17366 EXTENSIONS OF REMARKS June 3, 1974 EXTENSIONS OF REMARKS FINANCIAL ffiRESPONSIBILITY An enormous a.mount of this money will People in Fannin County know and GRANDCHILDRENS' LEGACY be pumped Into federal programs allegedly love "Big Mutt," because of his individual in support of a number of worthy causes. The truth is only an 1nfln1teslmal amount and unpublicized personal efforts to help HON. HARRY F. BYRD, JR. of that money will ever reach the people it's his fellow man. He has a unique talent of supposed to help. being able to make every human being OF vmGINIA The vast majority wlll be tied up in the feel worthy and important. IN THE SENATE OF THE ever-growing bureaucratic structure and the Young children tag along behind him Monday, June 3, 1974 red tape that goes with it, with the taxpayer as if he were the Pied Piper of Hamlin. carrying the crushing burden of waste in He makes them feel like adults. The older Mr. HARRY F. BYRD, JR. Mr. Presi­ government. folks cluster around him like a magnet, dent, Congressman SAM STEIGER of. Ari­ We cannot continue to pay our bills with because he makes them feel the freedom zona wrote an interesting and enlight­ "print.Ing press money" and we certainly can­ of children. ening article which appeared in the Ari­ not raise taxes the only other alternative to get out of the "federal waste maze." Even in the 83d year of this law offi­ zona Weekly Gazette on April 16, 1974. The President apparently has relinquished cer's life, his telephone often rings at Congressman STEIGER correctly de­ all visible effort to hold the line on federal all hours of the day and night: A neigh­ scribed the financial status of the Gov­ spending and social experimentation. bor with a problem, a youngster in trou­ ernment as "precarious" and warned I, for one, wm try with more determina­ ble, a criminal that wants a fair shake, a that sooner or later the Government will tion than ever to advooate fl.seal integrity, panhandler that wants a handout-all have to learn that you cannot spend which means less taxes, less spending, con­ tinual reduction of the size of government, calls are answered. what you do not have. Mutt Milford's greatest contribution to I commend Congressman STEIGER for a balanced budget, and paying your own way. Otherwise, the governmental financial folly mankind probably consists of his sense his article. I note that he quotes with ·of today wlll be a national debt carried by of humor. He is a top-notch practical approval Senator of our grandchildren. jokester, usually using himself as the on the subject of the Federal butt of the joke. His reflected philosophy budget, and I want to add that Senator has always been: "You can't cry if you , also of Arizona and my are laughing." colleague on the Senate Finance Com­ THE MAGNIFICENT MUTI' My colleague, DALE MILFORD, relates to mittee, also has long opposed irrespon­ me a private joke that has been running sible Federal spending. between him and his uncle for over 20 These representatives of the State of HON. RAY ROBERTS years. Each Christmas, DALE would mail Arizona are rendering splendid service OF TEXAS his uncle Mutt a greeting card simply in the effort to bring Federal spending IN THE HOUSE OF REPRESENTATIVES addressed to: "The Ugliest Man in under control. Texas." Ladonia, Tex. Big Mutt always I ask unanimous consent that the text Monday, June 3, 1974 got his card. of Congressman STEIGER's article, "Fi­ Mr. ROBERTS. Mr. Speaker, this past nancial Irresponsibility Grandchildren's Recently, Congressman MILFORD at­ week, I received a copy of the Ladonia tended a meeting in Moscow, Russia. Legacy,'' be printed in the Extensions News. Featured prominently, was an ar­ While there, DALE mailed a card to his of Remarks. ticle written by David Clark about "A Uncle addressed to: "The Ugliest Man in There being no objection, the article Fixture in Ladonia." This particular fix­ the World,'' Ladonia, Tex. On the back was ordered to be printed in the RECORD, ture is a man by the name of Henry side, the message simply said "Congratu­ as follows: Herman "Mutt" Milford. lations, you are now world famous." Big FINANCIAL I'RRESPONSmILITY GRANDCHILDREN'S Now probably no one in either the LEGACY Mutt got his card. · House of the Senate has ever heard of Mr. Speaker, and my colleagues in the (By Sa.m Steiger) Mutt Milford-with one notable excep­ House and Senate, I am going to have to Yesterday at midnight--the 15th of tion-and most will have never heard of honestly admit that Mutt would have April-when all of us pay or have paid our the city of Ladonia. Income taxes presents as good a time as ever some rough going as a beauty contestant. to reflect on the precarious financial s·tatus The one notable exception would be my However, he will stand tall in any lineup of the federal government, recipient of all colleague, Congressman DALE MILFORD, of first-class Americans and leading those hard-earned dollars. who will proudly point out that H. H. citizens of any community. The federal government has yet to accep·t "Mutt" Milford is his uncle and that While it is true that Henry Herman the simple standard that all of the rest of Ladonia is located 5 miles south of Bug "Mutt" Milford is a "Fixture in La­ us are forced to live by: You simply cannot Tussle--where my colleague was born. donia,'' he is also a pillar in this Nation. spent what you don't have. Mr. Speaker, I know Mutt Milford. I Mr. David Clark's article is as follows: The budget submitted to Congress ls a first learned of him from another Fan­ colossal example of just that: Not only "over­ MU'IT Mn.FORD-A F'IxTURE IN LADONIA spend" as an answer to all ills, but "spend nin County, Tex., resident who used to more than you've got." Compounding the "cuss" and discuss Mutt Mllford. Hts (By David Clark) problem ls the bureaucratic answer: "print name was Sam Rayburn. Herman "Mutt Milford" ls considered by more money." Speaker Rayburn was a close personal many local citizens to be a fixture 1n La­ The 304 billion dollar budget ls not only friend of the Milford clan. His cussin' donia, a blend of the town's pa.st and present. the biggest 1n the history of this country, of "Big Mutt," as he called him, stemmed Mutt, a.s he prefers to be called, 1s quite a but the 30 bllllon dollar Increase over last from affection and admiration-rather contra.st to most men his age. The 83-year-old year reflects the biggest Increase in peace­ than from derision. His discussions re­ constab1e can be seen ma.king his rounds time history. about town, while most of his friends have While I'm certainly appalled at the size of flected the characterizations of an indi­ long since settled down to a daily routine of the figure, I'm even more shocked by some vidual that truly cared about his fellow­ dominoes or "42". of the things the American taxpayers' money man. Often making his rounds without a gun, wm be spent for. David Clark's article about Mutt Mil­ Mutt said that a quick call on his radio can Fortunately for the taxpayer, I'm not ford, which I will enclose for the RECORD, summon help from the Sheriff's Department e.Ione. Rep H. R. Gross (R-Iowa) has said, characterizes the unassuming nature of in Bonham, if serious trouble develops. Mutt, "But even a 10 bfilion dollar deficit means the people of Fannin County. They work who stands about 6'1 ", said that 1n his the nation is doomed to inflation." Sen. hard, they play hard and they offer their younger days he wa.s 6'4" and weighed more Harry Byrd, (Ind-V'a.) says, "I submit that than 200 pounds. federal spending is out of control," and best without bragging or self-glorifica­ Elvin Fisk, a Ladonia resident, said that Sen. Barry Goldwater (R-Ariz.) submits, "I tion. What these people consider to be a Mutt was "the stoutest man I ever saw. He say to you very firmly that as a candidaite "Fixture in Ladonia," can well be a mas­ could whip four or flve men 1n friendly and a senator I cannot live with the budget terpiece in society when viewed in its true wrestling matches on a given Sa.turday nigh~ my president has submitted to Congress." perspective. and I might have been one of them at one June 3, 1974 EXTENSIONS OF REMARKS 17367 time or another." Fisk said that Mutt's nick­ has shown only three surpluses. The rest now approaches the $500 b11lion mark-half name came from his great size. of the time, we have had deficits-and a tr11lion dollars. It may be an amorphous Having spent most of his life in Ladonia, the deficits have grown ever larger. sum to taxpayers accustomed to dealing in Mutt has served as constable of Precinct 4 mere dollars and cents, but it is a debt that In Fannin County for 16 years, and claims As the News Leader states, these con­ is owned. It is a sad legacy to bequeath to that this wm be his la.st term in office. Mutt tinued deficits are responsible for a great coming generations, for it wm have to be explained that he was originally appointed to deal of the inflation which erodes the repaid. Someday. the post by the County Commissioners be­ value of every worker's paycheck. cause he knew most of the people in the area I ask unanimous consent that the text and where they lived. He has been re-elected of the editorial, "A Spendthrift Nation," every since that appointment, but says that be printed in the Extensions of Remarks. he is not quite as physically able to carry out VIEW OF VENEZUELA OIL PRICING his duties as he once wa.s. There being no objection, the editorial The constable said that he stood on the La­ was ordered to be printed in the RECORD, HON. BILL GUNTER donia. square in 1905 and watched the burn­ as follows: OP FLORIDA ing of Happy Jack's gambling equipment. "I A SPENDTHRDT NATION was just a boy of 14 then, and this town has Senator Harry F. Byrd, Jr., performs a IN THE HOUSE OF REPRESENTATIVES seen some changes since those days. Happy vital public service in continuing to inform Monday, June 3, 1974 Jack ran a bootleg joint and gambling hall, the public of the sad state of federal finance, which was 1llegal, and some folks just got particularly the national debt. The Sena­ Mr. GUNTER. Mr. Speaker, the view mad and burned his gear." tor's charts prov1de a clear picture of the that the U.S. Government must formu­ "I can remember back in the 1920s and runaway spending mentality that has domi­ late a policy to deal with economically 1930s when different gangs of outlaws passed nated fiscal policies for the past generation. irresponsible price levels for foreign oil through here pretty often, running from the In an updated cha.rt that Sena.tor Byrd appears to be emerging, if slowly and law or looking for work. I believe Bonnie provided for the Congresstonal Record, fig­ Parker and Clyde Barrow passed through ures reveal vividly the whole sorry picture. belatedly, among energy officials, at Ladonia a few times, but I never tangled In the 20 years since 1956, the federal budget least, though apparently not yet arnong with them," Mutt said. has shown surpluses only three tlmes--dur­ State Department officials. "All in all, Ladonia. is a peaceful town, ing the Eisenhower administration. Those Respected Mutual Broadcasting net­ with good churches and friendly people," surpluses weren't must to brag about-$1.6 work commentator Robert F. Hurleigh Mutt said. He added, however, that there blllion, $1.7 bill1on, and $800 m11Uon-but reported signs of this growing aware­ is not much to offer young people, who grad­ at least they were surpluses. After the late ness in a nationwide broadcast May 24, uate from high school and move to larger President John Kennedy came to office in places in search of good jobs. "If you can 1961, the name of the game became deficit 1974, by quoting the view of Federal :find the right job, a small town is by far a spending. Nothing changed during the ad­ Energy Administrator John C. Sawhill. city. You oan see a special friendliness and ministration of Lyndon Johnson, and Presi­ Mr. Hurleigh further related this recog­ a close-knit community," Mutt claimed. dent Nixon understates his annual de:fl.clits nition to the amendment Mr. Rose of Mutt said that he seldom arrests anyone, by disguising them as full employment sur­ North Carolina, I, and others, will be but sometimes gives traffic tickets and "gen­ pluses. offering to the U.S. Sugar Act to suspend erally keep an eye on things." Ladonia has no President Johnson engaged the nation in a a quota for Venezuela. jail, and the only other law officer is the war he didn't want to pay for. Had he en­ I include at this point in the RECORD town's night watchman. Mutt said that there couraged Congress to increase taxe~ to pay was not much difference in Ladonia's law for the fighting in Vietnam, an unpopular the text of Mr. Hurleigh's broadcast, fol­ enforcement problems since the town "went wa.r would have become more unpopular, es­ lowed by an expanded report of Mr. wet" about four years ago. pecially among the middle class that sup­ Sawhill's views carried in the Wash­ Glowing with family pride, Mutt explained ported it. In the final three years of the ington Post of the same date. that his son is a dentist in Honey Grove and Johnson administration, $48.9 b11lion was RoBEBT F. HURLEIGH SPEAKING FROM THE that his nephew, Dale Milford, an ex-weather­ added to the national debt. MtJTtJ'AL STUDIOS IN WASHINGTON man for WFAA-TV in Dallas, is a U.S. President Nixon did nothing to change The head of the Federal Energy Office has Congressman. the reliance on borrowing. In the years be­ told the top men of the larger on companies "I've got no regrets about my life, and tween 1970 and 1975, his budget deficits will that the Government may be involved in ne­ I've enjoyed living in Ladonia," Mutt said. add $133.5 billion to the i1ational debt, or gotiating between the American on com­ He said that over the years he has especially more than half of the deficits accumulated panies and the oll producing countries of enjoyed his membership in the First Ohrls­ in the past 20 years. Meanwhile, interest the world. The energy chief, John C. Sawh111, tian Church and the Ladonia Lions Club. paid on the national debt has continued to says that on pricing and production negotia­ "Sports ha.s also been a favorite activity of soar. In 1956, only • • • went for this tions with foreign governments are too im­ mine. I coached and played catcher for a purpose; in fl.seal 1975, $29.1 blllion is ear­ portant to leave up to the private American championship baseball team at Silver City marked for interest. The amount of the in­ companies, and that the government must during the 1930s. It wasn't professional but terest alone would have sustained federal play a bigger role In these negotiations. Cer­ just for fun," Mutt added. government operations for several years pri­ tainly, the Organization of Petroleum Export­ Listing other wor\dllg experiences, Mutt or to World War n. ing Companies-the OPEC-has been able to said that he drove an oil truck out of La­ In the 20 years covered by Senator Byrd's establish the price of a barrel of oil at the donia and Wolfe City, followed pipeline work, chart, budget deficits total $227 .5 billlon, well head, and make the world accept that and farmed, and noted that he has watched and interest costs total $296.4 billion. Unless price whether it appears fair or not. The in­ Ladonia's population drop from about 3,500 Senator Byrd and others who share his be­ creased cost of on to the industrial nations 1n the 1940s to 870 now. liefs about the necei;sity for balanced budg­ of the world ha.s played havoc with national Mutt Milford is a part of Ladonia.'s hlatory, ets can persuade Congress to put some reins on spending, the trend is likely to con­ budgets, has caused alarm in the emerging a fixture of the town. He carries his 83 years nations of Africa and is driving private com­ of life on his shoulders, not as a burden, but tinue. In the past six years, revenues from panies to the wall, as in the case of the seemingly as the shared experience of a long Individual income taxes have almost doubled, Consolidated Edison Company of New York and meaningful life. from $69 billion in 1968 to $129 b1llion in which claims the higher cost of oil is to blame 1975. In the same period, corporate income for its disastrous situation. While revenues in taxes have increased, from $29 billion to $48 the on producing nattons have reached a blllion. But these rapid increases In revenues point that these countries are having to A SPENDTIIRIFT NATION a.re never enough. The 1975 fiscal budget calls search for areas to invest their skyrocketing for deficit spending of $17.9 b1111on. revenues, the rest of the world searches for The continued deficits are responsible for a means to bring the cost of oil down to a HON. HARRY F. BYRD, JR. much of the spiraling infiat1on that contin­ realistic level. OP vntGINIA ues to erode the value of the dollar. Thetai­ The use of government persuasion then, is payer pays at least three times for inflation­ IN THE SENATE OF THE UNITED STATES worthy of discussion, and two members of ary deficits-once through infiatlon, then Congress have presented an idea that may Monday, June 3, 1974 through taxes diverted to debt interest, and cause one of the oll producing nations to Mr. HARRY F. BYRD, JR. Mr. Presi­ then through taxes levied on increases in his rethink its continuing agitation for increased dent, the May 13 edition of the Richmond salary. The federal government is taxing the prices of oil to the United States. Congress­ inflation lt has helped to cause. Many tax­ man Bill Gunter, Democrat of Florida, has News Leader included an excellent edi­ payers this spring found themselves In high­ torial sounding a warning about ''the sad er tax brackets that wiped out most of the sent a letter to the members of the House, state of Federal finance, particularly the salary gains they had made ln the previous advising them that he intends to offer an national debt." year. amendment to the United States Sugar Act to The editorial rightly notes that dur­ No doubt, in the coming year, the ceWng strike out or to suspend a sugar quota. for ing the last 20 years, the Federal budget on the national debt wlll increase also. It Venezuela. Congressman Gunter and his col- 17368 EXTENSIONS OF REMARKS June 3, 1974 league Congressman Oharles Rose, Demo­ According to the American Automobile As­ The roots of our energy problems, how­ crai of North Carolina, are not at all pleased sociation, the price of both regular and pre­ thai Venezuela can pre68 for higher pricem mium gasoline has Jumped an average of 8 ever, go back much farther than October tor its oil, while taking advantages of trade cents since last January. of 1973. For years, we have had abundant agreements with the United States under the Sawhlll sa.id he has already scheduled a and relatively inexpensive sources of fuel, liugar Act. meeting with oftlcials of Chrysler Corp. to which have made the United States the Once again, the American consumer ls hlt discuss means to stimulate the production greatest consumer of energy in the world by the strategy of Venezuela and other oll of more energy-eftlcient automobiles. Pres­ and probably the greatest wastrel of en­ producing companies---which Congressman ently, he said, autos are averaging about 13.5 ergy, too. While the Arab embargo may Gunter calls "economic, political and moral miles a gallon, and his goal is to Increase that blackmail." And he quotes the celebrated to 17 m.lles per gallon in 1980 and to 19 by rightfully be branded international economist Eliot Janeway "that the problem 1985. blackmail, it has demonstrated somewhat Uee 1n America's refusal to recognize that Achieving the goals, he said, would save painfully the delicate situation our coun­ she is wasting her own resources Internation­ about two m.lllion barrels of oll a day-equiv­ try faces with respect to energy-and it ally, Instead of bargaining with them." Along alent of what the nation w111 get from the has also demonstrated that signifiant with her oil resources, Venezuela is a large Alaska pipeUne. savings can and must be made by all sugar producing country-and the United Sawhill further refined the definition of American consumers. States has usually given Venezuela a sizeable the admlnlstration's "Project Independence,'' Recent reparts that the Nation is re­ quota at an excellent price. Now, says Mr. saying it "does not mean zero imports" by Gunter and Mr. Rose, we propose to let the 1980 but only that the United States must turning to its former wasteful habits in world understand that we intend to give our­ reduce its dependence on foreign energy using energy are quite disturbing, Cer­ aelves the same falr shake at the bargaining sources so that any "future embargo ls ren­ tainly, Congress and the administration table whlch they demand for themselves at dere

have risen to the region of 7 percen~and heavy and inequitable its burden actually In our democracy, governed by a free peo­ that is a real percentage, not an inflated one. ts." ple, you and I have a voice in the bullding What do the system's current assUIIiptions The study pointed out that the payroll tax or destroying of the values of Americanism. mean for the Rungs? Assuming they botb 1s negligible on high incomes. that persons What wlll be your choice? retire in 2013, he at age 65 and she at 62, they with income only from stocks and bonds are My voice and strength wlll always be ex­ wlll have put about $111,000 into the system, not taxed at all. pressed in an e:ffort to bulld an even greater according to calculations by SSA's acting Clearly, however, the emphasis in the pub­ America. I hope to do my share throughout chief beneficiary Francisco Ba.yo. lic's mind on Social Security has not been on my lifetime to see the ideals of Americanism But this is by no means the true value of its long-range or future problems. Rather, spread for the good throughout the world and their compulsory "contribution" to the sys­ it has been on how good the system is. even accompany men and women as they tem, Ba.yo concedes. One of the apparent reasons Social Security inhabit the universe. At a moderate compound interest rate of has had such an afllrmative look about lt 1s Privlleges build strength. And it takes 6.35 percent, which Ba.yo named as a rea­ that Congress has never bothered to spell strength to fight to preserve the privileges sonable figure, their "contribution" is ac­ out spec1fl.c· goals or definitions so that po­ we treasure. In a free Nation we receive a tually $319,000-the amount their payroll tential problems mtght become more v1s1ble. great many privileges but we must struggle taxes would have earned if invested out­ James Cardwell, the current chief of Social daily to be worthy of these gifts. We must side the system. Security, would llke Congress to do some work hard to keep our freedom. To take And the "contribution" should be dou­ long-term planning. But few observers expect this Heritage for granted will be the first bled, since the Rungs' respective employers it to do so. step toward losing it. Freedom 1s not "free" have paid equal amounts to Social Security And young workers also seem unlikely to at all. It must be worked fort It is a privi­ over the years. So the total they "g.ave" to·the do much toward planning about retirement, lege not a right I kitty is really $638,000 plus the sum paid either. Rung, with hts stocks, is an exception. To uphold the standard of Americanism over the years toward Medicare. This would A way around the system does not seem a before the world, we must first be worthy add about 15 percent to the total, but Social major worry for most. Americans. To be a good American 1s the Security can't estimate a dollar sum ac­ most important job that wm ever confront curately because medical costs .are expected you in this land of Freedom and Opportunity. to rise abruptly. The approximate total con­ Are you willing to do your part in the tribution grows to $731,400. making, the struggling, the fighting, and the After Rung retires, he still gets no benefit AMERICANISM-OUR PRIVILEGE sharing to keep the great ideal of freedom out of his contribution to the system. Since AND OUR STRENGTH for the next two hundred generations and the money is gone-paid out to others-it more? I am! has earned no interest. That represents what Social Security ex­ HON. WILLIAM A. STEIGER perts concede is a loss to him of 6.35 percent OF WISCONSIN a year during his retirement years-in other A HERO FOR OUR TIMES words, the interest income he would have IN THE HOUSE OF REPRESENTATIVES continued to receive in retirement if he had Monday, June 3, 1974 had the money to invest when he was work­ ing. Mr. STEIGER of Wisconsin. Mr. HON. PHILIP M. CRAN'E Speaker, each year the American Le­ Here's how it works out in Rung's case: OF ILLINOIS He is expected ~ live 13 years after re­ gion Auxiliary, department of Wisconsin, tiring, according to mortality tables supplied sponsors an essay contest on American­ IN THE HOUSE OF REPRESENTATIVES by SSA. During that time, he and his wife ism for students in the State. I am Monday, June 3, 1974 wlll receive benefits of $50,400 per year, or pleased and proud that the winning es­ Mr. CRANE. Mr. Speaker, on Febru­ $4,200 per month. say in the grades seven to nine competi­ Over the 13 years, he and she will be paid ary 5, Pope Paul VI removed Josef Cardi­ $655,200 in benefits. But from that, there tion was written by a student in the nal Mindszenty from the jurisdiction he should be subtracted the 6.35 percent loss or Sixth District, Megham McDonald of had nominally retained in Vienna, and discount. The sum left to the Rungs is Winneconne Middle School. from his honorary function as his na­ $613,495-their return on a lifetime FICA Meghan wrote a most thought-pro­ tion's Roman Catholic primate. ''contribution" of $731,400. voking piece on the subject, "American­ The papal decision on formal retire­ One of the most persistent criticisms of ism-Our Privilege and Our Strength." Social Security now is that it moves across ment for the 81-year-old cardinal was, All too often, Americans tend to take for many believed, aimed at improving every layer of society with ifis flat tax of 5.85 granted the freedom we enjoy here in the percent on the first $13,200 of wages. For the church-state relations in Hungary. Rungs, it means they are paying about 10 United States. But, as Megham says, Cardinal Mindszenty, many seem al­ percent of their joint wages, since neither "Freedom is not 'free' at all. It must be ready to have forgotten, was tried for yet earns up to the maximum base. worked for. It is a privilege, not a right." antistate activities by the Hllngarian Most economisfis put the tax burden on I commend to your attention this very Government in 1949 and spent more young couples much higher-part of it, they fine essay: than 22 years in imprisonment and in argue, is hidden, because the employer also AMERICANISM---0UR PRIVILEGE AND OUR pays 5.85 percent towards the employe's asylum in the U .s. Mission in Budapest. STRENGTH At an earlier time, Cardinal Minds­ Social Security. For nearly five thousand years men have "The employer couldn't care less," said lived and died taking advantage of their zenty opposed to barbarism of the Nazis Prof. Milton Friedman of the University of fellowmen. During some periods in history as they marched across Europe and was Chicago, one of the loudest critics of the men made a little more progress when they imprisoned by the Germans and their Social Security system. ..The employer's worked together to help each other. Wtien Hungarian supporters for his refusal portion of Social Security ls wage cost just the early cave man joined into simple tribes to coexist with Nazism. as wages are." He calls the Social Security or clans, they were able to protect them­ Both the Nazis and the Communists Administration's policy of calling the pay­ selves, as well as, provide for a happier way roll tax a "contribution" and counUng only of living and sharing. Our great nation was found 1n Cardinal Mindszenty a man the employe part of the tax burden "abso­ born two hundred years ago by the strength, whose Christian belief caused him to lutely disgraceful and misleading." determination, and wlllpower of fearless rebel against all tyranny and all those Taking into account the employer's tax Americans w1lling to work together and die who would degrade man and enslave payment, too, it works out to about 20 per­ for the greatest gift of life-Freedom. him. cent of the Rung's wages. In their ea.ming When we celebrate the Bi-Centennial in For many years Communist officials in lifetime, tt wm rise to over SO percent. 1976, every llving American ought to review In 1972, the Brookings Institution pub­ Hungary have told the Vatican publicly the history, struggle, and responsib11ity of and privately that Cardinal Mindszenty lished a study of the payroll tax-before the freedom. Americanism is the trademark of accelerating factors of fast-paced inflation a great, free nation. Our willingness to ac­ must resign or be removed as primate and declining population were as clearly cept and cherish the values of freedom are before the church could expect to fill all nsible and before the biggest-in-history 20 challenged today by persons who would des­ vacancies, or hold religious classes in percent hike in benefits was in force. troy all we live for. Let's substitute corrup­ schools. "Most taxpayers complain about the in· tion, greed, fraud, hate, and distrust for the Cardinal Mindszenty's removal from come tax, but their wrath is blunted by the American Values of: his position has been especially torment­ general beltef that it is a fair tax overall Respect for all individuals; Trust; Cooper­ ing to him since his removal came as the despite some Inequities," write Brookings ation; Faith and religion of one's choice; senior fellow John A. Brittain. "There is Uttle Responsible citizenship; Liberty under law; day approached for the announcement Visible wrath against the payroll tax because and Freedoms guaranteed under the con­ of the 25th anniversary, February 8, most of those who pay it do not realize how stitution. when he was sentenced to life imprison- June 3, 1974 EXTENSIONS OF REMARKS 17379 ment on trumped-up charges by a Hun­ NATO TO AID WHITE AFRICA o! Connecticut and Prof. Ellen Frey-Wouters of CUNY, goes on to make the argument that garian Communist court. although the importance of the sea. lanes Hundreds of telegrams and phone HON. CHARLES C. DIGGS, JR. around southern A!rlca. is real "the threat calls came to the cardinal at his resi­ to the Cape route is mJ.nimal." dence in Vienna from eminent Catholics OP MICHIGAN The report says that the real motivation and non-Catholics from throughout the IN THE HOUSE OF REPRESENTATIVES of the NATO planners was hinted a.t in the world. Monday, June 3, 1974 NATO Assembly action that set the SAC­ Shortly after the Vatican announce­ LANT contingency planning in motion-to Mr. DIGGS. Mr. Speaker, I insert in "relieve the pressure on • • • ment, Lajos Lederer of the London Ob­ the RECORD for the thoughtful consider­ The authors of the UN report quote an server spoke with Cardinal Mindszenty. ation of my colleagues the following in­ unnamed NATO offi.cial, who was involved in He reports: formation concerning: the action that set SACLANT in motion, as The spirit of the Cardinal-despite eight Allegations that NATO members have saying that the contingency planning was years in Stalinist prisons and 15 years in designed to make it possible "to go to the aid self-imposed exile in the U.S. Embassy in engaged in secret contingency planning of our potential allies in southern Africa if Budapest--is unbent. He has taken off his for the defense of southern Africa, the need should a.rise." gloves and he is determined to spend the rest My telegram to the Defense Depart­ The debate over protection of sea. routes, of his years battling against misguided con­ ment requesting its response to these al­ the UN report says, is a "smokescreen" de­ cessions to Communist rulers from whatever legations as made in Tad Szulc's column signed to hide from the public of the West­ quarter they come ... Mindszenty is con­ in the Washington Post, ern nations and evolving a.111ance designed to vinced that the political advisers to the Pope The Department's resulting denial of sustain the rule of a. South African govern­ have no inkling of the suffering of Catholics such charges, and, finally, press clippings ment that practices the racist system of in Eastern Europe. apartheid, repugnant to majority public indicating that NATO officials have ac­ opinion in most NATO nations. Mr. Lederer also reported that the tually admitted the allegations are true. Several Western nations, the U.S. included, cardinal was "very grieved and angered The information fallows: have moved quietly and individually in the about reports that secret negotiations {From the New York Post, Ma.y 10, 1974) last few yea.rs to bolster the mmtary ca­ concerning the return of St. Stephen's NATO To Am WHITE AFRICA? pacities of the southern African white re­ 1,000-year-old crown-the symbol of gimes against internal pressures from "lib­ (By Md.chael J. Berlin) eration movements," which the West has Hungarian monarchy-have been re­ American and NATO m111tary offi.cials are seen as extensions of Soviet and Chinese in­ sumed in Washington. The crown, which aotively engaged in secret contingency plan­ fluence. The UN report details the flow of was brought to the West by Hungarian ning thait could turn into a. commitment to American (a.s well as British and French) Nazis in 1945 and captured in Bavaria defend the white minority regimes of south­ Inilitary items to the Portuguese colonies, by U.S. troops, is being kept in custody ern Africa against both internal and external including large quantities o! the defoliants for a 'freely elected Hungarian govern­ threats, according to a report prepared for the U.S. used with such devastating effect in ment' in Fort Knox." It has been sug­ the UN's decolonization committee by three South Vietnam. American a.cadeinics. EXCHANGE DATA gested that President Nixon, to pave the On the offi.cial level, the committment has way for his visit to Moscow, is consider­ reached a point where the NATO defense The Post learned that the U.S. and South ing a new request by the Hungarian Inini:Sters in a. communique--issued last June Africa have already begun informally, Communist leaders to return the crown. in Brussels, but stm classified as secret-­ through the U.S. Naval Attache there, to ex­ a uthoriZed the Supreme Allied Commander change 1nte111gence information on Soviet Cardinal Mindszenty made it clear ship movements in the Indian Ocean area.. that the previous bargain between the 1n the Atlantic region (SACLANT) to plan for contingencies "outside the NATO area." All this stemmed from a. National Security Hungarian regime and the Holy See Council decision, coordinated with NATO which forced him to leave Hungary just NOT ENOtl'GH FORCES early in 1970, to bolster positions against over 2 years ago, under conditions of SACLANT, headed by American Admiral Soviet influence all a.long the shores of the which he disapproved, has not been car­ Ralph W. Cousins and based in Norfolk, Va., Indian Ocean. has already begun gathering information on But the current contingency planning un­ ried out. He declares that Hungary's bases that might be required in the souith­ dertaken by SACLANT could lead far beyond Catholic Church is still not free. The de­ ern African area, the needed reconnaissance that--by building a.n infrastructure of Inili­ cision to appaint church functionaries and comm.unlcatlons fac111ties shipping lanes, ta.ry relationships and a rationale to expand still rests with the Communist regime, tramc density and. the "oceanographic situ­ them into direct U.S. mllitary involvement. and the guarantee of freedom of religious ation." The recent Portuguese coup, which leaves teachings and of conscience is not a So far, The Post learned from an inform­ the future of the Portuguese territories of reality. ant, SACLANT has reached the conclusion Angola and Mozambique--buffers between that NATO itself does not have suftlcient South Africa. and black Mrica--very much in When he suffered in Hungary for his forces to deal with that area. And the corol­ doubt, has spotlighted the inherent long­ belief in God and in the church, many lary to this 1s that a defense arrangement term insta.bllity of what had been termed thought him a saint. Now, in an era of involving the white minority regimes of the "white redoubt" o! southern Africa. good feeling with the Communists, he is southern Africa, South Africa in particular, an anachronism and many in the church ls required. [From the Washington Post, May 2, 1974) Ostensibly, the NATO purpose is to pro­ A "NEW BEGINNING" FOR PORTUGAL are visibly uncomfortable with him. tect the shipping route between the Persian Unfortunately, the Communists have Gulf and Europe, used to transport much of (By Tad Szulc) not changed. Their brutality and inhu­ the . West's oil, from a potential Soviet­ Portugal's Inilitary coup d'etat of April 25 manity are on display for the world to naval threa.t. has produced some of the most encouraging 'I1h1s route, a SACLANT spokesman ad­ news in quite a few years for the cause of see. The Communists are fighting as hard mi-oted to The Post ln a telephone interview freedom in the world. as before and we should all be thankful from Norfolk, is an "area of concern" for At a time when new repressive dictator­ that Josef Cardinal Mindszenty stands NATO. But the spokesman insisted that ships are sprouting elsewhere and the old firm and strong, a monument to man's NATO activities remain "bound" to its au­ ones are becoming more frozen, the Portu­ folly and a point to which men may re­ thorized area.--north of the Tropic o! Can­ guese Junta succeeded in overthrowing the cer-and he added that "SACLANT has no world's most durable dictatorship this side of turn with pride when once again our plans for the air and naval defense of South the Soviet Union and, hopefully, setting the sanity is restored. Africa." peninsular country on the road to democracy During his recent trip to this country, Technically, of course, the deniail is ac­ for the first time in 46 years. Cardinal Mindszenty said with regard to curate. The plans SACLANT is formulating And while neo-colonialist and "while rule" offi.cially involve not the defense of South tendencies were reasserting themselves in the policy of detente that- Africa, but the sea route around ite cape of much of Africa, the Lisbon Junta's action I have no hope that any concessions can Good Hope. carried the promise that the long and bloody be had in return (!or Western concessions) But the report prepared for the UN com­ colonial war in Angola, Mozambique and from the atheist and inhumane govern­ mittee says that defense of the sea route Portuguese Guinea may finally find a peace­ ments. would be impossible without "active cooper­ ful and rational solution. ation, at several levels, with the defense Yet, in ejecting the Caetano dicta.torship­ Cardinal Mindszenty is a hero in this forces o! Portugal and South Africa." essentially a combination of extreme rightist age when heroes are all too rare. I take The UN report, prepared by Sean Gervasi, politics supported by a cruelly efficient secret great pleasure in joining my colleagues a fulltime UN consultant, with the collabora­ police and powerful economic groups draw­ at this time to pay tribute to him. tion of Prof. L. W. Bowman of the University ing their weight from the wealth o! the 17380 EXTENSIONS OF REMARKS June 3, 1974 African colonies-General Antonio de been selling arms to Portugal and South I am considering hearing on this subject lipinola, the Junta chief, has set in motion Africa (Britain, too, has been selling weapons if disclosure of appropriate information 1s not new and contradictory forces that stlll leave to the South Africans during the Tory forthcomiD.g expeditiously. much of the future in doubt. government). This month, South African If there is a valid precedent for the Spinola and French naval units conducted Joint MAY 14, 1974, RESPONSE BT DEFENSE DEPABT• coup, it is General De Gaulle's return to exercises in the area. Rhodesian detach­ MENT TO TELEGRAM OJ' MAT 6, 1974, BY CON• power in 1958, signaling the end of the ments have been fighting with the Portu­ GRESSMAN CHARLES C. DIGGS CONCERNING AL· Algerian war and the start of negotiations guese in Mozambique against the Frellmo. LEGATIONS IN TAD SZULC EDITORIAL IN MAY 2, with the rebels that led to Algeria's inde­ In the light of the new uncertainties em­ 1974, WASHINGTON POST pendence. At first sight, there is a certain erging from the Lisbon coup, all parties con­ There is no truth to the allegation that parallel between the conditions that moved cerned will inevitably rethink their strate­ there was a high level (NSC) decision bl De Gaulle and, 16 years later, Spinola to take gies. Inevitably General Spinola will be the 1969 to ... "preserve a balance in Souther• national matters in their own hands. Both target of powerful international pressures. Africa ..." metropolitan nations were exhausted and em. But even in terms of direct dealings with Comment on other speclflc allegations are bittered by lengthy colonial wars, and inter­ the rebel movements, General Spinola faces as follows: nal unrest was growing. Both De Gaulle and serious problems. A. Allegation in tenth paragraph of Tad Spinola concluded that mmtary victory was For one thing, unlike in the Algerian situa­ Szulc article: impossible and that new answers were re­ tion, there is no unified rebel leadership in Part one.-As long as a year ago, when 1t quired. the Portuguese "overseas provinces." Since became obvious that the rebels were gaining But this is where the similarities end. the 1969 murder of Dr. Eduardo Chivambo in strength in Mozambique, the U.S. and. De Gaulle's basic problem was to win at Mondlane, the top leader, Frelimo has been NATO began to draw up secret contingency home (and among Algeria's French colons) run by a politburo group in which Samora plans for air and naval defense of South the acceptance of the inevitab111ty of a peace Machel, who was 'Mondlane's chief lieuten­ settlement largely on the Algerians' terms. Mrica. ant, is the only clearly identifiable personal­ Answer: This ts not true. The U.S. fully To be sure, he had to endure for awhlle the ity. Very little is known about others, includ­ menace of military counter-coups and the supports the UN arms resolution against the ing Frelimo omctals in charge of "liberated Republic of South Africa, and it supports terrorism of the OAS (Secret Army Organiza­ zones" in Mozambique. tion). But he wa.s spared the trauma of In Angola, the rebels are divided into two neither side in the disputes between Portu­ transforming a nation from a primitive dic­ groups: the National Front for the Libera­ gal and. the African nationalist movements tatorship into a reasonably functioning in its territories. tion of Angola headed by Holden Roberto, Part two.-In June 1973, NATO's defense democracy when hatreds and frustrations and the Popular Movement for the Liberation bottled up for nearly a half-century were of Angola led by Dr. Antonio Neto. A fairly planning committee (DPC) instructed surging to the fore. This, of course, is General SECLANT (Supreme Allied Commander, At· firm leadership, exists in the Portuguese lantic) Headquarters in Norfolk, Virginia, to Spinola's primary task. Guinea. Furthermore, De Gaulle's decision to make Spinola's problem, therefore, is to establish draw up plans for an allied air-naval task peace in Algeria wa.s chiefly a French affair. with whom he should negotiate and who has force to stand ready to assist South Africa, Spinola, on the other hand, has created a sit­ the power of decision. should the need arise. uation in which other interests than those of The Junta seems to have defused the dan­ Answer: This is not true. There have been Portugal and the African nationallst guer­ ger that white settlers in Mozambique and no NATO instructions, by the DPC or other rlllas are involved. What happened in Lisbon Angola would proclaim "unilateral declara­ NATO authority, to SACLANT or any other on April 25, affects deeply the immediate na­ tions of independence" on the Rhodesian NATO command, for any such planning call­ tional security of South Africa and Rhodesia, model to impose white rule. ing for assistance to the Republic of South as their governments perceive it, as well as What General Spinola, therefore, must first Mrica or any other country in Southern the whole balance of power in sub-Sa.hara do is to ascertain whether his "gradualism" Mrica. Africa. approach-he has called for a federation of B. Allegations 1n eleventh paragraph of The upheaval in Lisbon is also of concern the three colonies with metropolitan Por­ Tad Szulc article: to the United States and some of its a.mes in tugal-can serve as the basis for subsequent Part one.-Following a December 1969 the North Atlantic Treaty Organization. One negotiations, possibly leading to a form of (U.S.) National Security Council decision to fear is that the ultimate establishment of un­ preserve a quote balance unquote in South­ independence in which the three provinces ern Africa, the U.S. friendly black regimes in Mozambique and would be tied to Portugal in the way in which Angola, a distinct possib11ity in time, may Allegation a. Has been quietly semng Por­ the African Francophone states are to France. tugal quote non-lethal unquote mmtary end­ threaten South Africa's stability and endan­ Spinola has ruled out a ceasefire for the ger the sea lanes around the Cape and to the items such as jeeps, radio systems and spot­ time being, but domestic pressures from the ter planes as well as defoliants. Indian Ocean. The Soviet Union and China newly emergent democratic parties-from who have long supported the rebels, notably Christian Democrats to the left-may force Answer. The USG has not provided or sold Frellmo in Mozambique, have a stake in the defoliants that are applicable for mmtary him to reconsider his stand and try for a uses to Portugal. Portugal itself manufac­ outcome as well. Among the fears is that lack De Gaulle formula, if he can find responsible of access to southern Africe may deprive the tures a wide range of herbicides, including interlocutors in Portuguese Africa. those useable as defoliants . U.S. and NATO countries of raw materials, April 25., 1974 in Portugal marks a signifi­ ranging from uranium and other strategic The USG neither provides nor sells any cant new beginning for the country and its military equipment to Portugal for deploy­ metals to gold. embattled colonies. But a great deal of flex­ As long a.s a year ago, when it became ment or use in Mrtca. The selective U.S. ib111ty is required of the Junta to find the tra1n1ng and equipment provided or sold to obvious that the rebels were gaining in proper solutions at home-and in Africa. strength in Mozambique, the U.S. and NATO Portugal is strictly for Portugal's NATO re­ began to draw up secret contingency plans sponsibll1ttes, and by agreement are pre­ for air and naval defense of South Africa. In TELEGRAM OF MAY 6, 1974, FROM CONGRESSMAN cluded from African use. This has been main• June, 1973, NATO's Defense Planning Com­ CHARLES C. DIGGS, TO THE DEPARTMENT OJ' tained. Allegatfon b. mittee (DPC) instructed SACLANT (Sup­ DEFENSE It has trained Portuguese oftl· cers in counterinsurgency at the jungle war­ reme Allied Commander, Atlantic) head­ Request information that Admiral Bier­ quarters in Norfolk, Va., to draw up plans fare army school at Ft. Gulick in the Pan• man, Commandanrt, South Mrica Defense am.a Canal Zone. for an allied air-naval task force to stand Forces is scheduled to visit us on or about ready to assist South Africa, should the need Answer. This ts not true. There has never May 5, and that South Africa Foreign Mtnis­ been any training of Portuguese mmtary or arise. ter was scheduled to visit us on or about May This was part of broader United States other personnel at the army jungle war­ 10. Stop. If confirmed, request complete in­ fare school at Fort Gulick, Panama Canal strategy, as visualized at the Pentagon, to formation re: initiator of invitation naiture Zone. reinforce positions 1n the Indian Ocean­ of visit. List of USG officials and others to be Allegation c. And helped in training Por• from South Mrica to the Indian subconti­ seen any functions or examination of facili­ tuguese pilots at bases in West Germany. nent-against a Soviet threat in the area. ties being arranged by USG or private related Answer. Limited U.S. pilot training for Por­ Plans for establishing a naval base at Diego operations based on government contracts or tugal ts restricted to support of its NATO Garcia flt into this pattern. Following a research. Stop. Further request complete in­ missions. It is primarily for technical up­ December 1969 National Security Council de­ formation about any so-called national secu­ grading of pilot proficiency for the NATO cision to preserve a "balance" in southern rity discussions between USG and SAG grow­ missions and ls accomplished wherever the Africa, the United States has been quietly ing out of Portugese coup, prospective open­ U.S. or other NATO expertise 1s avallable In ing of Suez Canal, Dia.go Garcia installation, the NATO area. selltng Portugal "'non-lethal" military end­ and on related matters. Stop. items such as jeeps, radio systems and spot­ Request information re any dispute at any ter planes as well as defoliants. It has trained level of USG re granting of visas to afore­ fFrom the New York Times, May 20, 1974) Portuguese officers in counter-insurgency at mentioned, and why operation if any was NATO LEAK SHOWS PLAN To PROTECT SolJTH the jungle warfare Army school at Ft. Gu­ over ruled. AFRICA lick in the Panama Canal Zone and helped Finalist comprehensive comments on The Na.to command in the southern Atlan• in training Portuguese pilots at bases in Tad Szulc column, editorial May 2, Wash­ tic (Saclant) received authorization in Octo­ Western Germany. ington Post, re alleged secret US plan for air ber 1972 to draft a study of possible opera· In a bilateral arrangement, France has and naval defense of South Mrica. tions in the southern African area. The fact June 3, 1974 EXTENSIONS OF REMARKS 17381 was confirmed by a. Na.to spokesman in Brus­ Joint manoeuvers a.re ruled out and no with South African co-operation; but NATO sels after the leak of a. draft working paper to non-Na.to governments are to be consulted. vigorously denies this. the United Nations decolonization commit­ "No action ls to be implied by the drawing up According to the NATO Press chief, au­ tee. of the plans," according to the communique. thorisation for the study by SACLANT was The initiative for Saclant's authorization, These moves a.re disclosed in an a.s yet given in October 1972, because of concern at according to the draft report, ca.me after pres­ unpublished report by an American con­ the possibllity that the So"ftet Union could sure from a. British contingent. sultant to the UN Special Committee on De­ interfere with oil supplies for Europe and The report claims that the authorization colonisation. The consultant, Sean Gervasi, America round the Cape. to Sacla.nt was given under "smoke screen" an American polltica.l economist who has Asked why the existence of the directive motives for protecting the tanker transport taught at Oxford and the London School of had been kept secret, he said: "It ls a. purely routes around the Cape of Good Hope from Economics, was commissioned by Salim mlllta.ry matter, and thus one we do not possible Soviet naval interference. It was, Saleem, the Tanzanian Ambassador to the normally talk a.bout." the draft report claimed, an excuse to draw UN and chairman of the UN Special Commit­ The United Nations report--commlssloned up plans for the protection of the white mi­ tee in August, to produce a report on Por­ !or the Genera.I Assembly's decolonisation nority regimes in South Africa in order to tugal, the Western powers and Southern committee, and, until its adoption, stm tech­ secure supplies of minerals, in particular Africa. nically a. "dra.ft"-ha.s already increased the heavy metals, from those areas for Na.to The report was completed in March and threat of a. crisis in the Dutch Coalition member countries. Mr. Saleem said in New York yesterday that Cabinet, where Socia.list members are com­ The draft working report has been drawn the report is now being considered ·by ihe mitted to making defence cuts. up by an American Oxford graduate and special committee. They might present it to The report was written by three American former lecturer, Mr. Sean Gervasi, an econo­ the full UN Assembly. He said he felt that professors: Sean Gervasi, an economist for­ mist, who 1s now working as an adviser for .. some" of the report would have to be merly at Oxford; Lawrence Bowman, of Con­ the Tanzanian Government. He was assisted published. necticut University; and Ellen Frey-Wouters, by two American professors. The United Na­ However, says Mr. Gervasi ln his report, of the City University of New York. It says tions secretariat have hastened to point out other Na.to studies in connection with the the directive to SACLANT ca.me a.s a. triumph that the draft report was not exactly wha.1i plans show that defence of the Cape sea for a. largely British pressure group that had the United Nations commission for decolo­ routes is "impossible without the active been working on behalf of the white regimes nization had commissioned from Mr. Gervasi. co-operation at several levels, with the de­ in Southern Africa. since the 1960s; and that fence forces of Portugal and South Africa.." one of the principal figures was the former [From the Manchester Guardian, May 20, He says South Africa. has the only detailed Chancellor of the Duchy of Lancaster, Mr. 1974] maps for 3,500 miles o! coastline in the area Geoffrey Rippon. and has been making these available to NATO "From 1970 the British Government began NATO Row OVER CAPE DEFENCES via the Slmonstown agreement with Britain. (By Pa.trick Keatley) to press Its allies for an extension of NATO. (The agreement was unilaterally extended by Members of the Government were aware of Four NATO Governments-Denmark, Nor­ South Africa la.st week, more bases being the opposition to the idea. among their allies. way, Holland, and Canada-are unhappy ma.de available to Brita.in.) They therefore proceeded to press for various about the confidential instruction issued at South Africa., the US and Brita.In have been ad. hoc arrangements. In this, they seem to a. ministerial meeting in Brussels in June co-ordinating communications equipment in have had some support from the Nixon Ad­ la.st year which has led to the preparation the past few months. The US and South ministration... In the spring of 1972, the sup­ of a secret contingency plan for air and Africa. have already begun to exchange in­ porters of defence co-operation with the naval defences of the sea routes around the formation on Soviet ship movements in the white regimes scored their first important southern tip of Africa. The row has come to Indian Ocean. success. The Milltary Committee of the North light as a result of the activities of a Dutch Inevitably, says Mr. Gervasi, innovations Atlantic Assembly appointed a. sub-commit­ parl~entary committee which has been like the cooperation over counter-insurgency tee to examine the "Soviet maritime threat.'' investigating NATO pollcies with a view to training with the Portuguese raises the ques­ The report says the purpose of establish­ recommending cuts in defence expenditure. tion a.s to whether one of the contingency ing the committee was to bring the 'threat' There was no comment from the Foreign plans included in Na.to's researches is an in­ to the Cape route into the open; and the omce la.st night and in Washington the De­ ternal situation threatening to the right appointment as its rapporteur of the rlght­ fence Department has flatly denied that a regimes ln the area. wing British MP Mr. Pa.trick Wall was part contingency plan exists. Last week, the British Foreign Office of­ of an attempt to commit NATO to the pol­ However detailed evidence has been com­ fered "no comment" on the plans. The Pen­ icies recommended by Mr. Rippon. piled in a 275-pa.ge report prepared for a tagon denied their existence. It says that in a. draft working pa.per in UN committee by the American authority on A spokesman for Admiral Cousins admitted June 1972 raising the question of 'NATO southern African atfa.lrs, Dr. Sean Gervasi, that the Cape routes were .. an area of con­ being outflanked to the south,' Mr. Wall was who formerly taught at Oxford. He was in cern" for Na.to but insisted that Na.to ac­ ma.king a. barely-veiled argument for a naval Holland last week. tivities remain bound to the authorised. area, alliance with South Africa. 'It bears repeat­ The gist of this study is that the Supreme north of the Tropic of Cancer. ing that this could not have been accidental. Allled Commander, Atlantic, Admiral Ralph But Mr. Harry de Vrelss, official spokesman One can only deduce that the results which Cousins of the US Navy, was asked to imple­ of the Na.to in Brussels, conceded that most Mr. Wall produced were those which were ment the directive, and that he has ordered of Mr. Gerva.sl's disclosures a.re correct. When intended by those, who secured his appoint­ his statf to prepare plans on how the NATO asked why the plans were kept secret, he ment.' forces could protect the sea lanes around replied: "It was seen as an internal mllltary According to the report, the draft working the Cape of Good Hope in an emergency. atfa.ir which should not give rise to misunder­ paper prepared by Mr Wall's sub-committee standing." had to be toned down, for poll tlcal reasons, [From the Sunday Times (London) May 19, However, he contributed to that misunder­ by the NATO Assembly's Mlllta.ry Committee. 1974) standing when he added that the conditions After the committee approved the report NATO's SECRET PLAN FOR CAPE under which the Na.to forces would be mo­ the discussion continued in the full Assem­ bilised included not just "war," but "crisis" (By Peter Watson) bly in Bonn, with the result that the Assem­ as well. He would not elaborate on what bly approved 'Recommendation 22.' This Secret plans for the air and naval defence "crisis" meant. urged the North Atlantic Councll to give of sea routes around southern Africa have SACLANT authority to plan for the protec­ been drawn up by the North Atlantic Treaty [From the London Observer, May 19, 1974] tion of the Cape routes. Organisation. The Supreme Allled Com­ NATO PLANS To PROTECT AFRICAN CAPE RouTE The UN report says the recommendations mander in the Atlantic, US Admiral Ralph (By Andrew Wilson and Sue Masterman; ca.used considerable disquiet in a number of W. Cousins, has made the contingency plans European countries. at his headquarters in Norfolk, Virginia, on The Hague, 18 May) instructions from a classltled communique The head of the NATO Press service ad­ It goes on: 'Western Governments have issued by a ministerial meeting of Na.to's de­ mitted to THE OBSERVER in a. telephone call been very sensitive about this and have gone fence committee held in Brussels la.st June. from Brussels yesterday that the NATO Su­ out of their way to deny that anything has The plans are the first official sign that preme Commander, Atlantic, Adm1ral Ralph actually happened. Na.to may be wllling to extend its activities Cousins, had received secret authorization to 'It ls now clear that this ls not true. The beyond the Tropic of Cancer. study possible operations in the Southern 1972 deliberations of the Assembly ... were The plans, according to the ministerial African area.. the prelude to an official decision to move communique, a.re to counter the "Soviet The allegation that SACLANT had been towards defence planning with the white maritime threat," particularly to the West's given a. secret directive to conduct contin­ regimes. The decision was taken at a Mlnls­ oil from the Persian Gulf. They a.re supposed gency planning in the area. was ma.de in a terlal session in Brussels when the Defence to exist on paper only and refer to such United Nations commissioned report leaked Planning Committee of NATO issued a clas­ things as traffic density in the sea lanes ea.rller in the week to Parliamentary circles sltled communique in response to Recom­ around the Cape, reconnaissance capabilities here. The report says the study ls intended mendation 22. The communique gave SAC­ from local &rports, communications facili­ to prepare the way· for the setting up of a LANT authority to plan for contingencies ties in the area and oceanographic details. "counter-intervention" force in the area "outside the NATO area.." 17382 EXTENSIONS OF REMARKS June 3, 1974 THE DEMOCRATS SCORN CONGRES­ standing committees so that the work could PLAN FOR SPLIT OPPOSED SIONAL REFORM go forward more expeditiously. The reformers thought the liberal-domi­ They would consolidate major policy areas. nated Education and Labor Committee Example: Congressional responslbllity for the should be split into two committees. The environment is now scattered over 17 d11fer­ liberals opposed that suggestion, and they HON. WJJ.,LIAM A. STEIGER ent committees and subcommittees. were joined by specia.l interest groups, such o• WISCONSIN They would abolish proxy voting by which as the AFL-CIO, which over the yeMS have IN THE HOUSE OF REPRESENTATIVES committee chairmen further aggrandize their built up effective lines of communication power. with the committee to help shape legisla­ Monday, June 3, 1974 The changes would vastly reduce wasteful tion. Mr. STEIGER of Wisconsin. Mr. overlapping, make the work of Congress more Under the Boll1ng committee's proposal to Speaker, we will never have any tran­ coherent and increase its ability to oversee reorganize into 15 major committees, each the executive branch. congressman would have been 11m1ted to scripts or tapes of the secret Democratic When the Democratic Party caucus was membership on just one. This would have Caucus which by secret vote derailed the voting 111 to 93 to suffocate these proposals, forced 108 congressmen, including 65 Demo­ Bolling committee's proposals for con­ the chairmen of most ot the major commit­ cralts, to give up present committee assign­ gressional reform. The participants in tees were shouldering them down. Their ments. that secret vote, however, should have no theme was: Reform, yes; but not us. illusion that the people do not know what . those at the meeting were attempting to [From the San Diego (Ca.lit.) Union, May 11, COMPETITION IN THE ENERGY hide. As the following articles from the 1974) INDUSTRIES Hartford Courant and the San Diego Union testify, the country understands CONGRESS REFORM Is GOP lssUE perfectly that Democratic Congressmen (By Benjamin Shore) HON. RICHARD W. MALLARY OF VERMONT proved more sensitive to the egos of WASHINGTON .---Congressional Republicans Powerful committee chairmen, to their think they now may have a decent campaign IN THE HOUSE OF REPRESENTATIVES own narrowly conceived personal inter­ issue to use against their Democratic col­ Monday, June 3, 1974 est and to special interest lobbyists than leagues, many of whom are counting on they did to the urgent need for rational Watergate to slow down their GOP opposition. Mr. MALLARY. Mr. Speaker, the reform of House procedures and com­ The issue is reform of the Congress, which United States has relied heavily on oil ls solidly under Democratic control. Public for the production of energy. With de­ mittee jurisdictions. In the light of such opinion polls for the last several years have a performance by the Democratic major­ creasing oil supplies, and increasing oil indicated declining public confidence in the prices, many people have been looking ity, it is no wonder that, as Benjamin ablllty of the Congress to solve major prob­ Shore in the San Diego Union points lems. to alternative sources of energy. Most out, "public opinion Polls for the last However, given a chance last Thursday to promising sources have appeared to be several years have indicated declining endorse the first modernization since 1946, coal and nuclear power, for which our public confidence in the ability of the House Democrats by a secret vote of 111 to 95, technology ls relatively advanced, and Congress to solve major problems. decided to shelve the reform proposals which of which we have a large Potential supply. The articles follow: a special committee had been working on In order to understand the problems tor more than a year. posed by coal and nuclear power, Con­ [From the Hartford (Conn.) Courant, The vote was taken in a closed-door caucus May 17, 1974) of the Democrats. Republicans, who generally gressmen FISH, FRELINGHUYSEN, HORTON, THE DEMOCRATS SCORN CONGRESSIONAL favored the proposals never had a chance to WmTEHURST, and I have studied competi­ REFORM vote on them in an open House session. tion in the coal and nuclear energy in­ (By Roscoe Drummond) Although the Republicans would have pre­ dustries, giving special attention to ac­ WASHINGTON.-The Democratic majority ferred to see a stream.lining of House pro­ quisitions by oil companies in these in­ in Congress has just given voters a power­ cedures a.nd a restructuring ot committee dustries. jurisdictions, they at least come out with a I include the following: ful reason to .. turn the rascals out." potential campaign issue. In this instance the .. rascals" are not COMPETITION IN THE COAL INDUSTRY Richard Nixon or the "reactionary" Repub­ DEMOCRATS LOOK INSENSITIVE In 1962, the coal industry consisted of a licans; the rascals are the reactionary Demo­ The Democrats come ourt looking insensi­ large number of independent producers: crats-enough of them to block the first tive to public opinion and blind to the weak­ The fifteen largest firms accounted for less significant congressional reform in a genera­ nesses in the House machinery which they than 41% ot U.S. production; tion. control. Coal companies owned by large industrial They don't want reform if they can help Furthermore, House Speaker Carl Albert, firms controlled less than 10% ot U.S. pro- it; they don't want to get a more efficient, D-Okla., who a year ago had created the duction; and _ competent Congress capable of transacting special committee headed by long-time re­ Only one oll and natural gas company the public business better than it has in former Rep. Richard Bolling, D-Mo., emerges owned a coal-producing subsidiary. the past if the needed changes are going to as a leader without majority support. Even By 1969, production had become increas­ upset even a little bit the power base from though the vote was relatively close, it ts ingly concentrated in the hands of a small which the omnipotent Democratic commit­ viewed as diminishing his power. number of coal companies owned by large tee chairmen have long operated. They talk Boll1ng's proposals, carefully drafted after industrial firms, especially oll and gas com• virtuously about how Congress must reclaim panies: the power which it has squandered so rashly a. year of study and open hearings, would The fifteen largest firms accounted tor over but act pettily and petulantly when it comes have focused prlmar1ly on the House com­ 53 % of production; to doing it if doing it distributes some of mittees, abolishing a few, creating a few new Coal companies owned by large industrial their power elsewhere in Congress. ones, but mostly redistributing legislative firms contributed over 43 % of production; This, it seems to me, is the only candid responsib111t1es to equalize the work load and Five oil and gas companies controlled 23 % judgment which can be pronounced on the thus speed up legislative response to major of production; and decision of the Democratic Caucus in the national. issues. 011 companies leased or acquired over 80% House ot Representatives, binding on the However, many powerful senior congress­ of proven domestic coal reserves. party, neatly tucking under the rug the men and outside special interests were op­ Journalistic commentary and Congressional whole package of congresssional reforms posed to changing the status quo. testimony have warned that the acqu1s1tion painstakingly prepared by a bipartisan select "The name of the game is power," com­ ot coal companies by large oil firms and the committee headed by Rep. Richard Bolllng mented Rep. Thomas P. O'Neill, D-Mass., the trend toward increasing concentration may (D-Mo.) majority leader, "and the boys don't want be undermining the industry's competitive This crass stonewa111ng of congressional to give it up." structure. It is alleged that these mergers reform-needed by Congress, needed by the One of the "boys" ls Rep. Wilbur MUls, D­ tend to reduce competition between on and country~an be justified on no grounds and coal in the electrical utilities and industrlal explained on only one ground; the wllling­ Ark., powerful chairman of the Ways and boiler fuel markets. In the future, they argue. ness of powerful Democratic committee Means Committee, which writes all legisla­ oil company control of coal reserves and chairmen to put their personal political tion dealing with taxation. BolUng's commit­ production may nullity potential competl· interest ahead of the national interest. tee thought Ways and Means should give up tion between synthetic fuels made from coal The purpose of the Bolling committee lt.s jurisdiction over international trade, and increasingly scarce and costly natural proposals is to enable Congress to do its job Medicare and revenue sharing. Mills made gas and petroleum. of governing more effectively. sure every Democrat in the House knew of Some observers, including the United M1De They would equalize the work of major his strong opposition. Workers Journal, offer even more damntn.1 June 3, 1974 EXTENSIONS OF REMARKS 17383 allegations. They pointedly suggest that the coal acquisitions can be seen as legitimate seems plausible that abuses within the coal coal acquisitions by big oil are part of a investments and not necessarily as efforts to industry would continue despite divestiture, general strategy which seeks to constrict constrict supply throughout the energy while on-owned coal :firms seem to represent supply in all branches of the energy industry, industry. a potential leading force for expansion and to damage vulnerable, non-integrated com• In fact, far from curta.lllng production, oll­ Rand Din the coal industry. petitors, and to create a.rtificia.lly high prices. owned coal companies are expanding their In devising effective public policy regard­ Indeed, shortages of deliverable coal and capacity faster than independents. Occi­ ing competition in the coal industry, the im­ price increases have coincided. with the re­ dental's Island Creek company accounts for portant question to ask seems to be: what cent wave of acquisitions and the trend 12.5 % of new capacity in the coal industry; kind of competitive structure will be most toward increased concentration. During the Conoco•s Consolidation Coal, 6.8%; Gulf's likely to yield (1) suftlcient long-run supply, 18 months before December, 1970, the aver­ Pittsburgh and Midway, 2.3%. Overall growth (2) rapid development of new coal processing age price of coal jumped 60% despite a 5% for the four principal oil-owned coal firms techniques which would overcome environ­ increase in production. Ooa.1 users, especi&lly ls 6.2% a.nnually, compared to 2.6% for the mental llmitations of its use, and (3) reason­ small electric utllities, reported diftlculties in whole industry. able price levels? obtaining coal even from contracted sup­ It is argued that the "deep pocket" of the In light of these criteria, remedies for al­ pliers. Coal companies pressed consumers to parent company ls a great benefit in financ­ legedly artificial short-run shortages and renegotiate their contracts, forcing them to ing large expansion projects. However, these artificially high prices should be compatible accept long term contracts and higher prices. benefits can be obtained by merging coal with long-run expansion and rapid research At the same time, ut111ties reported a de­ companies with large industrials which do and development. Ironically, the demise of crease in the number of bids on new con­ not have other energy holdings. For example, the independent coal company and the de­ tracts. It was not uncommon for consumers Kennecott Copper's newly acquired Pea.body mise of the spot and short-term markets are, who previously received as many as five bids Coal Company has been able to finance a at the same time, anti-competitive trends as from coaJ. suppliers to receive as few as.one. large expansion program which accounts for wen as developments which a.llegedly facm­ Such circumstantial evidence has led some 29.5% of new U.S. caipacity. Ironically, most tate the financing of expanded production. observers to hypothestz.e that large coal firms, coal expansion is financed not by the parent Insofar as this is true, some hard trade-offs which are not only large producers but also company's retained eM'llings but instead by wm have to be faced. brokers for sales of smaller producers, are debentures age.inst future profirts from long­ A special study by the Vanderbilt Law Re­ using their market power to curtail deliveries term contracts. This, in turn, is used as an view of the possibllity of anti-trust actions and increase prices. Furthermore, this hypo­ argument to justify the coal companies' re­ against coal-holding on :firms somewhat re­ thesis suggests that large coal producers and luctance to sell on the more competitive luctantly concludes that "competition a.lone holders of substantial reserves, espec1ally in­ spot and short-term markets. will not assure the country of an adequate tegrated oil companies, are increasing their Both expanded production and research fuel sup.ply." market power by sitting on vast low-sulfur and development on gasification, liquefac­ tion, and stack scrubbing require large fi­ COMPETITION IN THE NUCLEAB ENERGY reserves and tying up existing production in INDUSTRY long term contracts. These restrictions on ac­ nancial resources. The pa.rent company's cess to raw materials and markets erect bar­ "deep pocket" would seem to be a virtual In his 1973 energy message President Nixon riers to entry and discourage potenti&l com­ necessity for a coal company facing the pros­ predicted that nuclear energy will generate petition. pects of huge capita.I outlays for R and D in one-fourth of America's electricity by 1985 Carl Bagge, President of ithe National Coal light of the distant returns on investment. and over half by the year 2000. Association, has vigorously rebutted these MIT's Raymond Baddour argues that gasifi­ The nuclear energy industry must meet charges. He argues that, shortages and price cation Rand D would be economically unat­ several challenges if it is to supply these increases are the result of government regu­ tractive even for the most financially secure greatly-expanded nuclear power needs at an lations, increased costs, labor problems, un­ investors without the government's partici­ acceptable price: certainty regarding demand, and legitimate pation as a co-contractor. Not surprisingly, Expanded exploration for and development market forces rather than unethical prac­ independent coal firms have shown no in­ of uranium resources, including technical tices. itiative toward gasification R and D, whereas breakthroughs which would make the ex­ Strict pollution standards and competi­ Conoco's Consolidation Coal is financing one traction of low grade ore economically feas- tion from nuclear energy seemed to presage of the most promising gasification projects. 1ble; a decreasing demand for coal, Bagge states, In conclusion, it seems clear that the tend­ Successful demonstration and, by the 1 and production was pla.nned accordingly. In ency toward increasing concentration in 1990's, commercial production of a fast breed­ fact, demand for coal in the urban north­ the coal industry has created a situation in er reactor, a development which would yield east did drop as utllities and manuf.acitur­ which individual firms can exercise con­ a. thirty-fold increase in the use of nuclear ers switched to cleaner fuels such as im­ siderable control over price and supply, espe­ tuel's energy potential; ported residua.I oil. However, the more gen­ cially in regional markets which may be Advances in cooling system technology era.I energy shortage has created a nation­ dominated by a few firms. In 1955 the four which would minimize the effects of thermal wide demand for coal which more than off­ largest firms controlled 17.8 % of the na­ pollution and permit the construction of nu­ sets these changeovers. Furthermore, nuclea.r tional market; in 1970 they controlled 30.7%. clear plants in areas where large amounts of energy is now generating only one-third as Although this level of concentration is less cooling water a.re not available; and much electricity as the AEC had forecast in than that of the petroleum, natural gas, or Expanded fuel-processing facllities and the mid-1960's. At the same time, new health nuclear energy industries, it has been suf­ development of more economical uranium and safety regulations have added sig­ ficient to foster anti-competitive practices enrichment techniques. niftcantly t.o the cost of deep mlning, al­ such as alleged bidding agreements, pressure These challenges of technical develop­ though Congressional testimony by Dr. for long-term contracts, and contract-break­ ments and industry expansion would be Bruce Netschert of National Economics Re­ ing and "renegotiation". formidable even in an industry whose vig­ search Associates indicates that the coaJ. com­ These alleged abuses seem to exist in­ orously competitive structure provided in­ panies' public estimates of these costs are in­ dependently of acquisitions by on companies. centives for full production, maximum em­ flated and that, in any case, these costs can­ Independent coal companies seem no less ciency, and constant innovation as a means not adequately account for recent price prone to indulge in these practices than oil- to maintain or expand the firm's share of a hikes. The big producers' ratio of net income owned firms. . profitable market. In the nuclear energy in­ to sales for 1970, the year of the largest price With respect to the concentration ratio of dustry, however, potential threats to vigor­ increases, was up 50% or more. A seven-week the energy industry as a whole, the produc­ ous competition may diminish these natural miners• strike curtailed 1971 production and tion of the four largest firms represents !.ree-market incentives. put additional upwa.rd pressure on coal 19.0% of the total; the eight largest produce The principal three.ts to competition stem prices. 31.6%. If all oil companies were to immedi­ from (1) excessive concentration in the nu­ In short, Bagge's scenario depicts in­ ately divest themselves of their coal and clear equipment industry, (2) excessive con- . creased prices as the natural and inevitable uranium holdings, those figures would be centration in the nuclear fuel processing in­ result of unpredicted increases in demand, 18.7% and 30.l % respectively. Perhaps with dustry, (3) substantial participation of ma­ unexpected supply problems, and cost in­ these statistics in mind, the Justice Depart­ jor oil firms in the nuclear industry, espe­ creases. ment decided not to challenge the on-coal cially in mining, milling, and reserve hold­ Furthermore, the coal industry argues that mergers on anti-trust grounds, finding the ings, and ( 4) an increasing trend toward the invasion of the on companies has a coin­ two industries "not in significant competi­ vertical integration in both the fuel and the cidental and not a casual relationship to tion" despite the utllities' high degree of equipment sectors. these price and supply problems. Oil com­ convertibility between coal and oil. Further­ At present, two firms convert U30 8 to UP1 panies defend their investment in coal re­ more, as presently interpreted, the anti­ gas: the AEC holds a monopoly over the en­ serves and production as an importarut fu­ trust acts cannot be used to prosecute on the richment stage, four firms fabricate nuclear ture source of raw materials for their oll and grounds that excessive concentration of re­ fuel from enriched uranium; three firms re­ gas marketing operations. As natural ga.s and serve holdings may limit future competition. process fuel; four supply almost all reactor petroleum become increasingly scarce, coa.1- Even if it were legally feasible, it remains steam supply systems; two supply turbine based synthetic fuels may supplement or re­ unclear whether anti-trust actions against generators. Economies of scale and the pres­ ploa.ce conventional sources of energy. Hence, coal-owning companies would be beneficial. It ent low-volume market make these levels of 17384 EXTENSIONS OF REMARKS June 3, 1974 concentration inevitable in most segments of actions would be a disruptive and counter­ gration in the nuclear energy industry rep­ the Industry. High capital costs, complex productive means to forestall anti-competi­ resents stlll another threat to free competi­ technology, cyclical buying, and the credibil· tive developments. Instead the study suggests tion. Firms with mining and milling interests ity problem faced by new entrants in a high that the AEC can use its considerable in­ are acquiring positions in fuel processing. risk business create additional barriers to fiuence to control industry behavior. Tools Furthermore, many of these firms are oil entry that seem unavoidable. The AEC it­ available to the AEC include R and D and companies, e.g., Kerr-McGee, Getty, Gulf, and self has exacerbated this situation by its demonstration project contracts, contracts to ARCO. long-standing policy of awarding its R and D operate government owned facilities, govern­ Steam supply system producers, GE and contracts to the most experienced and tech­ ment procurement and stockpiling, import/ Westinghouse, are also integrating backwards nically competent firms, thereby further con­ export controls, and plant licensing. In more into components, fuel fabrication, and re­ centrating expertise while passing up the recent Congressional testimony, the AEC's processing. To cite one example of the anti­ cha.nee to encourage new competition. James Ramey reiterated his preference for competitive effects of such vertical integra­ Perhaps an increase in sales volume and these tools, coupled with industry-AEC con­ tion, the decision by GE and Westinghouse to the stabilization o:t; industry technology will sultation, as a means to promote competition begin in-house production of zirconium tub­ encourage new entries. Ironically, oil com­ rather than anti-trust measures. ing ls jeopardizing the existence of the two panies are the most llkely candidates for new The uranium mining and milllng sector is independent firms which had supplled GE entrants into the fuel processing and equip­ not so concentrated as the fuel-cycle and nu­ and Westinghouse as well as the remaining ment supply sectors-a mixed blessing from clear equipment sectors. The four largest 20% of the reactor market. If the independ­ the standpoint of free and vigorous com­ firms account for 53 % of domestic U80 8 pro­ ents are pushed from the market, the GE and petition in the energy industry as a whole. duction; the eight largest contribute 76%. Westinghouse may control the zirconium Arthur D. Little's stlll-current 1968 study Despite these comparatively tolerable con­ tubing supply of companies which bid of the nuclear energy industry suggests that centration ratios, oil company acquisitions against them for reactor contracts. concentration ratios alone are not adequate of uranium reserves and mining and milllng To summarize, threats to competition in indicators of the state of competition in the companies has prompted concern regarding the nuclear energy industry, stem.ming from nuclear industry. Industry performance and the potential of these firms to restrict pro­ acquisitions by big oil, from excessive con­ firm behavior should be the ultimate criteria. duction in order to maintain artificially high centration, or from vertical integration are for evaluating the extent of competition. energy prices. The AEC estimates that ura­ primarily potential threats. Despite high The Little study's estimates indicate that nium production must expand from 8,300 concentration ratios throughout the indus­ profits in most sectors of the nuclear energy tons of U80 8 in 1973 to 58,800 tons by 1985 to try, it is difficult to discover specific present industry seem to be high but not excessive meet projected demand. Presently, explora­ abuses. Firm behavior during the nuclear in­ in light of the considerable risks. In fact, the tion and discovery rates are lagging because dustry's "take-off" period h.a.s not been mark­ two firms which control all conversion of demand has fallen below predicted levels. edly anti-competitive despite the potential Ua08 to UF5 realized only between 7 and 10% Prices are low and inventories are full, so market power of some firms. return on investment. there is little incentive to increase the rate As the industry matures, however, com­ Business week reports vigorous compet1ition of exploration. As demand rapidly increases, petitive strategies may change. Fortunately, for increased shares of the potentially lucra­ however, price increases should encourage the AEC's special position with respect to the tive reactor market. Although Westinghouse rapid expansion of exploration, discovery, and nuclear energy industry holds out the hope and GE account for almost 80 % of steam production. of using its formal and informal powers to supply system sales, potentially huge profits By the year 2000, it will be necessary to promote competition without resorting to have evoked intense competition between expand estimated reserves slx fold in order the blunt instrument of anti-trust action. these two firms for the breeder reactor dem­ to fill projected demand with ore which can onstration contract. Both have shown in­ be extracted and mllled at $8 per pound. Such terest in cost-cutting innovations such as a rapid rate of expansion would tax even an plant standardization, an indication that industry which was responding freely to mar­ GIANT HELICOPTER FAILS TEST traditional competitive incentives seem to be ket incentives. Some observers suggest that operating despite the oligopolistic industry the oll companies might not respond to in­ structure. creased demand; instead they may seek to In justifying a recent $60 milllon invest­ withhold production in order to protect the HON. LES ASPIN meillt in nuclear operations, a. Westinghouse prices ot oil, natural gas, and coal products. OF WISCONSIN omcial explained, "Between now and the year OU firms control 45 % of domestic uranium 2000, the potential return to Westinghouse, reserves. Seven companies, three of them IN THE HOUSE OF REPRESENTATIVES just assuming it maintains its present share major oll firms, control 70% of low cost re­ Monday, June 3, 1974 (38%) of the nuclear reactor market, could serves. Juxtaposing this market power against be $300 billion. Facing a future of rapid in­ a six fold increase in demand, it seems pos­ Mr. ASPIN. Mr. Speaker, the Army's dustry expansion, these firms may assume sible that the oll firms would be in a posi­ controversial giant helicopter-the that corporate interests wlll best be served tion to cause serious shortages. HLH-has suffered three major test by increasing or maintaining the firm's mar­ However, former AEC head Clarence Larson failures in the last 2 months. ket share in expectation of future profits cautions about overestimating the power of These three failures involving the huge rather than by using monopoly power to any group of companies to curtail production. helicopter's transmission and engines are press for supernormal profits now. If this 1s "With both worldwide and local competition, indeed their assesment, it dovetails well with I can't visualize ... that a few companies new and startling evidence that the HLH the publlc's interest in expanded production could completely dominate the uranium sup­ program is headed for big costly prob­ and low prices. However, these calculations plies," he told a House subcommittee. "There lems. of corporate interests-and the corporations' ls a very extensive world exploration and I am publicly urging Defense Secretary benign intentions-may change as the in­ supply of uranium. Larson said that the AEC James R. Schlesinger to personally re­ dustry matures and market shares become could permit gradual import increases in or­ view the program and believe he should settled. der to supplement domestic production if Even at present there is evidence of some necessary. cancel the HLH. abuse of market power. For example, GE and The intentions of the oll companies are As many of my colleagues may know Westinghouse try to tie turbine purchases to not clear. Most speculation regarding the 111 the Navy is already procuring a similar steam supply system purchases. In this way, effects of the entry of oll firms relates to helicopter that can lift very heavy items they use monopoly power in one sector to potential abuses, not present behavior. The such as trucks and the building of the increase their market share in an unrelated present buyers' market offers no opportunity HLH is a foolish and unnecessary sector. for raising prices by restricting supply. When duplication. The Little study equivocates in its assess­ demand increases, however, those observers In 1971, the Congress ordered the ment of the effects of high concentration. It who allege that the major oll firms manu­ points out that "the modern corporation factured the current on shortage foresee a Pentagon to build one helicopter instead must possess at least some degree of control possible recapitulation of that strategy in of two for lifting heavy equipment but over its respective markets before it wlll un­ the uranium industry. the military decided to totally ignore the dertake the risky innovational activities that On the other hand, the acquisition of nu­ congressional directive. account for the strikingly high rate of in­ clear energy interests by oil firms can be The Pentagon has requested $57.7 mil­ dustrial progress in the United States. An­ lion in next year's budget to continue the other study is cited which links moderately seen as a. legitimate entry into a profitable, high concentration to high rates of innova­ expanding industry. (OU firms are logical HLH program and provide for the build­ tion. Such consldera.tions may be especially entrants at the exploration and mining stage ing of second test prototype model of the important for the nuclear energy industry, because of their geological expertise.) In the plane. Thankfully the Senate Armed whose prices and supply levels will be deter­ long run, fuel production may be viewed as Services Committee cut the Army's mined as much or more by technological ad­ more profitable than restricted production at request by $21.2 million eliminating the vances than by the state of competition. high prices, especially if non-oil uranium At the same time, the Little study does not firms followed a vigorous full-production second prototype and $7 .2 million 1or deny the potential 1ll effects of excessive con­ policy. additional test which are make-work for centration. However, it argues that anti-trust The increasing trend toward vertical inte- the prime contractor-Boeing Aircraft. June 3, 1974 EXTENSIONS OF REMARKS 17385 I have also learned that problems in Following are the survey results in It has been said that history repeats itself. the testing program will result in a 5- detail: In the past, women have been consistently aocepted in the mllltary forces only as a last month delay in its completion. COMMUTER RAIL QUESTIONNAIRE RESULTS resort. Today, because of the difficulty the It is also important to note, Mr. Armed. Forces are having in fill1ng their Speaker, that Boeing has used $5.5 mil­ Fre- lnfre- quotas for an all-volunteer establishment, it lion of its $6.2 million contingency funds Daily quently quently is the women who are filling the ranks of the caused by the test program failures. Army, Navy, Air Force, and Marines. Not only are women true volunteers, but they I hope that Mr. Schlesinger wlll stop Woodbridge to L'EnfanL...... 239 318 618 this foolishness before the taxpayers are Woodbridge to Crystal City..... 101 78 140 must meet higher standards for admission asked to foot the bill for huge cost over­ Woodbridge to Alexandria...... 67 124 188 than men. They must be high school gradu­ Manassas to L'Enfant •••• ----- 129 333 823 ates or have an equivalent education, and runs on this ill-conceived monstrosity. Manasas to Crystal City...... 33 76 86 are accepted. from only three out of four Manassas to Alexandria...... 34 78 110 Clifton to L'Enfant______28 57 75 mental groups. Clifton to Crystal City______13 17 17 Previously, women in the military worked Clifton to Alexandria.______0 5 23 1n two main occupation groups: adminlstra­ COMMUTER RAIL QUESTIONNAIRE Quantico to L'EnfanL ·------21 70 122 Quantico to Crystal City...... 1 11 25 tion, about 67 percent; and health, about 22 RESULTS ' Quantico to Alexandria______14 21 43 percent. Today, the range of occupations Manassas Park to L'EnfanL. •• 32 32 89 open to women is rapidly expanding, and it Manassas Park to Crystal City.. 11 9 27 is likely that, as a result, more and more Manassas Park to Alexandria.. 5 19 25 HON. STANFORD E. PARRIS Burke to L'Enfant______113 90 213 women will want to enlist. Women are now Burke to Crystal City______55 54 65 doing things such as repairing Air Force OF V~INIA Burke to Alexandria______3 40 58 planes, operating radios on board ship, tak­ IN THE HOUSE OF REPRESENTATIVES Springfield to L'Enfant.______212 236 706 ing parachute training, and keep track of Springfield to Crystal City_.___ 66 69 151 Monday, June 3, 1974 Springfield to Alexandria...... 12 51 93 foreign satellites. ~~~~~~~~- The number of women In the mllitary Mr. PARRIS. Mr. Speaker, recently I Tot aI riders______1, 195 1, 788 3, 697 services today is 35 percent more than three conducted a survey of the residents of years ago, and is expected to double by 1978. three counties of Virginia's eighth Con­ Note: Number of never rides, 621; number of questionnaires By Fiscal Year 1975, there are expected to returned, 3,453. be close to 100,000 women 1n the Armed gressional District in an effort to deter­ Services. mine the interest in a commuter rail Since women are entering all branches of proposal which is curently pending be­ STATEMENT BEFORE SUBCOMMIT­ the m111tary services, and serving with dis­ fore the Prince William County Board of TEE NO. 2 ON MILITARY PERSON­ tinction and honor, I feel it is only fitting Supervisors. NEL that they be admitted to the service acade­ The proposal calls for the Southern mies. They have proven that they can per­ Railway and the Richmond, Fredericks­ form mllitary duties as well as men, and, in burg and Potomac Railroad to run daily HON. ANTONIO BORJA WON PAT line with our national policy of providing commuter trains from Manassas and OF GUAM equal opportunities for everyone, they should IN THE HOUSE OF REPRESENTATIVES be permitted. to further their careers by ob­ Quantico into Alexandria, Crystal City taining a special education. It they can and L'Enfant Plaza in Washington. The Monday, June 3, 1974 perform well in the lower echelons, there is trains would make passenger stops in no reason why they cannot do well as omcers Woodbridge, Clifton, Manassas Park, Mr. WON PAT. Mr. Speaker, under in the highest ranks. Burke and Springfield. leave to extend my remarks in the REC­ I am proud to say that I have two daugh­ The survey results indfoate that more ORD, I include the following: ters 1n the military services. They are both than 6,000 residents of Fair!ax, Prince MILITARY PERSONNEL omcers and nurses, one in the Air Force and William and Stafford Counties would use (Statement by Honorable ANTONIO B. WON one 1n the Army. They enjoy their work, and PAT, Territory of Guam, before Subcom­ I believe they are doing a good job. commuter rail service if it was available mittee No. 2 of the House Armed Services Passage of the important legislation under to and from the Washington area on a Committee, May 30, 1974) discussion today wlll lead to more oppor­ dally basis. Most of the 3,453 households Mr. Chairman and members of the Com­ tunities for them and all American women. responding to the mailed questionnaire mittee, I am happy to g'1ve my support to leg­ indicated the interest of more than one islation which would permi,t the admission of rider; 1,197 persons were interested in women to our mmtary academies. using the commuter rail service on a In this day of expanding women's rights, THE PEOPLE SPEAK ON ABORTION daily basis, 1, 788 frequently and 3,697 the female members of our society are grad­ LAWS infrequently; 621 persons responding to ually assuming many duties formerly per­ the questionnaire said they would never formed by men, and have proven themselves to be capable and emcienit. In all strata of HON. JOSEPH M. GAYDOS use the service if it were available. The our society and all sectors of our economy, most significant ridership interest came women are filling many positions which have OF PENNSYLVANIA from the Woodbridge and Springfield traditionally been the domain of the male IN THE HOUSE OF REPRESENTATIVES areas, which, I feel, retlects on the large sex. Among the areas into which their tal­ Monday, June 3, 1974 number of Federal employees residing ents now lead them is the military estab­ in those areas. lishment of our country. Mr. GAYDOS. Mr. Speaker, several I believe the results of this survey During the past several wars in which the years ago I initiated a "home phone more than justify the continued efforts United States was involved, women were a poll" to encourage residents of the 20th welcome resource to take over many func­ Congressional District of Pennsylvania on the part of concerned citizens and re­ tions so that men could be freed for com­ sponsible public officials toward obtain­ bat duty. The first women to serve in the to voice their opinions on matters in­ ing commuter rail services for the resi­ mllltary were nurses serving under civilian volving the Federal Government. They dents of the three counties. In my view, contract during the Spanish-American War. have responded admirably. the- next step ls for representatives of The first women in the military, other than Our latest poll concerned the liberali­ Prince William County to present the 1n the health field, were clerks who served zation of abortion laws and I believe my survey :figures to Federal and State in the Navy during the First World war. Of colleagues will be interested in the re­ course, once the war was over, women could sults: 1,219-47 percent--Opposed any officials and to file a formal application no longer be recruited, and the Navy became for :financial assistance with the Depart­ a.gain an all-male preserve. further easing of abortion laws; 1,130- ment of Transportation. The beginning of the Second World War 43 percent--favored liberalization and For my part, I intend to do every­ again brougbt about the need for women in 263-10 percent--had no opinion on the thing within my power to assist the the mmtary services. Congress passed legis­ issue. county in its efforts to get a Department lation creating the WAC (Women's Army Participation in the "home phone poll" of Transportation capital improve­ Corps) and the WAVES (Women Accepted for is strictly voluntary and over the years ments grant for the proposed project. It Volunteer Emergency Services). During the the people who have taken part in it war, women proved they could play an im­ have provided me with a valuable in­ has been estimated the commuter rail portant role within the m111tary. As oppor­ service would need Federal funds in the tunf.tles grew, the number of jobs which sight into the feelings of my district on neighborhood of $700,000 to make the women performed increased. By the end of issues such as foreign aid, school busing, necessary capital improvements before the war, over 265,000 mmtary women had prayer in public schools, wage and price the service could begin operation. served their country. controls and national priority programs. 17386 EXTENSIONS OF REMARKS June 3, 1974 Mr. Speaker, I am extremely proud to should think that such spheres of activity Public operation makes a strikingly poor represent the people of the 20th District can be conducted more effectively under pub­ showing here. We now contribute $1.4 billion in the Congress of the United States. lic than private management. a year to make up the postal deficit, or 20 They have demonstrated time again A good illustration of the striking ditfer­ times as much as when the letter rate was ences in public vs. private management ls only 2 cents. their love and concern for our Nation and afforded the two giants of the communica­ While the post omce has drained off $23 a willingness to take an active part in its tions field-the U.S. Postal Service and the b1llion from tax revenues since 1932, the Bell Government. Bell Telephone System. The trend in postal companies have paid $54 b1111on in taxes. rates: And does not include the federal excise taxes paid by Bell customers-$18 billion in 20 lST CLASS POSTAGE RATES, 1-0UNCE LETTER years. THE GOVERNMENT IS A LOUSY (In cents. Moreover, the Bell companies ha.ve millions BUSINESSMAN of stockholders. In the past two decades, these disbursements have created $4 billion Regular mail Air mail of federal income taxes to help finance the HON. ALBERT H. QUIE postal deficit. OF MINNESOTA 1974_ ------10 13 If the government ever gets into the on 1971 _------8 11 business and runs it like the post omce, to­ IN THE HOUSE OF REPRESENTATIVES 1968_ ------6 10 1963_ ------5 8 day's gasoline prices wm be remembered as Monday, June 3, 1974 1958_ ------4 7 wistfully as the 10 percent income tax and 1957 ------3 6 the 2-cent stamp. Mr. QUIE. Mr. Speaker, many people 1947 _------3 5 1933_ ------3 6 believe the solution to almost every social 2 problem is the establishment of a gov­ 1932. ------5 ernment program. In recent years, various public omcials HUMAN RIGHTS IN CHILE AND A careful examination of the costs of have criticized the "inflationary" pricing BRAZIL delivering services to the public by means policies ot private business. Yet in 10 years of Government programs should be con­ the post omce has hiked its rates 65 percent ducted. to 100 percent. HON. DONALD M. FRASER I am inserting in the RECORD an arti­ Now let's see how prices of the privately cle from the Winona Daily News dated operated telephone system have fared. The OF MINNESOTA May 19, which notes the increase in gov­ rates for three-minute toll calls between Bos­ IN THE HOUSE OF REPRESENTATIVES ernmental expenditures and compares ton and other major cities: Monday, June 3, 1974 the cost of first-class postage with tele­ Mr. FRASER. Mr. Speaker, I would phone service. It also compares the postal Station-to-station toll rates t from Boston to- like to place in the RECORD an article by deficit with the taxes paid by the Bell New York Chicago San Francisco Anthony Lewis entitled "The Meaning of Telephone Co. Year Day Night Day Night Day Night Torture" and an article by Marvine Howe I would urge my colleagues to study concerning political prisoners in Brazil. this editorial and keep it in mind when 1974 ______$0. 80 Both appear in the May 30th issue of the new Federal programs are proposed. $0.55 $1.15 $0.65 $1.45 $0.85 19631967 ·------______• 75 .55 1. 40 .70 1. 75 1. 00 New York Times. The editorial follows: 1955 ______.75 .55 1.50 1. 20 2.25 1. 75 .75 Mr. Lewis describes the tragic situation THE GOVERNMENT Is A LOUSY BUSINESSMAN .55 1.60 1.30 2.50 2.00 19391947 ·------______.57 .45 1.65 1. 25 2.50 2.00 in Chile. Torture has become a pervasive When the economy's in trouble, for one 1932 ______.80 .50 2.50 1. 50 6. 75 4.50 practice of the Government to suppress reason or another, we're always turning to 1. 00 .60 3. 25 1.75 9.50 5. 75 dissent and punish those who supported the federal government to solve the problem. Percent de- the Allende government. Lewis notes that What did certain members of Congress say 74cline, ______1932- when the gasoline and fuel on crisis hit last -20 -8 -65 -63 -85 -85 the United States has strongly supported winter? Nationalize the on industry, that's the military government, offered no asylum to Chilean refugees, and said what. i Excludes Federal excise taxes. Just how emcient is government? Here the nothing about the murder and savagery expert comment of David L. Babson, the Bos­ While toll charges have declined substan­ which has been practiced. ton economist, extracted from an article 1n tially, the cost of local telephone service has I share Mr. Lewis' disquiet about our Better Investing, publication of the National been up. But the rise since 1932 has been less Government's silence and apparent in­ Association of Investment Clubs: than half that of the consumer price 1n.dex The extent to which government's share and only one-quarter as much as the increase difference about torture and repression of the economy has mushroomed over the in postal charges for regular mall. in Chile. The Foreign Affairs Subcom­ years is shown below: Consumers have fared much better with mittees on International Organizations the privately operated organization than and Movements and Inter-American with the publicly run one. This ls largely a A:ffairs wlll be holding a hearing on June Federal, State and local government activity reflection of increased emcien.cy or "'produc­ 11th to ask the Department of State a Percent tivity:• Despite some improvement 1n recent broad range of questions concerning U.S. Employ- of total Expendi- Percent years, the public operation aga1n makes an Policy toward Chile. We shall be asking ment employ- tu res of total unfavorable comparison. Over 43 years the (millions) ment (billions) economy postal service has increased the number of the Department, for instance, how it pieces of mall handled per employe by 56 per­ views the relationship between respect 1973_ --- 13. 7 16. 2 $407 31.6 cent, but the Bell System takes care of 2.7 for human rights in Chile and the level 1967 ____ 11.4 15. 3 243 30.6 1963 ____ 9.2 13. 6 167 28. 3 times as many conversations per worker aa of U.S. assistance. In fiscal year 1975 the 1955_ -- - 6.9 11.1 98 24.5 it did then. administration is requesting $85 million 1947 ____ 5.5 9.6 42 18.3 Now what effect have these two systems had in bilateral U.S. economic assistance. 1940 ____ 4.2 8.8 18 18. 4 upon us as taxpayers? The following table 1929 ____ 3.1 6.4 10 9.8 military assistance, and credit sales. Of shows the postal deficit and the taxes paid that amount, military assistance is $800,- by the Bell Telephone Companies. both an­ The public share of employment has been nually and on a cumulative basis: 000 and military credit sales $20,500,000. rising almost as fast since 1947 as it did In fiscal 1973 Chile received only $3,800,­ during New Deal days. Now 16.2 percent of (In millions of dollars) ooo in economic assistance; $800,000 in all workers (one out of six) are now on pub­ military assistance; and $12,400,000 in lic payrolls compared with 6.4 percent (one Deficit of Post Office Dept. Taxes paid by Bell Cos. military credit sales. Thus, economic as­ out of 16) in 1929. sistance wlll have increased 16 times over The public sector now accounts for nearly Cumulative Cumulative Annual from 1932 Annual from 1932 these 2 years and military assistance and one-third of total economic activity against sales will have increased by more than 50 less tha.n one-tenth in 1929. 1973 ______percent. These figures suggest the extent In the past four years, total federal ex­ 1966 ______1.390 22, 703 4,350 54,454 penditures have Jumped $78 billion, or nearly 1963 ______943 12, 843 2, 718 30,045 to which hwnan rights factors are taken 1961. _____ 819 10, 454 2, 246 22, 301 two-fifths. The entire rise has been for non­ 826 8,860 1,972 17, 952 into account by the Department in de­ defense activities. 1958 ______assist~nce. 1950 ______891 6,832 1,483 12,442 ciding upon the level of U.S. Moreover. Washington 1s constantly press­ 1940 ______545 2,233 499 4,472 The United Nations Commission on ing, or being urged, into new flelds. 1935 ______41 687 185 1,090 66 428 94 352 Human Rights and the Economic and A question that puzzles us 1s why anyone Social Council have been making modest June 3, 1974 EXTENSIONS OF REMARKS 17387 but serious efforts to bring the force of cussed. I hope that the Department will given strong support to the military regime. international public opinion to bear on reconsider its position. Unlike other Western countries, we have the situation in Chile. The Commission The Congress in reviewing the admin­ offered no asylum to Chilean refugees. And we have said nothing, otHcially, about the recently adopted a resolution urging the istration's request for bilateral assistance murder and savagery. Government to have greater respect for to Brazil-including $60,000,000 in mili­ Words would matter in this instance. If human rights. The lack of vigor and con­ tary credit sales and $800,000 in military the United States spoke out against the tor­ cern on the part of the United States grants-should consider closely the find­ ture, if our Embassy in Santiago was active regarding the UN effort was reflected in ings of the Inter-American Commission in watching the trials and other visible a vote taken by the Social Committee of on Human Rights and the innumerable manifestations of oppression, if more Ameri­ the Economic and Social Council just a press rePorts of repression in Brazil. can lawyers joined international legal groups in protesting the Junta's lawlessness, if Con­ few weeks ago. The resolution was a The material follows: gress moved to attach conditions to aid, those similarly modest resolution urging the THE MEANING OF TORTURE who rule Chlle would almost certainly listen. Government of Chile to respect human (By Anthony Lewis) But the present Government of the United rights. The vote on the resolution was 41 BOSTON, May 29.-The use of torture as a States shows no concern for human rights. in favor, none against with 2 abstentions. political instrument is an evil beyond justi­ Henry Kissinger and his President were silent Chile and the United States abstained. fication or compromise, a practice omcially for months while their allies in Pakistan In the plenary session of ECOSOC the condemned by every civilized society. Yet it slaughtered the Bengalis. Washington has resolution was adopted by consensus. goes on, ln many places around the world, nothing to say about a Greek Government The Department explains that the ab­ and arousing people's interest in the subject that rules by terror. Or about the Govern­ is singularly ditficult. Perhaps we :find the ment of South Korea, whose kidnappings stention was due to the fact that the reality so unbearable that we turn away and brutalities make Communist regimes U.S. delegation had not expected a vote rather than contemplate it. look almost decorous by comparison. (For on the resolution, but rather that it would Such thoughts are provoked by fresh re­ a student to refuse to attend class ln South be adopted by consensus. However, since ports on the savagery practiced by the mili­ Korea "without plausible reasons" is a crime the question had been discussed for about tary junta in Chile. Evidence of torture ln punishable by death.) 2 weeks prior to the vote, the U.S. del­ Chile has been published by, among many Some of the nastiest governments in the others, Amnesty International, the highly­ world today were born or grew With Ameri­ egation had ample time to make up its can aid. That being the case, the most modest mind on the resolution. Clearly, the U.S. respected group that favors no ideology ex­ cept humanity. Amnesty's :findings are sum­ view of our responsib111ty would require us abstention shows a lack of concern for marized with telling simplicity ln an article to say a restraining word to them occasion­ the situation in Chile and a failure to by Rose Styron in The New York Review of ally. But we say nothing, we hear nothing, fully suppcrt the UN's effort to improve Books. · we see nothing. the situation in Chile. Victor Jara, a folk singer, was held With There was a wonderful example the other am thousands of others in a Santiago sports day-funny if it did not involve so much I also troubled about the continued suffering. The State Department said it knew rePorts of torture and repression in Bra­ stadium. He was given a guitar and ordered of no political prisoners in South Vietnam, zil such as those reported in the Howe to play. As he did, the guards broke his because Saigon's stated policy "does not per­ article. The situation in Brazil has re­ :fingers, then cut them off. He began to slng, and they beat and then shot him. Several mit the arrest of anyone for mere political ceived special attention from both the Witnesses have described that death. It is a dissent." Thus the thousands of non­ OAS Inter-American Commission on relatively mild example of what Mrs. Styron Communists in South Vietnamese jails were Human Rights and by the United Na­ made to vanish, the twisted creatures in tiger relates. cages waved away. Thus the idealism that tions. The Commission has concluded Many reports tell of the use of electric once marked America's place ln the world there is a ''persuasive presumption that shock to make prisoners "confess" to what has become indifference in the face of in Brazil serious cases of torture, abuse, their captors desire. Sexual assault is a com­ inhumanity. and maltreatment have occurred to per­ mon theme. Mrs. Styron mentions a women's sons of both sexes while they were de­ prison, Casa de Mujeres el Buen Pastor, where young girls are sent from prison camps, preg- F'IvE ARRESTED MEN VANISH IN BaAZn. prived of their liberty." In the case of nant, "with their hair pulled out and their (By Marvine Howe) Olavo Hansen, a trade-union leader de­ nipples and genitals badly burned." Rio DE JANEIRO, May 29.-Political pris- tained by the Government's political and At least one complaint of such treatment oners continue to disappear ln Brazil despite labor police, the Commission concluded has been made otficially in the Ch1lean courts. assurances by the new Government headed that: Mrs. Virginia Ayress complained that her by Gen. Ernesto Geisel that it will end abuses The circumstances surrounding the death daughter, Luz de las Nieves Ayress, had been by the police. of Olavo Hansen constitute prima facie a beaten, sexually abused, tortured with elec- Lawyers have asked the Government to very serious case of violation of the right tric currents and-ln a scene right out of produce at least :five persons who were ar­ to life. "Nineteen Eighty-four"-had rats and spiders rested recently and have disappeared. They put on and into her body. The courts for- are the following: The Government of Brazil refused to warded the complaint to the armed forces. Fernando Augusto de Santa Cruz Oliveira, cooperate with the Com.mission in its re­ People are arrested, tortured and summar- a civil servant; Eduardo ColUer Jr., a former quests for 1nformation and its request lly kllled in Ch1le for any reason or no rea- law student; Luz Ignacio Maranhao, a law­ to make an on-site investigation to as­ son. Large numbers of doctors have been ar- yer and former member of the Rio Grande certain the facts. rested, some because they did not Join ln a de Notre state assembly; David Capistrano, a The Commission's annual report to the strike l·ast summer against the leftist Govern.. Communist journalist who fought on the re­ 1974 As­ ment of Dr. Salvator Allende. Amnesty has publican side in the Spanish Civil War and session of the OAS General a.n appeal from Ch1lean doctors saying that was a hero of the French Resistance, and his sembly presents in detail the cases de­ 25 of their profession are ln prison, held friend Jose Roman. scribed above and the failure of the Gov­ without any charges; another 65 are said to The Braz111an Bar Association has raised ernment of Brazil to cooperate with the have been shot or died of torture or untreated with the Geisel Government the question of Commission. The Assembly did not dis­ wounds. abuses by the security forces, lncludlng kid- cuss the Brazil cases or any other case Last month the 28 Roman Catholic bishops napplngs, d1sappearanc1es, arrests without considered by the Commission. By tradi­ of Chile, in an unusual public statement, warrant and torture. condemned the practice of torture and arbi- GOVERNMENT'S POSITION tion the Assembly does not give any trary arrest. The junta routinely denies tor- substantive consideration to the Commis­ ture reports or, in the words of its Interior The Government's spokesman in Congress, sion's report. Minister, Gen. Oscar Bonilla, dismisses them Garcia Nego, recently asserted that police The Subcommittee on International as "damaging to the national interest." violence would no longer be permitted. Organizations and Movements recom­ But what has all this to do with the "The machinery 1s not yet completely un- mended in its human rights report that United States? Secretary of State Kissinger der control," a source close to General Geisel has told us that this country cannot reform said, explaining the continuing reports of the Assembly should give detailed con­ the internal policies of other governments. police abuses. sideration to the Commission's report. As a generality that is fair enough. But it . The security services, in fact, still seem to The Assembly should urge States-if not is not enough when we have a share of act with autonomy. A wave of arrests in by name, then generally-to respect the responsib111ty. February and April was said to be due large- Commission's requests and recommenda­ However much the Allende Government ly to zealous security services attempting to tions. Regrettably, at the present time, contributed to its own downfall, the United justify their existence with the new Govern­ States made things worse by cutting essential ment. Most of the 100 or so people arrested the United States also remains silent economic assistance-except to the Chilean have since been freed. when the Commission's report is dis- military. Since the coup, Washington has One of the missing men, 25-year-old Fer- 17388 EXTENSIONS OF REMARKS June 3, 1974 nando Augusto de Santa Cruz Oliveira dis­ of our country in response to economic not recur. Understandably, therefore, they appeared on carnival weekend. manipulation at the hands of the oil pro­ hurry to exploit their unique opportunity be­ "Fernando had come to Rio with his wife ducing nations. fore lt passes, and so they demand more and 2-year-old baby to spend the holiday money, more power, more weapons. with the family," Mrs. Marcia de Santa 'Tilerefore, in connection with the Ven­ The usual order of events ls now being re­ Cruz Freitas, his 23-year-old sister, said 1n ezuela amendment to be offered, it is per­ versed. The new imperialism does not follow an interview this week. haps useful as background to place into the traditional course of long industrial de­ "He was wearing Bermuda shorts and san­ the RECORD at this point a thoughtful and velopment. Instead it must be financed by dals, and told us he was going to meet an old important article by Prof. Henry M. windfall profits that can buy the sophisti­ schoolmate, Eduardo Collier," she went on. Pachter, which appears in the June issue cated weapons of the already-developed West. "He went out at 4 P.M. and she said he would of Harper's magazine and is entitled, It used to be thought that it would take un­ be back at 6 P.M. but we have never heard skilled Bedouins at least a. generation to from him again." "Imperialism in Reverse": learn the technology and discipline of modern Mrs. Freitas recounted the family's long (From Harper's Magazine, June 1974] warfare. The Yom Kippur war proved that search for Fernando. Many other families IMPERIALISM IN REVERSE push-button weapons can be used by any­ have made similar searches for political pris­ body, and that advanced nations sell weap­ oners who have disappeared within the (By Henry M. Pachter) ons not simply for profit but because they labyrinth of the Braz111an security system. The habit of imperialism has for so long need to ingratiate themselves with their REPORTS OF ARREST been associated with the image of Western form.er retainers. 011-expor:tlng countries now industrial nations that it came as an alarm­ demallld computers, rockets, atomic reactors; The family at first did what fam111es every­ ing surprise last winter when imperialistic and other instruments which, for the mo­ where do when one of their members is fiats were proclaimed by the small and rag­ ment, merely enhance their self-respect but missing: publish a note in the newspapers ged sheikdoms of the Middle East. The Arab may in good time become instruments of reporting the disappearance and check the oil embargo dispelled a number of romantic hospitals, the police stations, the morgue. power. illusions, among them the necessary virtue DREAMS OF GLORY There were reports, however, that Fernando of the so-called "Third World," and it proved had been arrested at Copa.cabana and taken Contrary to widespread belief, world pol­ that the colonial instinct does not depend on itics is not a new interest for underdeveloped away in a police car. And the friend, Eduardo accidents of race or culture. The unhappi­ comer, had also disappeared. nations; nor ls it confined to the oil-rich na­ ness in the West followed both from the tions. The small, underdeveloped countries The two fammes spent several weeks going magnitude of the extortion and from the from one security service to another in the have been engaged in more wars during the summary manner in which the money was past twenty-five years than have the bigger Rio de Janeiro area. Finally they were told demanded. We objected not only to the fact unofficially that Fernando had been trans­ powers. It ls a myth that low standards of of blackmail but also to the embarrassment llving induce peacefulness. Quite the op­ ferred around March 13 from the Barao de of contemplating our own weakness. Mesquita Prison ln Rio to the army's anti­ posite. Oriental statesmen always have Admittedly, this is the Western point of spoken with pride about their ancient em­ subversion unit at Sao Paulo known as the view. What appears to us as a hold-up may Department of Order and Intelligence. pires. India. has fought over Kashmir twice look like legitimate and land-office business with Pakistan, and she also has fought for "We don't know why Fernando and Ed­ to nations that have long thought themselves uardo have been arrested or where they are Goa, Bangladesh, and uninhabited territory powerless and suddenly discover a weapon of in China. Egypt intervened ln Yemen and the but we a.re still looking for them and hope great force. The coordinates of world polltlcs for the best," Mrs. Freitas said. Congo. Ghana attempted to become the have shifted, and it is possible that we have Prussia south of the Sahara when she offered been witnesses to one of those watersheds in to "police" the Congo. Indonesia. subdued world history which, like Waterloo, close one West lrian and threatened Brunel. North age and open another. Vietnamese troops have fought ln Laos and IMPERIALISM IN REVERSE It is not simply that our dependence on Cambodia for twenty years. Nasser imagined small powers has been rather abruptly and himself the new Suleiman and gloried ln the unkindly exposed, nor is it that great indus­ memory of Arab kingdoms in Spain. Afri­ HON. BILL GUNTER trial nations have been held hostage to ob­ cans rewrite their history books to celebrate OF FLORmA tain diplomatic concessions from a third the ancient kingdoms of Mall and Ghana. IN THE HOUSE OF REPRESENTATIVES state; it isn't even the sight of the late Pres­ Leopold Senghor sings of negritude. ident Pompidou abjectly bowing before a Jawaharlal Nehru, on writing Glfmpses of Monday, June 3, 1974 Libyan usurper-distressing as these circum­ World H~story in a. British prison, proudly stances may have been, the big powers have displayed the gruesome sequence of the great Mr. GUNTER. Mr. Speaker, it is per­ put up with such inconveniences before. haps a confirmation of the inability of Mogul conquerors, and he noted with unmis­ Have we not been blackmailed by generals takable satisfaction that Orientals can be as our own country, among the other large threatening to buy their weapons from the imperialistic as Europeans. To nations in powers, to formulate an effective re­ Russians, by self-styled revolutionaries of self-respect, a past milltary triumph sponse to extortionist policies pursued threatening to nationalize our corporations, seems to imply the promise of national ren­ by smaller nations, that the amendment by corrupt tyrants threatening to be over­ aissance. I shall be offering this week to suspend thrown unless we rescued them with further All this, of course, contradicts the pre­ a sugar quota for Venezuela until fair oil concessions? These are the burdens of em­ ferred image of the Third World, the image prices are restored is regarded by some of pire. We know that we will be held respon­ projected in its propaganda and proclaimed sible for every famine and disaster anywhere by its partisans in the West. The poor and our colleagues as such a novel and un­ in the world, and we have become accus­ oppressed not only enjoy our sympathy, but thinkable approach. tomed to paying conscience money. they also appear to be innocent victims of But I believe we have failed to under­ In the past thirty years gunboat diplomacy other people's guile. They are presuumed to stand and react effectively to the meth­ has become impossible, and the big indus­ be peaceful, if only because the attempt to ods smaller nations have discovered and trial states have become more vulnerable, act like big powers would prove futile. The applied with such zeal in recent years in psychologically and politically, than the small tactical decision of these countries to remain and backward states. This 1s a lesson that "nonaligned" in the struggle between the order to manipulate the so-called super­ has been repeatedly demonstrated by wars powers and extract from them concession Western and Soviet "blocs" has endowed the in Korea and Vietnam and by the depreda­ Third World with the ha.lo of impartiality after concession. tions of kldnapers, bandits, and hijackers. and selfiessness. Nobody bothers to mention Through the dawning years of the nu­ All this we knew, but we were shocked to that the halo might be made of brass. The clear era, smaller nations discovered that learn that the power equation between "im­ mere suggestion of the sacred number three dragging the superpowers into potential per1a.lists" and their poor cousins suddenly evokes the ideas of synthesis, transcendence, confrontations with each other could had been reversed. The oil embargo revealed and a better 11fe--exalted hopes which the lead to important concessions of direct a new dimension of imperialism. This was a bibUcal prophets associated with the meek; declaration of political coming of age on the their long struggle for independence makes benefit to them. 'Tile art of manipulating part of the smaller nations possessed of stra­ the nuclear powers for the benefit of them heroes of mankind's march toward re­ tegic raw materials. Nations that heretofore demption. smaller nations was perfected and today had been pawns in the chess game of world remains a fact of international life which politics became major pieces, commanding Especially in the eyes of those who despair ranks and files on the global board. No long­ of the decadent, sated. West, the hungry bil­ the nuclear powers have yet to come to lions of the mysterious Ea.st a.pp.ear as a grips with or find effective international er regarded as dervishes and petty kings, the rulers of these nations became claimants to Ubera.ting force and a scourge of God. Socia.l­ means to avoid. the councils of international decision. It is ists who have come to doubt the revolution­ Now the smaller nations have discov­ not their wealth that has gained them access ary virtue of the proletariat now find a new ered still another weapon of potentially to these councils, but rather their astute and champion ln the Third World; alienated Bo­ equal value, the weapon of oil. And there ruthless use of a monopoly in a peculiar con­ hemians study anthropology, not so much to is a similar absence of policy on the part stellation-which might not last and might understand human nature as to find their June 3, 1974 EXTENSIONS OF REMARKS 17389 own "other." Wester;n blacks in search of neither the colonialists nor the natives cared are now its prisoners. They must support the "identity" expect the upsurge of dark Africa to create a community of interests. If the radical irredentists whom they hate and fear. to liberate their own urban ghettos, where price of development has been heavy, how­ Nor ts peace helped by the Russian strategy the dally misery seems to be beyond practical ever, underdevelopment exacts even higher of fanning every fire that Western diplomacy help. In brief, the Third World is seen as costs: epidemics, famine, stagnation. ts trying to extinguish. the avenger of our sins, and the bloody rites COSTS ANO PRICES One way out of the dilemma is dramatizing that Frantz Fanon and Malcolm X wanted The third world · ideologists nevertheless •ach technical problem and politicizing each to visit upon us are hailed as the purgation construct a historical interpretation that a economic issue. Every negotiation about a ef a revolutionary rebirth. primer of elementary logic would call a fal­ customs tariff ls transformed into a con­ The irrational core of this tlagellant re­ lacy: countries were poor after the colonial­ frontation between the worthy poor and the ligion reveals itself in the ratings that vari­ ists left; hence, the colonialists wanted it so. arrogant rich. In this way the governments ous leaders receive in the radical press. The This confusion between after and because of the Southern Hemisphere manage to pose backward rulers of Yemen and the unspeak­ is at the bottom of the dispute between the as defenders of their peoples against foreign able Amin of Uganda are mentioned favor­ haves and the have-nots. We are not rich domination; but in order to convincingly ably, whereas the Shah of Iran, by compari­ because they are poor; we would in fact be mouth the rhetoric of their more revolu­ son a modern despot who promotes agrarian richer if they were richer, too. The imperial­ tionary rivals, they must inject into inter­ reform, is described as a tyrant: his program ists first exploited their own nations to main­ national relations a note of bitterness not of education and amelioration receives no tain their prodigal sons abroad. J. A. Hobson, favorable to negotiations. credit from the radicals as long as the a British historian of capitalism from whom Here is the difficulty. Since negotiations rhetoric of defie.nce and intransigence, Lenin drew most of his arguments, called may not bring total success, the national especially of confrontation with the United imperialism "the outdoor sport of the ruling revolution calls for unilateral acts. The most States, is missing from his text. class." He showed that colonialism may be visible proof of dependence, of course, is the The ideology of revolution evades the profitable for a few monopolists, but that it presence of foreign corporations. To na­ the grave problems developing countries means a burden on taxpayers in the imperial tionalize them ts not only popular politically; should face. It converts every domestic ten­ country, low wages for its workers, higher it also means jobs for loyal servants of the sion into a fight between the "we" and the prices for consumers--in brief, that it does ruling party, or actual positions of power Western '"they"; instead of concrete meas­ not pay for the colonizing nation. which may outlast a change of government. ures, it proposes a crusade (now called "war Dt ls a mistake, therefore, to view the pov­ I have indicated that in many instances of liberation"); and it identifies as the target erty of developing nations as the work of ad­ economic conditions favor nationalization, of action not the real causes of backward­ vanced nations. It is an even greater mistake but in the Third World the most popular ness (illiteracy, superstition, mismanage­ to accept a burden of guilt in return for the motive is political, and I think this is ment, and corruption) but a· mythical for­ supposed wrongdoing. The frictions that exist another example of fallacious logic. Unso­ eigner: what the Jews were to Hitler, the between the Northern and the Southern phisticated students feel that the political English to Mussolini, the Americans are to Hemispheres (most Third World nations are will of a nation should be paramount and Third World ideologists. To disguise their in the latter) are not metaphysical and moral override all economic considerations. Gov­ own schemes, they are prepared to believe but economic and therefore capable of defini­ ernments must deal with economic realities, in a conspiracy of evil. Sadat, who has shown tion and solution. They are serious enough. and if these are explained to the politicians that he can reason when he needs to, once The relations between the financial center by the director of a foreign company, the wrote that it was the aim of the Western and the underdeveloped counltrles have often logic of "after, hence because" leads to the nations to humlliate the East, to thwart its been exploitative, and nearly always asym­ conclusion that it ts the foreign character aspirations to keep it undeveloped, and to metrical. Debauched governments have con­ of the influence that stands in the way of suppress progress. This at a time when U.S. tracted debts that are a burden to their suc­ political desire. The trend toward nationali­ and U.N. agents were swarming over the cessors; weak governments have been shored zation must be welcomed, therefore, not for Middle East in search of governments that up with "loans" that ought to have been rec­ any ethical reason but because it will permit would accept development programs. ognized frankly as political subsidies. Public the nationalists to face their real problems. Another version of the same myth, as old utilities, railroads, and manufacturing estab­ In the West nationalization is resisted as romantic literature, holds that the West lishments have been bunt with foreign cap­ mostly for ideological reasons. We must learn never had any real culture but built one by ital, and the dividends on these investments to look at it as a form of bankruptcy. sucking the blood of colonized nations, and stlll leave the country even though the orig­ RICH REVOLUTIONARIES in the process destroyed the web of ancient inal cost may have been paid back many It has long been recognized that foreign village society. This charge is of some im­ times over. Latin America ls now receiving aid-with the awkwardness of giving it and portance because on it is based the call for less capital from abroad than it ts sending the hum111atlon of receiving it--could be "reparations," preferential tariffs, and spe­ back as interest and dividends. This ls an almost superfiuous (except in emergencies cial endowments. unhealthy situation which must lead to in­ and special situations of hardship) if con­ It is certainly true that modern manufac­ fiatlon and bankruptcy. And aid, it is charged, sumers in the advanced countries were to ture ruined the older cottage industries and has often developed fac111ties to suit the giver pay more for theil" coffee and other baste that craftsmen had to find employment in ralther than the recipient. commodities. We remember the days when the factories. As Marx so eloquently de­ Radical spokesmen of the Third World re­ Roosevelt fought the Depression by ra.ising scribed it, the advent of capitalism put the ject foreign aid altogether because they feel farm prices, dumping wheat into the ocean, weavers, potters, and candlestick makers out that it corrupts their governments, and pre­ and plowing little pigs under the soil. After of business. This clearly was true in Europe vents the people from developing a sense of World War II, international cartels con­ then. But Marx was mistaken in one little self-reliance. The radicals also dislike foreign trolled the markets in wheat, coffee, and detail about Asia: he believed that capital­ aid for reasons of domestic politics: the dis­ cocoa. The sugar quota, too, ts a form of ism would revolutionize Asiatic society, dis­ tribution of aid is a political plum; it offers cartel; the acreage of cotton and tobacco ts solve the old feudalism, and free the people opportunities for graft, nepotism, get-rich rigorously controlled. A copper cartel func­ from their oppressive religion. None of this schemes; it helps the incumbent government tions from time to time, and two bloody dic­ happened, and the reason it did not happen by creating jobs, and it may create a middle tators, Mussolini and Franco, had a monopoly in India explains her present plight. . class that intends to enjoy the fruits of in­ of mercury. On the face of it, there is noth­ Even Nehru admitted that the Mogul em­ dependence rather than to waste them on ing especially revolutionary about raising pire was in decline when the English arrived. harebrained crusades. If people are satisfied and fixing prices. The society labored under a rigid caste struc­ with their incomes, where then is the revolu­ The circumstances of the oll price rise­ ture, a;n.d a vicious system of land tenure, tion? What happens to virtue? its defiant announcement in the wake of the tax farmers, and feudal overlords under­ BUit it is clear that governments that really embargo, the swiftness and steepness of the mined its prosperity. Britain was able to desire a better life for their nations must rise, the almost hysterical reaction of the plunder it only because exploitation had come to some kind of accommodation with consumers--have given this action a tlavor been habitual, and 50,000 Britons were able the West; they need capital and technologi­ of rebell1on. From the point of view of the to rule 50 million Indiains because the Moguls cal assistance. Thus the revolutionary gen­ Arab governments, it undercuts the dema­ and other conquerors had ruled and robbed erals of Peru and Bolivia first exproprlated gogery of the radicals. It looks dynamic, it ts India before. Likewise, the Inca and A~c foreign corporaltions, then put advertise­ anti-Western, and it seems to be a political empires were rotten when the Spaniards ments in the Wall Street press to invite new act. 011, customarily regarded as dirty and

1966 1967 1968 1969 1970 1971 1972 1973

U.S.S.R _____ ------500 675 415 175 90 165 375 175 PRC ______110 155 115 140 100 115 230 115 Total ------610 830 530 315 190 280 605 290 United States direct military ______------_ 5, 419 17, 262 19, 065 19, 912 15, 941 9, 925 5, 243 2, 995 MASF _____ ------393 l, 155 947 1, 632 1, 432 1, 527 l, 985 2, 271

Total 2 _____ ----_ ---__ ------~------5, 812 18, 417 20, 012 21, 544 17, 373 11, 452 7, 228 5, 266

1 Totals for the U.S.S.R. and PRC supplied by Defense Intelligence Agency. Represent total 2 United States costs for Southeast Asia from DOD. All figures represent outlays. military aid to North Vietnam. Virtually all Russian and Chinese military aid to Indochina was channeled through North Vietnam.

NEW POWERPLANTS VERSUS THE for the defense of our harbour," providing about the gradual elimination of public own­ ENERGY CRISIS that the property should revert to the city ership of this area, with the result being, whenever it should cease to be used for de­ the last remaining shore with public access fense purposes. on this east side of Fort Avenue is Winter In 1867 the War Department "turned over Island. HON. MICHAEL HARRINGTON (not ceded) to the city "for public use" When New England Power was negotiating OF MASSACHUSETTS that part of the island not occupied by the with the mayor and council for a permit to IN THE HOUSE OF REPRESENTATIVES fort, until it should be wanted for defense. build their gigantic "tinker-toy like" towers In 1869 the city conveyed its interest in to carry the high tension wires across the Monday, June 3, 1974 the island, subject to the War Department's main artery to the Willows, in close proxim­ Mr. HARRINGTON. Mr. Speaker, the restrictions, to the Plummer School. ity to the private homes, and over through In 1922 an Act of Congress transferred by ColUns Cove, the citizens of Ward One pro­ energy crisis triggered new interest in quitclaim deed the 32 acres, comprising the tested. Oh, yes, we were granted a hearing, building powerplants to generate the Fort Pickering reservation and the land oc­ but we learned by this experience not to electricity needed to light and heat our cupied by the Plummer Farm School, to be place too much confidence in these hearings. homes and run our businesses and in­ used for a park or other public uses. Often, as in this instance, they turn out to dustries. December 28, 1928, Salem's Park Depart­ be "on-the-face" gesture of courtesy. The res­ Building new powerplants, however, is ment took formal possession of the island idents of Ward One attended, two or more always opposed by those in the area of and planted some trees. hundred strong. But, before the close of the Although this parcel of land, with its hearing, to many, it was a foregone conclu­ the p:roposed construction who feel they shore and water rights may be under the sion just what the outcome of that session do not have any power to stop such con­ jurisdiction of the Park Department, it 1S would be. Big business won out, because, we struction. Residents of potential power­ assumed that it still remans the property of later learned on reliable authority, the ma­ plant areas often point out the side ef­ the City of Salem, and not of any separaite jority of the members of the council had fects of powerplant construction and commission. reached a decision beforehand. urge us to find ways to build plants with­ It is my firm conviction that this area I distinctly remember two questions that I out compromising local environmental, should not be disposed of by sale, lease, or directed from the floor to the representative aesthetic, or historical values. gift, permanent or temporary, without the of the company. The first: "Is it not possible common consent of the majority of the tor these Wires to be carrled underground As the New England Power Co. begins citizens. over to Collins Cove?" The reply was, "Oh, to solidify its plans for the Salem, Mass. My family moved to the Juniper Point yes, but it would cost an additional $750,000, area, local residents are eloquently fear­ section of Salem Willows in 1915. I have and that is out of the question." ful of the unattractive aspects of power­ owned and occupied my present home in this My second query was more pointed and plant construction. same area since 1920. Also, since 1920, I have, personal: "How would you like to have these One such resident is A. N. Chagnon, either personally, or by absentee right, cast towers and wires go along beside your own and I would like to bring to the Congress my ballot 1'n each and every election. · home and across your avenue?" He said, Because of this long record of residence, I "Well, er, ah, I'll have to ad·mit I wouldn't attention his letter to the editor of the believe I am qualified to enter into discus­ like it." The Wires went up as originally Salem Evening News: sion of this present controversy, or any other planned. LET ALL THE PEOPLE DECIDE THE FATE OF question of public concern that may arise in The next objectionable move by New Eng­ WINTER ISLAND Precinct One of Ward One. May I here em­ land Power is in the offing-this one the most To the Editor: phasize the fact that Winter Island does not alarming of all: the leasing of Winter Island. In the April 3 ed1'tion of The Salem Eve­ belong solely to Ward One, it is the property It has been my conviction for many years ning News I learned that the proposed matter of all the wards, one through seven, and is, that 1f any issue arises, which shall concern of the leasing of certain areas of Winter therefore, their responsibility, as is all other the city at large, there should be hearings Island to the New England Power Company publicly owned property, and as such, held in each and every ward, with the people had developed to the point of arranging a should be of serious and sincere concern. well informed on the problem which is up for public hearing in the next few weeks. I do not believe that the city omcials, cons1deration, prior to the session. Salem Since we may not be back at home in elected or appointed, no matter how legiti­ does not have an auditorium or hall of suffi­ Salem in time to attend this contemplated mate or broad the scope of their power of cient size to allow for an "en masse" hearing; meeting, I shall sincerely appreciate the office, should have the right to contract for furthermore, the time element would not privilege of expressing my views on this very the disposition of lands or property, such as permit all those who might wish to be heard controversial issue through the medium of in this present situation, without the con­ to present their pros and cons. I:f such prob_ this column. sent of the people. But, I do believe that it lems are of major importance, particularly Having had no legal training, I shall re­ is their moral obligation to make certain the disposal of public property, as in this pre­ frain from considering this question from that the entire population shall be given any sent case, it should be placed upon the ballot. that angle, but rather look at it from the a.nd all information relative to such transac­ Let the people decide! Let the will of the viewpoint of a taxpaying citizen who is sin­ tions as above mentioned. people preva.n ! cerely interested in the welfare of the city In 1915 the shore line on Fort Avenue was Winter Island and 1'ts shores are an inherit­ at large. I do, however, venture to state open from the end of Derby St., at the junc­ ance from our forebears, to be passed on to that, according to certain recorded docu­ tion of Block House Sq., to the far end of our children, and the children's chfldren, for ments, this particular area, as a whole, Cat Cove, and over Winter Island Rd. to the generations to come. It is our bounden duty namely Winter Island, belongs to the city island itself. The only buildLngs on the fort to protect, preserve and defend the rightful of Salem, not to Ward One, nor to the execu­ area of the island were the Plummer Farm claim to this area. tive or legislative branches of our city. School, the lightkeeper's house, and the This is not the time nor the place for plati­ Therefore it ls rightfully owned by the peo­ lighthouse. tudes, maxi1mums, or charming rhetoric, even ple. The records to which I refer are as The first invasion of this picturesque, if I were capable of rendering, but I am re­ follows: natural shoreline was the erection of the oil minded of an undeniable truth which can be In 1794 the fort on Winter Island was tanks. Next came the plant of New England learned from a fable Which I was taught in ceded to the United States. Power. Then the takeover by Essex County early school days. Do you remember the story In 1884 so much of the island as remained tor the sewage pumping station. And, ftnally, ot the camel that poked his nose into the to the city was ceded by it to the government the transfer of the Smith Pool to the Com­ tent, assuring h1s master that he only wanted "for the purpose of locating further works monwealth of Massachusetts. Thus has come to warm it? Then, little by little, he wangled June 3, 1974 EXTENSIONS OF REMARKS 17393 his way farther in, until finally there was not complete and inviolate. May we, the people, it, and year after year he saw that it was sufftcient room for both him and his master, continue to hold the gavel of authority, and accomplished. This Committee respected and the latter had to move out. New England never let it be wielded by a select and privi· very highly all of his representations and his Power may well be looked upon as a giant leged few. fine presentations that he helped you plan camel that bit by bit, keeps moving into ad­ A. N. CHAGNON. and present. jacent area until, it is possible, and not im­ Bruce was a newspaper man when he was probable, may in the not too distant future, young. And then he worked for the Missis­ take over Winter Island in its entirely, and THE LATE BRUCE TUCKER sippi River Commission. The Army Engineers even encroach upon Juniper Point, should trained him in tlood control work, and as they so desire. usual they did a good job. He was here on There is no absolute assurance that this HON. GILLIS W. LONG Capitol Hill, as Assistant to the Louisiana proposed lease, if given, cannot or will not OF LOUISIANA Senator when I came here as a new Senator. terminate in final and complete ownership The Senator he was with passed away within of the island and the shore and water rights IN THE HOUSE OF REPRESENTATIVES a few months, and Bruce would have-I do by this company. Monday, June 3, 1974 not know how many know this-he would In such case there would be no reclama­ have become my Assistant. I just did not tion, if it should pass out of the city's con­ Mr. LONG of Louisiana. Mr. Speaker, know that he would be interested until the trol. Is this what we, the people, really want? many of us in this Chamber were friends day after I had already selected someone else. other cities and towns value their shorefront or were acquainted through congres­ He was really a great man, with high property, and to a far greater extent than sional business with the late Bruce standards Siild strength of character. He did Salem, have preserved them. A very good ex­ Tucker, a man whose life work was one you a fine service, and his Nation an extraor­ ample is Marblehead, and the North Shore. of service. dinarily fine service, and blazed a path that I recently read in the Evening news that we can all well follow. I know how those of New England Power now finds it necessary to Bruce Tucker was one of the true ex­ you who knew him personally feel. Many postpone construction of this addition for a perts in the field of flood control, and he have already paid tribute to him at a time year or so. If this is true, there's plenty of used this knowledge to help bring count­ when I could not be here, but I am glad to time for the citizens to be properly notified less benefits to the citizens of the lower have a chance to say something about him of all the angles of this considered transac­ part of the Mississippi River. Mr. Tucker here in the public record. tion. Let the majority of the people decide, worked for a number of years as ad­ Bruce was blessed with a fine family. His and not exclusively the mayor and the ministrative assistant to the Honorable wonderful wife Emily helped him very greatly council. RUSSELL B. LONG, of Louisiana, before over the yea.rs, and is admired and respected Heritage is a popular topic these days, and by all. He has a son, Earl Bruce, Jr., and a will be for many weeks to come. Great plans becoming executive vice president of the daughter, Beth, and I know they are proud are being made for the commemoration of Lower Mississippi Valley Flood Control of what Bruce accomplished. this historic event. What is the true signif­ Association, a PQ5ition he also held for I do not know of anyone on Capitol H111 icance of this word Heritage? It is many many years. that I have been more favorably impressed things to many people. To some it is Chest­ Bruce played a most vital role in count­ with than Bruce Tucker. I mourn his passing, nut St., with its reflection of early grandeur less flood control and navigation proj­ and I honor and cherish his memory. and substantial evidence of opulence in the ects. The legacies of his life's work in the homes containing art and architecture, development of our water resources will worthy indeed of preservation. Also, there is Washington Sq., and a few other scattered truly be with us for many years to come. points on Federal St. Not to be forgotten a.re I speak here today for many who share WHO'S BACKING THE DISARMA­ those of historical interest such as the Cus­ with me the good fortune of having been MENT LOBBY? tom House, House of Seven. Gables, Witch friends with this fine man who passed House, Peabody Museum, and Essex Institute, away last year. with others of equal importance and value. The Honorable JOHN c. STENNIS, the HON. JOHN B. CONLAN These have been jealously guarded and spared distinguished Senator from the State of the influence of ultra-modern renovation. Mississippi, recently paid tribute to Mr. OF ARIZONA This is right and proper, and, for the same Tucker in words that ten full wen of the IN THE HOUSE OF REPRESENTATIVES we are most grateful. But the passing on of Monday, June 3, 1974 the original owners and their heirs have in works and deeds of this man. many cases, changed the status of many of Senator STENNIS, who is as keen a Mr. CONLAN. Mr. Speaker, our recent these mansions; and too elastic zoning ordi­ judge of men as he is of legislative mat­ refusal in the House to slash spending nances have permitted the encroachment of ters, knew Mr. Tucker both on a friend­ necessary to continue development of es­ business, small and large, which has many ship and business basis, giving his words sential new strategic weapons was a times erased the last semblance of any pris­ of praise to Mr. Tucker both foundation gratifying rebuff to well-financed, well­ tine elegance. and impetus. These historic buildings could be wiped orchestrated, well-publicized disarma­ out by fire, and the inroads of time and the I feel that it is entirely appropriate ment lobbyists who waged an all-out at­ elements. Therefore, this, as a heritage, can­ that I read to you at this time the state­ tack on U.S. defense improvement. not be passed on with any degree of assured ment made by Senator STENNIS before Several far left groups, including one permanence, materially, nor guarantee of the Public Works Subcommittee of the calling itself the Project on Budget Pri­ perpetual ownership. Our real heritage is Senate Appropriations Committee: orities and located at 1620 I Street here something of imperishable quality-a pride of achievement, the building or a town, and Thank you very much for being here. Be· in Washington, issued one propaganda finally a city. This in itself is tangible proof fore you gentlemen leave, I just want to say volley after another in their attempts to of the indomitable spirit of the earliest fore­ a few words about the late Bruce Tucker. scuttle the B-1 strategic bomber, the Tri­ bears, who loved these shores and, casting This is the first full meeting of this kind, a dent missile-firing submarine, and pro­ hearing on the lower Mississippi Valley, that their lots here, working together brought I have been able to attend since Bruce passed posed research to improve accuracy of forth a community worthy of preservation away, and I just want something in the of­ our strategic ballistic missiles. and bequeathal to their progeny. ficial records here of the way I felt about But our 358-to-37 vote for the weap­ Most important in the tangible sense of this fine man. He was a long-time Executive ons bill, sent to the Senate with those this inheritance were Salem's fine harbor and Vice-President of the Lower Mississippi Val­ programs intact, adequately testifies to coves and shoreline, all accessible to the pub­ ley Flood Control Mlsociation. He did the lic. Beautiful to look upon, and a priceless the importance given those programs by God-given marine asset. Today, the greater same splended job for your Association that the American people. Especially at a he did here on Capitol Hill for a number of time when the Soviet Union has sur­ part of this shoreline has been lost through years. As you know, he was a fine Christian the ownership of private industry, and public gentleman. His word was his bond. This is passed the United States in almost ev­ access and enjoyment prohibited. Who is re­ an old saying, but it expresses a lot. And we ery category of military hardware. sponsible, and why? This is a pertinent ques­ want to bring that more back into promi­ Despite that overwhelming vote, the tion for all to ponder. nence and meaning. His word was his bond. disarmament lobby is still hard at work One hundred years ago, a truly great man, He was greatly dedicated, I know, to the to derail the defense bill in the Senate. in heartfelt anguish, with gentle admonish· Lower Mississippi Valley and the tributaries, Some may wonder who is behind this un­ ment spoke these words: and problems that you ha.cl. It was his func­ "That this nation, under God, and shall relenting campaign. A recent editorial in tion, on behalf of the Levee Districts and the the Arizona Republic, the largest state­ have a new birth of freedom, and that gov­ many concerned citizens of the Valley, to co­ ernment of the people, by the people, for the ordinate the eiforts of those who were dedi­ wide daily newspaper in my State, poign­ people, shall not perish from the earth." cated to improved flood protection in the antly addressed that point. It was writ­ Let us, one and all, accept our individual area. He did a magnificent job of this, and ten by Pat Murphy, the Republic's edi­ responsib111ty for the preservation of our the whole region 1s deeply indebted to him. torial pages editor, and I would like to heritage and keep this one, and all others, He knew what had to be done, and how to do share it with all my colleagues: 17394 EXTENSIONS OF REMARKS June 3, 1974 [From the Arizona Republic, May 20, 1974) In the John Kennedy election campaign, thought out decision-making in order to Ya.rmol1nsky served as an advisor, principally handle problems similar to those experienced MAN BEHIND ARMS CUT in recruiting top members of the President's by large cities in past years. As you know, Except in submarines and aircraft carriers, new administration, among them Robert many of the programs that we are ut111zing Soviet Russia has surpassed the United McNamara and George Ball, in whose law today, with all of the constraints they States in every category of military hard­ firm Yarmolinsky worked and who later was operate under, evolved out of the nation's ware. to become undersecretary of State. concerns with center city problems only It has more men under arms, more nu­ Yarmolinsky wrote a pa.per debunking after citizen reaction became so intense and clear warheads, more missiles, more new concern for domestic subversion as "popu­ dramatic that it received the public's atten­ long-range bombers, more new interceptor lar hysteria," and appears to have influenced tion. This, of course, resulted in the myriad aircraft, more anti-ballistic Inissile de­ President Kennedy on March 17, 1961, to Federal programs that we operate with today, fenses. Its submarine and carrier production lift a government ban on Communist prop­ allowing little or no fiexlbil1ty to meet soon will equal and surpass the U.S.'s in­ aganda entering the United States. changing requirements at the local level. ventory. With the Ya.rmolinsky credentials thus I, therefore, would hope that your standing The Soviets also have completed agree­ at hand, members of the Congress who may comini~tee on urban affairs, if created, would ments for nine new naval and aviation be tempted to wildly chop defense spending become a vehicle wherein the interrelation­ bases in Africa, the Mideast and India. to should pa.use and consider motives of gadfly ships between center cities and their subur­ extend its control of vital Indian Ocean panels gearedi temperamenta.Uy against a ban partners may realistically be addressed. sea. lanes. strong In111tary. It is my deep concern that the problems of And Russia. refuses. in current arms limi­ Demonstrably, Soviet Russia ls in the cat­ inner cities might become so para.mount be­ bird's mllita.ry seat right now, with the U.S. fore proper attention is paid to try to solve tations talks, to curtail arms production. struggling to play catchup ball. the problem that the relationship between Yet, a new organized effort was launched. Heeding the Ya.rmollnsky-type arguments center city problems, suburban, and yes, even last week in Washington to a.rm-twist the can only widen America's inferior position. rural problems pales by compa.riimn. congress into further stripping the Penta­ I wholeheartedly support any effort which gon's budget (29 per cent of the total fiscal wlll bring about realistic Congressional com­ 1975 budget). mittee reform in order that Congress may A group calling itself the Project on MORE SUPPORT FROM NATION'S adjust its work to the realities of the times Budget Priorities faced the elite of the Wash­ and agree that any additional committee ington press corps and solemnly said $11 MAYORS FOR AN URBAN AFFAIRS must not avoid dealing with the specific and billion (12 per cent) can be cut from the COMMITTEE most pressin.g problems of our urban areas. budget, including a carrier for the sensitive I would like to take this opportunity to Indian Ocean sector, the new Trident sub­ thank you for informing me a.bout your pro­ marine and B-1 bomber and whole programs HON. HERMAN BADILLO posed amendment. I wish you every success involving new weaponry and strategic de­ OJ' NEW YOBX in this endeavor and petition you to do all fense. IN THE HOUSE OF REPRESENTATIVES you can to expeditiously pass a Better Com­ What the Washington press corps failed munities Act. to ask itself is, who are these apostles of Monday, June 3, 1974 Sincerely yours. military economy? Mr. BADILLO. Mr. Speaker, on May 21 W. H. MCNICHOLS, Jr., In point of fact, most of the Project on I inserted in the RECORD copies of letters Mayor. Budget Priorities panel were advisors of Sen. from the mayors of Omaha, Honolulu, George McGovern in his presidential bid, St. Paul, Rochester, and Norfolk sup­ OF LAKES, and-or cross-pollinated workers in chic dis­ CrrY armament associations with a long history of porting my proposal to establish a stand­ Minneapolis, May 21, 1974. ing Committee on Urban Affairs in the Hon. HERMAN BADILLO, naivete in the field of Soviet military intelli­ Congress of the United States, House of Rep­ gence. House through an amendment to the committee reform bill. resentatives, Washington, D.C. The most interesting figure on the 21- DEAR CONGRESSMAN BADILLO: Thank you member panel which produced the proposed I am pleaced with the growing una­ for the letter explaining your proposal to $11 billion Pentagon budget cut is Adam nimity among mayors from around the establish a standing committee on urban Yarmolinsky, former deputy assistant sec­ United States as to the need for such affairs in the U.S. House of Representatives. retary of defense for international security a committee and its justification in a We in Minneapolis a.re painfully aware of under President John Kennedy. He was, in Congress legislating the affairs of a the failure of the federal government to pro­ truth, the Pentagon's No. 2 man. nation whose population is nearly 70 vide essential a.1d to the cities, especially dur­ Washington insiders called Yarmolinsky percent urban. The latest letters of en­ ing the past few years. We're thankful for the "Uncrowned King of the Pentagon" dorsement from the mayors of Minneap­ Congressmen like you and our own Don whose powers were enormous, and whose rec­ olis, Denver, Hialeah, Louisville, Miami, Fraser who work tirelessly to force Congress ord was unbelievable. and the Administration to come to grips with A former State Department security oftl­ and San Bernardino speak for them­ urban problems. Your proposal would seem cial and later New York Times foreign cor­ selves, and I include them here in full: to facilitate this process and I support it. respondent, Frank Kluckhohn, did a study CITY AND COUNTY OF DENVER, Sincerely, of Yarmolinsky, and found that: Denver, Colo., May 20, 1974. ALBERT J. HOFSTEI>E, The late FBI director J. Edgar Hoover sent Hon. HERMAN BADILLO, Mayor of Minneapolis. directly to President Kennedy a warning U.S. House of Representatives, Cannon that Yarmolinsky was a security risk, a House Office Building, Washington, D.C. warning that was shunted aside by Kennedy DEAR CONGRESSMAN BADILLO: I have re­ CrrY ol' HIALEAH, advisors who had been intimate political ceived your letter of May 6 wherein you Hialeah, Fla., May 28, 1974. workers with Yarmolinsky. advise me of your intention to propose the Hon. HERMAN BADILLO, Yarmolinsky's parents Avrahm Yarmo­ establishment of a standing cominittee on House of Representatives, Cannon House Of­ linsky and Babette Deuts'ch, were repeatedly urban affairs in the U.S. House of Repre­ fice Building, Washtngton, D.C. cited by congressional and other security sentatives. DEAR MR. REPRESENTATIVE: I am taking the groups as workers for Communist front or­ My great concern as Mayor of one of the liberty of answering your letter to the late ganizations from the early 1980s until the nation's large center cities ls that the Con­ Henry Milander as the new Mayor of Hialeah. early 1960s. gress of the United States realize this nation Please accept my endorsement of your pro­ His parents also published numerous pro­ must realistically address the issues of center posal to establish a Standing Committee on Soviet works through International Pub­ city decay and demographic change which Urban Affairs in the United States House of lishers in New York City, identified by the has been the result of uncoordinated Federal Representatives. House Committee on Un-American Activities categorical program funding. As the Mayor Your grasp of urban problems is hearten­ as "the official publishing house of the Com­ of Denver, I have looked forward with great ing. Please be assured of our cooperation. munist Party." hope to the passage of some form of block Should you be successful in your endeavors, Yarmolinsky himself was hes.d of the Marx­ grant special revenue sharing which ad­ I do hope that the Cominittee will be cogni­ ist Club at Harvard. dresses the real problems of the cities of this zant and cooperative in meeting the prob­ In the 1930s, Yramolinsky worked for nation. lems of not only the large municlpallties but Spanish War Relief, an organization which As a political realist I am well aware that also the medium-sized ones such as Hialeah. was formed by the Young Communist League the attention I feel is necessary to center By copy of this letter I am asking for the to aid Communist revolutionaries. city problems by the Congress of the United support of Hialeah's two Congressional Rep­ In the 1950s, Yarmolinsky was head of the States may be a very distasteful responsi­ resentatives, Claude Pepper and William Fund for the Republic, recognized as one bllity. However, I do feel that 1f we are to Lehman. of the principal groups attempting to abolish experience much more in the way of delay Sincerely, an federal internal security agencies. we wm a.gain face sudden and not too w~ll DALE G. BENNET!', Mayor. June 3, 1974 EXTENSIONS OF REMARKS 17395

LOUISVILLE, KY., May 29, 1974. in recognition of the unquestionable value min were often exposed, all to the good of Hon. HERMAN BADILLO, of a free press to a democratic society. At the society (one hopes), much as the Ku Klux U.S. House of Representatives, Gannon Build­ outset it was not a part of the original body Klan and Vigilantes thought they were doing ing, Washington, D.a. of the Constitution but it was made a part when in their mind law enforcement failed. DEAR REPRESENTATIVE BADILLO: I am writ­ of the First Amendment. The main Constitu­ The social order came to owe much to the ing to express my support of your proposal to tion dealt in detail with the powers of the "free" press, a phenomenon that the late establish a standing committee on Urban three branches of our government and the President Truman averred he had never en­ Affairs in the U.S. House of Representatives relations between the Federal government countered. by offering an amendment to the Bolling and the States, and with foreign powers. Unfortunately when monopoly reaches its Committee reform bill. Great care was exercised in spel11ng out powerful hand into almost any premises the I believe that the existence of such a cen­ the powers of the three branches of our gov­ scene changes. Reason ls not then left free tralized committee with jurisdiction over ernment as well as the restraints placed on to combat error, except at the pleasure of urban development, housing, environmental them. This care, it should be noted, provides the media. A monopoly in the hands of the protection and similar :ma.tters would be most evidence of the great concern of our Consti­ Klan or the Vigilantes would hardly be re­ helpful and beneficial to urban officials such tution-makers over the abuse of power. The ·garded with equanimity by people jealous as myself. separation of powers, whereby each branch of self-government. I have written to Representative Ron Maz­ would act as a restrainer on the other Oh, there are benevolent monopolists in zoU of Kentucky to express my support for branches was established. Those restraints, the form of editors, publishers and broad­ your proposal. Good luck and best wishes. in the end, came to rest on the electorate casters, just as there have been benevolent Sincerely, because of the limited terms of power ex­ monarchs and even dictators; but bene­ HARVEY I. SLOANE, tended to the elected officials. volence in monopolists cannot be had on Mayor of Louisville. Because the press in those days bad lim­ order nor assured of arrival on the scene when ited circulation and a short radius of ex­ it is needed nor brought back when n is set CITY OF MIAMI, tension no efforts were made to set forth aside. The same may be said of benevolence and define the function of what was the in newspaper editors. In any contest on the Miami, Fla., May 29, 1974. Hon. HERMAN BADILLO, principal instrument of communication. subject it ls worth reflecting, the press easily Member of Congress, House of Representa­ The day of the high-speed press and the has the last word. printing of hundreds of thousands and even A publisher or editor usually appears on tives, Washington, D.a. the mundane scene uninvited. He develops DEAR CONGRESSMAN BADILLO: This wlll ac­ millions of copies of newspapers and maga­ knowledge receipt of your May 6 letter and zines, was not foreseen clearly enough to his business just as a bicycle manufacturer its attachment concerning your proposal to permit the writing of rules that might later or a peanut vendor. He may or may not pros­ establish a standing Committee on Urban become as necessary as those relating to the per. The risks a.re his own. He remains rela­ Affairs in the U.S. House of Representatives. government itself. tively unknown in many instances, unob­ I agree wholeheartedly with your state­ Times do change and technology brings trusively behind the scene until one day, ments and you may count on my support. new considerations to bear on new and un­ should it so turn out by chance or by con­ Sincerely, tested instruments of power. The press, later trivance, he engages in a campaign (Le., takes joined by the electronic media did grow and the apple from the tempting hand of Eve) MAURICE A. FERRE, Mayor. become instruments of great power. The and then engages in another and yet another phenomenon is worthy of both serious in­ campaign until he becomes addicted. Very CITY OP SAN BERNARDINO, quiry and the utmost concern. It is not likely he hits the jackpot in the form of San Bernardino, Gali/., May 30, 1974. something wholly new except in its present excited public attention. He may surface, and Re Standing Committee on Urban Affairs. surely sees to it, if he has good business Hon. HERMAN BADILLO, titanic dimensions. From a force that was closely confined sense, that he does surface on the side of the Member of Congress, Gannon Building, angels even though the path to hypocrisy Washington, D.a. and local or at best provincial, it may be asked, how could the press, considering its may lie that way. In time, sometimes nearly DEAR CONGRESSMAN BADILLO: I wish to com­ beginnings and its seemingly innocent di­ a life span, he becomes a community force mend you for your efforts in trying to es­ mensions come to possess itself of the in­ and has ample opportunity to savor his new tablish a standL11g Committee on Urban Af­ fluence and power it now exercises? It could power-and it feels good. He is now a duke fairs. This demonstrates a high degree of with equal wonder be asked, how did the or a prince in his own right even though sensitivity to the major problems facing our never elected or exposed to an electorate, nation. monarchs of history achieve their power ini­ tially? There seems to be no better ex­ and not removable from his post. He can in Please feel free to call on me for any sup:. planation than the fact of it, which was that fact establish a dynasty without fear of port I might render. they simply seized the opportunity of exer­ eviction from the outside. He is sought Very truly yours, cising power because the opening was there eagerly enough, for he disposes of that highly w. R. "BOB" HOLCOMB, Mayor. for anyone who by design and shrewdness prized and feared commodity, power-power, and strength and possibly by the urgings moreover, quite silently to make or break, be of some who would in turn benefit by the it persons, movements or causes. He has be­ assumption, somehow knew just how to come a fixture and whom he presumes to THE ROLE OF NEWS MEDIA IN move in and bring off the coup. The way serve as a watchdog while also presiding over OPERATION OF GOVERNMENTAL for the press in this country, as we haved them as something of a tutor in civic moral­ AFFAIRS noted, had been clearly opened by the "no ity and arbiter in almost everything. He need trespass" sign against interference, posted no longer in fact bother to stay on the side by the Constitution. In time the kings in­ of the angels at all times. HON. 0. C. FISHER voked divine right as their source of power. Possibly it does not occur to the editor or Yet no one had proclaimed at any time publisher that when he campaigns he is in OF TEXAS that henceforth kings would govern by di­ that unholy condition known as a conflict of IN THE HOUSE OF REPRESENTATIVES vine right. It was simply a power play. The interest: for how can he fill the demands of a campaign, and drive toward the victory it Monday, June 3, 1974 press has copied the kings by simply mov­ ing into an opening and setting up shop, calls for, and at the same time avoid the Mr. FISHER. Mr. Speaker, 0. R. backed only by a business license. Then our biased reporting that makes him a bad jour­ Strackbein, a renowned authority on Constitution came along and granted the nalist? The campaigner ls inevitably dedi­ press a privilege extended to no other ele­ cated to one side of an issue. If he is to be news media, has written a second paper consistently and conscientiously fair he loses on that subject. It 1s well-worth reading, ment of society, understandably overlook­ ing the principle of eternal vigilance that his effectiveness as a campaigner. If he does and is included as a part of my remarks: was its guide in shaping the framework of wish .to win he ls drawn by the strongest PRESS CAMPAIGNS government. motivation to compromise Journalistic prin­ (By O. R. Strackbein) Thus the press escaped the harness de­ ciples. The temptation to conceal his bias In a prior paper this writer reviewed the signed, for reasons already noted, for our waxes. innocent character of the press at the time · government. If newspapers went wild or be­ He has critical writers at his command who when our Constitution was written: the came too cantankerous they could always may be regarded as independent, but he does word "innocent" being used in the sense of be answered so long as "reason was left free not have to keep them forever or promote relative harmlessness regardless of possible to combat error"; but to be left to do some­ them, and they know it. They will be able malice or intent to injure or to promote. thing Without possessions of the means is to deliver thrusts of rhetoric of their own, This innocence was considered in the first a hollow freedom. be the blade dipped in venom or in the milk half of this paper as explaining the negative In time newspapers became accepted a.s a of human kindness. The campaigning col­ character of the First Amendment so far as species of catharsis, and sometimes helped umnist or even the newswriter may himself it relates to the press. Congress was simply good people root out rascals and other un­ become a. Caesar or is so tempted and some­ enjoined to pass no law abridging the free­ desirables, as the community mores dictated. times finds himself poorly resistant. Know­ dom of the press. The provision was adopted. Charlatans, crooks, frauds and similar ver- ingly or not he may become a species of alter 17396 EXTENSIONS OF REMARKS June 3, 1974 ego of bis employer, but simultaneously the first place-when man is thus liberated lateral diplomacy increasingly cuts across the prizes bis presumed independence as a holy and freed of inhibition he is capable (do not interests of many domestic departments. The icon; a.nd, by heavens, be believes himself doubt it) as it was done in San Francisco effort to resolve foreign policy conflicts be­ and 1n himself. and elsewhere, of elbowing helpless Chinese tween agencies has led dur.ing the past dec­ As an embattled columnist he is not unlike pedestrians on the sidewalks out of his way, ade to excessive concentration of power in the unchained fierce watchdog 1n a well­ putting convicts in chain gangs (and not the White House. The new practice of having fenced enclosure. He can become specifically only on the Gulag Archipelago) , abusing cabinet officers like the Secretary of State obnoxious, snarling and abominably blood­ subordinates by flaunting in their faces and Secretary of the Treasury double as thirsty, well knowing that no one can reach overt evidence of exquisite contempt of their assistants to the President, with responsibil­ him. From this sanctuary he can tear the ob­ feeling and engaging in transparent hypoc­ ity for directing policy in certain areas, of­ jects of bis disaffection to shreds in quiver­ risies as proof of invincible upperhandman­ fers a new opportunity to coordinate our ing and squirming effigy. These cannot i·ecip­ ship I The critic may thus indeed write as approach to different multilateral negotia­ rocate effectively because (1) they have no obtrusively and irresponsibly as the balance tions, achieve consistent solutions to struc­ newspaper appearing daily to carry their mes­ sheet of his employer's medium may sustain, tural problems, involve the necessary dis­ sage, and (2) he does, sometimes by the hun­ considering the formidable power of revenge ciplines and interest groups in the policy dreds. Moreover the critic has the First that resides in the protected press. process, and exploit potential "trade-offs" be­ Amendment, as it is currently interpreted, It goes without saying that newspaper re­ tween different negotiating sectors. The to protect him, not to mention the hydra.­ porters, editors and commentators are gen­ mechanism of ~he National Security Council headed last word. Moreover, he is well versed erally quite professional in their attitude, (NSC) could be used more than it has been in the loopholes of the libel laws. and decent as men. The same may, however, to achieve these objectives. A part of the theory of such one-sided free­ Moreover, for many of the multilateral also be said of politicians and public offi­ negotiations discussed earlier, we could es­ dom seems to be that the ugly truths that cials. Nevertheless the framers of our Con­ people in a civilized society would never utter stitution well knowing this, did not deem it tablish an interagency task force as a sub­ to each other for the sake of decent and sufficient protection of the public against group of the NSC, with a supporting staff in neighborly regard, should be given currency the executive department most directly con­ the lapses into villainy, fraud, despotic be­ cerned with the subject matter. The model under a special dispensation to the press­ havior of men in power. They were too well a view that would have more merit if it par­ aware of the cargo of aboriginal sin carried could be the NSC interagency task force on took of real reciprocity. The answer of the under everyman's skin, this side of sainthood, the law of the sea and the new office estab­ press is that the protected watchdog is to be lured into a naive and helpless trust of lished in the State Department for the law needed, nasty as it is, because society is too human nature. Therefore they took the elab­ of the sea negotiations. It would also be use­ torpid to look out for itself, as if we did not ful for many of the ongoing negotiations to orate precautions we find in the Constitu­ appoint an outstanding professional from have the police and the courts for discovery tion. and punishment of misdemeanors and Since the press was left out of this field within the government or from private life to felonies. The excuse of the Klan and the of reciprocal restraints, our Constitution­ serve as Ambassador-at-Large to direct the Vigilantes was the same: the constituted au­ makers left to its own devices a force in U.S. negotiating team. Regular congressional thorities did not perform their duties. consultation and private-sector involvement human self-government the dimensions of through a working (not ceremonial) public Now that the media have grown to lusty which they could not foresee. proportions they are bent on elbowing their Now the press presumes to be something advisory group-as is now the case on the law way into precincts hitherto reserved to forces of the sea--could assure a more open and of an overseer of government in all its de­ democratic policy-making process. of government as provided in the Constitu­ partments. The debates over the powers of tion. They use their power of bombardment It is people, of course, not just boxes on government proposed in the Constitution organizational charts, that determine the to enshrine themselves both as tutelary dei­ were detailed and prolonged. The press re­ ties and as avenging angels over officialdom, effectiveness of a nation's policy process. Our ceived no comparable attention. In view of ambassadors to the United Nations and other leaving the citizen or voter on the sidelines the high office to which it now aspires and to suck his thumb. We might wonder what international agencies should be individuals seems intent on filling without popular rati­ with broad experience and deep substantive style of empire the Klan might have built fication, is it not time that the press be put knowledge; their staffs should consist of the had it enjoyed both the immunity of the through a comparable course of examination? best talent our country can make available, press and its unparalleled power of offensive Assume if you will, how a proposal to dis­ not only from the foreign service but from and defensive weaponry. Who could have mantle and eliminate the Constitutional pre­ the business, academic, professional and dislodged the Klan? cautions applied to government would be re­ scientific communities. We will know we are The protection extended under the First ceived by the public! Answer that question serious about our "world order business" Amendment opened the way to the expres­ and you wlll also have the key to the ques­ when we stop using positions in our mis­ sion of the most misanthropic tendencies, tion of press responsibillty. sions and delegations to international agen­ if they are present; and this liberation ap­ cies for political payoffs, and start applying· parently is regarded as a good. Giving rein to the same requirements of excellence here those tendencies occasionally might even be that we apply in negotiations with the Rus­ good for the news business. There is good THE HARD ROAD TO WORLD sians and Chinese. Another test of our seri­ reason then why the temptation to black­ ORDER-V ousness will be the extent to which we in­ mail or its threat might be weakly resisted clude in the very top structure of decision­ by those holding the power. This might also making-in the White House and the key ex­ explain why the elusive favor of potential ecutive departments-persons experienced in en/ants terribles should be sought as discreet HON. JONATHAN B. BINGHAM and committed to the multilateral approach. insurance or as a valuable asset in the strug­ OF NEW YORK Third, we need to put a new emphasis on gling world, by public men, candidates, IN THE HOUSE OF REPRESENTATIVES world order issues in our bilateral negotia­ prospective candidates, promoters of causes tions with former adversaries, nonaligned and large corporations. A more fertile soll Monday, June 3, 1974 nations, ar,id old allies. In particular, this for corruption is not readily to be found. Mr. BINGHAM. Mr. Speaker, in the would mean using our negotiating leverage Invitations to free help-yourself events, such to encourage the Russians and Chinese to as gourmet delights with generous outpour­ fifth and final part of Prof. Richard take a more affirmative position on such mat­ ings; trips, games and sundry other diver­ Gardner's analysis of the need for, and ters as the law of the sea, international pro­ sions and excursions can be turned to good the difficulties in the way of, achieving grams to curb population growth, U.N. peace­ account as seeds of reciprocal future favors. world cooperation, he makes several rec­ keeping and U.N. financing, and the reform Who needs a critic as an enemy, especially ommendations for U.S. policy that he of the decision-making and law-making proc­ when the latter is a newspaper? Who needs considers critical for the establishment esses along the lines mentioned earlier. This a newsman as an enemy when he could of a system of world cooperation. will be a difficult and long-term effort, but perhaps be cultivated as a friend-a friend there will be a growing number of people in The fifth part of Professor Gardner's both countries who understand the necessity of such immeasurable potentials? article from the April issue of Foreign The mayhem practiced by protected critics of tackling such issues in a cooperative and can be explained, aside from its commercial Affairs follows: non-dogmatic way; we could strengthen their THE HARD RoAD TO WORLD ORDER hand by the right kinds of initiatives. For value, perhaps by one or both of the two example, we have created a dozen U.S.­ human psychological tendencies or actuali­ v U.S.S.R. bilateral commissions as the result ties known as sadism and masochism. If the functional approach to world order of the summit meetings: we could use the When man is let loose in a fully protected is to have any kind of chance, there are some SALT Commission to explore the possibllities environment, having no need to fear reprisal obvious things the United States will need of mutual nonintervention by the super­ from any source, no reason to think that to do. powers in Third-World areas and of limiting he has anything to explain except to the One obvious and pressing need ls to take a the spread of nuclear and conventional boss, who perhaps likes what his hireling is hard look at the way the American govern­ arms; we could seek support for global health doing, having possibly set him on his course ment is organized to cope with the present and population programs in the bilateral and pointed him in the desired direction in sweep of multilateral negotiations. Multi- health commission; and we could press in June 3, 1974 EXTENSIONS OF REMARKS 17397 the environmental commission for Soviet co­ THE 1954 HYDROGEN BOMB TEST longer dangerously radioactive, it is still operation in global efforts to curb whaling, STILL TAKING DEVASTATING unsafe to eat coconut crabs from the north protect ocean fisheries,, and regulate land­ TOLL end of Rongelap. Dr. Conrad said that ap­ based sources of marine pollution. We could parently the crabs eat their shells, thus per­ place a similar priority on world order iSsues petuating a. relatively high level of such sub­ in our relations with the European countries stances as strontium 90. and Japan both bilaterally and in regional HON. BELLA S. ABZUG The latter is chemically enough like cal­ forums like NATO and OECD. And we could OF NEW YORK cium that it becomes incorporated into shell work harder to strike a "world order bargain" IN THE HOUSE OF REPRESENTATIVES or bone through the same biological process with the developing countries-showing more as calcium does. interest in their priorities in order to encour­ Monday, June 3, 1974 The thyroid surgery will be performed at age their support for ours. Ms. ABZUG. Mr. Speaker, the 1954 Cleveland Metropolitan Genera.I Hospital in Most important of all, we need a more hydrogen bomb test at Bikini atoll is still Ohio. Dr. Conrad said. A third case uncovered principled approach to the conduct of for­ taking its devasting toll 20 years later. by the screening program, a woman now 45 eign policy. Instead of citing the U.N. Char­ years old, who moved to the island after the ter and other sources of international law Today's New York Times carries a dis­ blast, will also be treated surgically. when it suits our short-term interest and turbing story by its well-known science The woman was pa.rt of a "control" group ignoring them when it does not, we would editor, Walter Sullivan, relating some of of islanders not exposed to the original fall­ recognize our long-term interest in strength­ the medical complications that have be­ out who therefore could serve as a basis for ening the norms and processes of a civilized fallen those residents of Rogilap Island estimating the effects of exposure. world community. We would make a greater who were 125 miles away from the blast Examination of the woman a few weeks a.go effort to use our armed force and economic site. disclosed thyroid nodules that in a normal power consistently with multilateral under­ population usually prove harmless. While takings and with other sources of interna­ The two latest victims will be entering hers do not appear to be cancerous. Dr. Con­ tional law, submitting disputes wherever pos­ the hospital to have surgery for a thyroid rad said, they are being removed as a. pre­ sible to third-party settlement. We would condition that is potentially cancerous. caution. resort to unilateral action only in very ex­ One of these victims was in the womb HIGH INCIDENCE FOUND ceptional circumstances where multilateral at the time of the blast. This ls the second occurrence of such processes were clearly unavailable, and any Mr. Speaker, for the last decade and a nodules among members of the control group. unilateral action on our part would be car­ half I have been working and organizing Nearly 28 per cent of those who were ex­ ried out in a manner calculated to promdte for a complete test ban treaty and for posed to the original radiation have developed the restoration of multilateral processes. To If nodules or tumors, in contrast to an average be specific, we would abolish the CIA's "dirty nuclear disarmament. there was any incidence of 3 to 4 per cent among Americans, tricks" department, avoid the excesses of one item that could make us all see the Dr. Conrad said. unilateralism that characterized our Viet­ folly of the continued arms race, it is this In addition, during the first five years after nam and Dominican interventions, do more article. exposure the rate of miscarriages among the to strengthen multilateral processes in for­ I now insert the article into the REC­ Rongela.p women was also higher, but it has eign economic policy, and show a really ob­ ORD and commend it to the attention of returned to normal, he said. jective concern with human rights questions my colleagues: Two other groups were accidentally ex­ on a global basis-whether within the bor­ posed to the radiation: 23 Japanese fisher­ ders of former adversaries, neutrals, allies, or [From the Ne·w York Times, June 3, 1974] men, one of whom later died, and 28 Ameri­ in our own society. This does not mean uni­ RADIATION FROM H-TEST IN 1954 can milltary personnel. The fishermen were lateral disarmament or ignoring valid con­ STILL TAKING TOLL aboard a vessel that was less than a hun­ cerns of national security. It does mean rec­ (By Walter Sullivan) dred miles from the site of the explosion. ognizing that national security can only be On March 1, 1954, a hydrogen bomb explod­ The Americans, on Rongerik, 30 miles east promoted from now on by achieving a better ing at Bikini Atoll cast a cloud of radioactive of Rongelap, received a dose of only 60 rads balance between traditional preoccupations coral dust that later rained down unex­ (the rad being a unit of radiation exposure), with power relationships and emerging re­ pectedly on islands far downwind as well as whereas the people on Rongelap sustained quirements of global order. on a Japanese fishing boat. 175 rads. Follow-up results on the Americans Implicit in all these recommendations is a This week two more natives of Rongelap have apparently not been published. redefinition of our foreign policy objectives. Island, 125 miles from the site of the blast, Because in its chemical function the thy­ we would make it clear that a "structure of will be operated on for thyroid abnormalities. roid gland picks up iodine, the radioactive peace" cannot be achieved merely by main­ One was in his mother's womb at the time isotope iodine 131 is suspected as a. ca.use of taining a precarious balance between five of the test explosion. the thyroid effect. The development of power centers-that it requires strengthened The surgery will bring to 25, the number of nodules by someone who was in the womb international institutions at the global and inhabitants of that island who have under­ at the time of the explosion could mean that regional levels in which all interested na­ gone such treatment during the intervening iodine 131 crossed through the placenta. tions have a chance to participate. By mak­ 20 years. Apart from those conceived but not However, Dr. Conrad pointed out that the ing "world order business" our central pre­ yet born, there were 89 on the island when mother and the unborn child were also ex­ occupation we could help rebuild support for the radioactive debris fell there. posed to penetrating gamma rays, which our foreign policy at home and abroad by could have played a role. identifying our purposes more closely with THYROID NODULES Dr. Conard said that in his two decades those of the rest of mankind. By demonstrat­ Since then one has died of leukemia. Of of regular visits he has found the islanders ing a commitment to constructive interna­ the 17 who were less than 10 years old at the to be generally cooperative and that he has tionalism, we could find common ground time, all but two have developed nodules or come to regard them as friends. However, between generations as well as political tumors of the thyroid gland and in two cases their experience has affected not only their parties. - the thyroid failed to function entirely and health, he said, but also their way of life. Were we to commit ourselves fully to the the growth of the children was stunted. Now, The United States gave the islanders $950,· 000 in 1962 as compensation, but most of the multilateral approach, were we to enlistthe because of treatment with artificial thyroid hormones, the children's normal growth has money has been spent. Native industries have energies of our Congress and our citizens, resumed. reportedly withered, and now the islanders were we to exploit to the fullest what lever­ In the course of the followup medical pro­ are seeking more money. Dr. Conrad said he age we still have with other nations, we gram, four operations revealed cancerous hoped that any further compensation would might begin, very gradually, to deflect the tumors of the thyroid, one in a. resident of be incorporated into a trust fund for long­ divisive tendencies of nationalism that are another island, Rongerik, where the exposure term benefit. now emerging and to exploit the latent pos­ to radiation was considerably less. Agitation against the medical follow-up sibilities for strengthening the international According to Dr. Robert Conard, head of program included the assertion that the system. Some may object that a generation the medical team that has visited the island exposure had been intentional so that the of arduous and possibly futile negotiations periodically over the last 20 years, the Ron­ islanders could be used as guinea pigs. on specific functional problems is not a very gerik case may be one of the small number However, Dr. Conrad said an independent inspiring prospect to put before a democratic of thyroid tumors that occur naturally. medical team consisting of two Japanese, a electorate. Let them ponder again the words The results of his most recent visit and the Briton and an American was appointed by the native legislature-the Congress of Mi­ of Dickens: "It was the age of wisdom, it continuing need for surgical treatment were cronesia-and that that step had helped end was the age of foolishness, we had everything reported by the Friends of Micronesia, an such contentions. before us, we had nothing before us, we were organization based in Berkeley, Calif. Dr. With both island test sites-Bikini and all going direct to Heaven, we were all going Conrad, reached by telephone at the Brook­ Eniwetok-now considered fit for habitation, direct the other way." We do have to aim haven National Laboratory near Upton, L. I., where he is based, confirmed the report. Dr. Conrad said, three families have moved in one direction or the other. The road to back to Bikini and 40 homes have been built world order will still be a. long and hard ISLANDERS NOW SAFE there for the returnees. On Eniwetok the one, but since the short cuts do not lead Although the atolls of Bikini and Eniwetok, vlllages will have to be rebuilt 'before anyone anywhere we have no choice but to take it. where the nuclear tests took place, are no can return, he said. CXX--1097-Part 13 17398 EXTENSIONS OF REMARKS June 3, 1974 DISCREPANCIES IN TAX EVASION nue Service Commissioner Donald C. Total Number Percent SENTENCINGS Alexander along with a record of sen­ Circuit and district tences and confinements for tax evasion sentenced imprisoned to prison for the period between :fiscal years 1946 HON. CHARLES A. VANIK and 1973: North Carolina: OF OHIO Eastern______61 8 13. 1 COMMISSIONER, Middle______107 40 37. 4 IN THE HOUSE OF REPRESENTATIVES INTERNAL REVENUE SERVICE, Western______145 32 22.1 South Carolina Monday, June 3, 1974 Washington, D.C., April 22, 1974. Eastern______149 53 35. 6 Hon. CHARLES A. v ANIK, Western______9 3 33. 3 Mr. VANIK. Mr. Speaker, for some­ House of Representatives, Virginia: Washington. D.C. Eastern______243 84 34. 6 time, I have been concerned about the Western______55 3 5. 5 confusing and varied administration of DEAR MR. VANIK: Your March 1 inquiry to West Virginia: our Nation's tax laws and the conflicts then Assistant Secretary Morgan, requesting Northern______128 23 18. O statistical data on indictments a.nd sentenc­ Southern______51 13 25. 5 which are created by the diverse routes ======of judicial appeal which may often be ing practices in income tax evasion and re­ 5th circuit______2, 168 711 32. 8 lated cases, was forwarded to the Service for selected by the taxpayer and his counsel. reply. AI ab am a: ------Under present law, after the taxpayer Northern______200 19 9. 5 has exhausted his appeal rights within We are pleased to enclose the following Middle_------18 10 55. 6 charts which contain the types of informa­ Southern_------12 5 41. 7 the ms bureaucracy, he may carry his tion you requested: Florida: case to court. If he chooses not to pay Northern______25 13 52. O Number of Indictments and Informations Middle_------91 51 56. 0 the contested sum, he can go to Tax in Tax Evasion and Related Cases for each Southern______413 213 51. 6 Court. The Tax Court was originally es­ of the Flscal Years 1964 through Fiscal Year Georgia: Northern_------301 40 13. 3 tablished in 1942 and consists of 16 judg­ 1973, inclusive. Middle______29 8 27. 6 es who serve 15-year terms of office. The Sentencing Practices by Judicial Circuits Southern______40 8 20. O Tax Court has national jurisdiction. Louisiana: and Districts for the period, Fiscal Year 1946 Eastern______193 66 34. 2 From it, appeals go to the 11 U.S. circuit through Fiscal Year 1973, inclusive. Western______51 9 17. 6 courts of appeal. The appeal must be We would be happy to provide you with Miss~~i~~~~n------11 6 54. 5 made to the court of the judicial circuit any other data needed similar to that con­ Southern_------116 21 18.1 that covers the geographical area where tained in the enclosed charts. Texas: the corporation or individual taxpayer With kind regards, Northern.------267 101 37. 8 Sincerely, Eastern______58 30 51. 7 has his principal place of business or re­ Southern_------112 54 48. 2 sidence. Depending on the decision of an DONALD C. ALEXANDER. Western______231 57 24. 7 Enclosures. ======area's circuit court and the action-or 6th circuit______l, 533 595 38. 8 nonaction-by the Supreme Court, the ------~ INTERNAL REVENUE SERVICE INTELLIGENCE DIVISION Kentucky: tax laws of the Nation may vary con­ Eastern______26 12 46. 2 siderably from court to court and region INDICTMENTS AND INFORMATIONS IN TAX EVASION AND Western______199 129 64. 8 Michigan: to region. RELATED CASES, FISCAL YEARS 1964- 73 Eastern______375 74 19. 7 There is an alternative judicial appeal Western______46 17 37. O route. If a taxpayer pays the proposed Ohio: Income and Northern_------379 136 35. 9 deficiency, he may then file for a re­ miscellaneous Southern_------297 96 32. 3 fund either in a district court or in the Fiscal year cases Wagering Total Tennessee: Eastern______48 33 68. 8 Court of Claims. Middle______120 62 51. 7 Obviously, there is a great opportunity 1964______679 898 1, 577 Western______43 36 83. 7 1965______823 1, 096 1, 919 for conflicting tax law opinion at any 1966______767 893 1, 660 ======1967 ______677 665 1, 342 7th circuit______1, 317 653 49. 6 given time. It may be wise to consider a -~~~~~~~~~- 1968______652 374 1, 026 change in the tax judicial structure­ 1969.______631 18 649 1Iii no is: which would make the same law apply 1970______891 33 924 Northern_------548 312 56. 9 1971______952 4 956 Eastern _____ ------65 26 40.0 equally to all citizens and which would 1972______1, 074 11 1, 085 Southern_------208 40 19. 2 prevent tax forum shopping. 1973______1, 176 10 1, 186 Indiana: Northern_------­ 60 42 70.0 Although the Agnew precedent has ---~-----~ Southern_------­ 232 138 59.5 Grand total..______8, 322 4, 002 12, 324 Wisconsin: substantially mutilated the use of fear Eastern ______Western ______181 79 43. 6 of prison as a deterrent to tax evasion, 23 16 69. 6 there is earlier evidence that cases could SENTENCING PRACTICES BY JUDICIAL CIRCUITS AND be moved to courts of light sentence. DISTRICTS IN TAX EVASION AND RELATED CASES, FISCAL 8th circuit______1, 360 498 36.6 The District Court for Northern Ala­ YEARS 1946-73 Arkansas: bama, for example, sentenced over 10 Eastern _____ ---- __ _ Western ______68 20 29.4 times as many tax evaders in the period 16 4 25.0 Total Number Percent Iowa: Circuit and district Northern ______between fiscal years 1946 and 1973, as sentenced imprisoned to prison 49 13 26. 5 the Federal District Courts of Middle Southern ______---- 106 70 66.0 Minnesota __ ------__ _ and Southern Alabama. In the Northern 1st circuit ______271 73 26.9 703 355 50.5 Missouri: Alabama District, only 9.5 percent went Eastern ______----_ 281 186 66.2 Western_----- ____ _ to prison, while in the Middle and South­ Maine ______.------75 29 38. 7 271 99 36. 5 Massachusetts ______---- 500 274 54.8 NorthNebraska_------Dakota ______-- _ 191 18 9.4 ern Alabama Districts, nearly 50 percent New Hampshire ______63 15 23.8 Rhode Island ______40 16 40. 0 South Dakota ______were imprisoned. There is more than a 88 36 40.9 44 0 0 casual relationship between case volume 9th circuit______and light sentence. 2d circuit______2, 567 855 33. 3 2,345 1,052 44.9 Connecticut______There is an incredible variation in 280 126 45. 0 Alaska ___ ------29 11 37.9 New York: Arizona ______------104 the sentencing practices throughout the Northern ______54 51.9 322 42 13. 0 California:Northern ______Nation for tax evasion and related cases. Eastern ______704 249 35. 4 367 208 56. 7 Southern ______Southern ___ ------It is incompr.ehensible that a person in 1, 021 408 40. 9 CentraL ______508 152 29.9 the Western Judicial District of Vir­ Western_----- ___ ._ 212 21 9. 9 225 76 33. 8 Vermont.. ------28 9 32.1 301 88 29.2 ginia has about one-seventeenth the Haw~1~~e~~::======:=: 80 47 58.8 chance of serving a prison sentence as a 3d circuit______1, 610 483 30. 0 Idaho.------79 21 26.6 Montana ______---- ___ _ 69 15 21. 7 resident of the Western Judicial District Nevada ______----- 77 25 32. 5 Delaware______66 23 34. 8 238 of Washington. I would hope, Mr. Pennsylvania: ~~~\~~gton:------137 57.6 Speaker, that the Federal Judicial Center Eastern______474 137 28. 9 Eastern ______Western ______71 51 71. 8 Middle______518 161 31.1 197 or other offices would work for an im­ Western______236 74 31. 4 167 84.8 proved uniformity in the treatment of New Jersey______316 88 27. 8 tax evasion cases. 10th circuit ______734 309 42.1 4th circuit______===1=,=33=1=====4=87====3=6.=6 Colorado ______Following is a letter I recently re­ Kansas ______157 100 63.7 ceived on this issue from Internal Reve- Maryland ______------New Mexico ______188 58 30.9 383 228 59. 5 79 45 57.0 June 3, 1974 EXTENSIONS OF REMARKS 17399 Jose show our appreciation and grati­ MIZELL'S NEWSLETTER FOR MAY Total Number Percent Circuit and district sentenced imprisoned to prison tude for a job well done. HON. WILMER MIZELL Oklahoma: OF NORTH CAROLINA Northern_------41 19 46.3 Eastern _____ ------15 5 33.3 SUBVERSIVE ORGANIZATION LIST IN THE HOUSE OF REPRESENTATIVES Western_------104 16 15.4 Utah_ --______------107 51 47.7 TO BE ABOLISHED BY EXECUTIVE Monday, June 3, 1974 43 15 34.9 Wyoming __ ------======ORDER Mr. MIZELL. Mr. Speaker, I have re­ District of Columbia ____ _ 32 16 50.0 ======cently sent my constituents a newsletter U.S. tota'------15, 700 6,014 38.3 reporting on legislative topics of interest HON. JOHN R. RARICK to them with which the House has dealt OF LOUISIANA during the month of May. Keeping our TONY TURTURICI IS NAMED PUBLIC IN THE HOUSE OF REPRESENTATIVES constituents informed of our actions on WORKS MAN OF THE YEAR Monday, June 3, 1974 their behalf is one of our most impor­ tant jobs as Members of Congress, and I Mr. RARICK. Mr. Speaker, the Ameri­ want to share with my colleagues the can people will be happy to learn that the substance of mY newsletter. HON. DON EDWARDS Attorney General's list of subversive or­ My newsletter for the month of May OF CALIFORNIA ganizations is to be abolished by Execu­ 1974 follows: IN THE HOUSE OF REPRESENTATIVES tive order. One does not know if this MlzELL NEWS Monday, June 3, 1974 means: First, our leaders no longer feel The House of Representatives has been that there are individuals and organiza­ busy in recent weeks with a variety of legis­ Mr. EDWARDS of California. Mr. tions within our country who would over­ lative issues, and I wanted to take this Speaker, I would like to pause for a mo­ throw our constitutional system of gov­ means to inform you of action taken on ment to recognize the achievement of ernment; second, the list was detrimen­ matters of interest to you. Tony Turturici who will receive this tal to detente and our new Communist BLUE RIDGE year's Public Works Man of the Year business partners; or and third, whether I have received many letters regarding the award in San Jose this June 13. the Constitution has already been sacked. status of the proposed Blue Ridge Power Tony Turturici deserves this award as I include a related newsclipping at this Project, and I am happy to report that on few other public works directors in this point: Tuesday, May 2'8, the Senate passed by a country do. Tony first came to work for vote of 49 to 19 a b111 similar to the one I [From the Washington Star-News, introduced in the House, authorizing a study the city of San Jose in 1951. Since that June 2, 1974] time he has seen the city grow from a of the New River in North Carolina and Vir­ SUBVERSIVES LISTING TO END ginia for possible future inclusion in the Na­ small, somewhat rural community to tional Wild and Scenic Rivers System. I am the thriving metropolitan area that it (By Margaret Gentry) pleased that hearings on my b111 have been is today. As always, growth brings prob­ President Nixon plans to abolish the at­ scheduled for June 3 by the National Parks lems along with benefits. Tony has been torney general's list of so-called subversive and Recreation Subcommittee of the House there throughout to try to meet these organizations, a product of the 1950s Red Committee on Interior and Insular Affairs, problems. His many efforts are really too scare era, administration sources say. chaired by Representative Roy A. Taylor of numerous to list, but his participation in The White House has drafted an executive North Carolina. The Senate Interior Com­ water quality control with the task force order which would do away with the llst mittee concluded that the project is of du­ and Nixon plans to sign it, the sources report. bious economic value and would destroy val­ on clean water for the League of Cali­ Atty. Gen. W111iam B. Saxbe recommended uable recreational, biological and historic re­ fornia Cities and with the San Fran­ the move, after reviving a review of the list sources unnecessarily. I am greatly encour­ cisco Regional Water Quality Control initiated by former Atty. Gen. Elliot L. aged by the progress of our efforts to date, Board, among numerous other groups, Richardson. and I want to thank the many citizens of cannot go unmentioned. "The list is irrelevant and legally we're in the 5th Congressional District for the active a bind on it," a White House official said. interest they have taken in this issue. Along Just recently, Tony has helped with with other North Carolinians whom I have the planning of 27 neighborhood parks An official of the department's criminal divi­ sion has called it "absolutely worthless." invited, I will be testifying before Represen­ and sport fields and the Police Athletic In 1947 President Truman ordered the de­ tative Taylor's subcommittee and wm cer­ League sports complex. He has also been partment to maintain a list of "totalitarian, tainly continue to push for favorable con­ instrumental in planning the new main fascist, Communist or subversive" organiza­ sideration of my blll by the full House as library in San Jose, along with six tions as a tool for screening applicants for soon as possible. branch libraries. Under his guidance, government Jobs. BUSING plans have been prepared to improve Four years later, the Supreme Court ruled After Senate action on the education !>111, lighting throughout the city of Ban Jose, no group could be placed on the list without I stated that I was disappointed that the and to improve city street signs. a hearing. Later court decisions blocked the Senate version of the measure did not In­ government from refusing to hire an appli­ clude the House language permitting the re­ His efforts in behalf of environmen­ cant solely because of his membership in one opening of previously decided court oases re­ tally sound sewage disposal for the city of the questionable group. garding the forced busing of children to San Jose cannot be overlooked. In fact, The list dropped into obscurity after the achieve racial balance in our schools. I am all his many efforts have been directed Red scare subsided. in agreement with most Americans and a. toward enhancing the San Jose area­ Nevertheless, some 300 organizations of­ majority of the citizens of the 5th Congres­ toward making it a better anci healthier ficially are still labeled subversive. Only sional District that forced busing is harm­ place to live for all its citizens. about 20 st111 exist. ful to the educational process and has cre­ The list includes the Communist Party ated administrative chaos in our schools. It How many of us ever give a thought USA, the Ku Klux Klan and such other is obvious also that the policing of busing to the tremendous work and dedication groups as the National Blue Star Mothers of undermines public support of our schools. that goes into the planning of services America and the Committee to Uphold the Those of us in the House who oppose bus­ that we use every day of our lives­ B111 of Rights. ing have introduced an amendment to the services like proper sewage disposal, The militant groups of recent years were Constitution which would settle the jssue readable street signs, e:fflciently designed never added to the official listing. The FBI once and for all, but the amendment process and other government agencies have con­ is long and arduous. Thus, we are also work­ fire stations? I am afraid that the an­ ing hard to insure that the House instructs swer is that very few of us think about ducted survemance operations against those groups without formally declaring them sub­ its Conferees, who will negotiate with the these things. In fact, we do not have to versive. The FBI refuses to disclose its policies Senate on the education blll, to insist that worry about it because a talented and and procedures for placing an organization the House language is retained in the final dedicated Public Works Director Tony and its members under surveillance. bill. Congress has both the authority and Nixon tried to revive the list three years the responsib111ty to end Uloglcal and self­ Turturici has already taken care of the defeating policy before it destroys the best problems. ago by instructing the highly paid but un­ productive Subversive Activities Control public educational system yet produced by So, I am delighted that, after all his Board to monitor and update it. Congress any nation. important efforts over so many years, opposed the move and cut off all funds for HIGHWAYS Tony is being honored this June. It is the board, which went out of business in Another matter of concern to citizens of certainly about time that all of us in San 1973. the 5th District is the traffic load on some of 17400 EXTENSIONS OF REMARKS JU1W 3, 1974 our Federal highways. Recently I met with never be built. It appears the Army has PROGRAM FOR NON-COAL-MINE ENVIRONMENTAL North Carolina Secretary of Transportation concocted an accounting scheme devised IMPACT CONTROL Bruce Lentz and the North Carolina Con­ to deceive Congress and the public on Non-coal mine regulations should be in­ gressional Delegation to discuss possible rem­ the terribly high cost overruns that have cluded only in conjunction with a full non­ edies for an inadequately designated a,nj coal regulatory program and not be included funded Federal-Aid Primary System in the occurred on the Safeguard program. in coal surface mine legislation. State. As a result of our meeting, the dele­ The Army would like to blame Con­ CITIZEN SUITS gation has written U.S. Secretary of Trans­ gress and the signing of the ABM treaty portation Claude S. Brinegar emphasizing The bill would go beyond the scope of any for these cost overruns and have so mud­ citizen suit provision presently in other en• our belief that the 402 miles of highway rec­ died the waters that it is impossible to ommended by the Department under the new vironmental laws; it could subject operators, Priority Primary Routes program "should completely assess the true dimensions of the Federal Government, and State regula­ represent the absolute minimum of Priority the Army's foul-up. tory authorities to serious risk of undue har• Primary Route mileage allotted to North rassment. This could result in the frustrating Carolina." Included in the proposed mileage implementation of the Act and prevent the in North Carolina are the I-40 bypass at needed increase in coal production. Winsoon-Salem, U.S. 52 between Winston­ WEEKLY ENERGY REPORT EDITOR, MINING AND MINERAL RESEARCH CENTERS Salem, U.S. 52 between Winston-Salem n.nd LISTS WHAT IS WRONG WITH H.R. The bill would authorize establishment of Lexington, and U.S. 311 between Winston­ 11500 mining and mineral research centers in a Salem and U.S. 220. manner which would fragment and under­ mine current research efforts and priorities. (A bill passed by the 92nd Congress cont!liin­ HON. CRAIG HOSMER ing similar provisions was vetoed by the COST OVERRUNS ON ABM'S OF CALIFORNIA President.) IN THE HOUSE OF REPRESENTATIVES HON. LES ASPIN Monday, June 3, 1974 FINANCIAL STATEMENT OF WISCONSIN Mr. HOSMER. Mr. Speaker, in concise IN THE HOUSE OF REPRESENTATIVES form the editor of Weekly Energy Report in his June 3 issue lists why the bill H.R. HON. JOHN BRADEMAS Monday, June 3, 1974 11500, which would cut the Nation's coal OF INDIANA Mr. ASPIN. Mr. Speaker, the Army has supply by up to one-third, is unaccepta­ IN THE HOUSE OF REPRESENTATIVES juggled its books making it impossible to ble by the administration. Eleven rea­ determine the true cause of nearly $1.3 sons are listed as follows: Monday, June 3, 1974 billion in cost overruns on the Safeguard INTERIM REQUIREMENTS Mr. BRADEMAS. Mr. Speaker, I in­ anti-ballistic-missile system attitudes of school officials, local polltlcans safer apartment. But then, slowly, white kids convince." and business leaders. started to come back. A black classmate, Fay Scott, says: June 3, 1974 EXTENSIONS OF REMARKS 17405 "Some diehard segregationists like to failure to be consistent with everybody, black that "thousands more" had been demoted mouth around that we're not learning any­ or white. and that 25,000 whites had been hired to fill thing. But colleges are recruiting us, includ­ "Things are so bad that kids come to jobs that should have gone to blacks. ing what used to be an all-white teachers' school without pencils, without paper, with­ A similar study of pupil pushout found school right in Farmville." out books-and go home the same way. I that while only four of 10 pupils in Little Farmville and surrounding Prince Edward have to keep a supply of everything and pass Rock were black, eight of every 10 students County are undergoing other significant ra­ is out each day at the start of classes. This suspended were black. In Columbia, S.C., the cial changes. isn't education; this is chaos." study discovered that blacks accounted for Recently, the local Jaycees named Clarence A DIFFERENT STORY half the student population but three­ Penn the "outstanding young educator" and fourths o! the suspensions. But then there is John F. Kennedy High It is, as Mr. Leventhal says, a "mixed bag" admitted him to membership. Many whites School a mile or so away, where the Stu­ immediately quit the organization. In leav­ dent Human Relations Council has nothing in Dixie these days, 20 years after the Su­ ing, they noted that Mr. Penn's presence preme Court outlawed segregation in schools. on its agenda. Those who would draw both hope and de­ would cost the Jaycees the food concession at Kennedy is three-fourths black. There has the Prince Edward Academy athletic field. spair from the bag might keep in mind that been no serious racial incident on its neat, when a black and white started fighting re­ Still, the academy thrives, offering what well-trimmed grounds for several years. Its even its black detractors concede are quality cently in an Atlanta school, a white was graduates, bl·ack and white, are in colleges seen holding the black's coat. courses. It is perhaps one of the healthiest and universities all over Virginia and much of the thousand or more private schools that of the East Coast. have been built in the South in the last two George Jones, the black principal who has decades. been known to shake the shoulders of stu­ IVORY CROCKET!' IS BEAUTIFUL THERE'S A PRICE dents, says: "People who want quality education will "Leadership and discipline across the HON. ROBERT H. MICHEL pay $600 or more per kid if that's the price," board, from my office right down to the class­ says Robert Redd, the academy's principal. room level-you have to know when to be OF ILLINOIS He said that his students were the offspring out front of a kid, when to walk beside him, IN THE HOUSE OF REPRESENTATIVES of both millionaire industrialists and tenant when to get behind and push. And you have Monday, June 3, 1974 farmers. to be there-all the time. The full strength of the South's academic "One of the things that helped us a lot Mr. MICHEL. Mr. Speaker, earlier this movement is difficult to gauge becau~ not was good old community leadership. Willen year the whole Nation was thrilled when even the Federal Government keeps precise Linwood Holton was Governor of Virginia, another of those "imJJQSsible to break" records. Schools are constantly opening and he came over here and enrolled his daughter sports records fell by the wayside as closing or losing and gaining accreditation. personally. That showed folks something." One frequently heard estimate is that per­ Mr. Holton returned early this year to his Hank Aaron smashed Babe Ruth's long haps one of every 10 white youngsters in home in Roanoke when Mills E. Godwin standing record of 714 lifetime home­ the South is in a private school. The move­ succeeded him as Governor. But his daugh­ runs. ment seems to be growing fastest in Memphis. ter stayed in Richmond and took up resi­ We all remember the years of specu­ Churches, especially Baptist, are sponsoring dence with a family frienq so that she could lation that no one could ever run a 4- many of the new facilities. complete her schooling at Kennedy. minute mile, but Roger Bannister did the Memphis has been backed into a legal A GOOD SCHOOL "impossible" in 1954 when he ran the corner by the courts and must desegregate A white classmate, Katy Jennings, says: mile in 3.59.4, and since that time the most of its schools. Other cities-Atlanta, "Slowly, ever so slowly, the word is get­ 4-minute barrier has been broken con­ Montgomery, New Orleans-are still fighting ting around in my neighborhood that J.F.K. sistently by a nwnber of runners. total desegregation, though room to ma­ is a good school, that you don't have to run neuver is increasingly limited. On May 11 of this year, in Knoxville, to the suburbs, that just because we have Tenn., track history was made again as FLIGHT TO SUBURBS some kids who have trouble figuring out how Th~ situation in almost every case is much to make change for a quarter, that doesn't still another "impossible" feat was the same as in Northern cities. Fearful whites mean you can't get in classes that will get achieved when Mr. Ivory Crockett, a are steadily fieeing to the suburbs, threaten­ you ready for college. resident of my home town of Peoria, m., ing to set up private schools if the courts tag "The problem is convincing parents, who ran the 100-yard dash in 9 seconds fl.at. along and merge suburban and city schools. always seem to want to believe the worst." Actually, one of the four official stop Twenty years ago, Atlanta's schools were Believing the worst in Montgomery, Ala., watches clocked him at 8.9 seconds, two about 70 per cent white and 30 per cent whites fied from one neighborhood so fast were at 9.0, and one at 9.1, thus making black. Today, they are 80 per cent black and that it turned all-black in less than a year. the o:tncial time, 9.0 seconds. 20 per cent white. To speed the sale to blacks of the empty Part of the whites' filght was due to the houses, real estate dealers included the An editorial appearing in the May 15, desire for a bite of greenery. But no one de­ phrase "Carver area" in each newspaper ad­ 1974, edition of the Peoria Journal Star nies that the color bla.ck also played a key vertisement. calls our attention to Mr. Crockett's role. Carver High School, predominantly black, other outstanding attributes as a human Tentatively, pending court approval, a was the school the whites were fieeing. being and certainly his life and his compromise has been struck in the Atlanta Such flight hurts a city economically. They achievements contradict a theory often situation. can nibble away at a tax base, as in Atlanta's expressed that there are no heroes in In return for high administrative positions case, or they can scare away new industry, in the school system, blacks have stopped as in Jackson's case. America today and no one that our demanding massive busing. Such busing, young people can look up to. I insert the PRICE TOO HIGH editorial at this point in the RECORD and they concede, would probably drive out most Jackson finally decided that the price of of the remaining whites, along wi:th their continued resistance was too high when a also ask that my colleagues join me in much-needed tax base. tractor manufacturer said he would move extending our sincere congratulations to Other American cities have sent represen­ a 2,000-employe plant to the Mississippi capi­ Mr. Crockett for his marvelous feat. tatives to Atlanta to study how the com­ tal if it solved its school dispute. IVORY CROCKETT Is BEAUTIFUL promise has worked out. The city went straight to the bargaining Ivory Crocket is beautiful. MUCH CONFUSION table. The bargaining did not solve every The Peorian is not only the fastest sprinter In Richmond, massive busing--and mas­ problem, however. on earth but also the living end when 1t sive filght by whites--is under way. There is Mel Leventhal, the Legal Defense Fund comes to practical philosophy. much confusion. lawyer, says that black pupils and teachers Listen to him saying how he broke the One school, in a neighborhood that is 95 now face a more subtle form of discrlmina­ world's record in the 100-yard dash last Sat­ per cent white, draws 95 per cent of its stu­ tion-"pushout.'' urday: dents from a neighborhood across town that "It's the old business of over-disciplining "If you have a goal, you ought to write it is 95 per cent black. blacks or 'tracking' them into 'ab111ty' groups down and one day you'll accomplish this goal At Maggie Walker High, the predominantly below their level, all in the hope that they as long as it's real. That's true whether it's black school where the white teacher or­ will drop out or stay away," he says. a job or an athletic accomplishment. A goal dered the black student to put out the cig­ "Merge a black and white school, and guess is what motivates you." arette and was told to "go to hell," walls are which principal ends up as the assistant Crockett h.ad taken a piece of paper, writ­ covered with graffiti, windows are broken, principal? Have a teacher opening, and guess ten 8.9 on it, and tucked it into the toe of his students mill in hallways during class hours, who gets hired?" track shoe last Saturday in Knoxville, Tenn. racial fights break out periodically. Civil rights workers from Atlanta who re­ One of four official stop-watches clocked One teacher complains privately: cently studied teacher pushout across the him at that speed, two read 9.0, and the "It's the lack of discipline, the failure South concluded that at least 6,000 black fourth read 9.1. to take the high ground at the start, the teachers and principals had been dismissed, The official time was therefore 9 fl.at, put- 17406 EXTENSIONS OF REMARKS June 3, 1974 ting Crockett all alone 8lti the pinnacle of the from captivity. However, their independ­ DEPARTMENT OP AGRICULTURE, sports world. ence was short lived. The Soviets sent Washington, D.O., May 13, 1974. On Sunday morning the Journal Star tanks r~ght into the heart of Budapest. Hon. PETER A. PEYSER, splashed the great news on page one-along The Cardinal was able to escape to the House of Representatives, with an Associated Press picture of somebody DEAR MR. PEYSER: Your proposed amend­ who was supposed to be Ivory Crockett. It safety of the American embassy where ment to eliminate subsidies under the Sugar wasn't. he stayed in exile from his beloved Act is consistent with my testimony before But Ivory Crockett is beautiful. He didn't countrymen for 15 years. In 1971 he left the Committee on Agriculture on Febru­ even mention our gaffe when we interviewed Budapest for Vienna. Then last February, ary 19 when I stated that there has been a him after he came home. Pope Paul VI removed him as Roman rapid trend away from payments as an in­ More important is what Crockett did Mon­ Catholic primate of Hungary. come for farm commodities. For example, day morning. He went to work like the rest The cardinal is now taking his message farmers have accepted the termination of of us do. And he made another sale for IBM "wheat certificate", cotton, and feed grain before noon. of freedom to others, and the people of payments and are finding the marketplace "Just a regular day," said Crockett. the United States, of whatever heritage, a more satisfactory answer to their growlng Ivory Crockett is beautiful. are indeed grateful for his visit. For we income needs. Three months ago we began to realize the who voice our love of freedom do recog­ Sincerely, beauty of the Tennessee share-cropper's son nize the manifestation of freedom in this EARL L. BUTZ, who became an outstanding sprinter at remarkable man who has remained true Secretary. Southern Illinois University, married Peorian to his convictions. I join the people of Sylvia Jordan, and walked into IBM and DEPARTMENT OF CONSUMER AFFAIRS, asked for a job. Cleveland in wishing that Cardinal Sportswriter Stan Hieronymus tried to in­ Mindszenty may soon return to a Hun­ New York, N.Y., May 24, 1974. terview him about foot-racing then, but what gary free to choose its own government Hon. PETER A. PEYSER, came out was something inspiring to kids and religion, for he is truly the "good U.S. House of Representatives, who might be ready to give up from a man shepherd." Washington, D.O. they could believe. DEAR CONGRESSMAN PEYSER: On behalf of "I flunked out of school almost ... I had the consumers of New York City, I urge you this thing the world owed me something. I SUGAR GIVEAWAY to oppose the adoption of H.R. 14747, the was black and poor . . . Sugar Act Amendments of 1974. "It bothers me to see so many kids throw Last summer Congress enacted the Agri­ their lives away. So many kids are smoking HON. PETER A. PEYSER culture & Consumer Protection Act, which dope, dropping drugs ... I could have been OF NEW YORK revised government supports on most crops. Under the new system, farmers are encour­ one of them, but here comes a man who says IN THE HOUSE OF REPRESENTATIVES 'You don't have to do that.' " aged to increase acreage yield and processors Monday, June 3, 1974 are given needed incentives to improve facu­ That man straightened out Ivory Crockett, lties. who went on to say something to us adults: Mr. PEYSER. Mr. Speaker, I wish to This action should make food prices re­ "Peoria is a beautiful city and has got some express my opposition the Sugar Act, beautiful people ... but people need to get to sponsive to free market conditions and hope­ involved-really involved-with kidi:;. That H.R. 14747, which is due for considera­ fully bring down retail prices for the shop­ includes me. tion on the floor this Wednesday. per. At the same time, the farmer is pro­ "If you can save an individual kid, it's In the past year the world price of tected because the government guarantees worth a mtllion dollars. They need somebody that he wm be reimbursed for production sugar has increased by over 300 percent. costi!. to look up to that is something in life ..." The retail price has also risen sharply, Somebody like Ivory Crockett, who sets a Sugar, however, was not included in this particularly in the Northeast where the reform. The proposed. Sugar Act Amendments world record on Saturday and is back at work price has more than doubled in this year Monday morning. would continue farm subsidy payments to alone. sugar growers at a time when the domestic In spite of the fact that there is a price of sugar is higher than it has ever been world scarcity of sugar and the price is and almost three times as high as it was one JOSEPH CARDINAL MINDSZENTY skyrocketing, the American taxpayer year ago. Particularly during this time of rapid in­ continues to subsidize the sugar grower. flation, Congress must recognize its respon­ Although the bill to amend the Sugar sibility to the American consumer to keep HON. WILLIAM E. MINSHALL Act, H.R. 14747, which will be on the floor food prices down. We urge you to oppose the OF OHIO Wednesday, June 5, purparts to reduce passage of the Sugar Act Amendments of IN THE HOUSE OF REPRESENTATIVES the subsidy, in fact, the growers will still 1974, and encourage your colleagues to do similarly. Wednesday, May 29, 1974 be receiving $90 million a year. Although the Federal Government under the pro­ Sincerely, Mr. MINSHALL of Ohio. Mr. Speaker, posed revision will only be paying $27 .5 ELINOR GUGGENHEIMER. on May 25 Cleveland was honored by a million, the remaining $62.5 million will visit from his Eminence, Joseph Cardi­ be paid by the processors to the growers. [From the Washington Star-News, June nal Mindszenty. Cheers reverberated The cost I have been assured will be 2, 1974] throughout our city, estimated by some passed directly on to the consumers by THE SUGAR ACT: A SOUR DOSE FOR CONSUMERS as the second-largest Hungarian city in way of even higher prices. (By Yale Brozen) the world after Budapest, in tribute to For too many years the American tax­ Once again, Congress is getting ready to this great man, hero to Hungarians payers and consumers have been un­ renew the Sugar Act-almost 40 years after everywhere and a symbol of freedom to justifiably subsidizing the growers. The it was first introduced by President Roose­ all. Of the more than 1,000 people who sugar legislation is 40 years old and over velt as an emergency relief measure for De­ gathered, Cardinal Mindszenty was able pression farmers. the course of the years the sugar situa­ Despite recent Department of Agriculture to bless 150 persons. However, he has tion in this country and the world has in suggestions--since withdrawn-that the blest us all his unrelenting stand as changed drastically. The legislation has program has outlived its purpose and should Defensor Ecclesiae et Patriae. not been correspondingly modified. be abandoned, the House Agriculture Com­ His last visit to our city was in 1947, Let us disprove a recent newspaper mittee has reported out a bill renewing only 2 years before he was so cruelly im­ article which indicates that Congress will the program which is scheduled to be con­ prisoned for his outspoken opposition to not be taking action on the sugar bill to sidered by the House this Tuesday. the communization of Hungary. Fully benefit consumers. I will be introducing Much has been written about certain as­ aware that religious freedom would not amendments which will eliminate all pects of the Sugar Act-especially about the survive under the atheistic system of highly dubious system which encourages subsidy payments to sugar growers and richly paid lobbyists for foreign sugar pro­ communism, he chose to stay in his coun­ also eliminate the cost passthrough to ducing countries to scurry around Capitol try and seek the expulsion of bolshevism. processors. I urge you to support my Hill trying to win favor-and expanded Regretfully, his prediction was realized amendments and to finally provide sugar import quotas-for their client states. and epitomized by his imprisonment. The the consumers with the assurance that Other weaknesses of the program deserve indomitable spirit of the Hungarian peo­ their interests are being protected. attention, too. A new study written by Uni­ ple enabled them to rise against their The following articles and letters sup­ versity of Chicago Professor D. Gale Johnson oppressors in 1956, and the freedom for the American Enterprise Institute for porting my position are offered for the Public Polley Resear.ch concludes that the fighters liberated Cardinal Mindszenty information of my colleagues: sugar program costs the American consum- June 3, 1974 EXTENSIONS OF REMARKS 17407 ing public an average of $616 million un­ low 1.98 cents per pound for sugar while the The United States can be assured of a wide necessarily each year and does nothing but U.S. paid 6.54 cents! In those years the U.S. variety of sugar sources-more than 35 coun­ support an expensive, non-competitive in­ consumer paid dearly for the sugar program. tries now lobby in Congress for sugar import dustry. The chart below, comparing world market quotas. Many of them-especially Brazll­ For this, the consumer gets nothing but and U.S. sugar prices, shows that in recent would increase the·lr sugar production if they artificially high sugar prices, because the yea.rs-with the exception of two--the U.S. could find a market outlet. program keeps normally cheaper foreign consumer consistently has paid more for Granted, there are some responsible au­ sugar from freely entering the U.S. market. sugar than he would 1f world prices were al­ thorities who do not expect sugar supplies This not only boosts the price of table sugar, lowed to prevail. to bounce back immediately from the 1973 but of a wide variety of food products made If 1973 was an exception to the general lows. Their predictions of shortage, even if with sugar, too. pattern, it was largely a short-term reac· they were true, would provide no justlflcation The small farmer-who was originally sup­ tion to the extraordina.rtly low price of sugar for perpetuatton of the Sugar Act, however. posed to benefit from this legislation-gets on the world market in the late 1960s. With The Sugar Act is a program to restrict im­ little from the program because he has been prices now at record highs, a swing back to ports, to keep foreign sugar out of our mar­ overwhelmed by large sugar producers. Sixty ample supplies can be expected. kets. By opening our doors to foreign-grown percent of our domestic sugar is produced by In the AEI study, Professor Johnson esti­ sugar, and by providing a huge new market just 16 % of this nation's sugar farms; they mates the cost of the sugar program ·by cal­ to entice new foreign growers into the field, reap nearly all the benefit from the artifi­ culating the dHference between wha.t the repeal of the Sugar Act could only help to cially inflated price of sugar. consumer pays for sugar under the program ensure adequate supplies for the American Other big beneficiaries of the sugar pro­ and what he would pay if there were no consumer. gram are sugar refiners. They have managed Sugar Act. (1.e., 1f American consumers could This year there has been intensive lobby­ to get sugar refining-hardly a farm pro­ benefit from the generally lower world mar­ ing on the Hill to keep the Sugar Act, partly gram-protected along with sugar growing. ket price) . He computes the difference to because the price of sugar is hitting record By imposing strict quotas on imports of re­ be-ba.sed on a 10-year average-$616 mil­ heights and world demand seems to be grow­ fined sugar, the Sugar Act keeps a large slice lion annually. ing steadily. of the refining pie for the highly inefficient, Of this excess, about $418 m.1111on flows Rather than seizing on the temporary high high-cost domestic refiners. Oddly enough, from consumers directly to American pro­ price as an excuse to expand and reentrench the Sugar Act not only restricts the im­ ducers (the remainder goes to foreign the sugar program, it is time to reckon with portation of refined sugar from foreign coun­ growers). The amount of money which U.S. the program's overall impIi cations and recog­ tries, but from U.S. territories (Puerto Rico), farmers actually realize as net added in­ nize its real costs. and the state of Hawaii as well. come from this, however, is much smaller. The program should be either phased out The basic structure of the sugar program Two-thlrd&-<>r about $300 mlllion-goes in­ gradually, or done away with immediately hasn't changed since 1934. Each year, the to the extra costs of growing sugar in this in one step-in either case, with the long­ secretary of Agriculture determines the country. Only about $100 milllon remains as range goal of setting up a liberal trade policy amount of sugar needed to fulfill U.S. con­ the net added annual income for farmers for sugar. sumption requirements-about 100 pounds growing sugar. This means that the program The most acceptable solution would be a per capita. Fifty-five percent of this is allo­ cost the taxpayer four times what it is worth transition approach-which gradually abol­ cated to domestic producers, and the rest to to the American farmer-we a.re spending ishes the program, giving farmers and the foreign producers in the form of import four doUars to get back one. refining industry time to adjust to new con­ quotas. This doesn't seem drastic untll one consid­ ditions. Domestic producers may be required to ers what the consequences would be if In his study, Professor Johnson recom­ abide by their "proportionate share," a fixed every government program was run this way. mends the following intermediate approach: limit on the acreage they can plant with (Some pro-sugar congressmen frequen·tly Eliminate import quotas, domestic market­ sugar beets and cane. (However, proportion­ state that the sugar program costs us noth­ ing allocations and "proportionate shares." ate shares have not been imposed in any ing, because it costs the government noth­ Establish a target price system for sugar, domestic sector of sugar growing-except ing. The ramount of money pa.id out to farm· based on price objectives as established in for mainland cane-since 1966.) In return ers in the form of direct benefit paymenlts, Section 201 of the Sugar Act of 1948, as for abiding by the program, farmers receive they observe, is offset by the revenue col­ amended in 1971. "benefit payments" that total about $82 mil­ lected tn the form of tariffs and duties on Make deficiency payments to each sugar lion annually. imported sugar. But they gloss over the fact beet and sugar cane producer based on the More important, to protect high-cost do­ that the price of maintaining a high-cost difference b~tween the target price and the mestic sugar from cheaper foreign sugar, a domestic sugar industry is passed on to the actual market price of sugar. quota system is used to strictly limit sugar consumer in the shelf price of sugar.) Continue Sugar Act benefit payments for imports. With a net annual income benefit of only three years, ultimately eliminating them in There were three original objectives of the $100 milUon, it is not surprising that the two equal reductions at the end of five years. sugar program: to protect and preserve do­ sugar program has not made sugar cane and The excise tax on sugar should be maintained mestic sugar farming; to limit the domestic beet farming profitable for small farmers. at 0.5 cents per pound for three years, and expansion of this high-cost industry; and to An end to our artificial props for sugar then reduced at the same rate as the Sugar keep down the cost of sugar to consumers. would mean that many U.S. farmers would Act payments. Only one of these objectives has been find it more profitable to switch to other During the transition, producers should achieved-preserving a domestic sugar­ crops. The nation then would be in the posi­ be permitted to abandon sugar cane and growing industry. And achievement of this tion of tmpol'lting most of its sugar from beet production in whole or in part and still objective is, on the whole, regrettable. It lower-cost foreign producers. continue to receive both deficiency and keeps some ·U.S. farmland engaged ineffi­ In these days, when memories of the Arab Sugar Act payments. ciently in sugar production, when it could on embargo are stlll vivid in American This will mean, of course, an end to the be diverted for badly needed crops which minds, fe.ars of international commodity subsidy of sugar farming and With it, an are more efH.cient producers. The result is a blackmail get much attention. But agricul­ end to the market edge of domestic sugar net loss all the way around. tural cartels have tried to get higher prices over imported sugar. In the future we Probably the weakest argument advanced by cutting back on production before, and would probably import most of our sugar. for renewing the Sugar Act is the claim that the strategy inevitably fails. Alternative pro· As for the "national security" implica­ it lowers the price consumers pay for sugar. ducers---attra.cted by the high prices-have tions of this-even though sugar accounts It is not true. · too great an incentive to break the shortage. for 17 percent of our total caloric intake, it Advocates of the program are quick to state In the early 1920's, tor example, the British is hard to justlty it as a national security that in the past year the world market price passed the Stevenson (Rubber RestrictiOIIl) commodity. It we produced no sugar do­ of sugar has been more than five cents a Aot to cut back the production of rubber mestically, most of our supplies would stm pound higher than the U.S. price These ad­ in its colony of Malaya. Malaya then sup­ come from the American continent. Such vocates point out that the U.S. consumer plied most of the world's rubber-and the shipping lanes would not be difficult to pro­ has benefited substantially as a result, since cut shot the price of rubber up from tweruty tect. even imported sugar ls sold here at the lower cents to over a dollar a pound. As for the price stablllty of sugar, John­ U.S. price. The high price, however, stimulated rub­ sons shows that it ls our own restrictive Professor Johnson's study of comparative ber production in other countries. Rubbel' trade policy on sugar-and those like ours sugar prices, however, reveals that for two grows in five year cycles-and five yea.rs in other countries-which bear much re­ decades the United States has nearly always later, Borneo rubber appeared on the market sponslblllty for wild gyrations of the inter­ been paying substantially more for its sugar and brought the price back down between 12 national sugar market. than the world market price; 1973 was an and 14 cents-lower than it had previously There will be no easy way to end the aberration. been. sugar program. Over the years, resources In 1970, for example, the world market Outbacks in production have also falled have been committed, investment encour­ price was 3.75 cents a pound while the U.S. with coffee, tin and cocoa cartels. Alterna­ aged and expectations heightened that the price was 6.95 cents. In 1968, the discrepancy tive sources a.re always found when the price program will go on forever. was even greater-the world market paid a goes up. It must be remembered, however, that the 17408 EXTENSIONS OF REMARKS June 3, 1974 sugar subsidy program wa.s originally in­ year, and this year the Agriculture Depa.rt- FROM RASPBERRY TO APRICOT tended only as a. temporary mea.f?ure. It wa.s ment boosted the import quotas by 500,000 He has a point, because consumers aren't meant to relieve the disastrous oversupply tons to 12.5 million tons in an effort to in- resignedly accepting higher and higher prices. situation that existed on farms during the crease supplies and thu&-it was thought-- Paul Smucker, president of J. M. Smucker Depression. It was never intended to be a. help stem rising prices. _ Co. of Orville, Ohio, the jelly and preserves permanent industry subsidy. Instead, U.S. buyers were forced into the maker, says that housewives are switching Unfortunately, it has gone the wa.y of tight world market to compete with the free- from higher-priced, fancy types of preserves, many government programs labeled "short spending Arabs. Regular suppliers were run- such as black raspberry and blueberry to less term" or "experimental"-they a.re extended ning short and some were selling in the hot expensive kinds, such as apricot and' peach. and re-extended until they are entrenched world market before meeting their U.S. com- Old standbys such as strawberry and grape and .almost impossible to get rid of. mitments, trade sources say. continue to sell well he says but housewives Prolonging the sugar program has made As a. result, granulated sugar prices in are buying larger s~es to ta'.ke advantage of little sense-it has cost the consumer dearly, Northeast supermarkets a.re now about $1.20 lower per-ounce prices. for few benefits. Current sugar prices may for a five-pound bag, up to from 79 cents in Similarly, a spokesman for PepsiCo Inc. be a tempting incentive to keep the pro­ March and 55 cents a year ago. The price says that while the 16-ounce bottle of Pepsi­ gram for a while longer, but in the :final could go to $1.50 within the next several Cola remains the most popular size, "buyers analysis they are only one more excuse. weeks, industry sources say, because the do- are reaching up to larger and larger sizes. Now that the Sugar Act legislation is up mestic raw-sugar price is at a near record of including the 64-ounce bottle, and they for renewal, the Congress should have the 23.5 cents a pound-versus 10 cents a year haven't reduced consumption." Pepsi-Cola courage to throw it out. It has promised ago-and because refining and other costs prices have risen because o! higher sugar the American people a break from higher also are rising. costs but the spokesman didn't specify the food prices for a long time-making a move But it doesn't stop there. A great many amo~nt. towards lower sugar prices would be a good food products contain sugar, and price in- Some companies are able to hold off on start. creases for many of them are being posted or price increases now because they made ma.r­ are pending. General Foods, for instance, re- ketlng and product-ingredient changes some U.S. AND WORLD MARKET SUGAR PRICES cently raised prices of several of its products time ago. Peter Paul Inc. o! Naugatuck, U.S. World as a direct result of higher sugar costs. Its Conn., for instance, began last September to Year: price price line of Post cereals was boosted by 6 % last increase the size of its candy bars, charge 1953 ------5.43 3.41 Monday, an average of three to four cents a higher prices !or them and reformulate the 1954 ------5.21 3.26 box. Its beverage prices were increased an chocolate coatings by replacing some o! the 1955 ------5.00 3.24 average of 10% to 12%. expansion cocoa butter With vegetable oil. 1956 ------5.10 3.48 And Jell-0 prices were increased by 22%, "Reactions to the new coatings have been 1957 ------5.30 5.16 which works out to about a three-cent rise extremely favorable with respect to flavor, 1958 ------5.41 3.50 on a three-ounce box. A spokesman for Gen- texture and shelf life," an executive says. 1959 ------5.35 2.97 era.I Foods, which makes Jell-0, says that The Peter Paul executive thinks that 1960 ------5.35 3.14 sales haven't suffered because of the in- "prices o! sugar are expected to remain at 1961 ------5.36 2.91 crease. Jell-0 and other brands of gelatin current high levels and maybe even go higher 1962 ------5.56 2.98 desserts contain substantial amounts of during the summer months, which is the 1963 ------7.27 8.50 sugar. season of high consumption for both in- 1964 ------5.98 5.87 Moreover, the Genera.I Foods spokesman divlduals and industry." But he adds, "we 1965 ------5.80 2.12 says, "sugar-price increases are only begin- are told we can expect relief later in the 1966 ------6.03 1.86 ning to be felt. As of now we see no end in year, about September or October." 1967 ------6.32 1.99 sight." That's when the sugr.r harvests start com- 1968 ------6.54 1.98 The food processors, bakers and candy ing in. World sugar production during the 1969 ------6.75 3.37 and beverage makers are paying $28.10 !or 1973-74 crop year ls estimated at 81.8 million 1970 ------6.94 3.75 a 100-pound bag of refined sugar, more than tons, a 6% rise from last year, while world 1971 ------7.39 4.52 double the $13.55 of a year a.go. They say consumption ls predicted at 81.3 million 1972 ------7.99 7.43 they haven't been able to raise their product tons, up 4% from last season. This Will be 1973 prices enough to fully compensate. the first time in three years that production ------8.65 9.31 "We're still not recovering sugar costs," has outpaced consumption. The Arab na.- (From the Wall Street Journal, May 17, 1974] the General Foods spokesman says. tions' buying spree touched off such a sharp THE BrrrER OF THE SWEET: PRICF.8 OF SUGAR "We're :fighting just to stay in place," price reaction in part because reserve stocks agrees Harold S. Mohler, chairman and pres- in the past three years have dWindled. At the AND PRODUCTS USING IT JUMP AS A RF.sULT !dent of Hershey Foods. "To stay abreast of end of the 1972-73 season on Aug. 31. 1973, OJ' ARABS' PuRCHASES rising product costs is about all you can ex- world stocks were 15.8 million tons, about (By John Valentine) pect to achieve these days." Besides sugar, a two-month supply. NEW YoRK.-The next time you go to the Hershey has to contend With cocoa prices that While reserve stocks increase slightly this grocery store and pay much higher prices for also have doubled in the past year. In that season, the supply-demand balance still Will everything from a bag of sugar to soda pop to same period it has raised its product prices be precarious, sugar analysts say. They think Jell-0, you are being clobbered once again by by about 40%. next season there will be increased produc- the Arab nations' new policy o! charging Hershey's standard-size chocolate bar was tion in Brazil, the Ph111ppines, Australia, more for their oil. · raised five cents to 15 cents at the beginning and South Africa. Early this year, the Arab nations took some of this year; it was 10 cents for two years Meanwhile, the European sugar-beet crop. o! their bloated petroleum revenues and be­ and five cents for many years before that. which accounts !or 33% o! overall world gan buying raw, unrefined sugar in world The bar size was increased to 1.4 ounces from sugar output, is likely to be smaller this year markets. Seemingly disregarding price, these an average of one ounce, Mr. Mohler says. than last because o! cold, dry weather. And countries placed orders for about two-thirds "But we are very concerned about raising the U.S. beet crop, which declined last year of their estimated 1974 import requirements prices and we don't do It lightly because the because of dry weather 1n the West, 1s ex­ of about one milUon tons; in previous years, ( candy) bar is almost like an institution. we pected to shrink further this year. Many buying was more selective and spread out will try to hold the 15-cent line, but if costs !armers are turning to wheat, corn, cotton, over a longer period. keep spiraling as they are, there will certainly soybeans or potatoes, all of which currently The world sugar price soared to an un­ have to be some consideration of the 20-cent offer better returns .than beets. Last year. heard-of 26.25 cents a pound in Fe·bruary­ or even 25-cent bar," Mr. Mohler says. beet sugar aiccounted for about half the an- partly because o! extra-strong demand and There is more than consideration at Nestle, nual U.S. output o! 6.9 million tons. partly because some sugar-producing nations which has marketed a new 1 %-ounce bar that were forced to pay record prices for oll that ls being sold in vending machines for 25 simply added the higher costs to the Arabs' cents. "Reaction has been slow thus far, but sugar bill. Eight months ago the world sugar the real impact is yet to come," a Nestle VENEZUELA AMENDMENT price wia.s 8.35 cents a pound. The world executive sayir-jmplying that a 25-cent bar price has eased only to 23.5 cents a pound won't look very expensive in a few months. because many suppliers say they expect the Though it isn't talked about openly, an HON. BILL GUNTER Arabs to come back and buy more sugar. estimated 5% to 15% of all candy is sold in OF FLORIDA the U.S. through vending machines. During REACHING CONSUMER POCKETBOOKS the past two years most candy-vending ma­ IN THE HOUSE OF REPRESENTATIVES All this reaches the pocketbooks of U.S. chines have been converted to 15-cent prices Monday, June 3, 1974 consumers by way o! the sugar marketing­ from 10 cents. Now there is talk of raising all quota. system, which is intended to assure vended candy prices to 20 cents or 25 cents. Mr. GUNTER. Mr. Speaker, in order to reasonable prices !or consumers and fair re­ "I hope it doesn't get off the ground," con­ afford timely notice of the amendment I turns for domestic producers. The U.S. im­ fides one candy executive, who thinks con­ intend to offer to the U.S. Sugar Act to ports almost half of the sugar it needs every sumers will resist these higher prices. suspend the quota for Venezuela, I am June 3, 1974 EXTENSIONS OF REMARKS 17409 herewith printing the text of the amend­ I include in the RECORD an analysis by ment of a eadre of minority group experts­ ment in the RECORD: Mr. Eddie N. Williams, president of the from scholars and researchers to program Amendment to be offered by Mr. GmiTER! Joint Center for Political Studies of the operators and street leaders--who can move Page 6, line 10, at the end of the computa­ implications of the President's drug against the drug problem in areas where tion beginning at line 10, insert the follow­ others seem fearful of treading. abuse budget. Because this has not been done the ac­ ing proviso: ANALYSIS Provided, That notwithstanding any other cusation of "genocide" has become a polit­ provision of this Act the quota or any por­ {By Eddie N. Williams) icized response. But those who stand on tion thereof for Venezuela shall be-suspended Budgets make policy and the federal their lofty podiums and pooh-pooh this ac­ and a quantity of sugar equal to the amount budget is no exception. Consequently, we cusation, without understanding its genesis of the suspended quota shall be prorated to must view with alarm the policy implications or meaning, are equally guilty of playing the other countries listed in this paragraph inherent in President Nixon's proposed 1975 politie5 with the lives and welfare of a great until such time as the Congress, pursuant to budget on drug abuse. The federal budget many human beings. section 202 ( e) , does not disapprove of the reflects the debatable notion that the heroin restoration of such quota. epidemic is over. It asks for fewer dollars, reorders spending priorities, and drapes a smothering "new federalism" shroud over a problem which, unfortunately, affects dis­ MIT STUDms THE ENERGY CRISIS proportionately a large number of black and IMPLICATIONS OF PRESIDENT'S Spanish-speaking Americans. PROPOSED DRUG ABUSE BUDGET This budget takes on added significance HON. MICHAEL HARRINGTON FOR INNER CITY COMMUNITIES when one weighs the racial implications in OF MASSACHUSETTS the nation's response to the drug abuse prob­ IN THE HOUSE OF REPRESENTATIVES lem. Rep. Charles Rangel (D-N.Y.) sums up HON. CHARLES B. RANGEL the response this way: Monday, June 3, 1974 OF NEW YORK "Black leadership had been calling for fed­ Mr. HARRINGTON. Mr. Speaker, IN THE HOUSE OF REPRESENTATIVES eral help to combat heroin addiction for more than a decade (since the 1950s) and when the energy crisis became a mat­ Monday, June 3, 1974 our appeals were ignored. But when heroin ter of widespread concern last fall, the Mr. RANGEL. Mr. Speaker, the Presi­ filtered out beyond the ghetto walls to the Nixon administration offered its Project suburbs and the complexion of the junldes Independence Plan as a means of insur­ dent's proposed drug abuse budget re­ became white, the President declared a na­ flects a decrease of nearly $15 million ing that Americans will not depend upon tional crisis." other nations to fulfill their energy needs from fiscal 1974 to fiscal 1975. The impact There followed a dramatic increase in fed­ of this decrease in the amount requested eral drug abuse expenditures, from $82 mil­ in the future. for Federal drug abuse programs is an­ lion in 1969 to $760 million in 1974. A recent study released by the Mas­ alyzed in an article in the present issue The result of this "massive" effort is a sachusetts Institute of Technology main­ of Focus magazine, the publication of mixed picture. Some complain about waste, tained that stockpiling oil would be a rip-offs, racial genocide, dehumanization. But much cheaper method of achieving en­ the Joint Center for Political Studies and there also is a positive side: the thousands of ergy self-sufficiency. According to the in a recent report issued by the Drug individuals helped, increased knowledge Abuse Council. study, about the treatment of opiate dependence, Self-sufficiency as a form of "insurance" The President's fiscal 1975 drug abuse program development, and about how to deal against disruption of price increases will be with the drug problem in schools, media, budget means a retreat at a time when purchased at a very high cost. we are making significant progress in employment, and so on. decreasing the amount of drug addic­ Another racist implication of this mas­ Mr. Speaker, because the energy issue sive federal response lies in the fact that al­ is one of the most pressing concerns be­ tion independence in our Nation. The though the nation may have turned the cor­ significant progress that has been made ner toward solving the drug problem among fore this body, I would like to bring to the in recent years has been brought about whites, the problem continues in black and attention of the Congress, Victor K. Mc­ because of the Federal commitment to Spanish-speaking communities. Elheny's New York Times article report­ provide funding for States and localities, It is in this context that one must review ing on the MIT study. for more effective law enforcement ac­ the President's proposed drug abuse budget, The article follows: tivities, and perhaps most imPortantly which reflects a decrease of nearly $15 mil­ [From the New York Times, May 11, 1974] the opening of treatment rehabilitation lion-from $760 m1llion in 1974 to $745 mil­ U.S. ENERGY PLAN FOUND Too COSTLY-MIT programs to serve the legion of addicts lion in 1975. While this drop may seem STUDY RECOMMENDS STOCKPILING RATHER. relatively small, it results in several major THAN TOTAL SELF-SUFFICIENCY who before this Federal commitment changes of emphasis in the federal response were not able to find adequate treatment to the drug problem. For example: (By Victor K. MCEiheny) and rehabilitation opportunities. It is 1. There is a proposed decrease of $54.7 If the United States tries to meet all its clear that for many reasons the drug million for treatment and rehabllitation. energy needs from domestic sources by abuse problem is diminishing particularly This means institutional capabiUties will 1980-the goal of the Nixon Administration's in suburban and small town areas. suffer at the very time they are ready to Project Independence--the price of all forms make real headway on the drug problem. of energy could be driven as high as the In inner cities such as the Harlem and 2. There ls a proposed increase of $10.2 equivalent of $12 a barrel of oil, according East Harlem communities that I repre­ million for programs which wm be substan­ to a group of economists and energy experts sent, however, the problem remains tially turned over to the states but which at the Massachusetts Institute of Technol­ acute. Even though the amount of heroin wlll not be "categorically" designated for ogy. available on the street because of the drug abuse activities. Consequently, as in The group's study of the potential eco­ Turkish opium poppy ban has decreased, revenue sharing, agencies may spend any nomic impact of the project was made pub­ we still have in our community the amount or none of this money on drug abuse. lic yesterday at a conference on Management in 3. There is a proposed increase of $39.8 Amid Scarcity in Chicago. largest single population of addicts million for law enforcement, including jail­ The group said the additional price in­ the United States. I, therefore, regard it ing of users and imposing other forms of creases above their calculated 1974 average as alarming that the Federal Govern­ penalties which brand people as criminals. domestic oil price of $7 a barrel could be as ment would begin to decrease its finan­ This "get tough" policy is one of the most great a.s the 1973-74 surge in imported oll cial support of drug abuse treatment and alarming aspects of the proposed budget. prices, which they estimated at $4 to $9 a rehabilitation programs at a time when It is now up to Congress to decide what the barrel. my community and interested communi­ federal response ought to be and how much The experts recommended that the nation ties throughout the Nation needs con­ money is to be appropriated. Before making consider a $1-billion-a-year program of stock­ its decision, Congress, through its committee piling on as a cheaper fonn of "insurance" tinued Federal commitment to providing staffs or the newly created Office of Tech­ against future oil embargoes and price in­ answers to the illness which saps the nology Assessment, ought to determine the creases than total energy self-sufficiency. vitality of our communities. It is my hope extent of drug abuse among minorities and The findings of the group, of which oil ex­ that the Congress, in examining the the nature of program responses; investigate pert Morris A. Adelman was a member, are President's drug abuse budget proposals, the absence of minorities in key policy­ to be printed as the entire May issue of will take action to provide the same level making positions dealing with drug abuse; Technology Review, a nationally circulated of Federal concern and support for these assure that the monies actually get into M.I.T. publication. programs as we have provided in the communities where they a.re needed, and set The study indicated that "prices of $10 to past. aside special funds to encourage the develop- $12 per barrel (oil equivalent) wm be neces- 17410 CONGRESSIONAL RECORD-SENATE June 4, 1974 sary to bring forth enough additional sup­ The'ir report recommended against special di.fficul ties in assembling both miners and plies of fossil fuels (coal, oil and gas] to sat­ tarl:ffs to cut down on imports, arguing that mining equipment, the M.I.T. experts isfy demands in domestic energy markets" oil prices were "high enough to extract pres­ doubted that United States coal produc­ by 1980. ent domestic on and gas reserves with high tion would exceed 800 million tons per year "This means that, even if concerted e:fforts levels of emciency." in 1980. It runs about 600 million tons now. were made to remove the bottlenecks that Also not recommended was the establish· Construction problems and technological now exist in these markets (such as Federal ment of a "fioor" under current energy pltces, challenges stand in the way of a large contri­ price regulation of natural gas) , there would because prices seem likely to remain high. bution to the nation's energy supply from have to be yet another round of price in­ Like many others in the energy field, the such synthetic fuels as gas or on from coal, creases for consumers as great as that ex­ M.I.T. group recommended relaxation of con­ oil from shale, or methanol from coal, it perienced in 1973-74," the group said. trols on the wellhead price of natural gas, was estimated. which averaged 35 cents per 1,000 cubic feet "It might take a doubling of price to pro­ mGH PRICES SEEN in 1973 and may reach 50 cents for new vide enough of an incentive to bring about "In short, self-sumciency as a form of 'in­ contracts this year. the large-scale commercial development of surance• against disruption or price increase, If 3 cents were added each year to the synthetic fuels in the near future; and their new-contract price, the group estimated, development ls not sumciently promising of Will be purchased at a very high cost." supply and demand for natural gas would Associated with the 10 authors of the be in balance in 1980 at 33 trillion cubic feet. large supplies to justify such htgh prices for study, who are members of the policy study • • •continue, it was estimated that demand all energy,'' the report said. group of M.I.T.'s energy laboratory, were 16 would total 40 trilUon cubic feet and supply A plan preferred by the experts was the other energy experts at M.I.T. and at Duke, only 30 trillion, for a "shortfall" of more negotiation of special contracts by the Fed­ North Carolina State, Pennsylvania State, than three times the current 3 trllllon cubic eral Government with synthetic fuel pro­ Harvard, Michigan and Virginia Polytechnic feet deficit. ducers to buy specifled amounts at a guar­ Institute. Because of environmental problems and anteed price.

SE·NATE-Tuesday, June 4, 1974 The Senate met at 10 a.m. and was The ACTING PRESIDENT pro tem- apply in the case of any action filed within called to order by the Acting President pore. Without objection, it is so ordered. six months after the date of enactment of pro tempore