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March 19, 1975 EXTENSIONS OF REMARKS 7595 NOMINATIONS Read Patten Dunn, Jr., of Maryland, for a ENERGY RESEARCH AND DEVELOPMENT term of 3 years. Robert W. Fri, of Maryland, to be Deputy Executive nominations received by the Gary Leonard Seevers, of Virginia, for a Administrator of Energy Research and Devel­ Senate March 19, 1975: term of 4 years. opmeJ+t. COMMODITY FuTURES TRADING COMMISSION James L. Liverman, of Maryland, to be William T. Bagley, of Galifornia, to be CONFIRMATIONS Assistant A

EXTENSIONS OF REMARKS PRESS FREEDOM AND EDITORIAL-WTIC, AM AND FM causing cancer and birth defects. It is RESPONSffiiLITY (By Leonard J. Patricelli} not a scare story but a carefully re­ The United States Supreme Court has searched, well-documented description HON. STEWART B. McKINNEY ruled that the news media-newspapers, of laboratory studies by Dr. Bruce N. radio and television stations--have a con­ Adams, a University of California bio­ OF CONNECTICUT stitutionally protected right to identify rape chemist, which raise fundamental ques­ IN THE HOUSE OF REPRESENTATIVES victims who are named in court or public tions about the safety of products freely records. The case arose over a Georgia law Tuesday, March 18, 1975 making it a misdemeanor to identify women used by millions of American women, Mr. McKINNEY. Mr. Speaker, "Free­ who have been raped. The father of a 17-year and by many men as well. The article dom of the Press" is an issue which old rape-murder victim used it as the basis refers to other studies which appear to often evokes much discussion but of equal of a law suit against an Atlanta TV station, buttress the concern that hair dyes may import is the responsibility attached to charging the famlly's right to privacy had be causing tragic consequences. The been violated. writer has balanced her article with that constitutional guarantee. In two We think the Supreme Court's decision, recent commentaries, this matter was comments from ofiicials of the Food and though a painful one, was correct, for the Drug Administration and spokesmen for addressed forthrightly and in a way in news media should not be subjected to law­ which I believe merits the attention of suits for using information which public the cosmeticn industry. I urge the Mem­ my colleagues. The first is from the edi­ officials have made public. But the result, bers of the Congress to read this article torial page of the Stamford, Conn., Advo­ for rape victims, is tragic, and we in the and become aware of the issues it raises cate and the second was· presented on media should voluntarily help to protect involving the well-being not only of users Hartford radio station WTIC by its pres­ them, even if the Courts, in this case, cannot. of cosmetics but of their unborn children. And so, we appeal to our colleagues in I am therefore including the Jane Brody ident, Leonard J. Patricelli. I insert them the news media. Let us not use this decision to be reprinted in the RECORD at this article as part of my remarks. as a license to splash the names of rape Mr. Speaker, as many of the Members point and I commend them to your victims across the newspapers or over the attention: air. If the courts have given us protection, know, I have been introducing legislation [From the Stamford (Conn.) Advocate] let us, in the name of decency, do the same since 1954 to require pretesting for safety of all of the ingredient-8 used 1n cos­ PRESS FREEDOM: A Dn.EMMA for the innocent rape victims. Just because we now have the right tore­ metics. Since 1961, this legislation has The issue of how freedom of the press veal the names of victims is no reason to been part of my omnibus bill, H.R. 1235, ought to be apparently will always be with do so if the result is further grief and anguish to rewrite the Food, Drug, and Cosmetic us, and three rooen t events on this issue for the victim. It can be argued, too, that are cases in point. Act of 1938. H.R. 1235 not only closes the rape victims will become even more reluctant cosmetics loopholes in the 1938 act but There was the order by the Federal Re­ to report the crime to pollee if they know serve Board to investigate how Consumer their names will be made public. all of the numerous other gaps in our Reports Magazine obtained information on To further insure participation by other basic consumer statute involving the what bank rates were being charged for broadcasters, this station will seek adoption safety of all products ingested as foods automobile loans, a piooe of news tha.t by the National Association of Broadcasters or drugs or applied to the person as cos­ might seem innocent and public enough but of a new plank in our professional code of metics, or used as drugs in any manner. which the FRB did not want released. ethics under which broadcasters throughout LAST HOUSE HEARINGS ON H.R. 1235 And there was the successful request by would voluntarlly refrain from the American Civil Union to obtain IN 1962 identifying the names of rape victims. We For some inexpllcable reason or reasons, transcripts of briefings to newsmen by Sec­ hope, too, that the newspaper industry's code retary of State -publicity Mr. Speaker, there have been no legislative which some news correspondents would just of ethics would also be amended. hearings in the House on safe-cosmetics leg­ as soon had not been achieved. They believe As we, the news media, protect our rights, islation since 1962, when a predecessor ver­ that they learn a lot in the free and easy let us restrain ourselves so that we may sion of H.R. 1235-also known then by that off-the-record atmosphere; many of their col­ protect the rights of the victim as well. same number, as this legislation has been leagues disagree. designated in every Congress since 1961-was There was also the revelation that the taken up by the House Committee on Inter­ Columbia Broadcasting System paid the Wa­ state and Foreign Commerce. However, the tergate figure H.R. Haldeman $25,000 for NEW YORK TIMES ARTICLE ON only parts of the 1961 bill to become law that an interview, a departure from the usual HAIR DYES POINTS UP NEED FOR year dealt primarily with prescription drugs, custom of obtaining news. SAFE COSMETICS LEGISLATION the Drug Control Act of 1962. These are all worthy of thoughtful con­ H.R. 1235 applies to a vast array of areas sideration. It is safe to say that, when of food, drug, and cosmetic safety, including making the choice between freedom of the HON. LEONOR K. SULLIVAN medical devices; cautionary labeling of foods, press and the lack of it, it is better to make OF MISSOURI drugs, and cosmetics; amendment of the it free, since credibility is such an important Food Additives Act of 1958; nutritional label­ ingredient. It is easy to see that the Federal IN THE HOUSE OF REPRESENTATIVES ing of foods; labellng of all ingredients in Reserve Board order was ill-advised but it Tuesday, March 18, 1975 foods; certification of drugs as to potency; is no doubt equally true that briefings elimination of the exemptions for soap and should be public if they are to be really Mrs. SULLIVAN. Mr. Speaker, today's coal tar hair dyes; elimination of the Uab111ty taken seriously and that news sources ought New York Times contains a tremen­ exemption for common carriers; prohibition to be unpaid if their views are to be con­ dously significant article by Jane E. of carcinogenic substances in animal feeds; sidered objective. Brody on the possibility of hair dyes coding of prescription drugs; establishment 7596 EXTENSIONS OF REMARKS March 19, 1975 of a Federal Drug Compendium; and many widely regarded as a. sensitive initial method creased risk was not proved and the reason other purposes. of screening chemicals and consumer prod­ for it is unknown. article today will, I ucts for possible toxic effects. ANOTHER LINK SUGGESTED hope, help to stimulate action in the commit­ However, the California tests have drawn In addition, a New York internist, Dr. tee which has jurisdiction over H.R. 1235 to more than ordinary scientific attention be­ Nathaniel Shafer, has noted that an un­ schedule at long last new hearings on this cause they involved a. product used regularly usually high percentage of his patients who far-reaching bill. by an estimated total of 20 million Ameri­ developed breast cancer had been regular COAL TAR HAIR DYES EXEMPT FROM ANY cans. users of hair dye. In reviewing the case his­ EFFECTIVE CONTROLS The findings on bacteria. also raise serious tories of nearly 100 breast cancer patients, questions about the adequacy of Federal he said in an interview, 87 per cent proved The Food, Drug, and Cosmetic Act of 1938 laws governing the Ina.rketing of cosmetics, brought cosmetics under Federal regulation to be term users of hair dye, whereas only a which need not be cleared for safety before quarter to a third of other of his patients of for the first time. But this part of was they can be sold. In addition, hair dyes are woefully weak even when it was enacted, and the same age used hair dye. exempted from the color additive regulation According to Clairol, 30 per cent of women has become progressively less effective over requiring that all dyes used in foods, drugs the years. between the ages of 13 and 60 use hair dye, and other cosmetics to be safety-tested before with the percentage rising from 20 for the The Food and Drug Administration has being marketed. younger ages to 50 for the older women. made periodic efforts to strengthen the As a. result of commerciaJ pressures, in the Dr. Shafer's report is regarded as a clinical, law on cosmetics by the back door-by 1930's, hair dyes were declared exempt from not a scientific, observation and larger and the dye regulations of the original Food, more careful studies must be done to con­ regulation-but these efforts have usually Drug and Cosmetic Act of 1938 and the ex­ been defeated in the courts. Voluntary firm or refute it. One such study will be done emption was continued under the stronger by Dr. W. Robert Bruce, cancer epidemiologist regulation by the industry itself has gen­ Kefauver amendments in 1962. at the Ontario Cancer Institute in Toronto. erally been ineffective and unsatisfactory. GENETIC TRAITS CHANGED He will also look at the possible relationship The law must be strengthened if the con­ In the California. test, developed and con­ between birth defects and the use of hair sumer is to be protected. ducted by Dr. Bruce N. Ames, 150 of 169 dyes. In the case of hair dyes, the cosmetics different perina.nent hair dyes were found The National Institute for Environmental industry has enjoyed a wide-open loop­ to change the genetic characteristics of bac­ Health Sciences, spurred by Dr. Ames's find­ hole which permits the manufacture and teria. called Salmonella. typhimurium, a. com­ ings, has also begun a. study to see whether sale of any coal tar hair dye product-­ mon cause of food poisoning. hair dyes cause genetic damage. Since its discovery of a. few years ago, The effects of hair dyes and their chemicals no matter how dangerous it might be-­ the bacterial test has become widely used for have already been the subject of considerable as long as the container bears a warning screening food in several countries. Dr. Ames, animal experimentation, much of it con­ specified in the law that certain adverse who is a. member of the National Academy of ducted by the industry and some by the Na­ reactions may occur. Most other cosmet­ Sciences, who is regarded by colleagues as tional Cancer Institute and the Food and ics products can be removed from the a. thorough and careful scientist, has sub­ Drug Administration. market if FDA can prove they are dan­ mitted a. paper on his findings to the acad­ ABSORBED THROUGH SKIN gerous, but not coal tar hair dyes. emy's publication, Proceedings. The editor The studies were begun in 1970 following if of the journal, Dr. Robert Sinsheimer, said Thus, even the fears voiced in Jane yesterday that "in the ordinary course of the finding some years earlier that the chem­ Brody's New York Times article today events, the paper will appear in the May or icals in hair dyes could be absorbed through are fully borne out by subsequent investi­ June issue." the skin and were regularly found in the gation, the FDA could still not prohibit The product Dr. Ames tested (all those urine of women who dye their hair. the sale of any coal tar hair dyes. The he could find in two drug stores in Berkeley) In addition, one major hair dye chemical, law would have to be changed, as H.R. were made by eight companies-• • • Inc., 2,4-toluenediamine, was shown in a. Japanese Relvon, Alberto-Culver Company, Tussy Cos­ study to cause liver tumors when fed to rats 1235 proposes. and muscle tumors when injected under the One provision of H.R. 1235 would place metics, Inc., Cosmair, Inc., The Gillette Com­ pany and Roux Laboratories Inc. Clairol, with anima.ls' skin. This ingredient was subse­ the burden of proof for establishing the whom Dr. Ames has been in close contact quently eliminated from commercial hair dye safety of a cosmetics product on the throughout most of his year-long experi­ preparations, but 167 mlllion pounds of it manufacturer, rather than leaving it up ments, accounts for about half of the $250- are used each year in producing polyurethane to the FDA to prove a product is unsafe. million-a-year hair dye market. foam-thus raising a question of possible Another provision prohibits the use of Dr. Ames tested the dyes as they came hazard to exposed workers. Thus far, animal studies of the hair dye any carcinogenic material in cosmetics. out of the bottle and after they had been chemicals now in use have not indicated any Another requires the listing on the mixed with hydrogen peroxide. He also tested hazard. Dr. Ames maintains, however, that label of all ingredients used in cosmetics. the eighteen chemicals found in these dyes. He judged that nine of them were tests to date have not involved enough ani­ Another opens up the complaint files mutagenic on his test; that is, they changed mals or been conducted for long enough to of the manufacturers and distributors of the genetic characteristics of the bacteria. rule out a possible risk. cosmetics to FDA inspection. At present, On the other hand, Cl.airol scientists said these are held confidential by the trade. RELATIONSHIP DISPUTED in a. statement issued to The New York Times The coal tar hair dye exemption would The relationship between mutagenicity and yesterday that "Looking at all the data, we carcinogenicity (cancer-causing a.b111ty) is can only conclude there is no evidence of be ended. still a. matter of considerable scientific con­ cancer risk from hair dyes." ARTICLE BY JANE E. BRODY IN TODA Y'S troversy. In previous studies, Dr. Ames found Dr. John Menka.rt, a vice president at NEW YORK TIMES that 70 to 75 per cent of chemicals that Clairol, who is chairman of the scientific Mr. Speaker, I urge the Members now are known carcinogens also mutagens in his advisory committee of the Cosmetic, Toiletry to read Jane Brody's article in today's test. Only about 10 per cent of compounds & Fragrance Association, disputed by Dr. New York Times discussing the research thought not to be cancer-causing are muta­ Ames' conclusion that some animal studies genic in the Salmonella. test, he reported. had indicated a possible cancer risk. Dr. which indicates that hair dyes may be Since the chemicals in the hair dyes are Menkart said that Dr. Ames had misinter­ causing cancer and birth defects. After closely related to substances that are known preted the reported findings. reading this article, I hope more Mem­ carcinogens in man or animals, Dr. Ames FURTHER STUDY FAVORED bers will become interested in !J.elping me has concluded that "each of the hair dye to do something about the safety gap in compounds we have found to be mutagenic The Food and Drug Administration is tak­ has a. high probab111ty of proving to be a. ing the Ames findings in stride. According an industry which intimately touches to Dr. Herbert Blumenthal, acting head of every man, woman, and child in this carcinogen." In addition, he said, since the chemicals the agency's toxicology division, the data country every day. could damage genetic material, they "may be point to a. need for further study, not im­ The article referred to follows: hazardous to humans by causing mutations mediate regulatory action. [From the New York Times, March 18, 1975 J in the germ Une," possibly increasing the "We've already begun testing the chem- icals that were most active on Dr. Ames' LINK TO CANCER AND BmTH DEFECTS HINTED ric;; k of birth defects. test," Dr. Blumenthal said in an interview IN TESTS OF 150 HAIR DYES ON BACTERIA Accordingly, Dr. Ames has recommended yesterday. "We should not take any regula­ (By Jane E. Brody) that, on the basts of his findings, large-scale tory action until we analyze all the animal s+.udies should be initiated to see if people A possib111ty that hair dyes may cause can­ wh o dye their hair regularly face more than data. We have got to be able to sustain in cer and birth defects has been raised by the t h e usual risk of cancer and if babies born court any suspension of a cosmetic agent, results of laboratory tests on bacteria con­ to such women have a higher incidence of and I don't think we could do so strictly ducted by a University of California bio­ birth defects. on Dr. Ames' data." chemist. His concern is supported by two very pre­ Cosmetics can be banned only after clear Although tests on higher organisms will be liminary findings. In three studies, beauti­ demonstration that they are "poisonous and necessary to determine the precise nature cians were found to have a higher rate of deleterious to health," Dr. Blumenthal noted. of the hazard, if any, bacterial tests are bladder cancer than expected, but the in- He said his agency has been asking Congress March 19, 1975 EXTENSIONS OF REMARKS 7597 for the last five years for stronger regu­ search efforts are begun soon to develop HOW INFLATION BREEDS RECESSION lations governing cosmetics. The agency domestic resources. (By Henry Hazlitt) • wants to be able to require premarket safety But while there is a substantial undevel­ Both general economic and purely mone­ testing as it now does for drugs. oped potential for some of these minerals, tary theory are supposed to have made im­ Dr. Ames, who spent 10 years developing the report also warned that others are seri­ mense advances since the middle of the his bacterial test system, said that "anything ously depleted or nonexistent. A couple of eighteenth century, yet the confusion and that is to be used in such large amounts as examples: chaos in economic and monetary theory have hair dyes should have a cancer test done on Zinc. In 1972, the United States imported never been greater than they are today. One it before it is introduced commercially­ about 52 per cent of its Zinc consumption, would think, listening to television and read­ especially if it is in a class of compounds chiefly from Canada, Mexico, Peru and Aus­ ing the newspapers and magazines, that in­ that is suspect to begin with." tralia. U.S. reserves are put at about 30 mil­ flation-in the popular sense of soaring Many of the hair dye chemicals are aro­ lion short tons. --were some infinitely complicated, matic amines and diamines, which are chem­ Identified resources of zinc are estimated mysterious and incurable atHiction that had ical cousins to known carcinogens, including at more than 80 million t<>ns but are mostly suddenly struck us from the blue, instead benzidine which causes cancer of the blad­ in subeconomic low-grade or deep-lying of simply what it is-the inevitable conse­ der. deposits. quence of the actions of government in over­ Dr. Ames noted that he had happened Chromium. The United States imported spending and then printing paper money. upon the mutagenic activity of hair dyes 100 per cent of its consumption of this es­ And as the cause is obvious and simple, so "quite by accident." sential mineral in 1972, mainly from the is the fundamental cure. The direct cause "I was conducting a class experiment and Soviet Union, the Republic of South Africa of soaring prices 1s printing too much paper I had the students bring in chemical prod­ and Turkey. The U.S. has no reserves of money; the direct cure is to stop printing ucts to try out on my Salmonella test," he chromium. it. The indirect cause of lnfiation is govern­ explained. "All the products were negative Identified domestic resources of chromium ment overspending and unbalancing the except one-hair dye-and that was highly amount to only about 1.67 mlllion short tons budget; the indirect cure is to stop over­ active. That started us looking at all the and again they would be ditllcult to mine spending and to balance the budget. dyes we could get." and expensive to use. But if the cause and cure of inflation are Although Dr. Ames focused on dyes that Survey scientists noted that while the na­ so fundamentally simple, why is there so use peroxide, he also used 25 semipermanent ture and implications of the energy prob­ much befuddlement? One reason, of course, dyes that color directly without peroXide and lem virtually exploded into public conscious­ is that the problem is not merely economic, found that "most of these were mutagenic ness, concern about our mineral supply but political. The problem is not merely, for as well." remained, for the most part, within the pro­ example, to get the politicians to recognize fessional and technical communities. the true cause and cure of inflation. It is "Whatever the reasons for this-perhaps also to get them to acknowledge that cause TOO LATE TO STOP MINERAL one is the fact that energy problems are and adopt that cure. In brief, one SHORTAGES more immediate and affect people in more reason so many politicians do not under­ direct manner-the supply problem for stand the problem is not merely that they minerals may become just as serious as it is are to stupid to understand it, but that they HON. LARRY PRESSLER for energy," they said. do not want to understand it. OF SOUTH DAKOTA They realize that inflation is a political racket. They find that the way to get into IN THE HOUSE OF REPRESENTATIVES HOW INFLATION BREEDS RECES­ office is to advocate inflation, and the way to Tuesday, March 18, 1975 SION stay in is to practice it. They find that the way to be popular is to appropriate handouts Mr. PRESSLER. Mr. Speaker, we have to pressure groups who represent mass votes, all been concerned with creating an en­ HON. LARRY McDONALD and not to raise taxes except those that seem ergy independent America. But have we OF GEORGIA to fall mainly on some unloved or envied ever concentrated our efforts in creating IN THE HOUSE OF REPRESENTATIVES minority group-on companies, corporations a mineral-independent America? That generally, the reputedly "rich" or "super­ was the subject of an editorial in the Tuesday, March 18, 1975 rich." The ultimate result of such policies is to Brookings Register of February 25, 1975. Mr. McDONALD of Georgia. Mr. bring about exactly what we have today­ I would like to submit that editorial for Speaker, although we are in the middle inflation plus recession. publication in the CONGRESSIONAL of an economic recession brought about But we are brought back to the fact that RECORD. by the inflationary policies of the Fed­ politicians could not exploit the befuddle­ The Brookings Register is published 5 eral Government, we are being told that ment of the public about inflation if that be­ days a week in Brookings, S. Dak., a city the only way out is to embark on a new fuddlement did not already exist. So though of some 13,000 persons in east central even bigger debasement of our currency. we must not overlook the political side of the Economically, this is nonsense. Politi­ problem, we must recognize that our main South Dakota. The newspaper has a cir­ task is stlll one of educating the public. culation of 4,200. cally, it makes sense to a certain type This is a much bigger problem than it is In this specific editorial, it was pointed of politician: One whose lust for power commonly thought to be. out that the Nation may face a future is exceeded only by the microscopic Even when we have explained to people crisis in its mineral supply unless new range of his mental awareness. He got that inflation is caused by excessive issues of research efforts are undertaken. And it into power by promising bigger and big­ paper money, and by budget deficits that warns that some minerals are already in ger Government handouts, has stayed in lead to excessive issues of paper money, we short supply, with resources almost de­ power by doing just what he promised have done only a small part of our task. We have explained what causes inflation, but we pleted. It raises some serious questions while not ostensively raising taxes, but have not explained why inflation is so perni­ about the mineral situation in the United has gotten a bit of a fright by the effects cious. The truth is that the greater part of States. I would like to share these of his inflation-produced recession. So he the public still thinks that inflation is on the thoughts and questions with my fellow proposes huge tax cuts and budget defi­ whole beneficial. They know that it raises the Congressmen. The editorial follows: cits that will spur inflation anew: But so prices of commodities, but the chief thing Too LATE To STOP MINERAL SHORTAGE? what he figures, anything to get us out they consider bad about this is that it may of the recession and boost employment. not raise their wage-rates or salaries to the What is there about oil that has given rise same extent. Nearly everybody thinks that to almost universal agreement among Amer­ But what he is unable or unwilling to inflation is necessarily stimulating to busi­ icans that this country must eventually be­ acknowledge is that the recession is are­ ness, because they think it must raise profit come totally independent of foreign sources sult of his own policies and that if he margins and so lead to greater production for its energy needs? is concerned over an unemployment rate and employment. The United States is now, and for years This 1s indeed usually true in the first has been, importing most of the raw mate­ of 8 percent, wait until his chickens rials required by modern industry and tech­ hatched by the fiscal 1976 budget deficit nology. Yet no one says we must become come home to roost. •Mr. Hazlitt, noted economist, journalist bauxite-independent or chromium-inde­ How and why inflation breeds reces­ and author, adds what might well be another pendent or this-or-that-independent. sion is clearly and precisely outlined in chapter to one of his books: What You A little-noted report by the U.S. Geological the following essay by Henry Hazlitt, Should Know About Inflation. Survey last year predicted that the nation This article is based on a paper delivered may face future crises in the supply of some which appeared in the March 1975 issue January 6, 1975, at a monetary conference of its important minerals unless massive re- of : in Miami. 7598 EXTENSIONS OF REMARKS March 19, 1975 stages of inflation. But what is stlll recog­ discount rate of the Bank of Brazil 18 per They show how inflation in its later stages nized only by a tiny minority is tha.t in the cent, the discount rate of the Bank of Chile can demoralize production, real income and later stages of infiation this ceases to be true. 75 per cent. employment. In its later stages infiation tends to bring DISCOUNTING INFLATION Was the stabilization crisis so dreadful about a disorganization and demoralization None of these rates was a result of a tight when this inflation was finally brought to a of business. money policy in the countries concerned. halt? I regret that the commonly avall&ble It tends to do this in several ways. First, Quite the contrary. The greater the past or figures are not quite adequate to answer this when an inflation has long gone on at a cer­ present rate of infiation, the higher the pres­ question satisfactorily. Practically all the tain rate, the public expects it to continue ent prevailing rate. This is because, tables published in the books of both Frank at that rate. More and more people's actions in the later stages of an inflation, people D. Graham and Costantino Bresc1ani-Turron1 and demands are adjusted to that expecta­ expect the recent rate of lnfiation to con­ end at December, 1923. But supplementary tion. This affects sellers, buyers, lenders, evidence indicates that the stabillzation crtsts tinue. If they believe, for example, that the borrowers, workers, employers. Sellers of raw dollars or pounds or cruzeiros or escudos that was brief and the recovery quick. materials ask more from fabricators, and they lend today wlll have a purchasing power The index of the physical volume of in­ fabricators are w1lling to pay more. Lenders of x per cent less when they get them back dustrial production per capita, taking 191S ask more from borrowers. They put a " a year from today, they will add that x per as a basis of 100, had fallen to 54 a.t the peak premium" on top of their normal interest cent to the normal rate of interest they would of the inflation in 1923. It rose to 77 in 1924, rate to offset the expected decline in pur­ to 90 in 1925, and to 111 in 1927. This was a otherwise have expected. If their expectations chasing power of the dollars they lend. Work­ are justified, though they wm be getting a better comparative record of recovery from ers insist on higher wages to compensate very high nominal rate of interest, their real 1913 than that of England, Italy, or West them not only for present higher prices but rate of interest will not be above normal. Europe generally. against their expectation of stm higher prices But the high nominal rates of interest will HEAVY UNEMPLOY.MENT? in the future. nonetheless tend to discourage borrowing. C. W. Guillebaud of Cambridge University, The result 1s that costs begin to rise at Again, as I have already pointed out, labor in his book The Economic Recovery of Ger­ least as fast as final prices. Real profit mar­ unions will begin to demand so-called "pro­ many (1939), tells us that "the cessation of gins are no longer greater than before the tective" pay increases sufficient not only to infiation brought with it as its f.m.med1ate inflation began. In brief, infiation at the old compensate them for the commodity price effect a large increase in recorded unemploy­ rate has ceased to have any stimulative ef­ increases that have taken place since their ment, which rose to 1,633,000 on January 1, fect. Only an increased. rate of inflation, only old contract was signed, but for the price in­ 1924." a rate of inflation greater than generally ex­ creases that they fear will take place in the The justification for thts statement de­ pected, only an accelerative rate of inflation, future life of their new contract. Union de­ pends on what date we place on "the ces­ can continue to have a stimulating effect. mands wm tend to become increasingly un­ sation of infiation." The monetary reform But in time even an accelerative rate of in­ reasonable. The number of strikes will tend was introduced by a decree issued on october flation is not enough. Expectations, which to increase. Profit margins will be squeezed 15, 1923. The actual introduction of the new at first lagged behind the actual rate of in­ or wiped out arbitrarily. Price-and-cost rela­ currency, the rentenmark, did not come un­ flation, begin to move ahead of it. So costs tionships among different industries will be­ til November 20, 1923. But the Reichsbank often rise faster than final prices. Then in­ come increasingly unsettled, unpredictable kept grinding out paper marks at accelera­ flation actually has a depressing effect on and disorganized. tive and astronomical rates continuously business. In short, "protective" actions and other through the end of December. A CRUCIAL OVERSIGHT compensatory reactions to infiation and ex­ If we consult the monthly statistical series This would be the situation even if all pected inflation will often turn inflation in (not given in any table in Guillebaud's retail prices tended to go up proportionately, its later stages from a stimulating force to a book) from which his January figure was ap­ and all costs tended to go up proportionately. depressing and demoralizing force. But the parently taken, we find that recorded unem­ But this never happens--a crucial fact that is public and politicians will increasingly be­ ployment in October, 1923 was 534,000, 1n systematically concealed from those econo­ lieve that these depression consequences of November 955,000, and in December 1,743,000. mists who chronically fix their attention on continued inflation are the consequences of So the January figure of 1,533,000 of re­ index numbers or similar averages. These insufficient infiation. They will demand that corded unemployment was not much above economists do see that the average of whole­ the inflation be stlll further accelerated. this. In any case thls unemployment was sale prices usually rises faster than the aver­ The reason an infiation is not stopped is shortlived. In spite of interest rates, in terms age of retail consumer prices, and that the that people begin to dread more and more of the new currency, as high as 100 per cent average of wage-rates also usually rises faster what will happen if it is stopped. They fear in January, and even from February to May than the average of consumer prices. But a stabilization crisis. They fear mass unem­ at an average, figured annually, of 35 per what they do not notice until too late is that ployment. The only alternative seems to be cent, Guillebaud tells us that "activity re­ market prices and costs are all rising un­ to accelerate the inflation. But, as we see, vived, and unemployment for the first time evenly, discordantly, and even disruptively. this simply leads to increasing disorganiza­ since August, 1923 began to decline, and was Price and cost relationships become increas­ tion and demoralization of business. In the not more than 700,000, 1n April, 1924." It fell ingly discoordinated. In an increasing num­ end, we begin to get mass unemployment to 328,000 by July, better than a normal ber of industries profit margins are being anyway. average. wiped out, sales are decllning, losses are set­ Suppose, by some miracle, the government RAPID RECOVERY ting in, and huge layoffs are taking place. stopped inflating-now. Would the conse­ Unemployment in one line is beginning to quences really be as bad as most people fear? A similar picture of recovery is given by force unemployment in others. There is every reason to think that they Costantino Bresciani-Turroni, in his book All this is the consequence of an inflation would be incomparably better than if the The Economics of Injlatfcm (1931). This ls in its later stages. But the irony is that this demoralizing effects of the inflation are al­ the most thorough and the most famous of consequence is systematically misinterpreted. lowed to continue. the books written on the great German in­ The real trouble, everybody begins to think, flation. Bresclani-Turroni tells us that in is that there is not enough inflation; it must GERMAN HYPER-INFLATION the first months of 1924, when the infiation by all means be speeded up. We can get some light on this if we study was over, there was "a remarkable increase This is the stage at which we have now what happened in the great German hyper­ in wages," and that this "big increase in the arrived. A swelling chorus of voices has been inflation which ran roughly from 1919 to average income of workers was the combined demanding that the Federal Reserve "tempo­ the end of 1923. In the course of that infla­ effect of the rise in wage-rates and the fall rarily," at least, increase the growth rate of tion the German paper mark fell to a pur­ in unemployment" (p. 396). And in the final the money supply. It is almost universally chasing power equal to only one-trillionth summary paragraph of the book he writes: believed that the reason the banks' prime of what it had been before the inflation set "At first inflation stimulated production lending rate was recently at 12 per cent is in. This is another way of saying that prices because of the divergence between the in­ that the Federal Reserve was following a soared a trillion-fold. ternal and external values of the mark, but "tight money" policy. The Federal Reserve In the last stages of that inflation produc­ later it exercised an increasingly disadvan­ authorities even themselves seem to believe tion became disorganized and unemployment tageous influence, disorganizing and limiting this. In early December they reduced the dis­ soared. Industrial production plunged from production. It annihilated thrift; it made re­ count rate from 8 to 7% per cent, and a an index number of 81bout 125 in 1921 to form of the national budget impossible for month later to 7%, per cent, to prove that about 60 in 1923. Unemployment among trade years; it obstructed the solution of the Rep­ they meant to follow a less stringent money union members, which had been as low as arations question; it destroyed incalculable policy. 0.6 per cent in July of 1922, rose to 19.1 in moral and intellectual values. It provoked a The truth 1s that market money-rates have October, 1923, to 23 .4 per cent in November, serious revolution in social classes, a few been high precisely because we have been and to 28.2 per cent in December. The index people accumulating wealth and forming a inflating, precisely because the Federal Re­ of the real income of the German industrial class of usurpers of national property, whilst serve has for too long been following a reck­ population plunged from a range of 75 to millions of were thrown lnto pov­ lessly loose money policy. As compared with 105 in 1921 (with 1913-14 equal to 100) to a erty. It was a distressing preoccupation and the 8 per cent discount rate of the Fed, the range of only 36 to 47 in November of 1923. constant ·torment of innumerable families; discount rate of the Bank of England was These figures are taken from Prof. Frank D. it poisoned the German people by spreading last year between 11¥2 and 12% per cent, the Graham's 1930 book on the German inflation. among all classes the spirit of speculation March 19, 1975 EXTENSIONS OF REMARKS 7599 and by diverting them from proper and regu­ tween that 5 percent and the 12 percent to suffer under the toll inflation takes in lar work, and it was the cause of incessant at which the cost of living is currently our society. political and moral disturbance. It is indeed Many elderly Americans rely on their easy enough to understand why the record climbing. When Congress enacted the of the sad years 1919-23 always weighs like a. annual escalator clause to provide for social security payments as their sole nightmare on the German people." regular cost-of-living benefits increase, source of income. There is a fundamental The lesson is clear. We should stop our own it was intended to protect the aged and need to establish a minimum floor of in­ in.fiation now. Not some time in the .future, disabled against inflation. come for these people. My bill increases but now. We should not slow down the rate The voracious appetite of inflation social security payments by a third of gradually over the years, but stop infiation gobbles away at savings and pensions. the present average amount. In addition, now. And this means, to repeat, two main Food prices, rents, property and sales it provides for annual adjustment of this measures: first, balance the budget, balance sum. it wholly by slashing expenditures and not taxes, and the ever-increasing burden of at all by raising taxes; and second, stop ex­ medical care costs zoom out of sight. The erosion of the purchasing power panding bank credit and printing paper About 80 cents out of every dollar the of fixed incomes is a relative problem. For money. elderly have must go for day-to-day sur­ $2,053.24 a year an elderly person living Some other measures will be necessary to vival. Disappointment rather than relief in a nonmetropolitan area of the South make these two basic steps effective, but I clouds the present and decreased services can have all the goods and services and will mention only one of them, because of rather than additional assistance lurks enjoy the same standard of living that its overriding importance. We should repeal in the future. would cost him $2,425.08 in New York all the labor laws, passed over the last forty years, that buUd up the power of labor Surely a nation that has so much City. Yet, regardless of where he lives unions, strengthen the extortionate striJte­ money to spend for the instruments of and what it costs to live there, his social threa.t system, and in effect force employers death and destruction can set aside a security check is the same--$2,244 a year, to capitulate to labor union demands. This fraction of that amount to pull its elder­ for the averaged retired worker. means the repeal of the Norris-Laguardia. ly out of poverty. For the person living in the lowest cost Act, of the Wagner-Taft-Hartley Act, of the Poverty is not a transitional problem areas, this means social security benefits Davis-Bacon Act, and probably a nest of for the elderly. Unfortunately the in­ cover the cost of his minimum needs. But others. equities of the social security law present that is not the case for a New Yorker, obstructions to the solution of the No. whose cost of living is significantly high­ 1 problem of today's aged population: er. Monetary compensations must be FURNISHING OUR AGED AND DIS­ low income. If we do not enact a bold, made in our fixed income programs in ABLED WITH ADEQUATE SOCIAL comprehensive, and truly meaningful so­ order to equalize the differences in re­ SECURITY INCOME cial security bill, many of our aged citi­ gional costs of living. A measure equating zens may not have any alternative but dollar value with purchasing power must HON. BENJAMIN S. ROSENTHAL to go on welfare, dealing a crippling blow be implemented in our Federal public OF NEW YORK to their pride and to the financial sol­ assistance programs for them to have IN THE HOUSE OF REPRESENTATIVE:: vency of many of our cities and States. any value at a national level. My bill To assure the aged and disabled a de­ addresses itself to this problem by in­ Tuesday, March 18, 1975 cent standard of living, I am proposing creasing benefits for those living in met­ Mr. ROSENTHAL. Mr. Speaker, today legislation to establish assured annual ropolitan areas where the cost of living I am introducing comprehensive legisla­ income benefits to them. exceeds the national average. This would tion to provide a minimum floor of in­ My bill would: be in accordance with the cost-of-living come for aged and disabled Americans First. Establish a minimum standard differentials determined by a Federal remedy many of the inequities of the so­ of income for all elderly Americans of data-gathering source on living costs, the cial security system, and expand medi­ $3,850 for an individual and $5,200 for a Bureau of Labor Statistics. care coverage. couple; I recognize that some Members would In America those 65 and older com­ Second. Adjust this sum annually to be reluctant to support a measure which prise 10 percent of the population, and reflect changes in the intermediate budg­ would appear, on the surface, to give as we price ourselves on our medical et-level cost as determined by the Bu­ their constituents slightly less money strides in lengthening human life, th1s reau of Labor Statistics and increase than it would to social security recipients proportion will continue to increase. Yet benefits for those living in large metro­ in certain other areas. However, I am we condemn our elderly to poverty, de­ politan areas where the cost of living confident that after close study of this creptitude, wretchedness, and despair. exceeds the national average; proposal, you will see the justice in this Nearly 1 in 6 elderly persons is on Third. End discrimination against the measure. While the dollar total of bene­ an income below the poverty threshold, working wife by providing payment of fits may differ from area to area, this and thousands more subsist only slightly benefits to married couples based on their bill would equalize the real dollar buying above that level. combined earnings record; power of social security recipients The income provided for by social se­ Fourth. Extend social security cover­ throughout the Nation, regardless of curity is unrealistically low. According to age, including medicare to local, State, where they live. a study by the Bureau of Labor Statis­ and Federal employees, including postal By extending medicare coverage to all tics, the best that senior citizens living workers, at their option; disabled persons, regardless of age, and solely on social security benefits can af­ Fifth. Remove the limitations on out­ reducing to 60 the age of entitlement to ford are meals comprised mainly of side earnings; medicare benefits for all others, my bill starches, only the least expensive sani­ Sixth. Improve and expand medicare would lift the burden of high cost health tary housing available, transportation by coverage. care for those who cannot afford the crowded and unsafe transit lines, and the This legislation would be financed by price of adequate care. In eliminating the lowest and cheapest quality clothing that a combination of payments from the so­ coinsurance payment requirement for can be bought. Forcing our aged and cial security system and appropriations supplemental part B coverage for per­ disabled to live on such miserly incomes from general tax revenues. sons with a gross annual income below is degrading to them and it is shameful Recent increases in social security $4,800, providing home-care prescription that we will provide them nothing better. benefits have fallen far short of their drugs under supplemental coverage and President Ford's proposal to limit this intended goal of offsetting inflation. The removing the 100-day limit on posthos­ year's cost-of-living increase in social se­ effect has been that the buying power pital extended care services, my bill curity cash benefits to only 5 percent of older Americans has been decreasing would greatly ease the monetary hard­ demonstrates a callous disregard for the drastically. In 1974, the Consumer Price ship on medicare recipients. plight of older Americans on fixed in­ Index rose 12.2 percent and there is no By offering free annual physical ex­ comes. These retired workers are already indication that it is slowing down in aminations for the elderly, this legisla­ slipping farther and farther behind in 1975. tion stresses preventive as opposed to the struggle against in:tlation. If we ac­ Unless the minimum income level is crisis medical treatment, thereby elimi­ cept the President's plan, we would be raised, older Americans can give up hope nating much of the pain and cost in­ penalizing social security recipients by for dealing with their most basic ex­ volved in treating serious diseases. asking them to absorb the difference be- penses. They are one of the first groups Not only should we promote nonhos- 7600 EXTENSIONS OF REMARKS March 19, 1975 pita! and posthospital care for the aged, British experience in our own country. health program that would insure complete but we must also resolve to ease the Lin Williams discusses the problems care for all Americans. financial burdens of necessary prescrip­ besetting British health care in his The cost of $6 billion annually so .blith ely tion costs. The elderly consume 25 per­ pulled out of the air now looks more like $60 column. Following is the text of that billion for starters. Such high order of math­ cent of all prescription drugs, although column: ematics never used to bother our law-makers. they constitute only 10 percent of our BRITISH EXPERIENCE SLOWS HEALTH PLAN Lately, however, they have had to admit population, and spend about three times (By Lin Williams) there just isn't that much money, physically, more per capita on these medicines than There is a snake in Great Britain's medical in existence. the rest of the population. In 1970, that garden of Eden! In fact, the worry here has become one of came to $50.94, compared to $16.29 for The womb-to-tomb National Health Serv­ how to save the Social Security and Medicare persons under 65. ice is about to go under after 26 years of free plans we already have. These systems will be The coverage of out-of-hospital pre­ medicine and surgery. bankrupt in 15 years unless something dras­ The great social experiment ha.s worsened tic is done soon to refund them. scription drugs will, I beUeve, have a The Social Security payroll tax of six per significant side benefit. Many times the health service in that country, and the ex­ perience is giving U.S. lawmakers second cent on employes matched by six per cent on elderly must be admitted to hospitals thoughts about a similar system here. employers is so regressive that it now has an in order to qualify for medicare coverage Everybody in Britain is entitled to free immediate and drastic impact on employ­ of drug purchases that could otherwise medical care. The physicians, nurses and hos­ ment. be prescribed on an outpatient basis. pital staff under NHS are paid by the gov­ The only answer, of course, is to start sup­ ernment. porting Social Security from general tax rev­ This proposal will not only eliminate this enues-primarily the personal income tax­ unfortunate use of much needed hospital However, the doctors and technicians or cut services, or both. space, but will avoid the potentially threaten mass resignations. Their salaries have fallen to that of unskilled workers-in It is not likely even an irresponsible Con­ tragic psychological impact that a hos­ many cases less. gress will have the nerve to set up a laud­ pital stay can have on older people. This The nation's 23,000 nationalized physicians able but impossible health plan while the is a price that the elderly should no long­ pension and old age health plans are threat­ earn an average of $14,000 per year. Interns ened. er be expected to pay. make $5,000 a year for an 80-hour week. Den­ tists average $13,000 annually. Hopefully, the British experience is teach­ Every part of this bill affords effective, ing a valuable lesson: that half a loaf is bet­ tangible, and solvent ways of correcting Nonmedical staff workers have walked off ter than none. the question it deals with. We all face the job in many hospitals. Some hospitals are The garden of Eden has a begu111ng snake a common aging problem. We must pro­ closing permanently-85 in the Birming­ that promises us a free lunch, but Adam and ham industrial area alone. Out patients are vide and plan for a retirement period of turned away. Eve didn't find it and neither will we. indeterminate length and uncertain Emergency cases are treated promptly, but needs. In 50 years, 15 percent of all patients needing corrective surgery have to Americans will be over 65, a third of get on a waiting list for up to a year. these, 15 million, will be over 75. My blli There are about as many private physi­ WOMEN'S AMERICAN ORT DAY will help eliminate many of the spiraling cians a.s nationalized and their fees are sub­ OBSERVED IN problems that have plagued our country's stantially higher. The private doctors are the most competent and are swamped with aged. It must be kept in mind that social patients. But they, too, are handicapped be­ HON. STEPHEN J. SOLARZ security is not charity, but insurance cause they are allowed to use about one per OF NEW YORK bought and paid for by American work­ cent of Britain's hospital beds. IN THE HOUSE OF REPRESENTATIVES ers. Even this tiny, profitable fraction of Brit­ Mr. Speaker, the longer we delay in ain's medical business is bitterly resented Tuesday, March 18, 1975 adopting a social security program that by the socialist labor unions. A strike by the Mr. SOLARZ. Mr. Speaker, last Sun­ provides an adequate standard of living, National Union of Public Employes demand­ day I was privileged to participate 1n the longer we delay in providing the de­ ed an end of the last vestige of private medi­ cal practice. The government caved in and ceremonies in Brooklyn paying tribute cent and respectable income our elderly barred all but a token few beds to private to the outstanding work of Women's deserve. For this reason, Mr. Speaker, I doctors. American CRT-Organization for Reha­ strongly urge prompt passage of the bill As the war of nerves between socialists and bilitation Through Training. March 16 I propose today. physicians escalates, so does the backlog Qf was officially designated as 1975 ORT applications by doctors to leave the country. Day in Brooklyn by the borough presi­ Thus, every belligerent move by the govern­ dent and the ceremonies held in the BRITISH HEALTH PLAN A FAILURE ment deepens the crisis. The British Medical Association takes a. Joyce Kilmer Park on Kings Highway­ typically English view of the situation­ which had been redesignated as ORT HON. JOHN M. ASHBROOK acknowledgement of the other fellow's posi­ Way for the day-focused on the many OF OHIO tion, but dogged determination not to accept important community contributions IN THE HOUSE OF REPRESENTATIVES it. made by Women's ORT and its members. Dr. Brian Lewis, a member of the associa­ ORT is the vocational training pro­ Tuesday, March 18, 1975 tion rulin:; council told a Scripps-Howard in­ gram of the Jewish people. Through its Mr. ASHBROOK. Mr. Speaker, na­ terviewer that his group was "not opposed to worldwide activities this dedicated group a health service for that's a proper part of a tional health insurance is viewed civilized country fo:r:- people who can't cope." assists Jewish people by teaching them by many as the answer to our Nation's He complained that the present national modem trades and skills. It is an effec­ medical problems. Before eagerly em­ health service could provide either two­ tive self-help effort in which Jewish men bracing this system, however, we should thirds of the service for 100 per cent of the and women are aided in becoming pro­ look carefully at the British experience people, or 100 per cent of the service for two­ ductive, economically secure, and self­ with such a health plan. thirds of the people. supporting individuals, free from de­ England offers every citizen free medi­ The medical association favors providing pendence on charity. Among many of cal care. This system is now lurching the latter approach-total free service for the efforts in which Women's American toward disaster. most citizens. Those most able to pay would cover their needs with medical insurance ORT engages are work with the Jewish Health service in England has rapidly on which they would receive tax credit. Association of Service to Aged in helping deteriorated. Hospitals are closing. Doc­ This makes sense for the higher-income the Jewish elderly and handicapped, as­ tors an d technicians are threatening citizens trying to hold on to the few shreds sisting newly arrived 1mm1grants in re­ mass resignations as their salaries drop of private initiative in a nearly Communist settling in the United States, serving as to that of unskilled workers and in some country. But it is a pitiful delaying tactic. volunteers in local and community cases less. Although emergency cases The majority resents any hint of above­ schools as tutors and teacher's aides, es­ receive prompt treatment, patients need­ average success or prlvllege and are wllllng­ ORT CRT­ no, eager-to bring down t h e temple rather tablishing courses using ing corrective surgery are put on a wait­ than compromise the utopian dream of life trained teachers in numerous yeshivas ing list for up to a year. without risk. and in working with the Metropolitan Congress should take a h ard look at U.S. congressmen watch development in Coordinating Council on Soviet Jewry. the failure of the health program in Great Britain with increasing nervousness. I am pleased to join in paying tribute England. We cannot afford to repeat the They have promised a national medical and to the fine work undertaken by this dis- March 19, 1975 EXTENSIONS OF REMARKS 7601 tinguished organization and wish Wom­ will equip students for life when they grad­ zuela; a vocational guidance program in en's American ORT continued growth uate. South Africa and a. school, most of whose and success. WORK AND SCOPE OF ORT students are new Americans, in New York. Mr. Speaker, in order that our col­ To achieve its goals, ORT has gone into all ORT is now engaged in setting up an "opera­ parts of the world, setting up its operations tional presence" in the U.S. leagues may better acquaint themselves wherever vocational training can rehablltate 6. India: ORT has set up a school in Bom­ with the programs undertaken by Wom­ the underprivileged and raise the economic bay, India. The decision to do so was taken en's American ORT, not only in Brook­ and cultural level: wherever Jewish youth after surveys CYf the Jewish communities in lyn but throughout the world, I present require training for productive lives in mod­ India. showed conclusively that the Jewish herewith, for inclusion in the RECORD, a ern schools and workshops in 22 countries on people of this country, who are very impov­ brief factsheet: five continents. erished, will get immediate and great benefit PuBLICITY FACTSHEET: ORT DAY 1975 ORT has grown constantly for years; the from ORT vocational schooling. Because of causes behind this growth have been both India's drive for industrialization, skilled "Historically, CRT's efforts have been in the demands of growing nations for skilled workers can get good jobs immediately. In behalf of displaced and disadvantaged men manpower and the increasing realization 1973, 528 students were in training. and women. But you have been quick to among individual men and women that 7. U.S.: ORT 1s currently engaged in estab­ realize that vocational careers are not only skilled hands and trained minds lead to lishing an ORT "operational presence" in for the underprivileged. More than in other prosperity and freedom. the U.S. which w111 be located in the New volunteer organizations in our country, you Men and women, boys and girls receive York metropolitan area., concentrate on a. have been responsible for changing the im­ from ORT schools training in more than 70 Jewish poverty area and serve as a. model for age of vocational training. More and more of different skills and trades, ranging over such federal, stwte and local groups interested in our young people agree with your philosophy, diversified fields as tool and diemaking, elec­ blending academic and vocational educa­ and they are actively seeking alternatives to tronics, agromechanics, general mechanics, tion to provide "an education for life." college education."-Prestdent . the building trades, dressmaking, autome­ FINANCING THE ORT SCHOOLS chanics, laboratory techniques, welding, etc. ORT installations are financed in part by Subject: ORT Day 1975. This high-standard vocational education is Date: In Brooklyn, NY, ORT Day has been ORT groups throughout the world; in part accessible to the underprivileged. With a few by the respective governments of the coun­ set for celebration on: Sunday, March 16, minor exceptions (where nominal enrollment 1975. tries in which the schools are located; and fees for high schools are required by state in part by the Joint Distribution Commit­ Sponsor: Women's American ORT (Organiza­ law), all ORT schools are tuition free. tion for Rehabilitation through Train­ tee, a member agency of the United Jewish ing). ORT AROUND THE WORLD Appeal. Women's American ORT supports ORT Day Chairman: Miriam Pressman, Na­ 1. Europe: ORT began training in the program through its membership dues. tional Membership Chairman. Europe to enable them to take advantage Contributions have been made to ORT by Brooklyn Region ORT Day Chairman: Mrs. of industrial opportunities which opened up foundations, the U.s. Government, and even Gloria Goold. to them. During World War II, ORT activi­ by countries where no ORT program operates, Brooklyn Publicity and Public Relations ties continued clandestinely as part of the such Sweden and Norway. Chairman: Mrs. Honee Beck. anti-Hitler underground. After the war, ORT WOMEN'S AMERICAN ORT took on the task of giving vocational educa­ WHAT IS ORT? ORT has operated uninterruptedly for 95 tion to the refugees and survivors of the con­ years. Women's American ORT has rendered ORT (Organization for Rehabllitation centration camps. Later, ORT established in­ through Training) is a worldwide system of vital and growing assistance to the program. stallations which continued to serve the Founded in 1927, Women's American ORT vocational schools designed to help build European population. In 1973, CRT's west­ and rebuild human lives by teaching modern grew rapidly and is now one of the largest ern European program operated in Austria, and most significant women's organizations skills. The vocational training agency of the Franch, Italy and Switzerland, giving train­ Jewish people for the past 95 years, ORT be­ in the U.S. It counts nearly 120,000 members ing to 10,104 students. in 900 chapters, located in virtually every lieves that the best kind of help that can be 2. North Africa: Ground down by centuries given a. man is the kind which enables him important city across the nation, and is the of oppression and poverty, the North African largest ORT organization in the world. to help himself. The ORT student becomes a Jews had grown almost used to the squalor productive, independent, economically secure and meaninglessness of their lives within PROMINENT MEMBERS human being, self-supporting and freed from the haras and mellahs-economic ghettos. Among its more prominent members 1n charity. ORT is the lever that has enabled thous­ the United States was the late Herbert H. WHAT IS ORT DAY? ands of North African Jews to lift themselves Lehman, who was Chairman of the ORT ORT Day is sponsored on a nationwide out of their ghetto hovels. In 1973, 1,379 Advisory Committee and Honorary President basis by Women's American ORT~the largest students were trained in Morocco and Tu­ of the World ORT Union. ORT counts such group in the world supporting the ORT pro­ nisia, many of them under the apprentice­ distinguished members as Senator Jacob K. gram. The day is the jumping-off point for ship, pre-apprenticeship and adult programs, Javits and Representative Emanuel Celler, the organization's spring membership drive especially important in these areas where so officers of the ORT Congressional Committee; which t his year will be the most intensive many people are too impoverished to spend Mrs. David M. Goldring, National President of and extensive ever. years as full-time students. Further help is Women's American ORT; Dr. William Haber, The successful expansion and development given by the ORT social assistance and stu­ President of the American ORT Federation, of an ORT program which can accommodate dent health plans. Chairman of the U.S. Federal Advisory Coun­ each and every applicant who wishes to enter 3. Israel: CRT-Israel, which began in the cil on Employment Security and Chairman of its schools depends on the growth of Women's country in 1949, has been throughout its the Central Board of the World ORT Union; American ORT in this country. The greater history one of the most vigorous forces mov­ David Dubinsky, former President of the and more accelerated the growth here, the ing its country toward greater strength. International Ladles Garment Workers' greater number of those abroad who will be CRT-Israel began with a student body of Union and member of the ORT Board of able to receive the ORT training that means 655 discharged soldiers and wounded per­ Directors; Louis Hollander, President of the security, dignity and independence to them. sons, and in 1973 had 44,205 students in 725 New York State C.I.O. and member of the The greatest of all the world's resources training units. ORT is the country's recog­ ORT Executive Committee; George Backer, is its human resources and Women's Ameri­ nized vocational training agency, the teacher Honorary President of the American ORT can ORT has pledged itself to the maximum of a very large majority of all students learn­ Federation; and the late Baroness Pierre de development of human potential through its ing heavy industrial trades, and the largest Gunzbourg, Honorary President of Women's global network of vocational education and single trainer of skilled workers. ORT is American ORT (1950--1969). training. currently engaged in building the ORT ORT is presently embarking upon an op­ School for Engineering in Jerusalem. erational presence in the U.S. which will 4. Iran: The Jews of Iran, like those of serve as a model for t he kind of organic edu­ North Africa, have a long history of depriva­ cation-blending vocational and academic­ tion. Their country is now making economic CONGRESSIONAL MEDDLING which is part and parcel of the worldwide progress, but it has long been among the ORT network. Women's American ORT, in its world's poorest. When ORT entered Iran in American Affairs program, is currently en­ 1950, it had to overcome a tradition of hope­ HON. GEORGE MILLER gaged in a campaign to alert the American lessness and work within the framework im­ OF CALIFORNIA public to the necessity for sweeping changes posed by an economy just beginning to in­ IN THE HOUSE OF REPRESENTATIVES in our educational system, especially with dustrialize. ORT has expanded to include 52 regard to vocational education, and to in­ training units in Teheran. The 1973 enroll­ Tuesday, March 18, 1975 troduce the concepts of career education a.nd ment was 3,121. Mr. MffiLER of California. Mr. Speak­ the comprehensive school as concrete steps 5. ORT also has an expanding network in toward bettering education here. Women's Latin America (Argentina, Brazil, Uruguay) er, I am pleased to enter into the REc­ American ORT is promoting American edu­ teaching nearly 6,000 students In 1973. :rn oRD a signiflcant article by Mr. Joseph cation that is based on real needs and that 1971, the first ORT school opened in Vene- Kraft, nationally syndicated by Field CXXI--480-Part 6 7602 EXTENSIONS OF REMARKS March 19, 1975 Enterprises, Inc., and published in the possible negotiations, and at the same time through an "accounting identity." But in asserts that the government of Lon Nol 1S recent weeks, independent analyses have Washington Post, March 13, 1975. "legitimate." been conducted by Norman B. Ture, a Wash­ The column titled "Congressional These arguments are mostly ponsense. ington-based consulting economist, and Al­ 'Meddling' " appears at a time when the There Is no reason to believe the Lon Nol lan H. Meltzer of Carnegie-Mellon University. Congress is making a major effort tore­ government can ever right the In!Utary bal­ Each reports that, untU he got the numbers store the delicate balance between the ance to the point o! making a negotta.ted. down, he could not believe things are as bad branches of Government and, therefore, settlement possible. The Khmer Rouge rebels as they are. deserves our attention. have at least as good a claim to legitimacy The crux of the matter is that when the as Lon Nol, and they are !ar from being federal government borrows to cover its def­ Almost as soon as Congress was sworn icits, it competes With private borrowers who in unknown figures. on January 14, and before the new The Congress, fortunately, has read the need funds to invest in plant construction Members were able to warm their seats, situation well. Instead o! trying to prop up and housing. Both government and private the President began his attack on the the satemte regime for one more go at a needs must be met from the savings pool. 94th Congress with the help of other position o! strength, senators and representa­ which consists of business savings (profits members of the executive branch. tives understand that the right way to a plus depreciation and other "capital con­ Playing politics in the dismal winter settlement is through a change in the regime sumption allowances"), personal savings and in Phnom Penh. With Lon Nol gone and the inflows of foreign funds. Allowing for special of national discontent appalled this first­ factors and statistical error, the two totals term Congressman. It has obviously dis­ struggle to achieve political advantage abandoned, arrangements can be made for wlll always be the same; this is the "ac­ mayed the American people. an orderly transfer of owner. The result, far counting identity." This is not to say that any branch from being a disaster !or the United States, The problem is that if you plug some rea­ of government should be ever free to Will be a left-wing government likely to ag­ sonable 1975 projections into this equation. criticism. It is to say that the timing and gravate even further the abundant strains it is very hard to get the totals to come out content of criticism offered by the ex­ working among Hanoi, Peking and Moscow. equal. This suggests that as the heavy gov­ ecutive branch is worthy of attention by Two leading senators-the Maryland ernment borrowings come on stream in the Republican Charles Mathias and the lllinois second half, the economy may well be in for the press and the Members of Congress. some type of severe shock now only dimly If we are to serve the people, to halt Democrat Adla.t. Stevenson ill-have seen that the same logic applies to Vietnam. foreseen. A typical projection, with calendar the slide into recession, to end favors They are readying legislation which would year 1974 as a base, would look something for the few at the expense of the many, cut o1f aid to Saigon unless the regime of like this: we will need cooperation between the ex­ President Nguyen Van Thieu moved toward [Billion dollars) ecutive and congressional branches of !ree elections and a more broadly based gov­ Government and a moratorium on petty ernment. Only in that way can pressure be 1974 political thrusts--for a few more months applied to Gen. Thieu to set up the kind of Invest+ Deficit Eq. Bus. Sav. +Per. Sav. +For. lnv. at least. regime which could achieve a settlement. 208.9 + 5.9 Eq. 136.5 + 76.7 + 3.6 This is not to say that the Congress ought Total 214.8. Eq. total 216.8. The article follows: to meddle indiscrlininately and try to fine­ 1975 205 + 70 Eq. 150 + 80 1(} CONGRESSIONAL ''MEDDLING" tune all foreign pollcy issues. On the con­ Total 275. Eq. 240. + (By Joseph Kraft) trary, recent experience teaches us that there Eq. means equals. Events are now making a liar of the claim is a definable condition where congressional that congressional "meddling" in foreign meddling works. First, a word about the estimates. Private affairs inevitably yields disaster. Thanks to That is the situation where the United. investment may fall off more rapidly, but just such meddling, the Turks and Greeks States has become the prisoner of a client so may corporate profits. Personal savings are once more on the road to a Cyprus settle­ state, where American offiCilals have become may be higher if the savings rate rises but ment. personally overcommitted to allied regimes, wm be lower if personal income falls. The Similar meddling holds out prospects for where the executive branch is burdened. by net inflow of foreign funds may increase, but settlement in Cambodia-and eventually past commitments to the point of being un­ the above estimate already provides a tri­ Vietnam. For only the Congress-it now be­ willing to reexam!ne them in the light of pling in a year's time. The estimate of a $35 comes clear-can break the perverse logic changed circumstances. bUlion gap is essentially a conservative one. whereby officials of the executive branch In those situations, the Congress, with its and the question is, how will this gap be regularly cause the United States to be­ ego uninvolved and its !ace in no need of closed? come the prisoner of its allies. saving, has a wisdom which the executive Part of the gap-and in a sense the whole Take first the case of Cyprus. The Con­ branch does not. It can get the President off debate is over how much-will be filled by gress cut off military aid to Turkey in order the hook, and its meddling works. the Federal Reserve System's purchases of to force Ankara to compromise with Athens federal debt by in effect printing up new on a Cyprus solution. money. Over the course of a normal year. The President and all his men harumphed THE REAL STATE OF THE the Fed wlll buy federal securities, thus about congressional interference. Secretary ECONOMY: A WARNING injecting reserves into the banking system of State Kissinger spoke of an "unmitigated and making the money supply grow. It's easy disaster," and claimed the move to cut off enough to calculate roughly the relationship aid would only stiffen Turkey resistance, HON. BARRY M. GOLDWATER, JR. between the Fed's purchases and money growth. At a 6% growth in the narrowly thereby harming the Greeks. Secretary of OF CALIFORNIA Defense James Schlesinger also spoke of dis­ defined money supply, the Fed would buy aster, and warned the Turks might begin IN THE HOUSE OF REPRESENTATIVES about $7 billion in new federal debt. If the cutting back their military cooperation in Tuesday, March 18, 1975 Fed closes the gap by buying the whole $35 ways harmful to the security of Europe. blllion, the money supply would grow by In fact--after some huffing and puffing­ Mr. GOLDWATER. Mr. Speaker, the about 30% over a year's time. Turkish authorities saw that washington lead editorial in Before we go one sentence further, let meant business and that their forces would of March 13, 1975, should be must read­ everyone understand that money growth soon be running out of spare parts. Ankara, ing for every American, and mandatory anything like the latter figure will not only in these conditions. turned reasonable. Sec­ reading for every Congressman and Sen­ rekindle inflation, but will make interest retary of State RJssinger was received there ator. It portrays our economic situation rates go up, not down. As soon as lenders Tuesday. Now negotiations for a Cyprus and borrowers see that kind of money growth settlement have been renewed and the out­ in the harsh light of reality. I present it coming, they will start to crank higher in­ look is not bad. for my colleagues' attention: flation estimates into their calculations. Mr. In the case of Cambodia, the issue is [From the Wall Street Journal, Mar. 13, 1975) Ture expects the Fed to monetize the bulk whether to grant $222 million in special CROWDING OUT of the deficit, for example, and talks in terms aid for food and ammunition to the belea­ Understanding the economy in 1975, un­ of a prime rate of 20% by the end of 1975. guered government of President Lon Nol. fortunately for those of us with enough on If the Fed pursues reasonably moderate President Ford claims there is a "moral" our minds already, requires an understand­ money growth, the deficits will stlll make in­ obligation to help. The Secretary of Defense ing of an esoteric economic debate over some­ terest rates rise, though not so astronomi­ implies that to abandon Cambodia would ad­ thing called "crowding out." cally. The normal operations of the market vertise American weakness to the world. The Treasury Secretary Simon sounded the first would balance the equation through higher State Department indicates that it favors ne­ guns in this debate by warning that financial interest rates, discouraging borrowing and gotiations and could get something going if markets cannot finance both the huge fed­ encouraging savings and foreign inflows. the situation on the ground were improved eral deficit and the needs of private bor­ But with a $35 bllllon gap to close, this and it could find somebody to speak for the rowers. Some economists have described his implles interest rates that stlll might be high Communist insurgents, or Khmer Rouge. fear as "hysterical." In a letter to The New enough to cause severe problems. Presidential Press Secretary Ron Neesen inti­ York Times, six prestigious liberal econo­ A drop in business investment below mates that congressional action would make mists said the problem would be handled $205 billion implies a much deeper eco- March 19, 1975 EXTENSIONS OF REMARKS 7603 nomic decline than so far predicted. Even Yet Congress goes its happy way, adding played any more. The main reason, however, the pessimistic predictions of the Council to expenditures, increasing tax cuts, charting is America's attitude toward the handicapped of Economic Advisers looked for a. small tax bllls that discourage saving instead of and its acceptance of them. To illustrate just increase, not decrease, in private invest­ encourage it, secure in the knowledge that how much acceptance the handicapped peo­ ment. there is a recession on, and in that case Dr. ple do have, the Roper Research Associates Alternatively, the $80 billion in personal Keynes always assured them that budget surveyed one thousand adults across the savings is based on a. savings rate of 7.9% deficits are a free lunch. Didn't he? Nation. The people surveyed were shown of a. disposable income of $1,049 billion. three case histories, the first concerning a Over the last 25 years, the savings rate has mildly retarded young man, the second a ranged from 4.9% to 8.2%. To generate an blind youth, and the third a. young man extra $35 billion it would have to leap to FULL EMPLOYMENT OPPORTUNITY: crippled by a birth defect. The people were an implausible 11%. then asked what should be done about them. Finally, the interest rates necessary to DOES IT EXIST FOR THE HANDI­ Half the people favored institutionalizing force savings up and investment down by CAPPED? the retarded man. Over one-third favored such an amount might themselves be high institutiona.llz1ng the blind man, and over enough to prevent a. recovery. The effect on one-fifth gave the same response for the the housing sector, in particular, is entirely HON. JOHN JARMAN crippled man. Fifty-eight percent of the predictable. OF OKLAHOMA people thought sheltered employment should The long and short of the analysis is that IN THE HOUSE OF REPRESENTATIVES be allowed for the retarded man. Forty-five somewhere between a federal deficit of $50 percent favored sheltered employment for billion and a federal deficit of $80 billion Tuesday, March 18, 1975 the blind man, and thirty-nine percent for the string snaps. To maintain the "account­ ~r. JAJR~. ~. Speaker, each year the crippled man. Only sixteen percent be­ ing identity," you are all but forced to as­ the Oklahoma Governor's Committee on lieved the retarded man should be permitted sume the economy will unwind in one way Employment of the Handicapped con­ to work with others at a regular job. Forty­ or another. You can make the same kind of four percent favored this for the blind man, analysis not through the National Income ducts an "Ability Counts" contest. I am and thirty-six for the crippled man.a Accounts as above, but through a different proud of the fact that this year the win­ Throughout all these answers lies one "flow of funds" methodology. Salomon ner 1s ~iss Cindy ~iller from Oklahoma word: rejection. Just as people turn away Brothers did this earlier in the year, coming City, in my district. Because I feel that from the sight of a. caterpillar, they also turn to this conclusion: Cindy's entry is typical of the feelings away from the handicapped. America does "The consequences of a. U.S. budget deficit of a good many of today's young people, not understand the handicapped. Every un­ substantially greater than the nearly $50 I am pleased to share her thoughts with employed handicapped represents dashed billion estimated by us for calendar 1975 hopes, despair, discouragement, frustration. should be clearly recognized. Such a deficit my colleagues at this time. Her essay fol­ For years, these people have been denied jobs could be reasonably financed only if the lows: because of misunderstanding, but America is economic contraction this year is much FULL EMPLOYMENT OPPORTUNITY: DOES IT finally beginning to wake up to their abil­ greater than we expect. Otherwise the EXIST FOR THE HANDICAPPED? ities and usefulness. budget deficit would either lead to a vicious (By Cindy Miller) The trends toward automation and spe­ struggle for funds between private borrow­ A caterpillar spins a cocoon around him­ cialization in industry today are opening up ers and the government, or the Federal Re· self and hides within it. The cocoon hangs new working fields for the handicapped. A serve would have to supply funds without lifeless among the green-colored leaves, al­ highly trained computer engineer, for exam­ regard to its long-range responsibll1ties. In most hidden and unnoticed. Finally, after ple, performs has vital job perfectly well at any event, a larger than expected deficit a. long wait, the cocoon splits, and from it Hughes Aircraft Company, though he has would threaten economic recovery, despite emerges a butterfly, eager to begin life again. been almost totally paralyzed by polio for the best intentions of government, by crowd­ A handicapped person, like the caterpillar, five years.' ing out medium to lower rated borrowers, builds a cocoon around himself and hides A large Chicago insurance company has many of whom are already in peril, and inside. He becomes lifeless and unnoticed, found that deaf mutes make better-than­ mortgage borrowers as well, thus aborting separated from the green leaves of society. average file clerks and checkers. They are recovery in housing activity." The handicapped people need to be given the able to concentrate better because they are Last week Walter w. Heller, a. valued mem­ chance to break open their cocoons and not a1fected. by office noise and distractions. ber of our Board of Contributors, cited the began life again. Full opportunity employ­ Other deaf people have learned to work as Salomon Brothers analysis as reason not to ment can give them this chance. linotype, tabulator, and key-punch operators. worry about crowding out. But by now the Jerry Cook was given her opportunity. She Blind workers, with their sense of touch Salomon Brothers analysts are well aware broke her cocoon wide open when she began highly developed because of their loss of the deficit for calendar 1975 will be far above work at Hughes Aircraft Company. She works sight, have made superior assemblers, in­ $50 billion. The St. Louis Fed puts the cal­ as a.n accountant, and even though she has spectors, sorters, and counters of small ob­ endar year deficit at $62 billion merely on only one arm, she types 45 words per minute. jects in such vital industries as electronics the basis of administration proposals, which When she is not working, Jerry is teaching and aircraft and missile production. Even included (on a fiscal year basis), $16 billion her copyrighted typing system to similarly cerebral palsy victims have been trained to in expenditure reductions and a tax cut of handicapped people in the ghetto.1 use precise hand tools and work productively on assembly lines.• only $16 b1llion. Harry Ruth was not so fortunate. With one But suppose for a minute that Mr. Heller leg missing at the knee, he applied for the These new fields are giving handicapped is right about 1975 and that the gap is filled job he had been experienced in before his people a chance to prove to themselves and by a happy combination of events. Suppose disabling injury-that of truck driver. De­ to Americt:l. that they can do it. They have money growth is moderate, and the Fed takes spite evidence that men with one leg can always been willing to break out of their up some debt. Falling inflation means lower perform truck driver duties with skill and almost unbearable cocoon. Given the op­ interest rates, and suppose this effect is pow­ safety, Harry was turned down. The trucking portunity of full employment, the handi­ erful enough that non-destructive rates can company manager felt customers would ob­ capped, too, can emerge from their cocoon balance the supply and demand for funds. ject to entrusting their goods to a one-legged and become beautiful butterfiies in today's There still remain two problems. driver. Instead of breaking out of his cocoon, society. One is simply that private borrowers will Harry Ruth just curled up inside of it.2 still be crowded out, that private investment The handicapped are people who are fully will decline. In other words, because of the capable of work despite their mental or phys­ SALUTE TO SOME SPLENDID huge deficits, we have a lower rate of capital ical disabilities. They are w1lllng workers, YOUNG A~ERICANS formation and thus slower economic growth but are often deprived of their opportunity in future years. Assuming that the deficits by misunderstanding and bias. cannot be reduced, this is the smallest price There is much more unemployment among HON. TENNYSON GUYER we can possibly pay. the handicapped than there should be. One OF OHIO The final problem is 1976, or whenever reason is that they need more training and IN THE HOUSE OF REPRESENTATIVES recovery does get under way in earnest. At preparation for a job. Another reason is that Tuesday, March 18, 1975 that point, the investment needs of business many have just given up hope of finding a and housing will go up, not down. If the job. Some have become so discouraged that Mr. GUYER. ~r. Speaker, last fall, 15 government is by then still running $70 bll­ they have dropped from the labor market concerned young Americans practically lton deficits, this will call for an even more and are not even counted among the unem- impossible-looking increase on the savings 1 In Our Path. (Washington, D.C.: Pres­ side of the ledger. At that point, high deficits 1 Harold Russell, "Government, Industry ident's Committee on Employment of the will again threaten to abort the recovery. Help the Handicapped," Reprint from NAM Handicapped, 1972-73), p. 3. This destruction of capital formation, exces­ Reports, Vol. 15. Nov. 23, 1970, p. 47. 'Hiring the Handf.capped: Facts and sive monetization of debt a.nd aborting of 2 Lawrence N. Loban, "The Problem of Im­ Myths, (Chicago: American Mutual Insur­ real growth is essentially what has already posed Handicap," Reprint from Personal ance Alliance), p. e. happened in Great Britain. Journal, Vol. 47, May 1968, p. 5. •Ibid, p. 3. 7604 EXTENSIONS OF REMARKS March 19, 1975 circled the globe in support of our more Ohio friends who have faithfully fought cern over the plight of many small family than 1,300 Americans still missing in the battle for our more than 1,300 still farmers in America. But the Emergency Southeast Asia. They met top officials missing-including some 58 from our Farm Act is of little economic benefit to face to face to intercede in behalf of State of Ohio-who maintain the office America's rural underprivileged. Its our missing in action and prisoners of and works of the Ohio League of Families benefits will be directed, 1n the main, to war at a time when it seemed that Gov­ in Columbus, Ohio. Sandra Paul, our corporate agriculture. ernment. efforts were stalemated. State coordinator, has worked relent­ Enactment of the legislation may sta­ Fifteen persons in all-including ad­ lessly as have her officers and members. bilize prices received by some farmers visers-raised $2,500 each to make the I am now pleased to tell them and re­ but because of the inordinate price journey. Their tour included trips to port to the Congress, that another pil­ spread between farmers and consumers, Paris, Stockholm, Moscow, Bangkok, grimage will be made this very month it will not stabilize food costs to Vientiane, Laos, Saigon, Hong Kong, and by four of the group who went last consumers. Tokyo. July. My specific objections to the bill are These young people, none of whom Mrs. F. A. "Pattie" Sheridan of Wichita, that it increases target prices too much; were related to anyone missing in South­ Kans., informed me that she, along with that it continues the parity concept east Asia, initiated the project entirely Ann O'Connor of St. Paul, Minn., and with respect to dairy products; that the on their own in their desire to see results Sue Cook and Carol Bates of California, loan levels, especially for cotton, are too in behalf of the missing and their fam­ will leave for Bangkok on March 24. high; and, that it will mainly benefit ilies who have endured years of anxiety They expect to proceed to Vientiane, large corporate agriculture. and heartache. Laos, Saigon, SVN, and Hong Kong be­ I strongly believe that we need a new They carried several hundred thou­ fore returning on April 10. They hope food policy in our country; a policy that sand petition names in support of their to meet with the Pathet Lao leaders in will return a fair and steady income to efforts, and did elicit international at­ Laos, including the newly formed JCIA­ farmers and reasonable food prices to tention from the press, the media, and MIA subcommittee. In Saigon they will consumers. This bill will accomplish those in government. try to meet with the North Vietnamese neither of these important goals. While Hanoi refused to cooperate with and Vietcong delegations to the FPJMT. I would like to insert, at this point, a "Youth Concerned," they at least ex­ I have already written to Pattie Sheri­ letter from Virginia Knauer explaining posed the North Vietnamese in their re­ dan, expressing my deep appreciation, her opposition to H.R. 4296: fusal to comply or cooperate with meet­ complete support, and sincere pride in THE WHITE HOUSE, ing the conditions relative to search and this repeat effort to accomplish a won­ Washington, March 18, 1975. reporting as laid down in the articles of derfully unselfish goal-a complete Hon. BENJAMIN ROSENTHAL, the cease-fire. search, inquiry, accounting, and return House of Representatives, Rayburn House Office Building, Washington, D.C. Those who made this journey of love of all of our valiant missing Americans. DEAR BEN: First, I want to congratulate and concern were: Mrs. F. A. "Pattie" I not only wish them well and pray you for your opposition to H.R. 4296, the Sheridan, adviser of Wichita, Kans.; for their success but I am sure millions Emergency Agriculture Act of 1975 which, if Ann O'Connor of St. Paul, Minn.; presi­ of Americans join with them in spirit. it became law, would raise price support dent of the group; Carol Bates, adviser I have indicated that since America has levels for corn, wheat, soybeans, cotton, and from Los Angeles, Calif.; Mrs. Diana Col­ no national flower, we should hold up milk. It would also raise income guarantees lins, adviser from Garden Grove, Calif.; the forget-me-not as our symbol to as­ for many farmers. There is no doubt whatsoever that this Brian Brooke of Lutherville, Md.; Judy sure them that they are not forgotten legislation would have a serious adverse in­ Bowe, Tucson, Ariz.; Kyle Cline, Kan­ nor will we forget. flationary impact on the public. sas City, Mo.; Susan Cook, Santa Bar­ I have extended another invitation to At a time when consumers can afford too bara, Calif.; Scott Gailen, North Holly­ the group to be our guests here at the little, this legislation asks too much. Con­ wood, Calif.; Kathy Hinkley, Hialeah, Capitol upon their return. Meanwhile, I sumers have carried more than their fair Fla.; Debbi Pond, Phoenix, Ariz.; Sue ask the Congress and all Americans to share of the inflationary burden. It would Sember, Warren, Mich.; Dan Smith, not only join these fine young people in not be economic justice to add further to Hollywood, Fla.; Steve Williams, Jack­ any way that we can, but to pledge anew this burden, rather we must seek ways to remove it. sonville, N.C.; and Mark Shoemaker, our support of every means that we can A Chase Manhattan Bank subsidiary­ Columbus, Ohio. secure or command, to bring home those Chase Econometric Associates, Inc.-has esti­ These fine-spirited young people spent who left home to light the torch of free­ mated that the cost to consumers in one year 25 days visiting seven nations and Hong dom for us all. In closing, I want to say would be $4 billion. Chase estimates that Kong to press for full accounting of that if anyone has earned the right to consumers will pay 4.5 cents more per pound our noble missing Americans. They be­ light the candles on our Nation's birth­ for beef, 10.5 cents more per pound for pork, lieved then and still do, that the Com­ day cake on our Bicentennial anniver­ 1 cent more per pound for chicken, 8 cents munists deny access to search teams and sary, it would be these concerned youth. more for a gallon of milk, and 1 cent more for a dozen eggs. block inquiries because they know what In addition to hurting the consumer, this value we in America place on our people. b111 would also hurt the taxpayer. The De­ They also know that this brazen refusal partment of Agriculture estimates that tax­ to cooperate is one more gun at our THE PRESIDENT'S 'cONSUMER AD­ payer costs in 1975 would be $1 blllion, 1s heads to secure American dollars and VISER OPPOSES THE EMERGENCY 1976, $4 blllion, and in 1977, $7 billion. concessions. FARM ACT The House Agriculture Committee has said It was my pleasure to host a luncheon these increases amount to a .. minor infla­ for these young people, here in the HON. BENJAMIN S. ROSENTHAL tionary impact." Appalling is a better de­ Capitol, upon their return last August. scription. OF NEW YORK And perhaps the worst part of this legis­ Other Congressman who joined me were lation, Ben, is that it pits farmers against THOMAS O'NEILL, Massachusetts; JOHN IN THE HOUSE OF REPRESENTATIVES consumers. Just as ther.e are many farmers RHODES, Arizona; SONNY MONTGOMERY, Tuesday, March 18, 1975 favoring this legislation, there are many con­ Mississippi; LARRY WINN, Kansas; CHAL­ sumers opposed to it. Mr. ROSENTHAL. Mr. Speaker, the This is very unfortunate because both MERs WYLm, Ohio; SAM DEVINE, Ohio; House will shortly be taking up the BILL ScHERLE, Iowa; BEN GILMAN, New farmer and consumer have many common Emergency Farm Act, H.R. 4296. This . There isn't a consumer I know who York; BILL DICKINSON, Alabama; and legislation, which would increase target doesn't believe that' the farmer is entitled DELBERT LATTA, Ohio. Senator BoB DoLE prices and loan rates for various key ag­ to a just return for his efforts. Similarly, I of Kansas and Senator BoB TAFT of Ohio ricultural commodities and raise dairy know many farmers who are outraged at the also joined us. Mr. Frank Sieverts of our price supports, will prove costly to tax- price for groceries at the retail level. Both State Department shared our luncheon payers and consumers at a time of great farmer and consumer have an interest in program, and reaffirmed the continuing stabilizing prices. economic stress in the Nation. We should seek ways to achieve stable support and cooperation of our Govem­ Mr. Speaker, farmers and consumers prices without unduly penalizing the con­ ment in this endeavor. share many areas of mutual interest and sumer or the farmer. we can do this. I have continued to meet with our concern and I have 2:reat personal con- Tf this unfortunate measure should pass March 19, 1975 EXTENSIONS OF REMARKS 7605 Congress, I will recommend to the President ference was the presentation of data on the Lung cancer rates have steadily increased that it be vetoed. correlation between air pollution and impair­ in the U.S.; most of the increase may be Sincerely, ment of ventilatory function in children. 11 attributed to cigarette smoking. Even ex­ VmGINIA H. KNAUER, this relationship can be irrefutably demon­ cluding smoking habits, the incidence of Special Assistant to the President for strated and, further, 1f improvements in air lung cancer 1s greater in urban than in rural Consumer Affairs. quality can be correlated with improvements areas. in ventilatory function, then the argument Avallable evidence does not support a re­ for vigorous pollution abatement programs ls lationship between non-occupational ex­ strengthened. posure to air pollutants, and lung cancer in CAUTION: AIR MAY BE HAZARDOUS The luncheon address written by Congress­ urban environments. More definitive meas­ man George Brown, Jr. (D-Calif.), Cha.lrma.n urements of indoor, , occupational and out­ TO YOUR HEALTH of the Subcommittee on the Environment door ambient exposures to cancer-producing and Atmosphere in the 94th Congress, but chemicals are needed to elucidate the en­ delivered by Dr. Robert Zweig, was notable vironmental factors contributing to the ur­ HON. HENRY A. WAXMAN for its unique point of view. ban excess in lung cancer. OF CALIFORNIA AIR POLLUTION, A SOCIAL DISEASE Air pollutants can both initiate and ag­ IN THE HOUSE OF REPRESENTATIVES gravate a variety of respiratory diseases in­ Representative Brown likened air pollu­ clu<:!ing asthma. In fact, the clinical presen­ Tuesday, March 18, 1975 tion to the social disease of VD. Both result tation of asthma may be considered an air from excessive, irresponsible behavior, and Mr. WAXMAN. Mr. Speaker, the Sub­ pollution-host defense disorder brought on both are dtmcult to eradicate because we re­ by specific airborne irritants---pollens, infec­ committee on Public Health and En­ fuse to admit the problem, formulate a ra­ tious agents, and gaseous and particular vironment is currently holding hearings tional plan of action, and then "bite the chemicals. The broncho-pulmonary response on amendments to the Clean Air Act. In bullet" to implement the plan. Brown to these foreign irritants ls bronchospasm the course of implementing requirements stated that, "With VD, shame and embarrass­ and hypersecretion; the airways are inter­ of the act, many studies have been gen­ ment inhibit us. With air pollution, conven­ mittently and reversibly obstructed. Simi­ tional attitudes about economic growth, the larly, functional airways obstruction is also erated regarding the ravaging of the en­ good life, and other valued social goals in· vironment by our cars, factories, and associated with cigarette smoking. hibit our thoughts and actions." In his presentation, Dr. Gareth Green of utilities. All of them lead to one disturb­ Brown feels that our laws are strict enough the University of Vermont, integrated what is ing conclusion: Although some gains to accomplish the goals of protecting the known about air pollutants, host defense have been made in the past 5 years, our public health, but enforcement which could mechanisms and immunologic responses into Nation's health is still in serious jeop­ conflict with other social values, would infiict a unified concept of asthma. An important ardy from air pollution. It is my hope drastic changes on our life style. He feels point he made in regard to the effects of air the subcommittee will greatly strengthen that the magnitude of change that would pollution on host defense mechanisms was the Clean Air Act with new, tough be required to shift our present "material "that the risk of any given exposure varies growth-oriented society" to a "material with both the physical-chemical character­ amendments this year. steady-state" would be depressing. The istics of the air pollutant agent and the ... In December 1974, the American Med­ steady-state condition would require re­ state of the respiratory system of the host." ical Association held a conference wl).ich straint, exquisite planning, and moral recti­ Both acute episodes of air pollution and reviewed the results of air pollution re­ tude. respiratory tract infection are associated search. My good friend and colleague, We have not decreased air pollution to with attacks of asthma in children and the Honorable GEORGE BROWN of Cali­ the level required to protect health. The adults. Air pollution and viral infection ad­ fornia, delivered a major address to the deadline, 1977, to attain ambient air quality versely affect the antibacterial defense conference on the threat to our health standards, Brown feels, will be met by few, mechanisms of the lung, but probably in if any, regions. But, he is certain that the different ways. Air pollutants also suppress from air pollution. Representative necessity for change will be realized, and the immune response in the lung, and in­ BROWN is a staunch, longtime environ­ that some incremental steps to achieve the duce a hypersecretory response in the tra­ mentalist. As chairman of the Subcom­ material steady-state will be taken. These cheobronchial tree. How air pollutants in­ mittee on the Environment and Atmos­ include: pollutl.on standards, already teract with the allergic aspects of asthma phere in the last Congress, he was in promulgated; pollution taxes, to absorb the is not well understood. large part responsible for increasing costs of controlling pollutants and regulate Interestingly, patients with chronic bron­ Congress' concern about air pollution. material growth; and depletion, not deple­ chitis and bronchial asthma living in the At a time when we are again actively tion allowance, taxes. highly polluted cities of Fuji and Yokkaichi Am POLLUTANTS are compensated by the Japanese govern­ legislating in this area, and when we ment for medical fees. must be aware of the continuing dangers Air pollutants are presented to the re­ of air pollution to our health, I commend spiratory tract as a mixture of particulates CARDIOVASCULAR DISEASES heterogeneous in nature and size, and of Limited evidence suggests that oxidants the attached article, highlighting the vapors and gases, both toxic and nontoxic. and sulfur oxides in the atmosphere exert conference findings, to the Members' The chemical-physical interactions among potentially harmful effects on the cardio­ attention: these pollutants are complex and not well vascular (CV) system. Stronger evidence CAUTION: Am MAY BE HAZARDOUS TO HEALTH understood. The respiratory tract is superbly exists that shows that carbon monoxide is (The latest information on the impact of designed to remove most pollutants before capable of impairing CV function. air pollution reveals that the nation's health they reach the smallest reaches of the res­ High ambient CO concentrations, when is still seriously in jeopardy.) pirato.ry tree. inhaled, can impair the function of the heart, What are the economic damages of air pol­ The tissue dam.a.ging effects of air pollut­ brain and exercising skeletal muscles by lUtion? considerable-$12.3 billion in 1970 for ants result from their oxidizing properties. compromising oxygen transport and delivery. the U.S., according to the latest EPA esti­ Nitrogen oxides, ozone, acid sulfates and At low concentrations, CO can decrease the mates ("The Economic Damages of Air Pol­ oxidant hydrocarbons react with the pro­ exercise tolerance in normal individuals and lution," 1974). Included in this were $4.6 bil­ teins and mucopolysa.ccharides in the res­ in patients with arteriosclerotic heart dis­ lion in doctor visits and lost work days, and piratory tract fiuids, and with mucus to ease. $5.8 billion for property damages; not in­ oxidize sulfhydryl groups to disulfide bonds. AI though evidence against a causal asso­ cluded were an estimated 4,000 lives lost each With mucus, the chemical changes result in ciation between carbon monoxide and CV year as a result of harmful auto emissions. increased viscosity that possibly contributes disease exists, the hazard from CO exposure To disseminate the latest clinical appli­ to the hyperviscous sputum of smokers, in­ is increased in conditions where the oxygen cations of air pollution research and, per­ dividuals exposed to chronic air pollution, supply to the tissues is already compromised. haps, send these costs plummeting, the and patients with chronic bronchitis. Cigarette smokers, patients with coronary or cerebral vascular disease, pulmonary emphy­ American Medical Association ( AMA) con­ RESPIRATORY DISEASES vened a conference in December 1974, the sema or anemia, and newborn infants with Epidemiological evidence suggests that respiratory distress would be in the compro­ twelfth such conference since 1966. Partic­ pollutants in the general environment, ex­ ipants came from t!le U.S., Japan and Aus­ mised group. As emphasized by Dr. Jack tria to hear the latest research findings on- cluding smoking and occupational exposures, Hackney, "It is important in protecting pub­ The effect of airborne substances on the may contribute to population differences in lic health to know whether any population body's defense mechanisins. lung cancer risk. Atmospheric pollutants, group would be adversely affected by CO ex­ Hypersensitive reactions to various air especially polycyclic aromatic hydrocarbons posure at ... statutory levels." pollutants. from heat and power generation, refuse Only limited studies have been performed The impacts of air pollutants on heart and burning, industrial processes and motor vehi­ to assess the effects of ozone, S02 , particu­ respiratory diseases, and diseases of the cen­ cles, have been shown to produce lung can­ lates and cadmium on CV diseases. tral nervous system. cer in the appropriate animal models; but, THE CNS Illnesses in children. at much higher concentrations than nor­ Air pollutant effects on neutral and sen­ An important reason for holding this con- mally occur. sory functions in man vary widely. Odorous 7606 EXTENSIONS OF REMARKS March 19, 1975 pollutants cause only minor annoyance; yet, York Times-February 3, 1975-regard­ dent of the International Brotherhood of if persistent, they can lead to irritation, emo­ ing the present administration of the Oc­ Boilermakers, Iron Ship Builders, Bla.ck­ tional upset, anorexia and mental depres­ cupational Safety and Health Adminis­ siniths, Forgers and Helpers. "One day," he sion. 802 can cause eye irritation. CO can recounted, "the call came from the White cause death secondary to the depression of tration of the Department of Labor. The House." the centr·al nervous system (CNS) respira­ article discusses the numerous difficulties When he arrived, he was given a 11st of tory centers. Short of death, repeated and that are inherent in the administration available posts (including assistant secre­ prolonged exposure to CO can alter sensory of a new and very complex piece of legis­ taryships in the Labor Department). Mr. perception, temporal perception and higher lation such as the Occupational Safety Stender, a long-time member of the Repub­ menta.l functions. and Health Act of 1970. lican party, "actively" held out for the Lipid soluble aerosols can enter the body It was a pleasure to note that, while OSHA assignment. and be absorbed in the lipids of the CNS. there are of course still many problems, Part of Mr. Stender's strong interest in There, their effects may persist long after OSHA may be a result of the hearing im­ the initial contact has been removed. Ex­ t'he reporter concluded that the program pairment that plagues him after years of amples of long-term chronic effects are or­ was being fairly and responsibly admin­ working in a shipyard. Some critics feel ganophosphate pesticides, and aerosols car­ istered. It is my recollection that only a that this has made him excessively strict r ying the metals lead, mercury and cad­ year or so ago this program was in ser­ on noise. Mr. Stender's response: "I'm not mium. ious trouble. There was the public dis­ here to make decisions for the Government Two chemical messengers that act as a. closure of a memorandum by the then As­ on the basis of my own experiences, although communication link between nerve cells it is very helpful to know the ways of protect­ have been reported to be decreased follow­ sistant Secretary, George Guenther, im­ plying that the program had been used ing against my type of injury." ing ozone exposure. Several observed elec­ His oldest son, also a boilermaker, is now t roencephalographic parameters have indi­ for political ends. The program was in living in the family home. Mr. Stender has cated a mild depression of cortical (higher trouble with Congress and some critics already decided that after the end of his brain) function. It is not known whether said the act was not being enforced at Washington job ("a political appointment these are direct effects. of ozone on brain all. Throughout the country there ex­ which has no tenure") he w1ll return home. t issue or by-products of damage to other isted a great deal of misunderstanding He was born 58 years ago on a farm at body organs. and apprehension about the administra­ Ismay, Mont. He attended Billings Polytech­ Dr. Hackney was project director on a nic Institute, now Rocky Mountain College. study of the "Physiological Effects of Air tion of OSHA. It is my impression and impression of His union career began in 1946 when he was Pollutants in Humans Subjected to Second­ asked to become business manager of his ary Stress" for the California Air Resources others, that many of these problems have local. His first election as a state senator Board (Contract No. ARB 2-372, June 30. been corrected through the able andre­ came in 1962. He was a member of Republi­ 1974). He found that in normal male adults sponsible leadership of the present As­ can party commissions in 1959 and 1960. under a mild exercise regime, ozone ex­ sistant Secretary, John H. Stender. I Mr. Stender finds his present job demand­ posures, similar to those that occur during have been acquainted with the Assist­ ing. He declared: "You can't keep up with pollution episodes, could produce a signifi­ ant Secretary for a number of years and this business doing it 8 to 4. Some people can t decrease in pulmonary function, symp­ think I'm nuts." His workday, he estimates, toms sufficient to restrict normal activity, I was pleased to find this article about him in the New York Times. runs 12 to 14 hours. Subordinates confirm and oxidative changes in red blood cells. that he is indeed a hard worker. ILLNESSES IN CHILDREN For the benefit of my colleagues, I OSHA requires a lot of hard work in the According to epidemiological surveys made would like to insert this article into the acrimonious battles over safety and health every four years since 1964, the rate of bron­ RECORD: standards. chial asthma in primary school-aged children THE SAFETY STANDARD-BEARER-OSHA'S AT­ Businessmen say it has already cost them has increased in highly polluted cities in TACK ON JOBS HAzARD DRAWS CROSSFIRE hundreds of millions of dollars to meet the Japan; the rates are at least double those (By Steven Rattner) few toxic-substance limits that have been in unpolluted areas. Other studies in Eng­ WASHINGTON .-"If there's anything busi­ set, and they look nervously toward a stand­ land, Japan and Russia have impllca.ted nessmen hate worse than the unions,'' a ard on noise. So far the vinyl chloride stand­ ambient S02 and particulate matter as the Capitol Hlll sage said the other day, "it's ard has been the most costly, according to cau se of increased respiratory morbidity in OSHA." The Occupational Safety and Health the United States Chamber of Commerce. children. The frequency of acute respiratory Administration, an arm of the Labor Depart­ But a limit on noise, now halfway through illn ess in U.S. cities has also been linked to ment, m.akes management unhappy because the development process, is expected to be­ increased ambient levels of so., suspended !John Stender, OSHA's head, can almost come No.1. sulfat es, and even NO.,. · singlehandedly mandate job safety and Economics is always a consideration if Dr. Douglas Hammer of EPA's National En­ health improvement expenditures costing you're in business," Mr. Stender acknowl­ vironmental Research Center in North Caro­ mlllions of dollars. And he has done it. edged. "Businessmen are there to make a lina has found that higher incident rates of Mr. Stender often finds himself in a cross­ profit-but not by injuring or kllling people. acute bronchitis, croup and other lower res­ dire from hostile businessmen and from We need to figure out what is the most rea­ pirat ory infections occur among children angry union leaders and liberal Congressmen sonable and practical way of doing things.'• aged 1-12 exposed to SO., suspended sulfates who feel he has not moved fast enough to But President Ford's proposed new "infla­ and particulates than in children not ex­ eliminate job hazards. tionary impact statement,'' designed to par­ posed to these pollutants. His findings were Despite the pressures, Mr. Stender says a allel the well-established environmental im­ based on a 1972 survey of four New York a year and a half after he began his assign­ pact statement, is not the way, in his judg­ communit ies with different levels of air pol­ ment, the job has been "all I expected and ment. lution ; the survey was part of the CHESS some more." "We have contractors shaking the Gov­ program (see ES&T, March 1973, p. 204). OSHA's main task, Mr. Stender said, has ernment down for numbers that are argua­ Dr. Hammer also reported that repeated been to overcome the problems that plagued ble. To me, the big debate is whether the episodes of lower respiratory tract Ulnesses the agency since its creation in 1971. numbers are really accurate. They leave me in childhood may contribute to the develop­ At the outset, a lot of occupational safety dry because I don't know what they mean." ment of chronic respiratory disease in adult "consensus" standards (regulations already The business forces are constantly on the life. Recognizing this, and the fact that ciga­ developed by industry groups) were adopted lookout for chinks in OSHA's armor, Wash­ rette smoking may be a major cause of by OSHA with almost no debate. Only now ington experts suspect that subtle White lung cancer, and a contributing factor to are these standards beginning to come under House policy and budget decisions have mu­ respiratory illness, Japan has a law that pro­ attack as unworkable or antiquated. ted the agency's voice somewhat. OSHA has hibits teenagers from smoking. Whether this As for the other half of OSHA's mission, fewer than 800 inspectors, compared with law is enforceable is, of course, another occupational health, standards have been the Environmental Protection Agency's 10,- m atter. announced for only 16 toxic substances, and 000-plus. even these have been diluted by litigation. Mr. Stender also has had to fight off at­ Also, the agency became involved in a tempts by conservatives in Congress to emas­ OCCUPATIONAL SAFETY AND political controversy because of a memo culate the law that set up his agency. One from its first director, George C. Guenther, such challenge was barely beaten back last HEALTH ADMINISTRATION about the 1972 election campaign. yea.r. Nonetheless, Mr. Stender says he firmly "OSHA was beleaguered by adversity o! doubts "tha.t there are very many up there HON. JOEL PRITCHARD pretty nearly every kind," Mr. Stender said {ln Congress] who are against safety and recently, recalling when he took command health ... OF WASHINGTON of the agency. "I came because I thought With a new Congress and last August's IN THE HOUSE OF REPRESENTATIVES there was a real challenger," he reflected, "to chanJZe in the Presidency, 1\tfr. Stender may Tuesday, March 18, 1975 come to grips with a problem our nation find that his problems in 1975 will more and is faced with." more revolve around the llbera.ls. Last sum­ Mr. PRITCHARD. Mr. Speaker, Ire­ In 1973 Mr. Stender was a Washington mer the Senate Labor Committee issued a. de­ cently came across an article in the New state senator and international vice presi- tailed report charging OSHA with a. number March 19, 1975 EXTENSIONS OF REMARKS 7607 of sins; poor management, leading to un­ I feel that he states, eloquently, the need months before harvest and 30 months prior equal enforcement of the law; lack of con­ for price support legislation similar to to marketing. Heifers are selected for breed­ centration on the most serious hazards, and H.R. 4296. He outlines the dramatic rise ing 36 months before the offspring beef is inferior, often-ignored inspection provisions. slaughtered for human consumption. In "Success or lack of success is not gauged in the cost of his inputs and also out­ short, he plans to produce, then markets his on the basis of the number of violations." lines a series of developments that have product at the best price he can get when Mr. Stender replied. "The test of whether undermined the farmers trust in govern­ he has something to market at a much later the program is doing the job is results. You ment. date. must allow some independent judgments. H.R. 4296 provides the agricultural When the government interferes with the Decisions must be related to a given situa­ economy with a market pricing system marketing process, as was the case when tion a.t a given time in a given plant." and an income support for the farmers. prices were frozen on beef in the summer of Mr. Stender did agree with the commit­ 1973 and again when President Ford limited tee's contention that OSHA had neglected I feel strongly that this type of system overseas sales of grain in the fall of 1974, small business men, who account for is in the best interest of the consumer they always cause repercussions and perma­ about 90 per cent of all employers. He said and of the farmer, like Herb Rock. nent damage to the farming industry and OSHA had now shrunk several hundred pages The letter follows: create irresponsibllity and political and of regulations to a pocket-size pamphlet for AVOCA, IOWA, financial graft. their benefit. The initial press run of 500,000 February 19, 1975. It wlll be definitely for the better 1f the was sold out in a matter of weeks, and a Bon. TOM HARKIN, farmers are not governed, but helped through second is now in the works. House of Representatives, better marketing--open and promote over­ Perhaps the most serious charge is that Washington, D.C. seas marketing-Do not establish grain re­ OSHA has dawdled in proclaiming urgently, DEAR MR. HARKIN: I enjoyed meeting you serves, which will produce waste and also be needed toxic-substance standards. Part of the and attending your area farm meeting at used by profiteers who would use the re­ problem is the two-phase approach: First, Harlan on February 8, 1975. I hope your other serves as a lever over the producers financial the National Institute of Occupational Safe­ area meetings were as well attended and that establishment. If the agricultural commit­ ty and Health (which 1s under the control of farmers spoke for themselves as well in other tee should see fit to support the price of feed the Department of Health, Education and meetings. I had also planned to attend the grains it should be at a realistic figure and in Welfare) spends a year or so on the research. meeting in Atlantic, but at the last min­ no way should the legislation provide for the Then its recommendation is forwarded to ute was forced to change my plans. grain stock to eventually fall into the hands OSHA, which must follow a 22-step, nine­ My name is Herb Rock. I live on a 427 acre of the government or financial profiteers. It month road to promulgation and later fight fertne bottomland farm in the Nishnabotna should be disposed of through disbursement off the inevitable court challenges. River valley in Pottawattamie County, two to the hungry nations of the world. Mr. Stender isn't sure whether he likes mlles southwest of Avoca, Iowa. I was born The farmers (in my area, at least) have the dual approach, but he does feel strongly on this farm (then only 200 acres) 43 years acquired a great distrust in politics and big about one point: "When we get from them a ago. We have added to the farm twice in business. It would be well for our great na­ suggested level of exposure, that's what it is. effort to become more efficient and therefore tion if legislations moves were made to re­ We have to devise a standard and defend that enable ourselves to stay on the farm, which gain his trust to prevent the "walls from standard i'n a court of law." has been one nightmare since 1953, when I tumbling down". (1) 1968 Glenwood Pack Looking back, he reflected, "Some of the started on my own. Corn was $1.56 per bu. took bankruptcy, leaving many livestock pro­ delays were there, and I admit they were when I started in 1953-never again that high ducers without payment for livestock. Ouch. there." The right of tnterested parties to untn 1973. Farmers did well on $1.56 corn (2) 1969 President Nixon and Congress put comment on proposals makes speedy action in 1952 with a good crop and not too much an end to Investment Credit presented on the on them difficult, he noted. "We work on investment in machinery. A new 50 horse­ last days of December retroactive to previous them just as fast as we can. A number of power tractor cost from $2,000 to $2,500. To­ spring. Ouch. (3) Watergate!!! (4) 1974 Dis­ them are in the mill right now." day a 50 HP tractor will cost from $10,000 to honoring our word on foreign trade of grain Mr. Stender answers the charge that toxic $12,000 but it takes a $20,000 tractor to re­ commitments. OUCH!! (5) American Beef substances are appearing faster than his place the $2,000 tractor because of increase taking bankruptcy leaving producers hold­ agency can issue standards by pointing out in acreage. Then a bushel of seed corn cost ing the bag on 18 million dollars worth of that only a few are used in sufficient quan­ from $8.00 to $12.00 per bu., now from livestock. The continual political move of tity to require a standard. $32.00 to $52.25 per bu., and so on with "help the needy" and "buy ourselves rich" Mr. Stender declares that there has been inflation. to "bolster the economy". an improvement in job conditions, and he I am a grain and livestock farmer. I raise I am enclosing a page from the Des Moines att ributes it, at least in part, to "OSHA's 200 acres of corn, 150 acres of soybeans, 800 Sunday Register, dated February 16, 1975, presence in the work place." head of hogs and feed out 200 head of cattle which had a. couple of interesting articles. Lurking in the background are the rever­ annually. (Although I have not fed cattle I would like to draw your attention to an berations from a bombshell dropped last for the past five years, I stnl claim to be a article by Very! Sanderson headlined "Pro­ summer when Mr. Guenther's memo came to cattle feeder.) posed Cash Reserve to Provide Grain For light. In it, Mr. Guenther pointed out the I tried to cooperate with the government Starving". value of OSHA as a "salespoint" to potential progra:rns on corn acreage while I have been Would it be possible to listen in on your contributors and pledged not to promulgate a farmer except in the late 1950's when it was agricultural committee meeting? I would be any "highly controversial standards." not possible to get along on the highest glad to answer any questions for which I This "had an effect on credibllity," Mr. imaginable yield I could have obtained. I might have the answers from my agricultural Stender acknowledged. "Those who don't sealed corn with the ASCS through the 1960's experience. believe we're moving fast enough think that's and early 1970's. I have stored corn as long Thank you very much for your time. I hope the reason." But even Mr. Stender's staunch­ as six years and I have above average farmer we may all benefit from your efforts. Anx­ est critics give him high marks for integrity experience with storing feed grains. There is iously awaiting news of your new farm blll, and all say that he stands head and shoulders a lot of expense with storing grains--to name I remain. above OSHA's first direct or. a. few-(1) building depreciation (2) inter­ Yours truly, Nearly everyone agrees that Mr. Stender est and insurance on building and grain (3) HERBERT C. RocK. has been a moderating influence on the often taxes on bullding (4) loss from spoilage due acrimonious debate over safety and health. to weather conditions and vermin (insects He is credited with listening to both sides and rodents) (5) labor for inspections and and trying to produce an informed, balanced maintenance (6) theft. Some of the grain is JOHN P. DIESEL DELIVERS TIMELY decision. completely destroyed through storage. MESSAGE ON FREE ENTERPRISE "Stender has been a listener to everyone's I hear and read much from the populous SYSTEM point of view," said one promanagement ob­ areas about famine in the future. The farm­ server. "He really has sought the best ers of America. have and always will feed our course." people very well. Our people are very spoiled, HON. THOMAS N. DOWNING having had loarge quantities of food readtly OF VIRGINIA available. You will never have to tell the PRICE SUPPORT LEGISLATION farmers of America they have to produce a IN THE HOUSE OF REPRESENTATIVES given amount. The farmers of America are Tuesday, March 18, 1975 ambitious people with initiative-they will HON. TOM HARKIN produce-that is their purpose. They love to Mr. DOWNING. Mr. Speaker, last produce. that ls why they are farmers. But, month, Mr. John P. Diesel, president of OF IOWA they are also accountants-having to ac- the Newport News Shipbuilding and Dry IN THE HOUSE OF REPRESENTATIVES count for all they spend and invest. It is a Dock Co., one of the largest shipyards in Tuesday, March 18, 1975 necessity that they be reimbursed for their the world, delivered a hard hitting, dy­ product at production costs, plus a living and Mr. HARKIN. Mr. Speaker, I wish to some profit for their gamble with life and namic message to the Shipyard's Ap- share with my colleagues a letter which finance. Farmers produce all they can with prentice Alumni Association at their an­ I received from a farmer in my district. cropping plans being made as much as 18 nual banquet in Williamsburg, Va. 7608 EXTENSIONS OF REMARKS March 19, 1975 The thinking of this chief executive is Let's look at some cold, hard economic through one of our shipyard departments at a monument of logic and commonsense facts: 7:45a.m. Less than 20 percent of the people Output per manhour (or productivity) I saw actually appeared to be working. In at a critical time in the history of our went down 3.7 % in the nation in 1974. the present state of things, that's disappoint­ Nation. Mr. Diesel is deeply concerned The value of the dollar has decreased 18% ing. In fact, it's downright ludicrous. about the survival of the free enterprise in the past two years. As I said a minute ago, we also need initia­ system if we continue to export the The balance of payments deficit was more tive in management today. All too often I'm standard of living of future American than $3 Y:z billion in the third quarter of afraid we're guilty of spending our time citizens due to our own lethargy. He 1974. rationalizing our way out of something­ speaks of our general low productivity, The gross national product was down at an rather than into something. annual rate of 9.1% during the last quarter I have yet to see-with maybe one excep­ our system of doles, our work ethics and of 1974. tion-in my three years at Newport News a our attitudes and says that we are ap­ Gentlemen, we're exporting the standard manager walk in my door and say, "Hey, I've proaching the point of no return in this of living of future American citizens. How? got some new ideas about how my work ought country. By our own lethargy. to be done. We're going to reduce the budg­ I urge my colleagues to take a few High productivity is the engine for the ve­ ets and get more output with less input." minutes to read this excellent speech: hicle we call free enterprise. And that's where I recently ran across a list of 22 ways to SPEECH DELIVERED AT APPRENTICE ALUMNI the basic problem lies. The American worker klll an idea. I'd like to share them with BANQUET just isn't producing enough. He has always you. Imagine yourself, for a minute, as an contributed to the American dream which employee presenting an idea to his manager. (By John P. Diesel} had us believe that our rewards were com­ These are the manager's responses: Thank you, Dick (Broad}, for that very mensurate with what we contributed in the Don't be ridiculous. kind introduction. Before I go any further, way of work. We tried that before. I want to say a word or two about Dick But where is the American dream today? It's too radical a change. Broad. He is one of the ablest members of our I'm afraid its riding down the road past a We don't have time. t op management team. His d111gent and ded­ sign with an arrow pointing toward "welfare We've never done it before. icated efforts across the past twenty years state." Or to put it another way, we've be­ That's not our problem. have helped Newport News achieve a pre­ come a nation with a choir full of people We're not ready for that. eminent position in the world as a builder on the dole singing an all-too-fam1liar tune: Top management will never go for it. of nuclear-powered ships. "who's going to take care of me now?" Let's form a committee. He is described by the authors of the new Whatever happened to the work ethic? Has anyone else ever tried it? book, Nuclear Navy, as being "intense, hard Sound familiar? I only read 10 of them working, inte111gent and thorough. Equally The work ethic holds that work is good in itself; that you not only make a con­ because you've heard the rest-many times. impressive were Broad's three years of ex­ This is not the way to manage. When I perience on the waterfront as a machinery tribution to society but that you become a keep hearing these kinds of things, and I installation supervisor. It was a dirty, grimy better person by virtue of working. have to start managing your business, then job involving all the practical realities of Horatio Alger was a prime example of the I don't need that kind of manager. He's shipbuilding." I hardly recognized him! work ethic. He proved that hard work is only filling a box on the organization chart. Seriously, I know that you apprentice the key and he wasn't a part of the landed gentry! I wonder: where are the Horatio I don't believe I need to tell you that our graduates take pride in the fact that Dick Algers today? Effective management goes shipyard is in very serious condition to­ is a fellow alumnus. He is the second appren­ hand in hand with productivity in making day. I think I made that point pretty clear tice graduate to serve as a vice president of the free enterprise system work. But I don't two weeks ago when I announced our 1975 the company: The first was Lem Robertson, think we're doing the management job plans for reducing the work force and re­ and of course recently, Pat Phillips became either. structuring our management team. the third apprentice graduate to achieve the Things have changed. These days, we find In my job, I receive a good deal of advice title of vice president. far too many people with the attitude: Let about how to manage the company. Of This speaks very well for our apprentice­ George do it. And I'm afraid George is not course some of it comes unsolicited. A few ship program. I know there wlll be more in doing it. days ago, the following post card came across the future! Along this line, I'm reminded of something my desk. It offered a very simple solution I am grateful for the invitation to address one of our people said to his managers in a to our lay-off plans. It said (and I quote): this important group. And this is an im­ "Lay off Carolinians, not Virginians, it's un­ staff meeting. "It seeins to me," he began, portant group because our apprentice grad­ "that all of you guys want to be football fair. Too many North Carolinians in Tide­ uates form the real backbone of the front­ players but none of you wants to play foot­ water Virginia now! Lay off Carolinians." It line management of our company. The rec­ ball." was signed, "A concerned person." ords show that just. over 4300 men have Too often, it see1ns to me that too many Hell, if I laid off all the Carolinians, we graduated from the school. I should hasten of us want to be managers but we don't want might as well close the gates! I'm just sorry to add that in the not-too-distant future to manage? Generally speaking, managers in that the concerned person didn't sign his we'll have to correct that to men and women! American industry today are either afraid name. I would like to have responded to that John Pirkle tells me that if everything goes to--or don't have the fortitude-to accept guy! well-and if we can reduce their interest in responsibility or to take initiative. Proof of Obviously he's from Virginia. Unfortu­ producing new little shipbullders--our first this is in the productivity pudding. It's pretty nately, he suffers from an acute case of the woman apprentice will graduate in 1977. More damn soft. Too often we take the attitude syndrome mentioned earlier called "Let than 1,000 of you apprentice alumni are serv­ that t he other guy, or the other department, George do it." ing the company in supervisory or manage­ isn't doing this or that, so why should I. "I Seriously, gentlemen, we just can't build ment-level positions today. This is proof sure don't want to rock that boat." That's our product for what our customer can af­ positive of the value of the program, and as the trouble. Too many of us are resting on ford to pay for it. I hasten to add that we're I've said before, we fully intend to increase our oars. not alone in that game. The auto industry t he enrollment of the school from its present I don't need to tell you that this isn't the is experiencing the same problem. Why? Peo­ 800 to about 1,000 by October of this year. kind of attitude that builds ships or puts ple simply can't afford to pay the high price I applaud the work of this organization, men on the moon. Or that provided us with for the cars they're building. and commend you for your on -going interest the highest standard of living in the world. I can tell you that we don't like to pur­ in t h e school and its programs. You people In my opinion, the primary function of a sue an adversary relationship with our cus­ represent a broad cross-section of our com­ manager is to bring about change. Change tomer. That's not what business is all about, pany and the coxnmunity. While most of you often starts with hard, tough self-examina­ and it's not the reason we're in business. have either retired from, or are presently tion: when is the last time you change some­ But gentlemen, it seems to be the only way employed by the shipyard, I know that others thing? in today's world that we can get a fair re­ here tonight have moved into fields or busi­ When was the last time you really looked turn on the work that we do. nesses outside the company. at your own performance? Or your people's There's a very simple fact about what And while I expect to make some general performance? happens if your product isn't more valuable remarks, I hope those of you in the latter to the man you're selling it to than the price How many of your people are on-time to he pays for it. You go out of business. category will pardon me for directing some of work? How about yourself? We're fast approaching-if in !act we m y thoughts to topics that relate more di­ How many are drinking coffee 15 or 20 haven't already passed it-the point of no rect ly to in-house matters. minutes after they come to work? How many return in this country. The corner cobbler These are critical t imes for our country­ are reading newspapers or staring out the may build the finest shoes in the world. But an d our company. I don't n eed to t ell you window? if nobody can afford to buy his shoes, a rack t h at, if you've been readin g the newspaper. Have you asked yourself lately how can I, full of the finest shoes in the world isn •t I'm concerned. I'm concerned about the sur­ and my people, do a better job and also save going to do him a. damn bit of good. Gen­ vival of the free enterprise syst em. An d each the company money? tlemen, that's where the American economy of you-whether you're employed by t h e What steps did you plan and take to im­ is today. yard--or outside of it-should share this prove it? We've got to stop waiting for George to same concern. Earlier, this week, I took a short walk do it. March 19, 1975 EXTENSIONS OF REMARKS 7609 People will sometimes say that their job of the comprehensive neighborhood p-res­ vestment Companies, concerning the isn't challening enough. Boy, I'll tell you ervation concept of allowing people to first legislative hearings of the newly something. There isn't a job in our shipyard receive Government loans because pri­ expanded House Small Business Commit­ that isn't challenging, especially today. If vate lenders either may not be willing to tee with legislative authority. you think you haven't got enough challenge, lend in the area or may deliberately The announcement follows: I'll be glad to discuss with you anytime how REPRESENTATIVE SMITH ANNOUNCES FmsT we can come up with some! charge an interest rate so high that it I have been asked what I mean by the discourages rehabilitation. LEGISLATIVE HEARINGS term job enlargement. These aren't some The legislation also directs HUD to ad­ Rep. Neal Smith (D-Ia.), Chairman of buzz words out of the Harvard Business minister the program so that it will en­ the Subcommittee on SBA and SBIC Legis­ School. What this really means is giving peo­ lation, today announced that the Subcom­ courage communities to stimulate hous­ mittee will hold its first legislative hearings ple who have the ability more work to do ing preservation with public and private and more challenge. In this way, they build on March 21 and 24, 1975, at 10:00 a.m. in capital not made available under sec­ room 2359 of the Rayburn House Office themselves and produce more efficiently. This tion 321, encourage communities to ad­ Building. shouldn't be hard for anyone to understand. dress the housing preservation needs of Rep. JoeL. Evins, Chairman of the House Not all of the problems I've touched on Small Business Committee, stated that he is tonight are peculiar to the shipyard or to the owner-occupants whose incomes are too low to afford even section 312 loans, and pleased that the Subcommittee, in exercising shipbuilding industry. I've seen them its newly acquired legislative authority, 1s throughout my more than 25 years in man­ accommodate the needs of communities exa.mlning the problems faced by small agement. I've seen them in large corpora­ which have no other feasible source of businesses because of rapidly rising prices tions, in smaller companies and from the loan funds for rehabilitation. and business interruptions caused by mas­ viewpoint of a. consultant. Specifically, the bill would: First, ex­ sive disruption of public utility service. What we really need to do is to break up tend the section 312 program through Rep. Smith stated that the March 21 hear­ the inertia of productivity. We need to upset ing would be on the plight of sma.ll business­ the system a. little. I'll tell you one thing. September 30, 1978; second, allow HUD to exceed the 3 percent loan interest up men who contracted with the government It's high time you upset the system. If you to for goods and services during the time Phases don't, somebody will upset you. a Government interest rate which covers I-IV were in effect. "These individuals,.. ac­ Personally, I don't think it's too late if the cost of borrowing plus losses and cording to Smith, "were convinced by the we get things moving now. I've touched on administration cost on a sliding scale Government to enter contracts which did the national picture, but gentlemen, our job when the borrower's income exceeds the not provide any means of relief when the of improving begins right here at Newport median income; third, give priority con­ cost of goods and materials sky-rocketed News. We in the shipyard have the ability sideration to cities and counties which after price controls were lifted. Under exist­ and the authority to do it. We have done it ing law, an agency may not provide any in the past; we must do it again. provide rehabilitation funds from other relief, in many cases, even though it wants In closing, we need to be more positive sources and to cities and counties which to do so and thus the agency may be com­ about what our economic system can do. are unable to provide rehabilitation pelled to bankrupt a small businessman who We need to reaffirm our faith in the system funds to individuals because of State has performed well in the past by requiring which has served us so well for so Ion~. Then 'legal restrictions; and fourth, switch completion of the contract." we must apply ourselves to modifying it the funding for section 312 from the On March 24th, Smith's Subcommittee where necessary based on the reality of our appropriations process to a Treasury bor­ will be considering legislation to authorize time so that the basic system can be retained Federal loans to small businesses which have for future generations of Americans. We live rowing process. suffered severe economic injury due to dis­ in a dynamic and constantly changing world, Last year, during the consideration of ruption in public utility service. "At the and our economic system or free enterprise the Community Development Act of 1974, present time," said Smith, "small business has been, and should continue to be, fiexible the administration proposed that the concerns are eligible for disaster loans if the enough to meet new requirements and the section 312 program be terminated. They injury is caused by fioods, riots or other demands of our society. It takes strong and proposed that cities with areas needing catastrophes; however, if it is caused by other than natural disaster, such as the fire CQ_urageous lead~rship. rehabilitation use their block grant com­ The rree enterprise system will continue in New York City which eliminated telephone munity development funds instead. service in a 300-square block area., no Federal to work only if each of us demonstrates re­ Many in the Congress opposed the ad­ sponsibility, takes initiative, has the capac­ assistance is available. The purpose of this ity to both generate and deal with change, ministration on this issue and were hearing will be to explore ways of providing and finally, the courage to lead. successful in getting the 3-percent re­ some relief to those concerns which have had Let's get off the horse named Inertia. He's habilitation loan program extended to their business almost destroyed by lack of still in the starting blocks. We need to get August 22, 1975. The Congress felt the telephone service." Smith also noted that although the situa­ on a horse called Momentum that's headed program should be extended for several tion which pointed out the need for Federal toward the finish line. And we need to do it reasons: First, the block grant program programs to assist in the event of such dis­ now. Because he's the one that's going to win would not give section 312 funds the asters occurred in New York City, the next this race! priority consideration they need; and one could occur anywhere and might be Thank you very much. You've been a most caused by disruption in electricity or gas, attentive audience. second, section 312 is the only housing program directed especially to this prob­ as well as telephone service. In addition to Rep. Smith, other Members lem. of the Subcommittee are Representatives Mr. Speaker, the section 312 program Bob Bergland (D-Minn.) Henry B. Gonzalez EXTENSION AND AMENDMENT OF expires August 22. I urge the Banking, (D-Tex.), James C. Corman (D-Oa.llf.), Par­ SECTION 312 OF THE HOUSING Currency and Housing Committee to act ren J. Mitchell (D-Md.), James M. Hanley ACT OF 1964 (D-N.Y.), Gus Yatron (D-Pa.), John Breckin­ upon it quickly. ridge (D-Ky.), J. W1lliam Stanton (R-Ohio), Millicent Fenwick (R-N.J.), and Wllliam F. HON. GLADYS NOON SPELLMAN Goodling (R-Pa.). Representative Joe L. Evins, Chairman of OF MARYLAND HON. NEAL SMITH ANNOUNCES the full Committee and Silvio 0. Conte, IN THE HOUSE OP REPRESENTATIVES FffiST SBA LEGISLATIVE HEAR­ Ranking Minority Member are ex-officio Wednesday, March 19, 1975 INGS BY NEW SMALL BUSINESS Members of the Subcommittee. COMMITTEE Mrs. SPELLMAN. Mr. Speaker, I am introducing legislation today to extend and amend section 312 of the Housing HON. JOE L. EVINS IN FAVOR OF H.R. 4485 Act of 1964. That section authorizes the OF TENNESSEE Secretary of the Department of Housing IN THE HOUSE OF REPRESENTATIVES HON. RAY J. MADDEN and Urban Development to make low in­ Wednesday, March 19, 1975 terest rate loans to property owners to OF INDIANA rehabilitate their property if it is in Mr. EVINS of Tennessee. Mr. Speaker, IN THE HOUSE OF REPRESENTATIVES urban areas, cities, and counties where a I place in the RECORD herewith the an- Wednesday, March 19, 1975 program of concentrated code enforce­ nouncement by Representative NEAL ment is underway. This program is the SMITH, chairman of the Subcommittee Mr. MADDEN. Mr. Speaker, I rise in key to rehabilitating inner city neigh- on Legislation for the Small Business support of H.R. 4485, the Emergency borhoods. It recognizes the importance Administration and Small Business In- Middle-Income Housing Act of 1975.

C~----481--PartS 7610 EXTENSIONS OF REMARKS March 19, 1975 Passage of H.R. 4485 will stimulate hous­ wetland agency members learn about soils The editorial below points out the expert ing construction by expanding the poten­ and how they are classified. testimony of law enforcement officials, What makes a soil scientist and the soil tial homebuying market with the incen­ survey so important is Connecticut's Inland who confront this problem every day of tive of lower-interest rates. The bill au­ Wetlands and Watercourses Act, passed in their lives, to the effect that a handgun thorizes the Secretary of Housing and 1972. simply is not useful as a defensive Urban Development to reduce tempo­ This act requires a local agency--or the weapon. rarily the payments on a market-rate state if no local agency is established-to The editorial which follows, appeared mortgage to the level of payments on a regulate and license nearly all activities on in the on March 11: mortgage bearing an interest rate of 6 waterbodies and wetlands in the 169 towns in GUNS AND PROTECTION percent; or to make it possible for a 7- the state. Anyone who wants to remove or deposit materials on a wetland or water­ Despite their exposure to the exotic arma­ percent mortgage rate to be in effect for course must seek a license. ment displayed on TV police shows and in the life of the mortgage. The act defines wetlands as being all soil spy movies, few Americans are specially so­ Under the terms of H.R. 4485, assist­ types designated as "poorly drained, very phisticated about weaponry for the self-de­ ance can be provided for single-family poorly drained, alluvial and flood plain by fense department. In fact, their "qeterrents" homes, one-family units in a condo­ the National Cooperative Soil Survey ..." can lead to disaster. This legislative definition of wetlands in­ Thus at a recent hearing on gun control minium project, and for both garden and legislation being conducted by a House sub­ high-rise apartments. cludes soils which comprise more than half a million acres in Connecticut--about 1 out committee, the police chief of Atlanta re­ I favor the middle-income housing bill of every 5 acres in the state. ported on frequent cases in which holdup because of the double benefit it will pro­ Frequently, the local inland wetlands agen­ victims carrying guns tried to draw them and vide. It will allow the average working cy members have had little or no experience outshoot armed robbers-and were quickly person who earns between $7,000 and in recognizing or knowing the limitations of shot dead themselves. Public Safety Com­ $18,000 to purchase a home with interest wetland soils. That's why the soil and water missioner A. Reginald Eaves said he believes conservation district have set up educa­ a handgun offers the average civilian nothing rates that are approximately one-third much more than .. a false sense of security." lower than the current average interest tional programs for these agencies. In Middlesex County Soil and Water Con­ There are limitless other hazards associ­ rates. The bill will also give a much­ servation District, for example, SCS Soil ated with keeping a loaded handgun around needed boost to the construction indus­ Scientist Dennis Hutchison and District Con­ the house; many a homicide has followed a try. The current rate of unemployment servationist Barry Cavanna usually start a family squabble because such a weapon was in the residential construction industry group off with some background on soils, at hand. But Eaves' point is especially worth is over 40 percent. Traditionally, housing followed by an examination of the soil survey remembering. Pretending to be a gunfighter has led the economy out of recessions. maps and how they are made. can be fatally risky and not even the best However, for the agency members, it is the trained and ablest target shooter is auto­ The current severe slump in both the matically qualified, by either experience or economy and the housing industry is not actual onsite look at wetland soils which brings all the pertinent information together. equipment, to subdue armed attackers. getting any better. We need the enact­ Prior to the enactment of the Connecticut The current hearings have again aired the ment of this bill into law in order to aid legislation, substantial thought was given to informed opinion of competent law enforce­ potential homebuyers and to put out-of­ soils as the basis for the definition of wet­ ment authorities about gun control in work construction employees back on the lands. It was determined that the long ex­ America. They are virtually unanimous in job. perience of the Soil Conservation Service in urging a tougher law. delineating boundaries between soils would It is that legislation, not a cheap pocket I urge Members to join with me in sup­ pistol, that offers the best hope of reducing porting the Emergency Middle-Income simplify the task of determining wetland and nonwetland areas. the spreading nightmare of armed violence. Housing Act of 1975. We must enact it Two years of experience with the act have Gunplay is not a rewarding exercise for am­ into law without further delay. confirmed this judgment, although refine­ ateurs. Domestic disarmament ha-s become ment of wetland boundaries continues. an increasingly urgent challenge to Capitol To assist local inland wetlands agencies, Hill. soil and water conservation districts in the A NEW ROLE FOR CONNECTICUT state have been entering into Memorandums SOIL SCIENTISTS of Understanding. They provide substanti£.1 VOICE OF DEMOCRACY CONTEST­ guidance and technical aid to the agencies GEORGIA WINNER in drawing boundaries and determining the HON. CHRISTOPHER J. DODD I limitations of wetland areas where permits OF CONNECTICUT have been requested. HON. BO GINN While much remains to be done-such as OF GEORGIA IN THE HOUSE OF REPRESENTATIVES more precise boundary delineation-the first Wednesday, March 19, 1975 steps have been successfully taken. The soil IN THE HOUSE OF REPRESENTATIVES survey is proving to be an extremely valuable Wednesday, March 19, 1975 Mr. DODD. Mr. Speaker, the dedicated planning tool. scientists who man the Connecticut Soil Mr. GINN. Mr. Speaker, the Veterans Conservation Service are a valuable asset of Foreign Wars organization annually to communities throughout the State. I sponsors the Voice of Democracy Schol­ would like to place into the RECORD an BAN THE HANDGUN-NO. 6 arship Program for lOth, 11th, and 12th article from Conservation magazine, pub­ grade students. This year's theme, "My lished by the U.S. Department of Agricul­ Responsibility as a Citizen," focused the ture, which tells about the work of the HON. JONATHAN B. BINGHAM attention of youth on the obligation of soil scientist in Connecticut. OF NEW YORK citizenship and called for a personal The article follows: IN THE HOUSE OF REPRESENTATIVES evaluation of their responsibility in pre­ A NEW RoLE FOR CONNECTICUT SOIL SCIENTISTS Wednesday, March 19, 1975 serving democracy. (By David Lavine and Edward H. Sautter, The winner from the State of Georgia, Director, Connecticut Inland Wetlands Mr. BINGHAM. Mr. Speaker, perhaps Fred Morgan, hails from the city of Project, Middletown, Conn., and State soil the most prevalent myth among hand­ Swainsboro which is located in the First scientist, SCS, Storrs, Conn.) gun owners is that a handgun is neces­ District that I am honored to represent. On the edge of a Connecticut field, a soU sary for self-protection. The belief that I had the pleasure of meeting this young scientist explains to members of a local a handgun may be useful in repelling man last week and attending the VFW Inland wetlands agency about the soils on an attacker or thief is cited as justifica­ dinner honoring the winners from which they are walking, where the poorly tion for the possession of these deadly around the Nation. drained soils merge with moderately well­ weapons by the ordinary citizen. drained soils. Fred has presented an excellent The fantasy that the "good guy" wins speech, and I would like to share his im­ The m.em.bers have the task of regulating the shootout is exploded by a sober look wetland activities, and as they begin to get pressive remarks with my colleagues: their feet muddy, the data they've received at the facts. A recent study at Case West­ VFW VOICE OF DEMOCRACY SCHOLARSHIP PRo- earlier starts to fall into place. ern Reserve University Medical School GRAM-GEORGIA WINNER, FRED HENRY Such on-site trips are part of a program. set concluded that the family gun is six times MORGAN up by the eight soil and water conservation as likely to be used against a friend or As I learn of current situations and evelllts districts in Connecticut to help local inland family member as against an intruder. through reading the pa;pm-s and listening to March 19, 1975 EXTENSIONS OF REMARKS 7611 television, I often feel that I have been un­ to children. This problem begins in our families wlll have to shoulder directly a deservingly thrown into this world. Kllling, homes, but much of it carries over to greater burden for their children. The Fed­ haitred, scandal, and criticism are almost our public policies in local school districts eral Government is already overcommitted, u.nrestrained. I find myself saying, "I wish given its present tax level. But States and the governmenrt; would do something about and counties, States, and Federal agen­ cities, too, are hit hard by double digit infla­ this situation. Lt's getting hard for me to be cies. Hundreds of thousands of our chil­ tion. In many States education programs are a good citiZen." Suddenly I realize how nar­ dren are virtually condemned to failure being cut back because of ln:fla:tion. row-minded my thinking is. I live in a on the day they were born because of The second major set of policies comes democmcy where the government is my rep­ the social and economic disadvantages under the label of the "new Federalism". resentative. So the governmenrt; I so fervently of their parents and inadequate com­ It was President Nixon's policy to encourage complain about is, in effect, me. My repre­ munities. States and localities to take over more of sentatives don't dominate me; they represent the job which government faces. He wanted me, just a.s their title implies. That is what In terms of revenue sharing, children decisions to be made as close to the people freedom is Sill about. As nwst Americans do, are neglected in two ways. First, school as possible, rather than in Washington. He I hiave separa..ted myself from government, districts are not eligible for revenue shar­ pressed for the of Federnl thinking the people in this branch have ing grants, and, second, services for chil­ programs to the 10 Federal regions. However, little, 1f nothing, in common with me. In dren and youth are omitted from the this policy has not carried any action to doing so, I am neglecting my responsib111ty priority list for funds received by local achieve a Federal-State-local partnership in a.s a citizen. governments. developing coherent, coordinated programs Public attitude seems to be one of apathy. Furthermore, the Federal Government for children and youth. For children and Many feel that what they do has no effect youth the "new federalism" so far repre­ on the action ot their eleoted representatives, and States have been guilty of not utiliz­ sents a perpetuation of "business as usual" especially in higher levels of government. As ing programs for children that have been neglect. a result many citizens do absolutely nothing mandated by the Congress. A glaring Federal revenue sharing, which became to let their representative know how they example of this has been the preventive law October 20, 1972, is an important facet feel. Thus, uninformed representatives must child health care services amended to of "the new federalism." Its purpose is to often make serious decisions on their own. the Social Security Act in 1967. The early use Federal fiscal power to help States and This, along with the fact that our govern­ and periodic screening, diagnosis and local jurisdictions--which have serious prob­ mental officials are human and just as prone lems but lack fiscal capablllty. General reve­ to err as you and I, ha.s caused many avoid­ treatment, EPSDT program was aimed nue sharing will provide Federal aid of $30 able mistakes to occur in the handling of our at providing eye, ear, dental, and other blllion to the States, cities, and other local government. preventive care and treatment for 13 governments during the fiscal years 1972 I am free to state my opinion; therefore, million children ellg1ble under medicaid. through 1976. my sitting idly by and doing nothing is In January the General Accounting Of­ General revenue sharing provides no major equivalent to my saying, "That's OK with fice reported that not only had HEW help for children and youth. me." I owe action to those who have fought been slow in developing EPSDT regula­ Two thirds of the allocations go to local and sacrificed their lives so I can be free tions, but an 8-State survey showed "general" governments. Children's programs today. Whether my opinion is right or wrong are left out of this share in two ways. First, I am entitled to it. This is the key to a more that of 1.8 million children eligible, only school districts which are classified as "spe­ informed government, which, in turn, will 3 percent had been screened. cial" units of government, as is true in most make wiser decisions. I submit to the RECORD the following States, are not eligible at all. Moreover, serv­ said it was wise to ques­ comments by Dr. Michael S. March, a ices for children and youth are omitted from tion things which you have long taken for retired budget analyst with the Office of the priority list for funds received by local granted. If you think you have nothing to do Management and Budget, who is now a governments--and the so-called "use reports" with your government and freedom is only a professor of public affairs at the Univer­ indicate that the localities turn their backs stipulation on a contract called the Blll of sity of Colorado: on educational needs. Rights, you are wrong. Freedom is not a con­ The States receive the other one-third of stant. Like a muscle, it needs exercise or it REVIEW OF FEDERAL LEGISLATIVE AND BUDGETARY the general revenue sharing funds. Edu­ will atrophy. Before I complain about the DEVELOPMENTS AFFECTING CHILDREN cation was initially the largest purpose of system or the government or whatever you Let us consider the question of what re­ proposed State uses. However, some of this call it, I should take into serious considera­ cent Federal policies and budgetary action was substitution-offset by tax cuts. More­ tion what I have done to affect the situation. may mean for children and youth-and for over, there are great variations in use. The It is out of necessity as well as responsi­ the States and local governments, as well as State of Colorado has allocated much of its bility that we should practice our freedom for the Federal agencies in this field. Two share for sewers and for building at Colo­ to the fullest. I firmly believe what you sets of somewhat related policies developed rado State University. As of June 30, 1974 it don't use, you lose. I would hate to lose my by the Nixon Administration have very im­ had actually spent only $7 million, the freedom when I had the opportunity to portant implications for all of us who are remainder of the $46 million of its e:eneral strengthen it. concerned about the future of the country's revenue sharing was sitting in a trust funa It has been said that we are put on this children. drawing interest. Meanwhile the State insti­ earth not to see through each other but to One is the policy of severe Federal budget­ tutions for the mentally retarded were so see each other through. I consider it my ary stringency which was initiated late in grossly underfunded that, reportedly, a Fed­ duty to do my best in helping and working calendar 1972 and made fully evident in eral investigation of abuses was in progress. with my fellowman in making this country President Nixon's budget for the fiscal year Also, serious socio-economic disparities pre­ a better place to live. If we can't live among 1974. Numerous impoundments were at­ vall in the State. The infant mortality rate, ourselves in peace, how do we expect to get tempted to klll off whole programs and even which is indicative of general conditions, in along with other nations of the world? Life agencies, such · as OEO. These actions de­ the worst county is nearly 80 per 1,000 is much more than computers and transis­ prived our children and youth. births--or four times the average in Colo­ tors, and anyone who fails to recognize his The Federal budget is in trouble. In fiscal rado. fellowman's needs and feelings is doing more 1971 and 1972 the deficits each year exceeded The Federal revenue sharing programs are harm than good. $23 blllion. For the fiscal years 1973 and 1974 both an opportunity and a responsiblllty for There are many things we as people can do the deficits totalled nearly $18 billion. For the States and local governments. They will to help our country. Naming them all would 1975, the problem is to prevent an increase have to create mechanisms to set right pri­ be impossible as each task differs with the in the $9 blllion deficit bequeathed by orities. If elementary and secondary educa­ individual, but I feel it is my responsibUity President Nixon. tion is to receive its share of local general as a citizen to get my listless brains and Past deficits have been the root cause of revenue sharing, the proponents of children heart working for my country and for the our present runaway inflation-the worst in­ and youth will have to lobby the Commit­ people with whom I share this great land. flation since World War II. Inflation is rec­ tees of the Congress to allow school districts ognized as being hurtful to fam111es and to share and to list children as a priority destructive of economic strength. use by other local units. If the children and REVENUE SHARING CONTINUES NA­ President Ford is currently driving his youth lose out on the use of the revenue TIONAL NEGLECT OF CHILDREN Cabinet to cut $5 billion out of the 1975 sharing funds, the responsibility will be that budget and hold it to $300 billion. These of the States, cities, and counties. actions will hit controllable programs very Another thrust of the "new federalism" HON. PATRICIA SCHROEDER hard-and many programs for children and effort was to consolidate existing categorical OF COLORADO youth are in the controllable category. The grants into "block" grants. There have re- Congress is never enthusiastic about tax cently been two major Congressional enact­ IN THE HOUSE OF REPRESENTATIVES increases-and especially so when unemploy­ ments which rather significantly change the Wednesday, March 19, 1975 ment is high and rising. Reallocation of re­ earlier rules of the road and bear careful sources within the Federal Budget is also watching by those who care for children Mrs. SCHROEDER. Mr. Speaker, we very difficult to achieve. and youth. have a national paradox of lofty ideals The restrictions on the Federal budget The Housing and Community Development and low-level performance when it comes mean that States, local governments, and Act of 1974 became law on August 22, 1974. 7612 EXTENSIONS OF REMARKS March 19, 1975 It carries new funding authorizations of next day it nets major metropolitan cov­ too, is only a part of the total argument and $11.9 billion for fiscal years 1975, 1976, and erage," and deserves our attention and not necessarily a part that must be complete­ 1977. It initiates a major consolidated com­ ly resolved. munity development program, amends publtc congratulations and best wishes for an The central issue moves out of the eco­ housing laws and starts a new leased hous­ exciting national sporting event. nomic realm and into the social and political ing program, and has various other pro­ arena, as do most economic arguments even­ visions. tually. And this has to do with the pattern It reserved one-fifth of the community of recent years in which income transfer development money for non-metropoUtan INCOME TRANSFER REVISITED has accounted for an ever increasing share areas. of the federal budget, federal deficits have The Education Amendments of 1974 (PL. economy have risen. Those three things are 93-380) received Presidential approval on not only related but react with each other last August 21. This law contains new al­ HON. ROBERT E. BAUMAN in a way that could eventually blow the location formulas for the distribution of OF MARYLAND economy apart. funds for the educationally deprived and IN THE HOUSE OF REPRESENTATIVES The essential political fact is that it is also authorized advance funding. The au­ popular to receive an income transfer but thorized level for appropriations totals $25 Wednesday, March 19, 1975 unpopular to be the donor. When there are billion for 4 fiscal years, starting with $7.16 Mr. BAUMAN. Mr. Speaker, last Tues­ large groups of voters in both categories, blllion for fiscal year 1975. There is a sharp day the Wall Street Journal editorialized as there now are, a legislative body becomes boost in the funding authorization for edu­ again on a subject which is beginning to tempted to try to satisfy both donor and cation of handicapped chlldren in the first donee. The Congress thus has consistently year. President Ford has made clear that gain some attention in the Nation's press, legislated additional benefits-Medicare, he opposes what he calls "excessive funding .. if not the Halls of Oon.gress-the Medicaid, food stamps, new housing benefits, authorized in this law and will try to get enormous growth of income transfer Social Security increases, etc.-Without leg­ the Congress not to appropriate the full payments made by the Federal Govern­ islating sufficient taxes to cover them. amounts, according to a New York Times ment in the last several years. Themes­ Only one thing can happen when this story on August 14. sage is grim, and I hope that some of my occurs: The tax 1s levied in another way, colleagues will give it their serious con­ by inflation. At first, the lawmakers satisfy sideration. both constituencies but the trouble is only beginning. Inflation creates demands for FOURTH ANNUAL AIAW BASKET­ The Journal recognizes that transfer greater transfers. At the same time it moves BALL TOURNAMENT OPENS payments-the supplying of benefits to wage earners into ever higher tax brackets, nonproducing people-has its political increasing their effective tax rates. The re­ attractions. Granting that some argu­ sult of this rising combination of inflation HON. RICHARD T. SCHULZE ments in favor of transfer payments may and taxation is to eat away at the nation's have some validity, however, the editor­ savings and thus its capacity to invest, cre­ OF PENNSYLVANIA ial concludes that the total level of pay­ ate jobs, develop new technology and im­ IN THE HOUSE OP REPRESENTATIVES prove the overall standard of living. Job ments has risen to dangerous heights. losses then create stlll more income trans­ Wednesday, March 19, 1975 The inflationary impact on the economy fer demand. Mr. SCHULZE. Mr. Speaker, it is ap­ cannot help but be increased by current It is a. little bit like using up all your propriate, and in keeping with Inter­ levels. Add to this the potential for alien­ savings and credit just to keep going, without national Women's Year, that I remind ation and demoralization of those in the making any provision for the future. The productive sector of society, and you have future, at the moment, is not at all bright. my colleagues of the opening today of Congress, having gotten into the income the fourth annual Association of Inter­ the makings of the destruction of the U.S. political and economic system as we transfer spiral, has not yet perceived that collegiate Athletics for Women cham­ its instinctive reactions to the present prob­ pionship tournament in basketball. More know it. I include the Journal editorial lems are mostly the wrong reactions. It does than 325 colleges across the United at this point in the RECORD. not, for example, perceive the urgent need States participate in the AIA W basket­ (From the Wall Street Journal, to reduce federal spending and to somehow ball program, and from these colleges March 18, 1975] stop the impossible expansion in federal in­ have come 16 teams to play for the na­ INCOME TRANSFER REVISITED come transfer programs. It has not yet per­ We have been saying here recently that the ceived that $75 billion to $100 billion federal tional title. deficits in the years just ahead are potentially 16 sharp rise in "income transfers" in the U.S. These teams, which include the host over the last few years represents a trouble­ destructive of the U.S. economic, social and school of Madison College in Harrison­ some problem. Let us deal now with some of political system as we have known it. burg, Va., and three-time champion Im­ the arguments of those who disagree. Those are very strong statements. But not, maculata College from the Fifth District When we say income transfer we are talk­ in our view, too strong. Income transfer, con­ in Pennsylvania, have survived a physi­ ing about government taxing producers ana ceived and conducted with the best of social cally and mentally demanding round of earners in order to supply benefits to non­ and political motives, has become central to producers and non-earners. The goal of the a very dangerous future. It is all the more local and regional games to qualify for dangerous because of inadequate recognition the 4-day finals which open today. discussion is not to have the Social Security laws repealed but merely to broaden under­ in Washington of how we got here. The In addition to Madison College and standing of the income transfer process and emphasis has been too much on the social Immaculata College, gathered in Harri­ outline the dangers of letting it get out of dangers of having too little income transfer sonburg, Va., are: William Penn College control. and not enough on the very real social dan­ of Iowa, Kansas State, Boise State, Way­ Those who minimize the risks usually offer gers of having too much. The entire produc­ land Baptist College in Midland, Tex., arguments that, in our View, present only a tive sector of society can become alienated Fullerton's California State, Queens Col­ piece of the total argument. The most sim­ and demoralized through seeing savings and plistic position, one that we assume everyone capital destroyed by inflation and through a lege, New York, Southern Connecticut sense of the unfairness of government poli­ State, Tennessee Tech, Utah State, Delta has heard often, is that income transfer on almost any scale benefits the economy. It cies that allow this to happen. We suspect State, and Federal City College from sustains consumer demand and spending that any political candidate who clea.rl:v un­ Washington, D.C. velocity and thus evens out the business derstands that social problem wlll have' a lot These championship matches have cycle. going for him the next time the nation been held in Dlinois, New York, and As long as transfers are soundly financed goes to the polls. Kansas, and this year the AIA W selected there are some positive effects. No one would Harrisonburg, Va., for its best of basket­ deny that in both a social and economic ball determination. These teams repre­ sense it is good to have cushions against un­ employment and old age and it 1s not unrea- THE CONSERVATION OF sent the best women's basketball Amer­ sonable to expect government to organize ica has to offer. To quote a sportswriter this kind of protection. But limiting the scale HARP SEALS from Wayne, Pa .. "Women's basketball is economically crucial. has arrived, and it took Immaculata Col­ The argument becomes a. bit more complex lege going to New York to make the final when the question of incentive and disin­ HON. G. WILLIAM WHITEHURST arrangements"-their appearance at centive is introdced. whether taking money OF VIRGINIA from a producer and giving it to a nonpro­ IN THE HOUSE OF REPRESENTATIVES Madison Square Gardens against Queens ducer tends to destroy the incentive of both, College. "As if by magic, one day girls' and thus encourages unemployment and re­ Wednesday, March 19, 1975 basketball attracts about as much media cession. There can be little doubt that this Mr. WHITEHURST. Mr. Speaker, few interest as turtle racing warrants; the happens at some level of transfers, but tht.s. animals have aroused the sympathies of March 19, 1975 EXTENSIONS OF REMARKS 7613 so many people to the extent that the Denmark to consider the harp seal in rela­ Subcommittee investigation of this shift in tion to the health and stability of the eco­ production, criticized the FEA regulatory harp seals have. I have received a great system rather than on the basis of their eco­ loophole: many letters from concerned constitu­ nomic utility. "The tremendous increase in uncontrolled ents, many of them school children, urg­ In the longer run, the Unilted staJtes would oil production in January 1975 over Decem­ ing that these animals be given proper like to remove the harp seals from ICNAP ber 1974 1s the result of a. bookkeeping en­ protection. and, in accordance with the principles and try, a. paper transaction, unrelated to in­ The State Department ha.s issued a purpose of the Marine Mammal Protection creased efforts to find and produce more oil. very helpful fact sheet on the subject, Act of 1972, place them under the protection The intent of the FEA regulation and the of a. regional conservation treaty for north­ two-tier price system for crude oil was to which I am inserting at this point in the ern hemisphere pinnipeds (the order of ma­ give the benefit of higher prices for uncon­ RECORD for the benefit of my colleagues. rine mammals which includes seals). Scien­ trolled oil as a reward for increasing pro­ In order to indicate congressional sup­ tists have informed us, however, that there duction. Unfortunately for the consumer who port for a treaty to protect the harp 1s insufilcient scientific information available has once again been victimized by higher oil seals, I have introduced House Concur­ at the present for the conclusion of such a prices, the regulations fail to do this 1n rent Resolution 184, which states: treaty. They have suggested that the con­ practice." The Subcommittee's prel1mina.ry investiga­ That the United States should, a.s expedi­ ference for the treaty be preceded by a preparatory scientific meeting. Currently we tion of this matter indicates that the aber­ tiously as possible, take all necessary actions ration in production figures results from a to effect a. regional conservation treaty for have been cooperating with the UN Food and Agricultural Organization (FAO) in gather­ loophole in FEA regulations which permits the protection of northern hemisphere comparison of production from a single pinnipeds. ing scientific information for the prepara­ tory meeting, which we hope will be held a.s property on a month by month basis in order I would welcome the cosponsorship soon as possible. This would be followed by to compute the portion of crude oil which is of any of my colleagues who share my the conference to negotiate the treaty for price controlled and that which 1s not. Any concern for these animals. the protection and conservation of northern property which showed an increase in pro­ hemisphere pinnipeds. duction during the base year, 1972, will have THE CONSERVATION OF HARP SEALS a smaller proportion of its current produc­ The harp seal is taken by Canadian and tion classified as old oil a.t the beginning of N orweigan hunters in March of each year off the calendar year than its average produc­ the coasts of Newfoundland and Labrador tion of old oil during the remainder of the (known a.s the "Front") and in the Gulf of REPRESENTATIVE JOHN DINGELL year. St. Lawrence. In 1972, the Canadian Govern­ CHARGES LOOPHOLE GAVE MA­ The· Subcommittee has asked each of the ment limited the hunt in the Gulf by ban­ JOR on. COMPANIES $130 MU.­ major oil companies involved to justify their ning there the use of aircraft and large LION WINDFALL old oil calculations, has requested an audit vessels. Harp seals are also taken, but in of these calculations by the FEA and is seek­ considerably fewer numbers, by natives in ing a full explanation for the causes of this the eastern Canadian Arctic (Baffin Islands HON. JOE L. EVINS windfall. Subcommittee Chairman Dingell and the Labrador coast) and in Greenland, OF TENNESSEE stated: and by Norwegians around Jan Mayen in IN THE HOUSE OF REPRESENTATIVES "I am asking the FEA to take prompt ac­ the Arctic Ocean and in the White Sea. area. The Russians participated in the hunts in Wednesday, March 19, 1975 tion to change the basis for calculation of the last two areas during the early sixties, old oil production so as to assure that the but we do not know 1f they are stm do­ Mr. EVINS of Tennessee. Mr. Speaker, higher prices for uncontrolled oil will reflect ing so. Chairman JOHN DINGELL of the Energy actual increases in production of new oil. I The Canadian Government in January, and Environment Subcommittee of the don't want to see windfalls of this magnitude 1972 released a report, drawn up by a spe­ House Small Business Committee has an­ enjoyed by oil producers because of an ac­ cial advisory committee, which stated that nounced important hearings with respect counting entry." "if the (harp) seal hunt is maintained a.t to a loophole in regulations of the Federal the 1972 level, there wm be a. total elimina­ Energy Commission which permitted ma­ [In barrels) tion of the one year old animals in 2014. The harp seal would then move toward extinc­ jor oil companies a $130 million wind­ tion a.s the older animals die off." The Com­ fall. Old oil production Uncontrolled oil The announcement follows: (price controlled (selling price in mittee recommended a. phase-out of theCa­ at $5.25 per excess of $10 per nadian and Norwegian Atlantic hunt (i.e. REPRESENTATIVE DINGELL CHARGES FEA barrel) barrel in the Gulf and the "Front") by the end LOOPHOLE GAVE 12 MAJOR On. COMPANIES of 1974 to be followed by a minimum six $130 Mn..LION WINDFALL IN JANUARY 1975 years moratorium, except for a yearly quota November 1974 ______170, 423, 681 91,277,761 Representative John D. Dingell (D-Mich.) December 1974 ______176, 346, 407 90,913,795 of 10,000 for aboriginal hunting in Canada charged today that "Unreleased Federal En­ January 1975 ______153, 104, 333 113, 158, 956 and Greenland. It further recommended that ergy Administration figures reveal that a the decrease in hunting activity in the At­ loophole in FEA regulations ga. ve 12 major lantic should not produce an increase in the oil companies a $130 m1llion windfall this OLD OIL AS PERCENT OF TOTAL DOMESTIC PRODUCTION exploitation of seals in other areas of the past January." world. Presumably these other areas would Representative Dingell released figures Date Percent Date Percent include the White Sea and the waters sur­ showing that aggregate production of price rounding Jan Ma.yen. The recommended controlled oil decreased in January 1975 by phase-out schedule was 160,000 (85,000 less December 1973_____ 71 July 1974______64 23 mlllion barrels while production of un­ January 1974______60 August 1974______66 than the previous year) to be taken in 1972, controlled oil increased by a similar amount, February 1974______62 September 1974___ 67 120,000 in 1973 and 80,000 in 1974. The Ca­ 22 million barrels. The figures also show that March 1974______60 October 1974______66 nadians, Norwegians and Danish followed the old oil production of these 12 oil com­ Apri11974______60 November 1974___ 65 the Committee's recommendations for 1972, May 1974______62 December 1974____ 66 panies decreased by an even greater amount, June 1974______63 January 1975_____ 57 but in 1973 and 1974 they set the quota a.t a. total of 26 million barrels. 150,000. Old oil is price controlled at $5.25 per Since 1964, the harp seal has been subject barrel while uncontrolled oil sells for in ex­ OLD OIL PRODUCTION to the conservation and management meas­ cess of $10 per barrel. ures adopted by the International Commis­ The Congressman is Chairman of the En­ sion for the North Atlantic Fisheries December January ergy and Environment Subcommittee of the Company (ICNAF), whose sixteen member nations in­ House Small Business Committee. 1974 1975 Change clude the United States, Canada., Norway Representative Joe L. Evins (D-Tenn.), and Denmark. In practice, the Commission Chairman of the House Small Business Com­ Amoco ___ ------12,893,063 9,183, 957 3, 709,106 has accepted the recommendations of Can­ mittee pledged the full support of the Com­ Arco __ ------6, 844,523 6, 546,204 298,319 ada, Norway and Denmark. At the 1973 Conoco_ ------4, 222,750 3, 690,855 531,895 mittee for Dingell's investigation, "Certainly Exxon_------16,838, 160 10,841,651 5, 996,509 ICNAF annual meeting, the Commission's d111gent Congressional inquiry into these Getty/Skelly ------1, 971,935 1, 361,897 610,038 scientific experts stated that the quota of regulatory actions is vital and important to Gulf ______------13, 177, 080 10,664, 976 2, 512,014 150,000 equals the sustainable yield, mean­ assure that the interests of small businesses Marathon ____ ------4, 301,724 3, 983,735 317,989 MobiL ______--___ 9, 840,361 7, 792,251 2, 048,110 ing that this is the number that can be in the petroleum industry and consumers Phillips ______4, 353,098 3, 688,689 664,409 taken without further reducing the harp alike are protected." SunocoSheiL------______15,454,125 11,049,817 4, 404,308 seal population in the Atlantic, but not al­ Representative Dingell assured the Chair­ 6, 501,920 4, 782,419 1, 719,501 Texaco_------____ 15, 280,090 lowing for any rebuilding of the stock. Also man, "We will see to it that this loophole is 11,334,830 3, 945,260 at the meeting, the United States presented closed." TotaL ______111,678,829 a paper that urged Cana

A Goon MAN FOR A HARD Jos Commissioner Brown will find that the with M.D. degrees, 3,000 are clinical lab­ (By Henry U. Wheatley) Conservation Fund will be besieged by in­ oratory scientists with Ph. D.'s, 65,000 are dividuals and groups who want to divert its with Virdln Brown has been given one of the monies from the purposes for which they oratory scientists Ph.D.'s, 4,000 are most interesting responsibUities at one of the were intended. These pressures must be re­ cytotechnologists working with cells, most dimcult times for the Virgin Islands. sisted vigorously. It will be necessary, in 6,000 are histologic technicians working We have to assume that the responsibllity fact, to insist that more be provided for the with tissue specimens, 50,000 are labora­ is already his because his personal popularity purposes of that fund than can be derived tory technicians and laboratory assist­ and the esteem 1n which he is held by his from on royalties. ants, and the remainder are divided former colleagues in the Senate guarantee Recreation is a good thing and politicians his confirmation. He wtll certainly be receiv­ among such diverse categories as blood seem to find it especially attractive. It would bank technologists, chemists, microbiol­ ing advice from more sources than he can however be a shame for Commissioner Brown possibly absorb, but we wtll nevertheless to have to divert a large share of his energies ogists, hematology technologists, and nu­ offer him our own thoughts on his priorities to playgrounds and ball games. A strong clear medicine technologists. as Commissioner of Conservation and Cul­ Bureau of Recreation, headed by a compe­ Medical technology can well be termed tural Affairs. tent professional, should be able to relieve the unseen profession. While their prac­ Conservation is saving, preserving. Unfor­ the Commissioner of most of the duties re­ titioners are involved in the performance tunately, much that we should have saved lated to that field. of a wide range of laboratory tests that has already reached a point which now re­ Cultural Affairs is an appendage to the quires restoration rather than conservation. directly contribute to the detection, diag­ Department that does not seem to have any nosis, treatment and study of disease, This is especially true of the waters close particular relation to the rest of its activi­ to our shorelines. It is helpful to keep in ties. It would seem to me that it would make their dedicated work often goes unno­ mind that almost everything that can be more sense for the duties of that division ticed by the general public and even done to restore the quality of these near­ to be shifted to the Department of Educa­ those who work in the health care shore waters must be done on land. The kind tion. system. of protection provided by the earth change That is probably enough unsolicited ad­ The laboratories where they work may law with regard to new construction could vice for one day, especially to a Commis­ be and should be applied, possibly through be found in hospitals, clinics, research sioner who has not even been confirmed as centers, universities, or doctors' offices. new legislation, to land areas that have been yet. degraded in the past. They may also be private independent The ill-considered damage to watersheds laboratories, or mobile laboratories that that has accompanied the expansion of our bring better health care services to rural population into the countryside has led to an NATIONAL MEDICAL LABORATORY and poverty level communities. ever-increasing flow of silt into the ocean. WEEK-APRIL 13-19 In the laboratory, these personnel will The effects have been visible after heavy be analyzing blood, body :fluids, and tis­ rains, when the water turns muddy. It is easy to tell ourselves that this goes away HON. TIM LEE CARTER sue samples for evidence of disease or quickly and does no permanent damage. The OF KENTUCKY infection. In smaller laboratories all cat­ truth is that we have had to become accus­ IN THE HOUSE OF REPRESENTATIVES egories of investigation may bt> accom­ tomed to seeing more and more of our swim­ plished by the same individual. In larger ming beaches lose the clarity about which Wednesday, March 19, 1975 institutions laboratory personnel often we have been so proud for so long. The prob­ Mr. CARTER. Mr. Speaker, I am very become specialists in hermatology, chem­ lem, however, is more than aesthetic. The pleased to bring to the attention of my istry, urinalysis, microbiology, biochem­ reduction of water clarity also affects a wide variety of life forms in the ocean. Among colleagues the fact that National Med­ istry, histology, or cytology. Recently, the hardest hit are the corals. Various forms ical Laboratory Week will be observed the public spotlight has been on histology of coral require specific conditions-a given this year from April 13 through 19. The and cytology, studies of tissue and cells, amount of light, water circulation of a cer­ occasion will be used to make the public because of the focus on breast cancer. tain velocity and tiny living organisms on more aware of the vital functions per­ Microscopes and chemicals for treat­ which to feed. As we have tampered with formed by the medical laboratories and ing and staining specimens were once these conditions we have brought about the medical laboratory scientists who per­ the only tools used by practitioners of gradual destruction of one of the most im­ form the diagnostic testing required for laboratory science. Today, electronics portant parts of our natural heritage. It would be more of a luxury than these the identification and treatment of and high technology play an increasingly poor islands can afford to think in terms of disease. important part. Sophisticated analytical a total conservation effort based on the con­ In recognition of the vital role played instrumentation capable of performing cept of zero economic growth. We are going by laboratory practitioners in the health multiple procedures automatically stand to need more ways of making a living and care system I was deeply honored to re­ next to the microscope in handling the we will have to provide more places for peo­ cently cosponsor with my esteemed col­ increasing demand for laboratory serv­ ple to live if those who are now at the bottom leagues, Congressmen RoGERS, SYMING­ ices. Even the computer is used for the of the economic ladder are going to have an TON, HASTINGS, HEINZ, and MINETA, House storage of diagnostic findings. opportunity to rise to a more comfortable standard of living. This will inevitably re­ Joint Resolution 312 which authorizes Professional organizations which rep­ quire further encroachment on our open and requests that the President issue an resent many laboratory professionals land areas. A way must be found to mini­ annual proclamation declaring the sec­ have been instrumental in developing mize this encroachment. One of the avenues ond week of April as National Medical laboratory standards which improve the most readily available to us is to encourage, Laboratory Week. I was pleased to note quality of services provided. Therefore, if not require, that more residential con­ that a similar resolution, Senate Joint I was particularly pleased to see that six struction be in the form of multi-story Resolution 50, was introduced in the Sen­ different organizations are participating buildings, using less land areas. ate by Senators KENNEDY, JAVITS, Wn.­ Also, a great deal of advanced research has in National Medical Laboratory Week. been done on cluster housing and we should LIAMS, PELL, and SCHWEIKER. Further­ They include: the American Society for import the ideas that have been gathered more, it is my full expectation that dur­ ing the course of this year the Congress Medical Technology, American Associa­ elsewhere to help with our problem. tion of Blood Banks, American Associa­ One positive way of guaranteeing that the will carefully reexamine the role of med­ growth we need will not result in the entire ical laboratories and its personnel under tion of Bioanalysts, American Medical land surface of our islands being paved over the Clinical Laboratories Improvement Technologists, International Society for in the establishment of a major system of Act and expand and revise necessary pro­ Clinical Laboratory Technology, and the territorial parks. The legislation to create visions to insure the highest quality of American Society of Clinical Patholo­ these parks exists and it would be an urgent laboratory services are provided to all gists. responsib1lity of the Department of Con­ Americans. Mr. Speaker, I call upon all my col­ servation and Cultural Affairs to persuade During the week of April 13-19, the leagues to join me in saluting the dedi­ the rest of the government and the public 1n cated work performed by our Nation's general that the actual establishment of Nation will join in saluting the men and these parks 1s a matter of the greatest ur- women whose scientific findings helps the laboratory practitioners and to urge that gency. The offshore islands are stlll, for the Nation's doctors provide quality health we provide strong endorsement for Na­ most part, undeveloped and as many of these care. Of the more than 150,000 persons tional Medical Laboratory Week by fa­ as possible should be included in our terri­ working in medical laboratories, approxi­ vorably considering the joint resolutions torial parks system. mately 15,000 are clinical pathologists already introduced. 7622 EXTENSIONS OF REMARKS March 19, 1975 APPROACHING OUTER CONTINEN­ lost much of our precious beach and open ing and development plans be consistent TAL SHELF DEVELOPMENT WITH space land to inefficient and unsightly with State CZM plans. CAUTION urban and suburban development. Third, and most importantly, this bill I believe that it is clear that the de­ will authorize the National Oceanic and gree to which OCS development is posi­ Atmospheric Administration to conduct HON. THOMAS J. DOWNEY tive in providing for this Nation's energy baseline studies and collect time series OF NEW YORK needs without adversely affecting its nat­ data to assure that we do not unwittingly IN THE HOUSE OF REPRESENTATIVES ural environment will hinge upon the damage the marine environment within ability of public officials at all levels of the OCS. Wednesday, March 19, 1975 government to plan for t'he development. In addition, the bill provides for exten­ Mr. DOWNEY. Mr. Speaker, this However, there are several points which sive cooperation among several Federal Nation must accept the fact that it faces must be considered if we are to plan ef­ agencies to assure that expedited OCS an immediate scarcity of energy sources. fectively. development is carefully and fully moni­ Our heavy reliance upon petroleum First, we must insure consistency of tored to insure that environmental dam­ combined with our diminishing domestic Federal actions in regard to offshore de­ age from careless oil spillage is pre­ reserves are making us ever more velopment. The single agency approach vented. dependent upon foreign sources of oil. that the Federal Government has taken I believe that it is clear that we need It should be clear, given the experiences toward energy independence in the past to expand the development of our oil of last year's oil embargo, that if we are must come to an end. The Federal Gov­ and gas resources on the OCS; however, to meet this Nation's immediate energy ernment has found itself in the unten­ it would be irresponsible for this Nation needs we are going to have to develop able position of funding programs such to approach this kind of development and explore the oil and gas reserves as the national parks which are designed without the proper amount of caution. within our Outer Continental Shelf. to protect and enhance our natural en­ The legislation I have proposed today During the next decade development vironment while concurrently promot­ is designed to insure that the proper of oil and gas from the United States ing others that are potentially harmful care is taken in moving toward energy OCS may well provide the largest single to the very same environment it is spend­ independence. I respectfully ask my col­ source of domestic energy. However, the ing millions to protect. We need to seek leagues in the House to seriously con­ massive offshore development that is a meaningful balance between our fu­ sider and review my proposals. presently being proposed carries with it ture energy needs and our precious nat­ grave environmental risks that must be ural environment. adequately assessed before development Second, many of the ill effects of ex­ begins. panded oil and gas development could KEEP CONCORDE SST'S IN EUROPE Expanded oil and gas development in be combated by rational land use plan­ the OCS will bring with it the threat of ning. I believe that we must insure that HON. LESTER L. WOLFF oil spills as well as the degradation of Federal oil and gas leasing in the OCS many forms of marine life. However, the is consistent with the State plans cur­ OF NEW YORK environmental risks are not limited to rently being developed pursuant to the IN THE HOUSE OF REPRESENTATIVES the increased probability of oil spills Coastal Zone Management Act. ' Wednesday, March 19, 1975 alone. OCS development must be approached Mr. WOLFF. Mr. Speaker, with all the Development of the OCS will bring with caution. We must insure that this controversy over the supposedly delicate economic and social changes onshore as development occurs only in those areas diplomatic problems and potential em­ well. This new oil and gas production where the amount of the oil resources barrassment should the British-French will result in the development of re­ will justify the potential dangers to the Concorde SST not be allowed to land in fineries, petrochemical complexes, gas environment. the United States, I thought it well to­ processing, and tanker docking facilities. The bill I am introducing today is an day to pass on to our colleagues a sam­ Moreover, the resultant increases these attempt to insure that these points are piing of public opinion from my home support operations will bring in em­ considered. This legislation will amend area of New York. ployment, regional growth, income, and the Outer Continental Lands Act to pro­ We sometimes lose sight of what the population have the potential to be both vide policies for managing oil and gas re­ real effects of our decisions are at home, beneficial and harmful. sources in the OCS in order to achieve and this problem can become especially We rnust keep in mind that growth in our national energy goals and assure that acute when there are diplomatic over­ primary industries associated with off­ our environment is protected. The bill tones, as in the present SST debate. shore development is likely to be offset has three major environmental thrusts Frankly, Mr. Speaker, I am somewhat by a decline in secondary industries such which I would like to outline. at a loss to understand why we in Con­ as fishing and tourism. While economic First, it would authorize the Secretary gress should have to take up valuable growth is something to be encouraged of the Interior to conduct, through the time on the SST, in view of our previous, there are obviously many dangers in­ U.S. Geological Survey, exploratory clear mandate against the aircraft due herent in unplanned and uncontrolled studies of tracts in the OCS to deter­ to its excessive noise and other pollution develo-pment which we must take affirma­ mine if commercial quantities of oil and characteristics. tive steps to circumvent. gas are present before the tracts are I am sure that most of us in this House However, aside from the obvious leased. are somewhat mystified, and not a little economic growth problems likely to be Second, it would direct the Secretary resentful, that the FAA has put us in the encountered as a result of expanded oil to transmit to Congress for approval a position of having to enforce our 1971 and gas production in the OCS, commu­ vote. But enforce we must in the face of nities are going to have to face new leasing and development plan for tracts in which commercial quantities of oil are a clear attempt to go behind our back problems in providing for the expanded and allow in the Concorde because of a demands which this offshore develop­ found. Similarly, the Secretary would be directed to submit these plans to the possible administrative technicality. ment will place upon their social and In any event, the people at home are service infrastructures. Expanded indus­ Governor of the adjacent coastal State not interested in the technicalities which trialization on shore will mean larger for comment. The bill empowers the Gov­ the FAA and the EPA have foisted on us populations in areas presently not ernor to petition for a 3-year delay in as a rationale for allowing in a foreign equipped to handle these added burdens. lease sales if he believes that such sales SST where an American dare not tread. Communities are going to have to pro­ would be environmentally harmful to his As the following story and editorials vide new housing, new hospitals, new State. The Secretary would review these show, the residents of New York know schools and parks as well as expanded petitions and in cases where he may deny what the Concorde SST threatens, and law enforcement, fire protection and the delay the Governor would have the they do not like it. As I have said on pre­ public utility services. option of appealing to a National Coastal vious occasions, 1f the British and French Moreover, if we do not plan for this Resources Board composed of the admin­ want this noisy and dirty aircraft, let expand~.:i commercial and residential istrators of several Federal agencies. them keep it where it belongs--on the growth we are going to find that we have Moreover, this bill will require that leas- other side of the Atlantic. March 19, 1975 EXTENSIONS OF REMARKS 7623 Mr. Speaker, I am pleased to submit When ftown at supe1·sonic speed, the plane From the chic shops with the chic names for the RECORD a pair of fine editorials would painfully increase the level of noise. on Central Avenue in Lawrence to the broad pointing out the problems with the FAA's Most ominously, fleets of SST's in regular streets and avenues of Woodmere, noise deci­ service might irreversibly alter the chemical bels, perceived noise decibels and similar jar­ recommendations-the first by a dis­ composition of the ozone, permitting many gon are familiar terms to many residents, just tinguished Long Island radio station, more of the sun's harmful ultraviolet rays as jet noise has been woven into the fabric WHLI, delivered by president and gen­ to reach earth and having unpredictable of their lives. eral manager Paul Godofsky; the second effects on the life-sustaining ecology of the A backyard barbecue is just as popular in by the New York Times. stratosphere. the Five Towns as in the rest of Nassau Finally, I am pleased to include a Notwithstanding this decision by the Con­ County, but the jets, with their black clouds newspaper story which appeared this gress, the Federal Aviation Agency-with of exhaust, pose an often unconquerable week in Newsday. This excellent bit of the timid acquiescence of the Environmen­ challenge to the hardiest fan of the charcoal tal Protection Agency-has just recom­ grill even if the noise doesn't force the cook human interest reporting by T. J. Collins mended allowing the Concorde, the Anglo­ indoors. The exhaust fallout problem has clearly brings home to us here in Con­ French supersonic airliner, to begin four been somewhat alleviated in the last three gress just what the SST will mean to the regular ftlghts a day from Western Europe years with the requirement that the jets be American public, and I respectfully urge to Kennedy Airport here and two a. day to outfitted with afterburners to cut down on my colleagues to read the story, espe­ Dulles Airport near washington, D.C. the fallout. The battle was won in court by cially if they have been leaning towards The F.A.A. admits SST's are noisy but State Attorney General Louis Lefkowitz on a "diplomatic" settlement of the SST argues that they are only somewhat noisier the strength of complaints from area resi­ than ordinary planes. It admits that fteets dents that their laundry was turning black tiUestion. of SST's could produce dangerous atmos­ and backyard swimming pools were unusable WHLI URGES THE BANNING OF SST PLANES pheric effects but argues that six ftlghts a because of the mixture of jet fuel and water PENDING ENVmONMENTAL STUDY day are too few to do much harm. The road descending in clouds. (By Paul Godofsky) to hell also begins with small steps. But, aside from the problems of fallout WHLI frequently has noted the tendency Once the F.A.A. wins this initial battle and jiggling TV reception, the main problem of many governmental regulatory agencies to for six dally flights, it wlll be relatively easy is noise. Noise is the omnipresent obsession become spokesmen for and advocates of the to increase them. The Soviet Union, which of the Five Towns. very industries they are supposed to be su­ has developed its own SST, may soon be re­ According to the FAA, the Concorde's aver­ pervising. questing approval to use It on the Moscow­ age noise level is 115.3 effective perceived The current case in point is a preUminary to-New York route. If granted to the British noise decibels. And whUe it is true, as Mr. decision by the Federal A viatlon Administra­ and the French, how in the name of detente Deeds said, that a. three-decibel increase is a. tion to permit at Kennedy Airport daily com­ could a. Russian request be turned down? doubling of the vibration power or pressure mercial :flights of the Anglo-French super­ The pressures to have the Government fi­ of the noise, it takes an increase of 10 per­ sonic transport plane--the Concorde. nance an American SST wlll revive all over ceived noise decibels to double a. hearer's The 14-hundred mlle an hour aircraft again. annoyance, according to the Port Author­ would make the filght between London and Saving two and one-half hours on the ity. Other experts have other opinions. New York in just about three hours. That's flight to Europe and equivalent amounts of Decibels simply measure sound pressure; fast all right, but who needs it? The plane time on other routes cannot possibly justify perceived noise decibels measure annoyance has very limited passenger capacity, cannot the excruciating noise of these planes or the by giving a. numerical weight to frequencies, carry much cargo, and to operate at a profit, incalculable damage they may do to the with the high frequencies given the higher would be forced to charge such high fares stratosphere, that precious envelope of air numbers because they are the most annoy­ that only a. very small portion of the plane­ that helps make life possible on this planet. ing. An effective perceived noise decibel adds riding public would be able to afford them. The Port Authority can bar the Concorde another factor, the duration of the sound, More disturbing than this plan to ba.U out from Kennedy Airport. It should promptly with faster moving and climbing aircraft the Concorde's French and British manu­ do so, while Congress and the public make scoring better than slow-climbing, slower facturers is the unpleasant fact that nobody clear to the F.A.A. that it should bar these moving planes. knows exactly what the SST would do to the planes from Dulles as well. "We live on Runway 31 R. If the SST 1s environment. We do know that the plane going to come, it's going to come over us," cannot meet the noise standards set by the [From Newsda.y, Mar. 18, 1975] said David Jablon, who lives in a colonial Port Authority which operates Kennedy Air­ A VIEW FROM THE FivE TOWNS stucco house at 385 Arbuckle Ave., Cedar­ hurst. port. And it has also been estimated that it (By T. J. Collins) would create in households near the airport "Congress saw fit not to allow filghts of Vibrations that are five times greater than Mr. Deeds won't be going to Washington the SST in the United States, but I guess those produced by the jet planes now using after all. we're not part of the country. As it is, when Kennedy. But he and dozens, possibly hundreds, of they start coming over, we get the noise for Just imagine how homeowners in the Five other Five Town area. residents wlll be going eight hours at a clip. That's 160 planes, one Towns--Elmont--Valley Stream-Rosedale to the Queens Playhouse in Flushing Mea­ every three minutes. We're going to that pub­ area. wlll respond to that. dow Park, where the Federal Aviation Ad­ lic hearing, all right, and so are our neigh­ Scientists who specialize in the environ­ ministration will hold a public hearing April bors." ment say that the operation of Supersonic 18 on the coming of what some e!tll, "The A total of 41,565 planes used runway 31 R Transport Planes wlll produce damage to the Raper," the Concorde supersonic transport. to land last year. This figure represented a Ozone layer in the upper levels of the at­ "We're very upset. They're trying to cut decline of almost 3,000 arrivals from the year mosphere. This in turn would have as yet our throats," said Clifford Deeds of North before, a shrinkage caused by the energy undetermined affects on life on earth. Valley Stream, the director of the Town-Vil­ crisis. In all, there are four runways with In view of these factors, what is the reason lage Safety and Noise Abatement Committee. flight paths over the Five Towns area, 31 R for the big rush to let the Concorde operate The committee was formed by the Town of and 31 L for landings and 13 R and 13 L for over Long Island? Hempstead and several villages near Kennedy takeoffs. In 1974, there were 55,200 arrivals Representative Lester Wolff has introduced Airport in 1962 and has been fighting plane on 31 L and 31 R and 30,776 depatures using Congressional legislation that would ban all noise and nuisance since. 13 Rand 13 L. flights by SST planes until a. full scale en­ The committee's latest battle began when "I guess we're like Pavlov's dogs," Jablon vironmental study has been completed. That the FAA recently announced tentative ap­ said. "You get use to the noise, you learn to makes sense to us. proval for the British-French supersonic Con­ tolerate it. But even without the SST, it's We urge our listeners to tell their Con­ corde to start six flights a. day into Kennedy miserable. You get use to it. Many people in gressmen to lend their support to the bill and Dulles International Airport outside the Five Towns will tell you that, but the proposed by Representative Wolff. Washington early next year. Four of the noise does change patterns of living. flights would be into Kennedy. The FAA had Samuel Cohen, superintendent of the Law­ [From The New York Times, Mar. 11, 1975] scheduled one hearing,-and that in Wash­ rence School District, talking about the SST's TO J .F.K.? Ington-for Apr1114, but added the local ses­ Lawrence High School in Cedarhurst: "If sion after public outcry. the windows are open, the third floor is im­ The advocates of supersonic aviation are "The SSTs are something we've thought of possible. You just have to stop talking to the nothing if not persistent. Four years ago, the and dreaded," Deeds recently said. "Every students, and everything starts vibrating. House and Senate after wide public con­ increase of three decibels doubles the vibra­ Then you start again and, three minutes troversy voted down any further expenditure tion power. The Concorde represents a nine­ later, you stop when the next plane comes. for an American-bunt supersonic transport. or-more-decibel increase. If the SST could We're about three miles from the airport A combination of three arguments proved meet the Port Authority 112-decibel limit here." compe111ng: for Kennedy, we would have nothing to say, The Five Towns area has a mixture of The plane was a prestige project that would but it can't. We're placing our hopes on the residential, commercial and industrial zon­ a.~most certainly never generate sufficient rev­ Port Authority to maintain curre::J.t stand­ ing and a diverse population. One-family enue to defray the huge development costs. ards." homes predominate. Many residents are pro- 7624 EXTENSIONS OF REMARKS March 19, 1975 fessional people who work in New York City. do not bother the town-village safety and tained and victorious struggle for liberation. In the '30s and the '40s and earlier, living noise abatement committee or Mr. Deeds, I saw and still see that struggle as one of in the Five Towns was living in the coun­ since his organization is not able to deal with both class and color. The challenge was to try with the amenities of the seashore near­ the scientific questions. find some way, some how, to combine them. by and the benefits of a short commute. "The average person couldn't give a damn But the unfortunate fact is that most mili­ "Letting in four Concordes 1s like opening what's happening at 10,000 feet up. It's tants strive instead to emphasize one and Pandora's box," said Joe Lewis, a resident what's over their heads that they care reject the other. The majority of American of Inwood and head of the Metro Subur­ about." Marxists, for their part, see black revolu­ ban Aircraft Noise Association Inc., an um· tionary change primarily, even totally, as a brella organization and information clearing class struggle, and seek accordingly to min1- house for some 30 ciVic groups representing BLACK SCHOLAR MAGAZINE VICTIM Inize the relevance of color. Their motives thousands of residents in the communities OF MARXIST TAKEOVER are sometimes ideological, sometimes grow surrounding Kennedy. Joe Lewis has been out of political rivalry, sometimes personal or known to call the Concorde "The Raper" in ego dilemmas, sometimes a combination of the monthly newsletter he writes and dis­ HON. LARRY McDONALD these. tributes. There is much that I could say about that, "The Russians have an SST too, the TU- OF GEORGIA but I only want to say that I have reached 144. They're going to say, 'Me, too.' There IN THE HOUSE OF REPRESENTATIVES the point of no return and can no longer en­ are no statistics on the Russian plane, no­ Wednesday, March 19, 1975 dure their strategy and tactics. These in­ body knows how bad it may be. I'm in favor cluded a narrow devotion to conventional of Congressman [Lester] Wolff's [D-Kensing­ Mr. McDONALD of Georgia. Mr. Marxist interpretations and an ironclad in­ ton] bill to ban the SST untll its problems Speaker, on March 13, our colleague, Mr. tolerance for and resistance to opposing are worked out. But I think that 1f the Port DELLUMS, placed into the RECORD an arti­ Views. They do not see this as a policy of Authority doesn't stick to its 112-decibel cle by our distinguished colleague Mr. self isolation. If you are not with the peo­ standard, we may all be in trouble." The CoNYERS entitled "The United States ple, in a certain sense you are against them. Port Authority says it will not change its A vanguard without a base is not a true standards. Growing Support for Racism in South vanguard but an elite. Now and again they But "Beating the black box," is one of the Africa,'' which had originally appeared will feign to change their isolationist ways, anecdotes that Lewis willingly tells visitors. in the December 1974 issue of the Black and actually appear to do so, but it is true "The black box is a noise-measuring de­ Scholar. that a leopard cannot change its spots; it vice put out around the airport by the Port I feel that the impact of Mr. CONYERS' can only camouflage them. Authority. When the pllots approach the thoughtful article is considerably re­ Thus The Black Scholar, which initially box, they cut down on power so they don't duced by the report in the New York had been widely proclaimed as one of the register so loud. That's beating the box. Un­ most significant black publishing events of til a couple of months ago, one of the air· Times of March 11, 1975, that the maga­ recent times in intellectual and movement lines had a truck stationed near one of the zine's initiator and publisher, Dr. Nathan circles, has increasingly come to be regarded boxes in radio contact with the pilots telling Hare, states the magazine has been the as locked in a deadly vice of progressive them when to cut back.'' victim of a black Marxist takeover. deterioration. Apocryphal? Joe Lewis claims it is true. In a letter of resignation published in This is largely because instant "black "Cedarhurst was jlere long before any air­ the San Francisco weekly Sun-Reporter, Marxists" are seldom their own men or port," Palmer Farrington, the village clerk Dr. Hare states: women, let alone their own original opinlon of Cedarhurst, sa1d. "We didn't build up makers. This is in part due to the sociologi­ around it. Idlewild was just a swamp, noth­ BLACK SCHOLAR PUBLISHER RESIGNS cal fact that most people are basically con­ ing, before it became an airport." After almost six years as publisher of The formist--even those who identify with radi­ Dr. Benjamin Esterman, who built his Black Scholar since its conception and in­ calism. I have known and wrestled with this house in Lawrence 33 years ago, agrees. ception in the late fall of 1969, I am resign­ agonizing fact since the Howard rebellion of "There was the Idlewild golf course and the ing and severing all association with it and 1967. The radicals merely cling to a popular rest was swamp." He has been fighting air­ its activities. This decision comes with con­ or conventional fad or fashion in radicalism. plane noise since the 1950s. siderable regret, but it does not come sud­ I have watched it closeup and it appears to "Supersonics are seven times noisier. Peo­ denly. I do so with gnawing sadness but be a form of religious conversion. Their fa­ ple never bothered by the problem will be also with resolute satisfaction that in doing naticism, however, does not bring undying screaming. Houses will actually shake in so at this crucial time in our history I may devotion to their cult. Instead another ac­ RockVille Centre and Baldwin because contribute my part in preventing the black cording to popular fad or their own intermit­ they'll be in the increased noise zone," Ester­ movement from making an untimely Inis­ tent regroupings and reconversions. .man said. take and getting sidetracked and further The Black Scholar, under the umbrella of The environmental impact statement of decimated for perhaps another generation. the Black World Foundation, was incorpo­ the FAA does not agree with Esterman's esti­ I have had the rare opportunity to watch rated as a non-profit organization With by­ mate on how much noisier the SST is than first hand a "black Marxist" takeover and laws and a board of directors, with all policy subsonic jets. However, this is what the Im­ seizure of an organization, in this case, The decisions to be made by majority vote of the pact statement said about SST noise-caused Black Scholar. At the same time I have been board members. That was supposed to be in vibrations: "Such vibration levels are likely engaged in a serious study of Marxism since the spirit of "revolution," but it was my first to induce household rattle, caused by dishes, 1965, receiving informal tutelage and official Inistake. That majority is now "bl-ack Marx­ pictures, lamps and bric-a-brac being Vi­ instruction from some of the best Marxist ist," and I soon found my contribution sabo­ brated against supporting surfaces . . . Ininds. My study came after a Ph.D. in so­ taged and almost liquidated. It was much sources of noise which may disturb the occu­ ciology from the and like the problems Dr. W. E. B. DuBois, had pants ... because of the psychological in­ simultaneously but not always in connec­ with the old NAACP of the Walter White fluence of private possessions being dis­ tion with my activity in the black move­ era before DuBois left that group. The par­ turbed." ment. My active involvement in the black ticulars are of course different, but the prob­ The vibrations referred to are not those movement began with SNCC (the Student lems remain the same. caused by sonic boom or breaking the sound Nonviolent Coordinating Committee), on But I hung on, feeling that my own per­ barrier. The Concorde, which wm carry 100 to through RAM, the Revolutionary Action sonal satisfaction was secondary to a chance 125 passengers and cruise at 1,300 MPH, more Movement, and the Black Panther Party to help black people. I stood perplexed, but than twice the speed of sound, over the ocean, (though I never officially joined these or­ I felt that much of the current ideological will not be permitted to break the sound bar­ ganizations) and as the subject of two conflict and bickering between narrow Marx­ rier anywhere near land. Its proposed daily stormy political firings (at Howard Univer­ ists and ultranationalists was spurious and flights between New York and London will sity in 1967 and in the first and longest black eventually wo'uld pass away, that somehow take about three hours. studies strike-at San Francisco State Col­ there would emerge a metamorphosis in The impact statement also concedes that lege in the year 1968-69) . black thought which would transcend the SST flights can cause a depletion of the ozone Although I came to appreciate the basic narrow dictates and interpretations of both layer of the earth's atmosphere and a subse­ insights of Marx and their potential contri­ of them. quent Increase of ultra-violet light reaching bution to black struggle, I also saw that they Meanwhile, I began to wrlthdraw tempo­ the surface of the earth. But the FAA con­ need to be almost totally revamped (as no rarily to prepare myself for a later contribu­ cludes that the limited number of flights en­ doubt Marx would do if he were alive as a. tion to the understanding of the black condi­ visioned for the Concordes would not cause brilliant social scientist who always tried tion on which that new transcendence could environmental degradation severe enough to to tie his analysis to the historical context). be based. deny the flights. · Anyway, The Black Scholar was launched And so I returned to school and in August As one FAA spokesman put it: "It's a noisy, with the expressed aim of providing a vehi­ o! this year I am to receive my second Ph. D. dirty airplane, but we are only contemplating cle an open forum for debate, study and anal­ (this one in clinical psychology, with specl.a.l allowing six flights a day, four into JFK and ysis among black intellectuals and activists emphasis on psychotherapy). I intend to wed two into Dulles-such a small number that of all persuasions, toward evolving a new and both fields (sociology and psychotherapy) as the environmental impact will be minimal." viable black ideology that could rally black instruments for the understanding and in­ Ozone depletion and other such problems people and their allies at large for a sus- terpretation of the black condition; not as March 19, 1975 EXTENSIONS OF REMARKS 7625

ends in their conventional selves or in the ists didn't have any new thoughts and I felt SENIOR CITIZENS AND THE ECONOMY service of whatever dogma. This has left me that way about the Marxists." (Testimony of Mr. W11liam Larregui) with increasingly less time to devote to the Dr. Hare accuses both the Marxists and the we were indeed gratified to have learned Bla~k Scholar, and it is clear now that my nationalists of being "too narrow-more like that you have been appointed to serve on new direction was the first stage of my leav­ rellgion than struggle." the Select Committee on Aging along with ing the Black Scholar and moving to a higher Mr. Chrisman, who has coauthored two Mr. Biaggi and Mr. Walsh (the three of you level of involvement in the black movement. books with Dr. Hare and is a visiting pro­ being Congressmen from the State of New That is all I can say at this time. Thank you fessor of ethnic studies at the University of York). The E.O.C. of Suffolk, Inc., has from for listening-and I remain yours, San Francisco, said Dr. Hare's resignation its inception been greatly interested in its For our freedom, had taken the staff "completely by surprise." role and responsibility of advocacy concern­ NATHAN HARE. He also contended that Dr. Hare had sent ing the plight of the poor among Suffolk February 26, 1975. the staff a different, less strident letter and County's Senior Citizens. Of the six Local Mr. Speaker, the New York Times story, that the charges in the open letter were Action centers supported by the E.O.C. of under the byline of Miss Charlayne Hun­ "basically a fabrication." Suffolk, three are located within the Second "The great majority of our contributing Congressional District of which you are the ter, a native of my home State of Geor­ editors are not MarXist," Mr. Chrisman said. elected representative serving in the House gia, reported: "This is just old-fashioned red-baiting and of Representatives. Our agency has been (By Charlayne Hunter) smearing." working feverishly over many years to assist The Black Scholar, which has provided a A CONSTRUCTIVE STEP the senior citizens of Suffolk County with forum for the growing ideological debate Meanwhile, many blacks feel the incident their multitude of pressing problems and among blacks over Marx1sm-Len1n1sm and has served to heighten the debate between concerns. nationalism has become enmeshed in the con­ the ideologues. Some regard it as a construc­ Before I deal with some specific and key filet. tive step toward the creation of a universally issues of E.O.C. concern, I would like to avail Nathan Hare, a founder and publisher of accepted strategy for black liberation. Others myself of this opportunity to salute you the black journal of social, economic and po­ are concerned about the impact it will have Congressman Downey for your recent yes litical thought, has severed his connections on the magazine. vote which defeated the Ford administra­ with the magazine by protesting what he "To me, Nathan Hare was The Black tion plan to require poor families to pay, called a "black Marxist" take-over of the Scholar," said one contributing editor, whose on the average, one-third more for food journal. The remaining staff denied the ac­ statement and request for anonymity was stamps beginning March 1. As we all know, cusation, called it "red-baiting" and contend­ shared by several others. "I'm going to resign on January 17, the administration approved ing that the majority of the contributing and but quietly." the new regulations which proposed to in­ advisory board were not Marxist. Charles V. Hamilton, professor of political crease the cost of food stamps from the The Black Scholar was founded in 1969, science at Columbia University, said that he present level, which averages at about 23 when the black movement was in fiux. Dr. had resigned partly in support of Dr. Hare's percent of net income, to the maximum al­ Hare said the magazine was designed to unite position, as well as to allow the staff to choose lowable under the law, which is 30 percent the black intellectual "in his ebony tower" its own people. of net income. This reduction would have with the street activists in an attempt to But Gerald McWorter, also known as seriously affected the elderly, the disabled, evolve "a new and viable black ideology." Abdul Alkalimat, head of the department and the poorest of the poor. of Afro-American studies at Fisk University, CROSS-SECTION OF BLACKS According to estimates by the Community said that, while he felt that the magazine Nutrition Institute, most single low-income Its board-assembled by Dr. Hare and Rob­ was "an accurate reflection of where black persons in the food stamp program would ert Chrisman, the editor-was a cross-section young people are today," he also thought that have faced increases of 35 to 100 percent in of the black community and included politi­ it was "important to keep The Black Scholar the cost of their food stamps. It would have cians, educators, scholars, activists, business­ as a united front kind of publlcation." taken its severest toll on those in one and men and entertainers. Among them were The differences that have existed and de­ two person households, most of whom are Representative Shirley Chisholm of Brook­ veloped over a period of time are obvious, he elderly and already suffering from the soar­ lyn, Imamu Baraka, Angela Davis, Dempsey added. "It's the struggle for correct ideas ing cost of housing, health care, and other Travis, Max Roach, John Oliver Killens, Ossie that gets to correct ideas." necessities. Davis, Shirley Graham Dubois, Ron Karenga, The E.O.C. finds that Congress must be and Lerone Bennett. ever vigilant to protect the poor from the The magazine published articles by many enact ment of such legislation. Surely the of its board members, along with articles by SENIOR CITIZENS AND THE House showed wisdom by their overwhelming Eldridge Cleaver, Sekou Toure, John Conyers 374 to 38 vote to defeat the president's plan. and John Henrik Clark, while also providing ECONOMY a forum for young scholars and activists, THE E.O.C. ADVOCACY ROLE such as Joyce Ladner and Don L. Lee. Currently, the agency (along with its affili­ Some of the contributing and advisory edi­ HON. THOMAS J. DOWNEY ate agencies) has operated a number of pro­ tors said that, because of Dr. Hare's resigna­ grams especially designed for senior citizens. tion, they were reconsidering their own in­ OF NEW YORK In addition, on the last day of January of volvement with the magazine. At least one IN THE HOUSE OF REPRESENTATIVES this year, the E.O.C. sponsored a conference has already resigned, and even those who in the County which was entitled--senior still support the current staff say they view Wednesday, March 19, 1975 Citizenry Advocacy for the Elderly. This con­ the situation with some "dismay." Mr. DOWNEY. Mr. Speaker, on March ference gathered various members of the 3 I held a day-long public hearing in my E.O.C. staff together to discuss the perplexing * * * * * problems being faced by the aged in Suffolk Dr. Hare, a sociologist whose black mili­ district on senior citizens and the econ­ County. Currently, this agency is participat­ tancy led to his dismissal from Howard Uni­ omy. I heard testimony from more than ing in the federally funded Senior Citizens versity in 1967 and Ban Francisco State Col­ two dozen witnesses, including heads of Nutrition Program by operating feeding cen­ lege in 1969, accused the board of "a narrow senior citizen organizations, agency di­ ters in Mastic Beach and Riverhead, the devotion to conventional Marxist interpreta­ funding being received from the Suffolk tions and an iron-clad intolerance for and rectors, and some very outspoken indi­ viduals representing themselves. The County Office for the Aging. Note: The E.O.C. resistance to opposing views." also operates a program in the Bay Shore and In a telephone interview from San Fran­ hearing room was filled with interested Central Islip area which is not assisted nor cisco, where he is working on a Ph. D. in older Americans anxious to be heard by financed by the Suffolk County Office for the clinical psychology, Dr. Hare said the change their Congressman as well as by the vari­ Aging. In addition, our six local action cen­ began two years ago, when Mr. Chrisman ous public officials who were also in ters along with our two health councils and and Robert Allen, the magazine's managing the La Union Hispanica are utilized to coun­ editor, went to Cuba. attendance. sel and support many and varied activities "They were mesmerized by Cuba," Dr. Mr. William Larregui, executive direc­ for senior citizens. Hare said. "It was like a utopia. Race had no tor of the Economic Opportunity Coun­ You have indicated to us in your letter of meaning, they thought, although other peo­ cil of Suffolk, Inc., was one of the wit­ January 27. that you would appreciate re­ ple contradicted that. But you could not nesses at the hearing. He spoke force­ ceiving the feelings of this agency regarding criticize Russia or Cuba or Angela Davis fully to several of the inadequacies in our an assessment of the effectivene-s of current after that." programs and current legislation. We believe present programs for the aged. As we that the following are areas in which you as NO "NEW THOUGHT" prepare to debate extension of the Older "More and more articles were solicited our Congressman may assist thi 3 agency and from the black Marxist League and Com­ Americans Act, I think Mr. Larregui's the older residents of the Second Congres­ munist · party circles," Dr. Hare continued. remarks would be of benefit to my col­ sional District. "When I protested that not enough black leagues in the House, and I ask that his SENIOR CITIZENS NUTRITION PROGRAM nationalists were getting into the debate, testimony be printed at the conclusion The Nutrition Program for the Elderly, they tried to put out the idea that national- of my remarks. Title VII of the Older Americall.3 Act, author- 7626 EXTENSIONS OF REMARKS March 19, 1975 ized $100,000,000 nationally when it was inadequate to meet the needs of older people. month waiting period for d1sabil1ty benefits. signed in March, 1972. This program placed a This we hope you wm try to correct. to liberalize the earnings test, to permit priority on the el1gibil1ty of low-income and MONEY TO WINTERIZE HOMES adopted children to qualify for benefits with­ minority groups of elderly. It was the original out regard to time of adoption, to eUminate intent of the E.O.C. to establish feeding sites There is a need to assist senior citizens to weather strip, caulk, insulate, install the reconsideration stage in benefit deter­ in the communities where our agency had mination, to provide for the issuance of du­ established Local Action Centers. A funding storm windows and doors, and repair heat­ ing systems in their homes. Congress should plicate benefit checks where the initial package, to accomplish this task, was pre­ checks are lost or delayed, and to provide for sented to the Suffolk County Office for the consider introducing and passing a b1l1 to provide funds for these aforementioned pur­ expedited benefit payments to disatbil1ty Aging. The centers where the feeding sites beneficiaries; to the Committee on Ways and were to be established were in the communi­ poses in order that the poor, who are living on limited and fixed incomes, will be able to Means. ties of Amityville, Bellport, Central Islip, By Mr. Obey: Riverhead, Southampton, and Wyandanch. better their standards of living. There is the need to provide more housing H.R. 2836. A bill to amend titles II and As of this date the E.O.C. has received XVIII of the Social Security Act to include grants for only one of its Local Action Centers for our senior citizens at a cost which older citizens can afford. We are appalled at the qualified drugs, requiring a physician's plus funding for one other site (located in prescription or certification and approved by Mastic Beach). The E.O.C. is willing to ex­ lack of housing for senior citizens that can be afforded on llmlted incomes by these un­ a Formulary Committee, among the itexns pand its feeding sites for senior citizens as and services covered under the hospital in­ soon as it receives additional funding from fortunate people. A federal action is indi­ cated with regard to helping alleviate this surance program; to the Committee on Ways the Suffolk County Office for the Aging. and Means. May I go on record by stating that the adverse situation in which we have placed these poor older Americans. By Mr. Talcott: E.O.C. would like to receive additional fund­ H.R. 2760. A bill to amend title II of the ing from the Suffolk County Office for the HEALTH Social Security Act to increase the amount Aging under Title VII of the Older Americans Legislators, we believe, should be encour­ of outside earnings which (subject to fur­ Act, in order to establish feeding sites at all aged to work for the best possible physical ther inorea.ses under the automatic adjust­ of its Local Action Centers. These E.O.C. a.nd mental health which science can make ment provisions) is permitted each year Local Action Centers are strategically located available. Someone once said that we are without any deductions from benefits there­ in poverty pockets and serve the local needs able to send men to the moon, but yet un­ of the elderly poor. under, and to revise the method for deter­ able to cure the common cold. We would like mining such amount; to the Committee on SOCIAL SECtJRITY COST OF LIVING INCREASE to see prescription drugs and regular physi­ Ways and Means. Congress must examine the Federal Budget cal examinations covered under medicare. By Ms. Holtzman: in this regard but we urge that Federal fiscal This we believe will be a. giant step forward H.R. 2891. A bill to amend title XVI of the policy must never result in increasing the in improving the health and relieving the Social Security Act to insure that cost-of­ poverty that minority groups-espec1ally the stretched and often inadequate budget of living increases in supplemental security in­ elderly--endure because of social, legal, or the senior citizen. come benefits are granted to recipients of economic pressure. President Ford's State of WHAT NEEDS TO BE DONE such benefits in all States, to provide a hous­ the Union message of January 13, suggested Congress should: ing supplement to certain recipients of such a 5 percent ceiling on social security cost-of­ 1. See that additional funds are allocated benefits, to prevent reductions in such bene­ living increases. The President's proposal to and maintained by Congress for the Senior fits because of social aecurtty benefit in­ limit to 5 percent the cost-of-living adjust­ Citizens Nutrition Program, Title VII of the creases, to allow recipients of such benefits ment for social security, presently projected Older Americans Act. in oa.sh-out States to elect to receive food at 8.7 percent, is unconscionable. It would 2. Increase the social security earnings stamps, and for other purposes; to the Com­ mean a $2.6 billion reduction in annual bene­ limitation to $5,000, the present limit is a. mittee on Ways and Means. fits for millions of social security bene­ meager $2,400. By Mr. White: ficiaries. A retired couple would lose $12 per 3. Exempt the first $5,000 of retirement H.R. 2934. A blll to amend title xvm of month. A retired individual or widow would income from Federal income taxes. the Social Security Act to provide payment lose about $7 a month. The sums of $7 and 4. Include prescription drugs and cover under part A (the hospital insurance pro­ $12 a month may not sound like much but regular physical examinations under medi­ gram) for care and treatment furnished at anyone who ha.s been in touch with senior care. a central radiation therapy treatment facil­ citizens dependent upon social security 5. Enact legislation to provide low income ity, and to provide full payment under Part knows that $7 or $12 can make the difference senior citizens funds with which to winter­ B (the supplementary med1oa.l insurance in providing proper nourishment, food, heat­ ize their homes and provide more and better program) for radiation therapy services fur­ ing, a.nd good health. A fairer cost-of-living public housing for senior citizens on small nished by physicians to inpatients or out­ increase would be better projected a.t 8.7 per­ and fixed incomes. patients of any hosiptal or any such facmty; cent. Note: Social Security provides more and for other purposes; jointly to the Com­ than half of the income for nearly all elderly BILLS WE SUPPORT mittee on Ways and Means and Interstate couples and for two thirds of those older The following are bills which have recently and Foreign Commerce. people who live alone. been introduced and which we believe merit While the aforementioned bllls do not We would recommend that the Congress your Congressional support. necessarily contain all of our sta..ted recom­ should exempt the first $5,000 of retirement By Ms. Abzug: mendations as to what needs to be done, they income from Federal income taxes and also H.R. 2637. A bill to amend title XVI of the do contain certain clauses that we a.re able increase the social security earnings limita­ Social Security Act to provide for emergency to support. tion to $5,000, the present limit is a meager assistance grants to recipients of supple­ The E.O.C. appreciates your concern and $2,400. mental security income benefits, to authorize trusts that this information will be helpful SSI PROGRAM cost-of-living increases in such benefits and to you in deciding how best to serve the in­ Ever since the Social Security Administra­ in State supplementary payments, to pre­ terests of your constituents and the poor of tion assumed responsibility for the State aid vent reductions in such benefits because of Suffolk County. programs for the aged, blind, and disabled. social security benefit increases, to provide we have noted a number of serious problems reimbursement to States for home relief pay­ ments to disabled applicants prior to deter­ emerging from this new system. The elderly UNITED STEELWORKERS OF AMER­ and disabled have reported to our staff mem­ minations of their disa.b111ty, to permit pay­ bers that they a.re processing delays, snarled ment of such benefits directly to drug addicts ICA SECOND ANNUAL COKE OVEN payments, and generally poor services. Time and alcohollcs (without a third-party payee) CONFERENCE does not permit me to deal with each of in certain cases, to continue on a permanent these situations in depth. My recommenda­ basis the provision making supplemental se­ tion is that Congress should appoint a com­ curity income recipients eligible for food HON. DOMINICK V. DANIELS mittee on the federal level and take a long stamps, and for other purposes; to the Com­ OF NEW JERSEY hard look a.t what is happening to the blind, mittee on Ways and Means. IN THE HOUSE OF REPRESENTATIVES By Mr. Don H. Clausen: disabled, and other senior citizens who are Wednesday, March 19, 1975 reliant on this system. I would further rec­ H.R. 2647. A bill to establish in the De­ ommend that you appoint a committee in partment of Housing and Urban Development Mr. DOMINICK V. DANIELS. Mr. Suffolk County to report to your office the a direct low-lnteTest loan program to assist Speaker, the Occupational Safety and many facts a.nd findings that wlll emerge homeowners and other owners of residential Health Act has been under continuous from such a. local investigation. We are sure structures in purchasing and installing more effective insulation and heating equipment; rapid fire since its enactment in 1970. that Congressmen across the country have According to volumes of mall received, and will continue to receive letters from their to the Com.m.lttee on Banking, Currency and constituents outlining their personal past Housing. OSHA is one of the primary agendas of experiences and distresses with the system. By Mr. Lott: discussion in areas of business, industry, We would be willing to serve on such a com­ H.R. 2899. A blll to amend title II of the and the Congress. mittee. We do note that SSI benefits a.re often Social Security Act to eliminate the 5- OSHA is continuously debated. How- March 19, 1975 EXTENSIONS OF REMARKS 7627 Besolved: That an all out effort be xnade ever, the purpose and policy of the Oc­ emphasis what measures can be taken to protect themselves. to assure adequate employees in the coke cupational Safety and Health Act was departments to assure proper maintenance, and is "to assure so far as possible every RESOLUTION NO. 2 production, and spell time so that not any workingman and woman in the Nation Subxnitted by Local Unions 1014, 1033, 1104, employee is overburdened. safe and healthful working conditions." 1212 RESOLUTION NO. 9-LOCAL UNIONS 1104, 2701 Still, the silent violence of industrial Whereas: Wage rates factors on hazards Resolution on National Workers and environment do not allow for extreme Compensation Act fumes and dusts continue to stealthily situations such as coke plant workers. cripple and kill thousands of workers And whereas: There are no provisions in Whereas: The William Javits BUI S. 2008 each year. the twelve factors in the job classification is backed by the steelworkers because it more The Occupational Safety and Health manual for occupational diseases (for exam­ closely covers the needs of the working people Department of the United Steelworkers ple. emphysexna, bronchitis, cancer, respira­ of this nation, therefore be it tory and heart a.llments, etc.) and recent Resolved: That the steelworkers make every of America recently concluded their effort for the passage of this Blll. Second Annual Coke Oven Conference to studies have shown that coke oven workers have excess mortality due to these diseases RESOLUTION NO. 10-LOCAL UNIONS 1014, 12121 inform coke oven workers of the prog­ over their brother steelworkers. Therefore, be 2163, 2701 ress they have made to reduce worker it Physical examinations exposure to toxic coke oven emissions. Resolved: That added to factors 11 and 12 Whereas: Physical examinations are neces­ The United Steelworkers of America of the classification manual, a provision for sary and required, and have taken the initiative in the field of hazardous pay for coke oven workers be Whereas: The employees do not always re­ job health and have provided fresh as­ accomplished, and wage rate factors be up­ ceive the report of the medical exaxnination, saults on occupational hazards. graded for extreme conditions such as exist and I commend to my colleagues the sum­ in coke plants. Whereas: The employee has a deep con­ mary and resolutions adopted by the RESOLUTION NO. 3 cern about the results of his examination. United Steelworkers of America: Life Insurance-Local Union No. 1014: Therefore be it Resolved: When an employee dies prior to Resolved: That management be obligated UNITED STEELWORKERS OF AMERICA SECOND retirement because of an occupational dis­ to issue to each employee a complete medical ANNUAL COKE OVEN CONFERENCE ablllty due to an accident or occupational report on his individual examination. Fur­ WASHINGTON, D.C., disease, the employee's beneficiary shall re­ ther be it January 3G-31, 1975. ceive double indemnity insurance benefits Resolved: That proper and adequate physi­ The following is a summary of seventeen according to the employee's life insurance cal examinations be given by the company. (17) resolutions regarding coke oven worker policy. safety and health: RESOLUTION NO. 11-LOCAL UNIONS 1014, 1033, Be it resolved that: RESOLUTION NO. 4-LOCAL UNION NO. 1014 11o4, 216a, 26oo, 2701 Mandatory hazard, health and welfare Surviving spouse's benefits Early pension education programs be provided for all coke Resolved: The surviving spouse of a par­ Whereas: Recent studies have proven that plant workers; ticipant who dies because of an occupational the life expectancy of a coke oven worker The Jo!> Classification Manual be revised disa.blUty shall receive all pension benefits is appreciatively less than his fellow steel­ to include hazard pay factors for the purpose due spouse regardless of the participant's age worker due to occupational Ulnesses, disease, of upgrading wage rates; and the surviving spouse's pension because and hazards. Double indemnity be paid to the bene­ of workman's compensation benefits. Be it resolved that in order to insure the ficiaries of coke oven employees who die RESOLUTION NO. 5-LOCAL UNION NO. 1014 same life expectancy of a coke oven worker before retirement because of occupational as his fellow steelworker that a coke oven accident or disease; Vacations-Absence due to injury or occu­ worker be entitled to an early pension. pational disease The surviving spouse receive all pension RESOLUTION NO. 12-LOCAL UNION 1104-1212 benefits due regardless of age and all Work­ Resolved: The employee shall not be denied men's Compensation benefits; vacation benefits because of absence due to Whereas: The respirators given coke plant injury or occupational disease. workers is no more than a dust mask. And Vacation benefits not be denied for time since respirators have been proven to be det­ .absent because of an occupational accident RESOLUTION NO. 6-LOCAL UNIONS NOS. 1014, rimental to an employee with a lung prob­ or illness; 1104, AND 1212 Disabled workers being placed in lower lem or heart condition. paying jobs bec.ause of occupational dis­ Wages lost due to an occupational disability Resolved: The international union and or disease-Coke oven workers or other steel companies involved must push vigor­ ability will not receive lower pay; Coke oven departments be adequately related jobs ously for far better research and develop­ staffed to assure proper maintenance, pro­ Resolved: If an employee is placed on a ment of protective equipment. duction and relief time for workers and that lower paying job because of an occupational RESOLUTION NO. 13-LOCAL UNION 1104 32 hour workweeks be negotiated with 40 disability or disease, he shall be paid all loss Whereas: Many local union Safety & Health hours pay; of wages until the employee retires. representatives have problexns getting into The National Workmen's Compensation RESOLUTION NO. 7-LOCAL UNIONS NOS. 1014, Coke Plant areas where Safety & Health bill (S. 2008 93rd Congress) be enacted. 1104, AND 1212 problexns arise. Management be required to provide medi­ Safety and health-Coke oven workers­ whereas: Many times Management will cal exaxninations and results of such exaxni­ Relief time make every effort to cover up these prob­ nations to the worker; lems or shut down the operation before the Coke oven workers be entitled to earlier Resolved: There shall be relief time for all Union Safety and Health representative can retirement; coke oven workers in an eight (8) hour day observe them. Retiree benefits not be reduced by calcula­ because of heat fumes and other unsafe Be it resolved: That the Conference go on ting no-income months of absenteeism due conditions. record to strengthen the Contract on Safety to recuperation from an occupational acci­ RESOLUTION NO. 8-LOCAL UNIONS NOS. 1104, and Health and change the present proce­ dent or illness; 1190, 2163, AND 2701 dure so the Safety and Health representa­ Management and the union work vigor­ Crew size tive will have immediate entrance to any Coke Plant area at any time. ously for research and development of pro­ Whereas: The Company is continually try­ tective equipment; ing to get by with as few employees as possi­ RESOLUTION NO. 14 Union representatives have immediate ble, and Subinitted by Local Unions 1014, 1033, 2163, access to any coke plant area at any time; Whereas: There are many problems that 2598,2599,2600,2701. Contract negotiations continue to improve are pushed aside because the crew size is too Whereas: Coke oven employees are subject the incentive plans and incentive earnings small, and to xnany conditions that shorten their life span, and the conditions subject them to (of coke plant workers). Whereas: The tops of the coke ovens are xnany, xnany health conditions that may RESOLUTION NO. 1 always dirty with coal and coal dust, and take years to solve, and Submitted by Local Union No. 1212: Whereas: Doors and Jambs must be Whereas: The coke oven workers have a Whereas: Many Coke Plant workers do not cleaned, and doors sealed properly, and very high lung cancer death rate and kidney have any educational program given them Whereas: Fires must be put out as soon cancer death rate, and by company on Coke plant hazards. as possible after an oven is charged, and Whereas: There are other locations in the Resolved: A mandatory educational pro­ Whereas: Goosenecks and sa.ndpipes must plant that have extreme silica., dust, and gram for all coke plant workers must be given be cleared of carbon bulld up, and · oxides emission conditions, and on their health and welfare. Explaining what Whereas: These items and many others Whereas: The life span of employees in they are constantly being exposed to a.s far cannot be properly accomplished without ade­ such other locations are also decreasing with as emissions, radiation, chemicals, etc. with quate crew sizes, therefore be it each day of exposure, and 7628 EXTENSIONS OF REMARKS March 19, 1975 Whereas: The health of employees should which reduces the supply of gasoline most lines. It is apparent that within certatn be given consideration and protection so that available. Neither tariffs nor gasoline limits the information on available fuel sup­ they might live to enjoy retirement. There­ excise tax increases will do such. In plies has as much an impact upon our citi­ fore be it zenry as does the supply of the fuel product Resolved: That a short work week of 32 this relation, the Society of Independent itself. hours or less be negotiated with 40 hours Gasoline Marketers of America­ Concerns over a~allable supplies of fuel, pay, and be it further resolved that the work SIGMA-has brought to my attention an that is, over long gasoline lines, can be met force shall be increased to protect crew sizes allocation program which I believe can with such actions as alternate purchase days and proper maintenance with a 32 hour or go a long way toward energy conserva­ and state set-asides. This would go a long less work week. tion without causing the financial hard­ way to meet the problem on a local level. RESOLUTION NO. 15-LOCAL UNION 1014 ships of other programs. For the informa­ With proper administration I believe this proposed allocation system can have the fol­ If an employee has been absent from work tion of my colleagues, I am inserting in lowing positive results: because of an occupational disability the RECORD the following letter to Mr. First, the solutions offered by other pro­ Resolv ed: When the employee retires dur­ Frank Zarb of the Federal Energy Ad­ grams to control gasoline consumption for ing the period of occupational disability his ministration urging adoption of this allo­ the most part involve price increases. These average monthly earnings for each month cation plan. My letter is as follows: measures are highly inflationary and may in which he was absent because of an oc­ HOUSE OF REPRESENTATIVES, have the disastrous effect of further depress­ cupational disab111ty shall, for the purposes Washington, D.C., March 14, 1975. ing an already recessionary economy. Present of computing his pension only, be adjusted FRANK G. ZARB, price controls can be utilized under the al­ so as to be fairly representative of his nor­ Administrator, Federal Energy Administra­ location method I propose. m al earnings had he not been so absent. tion, New Post Office Building, 1200 Secondly, administrative costs will be kept Example: Refer to page 9 of the pension Pennsylvania Avenue, Washington, D.C. at a minimum utilizing your existing agen­ agreement average monthly earnings. DEAR MR. ZARB: I am writing to you regard­ cy. Tax proposals or gasoline rationing re­ RESOLUTION NO. 16-LOCAL UNIONS 2163, 1033 ing an energy conservation proposal which quire large, new bureaucracies either to "re­ cycle" money to the needy or to put the cou­ Incentive payment has been brought to my attention by the Society of Independent Gasoline Marketers of pon system into operation and assure their Whereas: Employees working in coke America (SIGMA) . correct utilization. plant and blast furnace departments are ex­ As Administrator of the Federal Energy Thirdly, about 20 % of all gasolin e con­ posed to excessive industrial pollution, and Administration, you have the authority un­ sumption is discretionary. 90 % allocation Whereas: Such employees are subject to der the Mandatory Petroleum Allocation Act does not reach this figure and, even added to d iseases brought about by such exposure to of 1973, as amended, to implement this spot shortage problems, would not have the a greater degree than are some other em­ plan. I recognize that this Act has in many negative effects which would result from ployees, and ways become a dinosaur of late. However, I shortages in other products. Consumer "in­ Whereas: Incentive earnings in most coke believe it to be one which should be revived convenience" caused by price increases means plant and blast furnace departments are in­ from extinction. In our national interest we an inability of the poor to purchase even direct type incentive plans that pay less can reduce foreign crude oil imports sub­ necessary gasoline, without detriment to the money than direct plans on other opera­ stantially through this Act, which unlike the well-to-do. Rationing would cause incon­ tions. Therefore be it resolved: That efforts legislative proposals now being considered, venience for all persons involved, including be continued to improve the incentive plans has been through a degree of testing under the monitoring federal agency. The possibil­ and incentive earnings in these depart­ the emergency situation of last year's oil ity of gasoline lines is something which af­ ments. Embargo. fects the poor and well-to-do more equally. RESOLUTION NO. 17-LOCAL UNION 1014 Therefore, I am proposing that the follow­ Given the possib1lity of spot shortages, the effect will fall more heavily on those who can­ Permanent incapacity retirement ing action be taken: First, that all gasoline imports into this not afford to shift to alternate modes of Resolved: When a participant retires be­ country be eliminated. Our present gasoline transportation or those who do not have cause of an occupational disability, he will imports amount to 150,000 barrels per day. those modes available to them. However, at receive a regular pension so long as he re­ This is an immediate import reduction mea­ 90% allocation we were not suffering gas mains totally incapacitated. A special pay­ sure aimed directly at the product we waste lines as the embargo eased. ment wlll be made. most. Those persons who are now historic In advance, thank you for giving this pro­ importers of gasoline can be supplied sources posal your attention. from the domestic market. Sincerely, Second, that we limit all refiners, distribu­ PATRICIA SCHROEDER, A PROPOSAL FOR MANDATORY tors, and retailers of gasoline to 90 % of their Congresswoman. GASOLINE ALLOCATION adjusted 1972 base period supply. Reduction of supply to this level will save about 600,000 barrels per day of domestic refining capacity THE NURSING PROFESSION AND available--much of which can go to other THE LEGISLATIVE PROCESS HON. PATRICIA SCHROEDER products now in short supply. OF COLORADO In conjunction with the reduced alloca­ IN THE HOUSE OF REPRESENTATIVES tions of gasoline, refiners should be encour­ HON. ROBERT F. DRINAN OF MASSACHUSETTS Wednesday, March 19, 1975 aged, or required to divert the additional ca­ pacity resulting from the 600,000 barrels per IN THE HOUSE OF REPRESENTATIVES Mrs. SCHROEDER. Mr. Speaker, on day reduction in gasoline refining to the pro­ March 14, 1975, I joined with 101 of my duction of fuel oil, middle distmates, and Wednesday, March 19, 1975 colleagues in signing a letter to the Hon­ other fuel products. Most refiners should Mr. DRINAN. Mr. Speaker, several have no difficulty with this changeover. In orable AL ULLMAN, chairman of the addition, allowed profit margins on these months ago State Senator Jack Back­ House Committee on Ways and Means, other products are equivalent to those for man, who represents Brookline and New­ urging that plans now being considered gasoline. Refiners With technical limitations ton in my district, delivered an excellent to increase the gasoline excise tax be put could "swap" products they produce for address before the Massachusetts aside. products of more diversified operations. The Nursing Association. Although Senator The case for a gasoline tax increase, as shift from gasoline refining to domestic Backman's speech focuses on a contro­ with the administration's import fees, is manufacture of other products wm reduce versial health services bill in the Mas­ unsound. There are no assurances that our foreign crude imports by about 600,000 sachusetts Legislature, he also examines energy consumption will be significantly barrels per day. With the 150,000 barrels per day saving resulting from elimination of the general problem of effective legisla­ reduced. There are only assurances that gasoline imports, the total is 750,000 barrels tive lobbying by a professional employee costs will increase and that there will be per day of saved, imported petroleum prod­ group. I commend the address by Sena­ economic hardships on consumers-espe­ ucts. tor Backman to the attention of all my cially poor consumers who are even now A possible criticism of this proposal is that colleagues: hard pressed to find the money to pur­ it would result in gasoline lines at the pumps, such as occurred during the oil em­ THE NURSING PROFESSION AND THE LEGISLA­ chase fuel necessary for employment and TIVE PROCESS other basic travel. bargo in many of our major cities. I believe, however, that a great deal of the gasoline (Remarks of Senator Jack H. Backman) Mr. Speaker, it is my belief that the line problem was caused by hoarding. In­ The legislative political process was never necessary energy plan for the reduction deed, the announcement that the embargo better illustrated than the phemomena of of our Nation's dependence on foreign had been lifted-with no immediate supply 10,000 letters sent the legislature by courtesy oil must involve an allocation system increase-resulted in the disappearance of of the Massachusetts Nursing Association to March 19, 1975 EXTENSIONS OF REMARKS 7629 ...... protest H. 6120, the reorganization of Human statement and implementation of a national You may be a disabled veteran with larger Services. The original reorganization pro­ or state policy. benefits. posed to create a single state board for Our health delivery system today is in­ The answer to Question # 2, "Who shall licensure of all health professionals to be complete and fragmented. To the average pay the bills?", we must decide as a uni­ advised by panels in each of the individual person, however, two things are crystal clear: versal health policy also that there must be areas now served by Boards of Registration. (1) health care is expensive a new system of funding and administration That would also have eliminated the Board (2) for many people it is unavailable in order to avoid this crazy quilt pattern of of Registration of Nursing. Congressman Wilbur Mtlls, co-author of health care. The language as drafted would have pre­ one of the pieces of national health legisla­ Now we come to the hardest problem which cluded Massachusetts from participating in tion, has turned to burlesque. you as members of the nursing profession the national nursing board examinations. However, we in Massachusetts did a kind are really uniquely qualified to help answer, That error confounded by the failure of the of burlesque on a health policy this year. "Who should do the planning, regulation and Governor's administration to communicate Because the Governor could not agree with administration of the health programs?" with and consult wtih citizen groups and the legislature on the goals of a state health Should it be the doctors? interested parties was the fulcrum for all policy, instead we put on the ballot this No­ Should it be the hospitals? the pent-up dissatisfaction of the nursing vember for the people to vote on an in­ Should it be the government? profession to explode the concept of the nocuous meaningless resolution, in effect, Traditionally it has been the doctors or reorganization. The rest is history. Some "Are you in favor of a change in the Health hospitals who ran the system dominated by State House observers have commented that Delivery System in Massachusetts?" them. Should our doctors and hospitals run the whole Governor's reorganization never Of course, the people voted yes! However, the whole system or should they run even recovered from the protest. neither the Governor, old or new, or the their own system all by themselves without How you organized the letter writing effort legislature, or the President or Congress are regulation? Should the nursing home oper­ in a three week period could be a primer on ready to stand up and state what kind of a ators run their system, as they decide? the legislative process. The 10,000 letters health delivery system we should have. Should the dentists, druggists, hearing aid and thousands of personal telephone calls In order to develop a national or state dealers, each run themselves without regula­ and visits to the State House lllustrate how health policy, we have to answer three im­ tion by an overall health system? Of course to stop something from taking place and you portant questions: we come finally to your questions: "Should are the experts. (1} Who should be eligible for health care? the nurses run themselves without any out­ However, the question arises-How do you (2) Who should pay the bill? side administration?" get needed legislation through the legisla­ (3) Who should do the planning, the regu­ As you can see, your interest and partic­ ture? This is a more difficult problem. lation and the administration? ipation as nurses in the health system 1S This week the first Wednesday of Decem­ The answer to the first question is simple. much broader than merely the regulation of ber was the filing deadline for bills in the It is clear that every person should be eligi­ Nursing Boards of Registration. coming legislative session in Massachusetts. ble for health care as an inherent right in Your commitment to the health system is If you filed a bill, as you can through your our society. deep, intimate and personal. But I ask you Representative or Senator, when the ses­ The second question is more difficult, to become involved in the broader problems sion begins in 1975 your blll would be printed "Who should pay the bill?" Right now there which you can help solve. and assigned to a Committee for a public is a maze of methods of payment and admin­ You must not be content merely to pre­ hearing. If you filed the blll you would be istration. If you are over 65, Medicare pays serve or carve out a degree of independence notified by postcard of the day of the public for many bills, but not all. If you are of low from the throttling control of doctors and hearing. You could bring others to testify. income, you ma.y be entitled to get all your hospitals who have, to da;te, governed your The Committee would report on the blll fav­ bills paid by the government. For persons of every day activities without giving you full orably or unfavorably or with amendments to low income on Medicaid, the government will opportunity at expression in your profes­ the full House or Senate. Later, it would be pay for nursing-home care and home health sional expertise. taken up by the branch to which it was re­ care. If you are on Medicare, these services You, the nursing profession, have the im­ ported, printed on a House or Senate Calen­ may not be available except at prices one portant personal knowledge of how the dar, and if approved by that branch would go cannot afford. To compound the problem, health care system actually operates: in hos­ to the other branch-and if passed by both under the present system, if the doctors put pitals; in mental institutions; in doctors' branches, it would go to the Governor for his you in a hospital the government may pay offices; in nursing homes. signature, veto or proposed amendments. the bill. If they put you in a nursing home It is time now to assert your knowledge for However, in between, ma.ny problems of which costs less, the government may not the health delivery system is in desperate the legislation might arise. Would a group pay the bill. For many persons who are eligi­ need of change. like the Mass. Nurses Association write 10,- ble for nursing home care, if the doctor sends You have the opportunity, indeed the re­ sponsibility, to get involved in the legislative 000 letters against some provision of the blll? you home for home health care which may What impact would be made by the me­ give you the best human experience and process which has failed, to date, to come dia-by other interested persons for or which may cost the least, the government to grips with health care in this country. against the blll to the legislators-to the ma.y again not pay the bill. Please do not lack the confidence to un­ If you are below the age of 65, you may dertake a critique of the whole health sys­ Governor? tem. There is no professional group closer to What kind of cost projection would take have to use up a lifetime of earnings before the government pays the bllls. the hard day to day problems of medical place? How well documented was the blll? care than yourselves. Does it hang together well? Are the goals There are hundreds of classifications of people, each with different funding. You can If you really wish to bring about a solid well expressed? comprehensive health care system in this na­ These questions are before every legislator spend half a lifetime just to learn the dif­ ferences in payment, each unique, each with tion-among your thousands of members-­ as he examines the subject. you should develop teams and committees to There is much important social legislation their own administration, accounting systems and payment schedules- analyze, criticize, and evaluate our present that is really long overdue. You may be on Medicare. health care system and make your own rec­ A national health policy has not been for­ You may be on Medicaid. ommendations to society. Your 10,000 letters mulated nor have we done so in Massachu­ You may be a state employee. are a symbol of your strength. setts. You may be employed with a company I ask you to join the legislative process, not This was the real problem in regard to H. with a Blue Cross or Blue Shield Plan. as a trade group merely protective of your 6120, the reorganization of Human Services You may be employed with an individual own labor, but as skilled professionals with and the subsequent bllls on reorganization Blue Cross or Blue Shield Plan. input on the national scene to develop a of the Health Delivery System. The legisla­ new health policy for the nation. tion was dr81fted without fully expressed You may be employed and have compre­ goals by the Governor. hensive private insurance. Hop Holmberg, the Director of the Health You may be employed and have little or no Care Management Program of Boston Uni­ insurance coverage. versity made the ironic observation that one You may be the victim of an industrial ac­ IT IS NOW TIME TO RESTORE THE of the main criticisms of the Health Reor­ cident and be covered by Workman's Com­ GOLD CLAUSE ganization by a well known physician was pensation. that, "he was afraid that the new depart­ You may be a victim of an automobile ac­ ment would conceive and implement policy." cident and covered by the auto insurance HON. PHILIP M. CRANE However, as Holmberg, a career health plan­ system. OF ILLINOIS ner and advocate, stated, "this was really You may be a victim. of a home accident IN THE HOUSE OF REPRESENTATIVES the best argument for it that I have ever and covered by a home accident policy. Wednesday, March 19, 1975 heard." You may be unemployed and your group There are many details to the legislative insurance plan ended on the day you needed Mr. CRANE. Mr. Speaker, before the process but when you come to the key issues it most when you became unemployed. days of the New Deal, many types of of health, housing and delivery of human You may be a veteran and eligible for vet­ contracts contained clauses that provided services, what 1s most required is the strong erans benefits. that payment was to be in the form of 7630 EXTENSIONS OF REMARKS March 19, 1975 Accordingly, in the early 1900s, the Gold lawed, none legally would be available t<> gold or in an amount of currency meas­ Cause became a routine provision in a wide settle private Gold Clause contracts. For ured by a fixed amount of gold. variety of sales and debt contracts, including another, because of devaluation, payment by The reason for such clauses is not diffi­ those where the government itself was the debtors pursuant to Gold Clauses would have cult to understand. With paper money, debtor. That is, untU all the rules were cost them substantially more in currency. one could never be certain of the value changed in 1933. Finally, the destruction of Gold Clauses was represented, for the tendency of Govern­ Today, for the first time in more than 41 a linchpin of the government's devaluation ment and its monetary authorities has years, private citizens again are permitted of the dollar, the attendant debtor relief and to hold gold. This allows them some steps the government's frantic attempt to escape traditionally been to inflate the currency, to protect their capital from infiation's rav­ the fiscal discipline imposed by the gold thereby decreasing its value. By contract­ ages. But it is not enough. The next logical standard. ing for payment in gold, businessmen step is the resurrection of Gold Clauses in RENEWED INTEREST made certain that they would be receiv­ domestic commerce. Today, there is renewed interest in Gold ing the real amount agreed to. END OF CHAIN REACTION Clauses. Disturbed by the ever-widening In 1933, all of the traditional rules Their disappearance in the 1930s came at monetary chaos which is engulfing this na­ were changed. A joint resolution of Con­ the end of a chain reaction that began with tion and the rest of the world, but encour­ gress on June 5, 1933, declared that gold the famous bank "holiday," aimed, among aged by the recent legalization of private clauses were "against public policy; and other things, at closing the doors on the re­ gold ownership, many people are asking no such provision

WHY POSTAL RATES WILL Go UP AGAIN: IN­ programs to give them the preparation for Q How would you deal with a strike, if it TERVIEW WITH BENJAMIN F. BAILAR, POST­ promotional opportunities that are now came? MASTER GENERAL handled on merit, rather than on the old A We have some contingency plans. Five Q Mr. Postmaster General, we hear you political-referral system. years ago, the National Guard was brought want to raise postal rates again. When? And Labor and wage-related items account for into the picture. We probably would em­ why? 85 per cent of our total costs. So the in­ bargo nonessential mail. There are a number A When? Sometime in the latter half of creases in wages and benefits have had a of things we could do. But I'm not predicting this year. major effect on our cost. a. strike, and if it came, I don't think it would Why? Because we are now operating at a Q. Is anything being done to increase last long or be pervasive. deficit. In this fiscal year, ending June 30, we your efficiency? Q A lot of people complain that, in spite expect to lose more than 800 million dollars. A. One thing we are looking into is the of the postal reorganization and the rapidly In addition, we're soon going to be conduct­ so-called Kokomo plan. That is a program rising rates, mail service now is actually ing negotiations for a new labor contract, to tested in Kokomo, Ind., seeking to adjust worse than it used to be. Is that true? become effective on July 21, which will in­ each letter carrier's route so that he would A Not in my opinion. And not according crease our future costs. have a full eight hours' work daily-ideally, to measurements we make. We have a very sophisticated sampling process to determine So we really need more revenue quickly. no more, no less. What we're trying to do is to measure the what our mail service is like. And by our However, the present rates are still being system of measuring it, the service is as good studied by the Postal Rate Commission, and number of feet in a block, the steps a carrier has to climb, the number of screen doors now as it has been at any time in the last we cannot go with a new raise in rates until he must open, whether there's a slot to drop six years. they finish that proceeding, no matter how the mall in or a box on which the lid has Coupled with that Is the fact that many much the need. That's why it is questionable to be opened-to count up all such things so major commercial mailers keep close track whether we will be able to move until rather we can say, "This block at standard would of the service they get because it's important late this year. require so many minutes and seconds." to them. And the head of one of the largest Q How much will the increases be? Allowance would be made for the letter commercial users testified before Congress A My best guess is that the first-class­ carrier's physical condition. Hopefully, by last fall that its mail service is as good now letter stamp, which now costs 10 cents, will restructuring all our routes in this way we as it has been in the last 15 or 20 years. go up to 12 or 13 cents. Rates on other classes can give each carrier a fair work load. Of course, we have some problems. Clearly, of mail will probably be raised accordingly­ We instituted the program first in a in an operation the size of the Postal Service, roughly 20 to 30 per cent. We are limited by Kokomo station that had 25 routes. We there are going to be some errors made. law to a temporary raise of no more than one thought we could cut the number of carriers Q Do you have any plans for improving the third, or 33¥3 per cent, at any one time. in that station to 22, but after trying that a service? Q How will the new rates compare with couple of months we decided we needed 23. A We have under construction a bulk-mail those of a few years ago? That is stlll a net reduction of two carriers. network-21 major facilities for processing A The first basic increase in rates in many We then moved the testing just recently bulk mail. By "bulk mail" we mean second, years was made in 1958, when the first-class into Portland, Oreg., and we anticipate test­ third and fourth-class mail in which speed stamp went from 3 cents to 4 cents. Then it ing elsewhere. of deli very is not as important as in first­ went to 5 cents in 1963, to 6 cents in 1968, Q How have postal workers reacted to this class mail. Each of these 21 centers--serving and to 8 cents in 1971. The raise to 10 cents experiment? on the average two or three States-will col­ was made in March of 1974-just about a A It has been a very controversial thing lect mail from its outlying region, process it, year ago. and has brought the threat of some strikes. and either send it back out for delivery with­ Q Why have rates gone up so fast? Most of the tension, I think, has been focused in its own region or send it over a special A Mainly for two reasons: on the issue of whether we implement this transportation network to another center for First, the Postal Reorganization Act that test nationwide. distribution in that center's area. set up the Postal Service in 1971 mandated But I feel that something like this plan This will take some pressure off the big­ that it should become essentially self-sup­ is necessary if we're going to realize the ef­ city post offices. And it will provide more-ef­ porting by 1984, and required a gradual phas­ ficiency gains that are expected of us and fective distribution of bulk mall with less ing out of some of the subsidies we had been are necessary if we're going to hold postal damage to it-less damage to such things as getting from Congress under the former sit­ costs in line. Otherwise, our wages go up parcels, books, records and catalogues. uation. So, even if our costs had remained without efficiency gains; then the costs go In addition to making bulk-mail service stable, there would have been a need for some up and up and up. faster and safer, we expect this system to en­ rate increases. Q How many hours a day does a letter able us to handle it more cheaply. It involves Secondly, at the time of the Postal Re­ carrier work now? a lot of additional mechanization, and it's organization Act, we had postal employees A His assignment is for eight hours. The going to cost us right at 950 million dollars. who were paid at what was considered in­ question is whether some can get their work But it should save us several hundred mil­ adequate levels, and we were charged with done in less time than that. When a carrier lion dollars a year in operating costs. bringing their pay up to levels competitive finishes his route in less than eight hours, Q When will this system be in operation? with those in private employment-which we he is supposed to come back to the office and A The first center in New York is already now feel has been done. help sort mail for the next day. on-stream. All the others should be com­ Q. Haven't postal rates risen faster than There have been allegations that some of pleted by 1976. most other costs? the carriers could finish their routes more Q We've heard a lot about mechanization A. Yes. But the postal service in this coun­ quickly than they do if they handled their of postal operations. What have you mech­ try is still a real bargain. Compare it with routes efficiently. anized, and is it paying off? that in other countries. The typical Ameri­ Q How many jobs would the Kokomo plan A Yes, it's paying off. We have letter-sort­ can in 1974 worked about 1 minute to earn save? ing machines where an operator can key in the 10 cents necessary to mail a letter. The A The Letter Carriers Union has estimated the address that will drop a letter into the typical citizen in Western European coun­ that the Kokomo plan would eliminate 15,000 proper bin among 277 bins. We've got more tries works between 2 and 3 minutes to earn jobs. That would mean savings on the order than 600 of those machines. the cost of mailing a letter. And in those of about 225 million dollars a vear. Others We have automatic facer-cancelers which countries the populations are much more say the savings would be even more. we turn all the letters around so they come up compact--not spread out 3,000 miles from don't know yet. That is part of why we are in the same post tion and then cancel the coast to coast as in the U.S. So, relative to doing this test. Obviously, if savings of such stamps automatically. other countries, our rates in the U.S. are very magnitude are nossible, we ought to find out. We also have some optical character-read­ favorable. We're spending nublic funds, and we've got ing equipment that is still in the develop­ Another thing to consider is that our aver­ an obligation to handle the mail as efficiently ment stage. It is helpful, but unfortunately age postal worker makes over $8 an hour, as we can. it can't read an address if it's handwritten or has slipped out of position in the window of including fringe benefits. So our labor costs Q Do you see a pcssibility of a postal strike are more than 13 cents a minute. We handle this year? an envelope. It's expensive and suitable only for large post offices where it can be kept the average piece of mail with less than A Firl'lt, a postal strike il'l ~ainst the law. 1 minute of a postal employee's time. And I Secondlv. it's against the terms of our na­ busy around the clock. Q How about the ZIP code? Is it achieving think that's a pretty astonishing accomplish­ tional labor agreements with the unions. the benefits it was expected to provide? ment. However, I have to acknowledge that the A If we didn't have the ZIP code we'd now Q. How much has the pay of postal workers unions have been talking about work stop­ be in real trouble with the increased volumes gone up? pages and cccasionallv use the word "strike.'' of mail we handle. About 85 per cent of our A. Including fringes, the average pay has They're taking a rather mil~tant posture first-class mail is ZIP-coded, and the per­ gone up from $10,300 in 1971 to $13,695 in that If we institute this Kokomo plan nation­ centaP,e climbs a bit each year. All our second 1974-nearly $14,000 a year. The postal wide or if we don't agree on a new contract and third-class mall must be ZIP-coded. workers have a no-layoff provision in their by the expiration of the current contract. Q. What are you doing to speed the actual contract. We're putting a lot of money into they might strike in spite of the fact that delivery of xnail from post office to receiver? upgrading working conditions and training the law bars strikes. A. In the delivery end of the business, the CXX:I--483-Part 6 7642 EXTENSIONS OF REMARKS March 19, 1975 most striking mechanization is simply put­ first-class mail to the point that it will ob­ branch, and that postal appointments and ting letter carriers into vehicles instead of viate the need for airmail. And I would expect promotions-and postal decisions in gen­ having them walk their routes. This has that soon we will begin legal steps toward eral-would be handled on the basis of merit, proved faster and cheaper-and, surprisingly, elimination of the airmail stamp-not be­ not politics. I think that has worked out very it actually saves fuel. This is because when a cause we want to cut airmail service, but satisfactorily. carrier walks a route you have to do two because we want to get first class up to the The second tenet was that postal employes things to support him; you have to operate a point where it's not necessary to pay extra. would be brought into a collective-bargaining separate parcel-post route because he can't for airmail. process, which I think has worked pretty well. carry all those packages on foot. And you also Q Some people complain about your spe­ It's going to be put to the test again this need vehicles making repeated trips to keep cial-delivery service. They say it's often spring. filling a series of relay boxes scattered along slower than regular mail- The third-and perhaps the most badly his route. A It shouldn't be. If anybody finds this on needed and helpful of the changes-was to Now we have also started a move toward a repeated basis, I'd recommend that he give the Postal Service assurance of a con­ curbside delivery-to mailboxes set along­ contact us-either through our consumer tinuing availability of cash and financial side the street, or to what we call "cluster advocate in the Postal Service headquarters support. Under the old system, the Post Of­ boxes." or through the local postmaster. flee frequently was at the tan end of the line These cluster boxes are basically like the Q You have a consumer advocate to whom in the appropriations process. There was very mailboxes you see in lobbies of apartment people can direct their complaints? little money available for capital projects, buildings. But they are located alongside the A We sure do-with a staff of about 40 such as mechanization, new offices and new street and serve a number of houses. There people. Anybody with a postal problem or vehicles. Under the new setup we've increased is a separate letter box for each household, complaint who can't get an answer from his our research expenditures in the last four but the carrier can put the mall in all the local post office can write to: Consumer Ad­ years from 25 million to 60 million dollars boxes at the same time. Each household has vocate, U.S. Postal Service, Washington, D.C. per year and our capital spending program a key to its own box. 20260. from 250 to 800 million a year, because we One advantage of a cluster box is that it Q You say postal service now is good. Do now have the authority to borrow what we may have parcel lockers, and the mailman can you plan to make it stlll better? need for capital projects. put a parcel for a certain household in one A I have some pretty ambitious goals. The fourth tenet of reorganization was the of the lockers and put the key to that locker Our measurement of how good our service goal that the Post3.l Service become essen­ in the recipient's mailbox. When a woman is deals with how quickly and how reliably tially self-supporting, with revenues about picks up her mail she sees the key. Then a piece of maills delivered. But we find that equaling costs. This probably is the one when she uses the key to open the parcel roughly a third of our complaints are about change that is being questioned most sharply locker she can't get the key back. This sys­ other things: courtesy-or lack of it-from But I think the questioning would not be so tem eliminates having to go to a post office our employes, where a post office is located, sharp 1f it hadn't been for the inflation that to pick up a parcel because nobody was home what hours it is open, damage to a package, has forced such a rapid increase in post::~.l a lost money order, or an insurance claim rates. when the mailman tried to deliver it. that took too long to process, or maybe the MAILS "OUGHT To BE SELF-SUPPORTING" Q. Are cluster boxes used very widely? location of a curbside "snorkel" box. A. So far, there are about 20,000 in use, What I want to do is broaden the defini­ Q What do you think personally? Should serving more than one-quarter million fami­ tion of service to include all such things. I the Postal Service be fully self-supporting. lies, mostly in new housing developments. want to see postmasters and managers at all with no subsidies from tax money? But we are trying to move all new addresses levels get more closely involved with the A I think it ought to be self-supporting to either curbside or cluster boxes. communities they serve, so that we have a over the long haul. The people who use the The savings are substantial. On the average, better feel of what the public wants from Postal Service ought to pay for it. If you delivery of mail to the door costs $49 a year us. Of course, we can't accommodate all their fund postal services from tax revenues, you're for each household, while the cost of deliver­ requests, but we can listen to them, and 1f charging private individuals pretty heavily ing to a curbside box is $39 a year, and deliv­ there are things we cannot do, we can at to subsidize what are primarny business ering to cluster boxes costs only $24 a year. least give them an explanation of why not. costs, such as malling newspapers, maga­ Q. When w111 Americans be able to mall a Q The Postmaster General is no longer a zines or advertising circulars, or man-order first-class letter one day and have it delivered presidential appointee. Who appointed you business. the next day, anywhere in the country? Is as Postmaster General? You see, about 80 per cent of postal vol­ that a goal you're aiming for? A I was elected by the governors of the ume comes from businesses and institu­ A. No-for this reason: I think we could U.S. Postal Service. The governors are ap­ tions, and 20 per cent from individuals. do it, but there would be a very heavy price pointed by the President. There are nine whereas federal income taxes come about 65 associated with it. Right now we could deliver governors who serve nine-year terms, with per cent from individuals. And I think it mall in six hours if we wanted to, but the one governor's term expiring each year. would be unfair if the cost of our services to cost would be prohibitive. We can fly mail business were heavily subsidized out of tax I serve at the pleasure of the governors money. from coast to coast in five hours and allow a with no fixed term. The governors have an half hour for pickup and delivery at each end. Q How big a subsidy is the Postal Service option of giving an employment contract for getting now? The problem is we must hit a balance be­ a fixed term up to five years. But, as a matter tween what the public wants in the way of A We get about 1.5 billion dollars a year of personal choice, I asked that my tenure be that we think of as a subsidy. Some 920 mil­ service and what people are willing to pay left to the governors' discretion. for it. lion of this is what we call a public-service Q Must your appointment be confirmed by subsidy-to provide services which are con­ We have a system now that's operating on Congress? an experimental basis in 400 cities. It's called sidered in . These in­ A No. However, because I serve the people clude service to people living far out in thinly Express Mail, and it guarantees next-day the members of Congress represent, I must delivery all across the country. We rebate the populated areas. I think this is a sound idea. work closely with the Congress. It's important to keep them in touch with charges if we don't deliver on schedule. But Q What does your job pay? it's expensive. The minimum charge is $1.50. the rest of the country. And the ordinary user has to deliver the A The salary is $60,000 a year-the same as The remainder of the subsidy-about 600 package to the post office. There is a custom for a member of the President's Cabinet. million dollars a year-is chiefly to make up A $12 BILLION OPERATION the difference between the rates we charge service in which we do the pickup, but we commercial and nonprofit users and the rates charge extra for that, and it has to be done Q How big is the Postal Service? How we'd have to charge to make those commer­ on a contractual basis. much money does it spend? And how much cial services fully self-supporting. We are Express Mail is not yet available nation­ mail does it handle? supposed to increase those rates gradually wide, but we've had pretty good success with A We have 703,000 employes, and our total to enable the commercial users to adjust it so far. annual budget is about 12 billion dollars. We their operations to the added costs. Q You charge 13 cents for airmail. But have 31 ,000 post offices scattered all over the Q When are these subsidies supposed to doesn't much of your 10-cent first-class mail country. And we handle about 90 billion end? actually go by air? pieces of mall each year-about 300 million A That part of the 600-million-dollar sub­ A A great deal of it does, yes. But airmail a day. sidy for commercial service is scheduled to be is still a premium service in this sense. If Q Mr. Bailar, it has been about four years phased out by 1980; the remainder, for non­ there's a plane leaving from Washington now since the Postal Service was changed profit mailers, well beyond that point. tonight for the West Coast, the airmail Will from a politically controlled Government The 920 million for public service is sched­ go on it. But first-class mail will go on that operation to a semiprivate agency. What uled to be stepped down to 460 million over plane only if there's enough space. If there have been the practical advantages-if any­ the next nine years-until 1984. Then we're is not, it wlll wait for the next flight. of that changeover? supposed to make some recommendations Q Do you plan eventually to do away With A There were four basic tenets in the Pos­ as to whether we can do without it, or with the difference between first class and airmail? tal Reorganization Act: only a part of it. A We're currently in the process of up­ The first was that the Postal Service would Q What about the cost of man service to grading the logistical support for long-haul cease to be a political arm of the executive the GQvernment? March 19, 1975 EXTENSIONS OF REMARKS 7643 A We get retm.bursements from tax money be it. But let us not shrug our shoulders and rehabilitation costs will be much higher. for the franked man sent out by Congress and do nothing or there will be more The question is whether COnRail wtll be able and for the "penalty mall" [used 1n official Penn Centrals, more Rock Islands. It is to service their debt under the current reg­ business) from Government agencies. ulatory and operating conditions that have Q Is there any movement in Congress to time for us to exercise economic states­ made basket cases out of many of our leading put the Postal Service back under political manship and develop a national trans­ railroads in the country. control? portation policy that will balance the fi­ I recognize that the current USRA propos­ A Not really. You hear some members of nancial needs of the railroads against als are only preliminary, that they are sub­ Congress say they'd like to see that. the subsidies provided other transporta­ ject to revision before the final plan is sub­ But most of them privately say they are tion modes through massive Federal ex­ mitted to COngress by July 26. I hope that happy to be out of the business of nominat­ penditures for highways, airways and USRA will take a new and much harder look ing postmasters, setting postal rates and at the Penn Central segment between Kan­ dealing with postal unions. airports, rivers and harbors. To be sure, kakee, Illinois, and Templeton, Indiana. I'm these expenditures serve a national pur­ still not quite sure what happened in the pose but it cannot be denied that they planning process to this portion of the Penn give truckers, airlines, and barge opera­ Central's main and most direct route between TIME FOR A NATIONAL TRANSPOR­ tors a competitive edge over the rail­ Chicago and Cincinnati. As late as February TATION POLICY roads. I do not want to be misunder­ 20, 1975, USRA informed my office that this stood. I will continue to support reason­ 56.8 mile segment would be recommended for able appropriations for these programs, inclusion in ConRail. On February 25, how­ ever, I was advised that this recommendation HON. GEORGE M. O'BRIEN but I do think we should begin formu­ had been changed, that only the portion from lating a policy that will give the railroads OF ILLINOIS Templeton to Sheff, Indiana, would be recom­ a better break. mended at this time for ConRail, that the IN THE HOUSE OF REPRESENTATIVES I touched on these points in my testi­ Sheff-Kankakee portion "will again be sub­ Wednesday, March 19, 1975 mony March 17 at the Interstate Com­ jected to further detailed analysis with re­ Mr. O'BRIEN. Mr. Speaker, most of n.erce Commission's hearing in Chicago gard to further potential traffic growth or on the U.S. Railway Association's pre­ rate increases." the railroads in the country are in ter­ Just seven and one-half mtles north of rible shape, both financially and physi­ liminary plan for restructuring the fi­ Sheff, in Sheldon, Illinois, the Early and Dan­ cally, and I think it is high time we in nancially ailing northeast railroads. I iel Company has a grain elevator that Congress did something about it. am frankly skeptical of the USRA plan. shipped out 1,300 hopper cars of grain in Up to now we have been merely re­ I fear it amounts to one big bandaid for 1973, most of it in 100-car trains that carried acting to crises in a highly discrimina­ a condition that needs more fundamental millions of bushels of illinois and Indiana tory way. We blithely vowed an addition­ treatment. Any of my colleagues who grain to east coast ports for export. Farther al $347 million for the Penn Central and may be interested will :find my reasons north along this line in Iroquois, and Kan­ in the following statement: kakee Counties we have other elevators at other bankrupt railroads in the North­ Raub, Iroquois, Donovan, Beaverville and east. But we stand idly by while the U.S. TESTIMONY OF U.S. REPRESENTATIVE GEORGE St. Anne that account annually for several Railway Association turns its back on the M. O'BRIEN hundred more carloads of grain and would Midwest and lets the Rock Island Rail­ Mr. Chairman, I am George M. O'Brien, ship more if sufficient cars were available. road go into bankruptcy. Representative in Congress from the 17th Many communities and shippers also are I backed Interstate Commerce Com­ District of illinois, which includes the concerned about the future of the Toledo, counties of Will, Kankakee and Iroquois as Peoria and Western Railroad, which runs mission Chairman George Stafford's po­ well as most of Bloom township in Cook between Peoria, illinois, and Effner, Indiana, sition that it would have been cheaper county. linking our nation's western ratlroads with for USR4. to lend the money to the Rock I appreciate having this opportunity to those in the East. T.P. & W. connects with a Island than for the ICC to pay other rail­ present my views on the preliminary system Penn Central line that, under the prelimi­ roads to take over various segments of plan of the United States Railway Associa­ nary plan, would be excluded from ConRan. the Rock Island's system and operate tion as well as on the related financial dif­ I understand, however, that T.P. & W. wants them for periods of up to 8 months, as ficulties of the Rock Island Railroad. to acqUire the Penn Central tracks between When I testlfled a year ago, during the Effner and Logansport, Indiana, where It authorized under existing law. opening round of these hearings, my prin­ would connect with the main ConRan sys­ USRA refused to reconsider its denial cipal concern was the threat of abandonment tem. Without this link, T.P. & W. probably of the loan, however, and now we hear that dangled over several railroad lines in would be forced out of business by the USRA that the ICC may not issue full service our area that had been labeled "potentially plan. I, therefore, urge USRA to facilitate orders to the other railroads after all, excess" in the Secretary of Transportation's the efforts of T.P. & W.'s management to that because of the expense that would report of February 1, 1974. So designated were acquire the Logansport connection, either entail, the other roads will simply be important segments of the Illinois Central through purchase, lease or other contractual Gulf, Chicago & Eastern illinois, Norfolk & arrangement. allowed to pick up most of the Rock Western, Lou1sv111e and Nashvtlle and the Island's present freight business. Under There seems to be some possibllity that if Milwaukee Road as well as the entire system T.P. & W. gets the Logansport route, it will this arrangement other railroads would of the Toledo, Peoria and Western. Since all then seek the Kankakee-Sheff segment, a be ordered to provide service on Rock of these railroads are solvent, I felt at the prospect that has much appeal in our area. Island track only to those areas which time that the Secretary's report raised the It is far from certain, however, that T.P. & cannot be served in any other way. So abandonment spectre unnecessarily because W., which is owned jointly by Penn Central after 123 years of service, the Rock there was nothing in the Rail Reorganiza­ and the Santa Fe, wlll want to acquire track­ tion Act of 1973, for which I voted, that made age that is not essential for its through Island seems headed for the scrap heap it any easier for solvent railroads to shuck and most of its 55,000 employees to the service. For this reason I am urging USRA off unprofitable branch lines. This was sub­ to restudy this segment for inclusion in unemployment compensation lines. sequently borne out by the United States ConRail. I have joined a number of my col­ Railway Association in restricting its study Many of us in Congress from the Midwest leagues in sponsoring legislation to direct to those lines belonging to bankrupt carriers and Southwest voted for the Regional Rail the U.S. Department of Transportation designated by federal courts as railroads in Reorganization Act with the clear under­ to extend a loan of $100 million to the reorganization. But it took several months standing that it provided not only for the for the USRA to make this clear and the sit­ restructuring of the bankrupt railroads of Rock Island. With this financial assist­ uation caused considerable anxiety, particu­ ance I have confidence that Rock the Northeast but also made it possible for larly in the rural areas of the 17th District. financially troubled, but sttll solvent, con· Island's new management, under its able This cloud no sooner had lifted than oth­ necting lines in the Midwest to obtain loan president, John Ingram, former head ers loomed. Whatever enthusiasm may have assistance. The Rock Island Railroad applied of the Federal Railway Administration, been generated for the restructuring pro­ to USRA last September for a loan under could tum the company around finan­ gram in our area has largely dissipated. What Section 211 of the Act. I was shocked when cially and make a start toward rehabili­ we now see in the offing is an enormously USRA announced that it couldn't make the expensive reorganization of the Penn. Central loan. Curiously enough, the word came on tation of its roadbeds. and other bankrupt railroads that will result I am under no illusions about the In abandonment of thousands of miles of Wednesday, February 26, the same day that prospects for this legislation. Unfor­ Congress completed action on a bill au­ so-called "light density" trackage without thorizing a.n additional $347 million in tunately, the Rock Island's plight de­ any assurance that the proposed new Con­ emergency loans and grants to Penn Central veloped at a time when our experience Rail system will be financially viable. Despite and other bankrupt lines in the Northeast. with the Penn Central makes Congress the rosy projections in USRA's report, it During the last three weeks I and members wary of rescue efforts of this kind. So seems more likely that ConRail's acquisition of my staff have sat through hours of testi- 7644 EXTENSIONS OF REMARKS March 19, 1975 mony and briefings on USRA's reasons for in transit patronage. Ridership for the ridership is that Mr. Yunich, who came to refusing the Rock Island loan. I rema.in un­ whole of 1974 increased 5.7 percent. the authority last year after a long career convinced that this was a wise action. I While this growth was much too small a.s a top executive in retalllng, has begun agree with Interstate Commerce Commission one promotional campaign after another to Chairman George Stafford, the only member to produce a perceptible impact on traf­ attract riders. of USRA's board of directors who favored the fic congestion, it was still very encour­ The "shoppers special," unlimited bus loan. His view is that a loan is the cheapest aging when compared with the annual rides at certain non-peak periods in mid­ way to keep the Rock Island running for the declines in ridership we had been experi­ town, has attracted 9,000 extra riders a next several months. This would give Rock encing since World War II. week; the "night on the town" package, also Island's management the time to prove that Unfortunately these gains are proving unlimited rides for 75 cents, is averaging its operating improvements and economies to be very short lived. We are now be­ 3,000 tickets a week, and the "culture loop" can turn the railroad around financially. buses has carried 128,000 passengers so far, Isn't this better than having the ICC pay ginning to receive hard evidence that Mr. Yunich said. other railroads upwards of $60 million over last year's modest gains will not be re­ But he concluded: "Clearly the need exists the next eight months to take over the Rock peated in 1975. The most recent figures for increased subsidies if we are to maintain Island's operation for a maXimum period of available from the American Public a viable mass-transit system. New sources eight months? USRA disapproved the loan Transit Association show that ridership of funds Will have to be considered." because of the Rock Island's alleged in­ increased only 0.6 percent in January He said the new $244-milllon Federal sub­ ability to repay and lack of adequate se­ over a year ago and due to a change in sidy, $187.5-million of which is really a loan curity. Yet Chairman Stafford, who should accounting procedures this year, the against future capital grants, coupled with know, says, and I quote, "Though it is de­ expected state and local subsidies would void of cash, the Rock Island does have actual growth is almost certainly even bring the authority Within $30-mlllion of substantial assets to provide more than ade­ less. meeting this year's $422-mlllion deficit. He quate security for the loan." The news from New York City is even said he thought that gap could be bridged. As I think over USRA's handling of the more discouraging. Last week New York But next year's projected shortfall, after con­ Rock Island situation, I can't help wondering transit authorities revealed that the sub­ sidering all subsidies available, is still $227- if we are not engaged here in an exercise in way portion of their system suffered a mllllon, he said. futility. Confronted with the reality of mas­ 4.4-percent decline in patronage for the Mr. Yunich, in an hour-long talk, told the sive planned abandonments in the Northeast month of January and the early indica­ committee that the city could "not back and a seeming indifference toward the needs away from its responsibility" just because of the people in our area for better ran tions are that the February figures will Federal subsidies were not available. He service, not less, I believe Congress may find look even worse. The decline in growth of commented that other cities had been able it necessary to send the USRA planners back transit ridership nationally coupled with to reduce fares--Atlanta from 40 to 15 cents, to their draWing boards. My own attitude, at the sharp falloff in patronage on New Los Angeles from 30 to 25 cents and Cincin­ the moment, is one of extreme skepticism. York's subway system strongly suggest nati from 50 to 25 cents through special And I know many other Congressmen are in that last year's modest gains resulted regional taxes, on sales in the first two the same frame of mind. largely from the Arab oil boycott. cases and on earnings in the Cincinnati area. I don't intend to criticize USRA unduly. Fortunately the news is not all bad. The committee, headed by Councilwoman The planners at least have tried to bring Carol Greitzer, Manhattan Democrat, wanted order out of the chaos that has affiicted the Ridership on the Minnesota Twin Cities to know if rising crime was not the cause northeastern roads a.nd their long suffering Bus System increased more than 8 per­ of the decline in ridership. customers for many years. I fear, however, cent in January and with continuing ex­ Mr. Yunich, agreeing that passenger safety that the USRA plan is just one big banda.id pansion of the fleet and other service im­ was a matter of concern, insisted, "I think for a condition that needs more fundamental provements there is hope that we can it's safe to say the system is stlll the safest treatment. What this country needs, in my sustain the momentum. A relatively in the world." judgment, is a national transportation policy Answering a question by Councilman that will lead to a better balance among the modest Federal investment in our bus system has paid off handsomely while Abraham G. Gerges, Democrat of Brooklyn, competitive needs of the various modes-­ Mr. Yunich conceded that a cutback in trains, trucks, airliners and barge lines. the enormous commitment to obsolete services "may happen" if financing is not Federal expenditures for airways a.nd air­ capital intensive systems has not. available. ports, rivers and harbors and highways It is a pretty safe bet that our Federal totaled $25.4 blllion in 1972 while federal transit programs will continue to show a subsidies for rail transportation, including poor return until they become far more Amtrak, ra.ll mass transit and the operation TIME TO STIFFEN PENALTIES FOR of the Federal Railroad Administration were performance oriented and we begin to MEDICARE/ MEDICAID OVERBTIL­ at the $400 million level. The railroads, as focus on the development and deploy­ INGS AND FRAUDS well as t he other modes, also are burdened ment of systems and services that can with excessive and time-consuming regula­ compete more effectively in the market­ tory procedures. We in Congress should ad­ place. HON. CHARLES A. VANIK dress this problem and develop a policy that The following article describes the re­ OF OHIO will revitalize our transportation services and cent decline in ridership on the New York IN THE HOUSE OF REPRESENTATIVES enhance the abillty of each mode to compete City Transit System. effectively within our free enterprise system. Wednesday, March 19, 1975 (From the New York Times, Mar. 7, 1975] Until this is done I'm afraid we shall see more Mr. VANIK. Mr. Speaker, during the YUNICH REPORTS DECLINE IN SUBWAY AND Bus Penn Centrals, More Rock Islands, and their past few weeks, two Scripps-Howard re­ employees and the people they serve Will RIDERS IN LAST YEAR suffer. (By Edward C. Burks) porters, Dan Thomasson and Carl West, have conducted investigations leading to The Metropolitan Transportation Author­ ity reported yesterday that ridership on its exposes of waste and fraud involving RIDERSHIP ON THE MINNESOTA subway and bus lines was down by 200,000 millions in medicare/medicaid funds in TWIN CITIES passengers a day in January compared witb the Chicago and Miami areas. The the same month a year ago. abuses these two investigative reporters David L. Yunich, the authority's chair­ have discovered may just be the tip of HON. BILL FRENZEL man, attributed the loss to the recession the iceberg, just part of a national scan­ OF MINNESOTA and the high rise of unemployment here. The dal costing the medicare trust funds and loss on the subway lines was 162,000 daily IN THE HOUSE OF REPRESENTATIVES the taxpayers billions of dollars per passengers, from an average of 3,892,000 a year. Wednesday, March 19, 1975 day in January, 1974 to 3,667,000. Preliminary figures for the first two weeks The investigations have uncovered a Mr. FRENZEL. Mr. Speaker, despite of last month show that the downward series of frauds ranging from "minor" the passage of another major mass tran­ trend has "gotten slightly worse", Mr. Yunich chiseling by doctors who inflate their sit bill last year, the struggle to make said, especially with subway patronage. bills to possible organized crime-con­ public transit succeed is not yet over­ Testifying before the City Council's Com­ nected medicaid bill collection rackets. in fact, recent transit ridership data mittee on Mass Transit, Mr. Yunich ex­ Among some of the more common crimes makes one wonder if the struggle has pressed the conviction that the 35-cent fare being committed against the taxpayer even begun. Despite a multibillion-dol­ could be held through next Dec. 31, espe­ are : cially in view of the $67-mUlion emergency lar, 10-year Federal effort, the return on appropriation voted by the Legislature on - First, inflated drug charges, false and/ this substantial Federal investment con­ Wednesday. But he indicated that the fare or unnecessary prescriptions; and tinues to be almost nonexistent. could reach 60 cents next year unless present Second, inflated and unnecessary For a while last year it looked like we levels of subsidies were sharply increased. laboratory charges by physicians, hos­ had finally blocked the downward slide An irony in the report of over-all decreased pitals, and laboratories. March 20, 1975 CONGRESSIONAL RECORD- HOUSE 7645 What is most disturbing and de­ against the old, the poor, the sick, and the My office is currently making a study of pressing about the Thomasson-West ar­ taxpayer in general. the use of the section 229 provision to ticles is the sense of "ease" and preva­ According to the Thomasson-West determine what corrective infl.uence it lance they convey about fraud in these articles, the Social Security Administra­ may have had on the health service in­ programs, and the failure to prosecute tion has established a program integ­ dustry. The simple fact is, Mr. Speaker, for abuses of the program. As the rity or special group of investigators to that medicare/medicaid programs­ Thomasson and West report of March guard against medicare abuses. Yet this which were originally bitterly opposed 17, 1975, noted: task force has only about 50 to 70 investi­ by most of the medical professions­ During a three-month period ending last gators available to deal with a nationwide have been a financial bonanza to the in­ June 30, 26 States reported to the U.S. $15 billion program. It is obvious that this dustry. It is time that those who abuse Health, Education and Welfare Department task force is woefully inadequate to the system were cutoff from what too (HEW) 954 cases of suspected fraud in the deal with the wave of overbilling and cor­ often is a taxpayer-financed gravy train. Federal-State medicaid program for the ruption plaguing the health services I am asking HEW to supply me with poor. industry. data on the actions taken--or more fre­ Only 47 of those cases were ever turned I believe that the Social Security-HEW quently, not taken-by State agencies to over to public prosecutors. For the succeeding quarter, ending Sept. task force must be substantially in­ protect medicare/medicaid programs 30, 21 States reported 824 cases of suspected creased. from abuse. It is time that the effort to fraud. Of those only 18 were referred for In addition, a vigorous effort must be control this abuse be fully publicized. It prosecution. made to deny those who have been found is time to find out whether State medi­ In the final quarter, ending Dec. 30, 25 to be overbillers from participating in cal societies ever "disbar" physicians who States reported 1,052 cases of suspected the program in the future. For example, have been found guilty of overbillings fraud. Only 15 of those cases were referred section 229 of the 1972 Social Security and frauds--or whether these physicians for prosecution. Amendments provided authority to ter­ are simply permitted to repay their These data, gathered from reports on file with HEW's division of program monitor­ minate payments to certain suppliers of frauds and continue on their way. . ing, go a long way toward explaining the es­ services who "have submitted or caused In addition, it appears that in many timate by federal investigators that cheat­ to be submitted ... bills or requests for cases, overbillings and frauds against the ing in the medicaid program is costing tax­ payments ... containing charges ... sub­ medicare/medicaid programs involve payers $1.5 billion a year. stantially in excess of such person's cus­ kickbacks, payoffs, and other transfers of Even this doesn't define the scope of the tomary charges" or "have furnished money which may not be reported for problem, however. services or supplies which are determined tax purposes. As chairman of the Over­ Although required by federal regulation by the Secretary . . . to be of a grossly sight Subcommittee of the Ways and to do so, a few States don't even bother to file reports on suspected fraud. And some inferior quality." Means Committee, I am asking the So­ that do only provide incomplete and inac­ As the Senate report on this section cial Security Administration and the In­ curate information. noted, this provision "would give author­ ternal Revenue Service to work together ity to terminate or suspend payments to establish a series of task forces and My staff reviewed this data at HEW under the Medicare program for serv­ undertake increased special audits of and verified the information for the last ices rendered by any supplier of health those health care providers who make es­ quarter of calendar 1974. In addition, I and medical services found to be guilty pecially heavy use of the medicare/ am embarrassed to report that my o'Wll of program abuses. The Secretary would medicaid programs. State of Ohio did not even submit data make the names of such person or orga­ Finally the penalties for a person who on such actions. Another major State, nizations public so that beneficiaries "knowingly and willfully makes or causes california, also failed to submit any data. would be informed about which suppliers to be made any false statement or rep­ Some of the abuses the reporters cite­ cannot participate in the program and resentation of a material fact in any ap­ such as phonied drug charges-have for whose services payments will not be plication for any benefit or payment been going on for years. The State agen­ made. The situations for which termina­ under title XVIII" "solicits, offers, or re­ cies in charge of medicaid know that tion of payment could be made include ceives any kickback or bribes in connec­ a1buses are rampant. The Social Security overcharging, furnishing excessive, in­ tion with the furnishing of Title XVIII Administration knows that billions are ferior, or harmful services, or making a services"-Section 242, Public Law 92- being lost through over-billing and fraud. false statement to obtain payment." 603-is guilty of a "misdemeanor and Yet no one seems to be doing anything Unfortunately, the Senate report went upon conviction thereof shall be fined to stem the tide of corruption. The waste on to state that: not more than $10,000 or imprisoned for in these programs has become so costly It is not expected that any large number of not more than 1 year." These penalties that it is a major contributor to the suppliers of health services wlll be suspended are inadequate. There is too much money social security trust fund deficits that because of abuse. However, the existence of to be made through medicare frauds for may result in major tax increases in order the authority and its use tn even a relatively these misdemeanor penalties to deter to keep these trust funds on a sound base. few cases is expected to provide a substantial some individuals. I believe it is time that Mr. Speaker, it is time that the Federal deterrent. the penalties for abuse of the public Government made a major effort to crack I doubt that the provision has even health insurance systems be substantial­ down on the frauds being committed been used enough to provide a deterrent. ly increased-and enforced.

HOUSE OF REPRESENTATIVES-Thursday, March 20, 1975 The House met at 12 o'clock noon. As we approach the Passover season, to Without objection, the Journal stands Rabbi Gordon Papert, of the Kings celebrate Israel's Festival of Freedom, we approved. Park Jewish Center, Kings Park, N.Y., give thanks to You for the blessings of There was no objection. offered the following prayer: liberty in our land. Like the Founding Fathers of this Heavenly Father, we ask Your blessing MESSAGE FROM THE PRESIDENT upon our country, upon this Congress, great Republic, may we be inspired by and upon all the inhabitants of this the spirit of Israel's prophets to love A message in writing from the Presi­ great Republic. mercy and to pursue justice for all the dent of the United States was commu­ Sustain us in our endeavors to eradi­ citizens of our land. Amen. nicated to the House by Mr. Heiting, one cate hatred and prejudice. of his secretaries. Help us to preserve and to nurture the precious ideals and democratic institu­ THE JOURNAL MESSAGE FROM THE SENATE tions of our American way of life. Inspire our Representatives to ap­ The SPEAKER. The Chair has exam­ A message from the Senate by Mr. proach the political, social, and eco­ ined the Journal of the last day's pro­ Sparrow, one of its clerks, announced nomic problems of our day with forth­ ceedings and announces to the House that the Senate agrees to the report of rightness, courage, and unselfishness~ his approval thereof. the committee of conference on the dis-