by 50% and working out Chairman, Committee on Merchant Marine Mr. HAMILTON. Mr. Speaker, I would like to and Fisheries, House of Representatives, an interim agreement on intermediate range Washington, DC. insert my Foreign Affairs Newsletter for De­ weapons in Europe. Neither side budged on DEAR MR. CHAIRMAN. This is in reference cember 1985 into the CONGRESSIONAL the central issue of space-based defense, but to your letter of May 30, 1984 concerning RECORD: there is some room in U.S. and Soviet posi­ H.R. 5655, a bill that would amend the AFTER GENEVA tions to discuss the acceptability of SDI re­ Panama Canal Act of 1979 with respect to President Reagan deserves the praise of search. the payment of interest on the investment Americans for his "fresh start" at Geneva. There are major differences, however, in of the United States in the Panama Canal. Although the November summit produced the terms defining the reduction of U.S. and In your letter, you invite comments on how nothing concrete on the central issues of Soviet arsenals. The Soviet proposal would the Panama Canal Commission reads the re­ arms control and arms reduction, it im­ include U.S. weapons in Europe, and appar­ quirements of H.R. 5655 and how it would proved the mood in U.S.-Soviet relations, re­ ently allows the development of Soviet SS- go about implementing the legislation, if en­ ducing tension and signaling a return to di­ 24 and SS-25 missiles while prohibiting our acted in its present form. We appreciate the plomacy. The summit's significance depends MX, Trident II and the future Midgetman opportunity to provide the Committee with on what happens next. It is up to the U.S. missile. The U.S. proposal would ban all this information. and the Soviets to try to build on its mo­ Soviet mobile missiles including SS-24s and As we read it, H.R. 5655 would impose two mentum. SS-25s and the proposed U.S. Midgetman, new requirements on the Canal Commis­ The second summit, likely to be held next but permit other U.S. systems. These terms sion. First, the measure would make neces­ June or July, will be much tougher. It was of definition alone will be difficult to negoti­ sary the deposit into the General Fund of easy this time for the leaders to meet, shake ate. the Treasury of the part of Canal tolls and hands, exchange smiles and pledge to accel­ A further difference is compliance with other receipts of the Commission which rep­ erate arms control talks. Next time the past arms control agreements. In June, resent interest on the investment of the summit will be called a failure if it does not President Reagan announced a "no under­ United States in the waterway. Presently, produce real movement on arms control. A cut" policy of adhering to SALT I and II to all Commission receipts are deposited into a summit can spur bureaucracies into action, the extent that the Soviets did. He con­ special account known as the Panama Canal but it can also obscure inaction. Painstaking tends, however, that the Soviets have violat­ Commission Fund. The change would have diplomacy is not always advanced by highly ed SALT II by deploying two new types of the result of excluding interest collections visible public meetings. A second or third land-based missiles-SALT II allows only from the funding authority balance other­ summit, if unproductive, could unsettle one new type-and by encoding data from wise available to the Canal for financing ap­ Europe and increase East-West tension. missile tests. Some cite these as reasons for propriations. The President has his work cut out for U.S. abrogation of the SALT II Treaty. With respect to the manner in which this him. Preparation for the next meeting Others argue that without U.S. compliance requirement would be put into effect, the needs to begin now. The President must the Soviets could "break out" rapidly from Canal agency intends to establish a proce­ quickly assemble an arms control consensus SALT II, which would complicate arms talks dure whereby the minority report 1 used by within his own Administration, something and undermine the effectiveness of defense the Treasury to account for funds of Feder­ he has so far been unable to do. He must systems contemplated under SDI. al agencies will be utilized to effect the de­ give his negotiators guidance if progress is Another critical compliance issue concerns posit of interest collections into the General to occur before the next summit. He must the Anti-Ballistic Missile Treaty of Fund as miscellaneous receipts. This proce­ resist pressure to compromise, which our 1972. The U.S. charges that Soviet construc­ dure will fully meet the requirements of the allies will apply in coming months. He must tion of a large new radar system at Kras­ new law while, at the same time, take into choose whether to observe existing treaties noyarsk in Siberia violates the ABM Treaty. account the fact that interest cannot be cal­ while he accuses the Soviets of violating The Administration also decided this Octo­ culated more frequently than monthly them. Most importantly, he will have to ber that the testing and development of SDI therefore, cannot be segregated from other decide whether to accept limits on his Stra­ technologies is not a legal violation of the receipts on a daily-deposit basis. tegic Defense Initiative t0 achieve ABM Treaty, reversing the U.S. position of The second change to the existing law deep cuts in Soviet nuclear weapons. the previous 13 years. This change led to an would insure that monies collected by the Mr. Gorbachev has his own set of prob­ outcry here and in Europe, and the U.S. de­ lems. He must consolidate his power at the cided for policy reasons to return to the

1 Standard Form 1220, "Statement of Transac­ Party meetings in Moscow in February, original Treaty interpretation. How compli­ tions According to Appropriations, Funds and Re­ 1986. He must decide if NATO or the Con­ ance disputes such as these are resolved will ceipt Accounts." gress will induce President Reagan to make greatly affect the future of arms control. 204 EXTENSIONS OF REMARKS January 21, 1986 The summit's outcome on arms control H.R. 4020 vated employee. At present, more than has yet to be written. Will we be able to A bill to repeal the Balanced Budget and $31,700,000 in tax dollars is spent on subsist­ reach agreements that for the first time Emergency Deficit Control Act of 1985 ence benefits in the Rockaways, with virtu­ really cut arsenals, or will we begin an accel­ Be it enacted by the Senate and House of ally no visible improvement in the quality of erated arms race? Can we keep both nations life, either to the recipient, or the communi­ on the track started at Geneva or will the Representatives of the United States of America in Congress assembled, ty as a whole. This is a very expensive band next international incident derail us? Can aid. we translate the momentum of Geneva and SECTION 1. REPEAL. Our program will greatly reduce the tax what the President calls America's new Subject to section 2, the Balanced Budget drain, and at a fraction of the cost, go a long strength into specific agreements which will and Emergency Deficit Control Act of 1985 way toward improving the quality of life for manage the arms competition?