HON. ALEXANDER WILEY - Govinfo.gov

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2356 CONGRESSIONAL RECORD- HOUSE March .2 By Mr. OLIVER P. BOLTON: H. R. 4589. A bill for the relief of Janos (John) Kapka; wife, Edith; and children, Edith Rosemary, Georgette, Janos , Jr ., Alice, Steven, and Mary Valery; and mother-in- law, Antonia Majer; to the Committee on the Judiciary. By Mr . BOSCH: H. R. 4590. A bill for the relief of Agosto Giampoali; to the Committee on the Judiciary. By Mr . CUNNINGHAM: H. R. 4591. A bill for the relief of Marion A. Comegys; to the Committee on the Judiciary. By Mr. DAGUE: H. R. 4592. A bill for the relief of Kath- erine Wiedner; to the Committee on the Judiciary. By Mr. DEROUNIAN: H. R. 4593. A bill for the relief of Loretta Pereira; to the Committee on the Judiciary. By Mr. GRANAHAN: H. R. 4594. A bill for the relief of Kathryn T. Lilly; to the Committee on the Judiciary. By Mr. GUBSER: H. R. 4595. A bill for the relief of Slobodan Galeb; to the Committee on the Judiciary. H. R. 4596. A bill for the relief of Suye Uchida; to the Committee on the Judiciary. By Mr. HENDERSON: H. R. 4597. A bill for the relief of Guy H. Goddard; to the Committee on Armed Services. By Mr. HESELTON: H. R. 4598. A bill for the relief of Oldrich Prochazka; to the Committee on the Ju- diciary. By Mr. JACKSON: H. R. 459!;). A bill for the relief of Raymond Jean-Henri Rambeau; to the Committee on the Judiciary. H. R. 4600. A bill for the relief of Antonio Hernandez-Gomez; to the Committee on the Judiciary. H. R. 4601. A bill for the relief of Max Horkheimer and Rose Christine Horkheimer; to the Committee on the Judiciary. By Mr. MACK of Illinois: H. R. 4602. A · bill for the relief of Edward Neal Fisher; Committee on the Judiciary. By Mr. MACK of Washington: H. R. 4603. A bill for the relief of Edith C. Eldred; to the Committee on the Judiciary. By Mr. METCALF: H. R. 4604. A bill relating to the issuance of certain patents in fee to lands within the Blackfeet Indian Reservation, Mont.; to the Committee on Interior and Insular Affairs. By Mr . PATTERSON: H. R. 4605. A bill for the relief of Andrew Christopher Smith; to the Committee on the Judiciary. H. 4606. A bill for the relief of Mrs. Iris Millicent Bell; to the Committee on the Judiciary. By Mr. POWELL: H. R. 4607. A bill for the relief of Joyce Delores Evans; to the Committee on the Judiciary. By Mr . REUSS: H. R . 4608. A bill for the relief of Ahmet Haldun Koca Taskin; to the Committee on the Judiciary. · By Mr. ROONEY (by request): H. R. 4609 . A bill for the relief of Winsome Valarie Hall; to the Committee on the Ju- diciary. H. R. 4610. A bill for the relief of Victorena Ambrozene Plunkett; to the Committee on the Judiciary. By Mr. ROOSEVELT: H. R. 4611. A bill for the relief of Bernard M. Silbert and others doing business as Al- mond Acres housing project; to the Commit- tee on the Judiciary. By Mr. YATES: H. R. 4612. A bill for the relief of Vladimir and Sva tava Hoschl; to the Committee on the Judiciary. PETITIONS, ETC. Under clause 1 of rule XXII, petitions and papers were laid on the Clerk's desk and referred as follows: 132. By Mr. BUSH: Petition of Bottle Run Grange , No. 1301, Williamsport, Pa., in op- position to the universal military training bill; to the Committee on Armed Services. 133. By. the SPEAKER: Petition of the chairma n, American Lithuanian Council, Gary, Ind ., requesting the United States to use its influence to help Lithuania and other Baltic States regain their freedom and sovereign rights in accordance with the prin- ciples of the Atlantic Charter and the Chart- er of the United Nations; to the Committee on Foreign Affairs. 134. Also, petitio.n of Francisco Cepero, Santurce, P. R., to Civil No. 95-4, Francisco Cepero, petitioner, v. United States District Court for Southern District of New York; to the Committee on the Judiciary. EXTENSIONS OF REMARKS The Expanding Great Lakes Frontier EXTENSION OF REMARKS OF HON. ALEXANDER WILEY OF WISCONSIN IN THE SENATE OF THE UNITED STATES Wednesday, March 2, 1955 Mr. WILEY. Mr. President, on last Saturday, February 26, it was my pleas- ure to address the Antigo, Wis., Cham- ber of Commerce on the subject of the expanding Great Lakes frontier. I ask unanimous consent that the ad- dress be printed in the RECORD. There being no objection, the address was ordered to be printed in the RECORD, as follows: THE ExPANDING GREAT LAKES FRONTIER (Address by .Hon. ALEXANDER WILEY, of Wisconsin) It is a privilege to address this fine cham- ber of commerce regarding the expanding economic frontier of America. I want to talk to you about the future prosperity which you of Antigo and which all of us in Wisconsin will enjoy in the years and decades to come. What we are going to do is not, however, .. put on rose-colored glasses" and· a· ssume that the future will be all bright and easy. Rather we are going to take a realistic look at the great challenge-the great oppor- tunity which lies before us. SEAWAY A GREAT BOOST It is my belief that the Great Lakes-St. Lawrence Seaway, now scheduled to begin operations in the 1959 shipping season, will prove to be one of the most tremendous eco- nom!c _boosts in . :U:ni ted States history. It is my belief that it will be a great spur to midwestern industry and agriculture; that it will pump economic health into commu- nities in States all along the Lakes and ad- . jacent to those States . POPULATION WILL SOAR IN LAKE AREA Right now, in the Great Lakes area, 58 . million people live in the 8 States having immediate access to the Lakes. An additional 13 million people live in the 9 States which are generally regarded as tributaries, in an economic sense, to the Lakes. We 71 million Americans will be the ones most immediately affected by the waterway. But meanwhile America's population is zooming upward. Last year 4 million babies were born. By the normal laws of population increase, our country as a whole is scheduled to jump from 163 million people today to around 285 million people 20 years from now-in 1975. It is my belief that because of the seaway populations along the Lakes will increase even faster than the normal proportion of increase in other States provided-! repeat, provided-we take the necessary action to assure our progress. NEW SEAWAY WILL BENEFIT US Fortunately, such progress already is shap ing up. The lake area is going to benefit from seaway construction payrolls immediately, construction on harbors, construction on deepening of channels (such as are provided under the Wiley channel bill, S. 171) . Then, the lake area is going to attract many new industries, requiring direct access to the deepwater ports of the world. It is going to attract . increased tourist trade. It is going to benefit from increased inte- gration between America's economy and the economy of our Canadian good .neighbor (which is also All this is scheduled to result, and yet I believe that it is only the beginning of the bright horizons before us. OVERALL UNITED STATES OUTLOOK BRIGHT If in the next decade the seaway were to come about all by itself, then the promise which the future holds would not be so completely bright. But the fact of the matter is that the seaway is but a part of the overall expand- ing economic horizons affecting our country as a wh0le. Right now, whole new American indus- tries are developing. I cite but two industries: The atomic en- ergy industry, which .will probably revolu- tionize electric power, medicine, and many other fields; and the industry known as auto- mat ion; that is, the so-called automatic fac- tories in which electronic machines perform operations which might otherwise be per- formed manually. Now, it is a fact that all of these new industries will raise problems in turn. They will require shifting of labor from one type of job and industry to other types, and there may be temporary labor surpluses. But, so long as new industries are being created as fast as old industries feel the impact of sometimes adverse developments, then we can be sure there will be overall prosperity ahead for Wisconsin and America. Now, I ask you, my friends in the Antigo area: How well are you and I planning to . have this community benefit from the · changing economic patterns of America-- pa tterns involving, for example, atomic energy and automatic factories? Can you contribute here in this area--di· rectly or indirectly-to some of the sub- contracting work involved in, say, these two enormous industries? . The fact of the matter is that each com- munity must plan . its place in the coming dyE-amic

Transcript of HON. ALEXANDER WILEY - Govinfo.gov

2356 CONGRESSIONAL RECORD- HOUSE March .2 By Mr. OLIVER P. BOLTON:

H . R. 4589. A bill for the relief of Janos (John) Kapka; wife, Edith; and children, Edith Rosemary, Georgette, Janos, Jr., Alice, Steven, and Mary Valery; and mother-in­law, Antonia Majer; to the Committee on the Judiciary.

By Mr. BOSCH: H. R. 4590. A bill for the relief of Agosto

Giampoali; to the Committee on the Judiciary.

By Mr. CUNNINGHAM: H. R. 4591. A bill for the relief of Marion

A. Comegys; to the Committee on the Judiciary.

By Mr. DAGUE: H. R. 4592. A bill for the relief of Kath­

erine Wiedner; to the Committee on the Judiciary.

By Mr. DEROUNIAN: H. R. 4593. A bill for the relief of Loretta

Pereira; to the Committee on the Judiciary. By Mr. GRANAHAN:

H . R. 4594. A bill for the relief of Kathryn T . Lilly; to the Committee on the Judiciary.

By Mr. GUBSER: H. R. 4595. A bill for the relief of Slobodan

Galeb; to the Committee on the Judiciary. H. R. 4596. A bill for the relief of Suye

Uchida; to the Committee on the Judiciary. By Mr. HENDERSON:

H. R. 4597. A bill for the relief of Guy H. Goddard; to the Committee on Armed Services.

By Mr. HESELTON: H. R. 4598. A bill for the relief of Oldrich

Prochazka; to the Committee on the Ju­diciary.

By Mr. JACKSON: H. R. 459!;). A bill for the relief of Raymond

Jean-Henri Rambeau; to the Committee on the Judiciary.

H. R. 4600. A bill for the relief of Antonio Hernandez-Gomez; to the Committee on the Judiciary.

H. R. 4601. A bill for the relief of Max Horkheimer and Rose Christine Horkheimer; to the Committee on the Judiciary.

By Mr. MACK of Illinois: H. R. 4602. A ·bill for the relief of Edward

Neal Fisher; Committee on the Judiciary. By Mr. MACK of Washington:

H. R. 4603. A bill for the relief of Edith C. Eldred; to the Committee on the Judiciary.

By Mr. METCALF: H. R. 4604. A bill relating to the issuance

of certain patents in fee to lands within the Blackfeet Indian Reservation, Mont.; to the Committee on Interior and Insular Affairs.

By Mr. PATTERSON: H. R. 4605. A bill for the relief of Andrew

Christopher Smith; to the Committee on the Judiciary.

H. ~. 4606. A bill for the relief of Mrs. Iris Millicent Bell; to the Committee on the Judiciary.

By Mr. POWELL: H. R. 4607. A bill for the relief of Joyce

Delores Evans; to the Committee on the Judiciary.

By Mr. REUSS: H. R . 4608. A bill for the relief of Ahmet

Haldun Koca Taskin; to the Committee on the Judiciary. ·

By Mr. ROONEY (by request): H . R. 4609. A bill for the relief of Winsome

Valarie Hall; to the Committee on the Ju­diciary.

H. R . 4610. A bill for the relief of Victorena Ambrozene Plunkett; to the Committee on the Judiciary.

By Mr. ROOSEVELT: H . R. 4611. A bill for the relief of Bernard

M. Silbert and others doing business as Al­mond Acres housing project; to the Commit­tee on the Judiciary.

By Mr. YATES: H. R. 4612. A bill for the relief of Vladimir

and Svatava Hoschl; to the Committee on the Judiciary.

PETITIONS, ETC. Under clause 1 of rule XXII, petitions

and papers were laid on the Clerk's desk and referred as follows:

132. By Mr. BUSH: Petition of Bottle Run Grange, No. 1301, Williamsport, Pa., in op­position to the universal military training bill; to the Committee on Armed Services.

133. By. the SPEAKER: Petition of the chairman, American Lithuanian Council, Gary, Ind., requesting the United States to use its influence to help Lithuania and other Baltic States regain their freedom and sovereign rights in accordance with the prin­ciples of the Atlantic Charter and the Chart­er of the United Nations; to the Committee on Foreign Affairs.

134. Also, petitio.n of Francisco Cepero, Santurce, P. R., rela~ive to Civil No. 95-4, Francisco Cepero, petitioner, v. United States District Court for Southern District of New York; to the Committee on the Judiciary.

EXTENSIONS OF REMARKS

The Expanding Great Lakes Frontier

EXTENSION OF REMARKS OF

HON. ALEXANDER WILEY OF WISCONSIN

IN THE SENATE OF THE UNITED STATES

Wednesday, March 2, 1955

Mr. WILEY. Mr. President, on last Saturday, February 26, it was my pleas­ure to address the Antigo, Wis., Cham­ber of Commerce on the subject of the expanding Great Lakes frontier.

I ask unanimous consent that the ad­dress be printed in the RECORD.

There being no objection, the address was ordered to be printed in the RECORD, as follows:

THE ExPANDING GREAT LAKES FRONTIER (Address by .Hon. ALEXANDER WILEY, of

Wisconsin) It is a privilege to address this fine cham­

ber of commerce regarding the expanding economic frontier of America.

I want to talk to you about the future prosperity which you of Antigo and which all of us in Wisconsin will enjoy in the years and decades to come.

What we are going to do is not, however, .. put on rose-colored glasses" and· a·ssume that the future will be all bright and easy.

Rather we are going to take a realistic look at the great challenge-the great oppor­tunity which lies before us.

SEAWAY A GREAT BOOST It is my belief that the Great Lakes-St.

Lawrence Seaway, now scheduled to begin operations in the 1959 shipping season, will prove to be one of the most tremendous eco­nom!c _boosts in .:U:ni ted States history.

It is my belief that it will be a great spur to midwestern industry and agriculture; that it will pump economic health into commu­nities in States all along the Lakes and ad- . jacent to those States.

POPULATION WILL SOAR IN LAKE AREA Right now, in the Great Lakes area, 58

. million people live in the 8 States having immediate access to the Lakes.

An additional 13 million people live in the 9 States which are generally regarded as tributaries, in an economic sense, to the Lakes.

We 71 million Americans will be the ones most immediately affected by the waterway.

But meanwhile America's population is zooming upward. Last year 4 million babies were born.

By the normal laws of population increase, our country as a whole is scheduled to jump from 163 million people today to around 285 million people 20 years from now-in 1975.

It is my belief that because of the seaway populations along the Lakes will increase even faster than the normal proportion of increase in other States provided-! repeat, provided-we take the necessary action to assure our progress.

NEW SEAWAY WILL BENEFIT US Fortunately, such progress already is

shaping up. The lake area is going to benefit from

seaway construction payrolls immediately, construction on harbors, construction on deepening of channels (such as are provided under the Wiley channel bill, S. 171) .

Then, the lake area is going to attract many new industries, requiring direct access to the deepwater ports of the world.

It is going to attract. increased tourist trade.

It is going to benefit from increased inte­gration between America's economy and the economy of our Canadian good .neighbor (which is also boo~!!?-g) ~"

All this is scheduled to result, and yet I believe that it is only the beginning of the bright horizons before us.

OVERALL UNITED STATES OUTLOOK BRIGHT If in the next decade the seaway were to

come about all by itself, then the promise which the future holds would not be so completely bright.

But the fact of the matter is that the seaway is but a part of the overall expand­ing economic horizons affecting our country as a wh0le.

Right now, whole new American indus­tries are developing.

I cite but two industries: The atomic en­ergy industry, which .will probably revolu­tionize electric power, medicine, and many other fields; and the industry known as auto­mation; that is, the so-called automatic fac­tories in which electronic machines perform operations which might otherwise be per­formed manually.

Now, it is a fact that all of these new industries will raise problems in turn.

They will require shifting of labor from one type of job and industry to other types, and there may be temporary labor surpluses.

But, so long as new industries are being created as fast as old industries feel the impact of sometimes adverse developments, then we can be sure there will be overall prosperity ahead for Wisconsin and America.

Now, I ask you, my friends in the Antigo area: How well are you and I planning to

. have this community benefit from the · changing economic patterns of America-­

p atterns involving, for example, atomic energy and automatic factories?

Can you contribute here in this area--di· rectly or indirectly-to some of the sub­contracting work involved in, say, these two enormous industries? . The fact of the matter is that each com­

munity must plan .its place in the coming dyE-amic _era.~

1955 CONGRESSIONAL RECORD- HOUSE 2357 You in this audience tonight are realists.

You know that we cannot here in this area · try to duplicate, even in part, the factories, the facllities, the resources, the transporta­tion of some enormous metropolis. Even if that were possible, you wouldn't want it.

What you can- and should do, however, is make Antigo's unique, specialized, tailored contribution to the coming era.

That means mobilizing the best minds in this community, the best civic organizers, and doers.

It means tapping your finest engineerin~, business, labor, and professional abilities so as to make Antigo's fullest contribution.

GETTING IN ON GROUND FLOOR

Most of the technical developments which I am describing are not going iJo happen overnight. They are going to take years and years. But the time to get in on the ground. floor is now.

Recently, I have been in correspondence with an outstanding organization know as Atomic Industrial Forum, which c_onsists of leading Wisconsin and other businesses which are planning for their atomic future.

This is the type of self-help, forward­looking organization which will help ac­celerate America's economic development. It is the type which is needed as we advance boldly and in a free-enterprise fashion to America's new economic frontiers.

So, too, I am hoping that in our State of Wisconsin we can, on a statewide basis, plan to attract the most modern type of in­dustries to our State. We want industries with tremendous growth potential, indus­tries which will need the type of skilled workers with which we in Wisconsin are blessed, industries which will need the stable, wholesome communities which we in Wis­consin have to offer.

That is why I have been in correspond­ence with the Governor's office, with the University of Wisconsin, and with other lead­ing Wisconsin enterprises-private and pub­lic.

SO-CALLED NORMAL INDUSTRIES REQUIRE ATTENTION

But we don't need miracle fields, like atomic energy or automation, to assure our prosperity.

Even and indeed, especially, in so-called normal ordinary types of enterprise-man­ufacturing, wholesale, distribution, agricul­ture, we can and should plan to benefit from the St. Lawrence seaway.

WORKING OUT PROBLEMS WITH CANADA

But I want to repeat my word of caution regarding not becoming overoptimistic or going overboard, and assuming that pros­perity will automatically be ours. And let me mention now that we still have to work out some seaway matt~rs with our Canadian friends.

I want to say very frankly that there have. been some differences with regard to dupli­cating seaway facilities between ourselves and our friends across the border. I have hope and confidence that these differences are properly going to be worked out satis­factorily. After all, there is no finer set of neighborly relations in the world than prevails between ourselves and our Cana­dian friends. · America tarried too long on approving the

seaway. We were long overdue in coming in on the dual-nation, dual-purpose naviga­tion and power project.

But now that we are going in, I hope that we and Canada will proceed on a basis of complete cooperation. I hope we will defi­nitely avoid duplicating facilities and will put our respective dollars where they can be of best •possible use for the good of both nations.

MIDWEST MUST PROTECT ITSELF

And just as I want America to speak up frankly in relation to her needs and those

of Canada, so I want the Midwest- to speak up frankly in relation to her needs.

Frankly, the Midwest has often been woe­fully negligent in protecting itself in the economic race.

Time after time, the Midwest has been treated like an orphan chUd when Uncle Sam has built new projects and poured in new Federal funds.

Time after time, the Midwest delegations in Congress have failed to work together as a team, while, by way of contrast, New Eng­land delegations or gulf coast or Northwest delegations have far exceeded us.

I don't mean to say that I want the Mid­west to come "hat-in-hand" to Uncle Sam for handouts. We of the Midwest don't be­lieve in handouts. We don't believe in look­ing to Washington for things which we should do and will do for ourselves.

But neither should we fail our obligations to make sure that we receive our fair share of Federal cooperation on projects in which there is a very definite national interest.

The Great Lakes connecting channels rep­resent one such project. But there are many others which will directly benefit us.

Now, just how will the seaway affect Wis­consin?

It is my belief that Wisconsin particularly stands most immediately to gain from the seaway. Our State has probably planned more intensively for the seaway than most other States. We have been in the fore­fr ont of the battle for the seaway, and it is we who should be in the forefront of benefiting from it.

CHANNELS MUST BE DEEPENED

Our first priority must, of course, be to secure action on the legislation to which I have already referred. It is the legislation which not only I have introduced, but which numerous other Senators and Representa­tives have introduced-namely, to deepen the connecting channels to 27 feet. Otherwise we will not have a 27-foot deep waterway west of Lake Erie.

We can we quite sure that these channels are going to be deepened. That does not mean, however, that we should take them for granted. Actually, some of my colleagues from the South, for example, were more interested in getting Federal funds to sup­plement the hundreds of millions that they have poured into the gulf coast than they are interested in approving the relatively modest $109 millions which will be necessary for the Great Lakes connecting channels.

Now, as channel work is getting under way, it is our estimate that seaway traffic will reach 52 million tons by 1965.

This tonnage will be of great aid to all of Wisconsin, to its industries, and its farmers who will be able to ship their products in­expensively across the waters.

But, I reiterate, my friends, that each community, including Antigo, should not as­sume that benefits . will flow automatically to us, should not assume that prosperity is going to drop into our laps.

In the first place, there is stiff competi­tion for new business all along the lake area.

QUESTIONS ON ANTIGO'S FACILITIES

In the second place, even if there were not thi.s competition, each community can­not prosper unless it analyzes and improves its own particular facilities and resources­soundly and carefully.

And so, we should. ask ourselves, as I'm sure you of this Chamber have been asking yourselves:

What is our available industry and our available labor supply?

What are the trends affecting current Antigo business?

What can we do to hold what we have and improve what we have?

What land do we have available for ex­panded industries?

What housing is available for increased labor supply?

How modern is the machinery in our plants?

What is our access-today and tomorrow­to other means of transportation: railroad, road, and air?

These are but a few of the important questions which must be considered before Antigo or any other community can fully benefit from the waterway.

There is every reason for faith and con­fidence in the future. Wisconsin stands at the threshold of a new era. I am sure that with the leadership displayed at this meet­ing and meetings throughout our State, we can go forward to fully benefit from this great frontier.

CONCLUSION

I have tried during this address to com­ment on some of the highlights of the coming era. I have tried to paint a picture which I believe is realistic and sound, and not one based upon superoptimism or rose­colored glasses, especially in relation to so­called new miracle industries.

I believe, in summary, that the seaway is what you and I choose to make it. It is not going to drop prosperity into our laps. But it is going to make prosperity available to us if we have the brains and the initia­tive to realize it, as I believe we will.

Very shortly, there will be published in Washington a new St. Lawrence Seaway Man­ual which has been prepared at my direc­tion. It will help answer some of the many questions which I know are in your minds about the seaway. I hope that you will write to my office for a copy of it. And I hope that on my return to Washington you will always feel free to contact me. Give me the benefit of your judgment, your constructive criti-· cism, your advice. I will be happy to hear from you always.

Thanks again for your attention and good luck to you all.

Drought-Relief Program

EXTENSION OF REMARKS OF

HON.E.Y.BERRY OF SOUTH DAKOTA

IN THE HOUSE OF REPRESENTATIVES

VVednesday, ~arch 2, 1955 Mr. BERRY. Mr. Speaker, from time

to time there has been inserted in the CONGRESSIONAL RECORD Criticisms Of the handling of the drought-relief program by the Department of Agriculture. Most of these criticisms have been made by those who do not have a clear under­standing of the problem or the steps taken to alleviate the hardships caused by drought throughout the country. Congress has passed several acts to help meet the distressing situation caused by drought and it has been the earnest de­sire of those charged with the adminis­tration of the programs to so administer them within the law as to give the great­est relief possible.

I am placing at the close of my re­marks a table showing the number of cases and the funds expended through the Department of Agriculture for the fiscal year 1955, and in the case of loans, feed, and hay programs and wind-ero­sion control, July 1, 1954, through Feb­ruary 4, 1955.

The charge has been made that the emergency credit made available to farmers in drought-stricken areas has been entirely inadequate. However, since emergency loans were first authorized in

·2358 CONGRESSIONAL RECORD- HOUSE March 2 1949 pursuant to Public Law 38, 8lst Congress, a total of 157,940 loans amounting to $212,274,468 have been made to enable farmers in designated areas to continue their normal opera­tions. Since the inception of the special livestock-loan programs, which was au­thorized in 1953, a total of 5,649 loans amounting to $49,702,328 have been made to livestock operators. Most of these loans, as well as a majority of the emer­gency loans, have been made as a result of the drought conditions which have ex­isted throughout much of the country. The following table reflects the activity under these programs by years for the country as a whole:

United States: 1949 _____ __ ___ _ 1950 ______ ____ _ 1951_ _____ ___ _ _ 1952 __________ _ 1953 _____ _____ _ 1954 ______ ___ _ _ 1955 through

Emergency loans Special livestock loans

N um ­ber Amount N~~- Amount

362 $974, 948 ------ - -- - - --- ---25, 360 29,833,887 ------ --- - ----- --13,274 19,198,873 - ---- - - ------- - --21' 226 31,488,774 ---- -- -- - - ---- - - -35, 442 43.225,068 ------ - ----- -- ---42, 449 57, 984, 342 3, 985 $37, 282, 206

Feb. 4 ______ 19,827 29,568,576 1,664 12,420, 122

TotaL -- - - -- 157,940 212,274, 468 5, 649,49, 702,328

These loans have been made to farmers and stockmen who have been unable to obtain elsewhere the credit required for them to continue their normal opera-. tions and the volume of loans made is an · indication · that the emergency credit programs of the ·Department have been used fully in meeting the needs of farm­ers who have suffered from the drought and similar conditions.

Uniform regulations have been issued with respect to all of the emergency lending programs of the Department and these regulations apply in all of the States. The Farmers Home Administra­tion emergency lending authorities are used in meeting the needs of small farm­ers as well as the needs of large opera­tors who qualify for assistance. The re­financing of existing debts under our emergency lending authorities is prohib­ited. To do otherwise would not be con­sistent with the acts under which the various loans were authorized. Likewise Farmers Home Administration emer­gency lending authorities are not used to compensate applicants for the actual losses which they have suffered as a re­sult of the drought or similar conditions. Emergency and special livestock loans were authorized for the purpose of en­abling qualified applicants to continue their normal operations. Consequently, the amount advanced to each applicant is limited to what is necessary for that purpose. The amount actually advanced may or may not be in excess of the actual losses suffered by the applicant, depend­ing upon the particular circumstances involved. . The act under which special livestock

loans were authorized states specifically that such loans will be made only to those applicants "who have a good rec­ord of operations but are unable tem­porarily to get the credit they need from ;r:€cognized lenders and have a reason­able chance of working out of their dif-

:ficulties with sUpplementary financing." A similar restriction applies to all of the other types of emergency loans and it would not be consistent to approve a loan for any applicant in ·a position to obtain his credit elsewhere or to any applicant who did not have a reasonable prospect for success with the assistance of the loan. It is not intended for these loans to compete with credit extended by banks and other private lenders but rather to supplement the credit avail­able from those sources. When loans are made other creditors are urged to co­operate in keeping the farmer or stock­man in business so that he will have an opportunity to recover from his losses and in a relatively short period return to his usual source of credit. Therefore, ther e is no justification or authority for ma~ing loans to applicants who are able to obtain their credit elsewhere or to applicants who do not have a reasonable prospect for success.

When loans include funds for the pro­duction of cash crops, the amounts ad­vanced for that purpose generally are scheduled for repayment out of the in­come to be derived from the crops pro­duced. Loans are scheduled for repay­ment in this manner as it is the gener­ally accepted principle that creditors advancing funds for production purposes are entitled to the first claim upon the income produced. In situations in which an applicant's prospective income will be abnormally low because of the drought or other conditions or when his expenses will be abnormally high for similar rea­sons, provision is made for the schedul­ing of amounts advanced for annual re­curring expenses over a period longer than 12 months.

In general, there have been two chief criticisms of the agricultural conserva­tion program.

First. Fair prices of conservation ma­terials were discontinued.

Second. Green manure, small grains, and so forth, were limited to land shifted from production of crops because of acreage allotments.

The determination and posting of the maximum fair price at which ACP would purchase materials-in this case seed­for conservation work was required under law until enactment of Public Law 690, 83d Congress. It then became per­missive and could be used whenever and wherever it was apparent that a maxi­mum was needed to prevent unjustifi­able increases in prices of conservation materials or services. Instructions were sent to States by the Acting Secretary, September 3, 1954, canceling existing fair prices and giving instructions for their re-establishment where needed. Conditions for establishing were: _ · First. Supply through local sources

inadequate to meet anticipated demand. Second. Inadequate supply will result

in commercial prices that are excessive in relation to such demand.

In drought areas there was a special practice <F-3 ) . . This practice permitted use of cost-sharing for cover crops with­out regard to the shifting of acreage from other crops. The rate of cost­sharing for this practice was determined by the State and co.u:ntY committees as that rate necessary to obtain adequate

performance under prevamn·g condi­tions without regard to the 50 percent of cost provision.

In order to further alleviate the drought situation where 1954 funds were not adequate, authority was given to open the 1955 program in the late sum­mer and fall of 1954 with the . use of funds allocated for the 1955 program.

On January 27 and ·28 a conference was held here in Washington, attended by one representative from each of the drought States. In most cases, prior to January 27, representatives of the Federal agencies had conferred at the State level in order to enable their con­feree to reflect the thinking of all agencies.

Several times during the conference here the statement was made to the effect that the emergency drought meas­ures carr.ied out in 1954 under the agri­cultural conservation program were most helpful and no doubt more pro­ductive of lasting good than any of the other emergency measures.

The statement has been made that the present emergency feed program is inadequate in that farmers, particularly the small farmers, cannot obtain suffi­cient relief.

The present emergency feed program was designed to utilize the regular chan­nels of trade to the maximum extent practicable. Aside from the general policy that private channels of trade should be used insofar as practicable, there were other compelling reasons· for utilizing the type of program. It was clearly the intent of Congress that feed grains should be placed in the farmers' bands as rapidly as possible. This type of program was designed to take advan­tage of the feed grains in dealers hands and elsewhere in the pipeline so that farmers could obtain feed without any delay.

It is probable that at least a month's time was saved on the average as-com­pared to delivering feed direct to farm­ers from CCC stocks. It was also real­ized that to furnish feed grains to farm­ers in designated areas gratis would tend to greatly disturb the national price structures by offering incentives to ob­tain feed in large enough quantities to permit resale at a profit. It was felt that' the subsidy rate when coupled with the provisions for . credit and the pro­visions of the hay program would make it possible for farmers, both large and small, to retain their basic herds.

It has been suggested that the Depart­ment should furnish CCC stocks of feed grains or seed direct to farmers for the purpose of planting pastures. This type of program was also considered but the same· delays could be expected in placing the feed grains and seed stocks ·in farm­ers hands as outlined above. Further­more, to furnish these direct to farmers would be putting the Government in direct competition with the long-estab­lished channels of trade.

Large supplies of hairy vetch have been held by CCC and a stock of 26 mil­lion pounds remains in inventory .. · These seeds have been and are, at the present time, offered for sale at $12.65 per hun­dred · pounds. CCC sold · several million pounds of hairy vetch in !all .of 1954 at

19-55 CONGRESSIONAL RECORD-· HOUSE 2359 the above price, which is .the market price in wholesale carlots.

The crimson clover seed held by CCC was mostly acquired from the 1953 crop -in February and March of 1954. This seed was sold by CCC at prices that re­turned to CCC its total cost in the seed and this action kept the price of the seed to the consuming farmer much lower than would have been the case had CCC not owned the seed.

The alfalfa seed owned by CCC amounted to 37 million in January 1954. This seed had been offered at $37.50 and

· $43, which is more than CCC costs for nearly ·a year with few sales. It was reduced $35 and $40, which is the sup­port price at which it was acquired. These prices are market prices for car­lots in producing areas as is evidenced by the fact that CCC has at present 7,700,000 pounds and sales are not active.

Mr. Speaker, I believe you will agree with me that Congress has wisely pro­vided ways to alleviate a serious drought situation that has extended all the way · from the Rocky Mountains to the Atlan­tic Ocean. It is my belief and I think

will be concurred in by most Members of Congress, that the hardships of drought have been very grave and that they con­tinue to be a threat to a great many com­munities throughout the Nation. It may be that additional legislation will be re-

. quired. . However up to the present I think you and Members of Congress from .these States will agree that the drought relief program as authorized by Con­gress and administered by the Depart­ment of Agriculture has been of un­told help in relieving a most distressing situation.

United States Department of Agriculture dro'ught p1·ogmm (fiscal year 1955) 1-Loans, feed, and hay programs, and wind erosion coitt1·ol (July 1, 1961,., th1·ough F eb . .!,., 1955)

Loans Feed and hay assistance Allocations 1------"'T-------,-------1---------------.-----.---ItoStatesfor

.. Production disaster Economic disaster

Commit­Special livestock I------.------:-D-ea-le_r_s_ce-r-ti-fi-ca-t-es-

1 ~J~~~~~ Purchase issued to States

Emergency feed program 2

Num­ber of coun-

emergency wind ero­

sion control

orders Hundred- under hay 1---,-----1----,.-----1----:-----1 issued to weight of 1----,-----1 distribu-

farmers feed Num- tion agree-ties

measurrs 1mder tho 1954 agri­cultural

conserva­tion pro­gram •

States designated under Public Law 875:

Alabama __ _ --- ______ ----- ______ Arkansas __ __ -- _____ ---_ -- ___ ---Colorado ___ ------ -_- ----- ------Georgia _________________________

I<ansas __ --- -------- - --- --- -----Louisiana _- ------- --- ---- -- ----Mississippi_ ___________ ___ ____ __

MissourL ----------------------Nevada __ --- -------- ---- -------New Mexico ____________________ 1 orth Carolina _________________ Oklahoma _______ ______ __ --- ____ South Carolina ____ _______ _____ _ 'l'ennessee __________ -- ____ _ --- __ 'l'exas ____ ----------------------Utah _______ ____ _______ __ ___ ____

~~~i~i~-g~:======== =-=========== Other States---------- --- ---------- -

TotaL ____ --------------------

Num­ber

581 244 209 753 66

197 517 477

3 72

702 110

2,184 105

2, 445 ---- --

12 23

387

9, 087

Amount

$562, 510 293,985 395,350

1, 532, 580 64, 265

192,835 586,050 518, 490

6, 525 122,405 573,490 103, 610

1, 906,780 67,030

4, 476,222 ---- --------

29,700 32,355

987, 266

12,451,448

Num­ber

23 1, 119

28 --------

380 299 687

1, 023 --------

118 1, 129 - 707

1 253

4, 759 --------

38 I

. 17~

10,740

Amount

$38,425 1, 442, 430

66,080 - -----------

614,015 292, 910 821,335 944,295 __ .. _________ 289,370

1, 456, 251 881,351

160 161, 760

9, 506,546 ------------

30.595 2, 500

569, 105

17, 117, 128

Num­ber

15 118 168 10 76 2

263 9

175 1

146 1

10 492 16

5 23

134

1, 664

Amount her Amount ments 3

$44,085 21, 356 1. 398,699 3, 958 $972,330 $500,000 58 ------------103, 365 134, 541 4, 099,431 10,233 2, 770,369 500,000 69 --------- -- -1, 566, 285 10,848 1, 210, 256 1, 875 654, 125 500,000 24 $2,900,000 34,815 15, 533 1, 509, 654 3, 086 929,504 500,000 124 ---- ----- ---814,265 26,338 2, 204,072 4, 030 '1, 442, 187 500,000 43 4, 100,000

750 13, 217 504,089 1, 324 262,444 500,000 28 -------------- --- -- --- -- 31,812 1, 540, 317 3, 787 862, 678 500,000 58 ------------382,950 121, 713 3, 889, 597 9, 400 2, 643,444 500,000 82 ------------252, 735 587 151,874 145 95,570 500,000 14 ------------1, 669,655 4,885 795, 101 914 497, 360 500, 000 19 1, 600,000

I, 600 10, 177 354,359 883 195,385 500,000 39 ---------- --1, 062,585 186,990 6, rm,364 16, 196 4, 166, 641 500,000 77 550, 000 3, 000 13, 421 723,766 2, 033 505,307 500,000 46 --- ---------8, 800 42,210 2, 334, 166 4, 725 1, 461, 497 500,000 90 --------- ---4, 082, 471 176,824 9, 080,242 19,463 5, 665,833 1, 000,000 127 4, 000,000

406,526 781 135,323 110 _75, 280 -· ---------- 9 --- ---------40,400 2, 700 166, 799 167 44, 667 500,000 33 ------------371,640 7, 054 1, 350,239 1, 589 732, 743 500,000 19 ------------1, 574, 195 ---------- ------------ --- ---- - ------------ ----------- - -------- ___________ ..,.

12, 420, 122 820,987 38, 125,348 83, 918 23,977,364 9, 000,000 959 13, 150, 000

1 '.rhis report covers the States in which counties are currently designated as drought disaster areas for emergency feed and hay assistance. A separate report is available, as of June 30, 1954, covering activities under the drought program in the fiscal year 1954.

rnodity 9redit Corporation purs?ant to sec. 301 of Agricultural Trade Development an~ Ass1stance Act of 19:54 (Public Law 480, 83d Cong.); the administrative costs arc berng borne under Public Law 175 funds.

a Charged to the balance of $15,257,747 of the $50 million appropriated to carry out sec. 2 (d) of Public L~w 38, as amended by Public Law 115, 83d Cong . 2 This reflects activity under the 1954 feed program. In addition, there were obli­

.,.ations of $79,500 for Colorado and $491 ,500 for New Mexico incurred in the fiscal year I955 under the 1953 feed program which was terminated in these 2 States as of July 15, 1954. · The cost of the subsidies under the 1954 program is being borne by Com-

4 Represents allocatwns made from the $1.5 million provided by the Third Supple· mental Appropria tion Act, 1954. An allocation of $180,000 from these funds was also made to N cbraska. . _

The Alabama Coosa River Basin

EXTENSION OF REMARKS OF

HON. KENNETH A. ROBERTS OF ALABAMA

IN THE HOUSE OF REPRESENTATIVES

~ednesday, ~arch 2, 1955 Mr. ROBERTS. Mr. Speaker, during

the 83d Congress legislation was author­ized to permit the building of five hydro­electric dams on the Coosa-Alabama Rivers system, and it has long been evi­dent that a 9-foot ~hannel should be constructed from Rome, Ga., to Mobile, Ala. · This improvement is in great de­mand and should be done at the time the dams are being constructed, by providing for locks on the dams and by dredging these rivers while the hydroelectric dams are being constructed. This would result in great savings to the Federal Government. In order for this work to proceed in an orderly, ec-onomical, and efficient way, a new survey of the river should be made by the Corps of Engi­neers, and I am especially grateful that

a public meeting has been called under the sponsorship of Mayor W. A. Gayle, of the city of Montgomery, the chamber of commerce of the capital city, and the Coosa River Improvement Association.

On Saturday, March 5, 1955, public officials, businessmen, industrial leaders, and others of the cities and towns which will be affected by this improvement will meet in the city of Montgomery for the purpose of organizing a movement to begin work on this important develop­ment. An outstanding engineer, Lieu­tenant General Pick, United States Army <retired>, will address the group at its luncheon meeting.

I have prepared a statement on this important development which gives the background and history of the improve­ments that have been made, and of the efforts that have been put forth in the past to bring about the realization of this highly important development. The statement is as follows:

THE ALABAMA-COOSA RIVER BASIN

THE RIVER

The Alabama-Coosa River is one of the prlnclp,al rivers of the Southeast extending from tJ:le Blue Ridge Mountains of northwest

Georgia and southeast Tennessee southwest­erly across the Piedmont Plateau to the low­lands of the gulf coastal plain in Alabama. and draining an area of 22,800 square miles.

The river basin has all the natural and climatic resources essential for economic progress. It has a moderate climate with an abundant but well distributed rainfall. It has fertile soil. It has many of the basic raw materials within its soil, so essential for future industrial progress. The human resource-an adequate supply of labor-is also available for industrial progress.

The potential hydroelectric development of the river basin is great. At the present time, there is an installed capacity of 564,-000 kilowatts of hydropower in the 6 plants owned by the Alabama Power Co. together with the Allatoona plant built by the Corps of Engineers. This past session of Congress (83d) Public Law 436 was enacted whi<;:h will permit the Alabama Power Co. to con­struct an additional 5 dams on the Coosa River and which is expe<:ted will add 360,000 kilowatts to the Alabama Power Co.'s ca­pacity; these dams are to be constructed within 10 years from the date of the com­mencement of construction of the first dam.

At the present there are frequent fioods in the river basin and though they are not severe, they cannot help but retard the eco­nomic growth of the basin. About 526,000 of the .acres are subject to overflow which

2360 CONGRESSIONAL RECORD-· HOUSE March 2 could be avoided by the construction -of cer­tain flood "projects in connection with the development of the dredging of the river and the construction of the proposed dams and hydroelectric plants.

HISTORY

The development of the Coosa River has been the subject of study by the Corps of Engineers for the past 80 years. The Corps of Engineers of the .Arnly first began investi­gating and reporting on the practicability of i_mproving the Coosa River for navigation in 1870. The Corps of Engineers made a study of the Alabama River in 1875. The first im­provement was a series of locks and dams in the Coosa River to enable sh&llow-draft navi­gation to reach Rome, Ga. The first really significant step toward overall basin develop­ment in the Alabama-Coosa River system was the 308 report made in 1934. This re­port recommended a system of locks and dams on the Alabama River and on the Coosa River above the existing power dams, and locks in the power dams. It also recom­mended a 9-foot deep channel for navigation upstream to Rome, Ga., 650 miles above Mo­bile, and additional power.

The feasibility of several dams for power on the tributaries was also investigated. A system of levees was built at Rome to con­trol floods, and another flood-control project has been built at Prattville, Ala. Great prog­ress was made when the Allatoona Dam and Reservoir was built on the Etowah River, 48 miles above Rome.

In 1941 the Corps of Engineers submitted a. report recommending the adoption of a comprehensive program of development of the basin's water resources in accordance with plans being prepared by the Chief of Engineers with such modiE.cations thereon from time to time as seemed advisable. This was adopted by Congress and approved by the President in 1945 and is the present au­thorization for the Corps of Engineers' program. · The 83d Congress enacted Public Law 436 to permit the Alabama Power Co. to con­struct five dams along the river.

OUTLINE OF LEGISLATIVE ACTION

The Corps of Engineers 308 report was made in 193.4. It presented a long-range plan for development of the river. (H. Doc. No. 66, 74th Cong.)

House Document No. 414, 7"1th Congress recommended a comprehensive project in­cluding a deeper channel for navigation.

Hearings held on Alabama-Coosa River in the 77th Congress before the House Commit­tee on Rivers and Harbors. (November 5 and 6, 1941.}

Hearings held in 78th Congress: 1. Before House Committee on Rivers and

Harbors, October 19-20, 1943. 2. Before Senate Committee on Commerce,

April and May 1944. (Held on H. R. 3961.) The Rivers and Harbors Act of 1945: It au­

thorized appropriations for the implementa­tion of the plans as set forth in House Document No. 414, 77th Congress.

Public Law 436, 83d Congress authorized the Alabama Power Co. to build a series of dams on the river.

THE FUTURE OF ALABAMA LIES IN THE DE.VELOP•

MENT OF THE ALABAMA-COOSA RIVER

One of the firmest cornerstones of Ala­bama's future lies in the development of the great resources of the Alabama-Coosa River Basin. This promising future can be at­tained only by the eventual development of the Alabama and Coosa Rivers and the long hoped for and dreamed of 9-foot deep-water channel from Rome, Ga., to Mobile.

The fulfillment of the dreams Alabamians have had for this magnificent river basin for these many years would provide a significant contribution to the defense bulwark of our Nation-allowing for the fast, safe, yet in­expensive movement of vital defense ele­ments such as petroleum, chemicals, pulp,

ore, and building materials; it would provide economic advantages to the industries al­ready in the area. through lowering their operating costs; and it would attract new commerce and industries to develop the abundant natural resources within the river basin.

The present shallow depths of the Alabama River generally limit commerce to small movements of gravel, sand, logs, and pulp­wood. The Alabama and Coosa Rivers must be channeled because of the advantages which will accrue to Alabama and its people, the Nation, and its citizens.

RESOURCES OF THE RIVER BASIN

Industry Textiles: Cotton processing is important;

silk and rayon knitting are prominent. There are approximately 130 textile mil!s employing about 43,000 workers.

Steel and iron: There are steel and iron mills in the river basin towns of Gadsden, Anniston, and Rome which use coal and iron ore mined in the surrounding area. This. industry employs about 10,000 men in 33 plants.

The vast Cahaba coalfield of St. Clair, Bibb, and Tuscaloosa Counties which produce great amounts of coal would be made avail­able if the coal had the advap.tage of reduced transportation rates afforded by river trans­portation. The same situation would be true of the great Warrior coalfield lying in the counties of Walker, Blount, Cullman, Winston, Marion, Fayette, and Tuscaloosa.

The steel mills would use Venezuelan iron ore and ore from other foreign countries coming into Alabama through the port of" Mobile, thereby giving the counties served by the Alabama-Coosa, an equal and fair chance with the counties served by the Tom­bigbee and. Warrior system which is now being made navigable·.

Paper: Paper manufacture consumes vas.t quantities of water, involves a difficult waste problem, and requires low-cost, dependable, bulk transportation to and from the mill. The waters of the Coosa River plus the near­by supply of pulp has. aided in the success of the Coosa River Newsprint Co.

Chemical: In the river basin there are ap­proximately 64 establishments engaged in the manufacture of chemical products, in­cluding fertilizer plants, the Childersburg powder works, and cottonseed-oil mills.

General: There are about 70 concerns of the glass, clay, and stone group of industry which are engaged in the manufacture of cut stone, marble, building brick, and tile.

Agriculture The abundant rainfall and fertile soil

make farming desirable in this area. About 40 percent of the population is engaged in agricultural pursuits. Cotton, corn, pea­nuts, potatoes, velvet beans, and cattle rais­ing are t;he most important.

Mineral resources The Alabama-Coosa River Basin acreage

contains many valuable minerals; bauxite, Selma chalk (for cement), clays, coal, ar­senic ores, fluxing materials, fuller's earth, gold, lead graphite, granite, marble, slate, mica, ochre, lime, manganese ore, iron ore (both brown and gray). gravel, sand, silica sand, and asbestos.

At the present time because of the high transportation costs,. only clay, coal, marble, lime, iron, gravel, and sand are being pro­duced. Decreased water transportation costs would undoub.tedly make it more profitable to mine bauxite, cem.ent, coal, iron ore, flux­ing materials, fuller's earth, graphite, and manganese.

Human resources There is an adequate labor supply in the

river basin-much of it due to the influx· of war workers, many of whom stayed on. The number of workers has also increased due to

the movem~nt o~ new industries into the area.

It is interesting to note that populations demonstrate a tendency to follow water. In northern New York State where water trans­portation on t .he New York State barge­canal system parallels the railroad, the popu­lation is 5Y:z times greater than the popula­tion in southern New York which has only railway service. Almost three-fourths of the 100 largest American cities are either sea, Great Lakes, or river ports with rail connec­tions. Ta.ke the ease of Houston, Tex., 50 miles from deep water in the Gulf of Mexico. In 1910 Houston's population was 78,000. Today it is 600,000. The city is next to the largest port in the Nation, second only to New York, and this is due to the dredged ship channel from the gulf to Houston. THE ADVANTAGES OF WATER TRANSPORTATION

In recent years, freight business on the Nation's waterways has been increasing be­tween 10 to 15 percent a year; in 1953 the waterways, excluding Great Lakes, trans­ported 6 percent of the total ton-mileage. Traffic on the inland waterways has nearly tripled since 1946. Over the past 20 years, ton-miles have increased on the inland waterways at the average rate of 3.25 billion a year. On the Mississippi, traffic rose from 36 million tons in 1942 to 80 million tons in 1953.

The greatest advantage _water freight has over other methods of transportation is cost. The average cost of railroad equipment to move 15,000 tons of freight would be $3,220,-551. The average cost of equipment to move 15,000 tons of freight on the inland water­ways would be $93'0,000. In the 22-year pe­riod ending June 30, 1948, the transportation savings on the 15 largest and most active waterways, as computed by the Army engi­neers, totaled over 2.5 billion dollars.

As another example, take the shipment o! a ton of wheat from Minneapolis to Knox­ville. By rail it costs $17.69 but by water costs only $&.55.

This is why new industries moving south every day would prefer to settle along the banks of a river where it can take advantage of the low costs of water transportation rates. In the first 3 months of 1954, 85 waterside development project~-all costing over $100,-000 and some well into the millions-were announced. Within the la.st 2 years over $3 billion in new plant investments has been made along the banks of the Ohio River and its tributaries.

In 1952 the midcontinent of the United States surpassed the industrial East as a producing area-and why? Because indus­tries have been leavin~ the East and settling along the inland waterways. It should be remembered that the railroads serving the river-port cities have also be~efited by thou­sands of additional car loadings from indus­try and by greatly increased movement of in- and out-bound consm•1er goods and passengers. ALABAMA' S FUTURE LIES IN THE DEVELOPMENT

OF THE ALABAMA-COOSA RIVER

Full development of the Alabama-Coosa River would bring the river-basin area ade­quate hydroelectric power for industrial pur­poses; employment for its people; cheap water-rate transportation; freedom from floods; and would provide wonderful recre­ational areas for its people to enjoy. The river and its basin possess all the natural resources of people, water, and minerals, and all it needs is the direction of man in order that this a:rea can make a significant contri­bution to the national defense and general economic progress of the State of Alabama and the entire Nation. Every dollar spent will bring more than its own value in return. It is estimated that the river and harbor and flood-control program accomplished to date by the Corps of Engineers has returned to the Nation more than $2 in value for every dollar e.xpended.

1955 CONGRESSIONAL RECORD -HOUSE 236l I would like to urge that the State .of Ala­

bama and the Federal Government jointly pursue the full development of the Alabama­Coosa River, including a 9-foot channel from Rome, Ga., to Mobile, Ala. Such an under­t aking would be beneficial not only to the immediate people and industries within the river basin but to Georgia, Alabama, and to the Nation.

I would like to encourage the State of Alabama and the Federal Government to undertake this project at the same time that the Alabama Power Co. is building five dams a long the river in order that the work might be coincided and accomplished with the least amount of cost. Perhaps the State could assume the responsibility for build· ing the docks in the various ports under the already established State Waterways Com­mission. The cities could also participate in the construction of such docks and ware­houses. The counties and State jointly cou ld contribute to the building of access roads to service the ports. The Federal Government would dredge the river and build the channel, and work on the flood-control installations.

Alabama should no longer ignore the bounty of this magnificent river system. Alabama must act now.

Girl Scouts of America

EXTENSION OF REMARKS OF

HON. E. Y. BERRY OF SOUTH DAKOTA

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. BERRY. Mr. Speaker, under leave to extend my remarks I include in the RECORD a statement about the Girl Scouts of the United States of Amer­ica. I know that all Members of the Congress are familiar with the fine work that is being accomplished by the Girl Scout organization. However, I feel it is appropriate that we give special rec­ognition to this worthwhile group and take note of some very interesting facts about the Girl Scouts.

During the week of March 6 to 12 the Nation will observe Girl Scout Week. As the organization of the Girl Scouts of the United States of America begin their 43d year, there are 2,350,000 girls and adults registered as members of the organization. In my own State of South Dakota there are well over 6,000 Girl Scouters.

South Dakota is known as the Land of Infinite Variety, because we are blessed with a variety of terrain and activities that are ideal for outdoor en­thusiasts. Anne L. New, director of pub­lic information for national headquar­ters of the Girl Scouts, informs me that the State and National parks in South Dakota will no doubt be visited by many Girl Scouts during the coming camping season. I know that all of the other States will also experience considerable activity by the Girl Scouts as they de­velop resourcefulness through camping and outdoor living.

I like the Girl Scout theme for 1955, which is "Believe, Belong, Build."

Girl Scouts believe by knowing their country's history and traditions, by con­stantly renewing their promise to God

and their country, by adhering to the Girl Scout laws, which emphasize the spiritual foundations underlying our society.

Girl Scouts belong by entering into scouting's free association of girls and adults, by learning through actual ex­perience to accept people on the basis of their essential worth, by enjoying the personal satisfactions of belonging to a group with worthy objectives and a con­structive program of learning by doing.

Girl Scouts build as each girl in scout­ing develops her own best capacities under the guidance of trained and de­voted adults, as she explores her commu­nity and its resources and contributes to community welfare in line with her growing experience and ability, as she learns the duties and responsibilities of citizenship and strives to achieve the Girl Scout goal of becoming a happy, re­sourceful individual who is willing to share her abilities as a citizen in her home, her community, her country, and the world.

Some 10 million women have enjoyed Girl Scout experiences and certainly the training they have received through the organization has helped them to be bet­ter citizens. The Girl Scout organiza­tion is helping to build a strong America, and it is fitting that this Congress give the Girl Scouts recognition and support.

Hoover Commission Latest Report a Blow to Many Existing Veterans' Laws

EXTENSION OF REMARKS OF

HON. JOE L. EVINS OF TENNESSEE

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. EVINS. Mr. Speaker, the new Hoover Commission report to the Con­gress on personnel and civil service, in effect, is a repeat of the job and the recommendations made some 4 years ago by the original Hoover Commission.

Certainly the position taken in this new report is a repeat performance so far as the basic rights of veterans are concerned, inasmuch as the recommen­dations propose a further whittling away of the vital veterans' preference rights under existing law.

Foremost among the recommenda­tions again put before the Congress, is the abandonment of the rule of three, the means by which initial selection for jobs in the Federal service has tradi­tionally been made. The substitute of­fered would be a rule of five, which plainly means there will be no veterans' preference of any consequence----a sys­tem of select any and pass over others. A further recommendation is made for the elimination of the numerical rating and the present register system-the substitute offered being some loose device called the category system.

The Hoover Commission would also limit veterans' special appeal rights and otherwise whittle away at the statutes.

The recommendations in this regard should again be defeated. In this con­nection, Mr. Speaker, I desire to have inserted in the RECORD, along with my remarks, an editorial entitled "Hoover Commission Latest Report a Blow to Many Existing Veterans' Laws," which appears in the current issue of the National Tribune-The Stars and Stripes, a publication of the veterans of the United States.

The article is as follows: HOOVER COMMISSION LATEST REPORT BLOW AT

MANY EXISTING VETERAN LAWS-CALLS FOR REDUCTION IN COMPENSATION FOR SOME

SERVICE-CONNECTED CASES-WOULD DENY HOSPITALIZATION TO NONSERVICE GROUP AND ASKS FOR PROMISSORY NOTES FOR CARE IN CERTAIN CASES-HOSPITAL PROGRAM CUT

The Hoover Commission last Sunday night released its special study on the vastness of Federal health and medical services, and recommended radical surgery of such services.

The Commission's economy knife was di­rected chiefly against medical services of the Veterans' Administration, but other medical programs such as those of the Armed Forces, Public Health Service, and other Federal arms also would be overhauled and cur­tailed.

The report, which deviated considerably on some major points from the recommenda­tions of the Commission's medical task force which spearheaded the study, recom­mended:

That VA hospitalization and other medi­cal services be confined only to service-con­nected ailments, and to those veterans with nonservice-associated ills who are truly in­digent-and are proved to be so needy they can't go elsewhere.

That even needy veterans with non-serv­ice-associated illnesses be required to sign some non-interest-bearing promissory note, obligating them to pay for their hospitaliza­tion or other medical care at a future date should their financial state improve.

That the whole VA system of disability pension ratings for service-connected in­firmities be made more realistic to the effect of such disabilities on earning capacity. (The Commission cited, as example, that present VA practice allows 30 percent dis­ability, with pension of a minimum of $50 a month, for amputation of a great toe in service-connected cases.)

That there be more cross-servicing be­tween the military hospitals to better fill some hospitals and eliminate others now only partially filled. Thus, sailors would be admitted to Army hospitals; soldiers might go to Air Force hospitals and, in general, admissions would be made for convenience rather than according to the kind of uni­form the patient wears.

That merchant seamen patients be no longer eligible for care at public · expense. These seamen are now cared for at 12 Public Health Service hospitals at a cost estimated by the Commission's medical task force at about $12 million a year.

That all plans to build any more VA gen• eral hospitals. excepting those actually under construction or contracted for construction, be withdrawn. This would forever kill the hopes of those fighting for a new VA hospi­tal for the Washington area.

To effect many of its major recommenda­tions, the Commission urged creation of a Federal Health Advisory Council to coordi· nate Government medical policies and over­see systematic cross servicings among the 66 administrative units now having medical functions.

The Commission also asked the Govern­ment to develop a voluntary, contributory system of medical and hospital insurance

2362 CONGRESSIONAl RECORD- HOUSE March 2

for its civilian employees, rather than pro­vide the medical services and hospitaliza­tions in Government institutions.

The report complained that Federal agen­cies have assumed more and more responsi­bilities for complete or partial health and hospital care until they now service some 30 million Americans. The cost of such serv­icings, the report noted, now exceeds $4 billion, including $2,030,000,000 for disabil­ity allowances under "a cumbersome system which breeds inefficiency and huge waste.••

Unless something is done, these costs and coverages will increase, it was stated in the Commission's report.

The medical report is the latest of a series the Commission is making on Government reorganization. An earlier medical task force for the first Commission on Organization of the Executive Branch of the Government made similaJ;" findings, in March 1949, on "enormous and expanding Federal medical activities, devoid of any central plan."

The report similarly complained that in addition to the wastage, the Federal medi­cal services also drain off physicians and dentists from private practice. In 1954, the newest medical task force estimated, more than 6 percent of the active medical per­sonnel in this country was employed by the Government.

The Commission's report is scheduled to be presented to Congress this week and since it touches on so many controversial points it is certain to meet many objections from legislators.

One, Representative CHET HoLIFIELD, o! California, a nonveteran, who also is a mem­ber of the Commission, filed the sole Com­mission dissent, which accompanied release of the report and recommendations.

Congressman HOLIFIELD called the report recommendations "wholly unrealistic," and said he was opposed to curtailment of any hospital and medical facilities "in the face of impending civilian defense needs."

The Commission's report differed radically from that of its own task force in the recom­mendations for medical care of veterans with non-service-connected ailments. In effect, the Commission recommended a form of "means test" of financial ability to pay. These veterans, in non-service-connected ill­nesses, who could pay for part or all of VA hospitalization costs, would have to do so. Others would have to sign obligations for future payments, if they could afford this re­payment in the future.

The task force, however, had recommended a form of GI bill of health rights which would offer veterans free care for even non­service-connected illS' occurring within 3 years after separation from the service. After that, except for service-associated ailments, veterans would be on their own.

As now practiced, the Commission said, veterans with non-serviee-connected disabil­ities can get VA care only if beds in VA hospitals are available, and only if they sign a statement of inability to pay for such care. However, the Commission pointed out, the Veterans' Administration is prohibited by law from challenging s-uch can't-pay state­ments.

On the task force's 3-year Iimit on VA hos­pitalization rights, the Commission said it believes that ''the sentiment of American people is that a sick and really indigent vet­eran should be provided care in a Veterans' Administration hospital." Btlt it recom­mended that the can't-pay statement should be verified by VA investigators, and that VA be authorized to collect wherever such stat e­ments are not substantiated.

"It is difficult to believe," the Commission said in its report, "that an of the approxi­m ately 369,000 such veterans given care last year were actually unable to pay for at least part of their hospital and in-patient medical care:•

Eisenhower's So-Called Power Partnership R~verses Half a Century of Public Power Policy

EXTENSION OF REMARKS OF

HON. CLAIR ENGLE OF CALIFORNIA

IN THE E:OUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. ENGLE. Mr. Speaker, the princi­ple of low-cost public power with prefer­ence to municipalities and other public agencies has been stated at least 13 times in acts of Congress dating from 1906. In other words, for almost 50 years the Fed­eral Government has consistently fol­lowed a policy of selling publicly pro­duced power at the lowest possible rates, giving preference to municipalities and public agencies. Furthermore, that has been the policy of the executive agencies in the generation and sale of electric energy during all of that time, including the present administration up to and in­cluding the issuance of the power state­ment made by the Department of the Interior with the approval of the Presi­dent in August of 1953.

The adoption of the so-called power partnership program therefore is a Ie­versal of almost half a century of power policy in the Federal Government. It is a complete reversal of the low-cost power principle and a complete abandon­ment of the preference to municipalities and other public agencies. If this new policy is adopted and put into effect, there will be no more low-cost public power, and public agencies will no longer be able to secure such power on a pref­erence basis, or at all.

The reversal of this historic policy in the Federal Government will have the effect of turning over for the exclusive benefit and profit of the private power monopoly the major yet-to-be-developed hydroelectric resources of the Nation. The huge investments of the Federal taxpayers in these great projects will be in a large measure handed over for the profitable use of the private utilities.

It gives the private utilities the benefit of the Government's low interest rate on the storage features of the~e projects used for power-no doubt the power companies would be glad to have the Federal Government build the storage features on all their projects on the same basis.

This would enrich the treasuries of the private utilities but it wm leave the general public without the benefit of a low-cost power supply. The private power monopolies, operating with what amounts to a guaranteed profit on their investment, will be able to charge the power consumers whatever price they choose to fix or can wangle from the various State agencies established for the purpose of regulating power rates. In my opinion, this is exactly the oppo­site direction to which the American people want to go.

CVP PROJECT CITED

An example of how this policy will operate can be readily seen by asking

what would have happened if such a power-partnership principle had been applied in the construction of the Cen­tral Valley project. Under those circum­stances, the p:rivate power company would have built the powerhouses at Shasta. and Keswick, paid the Federal Government a price for storing the water in Shasta Dam, and then distributed and sold the power at its established com­mercial rate throughout its service area in California. There would have been no low-cost Government public power for the farmers in the irrigation districts in California, or for the Federal installa­tions and the municipalities using that power at the present time. There would have been no low-cost public power in the market with which to compare the rates of the private utility, thus forcing a more favorable contract as has been done for the city of Redding. There would be no power to operate the pumps at the delta to lift the water of the Cen­tral Valiey project to the San Joaquin Valley, unless the Federal Government turned around and bought some of its own power back from the private utility for that purpose, presumably at a much higher rate than is presently being charged the farmers of the San Joaquin Valley for the use of power. The reve­nues from power which presently are used to subsidize the irrigation develop­ment in the San Joaquin Valley would be nonexistent. In short, the Central Valley project would never have been built and today would not be serving the needs and growth of the State of California.

Even a more dramatic example is the possible application of this principle on the power development on the Columbia River. Great industrial development has followed the low-cost available power in the Northwest; however, had private power companies taken over the development of these powerhouses, the cash receipts they paid to the Federal Government for storing the water would be returned to the United states Treas­ury and the power would have been sold on the market at the going commercial rate. The great aluminum plants that contributed so much during the Second World War would not have grown up around that kind of a power marl{et.

PUBLIC POWER AN ASSET

There is little real distinction between the taxpayers and the power consumers of an area. Everybody who tums on a light pays taxes in one form or another, and everybody who turns on a light pays a light biii. Low-cost public power pro­duced in this area is a rebate on taxes to every consumer who turns on a light. If that public power is turned over to a private utility, the light consumer pays the commercial rate and the private power company puts the profit in its pocket. Low-cost power is an asset in every area in which it is produced and distributed. History has shown that the volume of use of electricity and in­dustrial growth rises in proportion to the reduction in power rates. That has been true not only in the Northwest, but in the TV A area. Turning the power­houses on the proposed Trinity River project over to the P. 0. & E. Co. is an

1955. CONGRESSIONAL RECORD- HOUSE 2363 assessment against every man who uses an electric light or electric power in his business in this whole area.

While belaboring the partnership idea at home, and calling on the local people to build their own projects, no such philosophy is being advocated or put in effect overseas. We are commit­ted to spend nearly $2 billion-1.7 billion-for irrigation and power de­velopments in foreign lands. This com­pares with roughly two and one-half billion-$2.4-spent in over a half cen­tury in this country. Not one penny of this foreign expenditure will be repaid, principal or interest, while here at home repayment is becoming the main test for new projects. Why has our Gov­ernment agreed to give away nearly as much for irrigation and power develop­ment in 6 years of the Marshall plan as we spent in 50 years of reclamation here at home? Obviously because it is a good thing for the economies of those coun­tries we are trying to help. I am in favor of doing a little something for America too as we go along-and without a lot of argument about partnership, and how soon the project is going to pay back to the last penny.

PROGRAM INCONSISTENT

But the inconsistency in this admin­istration's clampdown on irrigation and power development does not end there. The projects under construction in Europe today with your money are all for power-nothing for irrigation-a million one hundred and fifty-five thous­and kilowatts-1,155,000 kilowatts. If anyone suggests that the Federal Gov­ernment here build a steam plant, a howl goes up to high heaven. But in Europe most of the power being built is steam power-900,000 kilowatts of it, only 255,000 in hydroelectric power. We have had knockdown and dragout fights over the Federal Government building transmission lines, but in our foreign aid program we build not only the trans­mission lines but the distribution systems as well.

Is this "creeping socialism" here at home, and something good and benefi­cial in foreign countries? The answer is no-it is good for those countries, and it would be good for us. But here we have a well-heeled power lobby that picks the pockets of the power consumers in order to poison their minds with false propaganda.

De Valera Approves Joint Talks Proposal

EXTENSION OF REMARKS OF

HON. JOHN E. FOGARTY . OF RHODE ISLAND ·

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. FOGARTY. Mr. Speaker, on yes­terday I was privileged to insert in the CONGRESSIONAL RECORD remarks concern­ing the proposal of Mr. Costello, Pre­mier of Ireland, to engage in mutual discussion of problems between the Re­public and the officials of the six-county

CI--149

government in Ireland. In the Febru .. ary 18 issue of the Irish Times appears an article giving the reaction of Mr. Eamon De Valera, former Premier of Ireland, to the proposal suggested by Mr. Costello. ·

The complete harmony of viewpoint of these two opposing leaders of the Irish Republic is indicative of the universal opinion held by the Irish people con­cerning the demand for the unification of their island country. Mr. De Valera shows a complete accord with Mr. Cos­tello regarding the desirability of mutual talks concerning the various problems, which must, of necessity, arise between the two areas of the country. He also pointed out the impossibility ·of any agreements being reached on the matter of mutual defense between Great Britain and Ireland, so long as partition con­tinued.

During the course of his address before an audience in Manchester, England, Mr. De Valera concisely set forth the diffi­culties underlying any conSideration of the question of mutual defense ·between Great Britain and Ireland. He also very forcefully pointed out that the principle by which those in the six counties de­manded separation from the rest of Ire­land, applies equally to the majority in Tyrone, Fermanagh, Derry city, South Down, and South Armagh, where that majority desired to be separated from the six counties and reunited with the Republic. If the principle is valid in justifying the cutting off of the six coun­ties from the rest of Ireland, then cer­tainly that same principle is equally valid in cutting off these additional areas from the six counties and returning them to the Republic of Ireland from which they were forcibly removed.

The resolution which I have presented to this House, House Resolution 32, would aid in bringing about the mutual discussions and amicable settlement of the border problem in Ireland. The urg­ing for such a solution, which favorable consideration of my resolution would provide, could well prove a determining factor in achieving an end to partition in Ireland.

The article reporting Mr. De Valera's reaction to Mr. Costello's proposal, as well as the article reporting on Mr. De Valera's speech in Manchester are being made a part of my remarks, because I feel that both articles are of genuine in­terest to the Members of the House. They are as follows: NORTH-SOUTH TALKS PROPOSAL ENDORSED BY

MR. DE VALERA

Mr. Eamon de Valera, T. D., said in Lon­don on Wednesday that a meeting between the Governments in Dublin and Belfast was an obvious step, which should be taken. But on the question of defense talks, he said that the Irish people could be relied on to take the necessary measures. There was no possibility of discussing this subject while the country remained divided.

Mr. de Valera said this is an interview with a representative of the Yorkshire Post. He was commenting on an interview with Mr. Costello published in that newspaper, and in the Irish Times yesterday, which quoted the Taoiseach's readiness to meet Lord Brookeborough, and on a leading article in the Yorkshire Post.

The report of the interview quotes Mr. de Valera: "I am particularly glad to see a

paper like the Yorkshire Post showing an interest in this question, which is of funda­mental importance," and goes on: He added that the attitude of Britain and of its pub­licists when the question of the partition of Ireland arose and was discussed, was: "Oh, it's a matter for the Irish themselves. If only the Irish would agree among them­selves."

"You seem to want to have it both ways," Mr. de Valera commented. "When there's a possibility of Irish agreement you say, 'We must have something to do with it.' If that's your attitude you must share the responsibility for the continuance of par­tition. Those of us who have been dealing with this matter over the past years feel that this shows a little of the old imperial approach. It is the wrong way.

"The way to get good relations between the two countries is to admit that the ques­tion of Irish policy is a matter for Ireland. There should be agreement on matters of common concern between the represen ta­tives of Ireland, on the one hand, and the representatives of Britain, on the other. That's the way to get a lasting result. When approached in that way you have the good­will of both peoples with you.''

"If there are aspects of the defense of the two countries that are of common con­cern, then the Irish people through their own parliament and in their own interests can be relied on to take the measures con­sidered necessary," he said. "There is no possibility even of discussing this while our country remains divided.

"Mr. Costello has indicated the willing­ness of his Government to be represented at such a meeting," he said. "The question now is, what is Lord Brookeborough's atti· tude?"

(Mr. de Valera was in London to attend the funeral yesterday of Mr. John Dulanty, the former Ambassador to Britain.)

REPUBLIC'S ATTITUDE

Mr. Eamon de Valera, T. D., addressing the Manchester branch of the Anti-Partition League in Manchester last night, said he was glad that important papers such as the Yorkshire Post; had shown themselves inter­ested in the question of partition and about what steps might be taken about the reuni­fication of the country. He recalled that Mr. Costello had expressed his willingness to meet the representatives of the six-county government-. What one wanted to know now was what would be Lord Brookebor­ough's attitude.

As far as the people of the 26 counties were concerned, their first objective must be to secure unity with the rest of the country. Until this objective was achieved, they could not regard national independence as having been attained.

The question at the moment was to secure independence, rather than confederation or how to preserve it. If independence was secured, then the people of all Ireland would have the same anxiety to preserve the na­tion's independence as other nations, and would naturally be ready to consider what steps they might take, in cooperation with other countries, to make their independence secure. An All-Ireland Parliament, com­pletely free, would be able to consider what steps it might take with Britain and other countries toward mutual defense. Defense policies could not usefully be discussed un­der existing circumstances. That was also the position largely during the last war. If there was to be any reconsideration of Ireland's attitude in a possible future war it could only be done by a united Ireland.

Mr. de Valera told his listeners that the Yorkshire Post had stated that certain Brit­ish interests were paramount, and that the claim of Britain to use Irish ports, etc., would have to be maintained. "Britain cannot have it both ways," he asserted. "If

2364 CONGRESSIONAL RECORD- I-IOUSE March 2

this attitltde is taken up, Britain must ac• cept her share of the responsibility for the continuation of partition, and cannot wash her hands of it. The claim put up by the Yorkshire Post cannot be admitted. It savors of the old imperialism which we experienced in the past."

Referring to the attitude of those in the six counties who wanted to remain sepa­rated from the rest of their fellow country· men, Mr. de Valera said that the principle on which they demanded · separation would equally apply to the majority of the people, of say, Tyrone, Fermanagh, Derry city, South Down and South Armagh, who desired to be separated from the Belfast Piuliament and to be attached to the 26 counties. At present the majority in those areas were being held against their will, and coerced to remain under a jurisdiction to which they would not willingly submit.

Prepare To Begin Work on Bea&·dstown' s New Seawall

EXTENSION OF REMARKS OF

HON. SID SIMPSON OF ILLINOIS

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. SIMPSON of Illinois. Mr. Speak. er, the Illinois State Journal, of Spring­field, Ill., under date of February 27, carried an article dated at Beardstown, Ill., February 26, to this effect, and I quote:

Prepare To Begin Work on Beardstown's New Seawall.

Beardstown, Mr. Speaker, is in Cass County, Ill., and in the 20th Illinois District. Representing that area, it was my privilege to introduce a bill for the original authorization for this work which is just starting as outlined in the Illinois State Journal.

Many years ago at the expense of the city of Beardstown and the State oi Illinois, a so-called seawalL was con­structed. It is my understanding that at that time, the engineers stated this wall was constructed 28 feet and would be high enough to hold back any flood water of the Illinois River that might come in the future. This did not prove to be correct. In 1943, when the Illinois River was at flood stage this same sea­wall had to be sandbagged to a height of over 32 feet. Even then, their situation was so precarious that older people and children were evacuated from the city.

Last year, the Civil Functions Sub­committee of the Appropriations Com­mittee included funds to start this proj­ect which is just now beginning to take shape. The budget this year has addi­tional funds recommended to be allotted for further construction. The total cost of this project, Mr. Speaker, is estimated at $3 million. This is to protect a city of over 6,000 people, factories, flour mills, railroad shops, churches, schools, and homes. It is justified in every way.

I simply wish to take a few moments before the Congress to personally thank the United States Army engineers in Washington, in Peoria, and in the Chi­cago office for their help and coopera­tion. I wish to thank the Civil Functions

Subcommittee for their fine cooperation as well as the full Appropriations Com­mittee. I wish to thank the entire mem­bership of the House for agreeing to the authorization and the first appropria­tion.

I am doing this, Mr. Speaker, knowing full well that the citizens of Beardstown agree with my statements here today in thanking the House in their behalf for what they have done.

PREPARE To BEGIN WORK ON BEARDSTOWN'S NEW SEAWALL

BEARDSTOWN, February 26.-Work of driv­ing the sheet piling, which is a preliminary to the beginning of construction of the new seawall here, will start Monday. Several men started unloading the several large loads of piling Wednesday and 10 men will be on hand Monday.

The Peoria Barge Terminal Co. has the subcontract for putting down the piling. The Myers Construction Co., which has es­tablished offices at Main and Jackson Streets, has the contract for building the $3 million wall.

Report of Presidential Committee Re· garding Supplies and Reserves of Coal, Oil, and Natural Gas for Defense and Peacetime Requirements

EXTENSION OF REMARKS OF

HON. JAMES E. VANZANDT OF PENNSYLVANIA

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. VANZANDT. Mr. Speaker, early in July 1954 a group of Congressmen representing the soft-coal fields in east­ern United States visited the White House and conferred with President Eisenhower regarding depressed condi­tions in the industry that were having adverse effects on the railroads and re­lated industries.

After our conference with President Eisenhower the Chief Executive ap­pointed an Advisory Committee on En­ergy Supplies and Resources Policy. The Director of the Office of Defense Mobilization, Arthur Flemming, was des­ignated as chairman with the heads of the following agencies serving as members; Departments of State, Treas­ury, Defense, Justice, the Interior, Com­merce, and Labor.

The White House directive respecting the committee's assignment included the following specific statements:

At the direction of the President the com­mittee will undertake a study to evaluate all factors pertaining to the continued devel­opment of energy supplies and resources fuels in the United States, with the aim of strengthening the national defense, provid­ing orderly industrial growth, and assuring supplies for our expanding national economy and for any future emergency.

The committee will review factors affect­ing the requirements and SUI;>plies of the major sources of energy including: coal (an­thracite, bituminous and lignite, as well as coke, coke tars, and synthetic liquid fuels). petroleum, and natural gas. ·

The committee has been aided greatly by an able and representative task force appointed pursuant to the President's

instructions. The committee's recom­mendations are set forth as follows: THE WHITE HOUSE REPORT ON ENERGY SUPPLIES

AND RESOURCES POLICIES INTRODUCTION

The importance of energy to a strong and growing economy is clear. As conditions of supplies and reserves of coal, oil, and natural gas change and as both defense and peace­time requirements come more clearly into focus, the bearing of Government policies upon energy needs reexamination.

What degree and kind of public regula­tion is appropriate to the present situation and future outlook? What trade policies for energy supplies will most effectively ex­press the overlapping national needs for adequate protectable supplies in case of war and for encouragement of economic growth of this country and friendly countries else­where in the world? What steps may be taken to improve the economic position of the coal industry, now seriously depressed, without penalizing competing industries, as a means of enhancing the ability of that in­dustry to contribute to the national defense? More particularly, should specific changes be made in tax, freight rate, research, Govern­ment purchasing, or other policies in the energy field?

These and other policy questions press for careful review and decision.

On July 30, 1954, the President established an Advisory Committee on Energy Supplies and Resources Policy. The Director of the Office of Defense Mobilization was designated as chairman and the heads of the following agencies served as members: Departments of State, Treasury, Defense, Justice, the In­terior, Commerce, and Labor.

The White House directive respecting the committee's assignment included the follow­ing specific . statements:

"At the direction of the President, the committee will undertake a study to evalu­ate all factors pertaining to the continued development of energy supplies and resources fuels in the United States, with the aim of strengthening the national defense, provid· ing orderly industrial growth, and assuring supplies for our expanding national economy and for any future emergency.

"The committee will review factors affect­ing the requirements and supplies of the major sources of energy including: coal (anthracite, bituminous, and lignite, as well as coke, coke tars, and synthetic liquid fuels); petroleum and natural gas."

The committee has been aided greatly by an able and representative task force ap­pointed pursuant to the President's instruc­tions. The committee's recommendations are set forth below.

RECOMMENDATIONS 1. Natural gas regulation

We believe the problem of natural gas regulation should be approached from the viewpoint of assuring adequate supplies and the discovery and development of additional reserves to support such supplies, in the in­terests of national defense, an expanding domestic economy, and reasonable prices to consumers.

To secure these objectives, it is essential to give due consideration to (1) the opera­tions known as the production of natural gas, (2) the transportation of gas in inter­state transmission lines, and (3) the distri­bution of gas in municipalities. Individual companies may engage in more than one of these activities. Each operation of such companies should be treated by like criteria according to its appropriate industry func­tion.

In the production of natural gas it is important that sound conservation prac­tices be continued. This area of conser­vation management is under the jurisdic­tion of State conservation commissioners. In the interest of a sound fuels policy and

1955 CONGRESSIONAL RECORD- HOUSE 2365 the protection of ·the national defense ·and consumer interests by assuring such a con­tinued explorl'!otion for and development of adequate reserves as to provide an adequate supply of natural gas, we believe the Federal Government should not control the produc­tion, gathering, processing, or sale of natural gas prior to its entry into an interstate transmission line.

The interstate transmission of natural gas by the interst.ate transmission lines and the subsequent sale of such gas for resale is a public utility function and should be under the regulation of the Federal Power Commission. In considering the certifica­tion of new lines and applications for in­creased rates based on new or renegotiated purchase contracts, the Commission should consider, in order to provide protection for the consumer, not only the assurance of sup­ply but also whether the contract prices of the natural gas which the applicant has contracted to buy are competitively arrived at and represent the reasonable market field price, giving due consideration, in the in­terest of competition, to the reasonableness and appropriateness of contract provisions as they relate to existing or future market field prices.

The several States or their political sub­divisions should continue to provide the pub­lic utility regulation of distributing com­panies in accordance with ~sual utility practices.

Thus the complete cycle of natural gas production, transmission and utilization will be appropriately regulated: the production and conservation of natural gas by the State conservation commissions; the interstate transmission of natural gas by the Federal Power Commission; and the distribution by the local public utility commissions. 2. Sales below cost by interstate pipeline

companies The basic principles regarding the regula­

tion of natural gas and the use of alternative energy resources should be as far as possible that of free choice by the consumer and free and fair competition among suppliers. This, it is confidently thought, will provide most effectively for the assurance and flexi­bility of energy supply, both for economic growth and strong security readiness. But sales either for resale or direct consumption below actual cost plus a fair proportion of fixed charges which drive out competing fuels constitute unfair competition and are inimi­cal to a sound fuels economy.

The committee recommends, therefore, that appropriate action be taken that will prohibit sales by interstate pipelines either for resale or for direct consumption, which drive out competing fuels because the charges are below actual cost plus a fair proportion of fixed charges. 3. Eminent domain for natural-gas stomge

The power of eminent domain for the ac­quisition of surface and mineral rights for the development of underground storage res­ervoirs should be granted subject to appro­priate safeguards to protect the public safety, including the mining industry.

4. Crude oil imports and residual fuel oil imports

An expanding domestic oil industry, plus a healthy oil industry in friendly countries which help to supply the United States market, constitute basically important ele­ments in the kind of industrial strength which contributes most to a strong national defense. Other energy industries, especially coal, must also maintain a level of operation which will make possible rapid expansion in output should that become necessary. In this complex picture both domestic produc­tion and imports have important parts to play; neither should be sacrific~d to the other.

Since World War II importation of crude oil and residual fuel oil into the United

States has increased substantially, with the result that today these oils supply a sig­n!ficant part of the United States market for fuels.

The committee believes that if the im­ports of crude and residual oils should ex­ceed significantly the respective proportions that theEe imports of oils bore to the pro­duction of domestic crude oil in 1954, the domestic fuels situation could be so im­paired as to endanger the orderly industrial growth which assures the military and civil­ian supplies and reserves that are necessary to the national defense. There would be an inadequate incentive for exploration and the discovery of new sources of supply.

In view of the foregoing, the committee concludes that in the interest of national defense imports should be kept in the bal­ance recommended above. It is highly de­sirable that this be done by voluntary, in­dividual action of those who are importing or those who become importers of crude or residual oil. The committee believes that every effort should be made and will be made · to avoid the necessity of governmental in­tervention.

The committee recommends, however , that if in the future the imports of crude oil and residual fuel oils exceed significantly the respective proportions that such im­ported oils bore to domestic production of crude oil in 1954, appropriate action should be taken.

The committee recommends further that the desirable proportionate relationships be­tween imports and domestic production be reviewed from time to time in the light of industrial expansion and changing economic and national defense requirements.

In arriving at these conclusions and rec­ommendations, the committee has taken into consideration the importance to the econ­omies of friendly countries of their oil ex­ports to the United States as well as the importance to the United States of the accessibility of foreign oil supplies both in peace and war.

5. Petroleum refining capacity The Departments of Defense and the In­

terior should have studies made by their staffs and expert advisers as to the adequacy of present and prospective refinery capacity, both as to amount and dispersal, as wen as other factors, to determine the need for any measures to maintain refinery capacity nec­essary for defense purposes, particularly the capacity operated by small, independent refineries.

6. Tax incentives (a) Present tax provisions on coal, oil, and

gas production have been an important fac­tor in encouraging development of energy sources at a pace about in keeping with demand. Further analysis and study by the appropriate branches of the Government should from time to time be made to review the amount and method of making such allowances to maintain proper relationships with continuing changes in other features of the tax law. Any changes which may be proposed in the future must be analyzed in terms of their probable effect on development of domestic resources needed for economic progress and national defense as well as the fiscal and tax policies of the Government.

(b) Retroactive tax legislation and special relief provisions should be avoided.

(c) Accelerated amortization should be used only to insure the maintenance of a sound mobilization base for energy supplies.

7. Research and development program for coal

We recognize that coal is a great national asset and endorse a cooperative study to determine what research and development could be undertaken. The coal industry and both Federal and state Governments should participate in this study and its cost.

8. Unemployment and business distress in the coal industry

We recognize that serious unemployment and business distress exist in the coal indus­try and recommend that the Interdepart­mental Committee on the Soft Coal Industry be continued for the purpose of developing for Cabinet consideration specific action pro­grams to alleviate these conditions.

9. Coal freight rates In order to maintain coal's vitality as an

instrument of national defense by improv­ing currently its ability to compete with other fuels, the railroads, by voluntary action, and, in the absence thereof, the Interstate Commerce Commission, by com­pulsory order, should adjust freight rates to the extent necessary to remove the exces­sive and disproportionate contribution that coal rates are making to meet the cost of other unprofitable services of the railroad industry. Train load rates should be estab­lished to reflect the lower costs of such service.

10. Coal exports (a) The Government should urge foreign

governments to reduce unreasonable dis­criminatory restrictions against imports of United States coal.

(b) The Government, when making for­eign loans, should use its best efforts to ob­tain provisions to prevent discrimination against United States coal. Discrimination would be judged to exist when United States coal imports are disallowed despite its avail­ability at costs no higher than foreign coal.

(c) The Government should expedite ef­forts to establish credits through the Export­Import Bank to foreign banking institutions in countries where there is reasonable pros­pect of repayment so that American coal exporters can offer more competitive pay­ment terms to foreign customers.

(d) Where United States coal can be sup­plied competitively with other available coal, the Government should use its best efforts to enlarge the participation of United States coal in the foreign aid program.

(e) The Government should compensate for higher shipping costs when incurred as a result of the requirement that 50 percent of all shipments be in United States ships at fair and reasonable United States market rates.

11. Mobilization requirements for coke The Committee believes that present and

prospective rates of shutdown and dis­mantling of slot-type coke ovens will leave inadequate coking capacity to support full mobilization production of steel and other essential wartime industry.

On the basis of national security, coke re­quirements can only be met if the Office of Defense Mobilization is directed to prepare plans to make the necessary arrangements and tests to expand coke production rapidly in the case of an emergency.

12. Government fuel purchasing policy In working out a more consistent and

equitable coal purchase policy, the follow­ing steps should be taken:

(a) The Secretary of Labor under the Walsh-Healey Act should pursue his present policy of making determinations of wage standards applicable in the coal-producing areas and should establish these standards at the earliest practicable date.

(b) The Government agencies should, to the extent practicable, purchase not less than 75 percent of their estimated annual coal requirements on a contract basis.

(c) All Government agencies purchasing coal should, prior to and after the award of the contract, verify the quality of the coal offered and supplied to the agencies.

(d) All Government contracts for the pur- · chase of coal should contain appropriate escalator clauses which protect the buyer and the seller.

2366 CONGRESSIONAL RECORD - ·HOUSE· frfarch 2

(e) In instances where it is not possible for a Government agency to take all the coal for which it has contracted, the deficit should be apportioned equitably among all participating contract suppliers without pen­alty to the Government.

(f) Coal suppliers should be required to submit, along with their bids, proof of their ability to produce the requirements at the times specified.

(g) All coal suppliers to the Government, regardless of size, should comply with the Federal Coal Mine Safety Act.

(h) All transactions with the Govern­ment relating to coal purchases and supply should be public information.

(i) The domestic fuel purchasing policies set forth above should be applied to pur­chases of coal by companies acting as agents for the Federal Government, as well as to purchases made direct by Government agen­cies.

Prior to the purch'ase of any fuel by a Fed­eral Government agency having a large· an­nual use of fuel, that agency should request advice from the Office of Defense Mobiliza­tion as to how this purchase can contribute to the maintenance of a strong mobilization base within the domestic fuels industry. The Office of Defense Mobilization should be di­rected by Executive order to develop a mechanism for accomplishing this objective.

H. R.l

EXTENSI0N OF REMARKS OF

HON. VICTOR A. KNOX OF MICHIGAN

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. KNOX. Mr. Speaker, on Febru­ary 18 the House passed the Reciprocal Trade Agreements Act to which I was opposed and voted against because of the domestic market being faced with cheap foreign articles that are imported into this country in direct competition with our industries. Our industries are suffering from the lack of markets, ap.d this ultimately produces unemployment.

My position is well fortified through a news article from the Escanaba Daily Press, a daily newspaper published in my congressional district. The article sets forth conditions that exist in a small in­dustry of the 11th District of Michigan.

Under permission granted, I include the article entitled "Cheap Foreign Ply­wood Is Threat to United States Indus­try," and that it become a part of the RECORD so my colleagues may be informed as to how cheap foreign products are threatening small industries in the United States of America: CHEAP FOREIGN PLYWOOD IS THREAT TO UNITED

STATES INDUSTRY

The American hardwood plywood indus­try, taking an alarmed look at the rising tide of unfair import competition, is asking that tariff concessions be modified and quotas imposed on imports of hardwood. ply­wood.

The story of the import plywood problem and its effect upon the industry in Escanaba, Gladstone, and throughout the Nation was told recently in Escanaba by R. D. Behm, Chicago, dire<:tor of the trade-promotion pro­gram for the Hardwood Plywood Institute. Behm talked to the Escanaba Rotary Club, where he was introduced by Russell Lee, Birds Eye Veneer Co. official.

Behm reported that the domestic industry is being seriously injured by tariff reductions that have resulted in a sharp rise in imports.

LOST 300 JOBS

"The imported plywoods are being sold in America at unfair prices much below those required by domestic producers to remain in business," Behm noted. He said the Hard­wood Plywood Institute cited these facts in an application for an investigation by the United States Tariff Commission.

The application to the Tariff Commission to modify tariff concessions on cheaply pro­duced foreign plywood and impose quotas on imports will be heard in Washington on March 22.

Birds Eye Veneer Co. and Northwestern Plywood and Veneer will be among members of the Hardwood Plywood Association repre­sented at the hearing. These 2 local in­dustries, together with related woods and sawmill operations, have lost an · estimated 300 jobs to the community because of the cheap foreign imports.

The mounting volume of imports, accord­ing to the application, has decreased do­mestic producers' share of the American market, depressed domestic prices, and caused substantial unemployment and wage losses among American plywood workers.

IMPORTS CLIMBING

Tariff concessions were made in 1936, 1949, and 1950, the application pointed out. The last revision provided for reductions of up to 50 percent from the rates prevailing in 1949.

Detailing the results of the lowered duties, the application asserted that-

Imports rose from 63,362,000 square feet in 1950 to 220,424,000 square feet in 1953, an increase of 348 percent. They have contin­ued to climb in 1954, amounting to 133,-750,000 ~quare feet in the first half of the year, compared with 98,831,000 square feet in "the corresponding peri<><! of 1953. This represented a gain of 35.3 percent. Third quarter totals recently released show im­ported plywood amounting to 124 million square feet against domestic production of 177 million square feet.

Japan, which accounts for 57.4 percent of the imports, boosted its shipments to this country by 506 percent last year, as . com­pared with 1952. Finland, the second-larg­est exporter, registered a gain of 583 percent.

FLOODING THE MARKET

Shipments of domestic producers, on the other hand, dropped from 451,663,000 square feet in the first 6 months of 1953 to 337,-043,000 square feet in the first half of this year.

In 1951 the ratio of domestic hardwood plywood on the domestic market was 12 square feet to each square foot of imported plywood. By the first half of this year the ratio had shrunk to 2.5 square feet to one. Currently, the rate is closer to 1.4 square feet to one.

The Bureau of Labor Statistics shows that the price index for hardwood plywood declined from 108.4 in 1953 to 101.9 for Jan­uary and February 1954. The price in­dex for all commodities, however rose from 110.1 in 1953 to 110.8 for January of this year.

HUGE WAGE LOSS

A survey of 43 dome~tic plywood plants, among the industry's total of 142, revealed that employment was 19.3 percent lower in the first quarter of 1954 than in the similar period of 1953. The reduction in hours worked amounted to 26.8 percent.

Estimated wage ·losses to American work-ers as a result of this curtailed output was

· $2 million Extension of ·the same rate of reduction to the entire industry would indi­cate a total wage loss of $5 million to $6 million for that period.

, The ·Institut~'s membership accounts for about 60 percent of the total domestic pro­duction of market hardwood plywood, ac­cording to the application.

While Canada is among the larger plywood exporting countries, the application said, production costs of Canadian Illanufacturers do not permit -them to sell at- prices com­parable to the unfair prices charged by Japa­nese and Finnish producers.

Stop the Smuggling of Narcotics

EXTENSION OF REMARKS OF

HON. VICTOR L. ANFUSO OF NEW YORK

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. ANFUSO. Mr. Speaker, since the end of World War II there has been a sharp increase in the crime rate through­out the country, due in large measure to the social upheavals during and after the war, the lack of discipline, and the breakup of many family units. Most deplorable is the -growth of juvenile de­linquency, particularly the large number of youthful drug addicts.

In recent years narcotic addiction among teen-agers has reached alarming proportions in many of our major cities. These young addicts are often driven to commit serious crimes in order to obtain the necessary funds to purchase drugs. Unfortunately, the American public · is not sufficiently aware of the problem and the menace it constitutes to our youth. Our laws are too lax in meting out pun­ishment to those who peddle drugs among teen-agers, and the hand of our Federal Government must l;>e strength­ened if we desire to gain control of the situation.

Above all, it is absolutely necessary that we locate the origin and roots of the narcotics trade and expose the evil men who bring this poison into our country for illicit purposes and force it into the hands of inexperienced and thrill­seeking youth. Most narcotics are im­ported from the Far East, the Middle East, and Africa. They are smuggled into this country by ship and plane as well as across our borders, and then dis­tributed to the dope traffic to continue its deadly work, whose only harvest con­sists of broken and agonized li"9'es.

If we can succeed in plugging up this evil trade and corrosion of human lives we will have solved much of the problem: About 2 or 3 years ago, Harry M. Durn­ing, the collector of customs for the port of New York, stated that only 1 of every 5 ships entering the port of New York can be searched for smuggled narcotics because of the lack of sufficient person­nel in the customs service. I do not know to what extent this situation has been remedied since then, but the prob­lem is still very much with us.

Congress must take effective action to suppress this vile trade by giving the Bureau of Customs the means and the men with which to operate in the proper enforcement of our antismuggling laws.

For .this reason, ·! have introduced to­day a bill in Congress which ·provides fo~·

1955 · CONGRESSIONAL RECORD- HOUSE -2367 the establishment of a United States cus .. toms port patrol ·and a United States customs border patrol in the Treasury Department's Bureau of Customs in order to increase the effectiveness of this agency in dealing with the smuggling of narcotics into this country. These are to be law-enforcement bodies with ade­quate personnel and equipment for use in patrol work in our harbors, airports, along the coasts and borders. Officers of these patrol services shall be empow­ered to enforce the antismuggling laws _ of the United States, to make searches of all vessels, as well as seizures and ar .. rests in accordance with our laws.

Mr. Speaker, the customs patrol officer is our best and most effective obstacle to the constant fiow of illegal narcotics from our docks, airports, and borders. He is the only law-enforcement officer regularly assigned on a 24-hour basis to apprehend and arrest the dope smug­glers. By increasing the ranks of these men and giving them the necessary authority to pursue their antismuggling assignments, we shall be able to root out this evil.

Parents, teachers, welfare agencies, civic organizations, church groups, and most of all, our young people them­selves, whose health, morale, and careers are at stake, will heartily endorse this action by Congress. I urge all of my colleagues to support my bill and-I call for its speedy enactment. Remember that each day's delay means the addi­tional sacrifice of young American lives.

Ernest Hemingway

EXTENSION OF -REMARKS OF

HON. RICHARD W. HOFFMAN OF ILLINOIS

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. HOFFMAN of Illinois. Mr. Speak­er, in 1954, a coveted honor was awarded to a distinguished native of Oak Park, Ill., when Mr. Ernest Hemingway re .. ceived the Nobel prize for literature. Anather tribute, which I am sure w_as warmly appreciated by Mr. Hemingway, was occasioned by the announcement of this award.

This tribute came from a group of outstanding Pan-American scholars and educators, assembled at the bicenten­nial conference of Columbia University o·n Responsible Freedom in the Americas, and was the result of the only resolution approved by the conference. Six former pr,esidents of Latin American Republics were participants in the conference, Dr. Alberto Lleras Camargo, of Colombia; Dr. Eduardo Santos, of Colombia; Dr. Galo Plaza, of Ecuador; Dr. Ricardo Al­faro, of Panama; Dr. Otilio Ulate, of Costa Rica; and Dr. Carlos Davila, of Chile, who is now secretary general of the Organization of American States. · The conference approved a resolution submitted by Dr. Jorge Manach, of Cuba, which called for a commendatory mes­sage to be sent to Mr. Hemingway, and

the following message was sent in behalf of the conference:

By awarding Ernest Hemingway the litera­ture prize for 1954, the Nobel Prize Com­mittee has rendered a well-deserved tribute to a great novelist whose works have reflected with virile energy a passion for liberty and justice, a love of the heroic in man, and a generous concern for human suffering. As­sembled on the occasion of the bicenten­nial conference of Columbia University on Responsible Freedom in the Americas, writers and teachers of both Americas send their congratulations to the great author of The Old Man and the Sea. · In their behalf this message is sent.

American Good Government Society Honors Hon. Howard ·w. Smith, of Virginia

EXTENSION OF REMARKS OF

HON. WATKINS M. ABBITT OF VIRGINIA

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. ABBITT. Mr. Speaker, it was my privilege to attend, on Tuesday evening, February 22, 1955, the third annual George Washington awards dinner of the American Good Government Society,

The American Good Government So­ciety was formed in 1942 for the purpose of fostering good government in America and to reinspire a wide and deeper ap­preciation of the American political sys­tem, through a clearer understanding of it.

This organization is endeavoring to bring to our citizens the realization of the importance of maintaining our Gov­ernment as it was founded and set up under the Constitution. It is rendering a real and important service to the country.

In 1952 the society established the George Washington awards that it pre­sents to outstanding citizens who have rendered distinguished service beyond the call of duty to good government in America.

It has presented two awards for each of the past 3 years. In 1953 the society honored Senator HARRY F. BYRD and the late Senator Robert A. Taft. In 1954 the recipients were the Honorable Herbert Hoover and Gov. Allan Shivers, of Texas. This year, the society honored the Hon­orable HOWARD W. SMITH, Member of the House of Representatives from Virginia, and Gen. Robert E. Wood.

I am most pleased that the outstand­ing services that Representative SMITH has rendered our Nation are being recog­nized by the presentation of this award.

"Judge" SMITH, as he is affectionately called by his colleagues and many friends, is one of the outstanding states­men of America today. He stands for and represents the highest ideals in pub­lic life. He is one of the most beloved as well as one of the most influential Members of the House of Representa­tives. He is admired. for his keen in­tellect, his ability to grasp a situation quickly and for his determination to do what he thinks is right and best for his

country regardless of the political con .. sequences. All o"f us love and admire him for the statesmanship he has ex­hibited down through the years and join with the society in its description of his virtues set out in the award which is as follows:

HOWARD WORTH SMITH, statesman, lawyer, farmer and banker, has served the public weal for more than 30 years-as judge and as Representative in Congress, becoming chairman of the Committee on Rules in the 84th Congress.

Among his notable achievements are the Smith Act of 1940, which declared the law under which Communist leaders have been convicted, and the constructrve investiga­tion of the National Labor Relations Board which led to the Taft-Hartley Act of 1947.

Law is the eternal sense of justice of the community. Law is because law was, un­written, unfolding and growing as man moves slowly toward civilization. Spurious edicts, pretending to be law but not law at all, are struck down when the law is re­stored.

In any early restoration of law the wisdom of Judge SMITH will be a vital influence. We can rejoice in numbering this Virginia gentleman among the Nation's most illus­trious sons.

Mr. Speaker, under leave to extend my remarks I herewith include the ad­dress delivered by the Honorable HoWARD W. SMITH on the night of February 22, 1955, when the American Good Govern­ment Society bestowed upon him its George Washington good government award:

The basic ground rules of good government upon which our Republic was founded was the principle that matters of controversy be­tween the States and relations with foreign governments should be delegated to the· Federal Government; while the solution of all domestic and local problems should be reserved to the respective States.

It was the guiding principle of the framers of our Constitution.

It was the very heart of the contract be­tween the Thirteen Original Colonies as ex­pressed in the Constitution and the Bill of Rights. It was implicit throughout every word, every sentence, and every paragraph.

It was summed up so that "he who runs might read," in the bnef words of the lOth amendment: "The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively or to the people."

When that amendment was adopted, as the last and final clause in the Bill of Rights, the American people meant it. The great bulk of the American people, regardless of party affiliation, mean it just as earnestly to­day.

The difference is that the framers of the Constitution were painfully aware of their recent wrongs that required remedy . . As the country grew and prospered, the people be­came neglectful and indifferent to the basic principles of government that brought about that growth and prosperity.

A spirit of slothful indifference replaced alert determination. Today we have reached

·a point of centralized government -that has swallowed up the reserve States rights. We have transferred the administration of jus­tice away from home into the strange and faraway hands of the Federal Courts.

The legislative department has usurped the power to deal with a multitude of local -prob­lems reserved ·by the Constitution to the States and in doing so has delegated to the executive department the power to fill in the details of administration by regulations hav­ing the -force and effect of law. While the Chief Executive confronted with a huge and overwhelming mass of administrative detail

2368 CONGRESSIONAL RECORD-- HOUSE March 2 has, in turn, delegated the power to make regulations to sundry minor executives not elected by or responsible to the people.

Each such departure from constitutional standards has directly or indirectly deprived the citizen of some constitutional liberty until today the individual American citizen is gradually being placed under compulsion and his datly life and activities controUed by the judgJV.ent of the Federal courts, the acts of Congress, and the edicts of the executive department to an extent never remotely con· eeived by the authors of the Constitution.

Today we have what might be called gov­ernment by delegation of authodty.

Local communities have delegated to State legislatures local problems that could best be solved at home, in return for a mess of financial pottage from the State legislatures.

The State governments have delegated to the Congress problems that could be best solved at home by the States, in return for handouts from the Federal Treasury of their own money. Congress, in turn, catching the spirit of the times, has passed out the appro­priations from money derived from taxes imposed upon the citizens of the States and exported to Washington to be, in turn, doled back to the States after deduction of an appropriate but substantial toll. Along with the appropriations and as a condition, go laws curtailing the freedom of the citizen, and then the whole imposs_ible mess is turned over to the Executive to administer, abdi­cating to him the legislative power to make regulations having the effect of law, a viola­tion of which subjects the citizen to crim­inal penalties in the Federal courts. But the end of delegation is not yet. The Presi­dent delegates the authority given hi.m by Congress to the heads of departments and agencies. They, in turn, delegate it to the heads of bureaus; and -to whom the bureaus delegate the actual Writing of these regula­tions or laws, only God knows.

Congress finally found it necessary to pro­vide for a daily publication known as · the Federal Register, in which the executive departments are required to publish each -day all new regulations which now control the lives and activities of our citizens.

I mention this for the information of the unwary citizen, who may prefer what free­dom he still enjoys to a Federal jail house, with the advice that he peruse the Federal Register along with his daily paper.

On top of this whole mess of delegation, administration and confusion sits the ju­dicial department, the ultimate and final arbiter of our constitutional rights.

So when the Supreme Court speaks the final word we all, including the present speaker, relieve our blood pressure by exer­cising our remaining constitutional pre­rogative of abusing the Court.

What is the remedy? There is only one. Congress reflects the will of the people.

The will of the people is transmitted to Con­gress by those who make the loudest noise, and the most convincing threats of political reprisal.

Until and unless the great mass and ma­jority of our thinking people awaken to their responsibility and assert their demands for sound and constitutional government and a return to the constitutional limits upon the functions of the Federal Govern­ment, we shall continue the present policy until sometime, some sad day, we find that we have gone too far to retrace our steps.

In a democracy a people get the kind of government they deserve.

If they think little, they deserve little. If they do little about it, they get little results.

If the present trend of government away from the sovereignty and the reserved rights of the States is wrong, as I believe it is

. tragically wrong, it will continue wrong as long as a slothful and indifferent people re­main impervious to, and neglectful of, the danger signals flying all about them.

Block Ike Plan Is Brainchild of Economic Planners

EXTENSION OF REMARKS OF

HON. CRAIG HOSMER OF CALIFORNIA

IN THE HOUSE OF REPRESENTATIVES

Wednesday, Mcrch 2, 1955

Mr. HOSMER. Mr. Speaker, there are people in this country who sincerely be­lieve that the free enterprise economic system is no good and should be replaced either piecemeal or entirely by some form of state socialism.

'Why, when all evidence points to the fact that our present system of free en­terprise is the greatest system ever de­vised by the mind of man for his own betterment, these people persist in their beliefs is a mystery to me. They need but lpok at the result of state socialism wherever it has been tried to see physical evidence of its inadequacies.

An interesting article in the current issue of the U. S. News & World Report detailing the deterioration of Britain's defenses observes that the quantity and quality of that Nation's armaments went into immediate decline during her post-­.war :flirtation with socialism. Under the socialistic scheme of things neither peacetime nor wartime items flowed into Britain's economy as they did under the free-enterprise system.

Nevertheless the economic planners in this country are determined in their efforts "to halt and reverse the Eisen­hower administration's counteroffensive on behalf of private enterprise and less Government dictation" as is set forth in the following column by Ray Tucker:

HALT IKE PLAN WELL DESIGNED (By Ray Tucker)

WASHINGTON.-The most unpublicized con· fiict at Washington today concerns the at­tempt of the so-called economic planners of New Deal stamp to halt and reverse the Eisenhower administration's counteroffensive on behalf of private enterprise and less Gov­ernment dictation.

Opponents of Ike's milder measures have two main objectives: They do not expect to enact their more advanced and radical pro­posals at this session, awaiting possible re­turn to power in 1956 or 1960. They plan to expand or to kill off his offerings.

They do not want them to be given even a temporary trial lest the success of the measures check their movement for Govern­ment intervention and operation in almost every field of human activity.

"ECONOMIC POULTICES" They argue, for instance, that Eisenhower

proposals on Federal aid to health, educa­tion, and highways are mere economic poul­tices. The most spectacular example of the conflict in philosophy is illustrated by the quarrel over Washington's contribution to improvement of national health.

Ike wants the work to be done by private insurance companies with minimum finan­cial assistance from the Government. The "planners," who resemble the British Fa­bians that led Britain step by step into a Labor-Socialist regime, demand compulsory health insurance. They would finance their bedside scheme along the lines of social se­curity-namely, by direct payments from everybody's pay check.

If Ike's plan is ~dopted and gives promise of success in its initial stages, their alterna­tive will lose its appeal. There is nothing so difficult to defeat as demonstrated success in politics.

Similar strategy has been applied to the farm problem. Ike beUeves that flexible price supports will maintain farm income, lower r-etail prices, dispose of surpluses. The plan­ners still insist on the Brannan plan, with Uncle Sam paying the differe~e between the market price and the higher Govern­ment-financed support figures.

PRIVATE EXPANSION PLAN Likewise with power. As in the Dixon­

Yates contract, the White House seeks to limit the Government's investments and operations in this field, as wen as in atomic developments. President Eisenhower advo­cates private expansion to a maximum de-· gree under a partnership of local, private, and Federal interests.

His enemies demand continued Govern­ment production of power, although Uncle Sam and local political units now generate about 20 percent of the Nation's electricity.

The _planners want Washington aid in ob­taining contracts for a guaranteed annual wage. They demand higher minimum-wage levels, to be policed and enforced by NLRB . and the Labor Department. They insist upon greater control of credit by Treasury and the Federal Reserve System.

They urge a vast public-works building blueprint after the pattern of Roosevelt­Ickes-Hopkins programs in the depression. They shout for "far larger foreign-aid funds, with the United States ·economic reforms aboard.

AIM TO DEFEAT IKE'S COMPROMISES Although recognizing that fulfillment of

thei-c dreams and ambitions under Repub­lican rule is impossible, the liberals' main aim is to keep alive agitation for their schemes. When they recapture the White House and C_ongress, they hope to transform them into reality. Meanwhile, they must defeat Ike's milder .compromises.

Ironically, they may get help from GOP conservatives on Capitol Hill, who think that Ike is too radical. They refuse to recognize his program as a holding action.

Let Us Fight Against Multiple Sclerosis

EXTENSION OF REM:ARKS OF

HON. PETER W. RODINO, JR. OF NEW JERSEY

IN THE HOUSE OF REPRESENTATIVES

Wednesday, March 2, 1955

Mr. RODINO. Mr. Speaker, for all of us concerned with the health of the Na_; tion, there is a problem of vital ur­gency-and that is to control the disas­trous effects of the crippling disease, multiple sclerosis.

In thousands of households there are young mothers and young fathers stricken with disabling multiple sclerosis. This means that there are mothers who cannot take care of their homes-guide their children-play with their children. That there are father·s who must cease being breadwinners; who are unable to assume their role as the head of the family unit. This also means that there are young men and women throughout the iand-some in college, who are f<>rced to gi.ve up their education; some just starting on careers they are unable to pursue; because they have been afflicted

1955 CONGRESSIONAL RECORD- HOUSE 2369 with MS, which is the popular abbrevia-tion for multiple sclerosis. ·

Multiple sclerosis is indeed a matter of pressing import to the Nation for, at this time, the cause and cure of this in­sidious disease are unknown. It attacks mostly young adults in the prime of youth-those between the ages of 20 and 40-the very best, the most productive years, of any person's life, and it strikes at the very heart of the basic foundations of our society-the home and the family.

Let me try to explain for a moment, for those of you who may not understand the nature of this mysterious illness, just what this is all about. I have tried to find out for myself and I will speak in terms which I have understood, as a lay­man, from my discussions with doctors who have specialized in this field.

Multiple sclerosis is a disease of the central nervous system. It gets its name from the fact that multiple, or "many," sclerosis, or "scars," form in certain areas of the brain and spinal cord. This re­sults in what may be likened to a short circuit, nerve impulses which usually pass through the central nervous system are blocked by scar tissue which has formed on nerve covering. Then we have the usual symptoms of the disease which may be: paralysis in hands, arms, and legs; blurred ordouble vision; stag­gering gait; garbled speech; loss of per­sonal functions. A victim of MS may have one or all of these distressing symp­toms. The ordinary dignities with which most of us are privileged-such as washing ourselves, dressing ourselves, taking a walk around the block, reading or watching television-all these private necessities, pleasures, and privileges are

HOUSE OF REPRESENTATIVES THURSDAY, MARCH 3,1955

The House met at 12 o'clock noon. The Chaplain, Rev. Bernard Braskamp,

0. D., offered the following prayer: God of all goodness, we thank Thee

for this beautiful day bringing unto us many opportunities to do good and to serve Thee and our fellow men. ·

May it be a day when we shall be richly blessed with new experiences of Thy presence and power, for we are conscious of our helplessness and insuf­ficiency.

Grant that, in our programs of leg­. sla tion, we may not only have a clear vision of what is valuable and useful but above all of that which is vital and essential.

Help us daily to grow and gain in vital and victorious living, and may we be in­spired and sustained by that faith which will enable us to meet every moral issue without compromise or evasion.

In Christ's name we pray. Amen.

The Journal of the proceedings of yes­terday was read and approved.

SPECIAL ORDER GRANTED Mr. SIKES asked and was given per­

mission to address the House for 30 min-· utes on Monday next, following any spe- · cial orders her~tofore entered.

often denied sufferers of multiple sclera.:. sis. Some victims are ambulatory; some are on crutches or in wheelchairs; most severe cases are bedridden. There are about one quarter of a million victims of MS in the country.

Because MS is usually progressive, and thus far incurable, it presents a problem of care and financial stress which always goes with chronic long-term illness.

I am glad to say that all is not black in this picture. Something is being done across the Nation to help the victims of multiple sclerosis. In 1946, with the founding of the National Multiple Scle­rosis Society, an intensive program of research and patient-care service for MS sufferers was begun. Today the so­ciety is a vast organization with some 65 chapters throughout the United States, all supported by public funds. The so­ciety is a clearing houses in MS for all up-to-date scientific and self-help infor­mation for patients and physicians.

Mrs. Dwight D. Eisenhower, this year, as in the previous year, is honorary chairman of the campaign to raise funds for this very important and worthy or­ganization. In this respect, Mrs. Eisen­hower is a real helpmate to her husband, for our own Mr. President has been a stanch ally in helping Congress to ap­propriate funds for continued and ex:.. panded aid in the fight against chronic neurological, crippling illness. Presi..; dent Eisenhower has made magnificent strides throughout the country in the field of rehabilitation of the disabled. The President's Committee on Employ­ment of the Physically Handicapped has worked with nonprofit health organiza-

FEDE-RAL OLD-AGE AND SURVIVORS INSURANCE

Mr. SCHENCK. Mr. Speaker, I ask unanimous consent to address the House for 1 minute and to revise and extend my remarks.

The SPEAKER. Is there objection to the request of the gentleman from Ohio?

There was no objection. Mr. SCHENCK. Mr. Speaker, I am

introducing today a bill to extend cover­age under the Federal old-age . and sur­vivors insurance system to individuals engaged in the practice of dentistry. I am doing this because I am convinced that a majority of dentists, not only in my own district or the State of Ohio, but throughout the country, wish to have the opportunity of benefiting from this in­surance program, the same as other self­employed individuals. This conclusion was reached after numerous conferences with and voluminous correspondence from the dentists in my State, including signed petitions from the members of local societies. It does not seem fair to . me to exclude the members of this pro­fession from participating in the pro­gram if it is their wish to participate in it. The House of Representatives voted to include them in the Social Security Act amendments last year but the other body deleted this group from the bill be­cause, I am told, of representations made by the American Dental Association, which the dentists in my district· and State say do not l'eliect the true wishes

tions, such as the National Multiple Sclerosis Society, in spurring the pub­lic's support and industry's support in the help to our disabled.

There is much reason for hope in the multiple-sclerosis problem. Leading sci­entists in universities and laboratories throughout the land and beyond its bor­ders are engaged in intensive research­about 45 projects in all-to find the an­swers to the cause and cure of multiple sclerosis. Clinics for the rehabilitation of multiple-sclerosis victims are in oper­ation, teaching independence and self­reliance to the severely handicapped. All this heartening work is being done under the guidance and support of the National Multiple Sclerosis Society, which in turn is dependent upon public funds and governmental appropriations in order. to sustain and expand its prom­ising work.

Each year the Goyernment ·appropri­ates funds to the National Institute of Neurological Diseases and Blindness. This vast Institute, which is conducted by our foremost research scientists, is at present "investigating the causes and treatment of multiple sclerosis. It is one more example of hope in dealing with this problem.

I urge all of my fellow Congressmen to give serious thought to the ways in which each of us, in our own way, may help in the fight against crippling mul­tiple sclerosis. Perhaps we may serve on special committees, perhaps we may be able to fight for bigger and better appro­priations in the war against crippling neurological diseases. To be sure, it is, as they say, "all for the good of the country."

of the majority of the profession. Their contention is based on the results of polls· taken throughout the country where the individual dentists were given an opportunity to voice their sentiments and in most of the States the. polls showed that the dentists want to be in­cluded in this insurance program. I hope the Committee on Ways and Means of the House of Representatives will grant these dentists the privilege of ex­pressing themselves again and that they will take appropriate action to report this bill to the floor of the House for con­sideration. I am convinced the Members of the House will approve it again so that it may receive proper and favorable con­sideration in the other body.

EXPEL RUSSIA FROM THE UNITED NATIONS

Mr. SMITH of Wisconsin. Mr. Speak­er, I ask unanimous consent to address the House for 1 minute and to revise and extend my remarks and include extrane­ous matter.

The SPEAKER. Is there objection to the request of the gentleman from Wisconsin?

There was no objection. Mr. SMITH of Wisconsin. Mr. Speak­

er, the United Nations has an obligation to challenge the right of Soviet Russia to membership in that organization. All of the 60 nations who are members of the :United Nations are definitely bound to