TESTIMONY OF CONGRESSMAN C.W.BILL YOUNG

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CIA-RDP11M01338R000400470029-8
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October 2, 1980
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Declassified and Approved For Release 2013/09/13 : CIA-RDP11M01338 ? - E 4772 CONGRESSIONAL RECORD?Extensions of rks la-ling accrued amounts which are not in- ;:luded in the official public debt," said Wil- ham M. O'Reilly, director of the CPA firm preparing the report. The major variances between official re- ported deficits and those contained in the ()Reilly report are due primarily to differ- ences in measuring and reporting liabilities. "Our report reflects accrued pension costs, reserves for losses on federal loan guaran- tees, and other liabilities of the government which are not included in the official Treas- ury debt," said O'Reilly. U.S. GOVERNMENT PROJECTED CONSOLIDATED STATEMENT OF FINANCIAL POSITION Dn billions of dodanj Acted Projected Nam* &cobs September Wernher Net dam 1976 1330 ? 1980 ? 1931 %.?.,..,:ts: ezh and monetary reserves. Raceirabf4 (net of allowances) ------- inventories (at cost) . ? ...... ....-----:.--- ProbeMy ami eaujoment fat ma . Leaeountatated d,e,oreciatto Intermit charges and other 42 51 - 9 ' 51 53 ? -2 130 -- - 182 :, , . 52 ?-? - 180 190. . ..: 10 77 ?. - 90 .83 to. 31- - l 302 ' - 389 '" HT -385 4 i ?150 - -- ?192 .- .- ?42 ?189 ? ?201 . - .. ?12 28 -.. 1, Total mete . 422-, 546 -'*. 124 542 162 ? '25 1;4.1dies: Accants payabfe - Untamed revert.- .. ..?........:.'...:--:.-..?. ?.?.--. garowing ham the Accrued peasban, ratuernent, and cfmatuldy plans ?- loon resnees for guarantee and insurame programs E.:...?..?_:. . , _ , . Contizent frkehties a -------- ..... ----------- Otter flabilities 43 -, - 46' - ' 3- - ? 46 47 . ? 1, - ? ., . . TotaI liabadies 1,850 2,991 2,148 ?2,886 - 3,337 451 15 10 13 ' 3......13' 15 2 508 - 727 ", 219 715 765 50 1.207 ? 2,078 ? 871 1.984 . 2,361 , ? 377 Oxat deficit: Deficit--4).$ Germrp,Ait mu liabintin and Oscal deffcit.?.? ? 1,428..:2,j.1,024 2,344 2,775 431. 422 , 546 , 124 542 562 20, loan guarantee amount is $298 billion in 1980 and $340 billkin in 1981. We have usulmal vaiteff nte of 15 betted on Ma average of ad guarantee ' V?it :MOW) financial exwzra iPSUred risks fa estimated at $2.7 Miran for 1980 4u1 1981* ? TRIBUTE TO RICK DEES AND K.I1J HON. ROBERT K. DORNAN OF CALIFORNIA . : /N THE HOUSE OF REPRESENTATIVES w Thursday, October 2,1980 Mr. DORNAN. Mr. Speaker, it gives me great pleasure to commend to the attention of my colleagues the out-- standing contribution made to the Los Angeles community by radio station KII3 and by Los Angeles' favorite disc jockey, Rick Dees. Those familiar with- KIIJ know that is : an enormously public spirited station, ` consistently demonstrating a desire to make Los Angeles an even better place to live. It was no exception then, when "the Rhythm' of the Southland,!' as it is known to its millions of listeners, gra- ciously and enthusiastically devoted considerable time, energy, and expense, to help save Santa Monica Bay from, Federal offshore drilling Proposals. When the Secretary of the Interior announced that Santa Monica Bay, that beautiful part of the Pacific Ocean which lies between Point Durne in Malibu and Point Vicente In-Palos Verdes, would be exempted from Fed- ml oil drilling lease sales, it was a :ellen savored victory. This -magnifi- eent body of water, visited by over 56 rr.!,,lion people each year, is simply too valuable a resource to endanger by constructing oil drilling platforms only '1 miles from the curvaceous. Palm laden palisades and beaches of Los An- geles. The Secretary's decision marked the culmination of yeomanly efforts on the part of a great many people who got this message across. KIM and Rick Dees were at the forefront of this effort. ? ? - . ? Concerned that the public had no direct voice in the early Interior De? partment decisionmaking process, I was able to form the bipartisan Save Our Bay Committee. It included the mayors of the Santa Monica Bay coastal cities and many State and, county elected officials as well. We had decided that a public demonstra- tion of support for the preservation of Santa Monica Bay was required and I asked Rick Dees and ICH,T if they would help arrange publicity and sup- port for our petition signing rally. Their response was immediate and en- thusiastic. - - - Within days, KHJ had mobilized its considerable resources to print thou- sands of fliers and petition signing pads. It parent company, RKO Gener- al, issued a multimillion dollar insur- ance policy to cover the day's events. KILT set up a roller disco skateathon contest which ran concurrently with., the rally's other events. Rick Dees and KILF's many other talented disc -jock- eys gave the rally weeks of airwave publicity. Many more tasks were also performed, for all of which special thanks to RITJ's Dwight Case, corpo- rate president; Harvey Mednick, vice president; Richard McGeary. general R00040047002-6-8 ' October 2, 1.980 manager; and Chuck Martin, program. director. A very special expression of. thanks and appreciation also goes to Greg Taylor, director of promotion, es - and Nancy Wilkerson, promotion coor- dinator at KILL They both did an out- standing job in coordinating all of KI1J's participation in the Save Our _ Bay rally. On the day of the rally, held along- side the world famous Santa Monica Pier, over 1,000 people parked their_ blankets on the beach and listened to. their elected officials, rock performers, Rick Dees, and other famous celebri- ties, including Dinah Shore, Brian ; Wilson and Mike Love of the Beach Boys, Dick Martin, and Rick Little join in the chorus of opposition to oil drilling. Many more telegrammed ones- s sages of support were also read that day. A brief note about Rick Dees.: He's a e bright new star in the entertainment industry. Since moving to Los Angeles ?; from Memphis in early 1979, he quick- . ly and easily captured the loyalty and friendship of his morning drive listen- ers. Be it at home, at work or on the way to work, every business morning Rick Dees and his wife, Julie, Mc'Whirter Dees, entertain Los Ange-: linos with funny stories, great imper- sonations, and terrific music. More than anything else. though, they corn: mtmicate their likeability. It is their greatest asset. Keep an eye on them, they are on the way up. , ' Again, Mr. Speaker, let me restate to IOU and to Rick Dees my personal thanks and gratitude. Their fine work has helped to insure that Santa Monica Bay will remain as it is, a unique national resource for the- people to enjoy.. ? NICARAGUA'S LINK TO TERRORISM HON. ROBERT J. LACOMARSINO - OF CALIFORNIA IN THE HOUSE OF REPRESENTATIVES Thursday, October 2, 1980-- 4 Mr. LAGOMARSLN'O, Mr. Speaker, on Tuesday, September 30. 1980, the Subcommittee on Inter-American Af- fairs of the Committee on Foreign Al-:- fairs of which I am a member, held an Important oversight hearing on the Implementation of key provisions of Public Law 98-257, the President's spe- cial Nicaraguan aid program. Accorde ins to the law as passed by the Coon' gress and signed by the President, before any raid under the authority of that law is made available to the Gov- ernment of Nicaragua; the President must certify to the Congress that the Sandinista government "has not co- operated with or harbors any interna- tional terrorist organizations or is aiding, abetting, or supporting acts of violence or terrorism in other countries." During this hearing, which follows the President's action on September Declassified and Approved For Release 2013/09/13: CIA-RDP11M01338R000400470629:8 October. 12, 1980, tion to ti tee heard Congress. the Defei the Centi lowing th, sion as se committef engaging supportin violence t tion deny:. While ox to such a. nature, ti public tes the -Serial hand and of evident nonclassif I before tli league Co Florida, w: amendmer spelled ou tire intent by the F reaching i noted that member of tee on Int the identic President t tion. In light been prese: tee concer Sandinista her 12 of ti made his ( evidence r after *that the Soram colleagues upon the F sion and process. At President i dence that cation, he i loans irnone For-the leagues, at submit the Yousto's te5. TEST/MON1 - Mr. Chair President of tifieation pit Foreign Assi that the Ger cooperated w al terrorist c ting, or stIPIN ism in other formation at. the opposite. examine infc President by no reasonsl] evidence, cot contained in As this is a from any of ports. I will which is th, classified in1( 1 Declassified and Approved For Release 2013/09/13 : CIA-RDP11M01338R000400470029-8 October' 2, 1980 CONGRESSIONAL -RECORIY?Extensicms of Remarks 12, 1980, in issuing such a determina- tion to the Congress, the subcommit- tee heard testimony from Members of Congress, the Department of State. the Defense Intelligence Agency, and the Central Intelligence Agency. Fol- lowing that hearing, it was my conclu- sion as well as a majority 'of the sub- committee that Nicaragua is in fact engaging in those very activities of supporting terrorism and exporting violence that the President's. certifica- tion denys. ? While much of the evidence relevelt to such a certification is of a cla.ssified nature, the subcommittee did hear public testimony which does reveal the geriousness of the question at hand and the overwhelming amount of evidence that is available through nonclassified sources. In his statement before the subcommittee, our col- league Congressman Brr..i. Youxu of Florida. who is the author of the key amendment-- in question, clearly, spelled out his view, that the legisla- tive intent has not been complied with by the President. Furthermore, in reaching this decision it should be noted that Congressman ,Yotn7G, as a member of the House Select Commit- tee on Intelligence, has had access to the identical intelligence resources the President used to reach his determina- tion, In light of the evidence that has been presented before the subcommit- 'tee concerning the activities of the Sandinista government before Septem- 4 ber 12 of this year when the President I made his certification and such new evidence related to their activities after thatdate such as-that related to the Somoza assassination, I urge my colleagues to join with me in calling upon the President to review his deci- sion and -the entire determination process. According to the law, if thefl President is made aware of such evi- dence that runs contrary to his certifi- cation', he is required to make all such loans immediately due and payAble. ? For the information of my col- leagues, at this point in the RECORD, I submit th of Congressman Y VI-Testimony: ' TESTIMONY OF CONGRESSMAN C. W. B LL Yoinira - ? - - M'?? Chairman, on "sjp. 12, the Presidettates signed a cer- tification pursuant to Section 536(G) of the Foreign Assistance Act in which he swore that the Government of Nicaragua "has not cooperated with or harbors any internation- al terrorist organization or-is aiding, abet- ting, or supporting acts of violence or terror- ism in other countries." The intelligence ix- formation 'available to the President proves the opposite. I have had the opportunity to . examine information made available to the President by our intelligence agencies and no reasonable man, after examining that evidence, could reach the same conclusion ? contained in the President's certification. As this is an open session. I will not quote from any of the .classified intelligence re- ports. I will use instead the public record v.hich is thoroughly consistent with the classified information and is not contradict- ed in any way by the reports of our intelli- gence agencies. ? ? ? - The Sandinistas have made it clear that they have no intentions of fulfilling any re- quirements that the Congress of the United States hes placed on the $75 million loan. Interior Minister Tomas Barge said on Sep- tember 5, "If they could buy us with $75 million or with one billion dollars, we would stop being revolutionaries. We revolutionar- ies would rather starve if necessary before falling on our knees in the face of yankee imperialism Let them refuse once and for all to give us the $75 million. They think we are going to beg. How little do they know -the Sandinists." (Broadcast over Managua Radio Sandino, on September 6, 1980.) In an Interview published September 14, 1980, in the newspaper LaPrensa, the Junta ? member. Arturo Cruz pointed out that, "at the same time Congress was approving the loan, there were precise recommendations to President Carter to affect' the disburse- ment and the use of the loan, 'based on direct and precise observations of Nicara- ' gua.." -He called specific attention to the -clause that prevented the Sandinistas from getting money in the event that Nicaragua Is "proved to be involved in acts of terrorism or to be sheltering groups which carry out such actions." Cruz continued, "I wish to make it very clear, that this is a duty im- posed by the U.S. legislature on the Presi- dent. In other words, it is 'their' political , problem. The 'revolutionary government in no way accepts, under, any circumstances, any agreement?whether for a loan or for fi- nancial cooperation?with the United States or with "any' country in the world not even with the Holy See, that contains any clause that is injurious to the national dignity or that imposes financial conditions of a uni- lateral nature." Despite the fact that the Sandinistas have made it clear that they will not accept the $75 million if that means that they must stop supporting terrorism in Latin America, Cruz claimed that as soon as Congress ap- proved the loann$15 million was made avail- able and that when they sign the agreement they will receive -another $40 million and -the rest . will come a short time later. In other words, the first $15 million was re- leased to them long before the President ? certified that they were not involved in the export of terrorism. . The most significant support to terrorism _ given by the- Sandinistas is the aid and training that they supply to terrorist groups in El Salvador. On June 23, 1980, the press and radio in El Salvador published the statement of a captured terrorist Julian Ig- na,citi Otero Espinosa. Otero testified that he, himself was involved in the shipment of ? arms from Nicaragua to the terrorists in El Salvador. He said, "On several opportunities we went to the border with Honduras to re- ceive arms coming finial Nicaragua. On other occasions, we received arms coming di- rectly from the Soviet Union and the Social- ist Republic of Cuba." He referred to "the active collaboration of the government of Nicaragua. Not long ago landing exercises were carried out in the Corinto area and they have training camps in Nicaragua." On June 25, 1980, the official Managua radio Sandino, reported the unification of the terrorist groups in El Salvador. They stated "A single army will emerge from their force, their heroism, their revolution- ary awareness, their responsibility toward the peoples of the world and their unity." The day before the announcement of the unity of the terrorist groups in El Salvador over the official Nicaraguan radio, the ter- rorists sent letters to ,a number of promi- nent politicians and journalists in El Salva- dor threatening their lives. Those threat- E 4773 ened include representatives of the French News AgencY, Reuters, Associated Press and United Press InternationaL It is interesting to note that the Cuban Ambassador to Nicaragua Julian Lopez, is a member of the Americas Department of the Central Committee of the Communist Party of Cuba. The Americas Department is re- sponsible for providing support to terrorists and insurrectionary groups, throughout the hemisphere. It is also of some significance that the press in Kuwait reported on August 23 that a delegation' from the Palestine Liberation Organization had gone to Nicaragua to su- pervise military training. According to the newspaper, Ar-Ray AI-Aram the instructors were sent in accordance with an agreement between Yasir Arafat and the leaders of the Sandinista Government in Nicaragua. Actu- ally, there has been along standing rela- tionship between the PLO terrorists and the Sandinista terrorists. On August 7, 1979, the Kuwait newspaper Al-Watan reported an in- terview with Jorge Mandl, the Sandinista representative in Europe: Mandl said, "There is a long standing blood unity be- tween us and the Palestinian Revolution. We have long had close relations with the Palestinians. Many of the units belonging to the Sandinista movement were at Palestin- ian revolution bases in.Jordan .as an ex- ample of our cooperation with the Palestin- ian Revolution, a number of our comrades took part in the operation to divert four planes which the Pannier Front for the Lib- eration of Palestine seized and landed at a desert airfield in Jordan. One of our com- rades was also wounded in another hijack operation in which Layla .Khalid was in- volved. She was in command of the oper- ation and our comrades helped her carry it out." This close association between the Sandin- ista, terrorists and the PLO perhaps explains why, when the American Jewish Committee, investigated the situation of Jews in Latin America in May, they found that the entire - Jewish Community of Nicaragua, some 70 families, about 350 people, had vanished from that country. This was reported in the Jewish Press, New York, May 23, 1980. The role of the Sandirilsta government of . Nicaragua, and the terrorists that they sup-' port from other parts of Latin America, in the murder of former President Somoza is obvious to everyone. Only the Sanainistasn benefited from the murder, and the Argen- tinian terrorist killed in a shoot out with. police shortly after the murder had close ties with the Sandinista government. He - was a member of the Trotskyite terrorist or- ganization InftP (Revolutionary Army of the. . People) which has long collaborated with the Nicaraguan Sandinistas. - You may retail that ray interest in this subject is not a recent one. I was instrumen- tal in calling for the closed session of Con- gress held 25 February 1930 in order that classified information could be presented to _the full Congress -In. considering aid for Nicaragua. Even prior to that time; the Sub- committee on Evaluation of the House Per- manent Select Committee on Intelligence, of which I am a Member, had been engaged, as part of their regular duties, in monitoring the quality of intelligence performance in this part of the world. So this has been a continuing and ongoing effort. I am very concerned about the President making the certification that the govern- ment of Nicaragua is not involved in the ex- porting of terrorism or in supporting the overthrow of other duly constituted govern- ments In Central America, since I have had access to the intelligence information of the CIA and the Defense Intelligence Agency concerning this matter. While I cannot narlannifind nnd Approved For Release 2013/09/13: CIA-RDP11M01338R000400470029-8 E 4774 Declassified and Approved For Release 2013/09/13: CIA-RDP11M01338R000400470029-8 CONGRESSIONAL RECORD?Extensions of Remarks October 2, 1980 quote classified information in this open session, I can tell you that the intelligence reports confirm in overwhelming detail that the Sandinista clique that rules Nicaragua-is engaged in the export of violence and ter- rorism. I feel that you should also know about the difficulties that we have recently had in ob- taining the classified information on this subject from the Executive Branch. As I previously noted, the staff of the Subcommittee on Evaluation has had an on- going study of intelligence of Nicaragua which bekan in late 1978. As part of that re- sponsibility the staff often makes visits to the CIA to talk with analysts and periodi- cally requests studies produced by the CIA and other intelligence agencies in Washing- ton, and in general has paid attention to what is going on. On 12 August of this year the staff made a routine request to talk with an analyst at CIA's National Foreign_Assessment Center about Nicaragua. The staff was told that they would not be able to talk with the ana- lyst at CIA since there was "a-Presidential Embargo" on talking about Nicaragua. I was unaware of this at the time Since this took place during the recess, but the staff was quite concerned. The Chairman of the Com- mittee, Mr. Boland, sent a letter to the Di- rector of Central Intelligence on this matter, on August 22. To date the CIA has not responded to that letter. I would further note that the staff was notified via telephone on September 10 that the embargo had been lifted and that dis- cussions could be held with CIA analysts. Two days later the President made his certi- fication that Nicaragua is not exporting ter- rorism and/or acting as a conduit for arms or sanctuary for revolutionaries in other Central American countries. On September 15 the staff of the House Intelligence Committee was briefed on Nica- ragua. The evidence of Sandinista export of violence and terrorism was presented. As a result of that briefing the staff requested certain materials from the CIA. One of those papers was a study produced for the National Security Council. Although the staff was allowed to read the study, as I was, we were not allowed to keep the paper. We were later given a study which, for the most part, is the same as the paper which had been supplied to the National Security Council. One of the other documents is still denied to us. At the salve time the staff was talking with analysts in the intelligence community and also reviewing production by the De- fense Intelligence Agency and the Depart- ment of State to ascertain if there was any kind of a dispute in regard to the facts, or if the intelligence was so ambiguous that dif- fering interpretations could be placed on it. The staff of the Subcommittee on Evalua- tion found that there is essentially no dis- agreement within the intelligence commu- nity on the evidence. There may be slight nuances here or there, but in general the community is in agreement. - While there is no intelligence issue, there is a policy issue. While the intelligence com- munity is reporting one thing about what is occurring in Nicaragua, our Chief Executive Officer, the President of the United States chooses to disregard that evidence and cer- tify Otherwise. It is clear that either the President hasn't read the same intelligence reports that I have, or he had received them through a filter. In either event, it is a seri- ous matter. I believe that you should ex- plore this matter in depth with the agen- cies. As I mentioned there -are documents Which the Intelligence Committee staff has requested which they have not received. They have been given various reasons arid excuses for why they cannot have them. My own view is that they touch on political sen- sitivities rather than sources and methods. Let me say that in the deliberations over the Intelligence Oversight Act of 1980, H.R. 7668, I was a firm proponent, along with my colleagues on the Committee, that the CIA deserved protection for intelligence sources and methods. Obviously. our nation's intelli- gence efforts need this kind of protection. However, they must not be manipulated by anyone to use the sources and methods caveat, to withhold information which is es- sentially politically sensitive rather than source sensitive. Let me reiterate that an embargo was placed on discussing this matter with the staff of a Committee of the Congress which is empowered to oversee the intelligence community, assess its perform- ance and evaluate-Its effectiveness. The em- bargo was removed only after the President made a political decision about the informa- tion. And at this time, some data is still being denied to us. It is very disturbing that the Central In- telligence Agency was directed to not pro- vide an answer to the Chairman of the House Permanent Select Committee on In- telligence to the questions that he asked in his letter of August 22. ? What we have is a case of the intelligence community being manipulated by the Ex- ecutive Branch to protect a political sensi- tivity. What dismays me is the political misuse of the intelligence community, which rightfully has a reputation for objec- tivity. The intelligence community must be free of political bias so that our decision makers can use their reports to reach deci- sions based on the facts of the matter, and not on desired political outcomes. - I look forward to hearing the testimony of the witnesses from the intelligence commu- nity. They have a hard problem in light of the President's certification. But, I am sure that they'Fill be candid with is th Committee.* DR. LAMAR DODD HON. DOUG BARNARD, JR. ,OP GEORGIA ? IN THE HOUSE OF REPRESENTATIVES Thursday, October 2, 1980: ? Mr. BARNARD. Mr. Speaker, I would like to take this opportunity to announce that a fine Georgian and a distinguished' American, Dr. Lamar Dodd, will present an 'illustrated lec- ture entitled "An Artist's Flight Into Painting" on October 22, 1980, at the theater of the National Air and Space Museum here in Washington. Dr. Dodd will explore the many entities that influence and stimulate an artist. Lamar Dodd has a long history of af- filiation with space exploration, and he has been involved for many years with the art program of the National Aeronautics and Space Administra- tion. Two favorite subjects of Dr. Dodd's paintings have been the explo- ration of space and the documentation of open heart surgery. He sees a defi- nite link between scientists who work In these two fields. A comparison of these two subjects will also be covered in this upcoming lecture. The contributions Dr. Lamar Dodd has made as an accomplished artist and educator for over 40 years cannot be overstated. He has works in the per- ? manent collections of the most prestigious museums in the country ? including the National Gallery, the Metropolitan Museum of Art, the Whitney Museum of American Art, and the Virginia Museum of Fine Art. Presently, Dr. Dodd is the regent's professor emeritus of art at the Uni- versity of Georgia where he served as head of the art department for 37 years. In 1937, Lamar Dodd was invited to join the University of Georgia faculty and 1 year later was made head of the art department. He then molded a na- tionally recognized department from the skeletal eight students and virtual- ly nonexistent budget that were there - when he took over. When Dr. Dodd re- tired 37_years later it was an outfit of ? = 1,200 art majors and was financed by a-. 7 - '7-digit budget plus many substantial grants from foundations. These monu- mental strides were made possible by the individual effort and excellent - leadership that Lamar Dodd provided. Mr. Speaker, I know I speak for all = - the Members of the House when I commend this fine American and ? grand artist and thank him for the multitude of contributions he has made to the world of art. I feel certain that the lecture he will deliver on Oc- tober 22 will equal the high standards ' he has set and maintained throughout his notable careen.) LIONS CLUBS * - HON. GERALDINE A. FERRARO OF NEW YORK IN THE HOUSE OF REPRESENTATIVES - Thursday, October 2, 1980 ? Ms. FERRARO. Mr. Speaker, on October 8, 1980, the Lions Clubs of the - Ninth Congressional District of New ' York, under the leadership of District Governor David Rennick, are corn- memorating World Lions Day. I would like to to use this forum to publically congratulate these clubs for their sue- - -0 cesses in the past, and continued good work in the future. - _ One of the major objectives of Lions Club is service to community members in need. Since they began in 1917, the Lions Clubs have made im- portant contributions through their humanitarian activities. They have fostered a better understanding among people around the globe. The " Lions Clubs are now represented in 149 countries, and have a total mem- bership of 1.3 million. - I have had, as have so many of my colleagues in the House, the opportu- nity to speak before local Lions Clubs, to work with them toward our mutual -goal of bettering our neighborhoods? and to rely upon them to help all of us who seek to improve the quality of life In our communities. Their record of service is one of which they can be proud, for it signifies a commitment - ? which is deeply embedded in American culture. Declassified and Approved For Release 2013/09/13: CIA-RDP11M01338R000400470029-8 co A ill that RECt degr the . legis Want vers3 eral Polk the comn now rnitte I us exten Print( on pa: The bers COMM gUiEhf ? mittee In th; House clear unrest The Democ sent tc the De Septerz petitiol meetin resolut respect A cauci when t Noveml CONG: WCU Hon. Ric Ozainne. 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