S. 11--INTRODUCTION OF BILL-- THE INTERGOVERNMENTAL PERSONNEL ACT OF 1969

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP71B00364R000500140002-6
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 30
• Document Creation Date: December 9, 2016
• Document Release Date: August 31, 2000
• Sequence Number: 2
• Publication Date: January 15, 1969
• Content Type: OPEN

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January 1', 1969 CONGRESS
(18~ rape; (c) An order for the payment of compen- support of citizen groups devoted to the
(17) attempted rape; sction under this Act shall not affect the public interest, and it was passed by a
(18) other crimes involving force to the right of any person to recover damages from substantial majority. Unfortunately, the
person. any other person by a civil action for the other House did not have an opportunity
NAT1IRE OF "rH C0SSPEHSATION injury or death.
TITLE V-MISCELLANEOUS to act on it, and it died with the adjourn-
SEC. 303. The Commission may order the merit of Congress.
payment of compensation under this Act REPORTS TO THE CONGRESS The bill which I and others are intro-
for- SEC. 501. The Commission shall transmit to ducing today is almost identical with the
(a) expenses actually and reasonably in- the President and to the Congress annually bill which was reported to the Senate
curred as a result of the personal injury or "a report of its activities under this Act in- in the last Congress. It is crucially im-
death of the victim; eluding the name of each applicant, a brief to the successful execution of
(b) loss of earning power as a result of description of the facts in each case, and portant
total or partial' incapacity of such victim; the amount, if any, of compensation the wide-ranging programs of Federal
(c) pecuniary loss to the dependents of awarded. aid to State and local government
the deceased victim; PENALTIES which Congress has authorized. It is
(d) pain and suffering of the victim; and SEC. 502. The provisions of section 1001 of urgently necessary in order that gov-
(e) any other pecuniary loss resulting title 18 of the United States Code shall apply ernment below the Federal level may
from the personal injury or death of the to any application, statement, document, or assume its full share of responsibility
victim which the Commission determines to information presented to the Commission
for the public services demanded in this
be reasonable, under this Act.
LIMITATIONS UPON AWARDING COMPENSATION APPROPRIATIONS period of rapid growth and social
change.
SEC. 304. (a) No order for the payment of SEC. 503. There are hereby authorized to We have delayed much too long in
compensation shall be made under section be appropriated such sums as may be nec- dealing with the critical shortage of
801 of this Act unless the application has essary to carry out the provisions of this properly qualified personnel for the pub-
been made within two years after the date of Act.
the personal injury or death. EFFECTIVE DATE lic service. Since the great expasion in
(b) No compensation shall be awarded SEC. 504. This Act shall take effect on public programs that occurred during
under this Act to or on-behalf of any victim January 1, This depression thirties, government has
been chronically deficient in manpower.
in an amount in excess of $25,000. 1970.
(c) No compensation shall be awarded if Take, for example, this statement from
the victim was at the time of the personal
injury or death of the victim living with S. 11-INTRODUCTION OF BILL- the report of the Commission of Inquiry
the offender as his wife or her husband ar- INTERGOVERNMENTAL PER- on Public Service Personnel, in 1933:
in situations when the Commission at its SONNEL ACT OF 1969 In spite of the vital importance of gov-
discretion feels unjust enrichment to or on ernment and governmental services, Ameri-
behalf of the offender would result. Mr. MUSKIE. Mr. President, on behalf can national, State, and local governments
TERMS OF THE ORDER of myself and Senators ANDERSON, BAYH, do not at the present time attract to their
SEC. 305. (a) Except as otherwise provided BROOKE, BYRD of West Virginia, DODD, service their full share of the men and
in this section, any order for the payment ERVIN, GRAVEL, HART, HATFIELD, INOUYE, women of capacity and character. This is
of compensation under this Act may be made JACKSON, KENNEDY, MCCARTHY, MCGEE, due primarily to our delay in adjusting our
on such terms as the Commission deems MCGOVERN, METCALF, MONDALE, MON- attitudes, institutions, and public personnel
policies to
ropriots. TOYA, Moss, NELSON, FELL, RANDOLPH, fit social and economic changes of
app the past seventy years.
(b) The Commission shall deduct from RIBICOFF, TYDINGS, YARBOROUGH, and
any payments awarded under section 301 of YOUNG of Ohio, I introduce, for appro- This must now be revised to read-
this Act any payments received by the victim priate reference, the Intergovernmental "the past hundred years," since 35 years
or by any of his dependents from the offender Personnel Act of 1969, to strengthen in- have passed since that report and we
or from any person on behalf of the offender,
or from the United States (except those re- tergovernmental cooperation and the ad- have still not taken the obviously needed
ceived under this Act), a State or any of its ministration of grant-in-aid programs, actions.
-subdivisions, for personal injury or death to extend State and local merit systems The present state of the public service
compensable under this Act, but only to the to additional programs financed by Fed- was characterized in these terms by the
extent that the sum of such payments and eral funds, to provide grants for im- Committee on Economic Development in
any award under this Act are in excess of provement of State and local personnel its recent report, "Modernizing Local
the total compensable injuries suffered by administration, to authorize Federal as- Government To Secure a Balanced Fed-
the victim as determined by the Commission. sistance in training State and local em- eralism":
(c) The Commission may at any time, on
its own motion or on the application of the ployees, to provide grants to State and Positions requiring knowledge of modern
Attorney General, or of the victim or his de- local governments for training of their technology are frequently occupied by un-
pendents, or of the offender, vary any order employees, to authorize interstate Com- qualified personnel.
for the payment of compensation made pacts for personnel and training activi- Except in large cities, most department
under this Art III such manner as the Com- ties, to facilitate the interchange of Fed- heads are amateurs.
mission thinks fit, whether as to terms of the eral, State, and local personnel, and for The spoils system still prevailing in parts
of
order or by increasing or decreasing the other purposes. the nation has deep roots in many local
amount of the award or otherwise. governments.
I also ask unanimous consent that Pay scales are usually too low to attract
TITLE IV-RECOVERY OF COMPENSATION the text and a section-by-section analy- competent professional applicants.
RECOVERY. FROM OFFENDER sis of the bill be printed in the RECORD
Such conditions are deplorable from
SEC. of 401. an Whenever any person is con- following my remarks. any point of view, but they are intoler-
merit victed of of an offense compensation and is an or order has for been the made e pag Mr. President, among the bills passed able when we consider that the vast pro-
under this Act for a personal injury or death by the Senate in the last Congress was Intergovernmental Personnel Act of grams of Federal aid, costing some $20
resulting from the act or omission consti- the billion a year, are largely dependent upon
tuting such offense, the Commission may in- 1967, which was a set of measures de- State and local governments for their ex-
stitute an action against such person for signed to help strengthen State and local ecution.
the recovery of the whole or any specified governments through improved person- The burden carried by government be-
part of such compensation in the district nel administration and more efficient re- low the Federal level grows constantly.
court of the United States for any judicial cruitment and training of personnel, Citizens are demanding better education
district in which such person resides or is administrative, tech-
found, Such court shall have jurisdiction to particularly in the for their children, more and better roads
hear, determine, and render judgment in any nical, and professional categories. and public transit systems, clean and
such action. That bill was reported to the Senate plentiful water, unpolluted air, better
(b) Process of the district court for any from the Government Operations Com- police and fire protection, more and bet-
judicial district in any action under this mittee after several years of study, fol- ter recreation facilities, more and better
section may be served in any other judicial lowed by extensive hearings held by the health care and hospitals, programs for
district by the United States marshal thereof. Subcommittee on Intergovernmental enlarging job opportunities, and many
Whenever it appears to the court in which Relations. It came to the floor of the other services.
any action under this section is pending
that other parties should be brought before Senate with the sponsorship of 16 Sen- In response to these demands, State
the court in such action, the court may cause ators, the endorsement of governors, and local government employment has
such other parties to be summoned from any mayors, and other public officials been expanding at a rate of growth four
judicial district of the United States. throughout the country, and the strong times that of the U.S. economy and seven
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S 24 CONGRESSIONAL RECQRD - SENATE January 15,1969
times that of the Federal Government. Sixth. Authorize the Civil Service
In the decade from 1955 to 1965 State and Commission to make grants to State and
local employment increased from 4.7 to local governments and other appropriate
7.7 million persons, and is expected to ex- organizations for carrying out approved
ceed 11 million by 1975. Total recruiting plans for training State and local gov-
needs for administrative, professional, ernment employees, for the development
and technical employees are estimated of such plans by State and local gov-
at 250,000 a year. ernments, and for government service
It is to this crisis of governmental man- fellowships for employees selected for
power that the Intergovernmental Per- special graduate-level university train-
sonnel Act of 1969 is addressed. The bill ing.
provides for a system of Federal financial Seventh. Authorize the Civil Service
and technical assistance and other Fed- Commission to join with State and local
eral support of State and local govern- governments in cooperative recruitment
meat
f
s
or personnel administration,
training, and recruitment, on a purely
voluntary basis. The authorities granted
by the bill would be employed in such
a manner as to encourage innovation and
allow for diversity on the part of State
and local governments in the design,
execution, and management of their own
systems of personnel administration and
their own training programs.
The bill would:
First. Provide for intergovernmental
cooperation, through an advisory coun-
cil appointed by the President, in the
development of policies and standards
for the administration of programs for
improvement of State and local person-
nel administration and training. The ad-
visory council would report from time to
time to the President and to the Con-
gress, and in transmitting to the Con-
gress reports of the advisory council, the
President would submit to the Congress
proposals of legislation which he deems
desirable to carry out recommendations
of the advisory council.
Second. Authorize the Civil Service
Commission to make grants to State and
local governments to plan and to make
improvements in their systems of per-
sonnel administration.
Third. Transfer to the Civil Service
Commission responsibility for adminis-
tration of existing Federal statutory pro-
visions requiring merit personnel ad-
ministration for State and local employ-
ees engaged in certain federally assisted
programs.
Fourth. Authorize Federal agencies to
admit State and local government offi-
cials qnd employees, particularly in ad-
ministrative, professional, and technical
occupations, to Federal training pro-
grams. To meet the costs resulting from
the admission of State or local em-
ployees or officials to such training pro-
grams, the Federal agency concerned
may use its appropriations or may be
reimbursed by State or local govern-
ments, or the Civil Service Commission
may use its appropriations to reimburse
the Federal agency concerned or make
advances toward these costs.
Fifth. Authorize Federal agencies ad-
ministering programs of financial grants
or assistance to State or local govern-
ments to provide special training for
State and local government officials or
employees who have responsibilities re-
lated to those programs; and permit
State and local governments to use ap-
propriate Federal funds to establish
training courses for or to pay certain
education expenses of their officials or
employees who have responsibilities re-
lated to the program concerned.
and examining activities and to furnish
technical advice and assistance, at the
request of State and local governments,
to strengthen personnel administration.
Eighth. Give consent of Congress to
interstate compacts designed to improve
personnel administration: and training
for State. and local employees.
Ninth. Authorize the temporary ex-
changing of personnel between the Fed-
eral Government and States and local
governments.
Tenth. Direct the Civil Service Com-
mission to coordinate activities of Fed-
eral agencies in providing training and
technical assistance services to State and
local governments, so as to avoid dupli-
cation of effort and to insure maximum
effectiveness of administration.
Mr. President, I hope that this bill can
be given early consideration in the Sen-
ote, and that it will receive final ap-
proval by the Congress in time for It to
be put into execution before the end of
1969.
The PRESIDING OFFICER. The bill
will be received and appropriately re-
ferred; and, without objection, the bill
and section-by-section analysis of the
bill will be printed in the; RECORD.
The bill (S. 11) to reinforce the Fed-
eral system by strengthening the per-
sonnel resources of State and local gov-
ernments, to improve intergovernmental
funds, a national interest exists in a high
caliber of public service in State and local
governments.
That the quality of public service at all
levels of government can be improved by
the development of systems of personnel
administration consistent with such merit
principles as-
(1) recruiting, selecting, and advancing
employees on the basis of their relative abil-
ity, knowledge, and skills, including open
consideration of qualified applicants for ini-
tial appointment;
(2) providing equitable and adequate
compensation;
(3) training employees, as needed, to as-
sure high-quality performance;
(4) retaining employees on the basis of
the adequacy of their performance, correct-
ing Inadequate performance, and separating
employees whose inadequate performance
cannot be corrected;
(5) assuring fair treatment of applicants
and employees in all aspects of personnel
administration without regard to political
affiliation, race, color, national origin, sex,
or religious creed and with proper regard
for their privacy and constitutional rights
as citizens; and
(6) assuring that employees are protected
against coercion for partisan political pur-
poses and are prohibited from using their
official authority for the purpose of inter-
fering with or affecting the result of an elec-
tion or a nomination for office.
That Federal financial and technical as-
sistance to State and local governments for
strengthening their personnel administra-
tion in a manner consistent with these prin-
ciples is in the national interest.
SEC. 3. The authorities provided by this
Act shall be administered in such manner as
to recognize fully the rights, powers, and
responsibilities of State and local govern-
ments.
I-DEVELOPMENT OF POLICIES
AND STANDARDS
DECLARATION OF I`URPOSE
SEC. 101. The purpose of this title is to pro-
vide for intergovernmental cooperation in
the development of policies and standards
for the administration of programs author-
ized by this Act.
cooperation in the administration of ADVISORY COUNCIL
grant-in-aid programs, to provide grants SEC. 102. (a) Within one hundred and
for improvement of State and local per- eighty days following the date of enactment
sonnel administration, to authorize Fed- of this Act, the President shall appoint, with-
eral assistance in training State and lo- S
out to tatesgCode, the
veining appointments in lthe
Cal employees, to provide grants to State competitive service, an advisory council on
and local governments for training of intergovernmental personlili policy.
their employees, to authorize interstate (b) The advisory council, of not to exceed
compacts for personnel and training ac- fifteen members, shall be composed pri-
tivities, to facilitate the temporary as- marily of officials of the Federal Government
signmerit of personnel between the Fed- and State and local governments, but shall
also include
eral Government, and State and local tional and members training eitorselected from eduza-
governments, and for other purposes was tions, public employee organizations, an iynoand
d
received, read twice by its title, referred the general public. At least half of the gov-
to the Committed on Government Oper- ernmental members shall be officials of State
ations, and ordered to be printed in the and local governments. The President shall
RECORD, as follows: designate a Chairman and a Vice-Chairman.
S. 11 from among the members of the advisory
council.
it enacted by the Senate and House of .
Representatives of the Unified States of cou(c) It shall ncil to study band make v) Iof advisory
t shall be the duAmerica in Congress assembled, regarding personnel policies and programs
DECLARATION OF POLICY for the purpose of-
SEC. 2. The Congress hereby finds and (1) improving the quality of public ad-
declares- ministration at State and local levels of gov-
That effective State and local govern- ernment, particularly in connection with
mental institutions are essential in the main- programs that are financed in whole or in
tenance and development of the Federal part from Federal funds;
system in an increasingly complex and in- (2) strengthening the capacity of State
terdependent society. and 'local governments to deal with complex
That, since numerous governmental ac- problems confronting them:
tivities administered by the State and local (3) aiding State and local governments in
governments are related to national put- training their professional. administrative,
pose and are financed in part by Federal and technical employees and officials;
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(4) aiding State and local governments in grant under subsection (a) of this section
developing systems of personnel administra- only if the application therefor-
tion that are responsive to the goals and (1) provides for designation, by the Gav-
needs of.their programs and effective in at- ernor or chief executive authority, of the
(5) facilitating temporary assignments of
personnel between the Federal Government
and State and local governments and institu-
tions of higher education.
(d) Members of the advisory council who
are not regular full-time employees of the
United States, while serving .on the business
of the council, including travel time, may
receive compensation at rates not exceeding
the daily rate for GS-18; and while so serv-
ing away from their homes or regular places
of business, all members may be allowed
travel expenses, including per diem in lieu of
subsistence, as authorized by section 5703 of
title 5, United States Code, for Individuals in
the Government service employed intermit-
tently.
REPORTS OF ADVISORY COUNCIL
SEC. 10$. (a) The advisory council on inter-
governmental personnel policy shall from
time to time report to the President and to
the Congress its findings and recommenda-
tions.
(b) Not later than eighteen months after
its establishment, the advisory council shall
submit an initial report on its activities,
which shall include its views and recommen-
dations ofi-
(1) the feasibility and desirability of ex-
tending merit policies and standards to ad-
ditional Federal-State grant-in-aid pro-
grams;
(2) the feasibility and desirability of ex-
tending merit policies and standards to
grant-in-aid programs of a Federal-local
character;
(3) appropriate standards for merit per-
sonnel administration, where applicable, in-
cluding those established by regulations with
respect to existing Federal grant-in-aid pro-
grams; and
(4) the feasibility and desirability of fi-
nancial and other incentives to encourage
State and local governments in the develop-
ment of comprehensive systems of personnel
administration based on merit principles.
(c) In transmitting to the Congress re-
ports of the advisory council, the President
shall submit to the Congress proposals of
legislation which he deems desirable to carry
out the recommendations of the advisory
council.
TITLE II-STRENGTHENING STATE AND
LOCAL PERSONNEL AiMINISTRATION
DECLARATION OF PURPOSE
SEC. 201. The ?purpose of this title is to
assist State and local governments to
strengthen their staffs by improving their
personnel administration.
STATE GOVERNMENT AND STATEWIDE PROGRAMS
AND GRANTS
SEC. 202, (a) The United States Civil
Service Commission (hereinafter referred to
as the Commission) is authorized to make
grants to States for up to 75 per centum of
the costs of developing and of carrying out
programs or projects which the Commission
finds are consistent with the applicable prin-
clples set forth in clauses (1)-(6) of the
third paragraph of section 2 of this Act, to
strengthen State and local government per-
sonnel administration and to furnish needed
personnel administration services to local
governments in that State. The authority
provided by this section shall be employed
in such a manner as to encourage innova-
tion and allow for diversity on the part of
State and local governments in the design,
execution, and management of their own
systems of personnel administration.
(b) An application for a grant shall be
made at such time or times, and contain
such information, as the Commission may
prescribe. The Commission may make a
State office that will have primary authority
and responsibility for the development and
administration of the approved program or
project at the State level;
(2) provides for the establishment of
merit personnel administration where ap-
propriate and the further improvement of
existing systems based on merit principles;
(3) provides for specific personnel admin-
istration improvement needs of the State
government and, to the extent appropriate,
of the local governments in that State, in-
cluding State personnel administration serv-
ices for local governments;
(4) provides assurance that the making
of a Federal Government grant will not re-
sult in a reduction in relevant State or local
government expenditures or the substitu-
tion of Federal funds for State or local
funds previously made available for these
purposes; and
(5) sets forth clear and practicable ac-
tions for the improvement of particular as-
pects of personnel administration such as-
(A) establishment of statewide personnel
systems of general or special functional cov-
erage to meet the needs of urban, suburban,
or rural governmental jurisdictions that are
not able to provide sound career services,
opportunities for advancement, adequate re-
tirement and leave systems, and other career
inducements to well-qualified professional,
administrative, and technical personnel;
(B) making State grants to local govern-
ments to strengthen their staffs by improv-
ing their personnel administration;
(C) assessment of-State and local govern-
ment needs for professional, administrative,
and technical manpower, and the initiation
of timely and appropriate action to meet
such needs;
(D) strengthening one or more major areas
of personnel administration, such as recruit-
ment and selection, training and develop-
ment, and pay administration;
(E) undertaking research and demonstra-
tion projects to develop and apply better
personnel administration techniques, includ-
ing both projects conducted by State and
local government staffs and projects con-
ducted by colleges or universities or other
appropriate nonprofit organizations under
grants or contracts;
(F) strengthening the recruitment, selec-
tion, assignment, and development of handi-
capped persons, women, and members of dis-
advantaged groups whose capacities are not
being utilized fully;
(0) achieving the most effective use of
scarce professional, administrative, and tech-
nical manpower; and
(H) increasing intergovernmental cooper-
ation in personnel administration, with re-
spect to such matters as recruiting, exam-
ining, pay studies, training, education, per-
sonnel interchange, manpower utilization,
and fringe benefits.
LOCAL GOVERNMENTS AND GRANTS
SEC. 203. (a) The Commission is author-
ized to make grants to general local govern-
ments, or combinations of such governments,
that serve a population of fifty thousand or
more, for up to 75 per centum of the cost of
developing and carrying out programs or
projects which the Commission finds are con-
sistent with the applicable principles set
forth in clauses (1)-(6) of the third para-
graph of section 2 of this Act, to strengthen
the personnel administration of such govern-
ments. Such a grant may be made only if,
at the time of the submission of an applica-
tion, the State concerned does not then cur-
rently have an approved application for a
grant adequately providing, in the judgment
of the Commisson, for assistance in strength-
ening the personnel administration of that
local government or combination of local
governments. However, such a grant, except
as provided in subsection (b) (1) of this sec-
tion, may not be made until the expiration
of one year from the effective date of the
grant provisions, as provided in section 513
of this Act.
(b) An application for a grant from a gen-
eral local government or combination of gen-
eral local governments shall be made at such
time or times and shall contain such infor-
mation as the Commission may prescribe.
The Commission may make a grant under
subsection (a) of this section only if the ap-
plication therefor meets requirements similar
to those established in section 202(b) of this
Act for a State application for a grant, un-
less any such requirement is specifically
waived by the Commission, and the require-
ments of subsection (c) of this section. Such
a grant may cover the costs of developing the
program or project covered by the applica-
tion. The Commission may-
(1) waive, at the request of a general local
government or combination of such govern-
ments, ments, the one-year waiting period, unless
the State concerned declares, within ninety
days from the effective date of the grant pro-
visions, as provided in section 513 of this
Act, an indent to file an application for a
grant that will provide adequately for as-
sistance to the local government or govern-
ments; and
(2) make grants to general local govern-
ments, or combinations of such govern-
ments, that serve a population of less than
fifty thousand, If it finds that such grants
will help meet essential needs in programs
or projects of national interest and will as-
sist general local governments experiencing
special problems in personnel administra-
tion related to such programs or projects.
(c) An application to be submitted to the
Commission under subsection (b) of this
section shall first be submitted by the gen-
eral local government or governments to the
State office designated under section 202(b)
(1) of this Act for review, except that, if
no State office has been so designated, such
application shall be submitted to the Gov-
ernor for his review. Any comments and rec-
ommendations of the State office or of the
Governor, as the case may be, and a state-
ment by the general local government or
governments that such comments and rec-
ommendations have been considered prior
to its formal submission will accompany the
application to the Commission. However, the
application need not be accompanied by
such comments and recommendations and
by such a statement if the general local
government or governments certify that the
application has been before the State office
or the Governor, as the case may be, for re-
view for a period of sixty days without com-
ments or recommendations on the applica-
tion being made by that office.
INTERGOVERNMENTAL COOPERATION IN
RECRUITING AND EXAMINING
SEC. 204. (a) The Commission may join,
on a shared-costs basis, with State and local
governments in cooperative recruiting and
examining activities under such procedures
and regulations as may jointly be agreed
upon.
(b) The Commission also may, on the writ-
ten request of a State or local government
and under such procedures as may be joint-
ly agreed upon, certify to such governments
from appropriate Federal registers the names
of potential employees. The State or local
government making the request shall pay
the Commission for the costs, as determined
by the Commission, of performing the serv-
ice, and such payments shall be credited to
the appropriation or fund from which the
expenses were or are to be paid.
TECHNICAL ASSISTANCE
SEC. 205. The Commission may furnish
technical advice and assistance, on request,
to the State and general local governments
seeking to improve their systems of person-
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S250 CONGRESSIONAL RECORD - SENATE January 15,
nel administration. The Commission may ac-
cept from such governments payments, in
whole or in part, for the costs of furnishing
such assistance. All such payments shall be
credited to the appropriation or fund from
which the expenses were or are to be paid.
COORDINATION OF FEDERAL PROGRAMS ,
SEC. 206. The Commission, after consulta-
tion with other agencies concerned, shall-
(1) coordinate the personnel :administra-
tion support and technical assistance given
to State and local governments and the sup-
port given State programs or projects to
strengthen local government personnel ad-
ministration, including the furnishing of
needed personnel administration services and
technical assistance, under authority of this
Act with any such suppart given under other
Federal programs; and
(2) make such arrangements, including
the collection, maintenance, and dissemina-
tion of data on grants for strengthening
State and local government personnel ad-
ministration and on grants to States for
furnishing needed personnel administration
services and technical assistance to local gov-
ernments, as needed to avoid duplication
and insure consistent administration of re-
lated Federal activities.
INTERSTATE COMPACTS
SEC. 207, The consent of the Congress is
hereby given to any two or more States to
enter into compacts or other agreements, not
in conflict with any law of the United States,
for cooperative efforts and mutual assistance
(including the establishment of appropriate
agencies) in connection with the develop-
ment and administration of personnel and
training programs for employees and officials
of State and local governments.
TRANSFER OF FUNCTIONS
SEC. 206. (a) There are hereby transferred
to the Commission all functions, powers, and
duties of-
(1) the Secretary of Agriculture under sec-
tion 10(a) (2) of the Food Stamp Act of
1964 (7 U.S.C. 2019(e)(2));
(2) the Secretary of Labor under--
(A) the Act of June 6, 1933, es amended
(29 U.S.C. 40 et seq.) ; and
(B) section 303(a) (1) of the Social Se-
curity Act (42 U.S.C. 503(a) (1) ) ;
(3) the Secretary of Health, Education, and
Welfare under-
(A) sections 134(a) (6) and 204(a) (6) of
the Mental Retardation Facilities and Com-
munity Health Centers Construction Act of
1963 (42 U.S.C. 2674(a) (6) and 2684(a)(6));
(B) section 303(a) (5) of the Older Amer-
icans Act of 1965 (42 U.S.C. 3023(a) (5) );
(C) sections 314 (a) (2) (F) and (d) (2)
(F) and 604(a) (8) of the Public Health
Service Act (42 U.S.C. 246 (a) (2) (F) and
(d) (2) (F) and 201d (a) (8) ); and
(D) sections 2(a) (5), 402(a) (5), 503(a) (3),
513(a)(3), 1002(a)(5), 1402(a)(5), 1062(a)
(5), and 1902(a) (4) of the Social Security
Act (42 U.S.C. 302(a) (5), 602(a) (5), 703(a)
(3), 713(a)(3), 1202(a)(5), 1352(a)(5),
1382(a)(5), and 1396a(a)(4)); and
(4) any other department, agency, office,
or officer (other than the President) under
any other provision of law or regulation ap-
plicable to a program of grant-in-aid that
specifically requires the establishment and
maintenance of personnel standards on a
merit basis with respect to the program;
insofar as the functions, powers, and duties
relate to the prescription of personnel stand-
ards on a merit basis.
(b) The Commission shall-
(1) provide consultation and technical ad-
vice and assistance to State and local govern-
ments to aid them in complying with stand-
ards prescribed by the Commission under
subsection (a) of this section; and
(2) advise Federal agencies administering
programs of grants or financial assistance as
to the application of required personnel cad-
ministration standards, and recommend and
coordinate the taking of such. actions by the
Federal agencies as the Comrjlission consid-
ers will most effectively carry out the purpose
of this title.
(c) So much of the personnel, property,
records, and unexpended balances of appro-
priations, allocations, and other funds of any
Federal agency employed, used, held, avail-
able, or to be made available: in connection
with the functions, powers, and duties vested
in the Commission by this section as the
Director of the Bureau of the Budget shall
determine shall be transferred to the Com-
mission at such time or times as the Director
shall direct.
(d) Personnel standards ,prescribed by
Federal agencies under laws and regulations
referred to in subsection (a) of this section
shall continue in effect until modified or
superseded by standards prescribed by the
Commission under subsection (a) of this
section.
(e) Any standards or regulations estab-
lished pursuant to the provisions of this
section shall be such as to encourage inno-
vation and allow for diversity, on the part of
State and local governments; in the design,
execution, and management of their own in-
dividual systems of personnel administration.
(f) Nothing in this section or in section
202 or 203 of this Act shall be!construed to-
(1) authorize any agency or official of the
Federal Government to exercise any author-
ity, direction, or control over the selection,
assignment, advancement, retention, com-
pensation, or other personnel action with
respect to any individual State or local
employee;
(2) authorize the application of person-
nel standards on a merit basis to the teach-
ing personnel of educational institutions or
school systems;
(3) prevent participation by employees or
employee organizations in the formulation
of policies and procedures affecting the con-
ditions of their employment, subject to the
laws and ordinances of the State or local
government concerned;
(4) require or request any State or local
government employee to disclose his race,
religion, or national origin, or the race,
religion, or national origin, of any of his
forebears;
(5) require or request any State or local
government employee, or any, person apply-
ing for employment as a State or local gov-
ernment employee, to submit to any inter-
rogation or examination or to. take any psy-
chological test or any polygr4ph test which
is designed to elicit from him information
concerning his personal relationship with
any person connected with him by blood or
marriage, or concerning his religious beliefs
cr practices, or concerning his attitude or
conduct with respect to sexual matters; or
(6) require or request any' State or local
government employee to participate in any
way in any activities or undertakings unless
such activities or undertakings are related to
the performance of official duties to which he
is or may be assigned or to the development
of skills, knowledge, or abilities which qual-
ify him for the performance of such fiuties.
(g) This section shall become effective
sixty days after the date of enactment of
this Act.
TITLE III-TRAINING AND, DEVELOPING
STATE AND LOCAL EM~'LOYEES
DECLARATION OF PURPOSE
SEc. 301. The purpose of this title is to
strengthen the training and development of
State and local government employees and
officials, particularly in professional, admin-
istrative, and technical fields.
ADMISSION TO FEDERAL EMPLOYEE TRAINING
PROGRAMS
SEC. 302. (a) In accordance with such con-
ditions as may be prescribed by the head of
the Federal agency concerned, a Federal
agency may admit State and local govern-
ment employees and officials to agency train-
ing programs established for Federal pro-
fessional, administrative, or technical per-
sonnel.
(b) Federal agencies are authorized to re-
ceive payments from, or on behalf of, State
and local governments for the costs of train-
ing provided under this section, and to enter
into agreements with them for this purpose.
The head of the Federal agency concerned
may waive all or part of such payments. Pay-
ments received by the Federal agency con-
cerned for training under this section shall
be credited to the appropriation or fund used
for paying the training costs.
(c) The Commission may use 'appropria-
ti.ms authorized by this Act to pay the addi-
tional developmental or overhead costs that
are incurred by reason of admittance of State
and local government employees to Federal
training courses and to reimburse other Fed-
eral agencies for such costs.
TRAINING Or PERSONNEL ENGAGED IN GRANT-111T-
AID PROGRAMS
SEC. 303. (a) Any Federal agency admin-
istering a program of grants or financial as-
sistance to State or local governments may- -
(1) establish, provide, and conduct train-
ing programs for employees and officials of
State and local governments who have re-
sponsibilities related to the federally aided
program, and, to the same extent provided
in section 302(b) of this Act, receive or waive
payments for such training and credit any
such payments to the appropriation or fund
used for paying the training costs; and
(2) authorize State and local govern-
ments-
(A) from Federal funds available for
State or local program administration ex-
penses under grants or financial assistance;
or
(B) from other Federal grant or financial
assistance funds when so provided in appro-
priation or other Acts;
to establish, conduct, provide, and support
training and education programs for their
employees and officials who have responsi-
bilities related to the federally aided pro-
gram, including internship, work-study, fel-
lowship, and similar programs if approved
by the Federal agency concerned, provided
that full-time, graduate-level education sup-
ported under this subsection shall be con-
sistent with provisions made for Government
Service Fellowships under section 306 of this
Act.
(b) The State or local government con-
cerned shall-
(1) in accordance with eligibility criteria
prescribed by the Federal agency concerned,
select the individual employees and officials
to receive education and training in pro-
grams established under this section; and
(2) during the period of the education or
training, continue the full salary of the
employee or official concerned and normal
employment benefits such as credit for
seniority, leave accrual, retirement, and in-
surance.
GRANTS TO STATE AND LOCAL GOVERNMENTS
FOR TRAINING
SEc. 304. (a) If in its judgment training
Is not adequately provided for under grant-
In-aid or other statutes, the Commission is
authorized to make grants to State and gen-
eral local governments for up to 76 per
centum of the cost of developing and carry-
ing out training and education programs for
their professional, administrative, and tech-
nical employees and officials, which the Com-
mission finds are consistent with the applica-
ble principles set forth in clauses (1)-(6)
of the third paragraph of section 2 of this
Act. Such grants may not be used to cover
costs of full-time graduate-level study, pro-
vided for in section 306 of this Act, or the
costs of the construction or acquisition of
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facilities, The State and local gov- 'general local governments experiencing spe- (2) during the period of the fellowship,
training
ernment share of the cost of developing and cial needs for personnel training. and educa- continue the full salary of the recipient and
carrying out training and education plans tion related to such programs or projects. normal employment benefits such as credit
and programs may include, but shall not (d) An application to be submitted to the for seniority, leave accrual, retirement, and
consist solely of, the reasonable value of fa- Commission under subsection (c) of this sec- insurance; and
cilities and of supervisory and other personal tion shall first be submitted by the general (3) make appropriate plans for the utiliza-
services made available by such governments. local government or governments to the State tion and continuation in public service of
The authority provided by this section shall office designated under section 304(b) (1) of employees completing fellowships and out-
be employed in such a manner as to en- this Act for review, except that, if no State line such plans in the application for the
courage innovation and allow for diversity office has been so designated, such applica- grant.
on the part of State and local governments tion shall be submitted to the Governor for COORDINATION OF FEDERAL PROGRAMS
in developing and carrying out training and his review. Any comments and recommends- SEC. 307. The Commission, after consulta-
education programs for their personnel. tions of such State office or the Governor, as tion with other agencies concerned, shall-
(b) An application for a grant from a State the case may be, and a statement by the gen- (1) prescribe regulations concerning ad-
or general local government shall be made eral local government or governments that ministration of training for employees and
at such time or times, and shall contain such such comments and recommendations have officials of State and local governments pro-
information, as the Commission may pre- been considered prior to its formal submis- vided for in this title, including require-
scribe. The Commission may make a grant sion will accompany the application to the merits for coordination of and reasonable
under subsection (a) of this section, only if Commission. However, the application need consistency in such training programs;
the application therefor meets requirements not be accompanied by such comments and (2) coordinate the training support given
established by this subsection unless any recommendations and by such a statement to State and local governments under au-
requirement is specifically waived by the if the general local government or govern- thority of this Act with training support
Commission. Such grant to a State, or to a ments certify that the application has been given such governments under other Federal
general local government under subsection before such State office or the Governor, as programs; and
(c) of this section, may cover the costs of the case may be, for review for a period of (3) make such arrangements, including
developing the program covered by the ap- sixty days without comments or recommen- the collection and maintenance of data on
plication. The program covered by the ap- dations on the application being made by training grants and programs, as may be
plication shall- that office. necessary to avoid duplication of programs
(1) provide for designation, by the Gov- GRANTS TO OTHER ORGANIZATIONS providing for training and to insure con-
ernor or chief executive authority, of the SEC. 305. (a) The Commission is author- sistent administration of related Federal
and spoe that will have develop ent and ized to make grants to other organizations training activities.
and responsibility for pre develo at pme the nt and State to pay up to 75 per centum of the costs of TITLE IV-MOBILITY OF FEDERAL, STATE,
administration of the program providing training to professional, adminis- AND LOCAL EMPLOYEES
level; trative, or technical employees and officials DECLARATION OF PURPOSE co- (i provide, to the extent tfeasible, raining available ble of State or local governments if the SEC. 401. The purpose of this title is to
urd under rn with relevant Federal Gov- ov- Commission- provide for the temporary assignment of per-
under t supported by other 1) finds substantial State and local gov-
ernment programs or grants; ( sonnel between the Federal Government and
_-`(3) provide for training needs of the State ernment interest in the proposed program; State and local governments and institu-
government and of local governments in and tions of higher education.
that State; (2) approves the program as meeting such UNITED STATES
(4) provide, to the extent feasible, for in- requirements as may be prescribed by the AMENDMENTS TO TITLE TLE 5,
tergovernmental cooperation in employee Commission in its regulations. pursuant to SEC. 402. (a) Chapter 33 of title 5, United
training matters, especially within metro- this Act. States Code, is amended by inserting the fol-
politan or regional areas; and (b) For the purpose of this section "other
(5) organization" means- lowing new subchapter at the end thereof:
Provide
Government ssurance that the making
a Federal Gogrant will not result lt (1) a national, regional, statewide, area- "SUBCHAPTER _FROM STAES ASSIGNMENTS TO AND
in 'a reduction in relevant State or local gov- wide, or metropolitan organization, repre-
ernment expenditures or the substitution of senting member State or local governments; "? 3371. Definitions
Federal funds for State or local funds pre- (2) an association of State or local public "For the purpose of this subchapter-
viously made available for these purposes. officials; or "(1) `State' means-
(c) A grant authorized by subsection (a) (3) a nonprofit organization one of whose ,.(A) a State of the United States, the Dis-
trict this section may be made to a general principal functions is to offer professional trict of Columbia, the Commonwealth of
local government, or a combination of such advisory, research, development, educational Puerto Rico, and a territory or possession of
governments, that serves a population of or relate services to governments. the United States; and
fifty thousand or more only if, at the time GOVERNMENT SERVICE FELLOWSHIPS "(B) an instrumentality or authority of a
of the submission of an application, the SEC. 306. (a) The Commission is author- State or States as defined in subparagraph
State concerned does not then currently ized to make grants to State and general (A) of this paragraph (1) and a Federal-
have an approved application for a grant local governments to support programs ap- State authority or instrumentality; and
adequately providing, in the judpmyne of proved by the Commission for providing Gov- "(2) `local government' means-
r Commission, for training of nation of ernment Service Fellowships for State and "(A) any political subdivision, instrumen-
that local government v comch a grant, f local governmental personnel. The grants tality, or authority of a State or States as
local gavernmentp however; such a grmay cover- defined in subparagraph (A) of paragraph
may as further provided in this subsection, (1) the necessary costs of the fellowship (1); and
mar probe the until the expiration g one recipient's books, travel, and transportation, "(B) any general or special purpose agency
aprovifrom the effecct. dTo be ate approved, the grant and such related expenses as may be author- of such a political subdivision, instrumen-
application of this Act. under a this subsection an ized by the Commission; tality, or authority.
must meet eq a grantuirements un sider (2) reimbursement to the State or local "? 3372. General provisions
tablished subsection of this section requirements to those government for not to exceed one-fourth of "(a) On request from or with the concur-
applications, for Sr State unless any such re- the salary of each fellow during the period rence of a State or local government, and
for
quirement is specifically waived by the Com- of the fellowship; and with the consent of the employee concerned,
mission, and the requirements of subsection (3) payment to the educational institu- the head of an Executive agency may ar-
(d) of this section. The Commission may- tions involved of such amounts as the Com- range for the assignment of-
(1) waive, at the request of a general local mission determines to be consistent with pre- "(1) an employee of his agency to a State
government or a combination of such govern- vailing practices under comparable Federally or local government; and
ments, the one-year waiting period provided supported programs for each fellow, less any "(2) an employee of a State or local gov-
the subsection (c) of this section unless amount charged the fellow for tuition and ernmen to ms agency;
the State concerned declares, within ninety nonrefundable fees and deposits. to his agency
days from the effective date of the grant pro_ (b) Fellowships awarded under this sec- for and the work of State or mutual local concern government tht he
visions of this Act, an intent to file an appli- tion may not exceed two years of full-time
under to this both. The
cation for a grant that will provide ade- grdauate-level study for professional, admin- aetetererminnes s will assign be n beneficial
The
quately for the training of employees of the istrative, and technical employees. The reg- P Of an assignment
years. However, the
general local government or governments; ulations of the Commission shall include ter may not exceed two Y
eligibility criteria for the selection of fellow- head of an Executive agency may extend the
and
(2) make grants to general local govern- ship recipients by State and local govern- period of assignment for not more than two
additional years.
ments, or combinations of such governments ments.
that serve a population of less than fifty (c) The State or local government con- "(b) This subchapter is authority for and' thousand if it finds that such grants will carried shall- applies to the assignment of-Executive a help meet essential needs in programs or (1) select the individual recipients of the "(1 i an nstitutionemployeef higher an education; and cy
projects of national interest and will assist fellowships; to an
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CONGRESSIONAL RECORD - SENATE January 15, 1969
"(2) an employee of an lnstittuion of However, an employee or his beneficiary may asst
higher education to an Executive agency. "(c) During the period of assignment, receive benefits referred, to in subpara- State or local , a
government employee on de-
"13373. Assignment of, employees to State graphs (A) and (B) of this, paragraph (3), tail to an Executive agency-
and local governments based on service during an assignment under "(1) is not entitled to pay from the agen-
"(a). An eof an Executive agency this subchapter for which the employee or, cy;
assigned to employee
State or local government under If he dies without making such an election, "(2) is deemed an employee of the agency
this subchapter is deemed, during the assign- his beneficiary elects to receive benefits, un- for the purpose of chapter 73 of this title,
ment, to:he either-- der any State or local government retirement sections 203. 205, 207, 208, 209, 602, 603, 606,
"(I) on detail to a regular work assign- or Insurance law or program, which the Civil 607, 643, 654, 1905, and 1913 of title 18,
ment in his agency; or Service Commission determines to be similar. section 638a of title 31, and the Federal Tort
"(2) on leave without pay from his posi- The Executive agency shall deposit currently Claims Act and any other Federal tort liabil-
tion in the agency. in the Employee's Life Insurance Fund, the ity statute; and
An employee assigned either on detail or on Employee's Health Benefits Fund or other "(3) is subject to such regulations as the
leave without pay remains either on detail of his applicable health benefits system, respec- President may prescribe.
agency The Federal Tort Clams Act and an tively, the amount of the: Government's The supervision of the duties of such an
other gen . The tort lTorti is Ac apply to contributions on account of service with re- employee may be governed by agreement
an employee so assigned. The supervision of spect to which employee contributions are between the Executive agency and the State
tduties e so
employee The detail may be collected as provided in subparagraphs (A) or local government concerned. A detail of a
the heeof nagreement non the l mayibe andd(B) of this paragraph (g). State or local government employee to an
rn between local government "(d) (1) An employee so assigned and on Executive agency may be made with or with-
goagven and crned. the State leave without pay who dies Or suffers disa- out reimbursement by the Executive agency
(b) The asst hility as a result of personal injury sustained for the pay, or a part thereof, of the em-
gnment of an employee of while In the performance of his duty during ployee during the period of assignment.
an Executive agency either on detail or on an assignment under this subchapter shall
leave
without pay to a State or local govern- be treated, for the purpose of subchapter i (ee A State or local otem-
an
ment under this subchapter may be made p Executive who a cy given an. appointment erd of in as-
with or without reimbursement by the State employee of chapter employee 81 of defined this title, by though 81 were Executive agency for the detail period a of ec ace
or local government for the travel and trans- this to had sustained by the injury section 81n the of
agency n and d who is e detail it an
or dies portation expenses to or from the place of title who h duty. hen employee (or a result who suffers Injury sustained o dies le
assignment and for the pay, or supplemental his dependents s eIn case When an
entitlby i the of performance injury sustained while
pay, or a part thereof, of the employee during reason n of Injury in death Lbe
of death ) entitled under assignment the performance treated, duty he purpose
assignment. Any reimbursements shall be subchnt I of of chapter 81 1 of this u title nder hap shall of chapter for of the purpose
credited to the appropriation of the Executive entitled benefits at tr is as subchapter I of emplo fie s this title,
agency used for paying the travel and trans- also nt o te sa from a Sorts of local section hough he were this employee as defined tby
portation expenses or pay. government for the same injufiy or death, he se8101 of this title who had sustained
(c) For an employee so assigned and on (or his dependents in case os death) shall the injury in the performance of duty. When
leave without pay- elect which benefits he wilt receive. The an employee (or his dependents in case of
"(1) it the rate of pay for his employment election shall be made within one year after death) entitled by reason of Injury or death
by the Sor local of pay rr his is employment
than the injury or death, or such further time to benefits under subchapter I of chapter 81
the rate State t pay he would have restless had as the Secretary of Labor may allow for of this title is also entitled to benefits from
the rate of rive received ad reasonable cause shown. When made, the a State or local government for the same
continued in his regular
Is entitled to receive supplemental election is Irrevocable unless otherwise pro- injury or death, he (or his dependents in
agency, he the agency In receive
amount equal to vided by law. case of death) shall elect which benefits
the fromethe agency in an State or local - "(2) An employee who elects to receive he will receive. The election shall be made
the lift nc and the agency to o got benefits from a State or local government within one year after the Injury or death, or
"(2) t rate
is entitled to arate; and sick leave may not receive an annuity under sub- such further time as the Secretary of Labor
to the she i extent as if annual
had and sick chapter II of chapter 83 of this title and may allow for reasonable cause shown. When
his re same
assignment t as in the d continued in agency; and benefits from the State or local government made, the election is irrevocable unless oth-
(3) he is entitled, notwithstanding aother nd for In same or disability to himself covering erwise provided by law.
statutes e period of time. This provision does "(e) If a State or local government fails
"(A) to continuation of his insurance un- not--- to continue the employer's contribution to
der chapter 87 1n this n of, and insurance
un- (A) bar the right of a claimant to the State or local government retirement, life
der chapter 87 of this title or other coverage greater benefit conferred by eilther the State insurance, and health benefit plans for a
del chapter authority, o long as he or local government or subchapter III of State or local government employee who is
pays currently chapter 83 of this title for any part of the given an appointment in an Executive
into the Employee's Life Insurance Fund and same period of time; the Employee's Health Benefits Fund or other "(B) deny agency, the employer's contributions covers
applicable health benefits system (through him d employee r annuity of chap- period the State or local government t thereof,
his employing agency) the amount of the truing of hm under subchapter III of chap- may b of assignment, or any part
of th
employee contributions; ter 83 of this title on account of service per- may be made from nee npproriations of the
formed by him; or Executive a
"(B) to credit the period of his assignment geny concerned.
under this subchapter toward periodic ste "(C) deny any concurrent benefit to him $ 3375. Travel Expenses
p- from the State or local government on ac-
ac-
increases, retention, and 'leave accrual count of the death of another !individual. Na) Appropriations of an Executive
purposes, aon pay and ent into he Civil agent are available to
Service and, nd nt and a into
enC or ,? 3374. Assignments of employees from b y pay, government reimburse, e, a
other applicable retirement system of the pioyee
State or local governments Federa i or State or local gov em-
i"y1e in accordance wife--
percentage of his State or local government "(a) An employee of a State or local v- "
pay, and of his supplemental eeminent who is asst g? (, for subchapter I of chapter 57 of this
of-
would have been deducted from a like agency g nncy agency under an arrangement undez his title, travelxandsp per di
pay for the period of the assignment and subchapter may- "(A) per diem instead of sub-
pay to and from the assignment loca-
payment by the Executive agency into the "(1) be appointed in the Executive agency tion;
fund or system of the amount. that would without regard to the provisions of this title "(B) have been payable by the agency during the governing appointment In the competitive the assignment locasttioond during subsistence d
p
like eriod of the assignment with respect to a service for the agreed period of the assign- of the assignment; and period
agency pay, to treat (notwithstanding merit; or "(C) travel and
sub-
section 8348(g) of this title) his service due- "(2) be deemed on dertail to the Executive sestence while traveling diemon official business
Ing that period as service of the type per- agency, away from his designated post of duty dur-
formed in the agency immediately before `(b) An employee given an appointment Is ing the assignment when the head of the
his assignment; and entitled to pay in accordance with chapter 51 Executive agency considers the travel in the
"(C) for the purpose of subchapter I of and subchapter in of chapter 5..3 of this title interest of the United States;
chapter 85 of this title, to credit the service or other applicable law, and is deemed an
performed durin the n section portortof this title, his for the ex-
g period of his assign- employee of the Executive agency for all put- pease se of transportation of. his immediate
ment under this subchapter as Federal serv- poses except-- family and of his household goods and
per-
ice, and to Consider his State or local govern- (1) subchapter III of chapter 83 of this sonal effects to and from the asst nment
ment pay (and his supplemental pay, if any) title or other applicable retirement system; location; g
as Federal wages. To the extent that the serv- "(2) chapter 87 of this title; and "(3) section 5724a(a) (1) of this title, for
ice could also be the basis for entitlement "(3) chapter 89 of this title or other ap- the expenses of per diem allowances for the
to unemployment compensation under a plicable health benefits system unless his immediate family of the employee to and
State law, the employee may elect to claim appointment results in the loss of coverage from the assignment location;
unemployment compensation on the basis In a group health benefits plan the premium "(4) section 5724a(a) (3) of this title, for
of the service under either the State law or of which has been paid in whole or in part subsistence expenses of the employee and his
subchapter I of chapter 85 of this title. by a State or local government pontribution. Immediate family while occupying temporary
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 January T 5, T 969 CONGRE O A EC -
quarters of the assignment location and on
return to his former post of duty; and
"(5) section 5726(c) of this title, for the
expenses of nontemporary storage of house-
hold goods and personal effects in connec-
tion with assignment at an isolated location.
"(b) Expenses specified in subsection (a)
of this section, other than those in para-
graph (1) (C), may not be allowed in con-
nection with the assignment of a Federal or
State or local government employee under
this subchapter, unless-and until the em-
ployee-agrees in writing to complete the en-
tire period of his assignment or one year,
whichever is shorter, unles separated or re-
assigned for reasons beyond his control that
are acceptable to the Executive agency con-
cerned. If the employee violates the agree-
ment, the money spent by the United States
for these expenses is recoverable from the
employee as debt due the United States. The
head of the Executive agency concerned may
waive in whole or in part a right of recovery
under this subsection with respect to a State
or local government employee on assignment
with the agency.
"(c) Appropriations of an Executive agency
are available to pay expenses under section
5742 of this title with respect to a Federal
or State or local government employee as-
signed under this subchapter.
3376. Regulations
'The President may prescribe regulations
for. the administration of this subchapter."
(b) The analysis of chapter 83 of title 5,
United States Code, is amended by inserting
"SUBCHAPTER VI-ASSIGNMENTS TO AND FROM
STATES
"See.
"8371. Definitions.
113372. General provisions.
"3373. Assignments of employees to State or
- local governments.
"3374. Assignments of employees from State
or local governments.
"3375. Travel expenses.
3176. Regulations."
REPEAL OF SPECIAL AUTHORITIES
SEC. 403. The Act of August 2, 1956, as
amended (7 U.S.C. 1881-1888), section 507
of the Act of April 11, 1965 (20 U.S.C. 867),
and section 314(f) of the Public Health
Service Act (42 U.S.C. 246(f)) (less appli-
cability to commissioned officers of the Pub-
lic Health Service) and are hereby repealed.
SEC. 404. This title shall become effective
80 days after the date of enactment of- this
Act.
itles, and authorities of any of the foregoing papers, and records of a grant recipient that
and any combination of such units or com- are pertinent to the grant received.
bination of such units and a State. A gen-
eral local government" means a city, town,
county, or comparable general-purpose polit-
ical subdivision of a State.
GENERAL ADMINISTRATIVE PROVISIONS
-SEC. 503. (a) Unless otherwise specifically
provided, the Commission shall administer
this Act.
(b) The Commission shall furnish such
advice and assistance to State and local gov-
ernments as may be necessary to carry out
the purposes of this Act.
(c) In the performance of, and with re-
spect to, the functions, powers, and duties
vested in it by this Act, the Commission
may- -
(1) issue such standards and regulations as
may be necessary to carry out the pur-
poses of this Act;
(2) consent to the modification of any
contract entered into pursuant to this Act,
such consent being subject to any specific
limitations of this Act;
(3) include in any contract made pursuant
to this Act such covenants, conditions, or
provisions as it deems necessary to assure
that the purposes of this Act will be achieved;
and
(4) utilize the services and facilities of
any Federal agency, any State or local gov-
ernment, and any other public or nonprofit
agency or institution, on a reimbursable basis
or otherwise, in accordance with agreements
SEC. 506. (a) The Commission shall al-
locate grants under this Act in such man-
ner as will most nearly provide an equitable
distribution of the grants among States and
between State and local governments, tak-
ing into consideration such factors as the
size of the population, number of em-
ployees affected, the urgency of the pro-
grams or projects, the need for funds to
carry out the purposes of this Act, and the
potential of the governmental jurisdictions
concerned to use the funds most effectively.
(b) In each fiscal year, 15 per centum
of the total amount available for grants
under this Act shall be apportioned equally
among the States and the amount appor-
tioned for each State shall be reserved for
programs or projects in that State. How-
ever, any amount so reserved but not used
in any fiscal year shall be added to the total
amount available for grants under this Act
in the next suceeding fiscal year. For the
purpose of this subsection, "State" means
the several States of the United States, and
the District of Columbia.
(c) Notwithstanding the other provi-
sions of this section, the total of the pay-
ments from the appropriations for any fiscal
year under this Act made with respect to
programs or projects in any one State may
not exceed an amount equal to 121/2 per
centum of such appropriation.
TERMINATION OF GRANTS
between the uu,1111 iaaau== w... .. ._ w_ -----
of. SEC. 507. Whenever the commission, after
(d) In the performance of, and with re- giving reasonable notice and opportunity for
spect to the functions, powers, and duties hearing to the State or general local gov-
vested in it by this Act, the Commission- ernment concerned, or project has been so
(1) may collect information from time cha(1) that nged that it no longer complies with the
to time with respect to State and local gov- rovisions of this Act; or
ernment training programs and personnel p that in the operation of the program
administration improvement programs and or(2 project there is a failure to comply sub-
formation under this Act, and make such in- with an such rovision;
formation available to interested groups, stantially any p
organizations, or agencies, public or private; the Commission shall notify the State or
(2) may conduct such research and make general local government of its findings and
such evaluation as needed for the efficient no further payments may be made to such
administration of this Act; and government by the Commission until it is
(3) shall include in its annual report, a satisfied that such noncompliance has been,
report of the administration of this Act. or will promptly be, corrected. However, the
Commission may authorize the continuance
(e) The provisions of this Act are not a of payments to those projects approved under
limitation on existing authorities under this Act which are not involved in the non-
other statutes but are in addition to any compliance.
such authorities, unless otherwise specifically ADVISORY COMMITTEES
provided in this Act. SEC. 508. (a) The Commission may appoint,
REPORTING REQUIREMENTS without regard to the provisions of title 5,
SEC. 504. (a) A State or local government United States Code, governing appointments
nate to administer a program or in the competitive service, such advisory
? desi
g
d
Act sh
-
o ~__~
---- ------- --?-
DECLARATION OF PURPOSE project un
mine to be necessary to facilitate the ad-
provide 501. The purpose of .this title is to evaluations in such form, at such times, and
provide for the general' administration of containing such information concerning the ministration of this Act.
titles I, II, III, and V of this Act (herein- status and application of Federal funds and (b) Members of advisory committees who
after referred to as "this Act"), and to pro- the operation of the approved program or are not regular full-time employees of the
vide for the establishment of certain advisory project as the Commission may require, and United States, while serving on the business
committees. shall keep and make available such records of the committees, including traveltime, may
DEFINITIONS as may be required by the Commission for receive compensation at rates not exceeding
the verification of such reports and evalua- the daily rate for GS-18; and while so serv-
SEC. 502..For the purpose of this Act- tions. ing away from their homes or regular places
(1) "Commission" means the United (b) An organization which receives a of business, may be allowed travel expenses,
States Civil Service Commission; training grant under section 305 of this Act including per diem in lieu of subsistence, as
(2) "Federal military agency" means an nxep nd- shall make reports and evaluations in such authorized by section 5703 of title 5, United ent, eent establishment, to agency in the executive at such times, and containing such in- States Code, for individuals in the Govern-
branch G or agency in the executive formation concerning the status and applica- ment service employed intermittently.
Stanch of the Government of the United of Federal grant funds and the opera- APPROPRIATION AUTHORIZATION
States, including Government owned or con- o- tion of the training program as the Commis- SEC. 509. (a) To carry out the programs
trolled d corporations; sion may require, and shall keep and make
available such records as may be required by authorized by this Act, there are authorized
(3) "State" means a State of the United
States, the District of Columbia, the Com- to be appropriated at any time after its en-
monwealth of Puerto Rico, and a territory the Commission for the verification of such actment not to exceed $20,000,000 for fiscal
or possession of the United States, and in- reports and evaluations. year 1970; $30,000,000 for fiscal year 1971;
cludes interstate and Federal-interstate REVIEW AND AUDIT and $40,000,000 for fiscal year 1972.
agencies but does not include the govern- SEC. 505. The Commission, the head of the (b) Any amounts appropriated under this
ments of the political subdivisions of a State; Federal agency concerned, and the Comp- section shall remain available until expended,
and troller General of the United States, or any and any amounts authorized for any fiscal
(4) "local government" means a city, of their duly authorized representatives, year under this section but not appropriated
town, county, or other subdivision or district shall have access, for the purpose of audit may be appropriated for any succeeding fiscal
of a State, Including agencies, instrumental- and examination, to any books, documents, year commencing prior to July 1, 1972.
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 S pproved For Relea CONGRESSIONAL ERORD1 BO NATR0005001 January 0 02 6-`
1969
REVOLVING FUND tention, and separation; providing equitable
SEC. 510. (a) There is established a revolv- and adequate pay scales and benefits; up-
ing fund, to be available without fiscal year grading of skills through training; and insu-
limitation, for financing training and such lating employees from partiean political pres-
other functions as are authorized or required sures. To this end, Federal financial and
to be performed by the Commission on a technical assistance is in tl}e national inter-
reimbursable basis by this Act and such other est.
services as the Commission, with the ap- SEC. 3. This .section provides that the Act
proval of the Bureau of the Budget, deter- shall be administered in such a manner that
mines may be performed more advan- the rights, powers, and responsibilities of
tageously through such a fund. State and local 'governments are fully rec-
(b) The capital of the fund shall consist ognized.
of any appropriations made for the purpose of TITLE I-DEVELOPMENT OF POLICIES AND
providing capital (which appropriations are STANDARDS
hereby authorized), and such unexpended SEC. 101. This section sets forth the pur-
balances of appropriations or funds relating pose of the title, which is to provide for in-
to the activities transferred to the fund and to .,e
of supplies, equipment, andv other assets
and inventories on order as the Commission
may transfer to the fund, less the related
liabilities, unpaid obligations, and accrued
annual leave of employees who are trans-
ferred to the activities financed by the fund
at its inception.
(c) The fund shall be credited with-
(1) reimbursements or advance payments
from available funds of the Commission,
other Federal agencies, State or local govern-
ments, or other sources for supplies and
services at rates 'which will approximate the
expense of operations, including the accrual
of annual leave, the depreciation of equip-
ment, and the net losses on property trans-
ferred or donated; and
(2) receipts from sales or exchanges of
property and payments for losses or damage
to property accounted for under the fund.
(d) Any unobligated and unexpended bal-
ance in the fund that the Commission deter-
mines to be in excess of amounts needed for
its operations shall be deposited in the Treas-
ury ae miscellaneous receipts.
LIMITATIONS ON AVAILABILITY OF FUNDS FOR
COST SHARING
SEC. 511. Federal funds made available to
State or local governments under other pro-
grams may not be used by the State or local
government for cost-sharing purposes under
grant provisions of this Act, except that Fed-
eral funds of a program financed wholly by
Federal funds may be used to pay a pro-rata
share of such cost-sharing. State or local gov-
ernment funds used for cost-sharing on other
federally assisted programs may not be used
for cost-sharing under grant provisions of
this Act.
METHOD OF PAYMENT
made in installments, and in advance or by Subsection (b) states that the initial re- question.
a
grant, however, shall not generally
way of reimbursement, as the Commission port is to be made not later than 18 months Such
made
may determine, with necessary adjustments after the council's establishment, and shall be made until the expiration of one year
on account of overpayments or underpay- include its views and recommendations on: from the time the grant provisions of this
ments. the feasibility and desirability Act eet year. The Commission ma
may
merit requirements to additional grant-in- extending waive this is one e year waiting period at the
EFFECTIVE DATE OF GRANT PROVISIONS request of the local government(s) con-
sEC. 513. Grant provisions of this Act shall con-
beE 513. Grant
aid programs; appropriate standards for cerned, unless the State in which the govern-
on provisions
and this Act days merit personnel administration; and the pos- ment(s) are located declares, within 90 days
enm of dred ant eighty
following the date of m
this Act. siible use of financial and other incentives to from the effective date of the grant provi-
encourage the development , of such corn-
The section-by-section analysis of S. prehensive systems of personnel administra- grant t w w ihichntent will to incl u filude a t he he application
local gove local goner a
tion based on merit. grru-
11, presented by Mr. MvsxlE, is as fol- ment(s).
lows: Subsection (c) provides that the President The Commission may also make grants to
SECTION ANALYSIS OF INTERGOV}:RNMENTAL shall propose legislation to Congress which local governments, or combinations of gov-
12,_,,,_ F^T __ R he judges desirable to imniwm An+ +i
Act as a whole and provides that it-maybe TITLE-STRENGTHENING STATE AND LOCAL them meet essential neeOOs in. programs Or
cited as the Intergovernmental Personnel Act PERSONNEL ADMINISTRATION projects of national interest and will assist
of 1969. SEC. 201. This section states the purpose such governments in alleviating personnel
.SECTION 2. This section sets forth the find- of the title which is to assist State and local problems relating to these programs.
sng and declaration of Congress that since governments in strengthening their staffs by The application must be submitted to the
the effectiveness of State, local, and Federal improving personnel administration. designated State office for review. If no such
governments are interdependent, it is in the State government and statewide programs office has been designated, it shall be sub-mitted national interest that the quality of public and grants comments for
or this recommendations to the Governor. Any
service at all levels of government be im- SEC. 202. This section provides that the this review shall be included with the appli-
proved. This can be achieved through the de- Civil Service Commission (from now on re- cation, and a statement as to the fact that
velopment of systems of personnel admin- ferred to as the Commission)' is authorized they have been considered shall also be in-
istration consistent with such merit princi- to make grants to States for up to 76% of eluded by the local government(s), unless it
pies as insuring openness and equity in re- the costs of developing and implementing is certified that the application has been so
cruitment, appointment, advancement, re- programs or projects to strengthen personnel submitted and no comments or recommenda-
ment of policies and standards for the ad-
ministration of programs authorized by this
Act.
Advisory council
SEC. 102. This section provides for the
appointment by the President of an ad-
visory council on intergover imental person-
nel policy within 180 days !after enactment.
This shall be done without adherence to
provisions regarding appointments in the
competitive service.
Subsection (b) provides that the council,
not exceeding fifteen members, shall be com-
posed primarily of officials from all levels of
government but shall also include members
selected from employee organizations, edu-
cational institutions, and the general pub-
lic. At least half its governmental members
shall be officials of State and local govern-
ments.
Subsection (c) states that it shall be the
duty of the advisory council to study and
make recommendations regarding personnel
policies and programs for the purpose of im-
proving personnel administration in State
and local governments, strengthening these
governments in their training efforts, and in
their development of persoijnei administra-
tion systems, and facilitating assignments
of personnel between the F'ederas Govern-
ment and State and local governments.
Subsection (d) provides teat members of
this council who are not full-time employees
of the Federal Government Bray be compen-
sated at rates not in excess of the daily
p
g
ams or projects
rates for GS-18 employees, including travel which the Commission finds are consistent
time and per diem. with the principles set forth in Section 2 of
Reports of the advisory council this Act. Such a grant may be made only if,
SEC. 103. This section provides that the at the time the application Is submitted, the
council shall report its findines and recnm_ State concerned does not have an approved
administration which the Commission finds
are. consistent with the merit principles set
forth in Section 2 of the Act. Inasmuch as
these grants are designed to strengthen per-
sonnel administration on the part of State
and local governments. the authority pro-
vided by this section is to be employed in
such manner as to encourage innovation and
allow for diversity in the design, execution,
and management of such programs by the
governments concerned.
Subsection (b) states that, to be approved,
an application by a State for a personnel
administration grants must provide for des-
ignation, by the Governor, of the State office
that will have responsibility for the program
or project; establishment, where appropriate,
or improvement of personnel systems based
on principles of merit; specific personnel ad-
ministration improvement needs of the State;
assurance that such a grant will not effect
a reduction in pertinent State or local spend-
ing; and clear and practical actions for im-
proving such aspects of personnel adminis-
tration as:
The establishment of Statewide personnel
systems to meet the needs of jurisdictions
not able to provide such systems for them-
selves;
The effecting of State grants to local gov-
ernments for improved personnel systems;
The conduct of manpower requirements
studies, and remedial action where appro-
priate;
The strengthening of one or more of the
major areas of personnel administration;
The conduct of research and demonstration
projects by the State and by appropriate
non-profit institutions;
The strengthening of programs for the dis-
advantaged and underutilized, as well as
shortage category personnel;
The augmentation of intergovernmental
cooperation in all areas of personnel admin-
istration wherever feasible.
Local government programs and grants
SEC. 203. This section authorizes the Com-
mission to make grants to general local gov-
ernments, or combinations thereof, that
serve a population of 50,000 or more. Fund-
ing can be 75% of the cost of development
and implementation of
ro
r
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 DR 64R000500140002-%255
n p d For Rp rrlv n~J'~ 1 ~t
Ja T1]~
nuaE
tions have been made by the State for a 60
day period.
Intergovernmental cooperation in recruiting
and eggmininq
SEC. 204. This section authorizes theI Com-
mission to join' State and local governments
in cooperative recruiting and examining pro-
grams on a shared-cost basis, under pro-
cedures and regulations to be jointly agreed
upon.
Subsection (b) authorizes the Commis-
sion to certify to such governments from
Federal registers the names of potential em-
ployees. Procedures are to be jointly agreed
upon, and there must be a written request
for such services from the State or local gov-
ernment. The Commission will determine the
costs of the operation and reimbursements
shall be credited to the appropriation or fund
from which the expenses were, or are to be
paid.
Technical assistance
SEC. 205. The Commission is authorized
by this section to furnish, on request, tech-
nical advice and assistance to State and local
governments seeking to improve their sys-
tems of personnel administration. The Com-
mission may accept from such governments
payments, in whole or in part, for the costs
involved in furnishing this assistance.
Coordination of Federal programs
SEC. 206. This section authorizes the Com-
mission (after consultation with other con-
cerned agencies) to (1) coordinate the per-
sonnel administration support and assist-
ance rendered to State and local govern-
ments within the terms of this Act, and any
such support given under other Federal pro-
grams; and, (2) make the arrangements ne-
cessary to avoid duplication and to insure
consistent administration of related Fed-
eral activities, including the collection, main-
tenance, and dissemination of data on grants
for personnel systems' support and technical
assistance.
Interstate compacts
SEC. 207. This section gives the consent of
Congress for any two or more States to enter
into compacts or agreements for cooperative
efforts and mutual assistance (including es-
tablishment of appropriate agencies) in con-
nection. with the development and adminis-
tration of personnel and training programs
for employees and officials of the States con-
cerned and for employees of their local gov-
ernment jurisdictions. Such compacts and
agreements must not be in conflict with any
Federal laws.
Transfer of functions
SEC 208, Subsection (a), of this section
transfers to the Commission all functions,
powers aiid'duties of any Federal department,
agency, office or official (other than the Pres-
ident) that relate to the prescription of per-
sonnel standards on a merit basis under any
provision of law or regulation that specifl-
cally requires the establishment and mainte-
nance of personnel standards on a merit basis
for programs financed in whole or in part by
Federal grant-in-aid funds.
Subsection,(b) of this section directs the
Commission to aid State and local govern-
ments to comply with the personnel stand-
ards prescribed by the Commission under the
authorities transferred to it by Subsection
(a) of this section. Subsection (b) directs
the Commission to advise Federal agencies
administering grant programs as to the ap-
plication of such standards and to recom-
mend' actions which will most effectively
achieve the purposes of this title.
Subsection (c) of this section provides for
the transfer from applicable Federal agencies
to the Commission, to the extent determined
by the Director of the Bureau of the Budget,
of the personnel, property, records, unex-
pended appropriations, allocations and other
funds which are concerned with the func
tions, powers, and duties transferred to the
Commission by Section 208(a). It is under-
stood that any personnel engaged in func-
tions transferred will be transferred in ac-
cordance with applicable laws and regula-
tions relating to transfer of functions.
Subsection (d) and (e) of this section
provide that personnel standards issued by
Federal agencies under current laws will
remain in effect until modified or super-
seded by standards issued under this Act;
and that standards issued pursuant to this
Act by the Commission must encourage in-
novation and allow for diversity on the part
of State and local governments in the de-
sign, execution, and management in their
own individual systems of personnel ad-
ministration.
Subsection (f) states that neither Sec-
tion 202 nor 203 (1) authorize Federal con-
trol over any personnel action concerning
an individual State or local employee; (2)
direct the application of personnel stand-
ards to teaching personnel; (3) prevent em-
ployees' or their organization's participation
in the development of policies and proce-
dures affecting their employment; (4) re-
quire or request disclosure of an employee's
race, religion or national origin, or that of
his forebears; (5) require or request an
applicant or an employee to submit o ex-
amination on his personal relationship with
persons connected by blood or marriage, or
concerning his attitude with respect to sex-
ual matters; or require his participation in_
any activities not related to the perform-
ance of official duties.
Subsection (g) provides that Section 208
will become effective sixty days after the
date of enactment of this Act.,
TITLE III-TRAINING AND DEVELOPING STATE
AND LOCAL EMPLOYEES
SEC. 301. This section sets forth the basic
purpose of this title, which is to strengthen
State and local government programs for
the training and development of their em-
ployees and officials, p. rticularly those in
professional, administrative, and technical
occupations.
Admission to Federal employee training
programs
SEC. 302. Subsection (a) of this section
authorizes admittance of State and local gov-
ernment employees and oflicials to training
programs established by a Federal agency to
train Federal professional, administrative, or
technical personnel. The subsection provides
that the admittance of State and local em-_
ployees and officials is subject to such condi-
tions as the head of the Federal agency es-
tablishing the training program may pre-
scribe.
Subsection (b) of this section authorizes
Federal agencies admitting State and local
government employees and officials to their
training programs to receive payments for
the training from, or on behalf of, State and
local governments, to waive all or part of
such payments, and to enter into agreements
concerning the payments with the State or
local government concerned.
Subsection (c) of this section authorizes
the Commission to use appropriations au-
thorized by this Act to meet the additional
developmental or overhead costs incurred be-
cause of the admittance of State or local em-
ployees to Federal training courses, and to
reimburse other Federal agencies for these
costs.
Training of personnel engaged in grant-in-
aid program
SEC. 303. This section authorizes any Fed-
eral agency that administers a program of
grants or financial assistance to State or local
governments to establish, provide, and con-
duct training programs specifically for State
and local government employees and officials
who have responsibilities related to the said
program. Federal agencies may, to the same
extent provided in Section 302(b) of this
Act, accept payments for such training from,
or on behalf of, State and local governments
waive such payments, and enter into agree-
ments concerning the payments.
The section further provides that any Fed-
eral agency administering a program of
grants or financial assistance may authorize
a State or local government, from Federal
funds available for State or local program
administration expenses, to establish, pro-
vide, conduct, and support training and edu-
cation programs, including fellowship pro-
grams providing for full-time graduate-level
study, for those of their employees and offi-
cials who have responsibilities related to the
aided program. Full-time graduate-level fel-
lowship programs, to be approved, must be
consistent with the provisions made for Gov-
ernment Service Fellowships under Section
306 of this Act.
Section 306 provides that fellowships may
not exceed two years of full-time graduate
level study for professional, administrative
and technical personnel. Grants made to
State and general local governments to sup-
port fellowship programs may-
Cover the necessary costs of books, travel
and transportation, and such related expenses
as may be authorized;
Provide reimbursement to the State or local
government for up to 25 percent of the salary
of each fellow during the period of the fel-
lowship; and
Cover payment to the educational institu-
tion involved of such amounts as the Com-
mission determines to be consistent with pre-
vailing practices under comparable Federally
supported programs less amounts charged the
fellow for tuition and fees.
Section 303 also provides that the State or
local government concerned shall select the
employee or official to receive the education
or training and shall continue his full salary
and normal employment benefits during the
period of training. State and local govern-
ments, however, must make their selections
in accordance with such eligibility criteria as
may be prescribed by the Federal agency con-
cerned.
Grants to State and local governments for
training
SEC. 304. This section authorizes the Com-
mission, if training is not adequately pro-
vided for under grant-in-aid or other stat-
utes, to make grants to States and, under
certain circumstances, to general local gov-
ernments to meet up to seventy-five percent
of the cost of developing and carrying out
programs approved by the Commission, and
consistent with the applicable principles of
merit outlined in Section 2, for training their
professional, administrative, and technical
employees and officials. Such grants may not
be used to cover the costs of full-time grad-
uate-level study, which is covered in Section
306 of this Act, or of the construction or
acquisition of training facilities.
The State and local government's share of
the costs may include the reasonable value
of the facilities and personal services they
provide. The State and local government's
share of costs may not, however, consist
solely of providing such facilities and
services.
An application for a grant shall be made
at such time or times, and contain such in-
formation as the Commission may prescribe.
Subsection (b) sets forth the minimum re-
quirements a State or general local govern-
ment application for a training program
grant must meet in order to be approved by
the Commission. The Commission is author-
ized to waive any_ of the requirements in a
specified justified case. In general, these re-
quirements emphasize the importance of
careful planning, a comprehensive approach,
strong leadership by the chief executive,
inter-program and inter-jurisdictional coor-
dination, and similar matters. In addition, a
State or local government is required to pro-
vide assurance that the grant will not result
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SSI AL RECORD - SENATE January 101, 1969
in the reduction of relevant expenditures or
the substitution of Federal funds for funds
previously made available for these purposes
by the State or local governments.
The Commission is authorized by Sub-
section (c) to make grants to a general local
government serving a population of 50,000
or more, or a combination of such local gov-
ernments, if within one year from the effec-
tive date of the grant provisions of this Act
the State has not submitted and received
approval of an application for a training
program grant which adequately provides for
such local government. The application sub-
mitted by the local government must meet
requirements similar to those established for
State applications unless any requirement is
waived by the Commission.
The Commission is authorized to waive the
one year waiting period and make grants to
general local governments if such a govern-
ment requests the waiver and the State gov-
ernment concerned has not declared, within
90 days of the effective date of the grant pro-
visions of this Act, an intent to file an appli-
Cation, for a grant that will provide ade-
quately for the training of employees of the
local government.
The Commission may also waive the 50,000
population requirement and make grants to
smaller general local governments, or com-
binations of such governments if it finds
such grants will meet other essential needs
in programs of national Interest.
Subsection (d) provides that an applica-
tion. submitted to the Commission under
Subsection (c) shall first be submitted by
the local government(s) to the designated
State office for review, If no such office has
been designated, it shall be submitted to the
Governor. The application will be accom-
panied to the Commission by any comments
or recommendations received from the above
State officials, and by a statement by the
local government Indicating that such com-
ments have been considered. However, if a
60 day period should elapse without such
review being affected by the above State offi-
cials, the local government(s) may certify
such fact, and forward the application to the
Commission.
Grants to other organizations
SEC. 305. This section authorizes the Com-
mission to make grants to an organization
representing member State or local govern-
ments, or an association of State or local
officials, as well as nonprofit organizations
that meet certain requirements specified in
the section. These grants may pay up to
seventy-five percent of the costs of provid-
ing training to State and local government
professional, administrative, or technical em-
ployees and officials. To make such grants,
the Commission must first find sufficient
State or local government Interest in the
training program and, In addition, must ap-
prove the training program as meeting such
requirements as may be prescribed by its
regulations.
Government service fellowships
SEC. 306. This section authorizes the Com-
mission to make grants to States and general
local governments to support programs, ap-
proved by the Commission, to provide fel-
lowships for graduate-level study to profes-
sional, administrative, and technical em-
ployees such State and local governments
have selected for this training. The grants
may cover the necessary costs of travel and
transportation, books and such related ex-
penses Iti the Commission may authorize;
reimbursement to the State or local govern-
ment not to exceed one-fourth of the salary
of the employee selected for the period of the
graduate study, and payment to the educa-
tional institutions involved of such amounts
as the Commission determines to be con-
sistent with other prevailing practices under
comparable Federally-funded programs, less
any amount charged by the institution for
tuition and non-refundable, fees and de-
posits.
A fellowship awarded by a State or general
local government to a professional, admin-
istrative or technical employee will be for
a period not exceeding two years of full-time
graduate-level study.
This section provides that the State or gen-
eral local government will, subject to eligi-
bility criteria prescribed by the Commission,
select the individual employee to be awarded
:, fellowship. The State or general local gov-
ernment must, during the period of the fel-
lowship, continue the full salary and nor-
mal employment benefits (such as credit for
seniority, leave accrual, retirement, and in-
surance) to which the recipient of the fel-
lowship Is entitled, and outline in the ap-
plication the plans made for. the employer's
c.o,ntinued utilization in the public service.
Coordination of Federal programs
SEC. 307. This section directs the Com-
mission, after consultation with other con-
cerned Federal agencies, to prescribe regula-
tions covering the training provided for in
title III of the Act. The regulations are to
include requirements for coordination of,
and reasonable consistency in, the training
programs established by the Commission and
by other Federal agencies under title III.
In addition, the section directs the Com-
mission, again after consultation with other
Federal agencies concerned, to coordinate the
training support given State', and local gov-
ernments under this Act with that provided
under other Federal programs. The Commis-
sion is to make such arrangements as needed
to avoid duplication among Federal programs
providing for training of State and local
government employees and to insure con-
sistent administration of related Federal
training activities. The Commission is au-
thorized to collect and maintain appropriate
data on Federal agency training grants and
programs.
TITLE V-I&OBILITY OF FEDERAL, STATE, AND
LOCAL EMPLOYEIIS
SEC. 401. This section set forth the purpose
of title IV, namely to facilitate intergovern-
mental cooperation by authorizing temporary
assignments of personnel between the Fed-
eral Government and State and local gov-
ernments.
SEC. 402. This section adds a new sub-
chapter VI at the end of Chapter 33 of title
5 of the United States Code embodying the
mobility provisions.
Definitions
Section 3371 of the new subchapter de-
fines "State" and "local government" for the
purpose of this title. These definitions are
intended to be broad enough to include any
agency of a State or local government at
any level; their instrumentalities, including
multi-State authorities and intra-State au-
thorities; Federal-State authorities; and the
District of Columbia, the Commonwealth of
Puerto Rico, and a territory or possession of
the United States.
There is no special definition of a Federal
agency or a Federal employee,in this section.
For the purposes of this title a Federal agency
would be any Executive agency as defined
under section 105 of title 5 of the United
States Code. The definition of Federal em-
ployee would be that which appears in sec-
tion 2105 of title 5. Uniforrred personnel,
including those In the Coat Guard, the
Public Health Service, and the Coast and
Geodetic "Survey do not come under its
coverage.
General provisions
SEC. 3372. This section provides the broad
framework for establishing , mobility pro-
grams. It authorizes assignments of employ-
ees, with their consent, from one govern-
mental jurisdiction to another for periods up
to two years. Assignments could be extended
by the Federal agency head concerned for
not to exceed two years. The assignment
would have to be for work which the Federal
agency head determined would be of mutual
benefit to his agency and the State or local
jurisdiction concerned. Subchapter (b) au-
thorizes the assignment of an employee of an
Executive agency to an institution of higher
learning, and vice versa. Private as well as
public institutions of higher learning would
come under the purview of this provision.
Assignment of Federal employees to States or
local governments
SEC. 3373. This section deals with the as-
signment of Federal employees to State and
local jurisdictions. Under subsection (a) em-
ployees could be assigned either on a detail
or leave without pay basis, whichever seems
most desirable to the agencies involved. Em-
ployees serving on a detail basis would be
treated as Federal employees for all purposes
except that their supervision would be gov-
erned by agreement between the participat-
ing agencies. The Federal Tort Claims Act
and any other Federal tort liability statute
would continue to apply to Federal em-
ployees whether on detail or on leave without
pay.
Subjection (b) provides that assignments
either on a detail or leave without pay basis
may be made with or without reimbursement
by the State or local government for salary,
supplemental salary, and travel and trans-
portation expenses of Federal personnel. Au-
thority would be available for Federal agen-
cies to receive reimbursement from the State
or local agency for all or part of the expenses
of Federal employees.
Subsection (c) sets the ground rules for
assignments of Federal employees to State
and local governments on leave without pay.
Such personnel would be given State or local
government appointments, and their salary
would come from State or local funds. How-
ever, Federal appropriations would be au-
thorized for certain expenses. If the rate of
pay for a State position is less than the rate
of pay the Federal employee would have
received had he remained at his Federal
post, the Federal agency would pay a salary
supplement equal to the difference. The sup-
plement would be payable as earned, and
would not be conditional on such factors as
completion of the full period of assignment.
Employees serving on leave without pay
would earn leave at the same rate as they
would have earned it had they remained in
their regular jobs. Employees would not be
authorized to earn leave at a higher rate
even if the position they occupied in the
State government normally called for a
higher earning rate. The determination
whether the Federal Government or the
State or local government paid for the leave
would be arrived at by agreement between
the participating agencies.
Federal employees on leave without pay
would be entitled to continuation of their
retirement, life insurance, and health bene-
fits coverage under the civil service or other
applicable systems as long as they currently
paid the employee contribution into the
appropriate fund or system. The employer
contribution would be paid by the Federal
agency originating the assignment for all
three types of coverage. These personnel
would continue to be covered under 5 U.S.C.
8501-8508 relating to unemployment com-
pensation benefits.
Service performed on such assignments on
leave without pay would be creditable for
Federal salary, retention, retirement, and
leave accrual purposes. Such service would
also be creditable for early retirement pur-
poses for law enforcement personnel under
5 U.S.C.8336(c).
There is one circumstance, however, under
which Federal health, life insurance, and
retirement benefits would not be authorized.
That would be when employees or their bene-
ficiaries elected to receive benefits under
State or local systems instead. The policy
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throughout this title is to bar the receipt
of dual benefits by Federal employees for
any purpose?
Subsection (d) (1) provides that if an em-
ployee on leave without pay is injured or
killed in the performance of official duty,
he or his beneficiary shall be treated for the
purpose of injury compensation benefits as
if he had been, injured or killed while on
active duty in is agency. Here, too, the em-
ployee or his beneficiary would have a choice
between Federal and State benefits. And
of the non-Federal benefit is selected, the
employee or his beneficiary would not be
entitled to a parallel Federal benefit.
Under subsection (d) (2) an employee who
elects to receive State workmen's compen-
sation benefits would not be entitled to Fed-
eral disability retirement for the same pe-
riod.
Assignment of State or local government
employee
Assignment of State or local government
employees
Svc. 3374. This section sets forth the con-
ditions for assignment of State and local em-
ployees to the Federal Government.
Subsection (a) provides two methods for
assigning State and local employees to Fed-
eral agencies which are comparable to the
two methods authorized for Federal employee
assignments to State and local governments.
State or local employees could serve either
on a detail basis or under a temporary Fed-
eral appointment without regard to the pro-
visions governing appointment in the com-
petitive civil service. An employee who is de-
tailed to the Federal Government would re-
main a State government employee for most
purposes. A State employee given a Federal
appointment would be" treated in the same
"Way as any other temporary Federal em-
ployee for most purposes. He would not be
entitled to tenure, and his appointment
could be terminated at any time by the Fed-
eral agency employing him.
Subsection (b)- provides that a State em-
ployee given a Federal appointment would
come under the coverage of the Civil Service
Retirement Art or other applicable retire-
ment systems or the Federal Employees
Group Life Insurance Act. He would not be
covered under the Federal Employees Health
Benefits Act or similar authority unless his
Federal appointment resulted in the loss of
coverage under a State or local health bene-
fits system.
Subsection (c) is concerned with the sta-
tus of State and local personnel detailed to
a Federal agency. Such personnel would not
be entitled to Federal pay, but would be
considered Federal employees for the purpose
of certain Federal employee laws including
those relating to conflict of interest, politi-
cal activity, failure to account for public
money, disclosure of confidential informa-
tion, lobbying with appropriated funds, and
tort claims. In addition, they would be sub-
ject to such regulations as the President may
prescribe. The supervision of the duties of
a State or local detailee would be governed
by agreement between the participating
agencies. A Federal agency could reimburse
a State or local agency for all or part of the
salary of a State or local detallee.
Subsection (d) provides that a State or
local government employee serving on detail
or under Federal appointment who is dis-
abled or dies as a result. of personal injury
sustained while in the performance of of-
ficial duty is to be treated as aFederal em-
ployee for on-the-job injury compensation
benefits. However, as in the case of the Fed-
eral employee who is injured serving on a
State or local government assignment, the
State or local employee or his beneficiary
would not be entiled to receive both Fed-
eral and State benefits for the same injury.
Subsection (e) provides that if a State
or local government fails to continue the
employer's contribution to the State or local
government retirement, life insurance, and
health benefit plans for a State or local gov-
ernment employee under Federal appoint-
ment, the employer's contribution or a part
thereof, may be paid by the Federal agency
concerned. In these situations, the Federal
agency would transmit deposits directly to
the State or local government system.
Travel expenses
SEC. 3375, This section authorizes the pay-
ment of travel and transportation expenses
and per diem for State and local government
employees assigned to Federal agencies and
Federal employees assigned to State and local
governments. This section is intended to be
broad enough to provide for the needs of
Federal, State, and local employees enroute
to, from, and during their assignments in
either the Federal Government or State and
local governments.
The authorizations provided would be
available for Federal agency use on a dis-
cretionary basis under regulations prescribed
by the President.
Subsection (a) (1) provides authotity for a
Federal agency to pay the costs of travel, in-
cluding mileage and allowances, and per
diem in lieu of subsistence in accordance with
subchapter I of Chapter 57, title 5, United
States Code, of Federal, State and local em-
ployees enroute to, from, and during assign-
ment.
Subsection (a) (2) provides authority to
pay the travel and transportation expenses
of the immediate families of employees as-
signed to another governmental jurisdiction
and return. This includes transportation of
household goods and personal effects, pack-
ing, crating, temporarily storing and unpack-
ing, etc.
Subsection (a) (3) provides authority to
pay a per diem allowance for the immediate
family of the employee while enroute to and
from the assignment location in accordance
with section 5724a(a) (1) of title 5 of the
United States Code.
Subsection (a) (4) would authorize pay-
ment of subsistence expenses for the em-
ployee and his immediate family for a period
up to 30 days while occupying temporary
quarters at the assignment location with
section 5724a(a) (3) of title 5.
Subsection (a) (5) provides for the pay-
ment of expenses of nontemporary storage
of household goods and personal effects in
connection with assignment at an isolated
location in accordance with section 5726(c)
of title 5.
Subsection (b) provides that the expenses
specified in subsection (a) may not be al-
lowed unless the employee signs a written
agreement to complete the entire period of
his assignment or one year, whichever is
shorter, unless separated for reasons beyond
his control. If the agreement is violated, the
expenses would be recoverable by the United
States. However, an agency head could waive
the right of recovery with respect to State or
local government employees assigned to his
agency.
Subsection (c) authorizes the use of ap-
propriations to transport the remains and
personal effects of employees and their de-
pendents who die while on an assignment.
Regulations
SEC. 3376. This section sets forth section
headings for each of the major provisions of
this title, and states that the President may
prescribe regulations for the administration
of this subchapter.
Repeal of special authorities
SEC. 403. This section repeals other em-
ployee mobility authorities with the excep-
tion of section 314(f) of the Public Health
Service Act relating to Commission officers
of the Public Health Service.
Effective date
SEC. 404. This section sets the effective date
of this title at sixty days after enactment.
TITLE V-GENERAL PROVISIONS
Declaration of purpose
SEC. 501. This section sets forth the pur-
pose of this title, which is to provide for the
general administration of titles i, II, Ill, and
V of the Act, and to provide for the estab-
lishment of certain advisory committees.
Definitions
SEC. 502. This section defines, for the pur-
poses of the Act, the terms "Commission",
"Federal agency", "State", "local govern-
ment", and "general local government".
General administrative provisions
SEC. 503. This section provides that, unless
otherwise specifically provided, the Commis-
sion shall administer the Act, and shall fur-
nish such advice and assistance to State and
local governments as may be necessary to
carry out the purposes of the Act.
In the performance of, and with respect to,
the functions, powers, and duties vested in it
by the Act, the Commission is authorized by
subsection (c) to issue standards and regu-
lations necessary to carry out the purposes
of the Act; to consent to the modification of
any contract entered into under the Act; to
include in any such contracts those cov-
enants, conditions, or provisions the Com-
mission deems necessary to assure that
the purposes of the Act will be achieved; and
to enter into agreements with any Federal
agency, State or local government, or other
public or non-profit agency or institution,
for the use (on a reimbursable, non-reim-
bursable, or other basis) of their services and
facilities.
Subsection (d) authorizes the Commission
to collect information from time to time
with respect to State and local government
training and personnel administration pro-
grams under the Act; to make such infor-
mation available to interested public or pri-
vate groups, organizations, or agencies; and
to conduct research and make evaluations as
needed for the efficient administration of the
Act. In addition, subsection (d) requires the
Commission to include a report on the ad-
ministration of the Act in its annual report.
Section 503 further provides that the Act's
provisions are not a limitation on existing
authorities under other statutes. Unless spe-
cifically provided otherwise, the Act's provi-
sions are in addition to such authorities.
Reporting requirements
SEC. 504. This section provides that reports
and evaluations shall be made by those State
or local government offices designated to ad-
minister an approved program under the Act.
Such reports and evaluations will be made
in such form, at such times, and containing
such information concerning the status and
use of Federal funds and the operation of the
program as may be required by the Commis-
sion. In addition, the section requires that
such designated State and local government
offices keep and make available such records
as the Commission may require for the veri-
fication of the reports. Similar requirements
apply to organizations receiving training
grants.
Review and audit
SEC. 505. This section requires grant recip-
ients, for the purpose of audit and examina-
tion by the Commission, the head of the
Federal agency concerned, and the Comp-
troller General of the United States, to per-
mit access to any books, documents, papers,
and records that are pertinent to the grants
received.
Distribution of grants
SEC. 506. This section provides that the
Commission shall allocate grants under this
Act in the most equitable fashion among
State and between State and local govern-
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S 258 CONGRESSIONAL RECORD - SENATE January 15, 1969
meats taking into account the population of
the recipient jurisdiction, the number of em-
ployees affected, the Urgency of the program,
the need for funds, and the potential of the
particular jurisdiction to use the funds most
effectively.
Subsection (b) states that 15 ty of the total
funds available for grants In each fiscal year
shall be apportioned equally among the
States.
Any unused portion of such funds at the
end of the fiscal year shall be added to 'the
total available funds for the next succeed-
ing fiscal year. Total payments to any one
State in any one fiscal year may not exceed
121/2% of the total appropriation for that
year.
Termination of grants
SEC. 507. This section authorizes the Com-
mission to terminate payments made by the
Commission under the Act to a State or
local government whenever it finds, after
giving the government concerned reasonable
notice and opportunity for a hearing, that
a program approved under the Act has been
so changed that It no longer complies with
the provisions of the Act or that in the oper-
ation of the program there is a failure to
comply substantially with the provisions of
the Act,
The government concerned shall be noti-
fied by the Commission of its finding before
payments are terminated. The Commission
may, however, authorize the continuance of
payments to those projects which are not
involved in the noncompliance. The Com-
mission is also authorized to resume pay-
ments when it is satisfied that such con-
compliance has been, or will promptly be,
corrected.
Advisory committees
Sec. 508. This section authorizes the Com-
mission to appoint, without regard to the
provisions governing appointments in the
competitive service, advisory committees to
facilitate the administration of this Act.
Subsection (b) provides that members of
such committees who are not full-time em-
ployees of the United States may be com-
pensated at rates not to exceed the daily
rate for GS-18 employees, including travel
and per diem, while serving on the business
of the committees.
Appropriation authorization
SEC. 509. This section authorizes to be ap-
propriated not more than $20,000,000 for fis-
cal year 1970; $30,000,000 for fiscal year 1971;
and $40,000,000 for fiscal year 1972. Any
amounts appropriated shall remain available
until expended.
Revolving fund
SEC. 510. This section establishes, within
the Oommission, a revolving fund for financ-
ing functions authorized by the At to be
performed on a reimbursable basis, and such
other services as the Commission, with the
concurrence of the Bureau of the Budget.
determines may be performed more advan-
tageously through such a fund.
The capital of this fund shall consist of
appropriations made for this purpose, as well
as unexpended balances of appropriations
or funds of activities transferred to the fund
and the reasonable value of other assets
transferred to the fund.
Reimbursements or advance payments
made by Federal agencies, the Commission,
from State' and local governments, or other
sources, for supplies and services will be
credited to'the fund, at rates approximating
the expenses of operations.
Unobligated and unexpended funds deter-
mined by the Commission to be in excess of
amounts needed for its operations shall be
deposited in the Treasury as miscellaneous
receipts.
Limitations on availability of funds for cost
sharing
SEc. 511. This section provides that State
or local governments, in r ieeting their
share of the costs under this Act's grant
provisions, may not use Federal funds made
available to them under other, programs, or
funds they have used to meet their share of
the costs on other Federally assisted pro-
grams, except that Federal funds of a pro-
gram wholly financed by Federal funds may
be used to pay a pro-rata share of such
cost-sharing.
Method of payment
Sc. E512. This section authorizes the
Commission to pay or accept payments un-
der this Act in installments and in advance
or by reimbursement. The Commission is au-
thorized to determine the specific method of
payment to be employed in a particular case.
Effective date of grant provisions
Svc. 513. This section provides that the
effective date of the grant provisions of this
Act shall be 180 days after its enactment.
S. 14-INTRODUCTION OF BILL TO
PROVIDE FOR THE ESTABLISH-
MENT OF A COMMISSION ON
AFRO-AMERICAN HISTORY AND
CULTURE
Mr. SCOTT. Mr. President, on behalf
of Senators BAYH, BROOKE, ,CASE, COOK,
GOODELL, HART, HARTKE, HATFIELD,
INOUYE, JAVITS, MCGEE, MATHIAS, MILLER,
MONDALE, MUSKIE, NELSON, PERCY,
SCHWEIKER, WILLIAMS of New Jersey, and
myself, I introduce for appropriate ref-
erence a bill to establish a Co emission on
Afro-American History and Culture.
Congressman SCHEUER, of New York, is
introducing a companion measure in the
House of Representatives. A :'similar pro-
posal, H.R. 12962, was approved late in
the second session of the last Congress
by the House. My bill of last year was
approved by the Subcommittee on Arts
and Humanities of the Senate Labor and
Public Welfare Committee. The immi-
nence of adjournment prevented the 90th
Congress from completing action on the
legislation.
I am encouraged by the actions taken
by the full House and the Senate sub-
committee and I feel sure that the pro-
posal to establish a Commission on Afro-
American History and Culture will be
accepted by this Congress.
The congressional hearings on last
year's bill emphasized a black imbalance
in American history as ta{lght in our
schools as well as in other. areas. I do
not believe that stepping from total
neglect of Negro history into crash pro-
grams with short life spans can ade-
quately meet the challenge of dissemina-
tion of black history and culture. There
must be positive and deliberate programs
of research, preservation an dissemina-
tion of the black heritage. My proposal
to establish a Commission on Afro-
American History and Culture can do
this. It could be the catalyst which
brings better understanding of the total
nature of our society to all! Americans.
The challenge goes out to all citizens to
spread the word that Negroet have made
sound contributions to our, country. It
must be met by those in the communica-
tions media, historians, sociologists, and
politicians.
The academic community is taking
some positive steps by providing studies
of African-American history and culture.
For the first time In history a major
American university, Yale, is offering a
degree in black culture. Seven institu-
tions of higher learning this past sum-
mer conducted workshops designed to
inform faculty members of available ma-
terials in the area of Negro history and
culture. However, such workshops are
handicapped by the shortage of books,
monographs, and research work in this
field. Many State colleges, State uni-
versities, and land-grant colleges have
added a black-American dimension to
their curriculum through courses in black
history and culture. But there is a need
for much more historical data on the
Negro in America to add to the substance
of curriculum. The scarcity of organized
reference material on the black Ameri-
can makes research exteremely difficult.
The time is ripe for national leader-
ship in fostering better understanding
and knowledge of the contributions of
African-Americans and their heritage to
American society.
This does not mean just including an
African-American history course in
school curriculums; it also means high-
lighting the presence of the Negro in a
wide range of activities such as litera-
ture, economics, music, or political sci-
ence as the activity itself is studied or
publicized. I believe the Commission will
serve best when it performs this task of
identifying and dramatizing, in the
classroom and out,'the black man's con-
tributions to the total American experi-
ence. At its best, such an effort will sup-
port the long and often tragic struggle
of the Negro, himself, to feel a part of
this experience.
Mr. President, I ask unanimous con-
sent that the text of my proposal be
printed in the RECORD, together with an
article which appeared in the Johns
Hopkins magazine, summer 1968 Issue,
entitled "The Burden of Negro History,"
which will shed further light on this
subject. In this article, its author, Hugh
Davis Graham, says:
To the degree that classroom courses in
Negro history and culture, if taught by com-
petent instructors with a critical sense of
responsibility to the evidence, can contrib-
ute to both white and black understanding
of the legacy of American Negroes, then this
is clearly desirable-even urgent.
May I add that a critical sense of re-
sponsibility to the evidence by all Amer-
icans should and must begin to be woven
into every facet of our society, and that
this, too, is clearly desirable-even ur-
gent.
The PRESIDING OFFICER. The bill
will be received and appropriately re-
ferred; and, without objection, the bill
and article will be printed in the RECORD.
The bill (S. 14) to provide for the es-
tablishment of a Commission on Afro-
American History and Culture, intro-
duced by Mr. SCOTT, was received, read
twice by its title, referred to the Com-
mittee on Labor and Public Welfare, and
ordered to be printed in the RECORD, as
follows:
S. 14
A bill to provide for the establishment of a
Commission on Afro-American History and
Culture
Be it enacted by the Senate and House of
Representatives of the United States of Amer-
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= I. 7~IIC0 xtensions of Remarks E 157
HON. CHARLES E. CHAMBERLAIN
OF MICHIGAN ,
IN THE HOUSE OF REPRESENTATIVES
Thursday, January 9, 1969
Mr. CHAMBERLAIN. Mr. Speaker, to-
day as the Congress meets in joint ses-
sion to hail the great technical achieve-
ment of the flight of Apollo 8, and to
extend the Nation's admiration and grat-
itude to its courageous crew, I am par-
ticularly pleased to bring to the atten-
tion of my colleagues two editorials from
leading newspapers in the Sixth Con-
gressional District of Michigan. One is
entitled, "'Shooting the Moon' Really
Benefits All," and appeared in the Jack-
son Citizen Patriot, Jackson, Mich.,
Wednesday, January 1, 1969; and the
other is headlined, "Apollo Opens Door
to Universe," reflecting the view of the
Owosso Argus Press, Owosso, Mich.,
Thusrday, January 2, 1969.
Both of these themes are particularly
well stated and I believe are clearly ap-
propriate additions to the permanent
record of today's proceedings.
The editorials follow:
[From the Jackson (Mich.) Citizen Patriot,
Jan. 1, 19691
"SHOOTING THE MOON" REALLY BENEFITS
ALL
The fantastic feats performed by the crew
of Apollo 8, as well as the ship itself, occupy
center stage as the new year dawns, and
properly so.
Yet along with the praise from around the
world comes the nagging question expressed
in various ways: Yes, but-what good does
It do, what have we gained from the billions
poured into the effort?
Someone recalled that President Eisen-
hower had decided against pressing for the
flight on the grounds the money was more
useful in other places, and a few scientists
still hold more information can be obtained
by un-manned, automated space probes.
These are the questions posed by the
pessimist in us, while it is the ever-present
optimist that provides the answers.
There is something within all human be-
ings, some invisible force, that keeps man
reaching for the unattainable-reaching un-
til he has attained the impossible. All prog-
ress, from the caves to the breakthrough
into space travel, is the result of that drive
to know more, to conquer everything just
because it is there.
It is not a wholly American trait, even
though we sometimes like to think so, but
it does get a freer rein in this, country.
There are many who decry that attitude,
but decrying it won't still the urge geneti-
cally implanted in the human mind. Knowl-
edge is imperfect, thus more effort must be
put into perfecting it.
Tremendous benefits are beginning to flow
into our daily lives from the space effort, al-
though admittedly they are still relatively
a trickle.
For the time being they are evidenced
mostly in the fantastic subminiturization of
mechanical devices and the studies of radia-
tion. Both have found their way into the
medical arts as well as scientific usage.
Perhaps the most dramatic of these bits
of progress are the new micro-batteries that
can be implanted under the human skin to
keep Pacemakers working at regulating
heartbeats, and more obviously, the revolu-
tionary effects on communications,
Billions of dollars are being saved annually
by farmers because weather satellites are
performing on high, telling the when and
where of storms. In the future are space ob-
servations of crop disease and the causes, as
well as water or mineral imbalances in the
soil. World-wide crop advice and manage-
ment is within reach of a globe whose peo-
ples have starvation, undernourishment and
well-being spread unequally. Solution of this
last problem alone would justify the expense
involved.
The Apollo 8 communications opened a
whole new era, and already a Japanese man- Such a station is also a necessary fore-
ufacturer has perfected a TV tube that al- runner to intensive exploration, and possi-
lows the construction of a set resembling~.. aau ble scielit ific colonization, of the moon. It
oil painting in size and shape. It wllr-hang is simply too costly and wasteful to use gi-
on th
ll lik
e wa
e something out of a Buck
Rogers or Jules Verne dream.
It is just entering the market, but al-
ready available are television sets no larger
than World War II portable radios. Kitchen
cooking-ware Is now made of the same ce-
ramics developed for nose cones. The list is
long, ands just as impressive throughout its
length. /
Curiopsly, the space program's accelera-
tion of/ man's knowledge follows an historic
vances
closer
Significant advances have come in
so to speak, although as today's ad-
shrink the world the rushes come
Scoffers side, there is good reason to be
optimistic t t the push for space technol-
ogy will have a end result of solving a great
many of man nd's vexing earth-bound
problems as sp off" from the central
Progress has been made in such fields as
housing (and all of its iritegral areas such
as wiring, plumbing and basic construction),
medicine, new fields of employment, and so
on.
Thus the conquests of Apollo 8 are not so
limited as firing a rocket around the moon
and back, but include significant advances
for all.
[From the Owosso (Mich.) Argus-Press, Jan.
2, 19691
APOLLO OPENS DOOR TO UNIVERSE
Ten lunar orbits do not a successful moon
landing make, but the brilliant and virtually
flawless performance of Apollo 8 and its
crew render that accomplishment almost a
foregone conclusion in 1969.
Thus it is not too early to begin asking,
"Where do we go from here in space-if
anywhere?"
With the major development work on the
Apollo Project completed, Americans have
in their national inventory the production
and testing facilities and highly skilled per-
sonnel representing an investment of some
$30 billion. This investment can either be
dismantled, as was the nation's investment
We ought not to make the mistake of
Daniel Webster, who vowed never to vote
for the spending of a cent of the public
money on the exploration of the "useless"
American West.
There remains near-earth space, whose
manifold uses we have only begun to appre-
ciate and exploit. A permanent manned space
laboratory is a logical post-Apollo goal and
one which there is good indication the Rus-
gantic Saturn rockets to send a few men
directly to the moon, and unfeasible to sup-
ply them this way.
With an earth-orbiting space station, reg-
ular shuttle flights to the moon can become
a reality. Beyond that, it would be an as-
sembling and stepping-off point for explora-
tion of the nearer planets.
The Apollo project is not yet completed,
but it has already opened the door on a vast
new realm-nothing less than the entire
universe. We cannot allow that door to close
again, for to do so would be to fail our own
dreams.
CONTRIBUTIONS TO SPACE VEN-
TURE BY THE UNIVERSITY OF
ALABAMA
HON. WALTER FLOWERS
OF ALABAMA
IN THE HOUSE OF REPRESENTATIVES
Thursday, January 9, 1969
Mr. FLOWERS. Mr. Speaker, the oc-
casion of the presence in this Chamber
of Col. Frank Borman, Capt. James
Lovell, Jr., and Lt. Col. William Anders
and their generosity in sharing the high
honors given to them with their cowork-
ers throughout the United States
prompts me, to recall the significant
contributions made to the success of
their mission and other space ventures
by the University of Alabama. We Ala-
bamians
great uni
sors have
with the National Aero-
Space Administration. We
ade significant and noted
to this Nation's space pro-
in aeronautical know-how in the infant days space projkcts, which have covered a
of aviation after World War I, or new goals broad spe%trum of scientific inquiry in-
beyond Apollo can be set for it. cluding the Saturn V launch vehicle re-
Undoubtedly, when the final chapter is cently i,ned so successfully by our astro-
written in the amazing Apollo story, the nauts1 The university's scientists have
nation will be in a mood to divert a great
part of its current spending on space to Worked in programs relating to tele-
needs much closer to home. But it would m6try systems, component design sys-
be false economy, and a misreading of the 'tems, gyroscopic stability systems, and
real purpose of space exploration, to allover lunar resource studies. At the present
the tremendous capabilities that have been
built up to deteriorate.
For the moon is not hanging up there in
space just to provide a convenient target
for Americans and Russians trying to outdo
one another in technological stunts. It pulls
on man's imagination is" infinitely greater
than its actual gravitational strength.
Although from here, and even from the
view of a circling astronaut, it appears to be
nothing but a forbidding globe of dust and
rock, no man can say what its ultimate
value may be, if only as an astronomical ob-
servatory or as a laboratory whose unique
conditions make possible experiments that
cannot be performed on earth.
time the university is engaged in a proj-
ect, entitled "Preparation of a Program
History for the Saturn V Project," which
will assimilate and present in an orderly,
usable fashion all of the data relating to
the conception, design, testing, construc-
tion, and use of the Saturn V launch
vehicle. I am informed that this pro-
gram, when completed, will be one of the
basic tools used by space scientists in
charting future development and utili-
zation of improved spacecraft booster
systems. Mr. Speaker, it is, therefore,
with a great deal of pride that I spread
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E 158 .
CONGRESSIONAL RECORD - Extensions of Remarks January 9,
on the RECORD the names of the follow- increase in pay, seem to me to be unable
ing distinguished members of the Uni- to support the psychological effect on the
versity of Alabama's faculty, thus pay- Nation of Increasing the President's pay
ing tribute to their commitment and to by 100 percent.
the commitment of the university of Instead, it seems to me that the real
Alabama to this Nation's space program: reason for such an increase was con-
Dr. O. R. Ainsworth, Prof. Colgan tamed in a statement concerning the
Bryan, Prof. A. E. Carden, Dr. T. E. Fal- variance in salaries. This Presidential
gout, Dr. Marvin Griffin, Dr. H. R. Henry, pay increase will now allow an increase
Dr. J. L. Hill, Prof. Ray Hollub, Dr. E. K.
Landis, Dr. R. E. Lueg, Dr. O. P. McFuff.
Dr. J. D. Matheny, Dr. Harold Mott,
Prof. D. N. Osteen, Jr., Prof. W. K. Rey,
Dr. W. J. Schaetzle, Prof. R. Q. Shotts,
Dr. R. S. Simpson, Prof. W. G. Stanton,
Dr. W. E. Webb, Dr. C. H. T. Wilkins,
Dr. J. H. Youngblood.
FEDERAL SALARY INCREASES
HON. CLARENCE E. MILLER
of OHIO
IN THE HOUSE OF REPRESENTATIVES
Thursday, January 9, 1969
Mr. MILLER of Ohio. Mr. Speaker, on
Monday, January 6, 1969, this body
passed H.R. 10, increasing the salary of
the President of the United States by
100 percent. The salary to be received
by the new President beginning Janu-
ary 20, 1969, will be $200,000 per year.
The matter of Federal spending and
salary increases, not only for the Presi-
dent, but for other Federal officeholders,
is one of great concern to me personally
and to many of my constituents.
During debate on H.R. 10 there were
two points brought out in the arguments
in favor of the measure. One was that a
great amount of the increase would be
returned to the Treasury in the form of
taxes. The other argument was that re-
cent Presidents have had to dig into their
own funds to pay some of the costs of
operation of the office. Let us analyze
these two arguments.
First was the argument that most of
the increase would be returned to the
Treasury in the form of income taxes. I
quote from comments on page H73 of
the CONGRESSIONAL RECORD Of January 6,
1969:
Out of this $100,000 increase, between
$65,000 and $70,000 will be turned right back
around, to come back to the Treasury as taxes
on the President's salary, so we are talking
here about $30,000 to $35,000.
The second argument was that the
President has had to pay, out of his own
pocket, some of the costs of operation of
his office. If this is true and can be doc-
umented I do not believe a measure
which would directly offset such valid ex-
penses as the President may incur would
have any great amount of difficulty being
passed by the Congress. It is true that
costs are higher and if the present ex-
pense allowance authorized, the Presi-
dent is not sufficient, then it perhaps
should be increased.
The point I wish to make is that the
President cannot use the increase for ex-
penses of the office and the increase also
be returned to the U.S. Treasury. It must
be one way or the other.
Both of these arguments, the costs of
operation of the office, and the actual net
eluding Members of Congress, without
having them too near the President's in-
come on the established salary scale.
In the budget message scion to come
from the President some large increases
are expected for Federal employees,
starting at the top with Cabinet mem-
bers and continuing through' members of
the Armed Forces. This increase is ex-
pected to cost approximately $3 billion.
In an era when we are talking of re-
straint and austerity it seems unreason-
able that a top executive's p y should be
increased 100 percent.
At the close of debate on' H.R. 10 the
yeas and nays were refused. !A motion to
reconsider was laid on the table. Two-
thirds of those present voted in favor, the
rules were suspended, and the bill was
passed.
No rollcall vote was taken and, as a
result, the RECORD does not indicate those
who would have voted against H.R. 10.
I would like to state that fad the roll
been called I would have voted against
doubling the salary of the President.
COMMISSIONER OF POLICE PRO-
POSED FOR THE DI TRICT OF
COLUMBIA
HON. JOEL T. BROYHILL
OF VIRGINIA
IN THE HOUSE OF REPRESENTATIVES
Thursday, January 9, 1969
Mr. BROYHILL of Virginia. Mr.
Speaker, today I am introducing legisla-
tion in behalf of myself, the Honorable
JOHN L. MOMILLAN, chairmnan of the
Committee on the District of Columbia;
Mr. DOWDY, of Texas; Mr. ABERNETHY,
of Mississippi; Mr. HAGAN,I of Georgia;
Mr. O'Koxsxr, of Wisconsinl; Mr. WINN,
of Kansas; and Mr. FUQUA, of Florida, to
create a Commission of Police for the
Nation's Capital under direct control of
the Congress and consolidate the five
major police forces in the District under
that Commissioner.
This legislation creates a Commissioner
of Police for the Nation's Capital under
direct control of the Congress. The Com-
missioner would assume complete juris-
diction over the Metropo'lit#n Police, the
Park Police, the White House Police, the
Capitol Police, and the National Zoo-
logical Park Police=now under jurisdic-
tion of the Commissioner a #d City Coun-
cil; the Secretary of the Interior; the
Secretary of the Treasury; the Sergeants
at Arms of the House and' Senate; and
the Secretary of the Smithsonian, in that
order.
The bill would also create a nine-man
advisory commission, five of whose mem-
bers would be citizens of the District of
Columbia.
The Commissioner would be appointed
by the Speaker of the House of Repre-
sentatives and the President pro tempore
of the Senate, and wofold be directly
responsible to the Congress. He would be
charged with the creation of the neces-
sary agency to discharge the duties of
his office, and would be similar in char-
acter to the Comptroller General or the
Public Printer in his role as a servant of
the Congress.
Mr. Speaker, this organizational struc-
ture is patterned in part on nearly a
century and a half of success experi-
enced by a distinguished police force in
another world capital. Since Sir Robert
Peel created the Metropolitan Police Dis-
trict of London in 1829, the police force
known to millions throu3;?,hout the world
as Scotland Yard has functioned under a
Commissioner of Police directly respon-
sible to Parliament's office of the Home
Secretary, and not to the municipal gov-
ernment of London. Today it is a re-
spected, highly effective organization of
19,000 men.
Great Britain has 148 regular police
forces, all of which are controlled by
local authority, with the sole exception
of Scotland Yard. It also should be noted
that, contrary to popular notion, Scot-
land Yard has no official jurisdiction out-
side of Greater London. To be sure, its
central investigative division cooperates
with and assists other police forces
throughout the United Kingdom and
throughout the world.
I think it is fair to say that Scotland
Yard has functioned with a record of
efficiency which is the envy of police de-
partments the world ov? r, and those of
us who have been in London in recent
years can attest to the safety of that city
and to the good relations that exist be-
tween Londoners and their police.
It is my desire to see created a force
such as the Metropolitan Police of Lon-
don here in the city of Washington, D.C.
It is not my desire to create a national
police force, or a secret police establish-
ment to grind underfoot the legitimate
complaints of the citizens of the District
of Columbia and its visitors.
I strongly urge that we reflect a mo-
ment on the success of the British and
the advantages that are possible to
achieve under such a system. There are
obvious financial gains to be had. The
Metropolitan Police Force will cost the
city of Washington $43,033,000 during
the next fiscal year. This figure will be
higher as time goes on. This is an ex-
pense that could constitutionally be
borne by the Congress. and a substantial
savings to the city could accrue if this
legislation is enacted.
I believe the Congress could afford and
would approve the necessary funds to
staff and equip a department equal to
the police needs of the city. It could also
afford and I believe would approve funds
necessary to bridge the rap between the
people of the District of Columbia and
the police officer. Such an effort would
call for educated, highly talented person-
nel and coordinated efforts to project the
police officer in the role of guardian as
well as enforcer of the law, and would
have to be prosecuted vigorously. None
of these things can be done as effectively
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when the findings of a special Presiden-
tial Task Force on Telecommunications
had already been submitted-though
they were not yet published-finding
that had in fact reached exactly the op-
posite conclusion with regard to CATV
from the viewpoint reflected in the
Commission's own proposed regulations
and its interim orders. In other words
the task force had concluded that
CATV should be expanded to serve the
public interest, not curtailed.
FCC Commissioner Robert T. Bartley,
in a dissenting statement, declared that
application of the Commissioner's in-
terim rules is a fatally defective proce-
dure because the rules are in fact sub-
stantive and thus have been applied
without rulemaking procedures required
by the Administrative Procedure Act. I
could not agree with Mr. Bartley more.
The Commissioner also notes the "`dis-
tinct possibility" that the interim order
will stifle further development of CATV,
and again, as I have already indicated, he
is cooking with gas.
Mr. Speaker, legislation has already
been introduced in this House by the
gentleman from California (Mr. VAN
DEERLIN) calling for a full investigation
by the Committee on Interstate and
Foreign Commerce of this whole- CATV
rules matter. I fully support this resolu-
tion. Surely if one administrative agency
of Government can, by a single action,
take away the jobs of hundreds of
American citizens and jeopardize the in-
vestment of thousands of businessmen
and stockholders, and disrupt the tele-
vision service of millions of Americans
living in rural areas, and do all this
without even so much as a "by your
leave, sir," to the Congress, then some-
thing is very seriously wrong.
Indeed, I believe that even stronger
action than just an investigation is
needed to restore justice and equity.
While we investigate, CATV will con-
tinue to stagnate, thousands of men and
women will remain without employment,
and millions of families will be without
adequate television coverage.
If the Federal Communications Com-
mission does not promptly rescind its in-
terim orders I intend to introduce legis-
lation to force their repeal. I hope such a
course will not be necessary, but if the
FCC remains obstinate this Congress can
and must move quickly to correct their
outrageous and improper action, plainly
directed against the welfare of millions
of plain Americans whose only fault is
that they happen to live in rural America
instead of in one of the big cities.
CONGRESSMAN STRATTON INTRO-
DUCES CONGRESSIONAL AMEND-
MENT TO ELIMINATE THE TWO
MOST GLARING DEFECTS IN OUR
PRESENT ELECTORAL, SYSTEM
(Mr. STRATTON asked and was given
permission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
Mr. STRATTON. Mr. Speaker, one is-
sue on which most Americans are agreed,
in the light of some of our experiences in
the recent presidential election, is that
there are grave deficiencies in the pres-
ent electoral college system of electing
a President of the United States, and
that reform is very definitely in order.
The other day I introduced a resolu-
tion-House Joint Resolution 189-in the
House, designed to correct the two most
serious of these deficiencies; namely, the
arrangement that throws the election of
a President into the House of Repre-
sentatives if no candidate receives a ma-
jority of the electoral vote; and the ar-
rangement which makes it possible le-
gally for an individual elector to cast his
ballot for someone other than the candi-
date for whom he was chosen to be an
elector.
My proposed amendment, I might add,
is identical to House Joint Resolution 1,
introduced earlier in this session by the
distinguished gentleman from Louisiana
(Mr. Boots).
As some commentators have already
noted in the press there are almost as
many different proposals for reforming
the electoral college as there are com-
mentators and critics. My amendment
obviously does not go as far in the direc-
tion of reform as many people would like.
It does not, for example, call for a sys-
tem of direct election of the President
and the Vice President. Personally, my
mind is still open on this issue, but I do
recognize some of the substantial diffi-
culties involved in getting such a sweep-
ing reform adopted. Since the present
system embodies the same Federal prin-
ciple on which our Republic was estab-
lished, therefore favoring to some ex-
tent the smaller States, a proposed
amendment leading to a direct vote
might incur difficulties in getting the
necessary three-fourths of the States for
ratification.
But whether direct election is or is not
a desirable objective, the two features to
which I have referred are so obviously
bad that their elimination from our elec-
toral system ought not to hang on the
desirability of some of further and more
controversial forms.
As we have just realized in the recent
1968 election, the provision which
throws the election of a President into
the House of Representatives in the ab-
sence of a majority of the electoral vote
would have grave and damaging effects
in today's world that were never even
dreamed of by the Founding Fathers. At
the very least it would leave the question
of the leadership of our country at a time
of critical international activity in doubt
for much too long a period of time. More-
over the voting system provided in the
House under these circumstances,
whereby each State no matter how small
or large receives only one vote, is just
too undemocratic and outmoded for to-
day's world.
The other glaring deficiency that must
also be eliminated without further delay
is the absence in the Constitution of any
requirement that an individual elector
must cast his vote for the person for
whom he was designated as an elector.
Only the other day in this Chamber we
have seen once again that the Constitu-
tion is powerless to prevent an elector,
chosen by the people of his State to cast
his vote for one individual, casting it in-
stead for another. If this could happen
in the case of Dr. Bailey, of North Caro-
lina, in 1968, it can happen in the case of
other electors in future elections. In fact,
if the electoral result should be especially
close the acts of "faithless electors" like
Dr. Bailey could alter the entire outcome
of a presidential election, contrary to the
wishes of the people themselves.
If we can agree on further reforms,
well and good; but the removal of the
most objectionable and hazardous as-
pects of the present system ought not to
have to wait on agreement on more con-
troversial reforms.
My proposed amendment would do the
following:
First, abolish the electoral college as
a group of individuals but retain the
principle of .each State's electoral vote,
as at present, equal to the number of
that State's Representatives and Sen-
ators;
Second, automatically count all of a
State's electoral votes for the candidate
who receives a plurality of that State's
popular vote;
Third, provide for the election of the
presidential and vice-presidential ticket
which receives a plurality of at least 40
percent of the total electoral vote, in
place of the present provision that a com-
bined ticket must get a majority of the
electoral vote; and
Fourth, provide for a quick run-off na-
tionwide election between the two presi-
dential tickets with the greatest number
of electoral. votes if no ticket receives at
least 40 percent of the total electoral
vote.
Mr. Speaker, I urge the prompt adop-
tion of this amendment so we may elim-
inate these two dangerous possibilities
before 1972 rolls around.
CORRECTION OF ROLLCALL
Mr. CONTE. Mr. Speaker, on rollcall
No. 8, on January 3, 1969, a quorum call,
I am recorded as absent. I was present
and answered to my name.
I ask unanimous consent that the
permanent RECORD and Journal be cor-
rected accordingly.
The SPEAKER pro tempore (Mr.
ALBERT). Is there objection to the re-
quest of the gentleman from Massachu-
setts?
There was no objeciton.
A BEAUTIFUL AND EXCITING
MUSICAL EXPERIENCE
(Mr. MAYNE asked and was given per-
mission to address the House for 1 min-
ute and to revise and extend his re-
marks.)
Mr. MAYNE. Mr. Speaker, I want to
call the attention of the House to the
fact that Washingtonians will have a
rare opportunity to share a beautiful and
exciting musical experience this week.
The celebrated Iowa String Quartet will
be performing tonight, Thursday, Janu-
ary 9, at the Corcoran Gallery, and Sun-
day, January 2, at the Phillips Collection.
The Iowa String Quartet, which is the
resident quartet at the University of Iowa
in Iowa City, has gained international
recognition as one of this country's most
outstanding musical groups, performing
in many cities throughout this Nation
and in Europe. The quartet completed a
tour of major European cities in Febru-
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ary 1968 under auspices of the U.S. State ice to hold hearings on this measure as
Department and is planning another
State Department tour in the spring of
1970.
As is their custom the members of the
quartet will be performing on the famous
Stradivarius instruments owned by the
Corcoran Gallery which are on perma-
nent loan to the quartet. Known as the
Paganini Strads, they were owned and
used by the great Italian virtuoso, Nicola
Paganini, in the 19th century. Iowans
are justifiably proud that the Corcoran
has honored the quartet and recognized
its artistic merit by making these prized
instruments available to the quartet on
a permanent loan basis.
All members of the quartet-Allen
Ohmes, John Ferrell, William Preucil,
and Charles Wendt-are on the faculty
of the music department of the Univer-
sity of Iowa. The membership of the
quartet has varied since it was first or-
ganized. Perhaps the most renowned
member has been Charles Treger, who
went on to become the first American to
win first place in the Wieniawsky violin
competition held in Poznan, Poland, in
1962. Mr. Tieger is still a member of
the Iowa faculty. He and the present
members of the quartet are typical of the
vigorous artistic and cultural activity
now flourishing in the State of Iowa.
4-(19 . 6a4.
GUARANTEEING FEDERAL EMPLOY-
EES THE RIGHT TO JOIN OR RE-
FRAIN FROM JOINING A GOVERN-
MENT EMPLOYEES UNION
(Mr. BLACKBURN asked and was
given permission to address the House
for 1 minute and to revise and extend
his remarks.)
Mr. BLACKBURN. Mr. Speaker, the
right of Federal employees to choose or
not to choose to join a union, as outlined
in President Kennedy's Executive Order
No. 10988 of 1982, is too valuable to be
subject to the whims of whomever might
occupy the White House.
Therefore, today I am reintroducing
the Federal Employee Freedom of Choice
Act of 1969. Basically, this measure guar-
antees that all Federal employees will
have the right to join or the right to
refrain from joining a Government em-
ployee's union. The following. Members
have graciously agreed to cosponsor this
measure with me: The Honorable GEORGE
Buses, the Honorable WILLIAM L. SCOTT,
the Honorable JOHN N. ERLENBORN, the
Honorable JOHN RHODES, the Honorable
EDWARD J. DERWINSKI, the Honorable
LARRY WINN, JR., the Honorable DuR-
WARD G. HALL, the Honorable O. C.
FISHER, the Honorable CHESTER MIZE, the
Honorable JAMES B. UTT, the Honorable
LAWRENCE BURTON, the Honorable W. E.
BROCK, and the Honorable ROBERT V.
DENNEY. During 1968 this measure re-
ceived favorable editorial comment from
over 40 different newspapers throughout
the United States.
I believe that it is the right of every
person to join or to refrain from joining
a union. Furthermore, I feel that it is a
violation of the basic liberties of our cit-
izens to allow the deletion of this vital
right to refrain.
At this time, I sincerely urge the Com-
mittee on the Post Office and Civil Serv-
A HEARTY WELCOME TO OUR LAT-
EST SPACE ASTRONAUTS
(Mr. BUSH asked and was given
permission to address the :House for 1
minute and to revise and extend his
remarks.)
Mr. BUSH. Mr. Speaker, it is with ex-
treme pleasure that I join With the rest
of the Congress in welcoming Col. Frank
Borman, Capt. James Lovell, and Maj.
William Anders to this joint session.
Their achievement is a magnificent
one-not only for them, but also for the
people of the National Aeronautics and
Space Administration, who, have put in
so many long hours of hard work on
this flight.
The voyage magnificently put our
world in perspective. When we look at
those beautiful pictures of this earth
taken from the moon orbit, one cannot
help but be impressed by the beauty of
it. I hope that as we continue to reach
these fantastic heights in space we will
all look back at the "good earth" and
realize that somehow we must and we
can achieve a means of living together
peacefully.
In one flight the United States became
the unchallenged leader of the world in
science and technology. Frankly, I have
never felt that we had lost this leader-
ship, but the moon orbit dramatized to
the rest of the world the magnitude of
the U.S. effort and our ability-in an
open society-to develop our technology.
I am especially proud that the Manned
Spacecraft Center is located in Houston
and that I have been able to get to know
each of these fine men pe$sonally. It is
with the utmost respect and esteem for
their outstanding accomplishments-as
astronauts and as human' beings-that
I welcome Colonel Borman, Captain
Lovell, and Major Anders' to this body
today. It is only fitting and proper to
award these astronauts the recognition
they have so gallantly and,' courageously
earned.
APOLLO 8 AMONG OTHER ACCOM-
PLISHMENTS OF THE, MILITARY-
INDUSTRIAL COMPLEX
(Mr. TALCOTT asked and was given
permission to address the House for 1
minute and to revise and extend his
remarks.)
Mr. TALCOTT. Mr. Speaker, we in the
Congress, and Americans everywhere,
proudly salute the three Apollo 8 astro-
nauts. It is quite appropriate that we
should.
Exceeding and leaving the earth's
gravitational force, circling the moon
and returning to the earth safely and
precisely, is probably the greatest human
feat in history. No other accomplishment
compares. Other feats will overshadow
this, but for now the genius, foresight,
daring, and skill of the Apollo 8 team
is unexcelled.
I, too, join the salute and convey my
highest commendation and appreciation.
While we bask in their achievement,
we ought to keep some perspective.
I have noticed that some Members
who are cheering the loudest and who
are most anxious to share the spotlight
with these present day heroes, were only
recently disparaging and condemning
the so-called military-industrial complex
as something heinous, pervasive, and evil.
It should be remembered that these
three astronauts-great heroes-are
members of the military and that the
whole Apollo 8 achievement is due almost
wholly to the military-industrial com-
plex of the United States of America.
I, too, hold that we ought to be
cautious about permitting too much
power in any complex--military-indus-
trial, media, governmental, union; but
let us give proper credit where proper
credit is due. Today our military-in-
dustrial complex is entitled to the credit
for Apollo 8.
No military-industrial complex of any
other nation has equaled its achieve-
ments. No other complex or association
has equaled this achievement of our
military-industrial complex.
When we next criticize the military-
industrial complex-and we should-we
should also remember Apollo 8 among
its many other accomplishments.
ORDERLY TEXTILE TRADE
(Mr. MIZELL asked and was given per-
mission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
Mr. MIZELL. Mr. Speaker, I am
pleased to join with several of my col-
leagues who have introduced into the
Congress bills to provide for orderly trade
in textile articles, a measure which re-
ceived considerable attention in the pre-
vious Congress.
The problem of ever-increasing textile
imports is fully recognized by those of us
here who represent Districts in which
the textile industry plays a vital role
in the local economy. It is my intention
to supply ways and means of protecting
the livelihood of these textile workers
as much as possible by supporting our
President-elect in his effort to provide
reasonable restraints on US textile im-
ports. The alarming -ate at which these
imports have increased during the last
few years make it imperative that
restrictive steps be taken at the earliest
possible time before we reach a point of
"no-return" and sheer self-destruction.
In my district-the Fifth District of
North Carolina-the manufacture of
textiles provides one of the major sources
of family income, and only by placing
restrictions on imports can we hope to
hold on to these jobs. Further, any chance
of expanding our textile plants lies com-
pletely in the hands of the Congress in
its handling of this proposal. Frankly, I
feel that these U.S. 'workers are entitled
to the protection this legislation would
afford them for the preservation of their
jobs, their homes and the future of their
families. Otherwise, U.S. industry will be
forced to seek sites abroad for their
operations to meet the challenge posed
by foreign imports.
Mr. Speaker, I feel very deeply about
the ramifications of a continuing liberal
import program, and urgently request
that my colleagues study the proposal I
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H. CON. RES. 184
Concurrent resolution proposing a multilat-
eral treaty to bar all military installations
from the seabed
Whereas the United States has previously
entered into treaties providing for the de-
militarization, of outer space, including the
moon and other celestrial bodies, and of
Antarctica; and
Whereas the seabed should be kept free of
military installations of all kinds so as to
eliminate a source of potential conflict
among the nations of the world: Now, there-
fore, be it
Resolved by the House of Representatives
(the Senate concurring), That the United
States should actively seek to conclude a
multilateral treaty, along the lines of those
which govern activities in outer space and in
Antarctica, which would bar all types of mili-
tary installations from the seabed and would
make appropriate provision for inspection to
insure gompliance,
and fight desperately to keep cheap for-
eign oil out of this country because it
would lower prices slightly to scores of
millions of gasoline and oil consumers.
Bulging with profits and swollen with
privilege, they come to Capitol Hill, con-
fident of their power and contemptuous
of the vast majority of our American
people.
As every man and woman in this coun-
try digs deep, deeper, deepest, for their
taxes this year, I pray they will examine
our American oil industry. It is 4-national
scandal and outrage to_ allow this un-
believable situation to continue un-
checked.
We are even now engaged in a search
for tax reform. Let us be blunt, spelling
out truth In the straightest terms. Oil in-
dustrgprivilege now rages unchecked at
the.expense of every citizen of this coun-
trif How long are we to tolerate this?
TRY-OR HOW TO STRETCI` (Mr. JOELSON asked and was given
TRUTH LIKE CHEWING GUM permission to extend his remarks at this
(Mr. PODELL asked and was v en point in the RECORD, and to include ex-
permission to address the House :)r 1 traneous matter.) -
minute and to revise and extelyd his [Mr. JOELSON'S remarks will appear
remarks.) hereafter in the Extensions of Remarks.]
Mr. PODELL. Mr. Speaker, oday I
have introduced a bill to rem ive en-
tirely the 271/2-percent oil ind gas
depletion allowance. Recently :a group
of gentlemen representing th oil in-
dustry came to Capitol Hill tb, argue
for retention of tax privileges th seg-
ment of our economy .now enjoy at
READIN', RITIN' AND RIOTIN'
(Mr. WAGGONNER asked and was
given permission to extend his re-
marks at this point in the RECORD, and
to include extraneous matter.)
Mr. WAGGONNER. Mr. Speaker, if
the news item I am inserting here in the
lic. I was much moved by their reason-
ing. Reading their comments, I panted
under the effect of their eloquence. Never
was a more ignoble cause defended so
ably. Unfortunately, their arguments are
mere sleight of mouth. They plead pov-
erty. They plead high operating costs. I
would sooner believe that a barracuda is
a vegetarian. I would sooner believe in
perpetual motion or squaring the circle
then accept their futile testimony.
It is almost tax time, and scores of mil-
lions of citizens are beginning to grope
for cash to pay Uncle Sam. Let every
single one of them take a close look at
the American oil industry. See it for
what it really is-a fourth level of gov-
ernment. A prime cause of inflation. A
major reason why millions pay stagger-
ing taxes.
As taxpayers painfully look at their tax
writeoffs, let them note the 271/2-percent
tax-free allowance given the oil industry
annually to cover depletion of wells they
drill and operate. Let them see a statu-
tory provision enabling oil well drillers
to deduct, in 1 year, most capital costs
of their drilling that are spread out over
a period of years in other industries.
Let them see how oil companies are
allowed to deduct from taxes, as a credit,
payments of royalties to foreign gov-
ernments. Such business expenses in
most industries are simply deductions
from income, taken before taxes are
computed.
Let lower and middle income taxpayers
take a searching look at tax rates paid
by these companies, as they pollute our
environment, raise gasoline prices at will,
merge to form ever larger corporate units
it`iuld be a satire beyond belief. Had it
been 'i written a dozen years ago, no news-
paper wbtld have printed it because the
editor would have been convinced the
ing hallucinations. But,
reporter wash
time marches on r he Alice in Wonder-
"hv
As Shakespeare put it-
0 judgment! thou art fled'tto bruitish
beasts *.
And men have lost their reasoYk.
The modern-day brutish beas'~s have
found a home, it would seem, San
Francisco State College, among ther
institutions which have specialize in
permissiveness in the past. I am ce ain
this article could have been written
about a number of other colleges nd
universities because this kind of c ss-
room conduct is permitted almost i-
versally these days. Thank God fo the
few places of higher learning whit con-
tinue to resist and attempt to c g to
the old-fashioned concept of a school
being a center of reason, logic, afl,A learn-
The article referred to follors:
ALL IS "RACIST" TO BLACKS: HA SSMENT JARS
LIBERAL I~f
(By Rasa Gustaatis)
SAN FRANCISCO, Feb wary 24.-As Prof.
John H. Bunzel faced his class for the first
time in the semester at San Francisco State
College, he knew he was in for trouble.
In the unusually large group before him
he saw a sizable number of black militants-
to whom, he knew, he symbolized the enemy.
For months now-ever since he had pub-
lished an article critical of the black studies
program as proposed by Associate Professor
Nathan Hare-Bunzel had been a target of
abuse and intimidation.
He had received anonymous threatening
telephone calls at home and became accus-
tomed to being called "pig Bunzel." His two
cars were covered with the words "Fascist
Scab" one night and all the tires were
slashed. A homemade bomb was found one
morning outside the office of the political
science department, which he heads.
Nevertheless, Bunzel, 45, tall and tweedy,
looked at the group before him calmly and
began to explain what he had in mind for
the course.
FLOOD OF HOSTILITY
His voice was drowned in a flood of hostile
questions and remarks. Someone stood up
and began to read aloud from "Quotations
from Chairman Mao Tse-tung." Bunzel tried
for ten minutes to restore order, then,
stunned, he dismissed the class.
Two days later, on Wednesday, he tried
again. The class now had become, for him,
a testing ground of "whether those of us
committed to the use of reason can still have
his voice heard in an increasingly irrational
environment."
He tried to respond to the hostile questions.
The course, he said, was titled "community
power and the politics of leadership." It
would not deal with today's headlines (here
a girl's hand shot up) but would follow an
academic form and would prove the com-
plexities of community, he said. Then he
gestured to the girl.
"Some of the things you say we don't
understand," she told him. "I'm asking you
to come down to our level. And when we raise
our hands, you should respond immediately.
It took you about four'mintues to respond."
"If it's all right, I'd prefer to. finish a
thought, then answer questions," Bunzel
replied.
"Man, what you're saying doesn't mean
anything anyway," a black student shouted.
Others joined in a cacophony.
"I can't hear your questions," Bunzel told
the class.
"Man, you haven't been hearing all your
life," a student said.
TWO MILLION OMITTED
The black students demanded to know
why no readings from Stokely Carmichael
or Huey P. Newton were assigned. Bunzel
replied that some two million other choices
had been omitted.
The books on the list, the students charged,
were racist.
C. Wright Mills and Talcott Parsons ra-
cists? By what standards? Bunzel asked. Had
anyone read them?
"If you put it on the list, nine times out
of ten it's a racist book," a voice replied.
At the end of half an hour, Bunzel dis-
missed the class, telling the students: "I
intend to teach this course as it has always
been taught."
"If we have to bring guns in here you
won't teach it," a youth replied. "We'll teach
you about community power."
On Friday, Bunzel again pleaded with the
students to be allowed to begin. When the
heckling continued, an administrative offi-
cial was called and ordered two of the Negro
students suspended. The class was again
dismissed, with the first lecture still to be
given.
INTIMIDATION CHARGED
At a press conference later, Black Student
Union members declared that "black stu-
dents were harassed, intimidated and sus-
pended" in Bunzel's class that morning.
Tony Miranda, a leader in the Third World
Liberation Front, said the militants were
determined to "stop the functioning of the
class and educate people on what the class
is about. Any class he'll be teaching will
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H 2234 CONGRESSIONAL RECORD - HOUSE March 26,
have his attitudes and perceptions of our
society and that is busting the people. We're
saying he's in direct opposition to our strug-
gle at this point. And as such he's an enemy."
Bunzel, a cool, calm scholar, is somewhat
puzzled by the vehemence of the attacks
against him, for he prides himself on his
long liberal record-the fight he led for ad-
mission of Negroes into clubs at Prince-
ton in the 1940s, his outspokenness against
Sen. McCarthy and against the California
loyalty oath in the 1950s, his support for a
black studies program at San Francisco State
College as long as four years ago.
He became a special target of the militant
students last October, when he published
that article in the quarterly, The Public
Interest." In it, he questioned whether the
black studies program being drawn- up for
the College by Nathan Hare would allow for
enough diversity in points of view on racia'
questions.
"It was a cautious piece, hardly some-
thing to provoke a kamikaze attack," he
said.
Yet it is exactly that caution which angers
the militants. For Bunzel, with his care-
ful weighing of all sides of the question, rep-
resents to them a liberal enemy-the man
in the middle who fails to take sides clearly
and so blocks the revolution.
He not only questions their black student
studies program but also has failed to sup-
port the American Federation of Teachers'
strike, explaining that he believes "it is the
wrong strike at the wrong time, and be-
sides, I'm not completely persuaded that
the industrial trade union model is ap-
propriate to the academic community."
WORSE THAN WALLACE?
"He's much more a dangerous thing than
a man like George Wallace," a BSU mem-
ber told me. With Wallace, everyone knows
where he stands. But when Bunzel says some-
thing people say, yeah, he's a liberal so that
must be right."
But to Bunzel, the right to say or write
what he believes and to teach the class as
he wants to is "the irreducible minimum
of academic freedom."
"I Will not be intimidated but I will not
be afraid to acknowledge that sometimes
I'm scared," he told me. "I've had police pro-
tection at home now for four months and
that's a lousy w &y to live."
_F 11 / 42-
FASCELL INTRODUCES:. BILL TO
ALLEVIATE INEQUITIES IN FED-
ERAL EMPLOYEES' COMPENSA-
TION ACT
(Mr. FASCEI L asked and was given
permission to address the House for 1
minute and to revise and extend his re-
marks.)
Mr.'FASCELL. Mr. Speaker, I intro-
duce today legislation to correct a Gov-
ernment practice which affects only a few
people but is of extreme importance to
those few who are involved.
I refer to the policy of cutting off a
Federal employee's pay as soon as he
files a compensation claim for injury
suffered on the job. In many cases the
paperwork delay in processing a justifi-
able claim amounts to weeks or months.
Meanwhile, the injured employee is ex-
pected to meet all of his continuing ex-
penses-which may include supporting a
family of many children-without any
income.
Clearly this is an unfair and inequi-
table situation, since the employee is in-
jured through no fault of his own. Ile
was carrying out his official Government
duties when injured, and therefore the
Government has an obligation to provide
for his support until he is able to work
again.
Under present practices, the Govern-
ment's obligation to such employees is
not being met. Rather, the faithful em-
ployee's urgent need d Ing the critical
period of his on-the-jobinjury is ignored
as the Government slov?ly processes his
justifiable request for compensation. We
cannot allow this treatment to continue.
My legislation would allow Federal
employees injured on th job to continue
to receive their regular pay until there
is a decision and compensation payments
may begin. I think it is only fair that we
enact this system so that an injury on
the job will not result In an automatic
lengthy cutoff of all income.
My bill would amend the Federal Em-
ployees' Compensation At to accomplish
this goal. It provides safeguards so that
any differences or discrepancies would be
adjusted by withholding portions of the
compensation paymen in a manner
that will be equitable o the employee
and the Government.
My bill also makes another amendment
of the Compensation Act, to provide that
employees who are on the compensation
rolls will continue to ern annual and
sick leave.
Under existing law, ajn employee re-
ceiving compensation payments because
of duty-incurred injuriejs is deprived of
the right to earn annual 'or sick leave for
those periods which exceed 80 hours of
leave without pay.
This practice is just the opposite when
the employee is on annual or sick leave.
When an employee is avay from his job
on such leave, he is earning more leave
credits.
I fail to see why a diffgrent rule should
apply to those who have; been injured on
the job. Consequently, I seek to amend
the law to provide equal treatment for
those who are injured.
I have introduced this legislation for
the past several Congre4ses, but to date
it has not become law. This session, I
hope we can enact these) needed reforms
which will help produce! equitable treat-
ment for our injured Federal employees.
INTERNATIONAL PETROLEUM CO.,
THE HICKENLOOPER AMEND-
MENT AND U.S. REIJATIONS WITH
LATIN AMERICA
(Mr. REES asked and was given per-
mission to address the House for 1 min-
ute and to revise and extend his
remarks.)
Mr. REES. Mr. Spea er, on April 4
of this year, President Nixon may be
forced to commit our .atin American
policy to a course that w~luld irreparably
damage future U.S. rel tions with that
region. I refer to the Ap it dealline upon
which, under the statu ry sanctions of
the Hickenlooper ameddlnent to the
Foreign Assistance Act, e U.S. Govern-
ment must suspend all assistance to the
Government of Peru, if the conflict be-
tween that Government, and the Inter-
national Petroleum Co., a subsidiary of
Standard Oil of New Je'sey, remains in
stalemate. The IPC expropriation
case has made headlines in the United
States and throughout Latin America,
and well it should-it is creating perhaps
the greatest crisis in United States-Latin
American relations in our time, and the
manner in which the U.S. Government
reacts to this incident could propel us
into a future of total alienation from the
Southern Hemisphere.
In my mind, the IPC case points up
the vital necessity of an immediate re-
assessment of U.S. policy toward Peru.
and indeed, all of Latin America, and
calls for, in particular, a thorough study
of two aspects of that policy: first, the
Hickenlooper amendment and it seri-
ously negative effects on overall U.S. re-
lations with Latin America; and second,
the future course of U.S. private invest-
ment in that region, and U.S. Govern-
ment policy concerning investment.
With regard to the Hickenlooper
amendment, I seriously question the wis-
dom of such a statutory prohibition as
an instrument of our foreign aid policy.
Its application to the current IPC ex-
propriation case is a prime opportunity
to evaluate its validity in our aid policy
and to determine its effectiveness in pro-
tecting and encouraging private invest-
ment in Latin America.
The confusing and complex issues of
the IPC case have been aired many times
in the press, and I will not attempt to ex-
plain them here. But I feel that the most
important point, and one which many of
us have lost sight of in the current hys-
teria of this confrontation, is that Peru's
expropriation of the IPC holdings is a
unique case, and it is regarded as such
by the Peruvian Government. It is based
on a recurring dispute between IPC and
Peru that has persisted for 45 years. Dur-
ing that time, it has been a constant
source of resentment on the part of the
Peruvians against what they believed,
perhaps unjustly, to be economic ex-
ploitation of their natural resources by
U.S. business interests. It is not a pre-
view of a new anti-American wave surg-
ing through Latin America and it will
not result in a massive seizure of U.S.
business interests in Peru and elsewhere,
or in a general rejection of U.S. influence
in the Latin nations unless the United
States, through acts of sanction and re-
taliation imposed by the Hickenlooper
amendment, causes that alienation to
occur. I cannot emphasize this point too
strongly-the manner of official U.S. ac-
tion on this matter is all important-
we must be willing to show the Peruvians
and other Latin American nations that
we are approaching this situation from
a sound, reasonable policy, and that we
are actively seeking a just and equita-
ble negotiated settlement in the interests
of both sides. The danger is in leaping
too fast to impose punishment before
there is a reasonable opportunity to set-
tle the case by negotiation, and this dan-
gerous leap is precisely what the United
States must make if the provisions of
the Hickenlooper amendment remain in
force.
In the view of the current Peruvian
Government, the expropriation of the
IPC holdings was a lawful and just act
to recover Peru's national rights. The act
represents reparations for what the Gov-
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July 31, 1969 CONGRESSIONAL RECORD - SENATE S 8903.
dren, and parents of members of the Armed
Forces who lost their lives on the U.S,S.
Scorpion; to the Committee on Finance.
By Mr. HARTKE:
S. 2750. A bill to amend section 13a of the
Interstate Commerce Act so as to provide for
reimbursement to the carrier of the cost of
operating uneconomic interstate railroad
passenger train service performed under
order of the Commission; to the Committee
on Commerce.
(The remarks of Mr. HARTKE when he in-
troduced the bill appear later in the RECORD
under the appropriate heading.)
By Mr. MOSS:
S.2751. A bill to amend chapter 73 of
title 38, United States Code, to authorize the
payment of differential pay for evening and
night work performed by nurses employed by
the Veterans' Administration; to the Com-
mittee on Labor and Public Welfare.
(The remarks of Mr, Moss when he, intro-
duced the bill appear later in the RECORD
under the appropriate heading.)
By Mr. MUSKIE:
S. 2752. A bill to promote intergovernmental
cooperation in the control of site selection
and construction of bulk power facilities for
environmental and coordination purposes; to
the Committee on Government Operations, by
unanimous Consent; and, when reported
from that committee to be referred to the
Committee on Commerce.
(The remarks of Mr. MusKuE when he in-
troduced the bill appear later in the RECORD
under the appropriate heading.)
By Mr. JAVITS (for himself and Mr.
PROUTY):
S. 2753. A bill to amend the Public Health
Service Act so as further to assist in meeting
the Nation's needs for adequately trained
personnel in the allied health professions,
and for other purposes; to the Committee
on Labor and Public Welfare.
(The remarks of Mr. JAVITS when he in-
troduced the bill appear earlier in the RECORD
under an appropriate heading.)
S. 2739-INTRODUCTION OF A BILL
EXPANDING THE DEFINITION OF
DEDUCTIBLE MOVING .EXPENSES
INCURRED BY AN EMPLOYEE
Mr. STEVENS. Mr. President, today I
am introducing Senate bill 2739 which
is designed to allow additional legiti-
lnate moving expenses to be deducted
under existing Internal Revenue proce-
dures. This is a companion bill to one
recently introduced into the House of
Representatives.
We are all aware of the rising costs of
living facing us, but nowhere is this cost
more apparent than my home State of
Alaska. In the past only those costs such
as travel and household moving have
been allowable deductions. However
these comprise only a portion of the ac-
tual costs involved. Reliable sources fix
the cost to an average family for moving
at $3,300. In Alaska the average can go
as high as $5,000. And yet under exist-
ing regulations only a portion of this
amount may be deducted,
Certainly costs such as temporary
housing, loss that might incur from a
broken lease, costs in purchasing a new
house, and in looking for a new home are
-all part of moving, and costs we have all
borne in our previous moves.
My bill would recognize these costs;
costs which have long been recognized
by private industry, and allow reason-
able and just deductions within the In-
ternal Revenue Code.
Homeowners purchasing a home in
their new place of residency would be al-
lowed up to $2,500 in additional deduc-
tions. A renter would be granted up to
$1,000 in new deductions.
With the enactment of this bill our
highly mobile American society will no
longer be penalized because they have
found it necessary to move from one area
to another.
Mr. President, it is my understanding
that this amendment will not apply to
Members of Congress because, technically
if not otherwise, our principal place of
residence remains in our State or district,
notwithstanding our residence in the
Washington area while Congress is in
session.
Mr. President, I ask unanimous consent
that the text of my bill be printed im-
mediately following these remarks in the
RECORD.
The PRESIDING OFFICER. The bill
will be received and appropriately re-
ferred; and, without objection, the bill
will be printed in the RECORD.
The bill (S. 2739) to' expand the defi-
nition of deductible moving expenses in-
curred by an employee, introduced by Mr.
STEVENS, was received, read twice by its
title, referred to the Committee on Fi-
nance, and ordered to be printed in the
RECORD, as follows:
S. 2739
Be it enacted by the Senate and House of
Representatives of the United States of Amer-
ica in Congress assembled, That paragraph
(1) of section 217(b) of the Internal Rev-
enue Code of 1954 (relating to definition of
moving expenses) is amended to read as fol-
lows:
"(1) IN GENERAL.-For purposes of this
section, the term 'moving expenses' means
only the reasonable expenses-
"(A) of moving household goods and per-
sonal effects (including temporary storage
expenses) from the former residence to the
new residence;
"(B) of traveling (including meals and
lodging) from the former residence to the
new place of residence;
"(C) of traveling (including meals and
lodging) by the taxpayer, his spouse, or both
for the purpose of searching for a new resi-
dence in the area of the new principal place
of work when both the old and the new
principal places of work are located within
the United States.
"(D) of meals and lodging of the taxpayer
and members of his household at the new
place of residence while occupying temporary
quarters for a period not exceeding 30 days;
"(E) incident to the sale or exchange of
taxpayer's former residence (not including
expenses of redecorating or other items to
improve salability) or to the settlement of an
unexpired lease covering property used by
the taxpayer as his former residence, and
"(F) incident to the purchase of a resi-
dence in the area of the new principal place
of work.
If the aggregate of the expenses described
in subparagraphs (C), (D), (E), and (F)
exceed $2,500 in the case of a taxpayer who
was the owner of his principal place of abode
at the former residence, subsection (a) shall
apply only to the first $2,500 of such ex-
penses, and if the aggregate of such ex-
penses exceed $1,000 in the case of any other
taxpayer, subsection (a) shall apply only
to the first $1,000 of such expenses."
SEC. 2. The amendments made by this Act
shall apply to expenses incurred after De-
cember 31, 1968.
S. 2742-INTRODUCTION OF A BILL
PROVIDING FOR EXPANDED MEM-
BERSHIP ON NATIONAL SECURI-
TIES EXCHANGES
Mr. McCARTHY. Mr. President, I am
today introducing legislation which
would open membership on registered
stock exchanges to all broker-dealers
who are registered with the Securities
and Exchange Commission, pursuant to
section 15 of the Securities Exchange Act
of 1934.
Current restrictions imposed by stock
exchanges on the number of seats avail-
able to broker-dealers would be abolished
by this bill. However, it would require
new exchange members to pay an appro-
priate share of the value of the ex-
change's physical facilities and property
so as not to take from present members,
without compensation, the value of their
contributions to those facilities.
The bill also provides that an exchange
could limit membership temporarily to
meet such problems as inadequate trad-
ing floor facilities. Such temporary limits
would become effective 60 days after be-
ing filed with the SEC If the SEC found
them necessary.
There are approximately 4,530 broker-
dealers registered with the Securities and
Exchange Commission and only 1,366
seats on the New York Stock Exchange
with the number of seats and who may
become a member controlled by the New
York Stock Exchange with only a limited
check by the SEC.
At the present time, the SEC is not
even sure whether it has the authority to
require the New York Stock Exchange
to increase the number of seats or
change its membership requirements.
But there are financial institutions
such as mutual funds, insurance com-
panies, and pension plans which account
for half of the volume on the New York
Stock Exchange and one-fourth of its
gross commissions. Although many of
these institutions are registered as
broker-dealers with the SEC, they are
arbitrarily excluded by the New York
Stock Exchange from membership on the
grounds that they are not primarily en-
gaged in the brokerage business.
These institutions represent many mil-
lions of shareholders who are thus un-
able to recoup their brokerage commis-
sions. If exchange - membership were
available the institution could execute
its own transactions and pass on the
saving to its shareholders.
The artificial limitation on member-
ship has increased the price of New York
Stock Exchange seats to $515,000, thus
excluding many small brokers from
membership because of their lack of fi-
nancial resources.
The New York Stock Exchange claims
it is protected in its actions by an im-
plied antitrust exemption in the Securi-
ties Exchange Act but the Department of
Justice, in a brief filed with the SEC
on January 17, 1969, says such immunity
is implied "only to the extent necessary
to make the exchange work and then
only to the minimum extent necessary."
The Department of Justice goes on to
declare that the SEC should take steps
to require expansion of stock brokerage
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S8904 CONGRESSIONAL RECORD - SENATE July 31, 1969
privileges to all qualified individuals up ever, the Stock Exchange has arbitrarily ex- Of particular concern are those pesti-
to the physical limit of exchange facili- eluded them from membership claiming that cides which do not break down after
ties. That is what my bill provides, they are not primarily engaged in the broker- application. Pesticides are synthetic or-
The effective date of the bill would age business. Also excluded from membership garlic chemicals. Many of them degrade
all be delayed for 2 years to provide timebeg brokerage ely houses are re x excluded Thus, mem- and disappear shortly after use. Others
aced from rail .
for readjustment and study of the prob- inn capital ag via equity finanluding. - do not remaining in the land for months
lem. Financial Institutions have many millions or even years. These are termed persis-
I ask unanimous consent to have of shareholders (there are 5 million mutual tent or hard pesticides. They retain their
'placed in the RLCORD at this point a fund shareholders alone) and by barring toxic quality and are transported
raemoranalum dealing with this proposed them from New York Stock Exchange mern- throughout the environment in the soil,
legislation. bership these shareholders are unable to re- water, or in the air.
coup their brokerage commissions. On the
The PRESIDING OFFICER.. The bill it is the accumulation of these pesti-
will be received and appropriately re other made hand if Exchange membership was available the institution could execute tides, these poisons, in increasing
ferred; acid, without objection, the mem- its own transactions and pass,on the saving amounts and all over the globe which
orandum will be printed in the RECORD. to its shareholders. For example, Investors has alarmed both scientists and con-
The bill. (S. 2742) to amend the Secu- Diversified Securities has a subsidiary which servationist alike.
rities and Exchange Act of 1934 by pro- is a member of the Pacific Coast Stock Ex- It is this poisoning of our environment
viding for expanded membership on na- change (where no such 1iritatiori err merry..-?bout which Rachel Carson so eloquently
" '
tional securities exchanges, introduced bership exis
Committee on Banking and Currency. "has also increased the price of Stock Ex- such as DDT, dieldrin, and endrin is now
The memorandum presented by Mr change seats to $515,000, excluding many recognized. In 1963, a report of the Presi-
MCCARTaY, is as follows: small brokers from membership because of dent's Science Advisory Committee
MEMORANDUM lack of financial resources. recommended that "the accretion of resi-
Sub ect: Proposed bill for expanded in In 1968 New York Stock Exchange commis-
j lions amounted to approximately $1 700 - dues in the environment be controlled
bership on registered and national 000,000. Since non-members are not allowed by orderly reduction in the use of per-
curities exchanges: h 1 th commissions (under New sistent pesticides." The report went on
n
t
'
o
Section
6 of the Securities Exchange jYorkstockExchaneRu1esaInember1s
of 1943 delineates the requirements for reg pro- to say that "elimination of the Use Of
tration as a national securities exchange. Th hibited from splitting commissions with a persistent toxic pesticides should be the
present Section 6(b) requires the continuin non-member) small broker-dealers and goal." In May of this year, the Commis-
surveillance of member's conduct as a condi- financial Institutions have been effectively Sion on Persistent Pesticides of the Na-
tion to granting or retaining registration. barred from sharing In this income. As stated tional Research Council, National Acad-
This provision will now be Section 6(b) (2) ~efore, the cost to financial institutions such and of Sciences said that it was "con-
and the new membership provision will be a mutual funds has been especially high
winced that there is an immediate need
Section 6(b) (1). si the have been unable to execute their
The first sentence of (b) (1) requires that own ransactions and pass on the savings in for worldwide attention to the problem of
membership on 4 registered exchange be a lion to their shareholders. buildup of persistent pesticides in the
open to all broker-dealers who are registered The w York Stock Exchange claims it Is total environment." Finally, in recent
with the Commission pursuant to section protecte h1 its actions by an implied anti- testimony before the Subcommittee on
15 of the Securities Exchange Act of 1934. trust exe tion contained in Section 19 of Energy, Natural Resources and the En-
This provision would eliminate the current the Sectirit $ Exchange Act. However, the vironment, of which I aln a member,
restrictions imposed by exchanges on the Justice Depa ent in a brief filed with the Dr. Leslie L. Glasgow, Assistant Secretary
number of seats available to broker-dealers. SEC on"Janus 17, 1969, a cbpy of which is for Fish and Wildlife, Parks, and Marine
The Section also requires that new members enclosed, states at antitrust immunit for
would have to pay an appropriate share of Exchange activitie is to be implied "only to Resources, U.S. Department of the In-
the value of the exchange's physical facill- the extent necessar to make the Exchange terror, stated that because of their toxic
ties and property so as not take from work and then only the minimum extent impact, we should begin to phase out
existing members, without compensation, the necessary." The Depart exit on Page 198 goes hard pesticides.
value of their contribution to the exchange on to state that after a equate study (this An alarming example of the danger
facilities. An exchange may make rules lim- subject has been studied d'nauseam), the by persistent pesticides was the
sting membership so as to meet such tem- SEC should take steps to re utre expansion of posed
porary problems as may exist respecting use stock brokerage privileges took Exchange seizure last month by the FDA of 28,150
of limited floor facilities by new members. membership) to all qualifie individuals up pounds of Lake Michigan Cohn salmon
Such rules woul be restricted to this purpose to the physical limit of sue facilities. The which was found to contain 13 to 19
and for a limited period of time. They would enclosed bill provides for such result. Time parts per million of DDT. As five p.p.m.
become effective 60 days after being filed for readjustment and study i provided by is considered safe, the salmon was de-
with the Commission if the Commission a two-year delay in its effectly date. Glared unfit for human consumption.
finds that they are necessary or appropriate A Swedish scientist, Dr. Govan
in the public interest or for the protection
of investors, and to carry out the purposes S. 2747-INTRODUCTION F A BILL Lofroth, stated in May that breast-fed
UIRE THE SEA ARY OF infants throughout the world were in-
e membership for
access to exchan
of fre
O RE
g
e
Q
T
any registered broker or dealer. HEALTH, EDUCATION D WEL- gesting approximately twice the amount
BACKGROUND MnMORANPT-'M FARE TO CONDUCT It Y OF of DDT compounds recommended as a
or
th W ld
b
k
There are approximately 4,530 broker-
dealers registered with the Securities and
Exchange Commission and only 1,366 seats
(members) of the New York Stock Exchange.
Of these 1,366 members approximately 600
deal with the public. The remainder work on
thefloor of the Exchange either for their own
accounts, as specialists, or in various other
non-public functions. The number of seats
and who may become a member is controlled
directly by the New York Stock Exchange
with limited SEC oversight. The SEC is not
even sure as to whether or not it can require
the New York Stock Exchange to increase the
number of seats or change its membership
requirements.
Financial institutions such as mutual
funds, insurance companies and pension
plans account for 50?% of the volume on the
Exchange and for 25% of the gross commis-
sions. Many of these Institutions are regis-
tered as broker-dealers with the SEC., How-
y a
e
THE EFFECTS OF 'rH USE OF maximum daily inta
CERTAIN POISONS MAN'S Health Organization. Dr. Lofroth, who
HEALTH ANQ_ENVIR' MENT is a radiobiologist at Stockholm Univer-
Mr. TYDINGS. Mr. President, I intro-
duce today legislation designed to pro-
tect our people and our ecological system
from the growing accumulation of toxic
residues in the environment, stemming
from the widespread use of pesticides.
In the past few months increasing
public awareness of this' accumulation
has led to alarm over the long-term im-
pact which the systematic, yet often in-
discriminate applications' of pesticides
have had on our environment. Pesticides,
after all, are poisons. Their deliberate
injection into the land must be viewed
as cause for concern, regardless of the
precautions taken.
sity, found that the babies received a
daily average of 0.02 milligrams per kilo-
gram of DDT from their mother's milk.
WHO has set 0.01 milligrams per kilo-
gram of DDT and its compounds as the
maximum recommended daily intake.
DDT is also threatening wildlife. Alex-
ander Sprunt, research director of the
National Audubon Society, says that un-
less we ban DDT, the American bald
eagle will soon become extinct. The pesti-
cide inhibits the development of the egg-
shell. It disturbs the calcium metabolism
of the bird, resulting in a shell that is
too thin to protect adequately the de-
veloping embryo.
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May 5, 1969 CONGRESSIONAL RECORD - HOUSE H 3363
PERCENTAGE DISTRIBUTION BY STATE AND AN ILLUS-
TRATIVE DISTRIBUTION OF THE 196$ MANPOWER
FUNDS BY STATE USING THE FORMULA IN THE COM-
PREHENSIVE MANPOWER ACT OF 1969-Continued
Percentage 1968 man-
distribution power fund
of the distribution
allotment (millions)
District of Columbia -----_-_.__
Florida----------------------
Georgia----------------------
Hawaii------------______----
Idaho-----------------------
Illinois______________________
Indiana----------------------
Iowa-----------------------
Kansas----------------------
Kentucky--------------------
Louisiana____________________
Maine---------------------
Maryland____________________
Massachusetts _______________
Michigan--------------------
Minnesota___________________
Mississippi___________________
Missouri_-_----_____________
Montana_____________________
Nehraska____________________
Nevada-------------------- --
New Hampshire______________
New Jersey__________________
New Mexico__________________
New York____________________
North Carolina________________
North Dakota_________________
Ohio------------------------
Oklahoma____________________
Oregon_____-___---____
Pennsylvania_________________
Rhode Island_________________
South Carolina ------------ -__
South Dakota -----------------
Tennessee--------------- ____
Texas -----------------------
Utah------------------------
Vermont-------------- _______
Virginia----------------------
Washington__________________
West Virginia_________________
Wisconsin____________________
Wyoming--------------------
1.45
2.43
2.06
.38
.30
5.20
2.26
1.21
.86
1.65
1.77
.55
1.56
2.83
4.19
1. 91
1.18
2.27
.41
.62
.27
.34
3. 58
.60
9.38
2.41 _
.29
4.61
1.19
1.06
5.19
.49
1.35
2.30
4.80
.51
.20
1.84
1.59
.94
2.03
.15
$8.1
13.5
11.4
2.1
1.7-
28
12..58
6.7
4.8
9.2
9.8
3.1
8.7
15.7
23.2
10.6
6.6
12.6
2.3
3.4
1.5
1.9
19. 9
3.4
52.1
13.4
1.6
25.6
6.6
5.9
28.8
2.7
7.5
1.8
12.7
26.6
2.8
1.1
10.2
8.8
5.3
11.3
.8
FEDERAL EMPLOYEES' HEALTH
INSURANCE COSTS
The SPEAKER pro tempore. Under a
previous order of the House, the gentle-
man from. New York (Mr. HALPERN) is
recognized for 5 minutes.
Mr. HALPERN. Mr. Speaker, I have
today introduced a bill to require the
Federal Government to assume, in
stages, the full cost of the health insur-
ance which since 1960 has been avail-
able to Federal employees. My bill pro-
vides that the Governrnents share of
the cost of health insurance for Federal
employees shall rise to 50 percent of the
cost after June 1969, to 75 percent of the
cost after June 1970, and to the full cost
after June 1971.
When health insurance was first made
available to Federal employees the Fed-
eral Government paid about two-fifths
of the cost and the employee paid about
three-fifths of the cost. However, as
things have worked out, because of dol-
lar limits on. the amount the Federal
Government can pay toward any indi-
vidual's health insurance, the rising cost
of health insurance has resulted in em-
ployees paying an average of over 70 per-
cent of the cost.
Progressive employers, all over the
country, provide health insurance to
their employees at no cost. In fact, since
the amounts paid out for employees'
health insurance is a cost of doing busi-
ness, and therefore not taxable income,
one can say that the Federal Govern-
ment pays a part of the cost of health
insurance for employees in private in-
dustry. And, with corporate tax rates
being what they are, in some cases the
Government share for private employees
is more than the Government pays for its
own employees.
It is time, Mr. Speaker, for the Fed-
eral Government to take the same action
in regard to its employees that progres-
sive employers everywhere have taken
with regard to their employees. If we do
not do something, and do it soon, Fed-
eral employees will be priced out of the
health insurance market.
I would call this body's attention to
the fact that I am not alone in crying
out against the unfair treatment Fed-
eral employees receive in regard to
health insurance. On the very first day
of this Congress the honorable gentle-
man from New Jersey (Mr. DANIELS)-
who is so knowledgeable about matters
relating to the retirement and health
benefits provided Federal employees-in-
troduced a bill identical to my bill. At
that time he pointed out the urgent need
"to relieve employees and annuitants of
the unfair burden of continuing to as-
sume the lion's share of constantly spi-
raling costs."
Mr. Speaker, I join with the gentle-
man from New Jersey in urging prompt
action on this proposal. Health care
costs continue their rapid rise. As health
care costs rise, health insurance costs
must rise. Under the present program,
employees and annuitants must bear the
full burden of rising costs. Therefore,
we must act to relieve them of their dis-
proportionate burden.
The SPEAKER pro tempore. Under a
previous order of the House, the gentle-
man from Ohio (Mr. MINSxALL) is recog-
nized for 30 minutes.
[Mr. MINSHALL addressed the House.
His remarks will appear hereafter in the
Extensions of Remarks.]
(Mr. SIKES asked and was given per-
mission to extend his remarks at this
point in the RECORD and to include extra-
neous matter.)
[Mr. SIKES' remarks will appear here-
after in the Extensions of Remarks.]
AMENDING SOLID WASTE DISPOSAL
ACT
(Mr. TIERNAN asked and was given
permission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
Mr. TIERNAN. Mr. Speaker, a genera-
tion ago, the terms solid waste and lit-
ter were virtually unknown. Solid waste,
until recently, was just plain garbage and
people did not worry so long as it was
properly disposed of.
Litter has been around as long as there
have been people. It is mentioned in the
histories of early Rome, and Shake-
speare's father was once fined for lit-
tering. But it was not considered a prob-
lem until the advent of the packaging
revolution and the automobile which
made people sufficiently mobile to lit-
ter the entire national landscape.
Consumers today discard over 5 pounds
of refuse a day, per capita, and projec-
tions show this will double by 1975 and
may triple by 1980. Few people worried
or spoke about this problem even as late
as 1960. By 1965, the problem in urban
areas reached the crisis stage, so that
the Solid Waste Disposal Act of 1965 was
enacted. Action has been faster since
then, mainly due to the latent nature of
the problem. Attention thus far has been
principally focused on municipalities and
local governments. Unfortunately, the
public's commitment to this problem has
been inadequate. While we have devel-
oped elaborate systems of transportation
organization, and management to bring
goods to the consumer, we have left the
major questions of disposal and reuse of
our wastes unanswered.
Senator MUSKIE, when introducing
this bill in the Senate last week, stated:
In our current view, materials are rela-
tively cheap. We buy, we use, and we throw
away.
Senator MUSKIE referred to the state-
ment of Austin C. Daley, chief of the di-
vision of air pollution control of the
Rhode Island Department of Health,
given during a hearing before the Sen-
ate Subcommittee on Air and Water Pol-
lution at Boston on April 10. Mr. Daley
stated:
We are a nation of users, not consumers.
Mr. Daley, a nationally recognized ex-
pert in the field of solid wastes manage-
ment, also pointed out: -
In our efforts to cope with this problem,
we must recognize that we can neither cre-
ate nor destroy matter.
Mr. Speaker, with this in mind, I am
today introducing the Resource Recovery
Act of 1969. This bill would amend and
strengthen the Solid Waste Disposal Act
of 1965. It would also extend the pro-
visions of that act for an additional 4
years. Two new provisions incorporated
within this legislation are:
First, the Secretary of Health, Educa-
tion, and Welfare is directed to conduct
studies and report to the President and
the Congress on economical means of re-
covering useful materials from solid
wastes, recommended uses of such ma-
terials for national and international
welfare, and the market of such recovery;
recommended incentive programs-in-
eluding tax incentives-to assist in solv-
ing the problems of solid waste disposal;
and recommended changes in current
production and packaging practices to
reduce the amount of solid wastes. The
Secretary also - would be authorized to
carry out demonstration projects to test
and demonstrate the recovery techniques
developed by these studies.
Second, the Secretary would be author-
ized to make grants to any State, munic-
ipality, or interstate or intermunicipal
agency for the construction of solid
waste disposal facilities, with incentives
for new and improved methods for deal-
ing with solid wastes.
The Solid Waste Disposal Act of 1965
was just a beginning. If we are to effec-
tively manage our refuse, we must first
effectively utilize our resources. Billions
of dollars in raw materials are now being
wasted. We can no longer afford this
waste. This bill, the Resource Recovery
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H 3364 CONGRESSIONAL RECORD -- HOUSE May 5, 1969
Act of 1969, will help us meet this press- appropriate to carry out the purposes of which is satisfactory to the Secretary for the
ing problem. I urge my colleagues to join this Act, make grants to State, interstate, purposes of this Act, and is consistent with
orn g t is vital legisla_ municipal, and lntermunicipal, agencies, and any standards developed pursuant to section
~ it .. I
n p
Mr, Speaker, for the further edification tiono 701 (g) of the Housing Aict of 1954, of ceeding 25 per centum of the estimated
of my colleagues, I Insert the text of the not to exceed 66% per centum of the coast reasonable cost of the project as determined
bill and Mr. Daley's remarks at this point in the case of a single municipality, and not by the Secretary in the case of a project
in the RECORD: to exceed 75 per centurn of the cost in the serving a single municipals ty and not exceed-
H.R. 10916 case of an area Including more than one ing 50 per centum of such cost in the case of
municipality, of (1) making surveys of solid a project serving an area including more than
A bill to amend the Solid Waste Disposal Act waste disposal practices and problems within one municipality, and only if the applicant is
in order to provide financial assistance for the jurisdictional areas of such agencies and unable to obtain such arnounts from other
the construction of solid waste disposal fa- (2) developing solid waste dis p1aDS as sources upon terms and conditions equally
cilities, to improve research programs pur- part of regional enviro i protectionav ble;
suant to such Act, and for other purposes. systems for such are ncluding planning ??(B -nQtwiths any other provision
Be it enacted by the Senate and House of for the reuse, as a ropriate, of solid waste of this paragraph, the Secretary may increase
Representatives of the United States of disposal areas arid studies of the effect and the amount ofa grant made under (A) by an
America in Congress asscmbZed, That this Act relationship Vsolid waste disposal prac- additional 50 per centum of such grant for
may be cited as the "Resource Recovery Act tices on are adjacent to waste disposal any project whie11 utilizes new or improved
1 1969 ? sites, and no to exceed 50 per'centum of the techniques of demonstrated usefulness in re-
,Jai:. is~,..,1~~ an d
posal Act is amended by inserting at the eluding enfrcement, and modification of waste disposal, recovery of resources or recy-
end thereof the following: such plans. cyling useful materials.
"(7) The term 'municipality' means a city, "(b) Graa1 ursuant to this section shall "(3) shall not be made until the appli-
town, borough, county, parish, district, or be made upon pplication therefor which- cant has made provision satisfactory to the
other public body created by or pursuant to "(1) designa or establishes a single Secretary for proper and efficient operation
State law and having jurisdiction over the agency as the Sol agency for carrying out and maintenance of the project after com-
disposal of solid wastes." the purposes of this section for the area in- pletion;
SEC. 3. (a) Subsection (a) of section 204 of vOlved; "(4) shall not be made unless such project
the Solid Waste sal Act is amended by "(2) indicates the manner in which pro- is consistent with the purposes of the Fed-
striking out all beginning with "the develop- vision will be made to ass full considera- eral Water Pollution Control Act and the
went and application" through the end of tion of all aspects of plan g essential to Clean Air Act; and
such subsection and inserting in lieu thereof areawide planning for propet`pnd effective e(5) may be made subject to such condi-
the folowing: "the reduction of the amount solid waste disposal consistent with the pro- bons and requirements, in addition to those
of such waste and unsalvageable waste mate- tection of the public health, ncli]411ng such provided in this section, as the Secretary may
rials, and the development and application of factors as population growth, ur'an and require to properly carry out his functions
new stud improved methods of collecting and metropolitan development, land use plan- pursuant to this Act.
disposing of solid waste and processing and ning, water pollution control, air pollution (c) In determining the desirability of
recovering usable materials from solid waste control, and the feasibility of regional, dis- projects and of approving Federal financial
connection therewith, consideration
(including devices and facilities ttherefor " posal programs;
y ch sets forth plans for expenditure of aid in
to the public
out sue 204 is further amended b
(b) Such
striking out subsection (d). such grant, which plans provide reasonable shall benefits be to given be by the derived by Secretary the construction
assurance of carrying out the purposes of
SEC. 4. The Solid Waste Disposal Act is this section; and the propriety of Federal aid in such
amended by redesignating sections 205 and "(4) provides for submission of a final re- construction, the relation of the ultimate
206 as seetn 206 and 207, respectively, and port of the activities of the agency in cost of the project to the public interest and
by inserting after section 204 a new section carry-
ing out the purposes of this section, and for to the public necessity for the project, and
as follows: the submission of such other reports, in such the use by the applicant of comprehensive
"SPECIAL STTTDY AND DEMONSTRATION PROJECTS form and containing such information, as regional or metropolitan area planning.
ON RECOVERY OF USEFUL MATERIALS the Secretary may from time to time find "(d) Not more than 15 per centum of the
';SEC. 205. (a) The Secretary of Health, Edu- necessary for carrying out the purposes of total of funds appropriated for the purposes
cation, and Welfare shall as soon as prac- this section and- for keeping such records qf this section in any fiscal year shall be
ticable carry out an investigation and study and affording such access thereto as he may ranted for projects in any one State. In the
to determine-- find necessary to assure the correctness and Base of a loan for a program in an area cross-
verification of such reports, and Ing State boundaries, the Secretary shall de-
"(1) economical means of recovering use- termine the portion of such grant which is
ful materials from solid waste, recommended "(5) provides for Isuch fiscal control and hargeable to the percentage limitation under
uses of such materials for national or inter- fund accounting procedures as may be nec-this subsection for each State into which
national welfare, and the market impact of essary to assure proper disbursement of and such are., extends.
such recovery; accounting for funds paid to the agency
under this section. "RECOMMENDED - TANDARDS
?' (in appropriate in Inceptive programs (in-
eluding tax ax incentives) to assist in solving "(c) The Secretary shall make a grant un- "SEC. 209. (a) The Secretary of Health,
the problems of solid waste disposal; and der this section only if he finds"that there Education, and Welfare shall, in cooperation
"(3) practicable changes in current pro- is satisfactory assurance th$t the plpfintng with appropriate State. interstate, and
duction and packaging practices which would of Eolid waste disposal will be ogofdinated, regional and local agencies, within eighteen
reduce the amount of solid waste. so far as p1IAat cable= with of duplica- months following the date of enactment of
(4) practicable methods of collection and tive of, other re a State, interstate, re- this section, recommend to appropriate agen-
containerization which will encourage em- gional, and local planning activities, Includ- cies standards for solid waste collection and
dent utilization of facilities, and contribute ing those financed in part with funds disposal systems (including systems for pri-heal to more effective programs of reduction, re- pursuant to section 701 of the Housing Act va use) waterwhich are eioo ss consistent
and can h,
use, or disposal of wastes. of 1954."
The Secretary shall report the results of such SEC. 6. The Solid Waste Disposal Act is adapted to applicable land use plans.
investigation and study to the President further amended by redesignating the last "(b) Further, the Secretary shall, as soon
and the Congress. four sections in such Act as sections 211 as practicable, recommend model codes, ordi-
"(b) The Secretary is also authorized to through 214, respectively, and by inserting nances, and statutes which are designed to
carry out demonstration projects to test and after section 207, as redesignated by this implement this section and the purposes of
demonstrate recovery techniques developed Act, the following new sections: this Act.
Sc. E6. (a) Subsection ta) of section 214 of
pursuant to subsection (a). "GRANTS FOR coxsTRVCrIaN the Solid Waste Disposal Act, as redesignated
"(c) The authority contained in section "SEC. 208. (a) The Secretary of Health, by this Act, is amended by striking out "not
204 for the purpose of carrying Out research Education, and Welfare It authorized to to exceed $19,750,000 for the fiscal year ending
and demonstration projects shall be appli- make grants pursuant to this section to any June 30, 1970." and inserting in lieu thereof
cable to the provisions of this section." State, municipality, or Interstate or Inter- the following: "not to exceed $46,000,000 for
SEC. 5. Section 207 of the Solid Waste Dis- municipal agency for the construction of the fiscal year ending June 30, 1970, not to
posal Act, as redesignated by the previous solid waste disposal and resource recovery fa- exceed $83,000,000 for the fiscal year ending
section of this Act, is amended to read as cilities, including completion and improve- June 30, 1971. not to exceed $152,000,000 for
follows: ment of existing facilities. the fiscal year ending June 30 1972, not to ex-
"GRANTS FOR STATE, INTERSTATE, AND LOCAL "(b) Any such grant- ceed $216,000,000 for the fiscal yeas ending
PLANNING "(1) Shall be made for a Project only if it June 30, 1973, and not to exceed $236,000,000
"SEC. 207. (a) The Secretary may from is consistent with any State or Interstate for the fiscal year ending June 30 1974. The
time to time, upon such terms and condi- plan for solid waste disposal, Is included in a sums so appropriated shall remain available
tions consistent with this section as he finds comprehensive plan for the area Involved until expended."
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 April 3A pN ved For Rel 918 1 RCS 9P71 AQ 64R000500140002-65 3521
8y Mr. RANDOLPH (for himself, Mr.
BAKER, Mr. BYRD of West Virginia,
AU, GORE, Mr, METCALF, Mr. SCHWEI-
xsER, and Mr. ScoTT) :
S. 1781. A bill to amend title II of the So-
cial Security Act to eliminate the reduction
in disability insurance benefits which Is
presently required in the case. of an individ-
ual, receiving workmen's compensation bene-
fits; to the Committee on Finance.
(See the remarks Of Mr. RANDOLPH when
he introduced the above bill, which appear
under a separate heading.)
By Mr. PROXMIRE (for himself, Mr.
BATH, Mr. EAGLETON, Mr. NELSON, Mr.
HART, and Mr. MONDALE) :
S. 1782. A bill to amend section 7(b) of
the Small Business Act to provide for new
Interest rates on the Administration's share
of disaster loans; to the Committee on
Banking and Currency.
(See the remarks of Mr. PROXMIRE when
he introduced the above bill, which appear
under a separate heading.)
By Mr. BURDICK:
S.J. Res. 88, Joint resolution to create a
Commission To Study the Bankruptcy Laws
of the TJnted States; to the Committee on
the Ju;liciary.
(See the remarks of Mr. BURDICK when he
introduced the joint resolution, which ap-
pear under a separate heading.)
. By Mr. MUSKIE:
S.J. Reis. 89. Joint resolution expressing
the support of the Congress, and urging the
support of Federal departments and agencies
as well as other persons and organizations,
both public and private for the international
biological program; to the Committee on
Labor and Public Welfare,
(See the remarks of Mr. MusKls when he
Introduced the above resolution, which ap-
pear . under a separate heading.)
By Mr. FULBRIGHT (by request) :
S.J, Res. 90. To enable the United States
to organize and hold a Diplomatic Confer-
ence in the United States in fiscal year
1970 to negotiate a Patent Corporation
Treaty and authorize an appropriation there-
for; to the Committee on Foreign Relations.
(See the remarks of Mr. FULBRIGHT when
he introduced the above joint resolution,
which appear under a separate heading.)
S. 1758-INTRODUCTION OF BILL
NAMING TIC . INTERSTATE SYS-
TEM AS THE "EISENHOWER IN-
TERSTATE HIGHWAY SYSTEM"
Mr. HANSEN. Mr. President, I intro-
duce, for appropriate reference, a bill to
designate the Interstate Highway Sys-
tem of the United States as the Eisen-
hower Interstate System.
Dwight David Eisenhower was one of
America's greatest leaders. He was a
leader in war. He was a leader in peace.
A major accomplishment of the Eisen-
hower administration was the passage of
the Federal Aid Highway Act of 1956
which created the Interstate Highway
System. This Is reason enough for nam-
ing the Interstate System In honor of
President Eisenhower.
However, unlike many of his predeces-
sors in the Office of Presidency, Dwight
Eisenhower never did represent a district
or a State before he.became President.
Instead, he represented all of America.
He was born in Texas; he grew up in
Kansas. During his outstanding career,
he had occasion to live in many parts of
the Nation. He belonged to no geographic
area.
Therefore, it is particularly fitting and
proper that his memorial should be the
magnificent Interstate Highway System
which stretches the length and breadth
of the United States.
Mr. President, similar legislation has
been introduced in the other body, and
I am honored to introduce this bill in the
Senate to honor the 34th President of the
United States.
The VICE PRESIDENT. The bill will
be received and appropriately referred.
The bill (S. 1758) to designate the In-
terstate System as the "Eisenhower In-
terstate Highway System," introduced
by Mr. HANSEN, was received, read twice
by its title, and referred to the Commit-
tee on Public Works.
S. 1769-INTRODUCTION OF A BILL
ALLOWING THE TREASURY DE-
PARTMENT TO ISSUE CONSTANT
PURCHASING POWER BONDS
Mr. CANNON. Mr. President, I intro-
duce, for appropriate reference, a bill
allowing the Treasury to issue constant
purchasing power bonds, which could
be purchased by individuals and certain
institutional groups for retirement pur-
poses.
Our senior citizens are" facing a re-
tirement income crisis unprecedented in
the history of our country. An increas-
ing number of retired workers living for
longer retirement periods are discover-
ing that inflation relentlessly nibbles
away at their fixed incomes, until al-
most one-third of the 20 million Ameri-
cans who are 65 years of age and over
find themselves living in poverty. Con-
scientious, thrifty people who have saved
throughout their working lives for a re-
tirement of independence and dignity
are dismayed by the realization that
they may just as well have spent their
income as they earned it because of the
deterioration of the purchasing power
of their savings.
It seems to me that the Federal Gov-
ernment has a responsibility to retirees
who have productively contributed to
the, growth of our economy throughout
their working lives. I do not believe that
we should impose the burden of inflation
on those whose income, with a purchas-
ing power dependent on a past rather -
than a current economy, cannot absorb
the shock of inflation.
To help solve this monumental prob-
lem, I recommend the enactment of leg-
islation allowing the Federal Govern-
ment to issue a bond that, if held to
maturity, would be redeemed at face
value, plus any increase reflected by the
Consumers Price Index between the
date of purchase and the date of re-
demption. Such securities could be
bought in amounts not exceeding $10,-
000 in any 1 year or $60,000 in an indi-
vidual's lifetime. They would not be
transferable, would have a 20-year ma-
turity period, and would have to be held
to maturity for the cost-of-living ad-
'justment to apply, unless the holder has
reached the age of 60, died, or has be-
come disabled.
In my judgment, a constant purchas-
ing power bond. would not only help to
meet the urgent needs of our senior citi-
zens, but also contribute to the reduc-
tion of inflation by drawing millions of
dollars into savings. It is my hope that
the Senate will give favorable considera-
tion to this concept as a means of coping
with an increasingly serious domestic
economic problem.
The VICE PRESIDENT. The bill will
be received and appropriately referred.
The bill (S. 1769) to assist individuals
to obtain retirement benefits protected
against increases in the cost of living by
providing for the issuances by the Treas-
ury a new series of bonds containing ad-
justments, under certain conditions, in
maturity and redemption values to com-
pensate for increases in the cost of liv-
ing which may be purchased by
individuals and eligible institutions, in-
troduced by Mr. CANNON, was received,
read twice by its title, and referred to
tll.e Committee on Finance.
S. 1770-INTRODUCTION OF A BILL
PROPOSING PAYMENT OF CER-
TAIN EXPENSES RELATED TO RE-
CRUITMENT OF PROSPECTIVE
FEDERAL EMPLOYEES
Mr. McGEE. Mr. President, I send to
the desk, for appropriate reference, a
bill to authorize Federal agencies to pay
certain expenses related to recruitment
of prospective Federal employees.
Under existing law, Federal agencies
are not permitted to pay any of the ex-
penses, not even a hamburger, for a
young man ar woman whom the agency
wishes to interview for a job. This ob-
viously puts the burden on the prospec-
tive employees to pay travel expenses,
food, and lodging when he comes to
Washington or some other city to inter-
view with an agency. When the prospec-
tive employee is a honor graduate in
the arts and sciences, whose talents are
sought after by many employers, the
Government is at a distinct disadvan-
tage.
We now pay salaries which are com-
parable with private enterprise and we
have revised some of the methods of
recruitment to make Federal employ-
ment more attractive. This legislation is
another step in the long journey of re-
cruiting and retaining the best possible
personnel for the Federal Government.
I ask unanimous consent that the
statement of purpose and justification
by the Civil Service Commission be
printed in the RECORD at this point.
The VICE PRESIDENT. The bill will
be received and appropriately referred;
-and, without objection, the statement of
purposes and justification will be printed
in the RECORD.
The bill (1770) to amend title 5, United
States Code, to authorize payment of
travel expenses of applicants invited by
an agency to visit it in connection with
possible employment, introduced by Mr.
MCGEE, by request, was received, read
twice by its title, and referred to the
Committee on Government Operations.
The material, presented by Mr. McGEE,
follows:
STATEMENT OF PURPOSE AND JUSTIFICATION
PURPOSE
To improve the ability of Federal agencies
to recruit well-qualified persons in shortage
occupations.
JUSTIFICATION
The need for well-qualified professional
and technical employees continues at a high
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53522 CONGRESSIONAL RECORD- SENATE Am
level and shows no sign of diminishing. De-
partment of Labor manpower estimates for
the economy as a whole predict a 45%
increase In employment in professional and
technical occupations during the decade from
1965-1975. This growth has several major
causes, including the rapid expansion in re-
search and development activities, the tre-
mendously rapid increase in application of
technological Improvements, and the in-
creasing size and complexity of business or-
ganizations.
Current Commission projections of Federal
manpower requirements indicate that by fis-
cal year 1971 agency needs for mathemati-
cians, engineers, scientists and medical per-
sonnel will Increase by at least 10%. Demand
for social scientists and technicians will be
equally high. Despite increased college en-
rollments, and even with greatly increased
recruiting efforts, it is quite likely that Fed-
eral needs for top flight scientific and tech-
nical personnel will not be fully met.
To Federal recruiting officials, these fore-
casts can only mean that competition for
highly trained and specialized personnel will
remain very high. Our Federal laboratories
must have technically trained and highly
skilled employees if we are to be successful
in such critical endeavors as medical re-
search, military preparedness, and space
activities.
The Federal Government should be able
to attract Its fair share of the best talent
that our colleges and universities are pro-
ducing. In occupations in which there are
numerical shortages, there often are even
more serious shortages of quality. Industry
makes special efforts to attract the superior
quality graduate. The Government as an
employer must do all that it can to attract
highly talented men and women.
Authorizing agencies to pay travel and
transportation expenses of new employees
to the first post of duty (Public Law 86-
587) was a stride forward In placing the Fed-
eral Government in a more competitive po-
sition with industry. However, inability to
pay interview expenses remains a serious
obstacle. Therefore, major Federal employers
of scientists, engineers and other personnel
in short supply (Departments of Army, Navy,
Air Force, Interior, Agriculture, Commerce,
Health, Education, and Welfare, National
Aeronautics and Space Administration, Vet-
erans Administration, and Federal Aviation
Agency) have recommended that legislation
be sought to authorize payment for travel
expenses of certain applicants invited to
visit the agency to discuss employment.
Why is this authority needed?
(1) To more nearly meet competition from
private industry. Private industry has rec-
ognized that the kind of equipment a man
will have to work with, who his co-workers
will be, and the kind of living conditions
his family will have can all be important
factors in selling him on a particular job.
Twenty-five of twenty-six large AEC con-
tractors pay the cost of travel to their plants
or laboratories in connection with recruit-
ment for important positions. Research and
development contractors for the military
services provide such travel expenses, and
other private firms advertise that expenses
of a visit to the company before employment
will be paid.
A report of college placement bureaus
compiled 3 years ago indicated that more
than 80% of employers who recruit on their
campuses provide for plant -visits at company
expense. A 1968 Prentice-Hall survey of 121
companies found that 87 % of them pay some
or all of an appflcant's expenses for a plant
interview. Of these 121 employers, 74% pay
all expenses (including transportation,
meals, lodging, and incidentals), 75% pay
for meals, 76% pay for lodging and 85% pay
for transportation. A recent CSC study of
seven large private employers and two large
public entities revealed that all nine of these
pay the cost of transportation for plant visits
in screening candidates for college level en-
try jobs.
(2) To acquaint applicants with opportu-
nities presented by Government employment.
In addition to-the advantage; of offering the
rewards of public service-a factor which
draws more young people to the Federal
service each year-Government employment
often provides unique challenges and oppor-
tunities.
This is especially true in the scientific and
engineering fields. These benefits can be
made so much more apparent in a plant visit
that they can often more than compensate
for the slightly lower starting salaries In the
Federal Government. (The Army Materiel
Command reports it difference of $2,253 per
year at GS-5 and $1,000 per year at GS-7
with the average industrial starting salary
for Bachelor level technical graduates in the
1967 fiscal year.)
(3) To obtain a greater number of highly
qualified applicants. The demand for tech-
nical talent is such that the well-qualified
scientist or engineer often does not have to
go looking for a job-the job goes looking
for him. Recruiting such a person often be-
comes a "selling" job.
In today's market most scientists and en-
gineers will not make a decision on their
professional career without personally visit-
lug the place of employment. It is only
natural to accept an offer ' from industry.
where the applicant has visited the plant and
met the officials, in preference to an offer
from a distant and unknown, Federal labora-
tory, even though the work, at the Federal
agency may appear to be more interesting
and offer more challenge. Federal laboratories,
equipment, and physical plant often surpass
the best in private industry, and these things
can be a powerful inducement for able sci-
entists and engineers. But this advantage is
lost unless we are able to bring qualified
persons In to see them, and In appropriate
cases to pay their travel expenses.
Similarly, applicants on civil service lists of
eligibles who appear to be well-qualified, but
who are not available for interview, are often
passed over for persons not as well-qualified,
but who were interviewed. Federal employers
also do not want to buy without looking and
this may result in the Federal Government
not selecting the best available person.
It has been the experience of Federal em-
ployers in recent years that inability to pay
these expenses is the governing factor in
numerous declinations of job offers. To cite a
few examples:
Navy reported 726 declinations out of the
945 offers made by 5 of their biggest labs.
Without exception, the labs specified nonpay-
ment of preemployment interview expenses
as a primary reason for these declinations.
The Army Materiel Command reported
that 32% of all those inexperienced scien-
tists and engineers declining job offers listed
the lack of opportunity to visit the work site
at government expense as their main reason
for declination.
One Air Force installation reported losing
an average of 25 qualified research people
per year to industry because of the inability
to pay expenses for a plant interview.
All Naval recruiting activities-65 in
total-mentioned inability to pay preem-
ployment interview expenses as a major rea-
son for declinations by qualified applicants
in shortage categories.
74% of all Army Materiel Command appli-
cants declining offers reported that they had
visited the organization whose offer they
subsequently accepted. Moreover, respond-
ents visited an average of, five companies
each at company expense.
These illustrations are indicative of the
need for authority to pay preemployment in-
terview expenses. Total figures would un-
,-1 9 69
doubtedly be much higher. We can only con-
clude from such examples that-the Federal
Government has lost opportunities to obtain
professional talent of high quality by in-
ability to pay interview expenses.
(4) To place the right man in the right
position. This is particularly important for
the higher-grade, specialized, research posi-
tions, and is critical in the selection of a
scientist to be it member of a research team
where the ability to func!ion in the particu-
lar working environment. is extremely im-
portant. Such interviews enable a larger
group to talk to the candidates and thereby
provide a broader base for evaluating per-
sonal qualifications. Multiple evaluations
may also result in consideration for alterna-
tive positions at the installation.
(5) To eliminate misconceptions which
we know exist in the minds of some appli-
cants concerning Federal employment in gen-
eral or employment at particular locations.
(6) To keep turnover at a minimum, par-
ticularly at isolated locations. Despite agency
efforts to give prospective employees com-
plete and factual information about the
working and living conditions at isolated
installations, employees sometimes resign
shortly after reporting for duty. This is very
costly. Personal interviews at the work site
will tend to uncover these sources of po-
tential dissatisfaction before the ap-
pointment is made.
What are Federal agencies doing in the ab-
sence of authority to pay for interview
expenses?
Federal recruiters, when visiting colleges
and through telephone calls and correspond-
ence, make every reasonable effort to en-
courage prospects to visit the work site at
their own expense. The distance involved is
an important factor in these efforts. Results
are often disappointing.
One Naval activity repo; ts: "We have in our
files dozens of letters from applicants who
have naively requested to visit the laboratory
at Government expense. They assume that
this is standard practice. as it is in industry.
When we disillusioned them, their candiday,
with rare exception, came to an abrupt end."
In the absence of au ihority to pay ex-
penses for preemployment interviews, some
agencies now conduct essential Interviews
near the applicant's home. Interviews are
conducted by agency officials who may be
traveling in the area for other purposes or
who may be making the trip for the sole pur-
pose of conducting the Interviews. "Courtesy"
Interviews are conducted by officials of a
nearby installation of the same agency as
the prospective employer. However, both
kinds of interviews have serious disadvan-
tages. In addition to the absence of personal
contact between employer and applicant:
(1) "Courtesy" interviews are usually not
familiar with actual working and living con-
ditions at the recruiting installation;
(2) Selecting officials are reluctant to de-
pend on the judgment of a disinterested third
party, particularly for high-level specialized
positions;
(3) There is no opportunity to make mul-
tiple evaluations of a candidate;
(4) Time delays and some expense are
encountered in arranging with third parties
to conduct interviews and to furnish results
to recruiting installations.;
(5) There are travel costs for interviewing
officials;
(6) In research organizations it is particu-
larly desirable that interviews be conducted
by key staff members who have a thorough
knowledge of the research programs and can
discuss them in terms of the technical knowl-
edge of the candidates. When these key of-
ficials must travel extensively to conduct in-
terviews, much of their time used for this
purpose could otherwise have been profitably
devoted to program duties at the work site.
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 , g-oved For ROJONW2826MA -k6WfW d64R000500140002-@ 3523A
;What has been the experience of Federal
J a eneies now authorized to pay these ex-
penses~
Federal a encies are authorized to pay pre-
employmen interview expenses When con-
elderingAc iibidates for employment to posi-
tions gxcepted from the competitive civil
service. The Comptroller General has ruled
that in filling excepted positions, where the
responsibility for determining the qualifica-
tions of applicants is vested in the agencies,
the payment by them of any necessary ex-
penses incident to the determination is
proper if funds otherwise are available there-
Reports'from the principal excepted agen-
cies authorized paid preemployment travel
show that this right has been used carefully
and conservatively. No complaints of abuse
have been made to the General Accounting
Office.
Tennessee Valley Authority-All positions
in TVA are in the excepted service. TVA pol-
icy is that payment for interview expenses
may be authorized when deemed by the di-
vision incurring the expense to be neces-
sary in the conduct of official business. Ex-
perience of TVA has disclosed no applicant
abuse of the authorization to pay such ex-
penses. In FY 1967, TVA hired 175 employees
in shortage categories and authorized pre-
employment travel for 58 applicants.
Atomic Energy Commission-All positions
in AEC are in the excepted service. AEC re-
ports that the authority to pay these expenses
has been used sparingly, but its use has been
found necessary in the current competitive
market for "quality" candidates. Invitational
travel is not considered an additional cost.
In most instances, in lieu thereof, AEC would
have to'%6nd a representative to interview
the candidate to accomplish an adequate
evaluation of his qualifications. The cost
then would include not only travel expenses
for AEC's representative, but also his salary.
In FY 1967 AEC hired 277 shortage category
employees and authorized preemployment in-
terview expenses for 85 applicants.
' AEC is not aware of any abuse on the part
of candidates, such as travel for their own
pleasure or convenience. Candidates who have
accepted invitational travel for interview
have usually accepted offers of employment.
Veterans Administration-Physicians, Den-
tists, and nurses in the Department of Medi-
cine an Surgery are in the excepted service.
The length of time active but unsuccessful
recruiting has been conducted;
The declinations because of lack of pay-
ment of travel and transportation funds;
A statement on the extent and nature of
recruiting efforts and the results obtained
from the use of paid and free advertising,
contacts with schools, contacts with the local
State Employment Service, etc.;
The extent to which it has been necessary
to recruit outside of the area in which the
vacancy exists;
Information on internal efforts to relieve
the shortage such as job engineering and up-
grading the skills of people already employed;
The general quality of recruits obtained
and the prospects for obtaining better ones
if travel costs are paid.
In evaluating agency requests the Com-
mission independently examines existing
registers to see how many- qualified people
are actually available, and how well quali-'
fled they are. As circumstances require, other
pertinent sources of information are checked
such as the U.S. Employment Service and
the latest literature on the subject.
Funds to pay travel costs authorized by
the draft bill would be secured by individ-
ual agencies through their appropriation
requests to the Congress. Necessity for justi-
fying funds to be used for this purpose
and the generally limited amounts of agen-
cy travel funds in relation to travel needs
will assure that individual agencies admin-
ister these provisions in the best interests
of the agency and the Federal Service. The
requirement that applicants must first be
found qualified by a civil service examining
office is added assurance that these inter-
views would come at a point just short of
actual employment in the competitive serv-
ice.
Students often express an interest in the
Federal service some months before they
are scheduled to complete their education.
The proposed legislation has been drafted
so as not to preclude from coverage this
very important group of applicants who
are considered "tentatively qualified." This
means they have taken and passed any re-
quired test and have been rated qualified
by an examining office. To be fully quali-
fied they only need to finish the last few
weeks of their education and receive their
degree.
These applicants, still in school, but
gards it as an important recruiting factor in prise one of the Government's most lm-
the cases where it is needed. In FY 1967, VA portent recruitment sources for engineer
only used its authority to pay expenses for and scientific positions. Because of the in-
46 applicants but it hired 5,195 employees tense competition with industry recruiters
in shortage categories. for this particular group of applicants, it
How would the proposed legislation be is essential that Federal agencies be able
administered? to extend preemployment interview invite-
_ : - tions to the students some weeks, or months,
Regulations governing travel under the before graduation.
proposed legislation would be prescribed by What will be the cost?
the Director, Bureau of the Budget, who now
has the responsibility for prescribing other The estimated 6,250 payments to pros-
travel regulations. pective employees would come out of agency
The Civil Service Commission already de- travel appropriations and amount to about
termines those positions which fall into the $970,000 per year: The actual amount, how-
category of "manpower shortages" for pur- ever, would be controlled by the Congress.
poses of payment of travel and transports- through its acceptance of agency requests for
tion expenses of new employees to first post trravel appropriations. Present estimates are
of duty (public Law 86-587). This responsi- based on the current list of "manpower
bility is not treated lightly. There is a de- shortage" occupations and agency estimates
tailed procedure followed in making these of cost and probably use of authority to pay
determinations and the same _ procedure preemployment interview expenses. These
would be followed in authorizing payment of estimates do not take into account certain
preemployment travel expenses.' significant savings that can be expected, as
,.Under this procedure agencies have to for example:
furnish to the Civil Service Commission in Decreases in travel expenses of agency ad-
advance a statement showing the extent of ministrative officials who would no longer
the shortage by position and location. The find it necessary to go to the applicant to
agency justification must include such in.- conduct essential interviews.
formation as: Decreases in travel expenses and loss of
The total number, of incumbents in the working time of key scientists who would
agency In the area in'questfoh; ' not be taken from their regular duties to
The number of existing and anticipated travel about the country conducting inter-
vacancies in the next 12 months; views.
Decreases in turnover (especially at iso-
lated locations) because applicants will have
a clearer view of actual living and working
conditions and can better decide whether or
not they wish to accept the job offered.
Greater benefits from the funds already
spent on recruiting because many applicants,
who now go through the initial interview
stage but drop out when they find no oppor-
tunity to visit the work site at Government
expense, will go on to probable employment.
The present experience of the excepted
agencies, TVA, AEC, and VA show their ex-
penses to be under our estimate of about $155
per trip. The average cost reported for each
preemployment interview traveler was for
AEC $117.87, for TVA $67.81, and for VA
$133.13. Therefore we feel our estimate is a
generous one.
It is expected that costs would be absorbed
in the regular travel budgets of the agen-
cies concerned, and that no special appropri-
ation would be needed.
The agency's ability to reimburse an ap-
plicant for his interview expenses might well
tip the scale in favor of his accepting a
"manpower shortage" category position. In
this event, the money would be well spent.
S. 1771-INTRODUCTION OF A BILL
TO PROVIDE CERTAIN BENEFITS
TO EMPLOYEES IN THE POSTAL
FIELD SERVICE
Mr. McGEE. Mr. President, I intro-
duce, for appropriate reference, a bill to
amend title 39 of the United States Code
to provide that the provisions of law
which permit a "saved pay rate" for cer-
tain employees who have been reduced
in grade through no fault of their own
shall not be limited to just 2 years in
the case of postal employees in the rail-
way postal service whose jobs were abol-
ished because of the discontinuance of
railway postal service.
The proposed legislation is vitally im-
portant to former railway postal clerks
whose pay rates were preserved for 2
years, but who now face a serious reduc-
tion in pay because the benefits of the
law do not extend past 2 years. My bill,
which received the very firm support of
the Postmaster General in 1967, would
waive the 2-year provision in this specific
case.
The committee will schedule early ac-
tion on this legislation.
The VICE PRESIDENT. The bill will
be received and appropriately referred.
The bill (S. 1771) to provide benefits
for employees in the postal field service
who are required in the interest of the
Government to transfer to new duty
stations, was received, read twice by its
title, and referred to the Committee on
Post Office and Civil Service.
S. 1772-INTRODUOTION OF BILL
TO PROVIDE THAT THE FEDERAL
GOVERNMENT SHALL PAY ONE-
HALF OF THE COST OF HEALTH
INSURANCE FOR FEDERAL EM-
PLOYEES AND ANNUITANTS
Mr. McGEE. Mr. President, I intro-
duce, for appropriate reference, a bill to
amend the Federal Employees Health
Benefits Act to provide that hereafter
the Government shall pay one-half of
the cost of the high option health insur-
ance plan carried by Federal employees.
It is my hope th C'the Committee on
Approved For Release 2000/09/11 : CIA-RDP71 B00364R000500140002-6
 S 3524Approved For ReleqmNZQW 'XL rR. WZ1 R000500140
Post Office and Civil Service can sched-
ule hearings in the very near future to
covered behave differently than the way
the committee, the Civil Service Com-
mission, and even the employees them-
selves thought they would behave, it is
fair to say the program should be re-
examined.
From June 1960 until November 1964,
the Government contribution of $6.76
per month for self-and-family coverage
equalled 34.9 percent of the cost of "high
option," and 47.6 percent of "low option"
of the Service Benefit plan, When rates
began to go up annually beginning in
November 1964, the Government's con-
tribution of $6.76 dropped from 34.9 per-
cent to 28.4 percent of total cost through
June 1966. After a statutory increase in
the amount of the contribution in July
1966, the Government's share rose to 37.3
percent, and then dropped to a 1969 fig-
ure of 25.2 percent. All of that is under
the Service Benefit plan, the euphemistic
title of the Blue Cross-Blue Shield plan.
I ask unanimous consent to insert in
the RECORD at this point a detailed
analysis of the rate history of the health
insurance program prepared by the Civil
Service Commission which shows the cost
to both the employee and the Govern-
ment for high option and low option pro-
tection from the beginning until the
present time. This Is an excellent rate
history of the program.
There being no objection, the analysis
was ordered to be printed in the RECORD,
as follows:
consider this legislation.
The Federal Employees Health Bene-
fits Act was a landmark piece of legisla-
tion when it was enacted in 1959. It pro-
vided the basic framework for a hospital
and medical insurance protection pro-
gram applicable to virtually all Federal
employees without regard to their eco-
nomicstatus and without a requirement
that they pass a physical examination.
In my opinlon,`it is one of the most suc-
cessful and certainly one of the best ad-
ministered programs in the Federal
Government today. It is a monumental
achievement for the distinguished mem-
bers of our Senate Post Office and Civil
Service Committee who devised the pro-
gram. Olin Johnston, who guided it
through the committee and the Senate;
Bill Langer, who made sure that the
benefits provided would care for serious
and lengthy illnesses; Dick Neuberger,
FRANK CARLSON, Mike Monroney, and
RALPH YARBORO'tsIr, all of whom played
a key part in its development.
One of the considerations in mind at
the time the program was developed was
that rank-arid-file Federal employees
cannot afford an expensive health insur-
ane. in1m.n mhr enmmiftpev thenrefnre
P.Luv1UCU L11mL 4110 %-LV11 c7C1V1VC %,U1111111J-
Sion would offer two levels of benefits,
which
have commonly been known as
"high option" and "low option." Wit-
nesses before the committee were virtu-
ally unanimous in their belief that the
overwhelming majority of employees
would choose "low option" because of
h
e cos
nvo
l
t
t I
ve
d
T
h
.
hose w
o had the
money could pay "high option" f they
would pay all the difference between
the "low option" cost and the
"high
,
option" cost.
That assumption was incorrect. Al-
most from the beginning, employees
chose the "high option protection." They
preferred to pay more in order to get
more insurance protection. Today, nearly
90 percent of all employees covered by
the program choose "high option" re-
gardless of the carrier they select and
apparently regardless of the cost. So it
worked out that the presumption that
the Government would pay one-half of
the cost of the insurance provided was
in error. When almost all employees
FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM
TOTAL ESTIMATED PREMIUMS FOR GOVERNMENT-WIDE PLANS AND SHARE PAID BY THE GOVERNMENT AND BY THE
EMPLOYEES, 1968-69
Amount
Percent
Amount
Percent
Service benefit plan (BC-BS):
Total--------------------------- -------------------- $414,542,136
100.00
$495,313,692
100.00
Government contribution_________________________________
130.768,344
31.55
132J50,276
26.68
Employee contribution____________________________________
283,773,792
68.45
363,163,416
73.32
Total_________________________________________________
138,311,604
100.00
179,733
972
100
00
-
-"-
,
_-
.
Governmentcontribution_________
46,433,280
33.57
4 322,008
26.86
Emplyeecontribution ------------------------------ ______
91,878,324
66.43
13411,964
73.14
Both Government-wide plans:
Total___________--------------------------------------
552,853,740
IM 00
675 47,664
100.00
Government contribution__________________________________
177,201,624
32.05
180,472,284
26.73
Employee contribution____________________________________
375,652,116
67.95
494, 575,380
73.27
Service benefit plan:
Total---------------------------------------------------------------
1,308,650
166,864
1,475,514
Self only_____ ___________ __________________ ______ __ _______________
354,313
44.550
398
863
Self and family________________________________________________________
954,337
122,314
,
1,076,651
Total --------------------------------------------------------------
410,734
132,164
542,898
Self only--------------------------------------------------------------
124,993
,
26,553
151
546
Self and family------------------------------------ _ ...............
285
741
105,611
,
391,352
Self only-------------------------------------------------------------
479,306
71
103
550
409
Self and family-------------------------------------------------------
1,240,078
,
227925
,
1,468,003
FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM
ITotal premium rates,' Government contribution rates; employee contribution rates,' 1960'-69, Government-viide plans, self and family coverage, by option]
June
1960-
November
1961-
November
1962-
November
1963-
November
1964-
January
1965-
July
I966-
October
1961
October
1962
October
1963
October
1964
December
1965
June
1966
December
1966
1967
1968
1969
Service Benefit Plan (BC/BS):
High option:
Premium rate -----------------------------------
$19.37
$19.37
$19.37
$19.37
$23.83
$23.83
$23.83
$28.30
$29.46
$35.23
Government contribution_____________________
$6.76
$6.76
$6.76
$6:76
$6.76
$6.76
$8.88
$8.88
$8.88
$8
88
Percent of remiurn_____________________
34.9
2
34.9
34.9
34.9
28.4
28.4
37.3
31.4
30.1
.
25. 2
Employee contribution_______________________
$1
. 61
$12.61
$12.61
$12.61
$17.07
$17.07
$14.95
$19. 42
$20.58
$26.35
Percent of premlwo--------- _-----------
65.1
65.1
65.1
65.1
71.6
71.6
62.7
68.6
69.9
74.8
$14.21
$14.21
914.21
$14.21
$14.21
$17.76
$17.76
$17.76
$18.07
Government contribution_____________________
$6.76
$6.76
$6.76
$6
76
$6.76
$6,76
$8.88
$8
88
98
88
$8
88
Percent of premiurn----------- _________
47.6
47.6
47.6
1
47.6
47.6
50.0
.
50
0
,
50
0
.
49
1
Employee contribution_______________________
$7.45
$7.45
$7.45
$7'45
$7
45
$7
45
$8
88
.
$8
88
.
$
88
.
9
19
Percent of premium_____________________
52.4
52.4
52.4
51.4
.
52.4
.
.
._
8.
$
.
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 A.pr ppDoved For Re 11 RDP7 '~864R000500140002-b? 3523
What has been the experience of Federal The length of time active but unsuccessful
agencies now authorized to pay these ex- recruiting has been conducted;
penses?
Federal agencies are authorized to pay pre-
employment interview expenses when con-
sidering candidates for employment to posi-
tions excepted from the competitive civil
service. ,'1'he Comptroller General has ruled
that in filling excepted positions, where the
responsibility for determining the qualifica-
tions of applicants is vested in the agencies,
the payment by them of any necessary ex-
penses incident to the determination is
proper if funds otherwise are available there-
for.
Reports from the principal excepted agen-
cies authorized paid preemployment travel
show that this right has been used carefully
and conservatively. No complaints of abuse
have been made to the General Accounting
Office.
Tennessee Valley Authority-All positions
in TVA are in the excepted service. TVA pol-
icy is that payment for interview expenses
may be authorized when deemed by the di-
vision incurring the expense to be neces-
sary in the conduct of official business. Ex-
perience of TVA has disclosed no applicant
abuse of the authorization to pay such ex-
penses. In FY 1967, TVA'hired 175 employees
in shortage categories and authorized pre-
employment travel for 68 applicants.
Atomic Energy Commission-All positions
in AEC are in the excepted service. AEC re-
ports that the authority to pay these expenses
has been used sparingly, but its use has been
found necessary in the current competitive
market for "quality" candidates. Invitational
travel is not considered an additional cost.
In most instances, in lieu thereof, AEC would
have to send a representative to interview
the candidate to accomplish an adequate
federal service some months before they
t lh `" ILt ~1 e no 4y,~ travel a nsnse~s
sen at ive abut ado ails s a "the"duled to complete their education.
Iii e s for age cue or -The propose legislation has been drafted
?$ totautiorzedpreempigymen -W'Wg't-to preclude from coverage this
of applicants who
ortant
rou
im
'
g
p
p
a lioaAts; y
for 85
(aeenofaware o a nvaViuse on"the part ' cunsIde'ed "tentatively qualified." This
E CC ed 1h 1tafonal travel for inteiview by an examining office. To be fully quali-
liave iis[~ally a-$cepT offers of exTipZbyment. Sled `hey only need to finish the last few
- Veterans Administration-Physicians, Den-
tists, and nurses in the Department of Medi-
cine and Surgery are in the excepted service.
VA uses its authority infrequently, but re-
gards it as an important recruiting factor in
the cases where it is needed. In FY 1967, VA
only used its authority to pay expenses for
46 applicants but it hired 5,195 employees
in shortage categories.
How would the proposed legislation be
The declinations because of lack of pay-
ment of travel and transportation funds;
A statement on the extent and nature of
recruiting efforts and the results obtained
from the use of paid and free advertising,
contacts with schools, contacts with the local
State Employment Service, etc.;
The extent to which it has been necessary
to recruit outside of the area in which the
vacancy exists;
Information on internal efforts to relieve
the shortage such as job engineering and up-
grading the skills of people already employed;
The general quality of recruits obtained
and the prospects for obtaining better ones
if travel costs are paid.
In evaluating agency requests the Com-
mission independently examines existing
registers to see how many qualified people
are actually available, and how well quali-
fled they are. As circumstances require, other
pertinent sources of information are checked
such as the U.S. Employment Service and
the latest literature on the subject.
Funds to pay travel costs authorized by
the draft bill would be secured by individ-
ual agencies through their appropriation
requests to the Congress. Necessity for justi-
fying funds tp be used for this purpose
and the generally limited amounts of agen-
cy travel funds in relation to travel needs
will assure that individual agencies admin-
ister these provisions in the best interests
of the agency and the Federal Service. The
requirement that applicants must first be
found qualified by a civil service examining
,office is added assurance that these inter-
views would come at a point just short of
actual employment in the competitive serv-
ice.
Students often express an interest in the
weeks of their education and receive their
degree.
These applicants, still in school, but
about to begin their working careers, com-
prise one of the Government's most im-
portant recruitment sources for engineer
and scientific positions. Because of the in-
tense competition with industry recruiters
for this particular group of applicants, it
is essential that Federal agencies be able
to extend preemployment interview invita-
Regulations governing travel under the before graduation.
proposed legislation would be prescribed by What will be the cost?
the Director, Bureau of the Budget, who now
has the responsibility for prescribing other The estimated' 6,250 payments to pros-
travel regulations. pective employees would come out of agency
The Civil Service Commission already de- travel appropriations and amount to about
termines those positions which fall into the $970,000 per year. The actual amount, how-
category of "manpower shortages" for pur- ever, would be controlled by the Congress
poses of payment of travel and transports- through its acceptance of agency requests for
tion expenses of new employees to first post trravel appropriations. Present estimates are
of duty (Public Law 86-587). This responsi- based on the current list of "manpower
bility is not treated lightly. There is a de- shortage" occupations and agency estimates
tailed procedure followed in making these of cost and probably use of authority to pay
determinations and the same procedure preemployment interview expenses. These
would be followed in authorizing payment of estimates do not take into account certain
preemployment travel expenses. significant savings that can be expected, as
Under this procedure agencies have to for example:
furnish to the Civil Service Commission in Decreases in travel expenses of agency ad-
advance a statement` showing the extent of ministrative officials who would no longer
the shortage by position and location. The find it necessary to go to the applicant to
agency justification must include such in. conduct essential interviews.
formation as: Decreases in travel expenses and loss of
The total ,number of incumbents in the working time of key scientists who would
agency in the area in question; not be taken from their regular duties to
The number of existing and anticipated travel about the country conducting inter-
vacancies in the next 12 months; views.
Decreases in turnover (especially at iso-
lated locations) because applicants will have
a clearer view- of actual living and working
conditions and can better decide whether or
not they wish to accept the job offered.
Greater benefits from the funds already
spent on recruiting because many applicants,
who now go through the initial interview
stage but drop out when they find no oppor-
tunity to visit the work site at Government
expense, will go on to probable employment.
The present experience of the excepted
agencies, TVA, AEC, and VA show their ex-
penses to be under our estimate of about $155
per trip. The average cost reported for each
preemployment interview traveler was for
AEC $117.87, for TVA $67.81, and for VA
$133.13. Therefore we feel our estimate is a
generous one.
-It is expected that costs would be absorbed
in the regular travel budgets of the agen-
cies concerned, and that no special appropri-
ation would be needed.
The agency's ability to reimburse an ap-
plicant for his interview expenses might well
tip the scale in favor of his accepting a
"manpower shortage" category position. In
this event, the money would be well spent.
S. 1771-INTRODUCTION OF A BILL
TO PROVIDE CERTAIN BENEFITS
TO EMPLOYEES IN THE POSTAL
FIELD SERVICE
Mr. McGEE. Mr. President, I intro-
duce, for appropriate reference, a bill to
amend title 39 of the United States Code
to provide that the provisions of law
which permit a "saved pay rate" for cer-
tain employees who have been reduced
in grade through no fault of their own
shall not be limited to just 2 years in
the case of postal employees in the rail-
way postal service whose jobs were abol-
ished because of the discontinuance of
railway postal service.
The proposed legislation is vitally im-
portant to former railway postal clerks
whose pay rates were preserved for 2
years, but who now face a serious reduc-
tion in pay because the benefits of the
law do not extend past 2 years. My bill,
which received the very firm support of
the Postmaster General in 1967, would
waive the 2-year provision in this specific
case.
The committee will schedule early ac-
tion on this legislation.
The VICE PRESIDENT. The bill will
be received and appropriately referred.
The bill (S. 1771) to provide benefits
for employees in the postal field service
who are required in the interest of the
Government to transfer to new duty
stations, was received, read twice by its
title, and referred to the Committee on
Post Office and Civil Service.
SO 1772-INTRODUCTION OF BILL
TO PROVIDE THAT THE FEDERAL
GOVERNMENT SHALL PAY ONE-
HALF OF THE COST OF HEALTH
INSURANCE FOR FEDERAL EM-
PLOYEES AND ANNUITANTS
Mr. McGEE. Mr. President, I intro-
duce, for appropriate reference, a bill to
amend the Federal Employees Health
Benefits Act to provide that hereafter
the Government shall pay one-half of
the cost of the high option health insur-
ance plan carried by Federal employees.
It is my hope that the Committee on
Approved For Release 2000/09/11 : CIA-RDP71 B00364R000500140002-6
 ZIJ0Z,4mPP1uv%vu Full
Post Office and Civil Service can sched-
ule hearings in the very near future to
consider this legislation.
The Federal Employees Health Bene-
fits Act was a landmark piece of legisla-
tion when it was enacted in 1959. It pro-
vided the basic framework for a hospital
and medical insurance protection pro-
gram applicable to virtually all Federal
employees without regard to their eco-
nomic status and without a requirement
that they pass a physical examination.
In my opinion, it is one of the most suc-
cessful and certainly one of the best ad-
ministered programs in the Federal
Government today. It is a monumental
achievement for the distinguished mem-
bers of our Senate Post Office and Civil
Service Committee who devised the pro-
gram. Olin Johnston, who guided it
through the committee and the Senate;
Bill Langer, who made sure that the
benefit4 provided would care for serious
and lengthy illnesses; Dick Neuberger,
FRANK CARLSON, Mike Monroney, and
RALPH YARSOROVGH, all of whom played
a key part in its development.
One of the considerations in mind at
the time the program was developed was
that rank-and-file Federal employees
cannot afford an expensive health insur-
ance plan. The committee, therefore,
provided that the Civil Service Commis-
sion would offer two levels of benefits,
which have- commonly been known as
"high option" and "low option." Wit-
nesses before the committee were virtu-
ally unanimous in their belief that the
overwhelming majority of employees
would choose "low option" because of
the cost involved. Those who had the
money could pay "high option" if they
would pay all the difference between
the "low option" cost and the "high
option" cost.
That assumption was incorrect. Al-
most from the beginning, employees
chose the "high option protection." They
preferred to pay more in order to get
more insurance protection. Today, nearly
90 percent of all employees covered by
the program choose "high option" re-
gardless of the carrier they select and
apparently regardless of the cost. So it
worked out that the presumption that
the Government would pay one-half of
the cost of the insurance provided was
in error. When almost all employees
covered behave differently than the way
the committee, the Civil Service Com-
mission, and even the employees them-
selves thought they would behave, it is
fair to say the program should be re-
examined.
From June 1960 until November 1964,
the Government contribution of $6.76
per month for self-and-family coverage
equalled 34.9 percent of the cost of "high
option," and 47.6 percent of "low option"
of the Service Benefit plan. When rates
began to go up annually beginning in
November 1964, the Government's con-
tribution of $6.76 dropped from 34.9 per-
cent to 28.4 percent of total cost through
June 1966. After a statutory increase in
the amount of the contribution in July
1966, the Government's share rose to 37.3
percent, and then dropped to a 1969 fig-
ure of 25.2 percent. All of that is under
the Service Benefit plan, the euphemistic
title of the Blue Cross-Eue Shield plan.
I ask unanimous consent to insert in
the RECORD at this point a detailed
analysis of the rate history of the health
insurance program prepared by the Civil
Service Commission which shows the cost
to both the employee and the Govern-
ment for high option and low option pro-
tection from the beginning until the
present time. This is an excellent rate
history of the program.
There being no objection, the analysis
was ordered to be printed In the RECORD,
as follows:
FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM
TOTAL ESTIMATED PREMIUMS FOR GOVERNMENT-WIDE PLANS AND SHARE PAID BY THE GOVERNMENT AND BY THE
EMPLOYEES, 1968-69
Service benefit plan (BC-BS):
Total-------------------------------------------
100.00
$495,313,692
100.00
Government contribution----------------------------------
130,768,344
31.55
132,150,276
26.68
Employee contribution------------------------------------
283,773,792
68.45
363,163, 416
73.32
Indemnity benefit plan (Aetna):
Total-------------------------------------------------
138,311,604
100."00
179, 733,972
100,00
Government contribution ---------------------------------
46, 433, 280
33.57
48, 322, 008
26.86
Employee contribution --------------- -----------------------
91,878,324
66.43
131,411,964
73.14
Both Government-wide plans:
Total-------------------------------------------------
552,853,740
100.00
675.:.47,664
100.00
Government contribution----------------------------------
177,201,624
32.05
180,472,284
26.73
Employee contribution --------------------------_ ------_-
375,652,116
67.95
494,5;5,380
73.27
ENROLLMENT, DEC. 31, 1968, BY OPTION
Service benefit plan:
Total-------------------------------------------------------------
1,308,650
166,864
1,475,514
Self only---------------------------------------__-------------------
354,313
44,550
398.863
Self and family--------------------------------------------------------
954,337
122,314
1,076,651
Indemnity benefit plan:
Total--------------------------------------------------------------
410,734
132,164
542,898
Self only
--------------
124,993
16,553
151
546
Self and family--------
------------------------- --------- --
285,741
105, 611
,
391, 352
Both plans:
Total--------------------------------------------------------------
1,719,384
299,023
2,018,412
Self only---------------------------- -------------------------------
479,306
71,103
550
409
Self and family--------------------------------------------------------
1,240,078
227, 925
,
1,468,003
FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM
June
1960-
November
1961-
November
1962-
Nove ber
1963-
November
1964-
January
1965-
July
1966-
October
1961
October
1962
October
1963
October
1964
December
1965
June
1966
December
1966
1967
1968
1969
Service Benefit Plan (BC/BS):
High option:
Premium rate -------------------- -------------
Government contribution---------------------
$6.76
$6.76
$6. 76
$6,76
$6.76
$6. 76
$8.88
$8.88
$8.88
$8.88
Percent of premium---------- -----------
34.9
34. 9
34.9
34.9
28.4
28.4
37.3
31.4
30.1
25.2
Employee contribution-----------------------
$12. 61
$12.61
$12.61
$12 61
r
$17.07
$17.07
$14.95
$19.42
$20.58
$26.35
Percent of premium---------------------
65.1
65.1
65.1
6
i.1
71.6
71.6
62.7
68.6
69.9
74.8
Low option:
Government contribution---------------------
$6.76
$6.76
$6.76
$
76
$8.76
$6.76
$8.88
$8.88 T
$8.88
$8.88
Percent of premium---------------------
47.6
47.6
47.6
4t
47.6
47.6
50. 0
50.0
50.0
49.1
Employee contribution-----------------------
$7.45
$7.45
$7.45
$
7,
45
$7.45
$7.45
$8.88
$8.88
$8.88
$9. 19
Percent of premium---------------------
52.4
52. 4
4
5
Z
52.4
52.4
50.0
50.0
50.0
50.9
Approved For Release 2000/09/11 : CIA-RDP71 B00364R000500140002-6
 April 3JA ved For Reimw1092M/ib R A-0-DR1$Oi 4R000500140002-653525
FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM-Continued
[Total premium rates; Government contribution rates' employee contribution rates,' 1960-69, Government-wide plans, self and family coverage, by option)
June
1960-
November
1961-
November
1962-
November
1963-
November
1964-
January
1965-
July
1966-
bctober
Plan and option 1961
October
1962
October
1963
October
1964
December
1965
June
1966
December
1966
1967
1968
1969
Indemnity Benefit Plan (Aetna):
High option:
Premium rate_________________________________$17.46
Government contribution_____________________
$6.76
$6.76
$6.76
$6.76
$6.76
$6.76
$8. 88
$8.88
$8
88
$8
88
Percent of premium____ ______________-__
38.7
38.7
38.7
35.6
28.8
26.1
34.3
34. 3
.
30.6
.
23. 5
Employee contribution_______________________
$10.30
$10.70
$10.70
$12.22
$16.75
$19.15
$17.03
$17. 03
$20.15
$28.84
Percent of premium_____________________
61.3
61.3
61.3
64.4
71.2
73.9
65.7
65, 7
69.4
76. 5
Low option:
Premium rate___________________________________
$13.52
$13.52
$13.52
$13.52
$13.52
$13.52
$13.52 .
$13.52
$15.16
$19.70
Government contribution __.__________________
$6.76
$6.76
$6.76
$6.76
$6.76
$6.76
$6.76
$6.76
$7.58
$8.88
Percent of premium____________________
50.0
50.0
50.0
50.0
50.0
50.0
50.0
50.
50.0
45.1
Employee contribution------ _______________.,
$6.76
$6.76
$6.76
$6.76
$6.76
$6.76
$6.76
$6.76
$7.58
$10.82
Percent of premium_____________________
50.0
50.0
50.0
50.0
50.0
50.0
50.0
50.0
50.0
54.9
Mr. McGEE. Mr. President, there are
other plans, and the statistical evidence
on the Government's contribution to
these have not been gathered, Some of
the plans offered by Federal employee
organizations are much broader and cost
a good deal more than the Blue Cross-
Blue Shield and Aetna plans. But in all
cases the Government's contribution is
exactly the same-$8.88 per month for
self-and-family protection regardless of
the plan or option chosen by the em-
ployee. The annual premium at the pres-
ent time is more than $675 million for
the Government-wide ' plans alone. Of
this amount, the Government pays $180
million and the employees pay $494 mil-
lion.
The bill that I introduce today will
provide that from now on the agency
contribution to the cost of health insur-
ance will be adjusted at the beginning of
each fiscal year to an amount equal to
one-half of the cost of the least expen-
sive Government-wide high-option in-
surance plan. This is a reasonable limi-
tation. The budget people could esti-
mate with some degree of accuracy in
advance the amount of money necessary
to pay additional costs arising from more
expensive hospital and doctor bills. There
would ' be a ceiling necessarily imposed
because the Government would not pay
more than one-half of the cost of either
Blue Cross-Blue Shield or Aetna, which-
ever offered the least expensive "high
option" plan. That dollar amount would
be the Government's contribution to any
plans offered locally or by a Federal
employee organization. This would avoid
any "blue sky" competition to see who
could offer the most health insurance.
We started well ahead of the pack in
1959 when we created the health insur-
ance plan. Today we are no longer out
front. Although the Federal program is
broad and offers some of the best health
insurance, plans available, it is not better
-than some plans in private industry and
it is substantially more expensive for the
employees than larger employers in the
private sector of the economy offer. It is
time to catch up.
The VICE PRESIDENT. The bill will
,be , eceived and appropriately referred.
The bill (S, 1772)? to provide that the
Federal Government shall pay one-half
of the cost of health insurance for 1?'ed-
eral employees and annuitants, intro-
duced by Mr. MCGEE, (for himself and
Mr. BURDICK), was received, read twice
by its title, and referred to the Commit-
tee on Post Office and Civil Service.
S. 1773-INTRODUCTION OF FAIR
SHARE TAX ACT
Mr. HART. Mr. President, today I in-
troduce the Fair Share Income Tax Act.
of 1969. For many years I have been con-
cerned that our income tax laws placed
a heavy burden on those of small and
modest means while at the same time
providing the more affluent with special
ways by which they can reduce-even
esoape-their tax load. These special
provisions have made a mockery of the
proposition that most. citizens thought
had been built into our tax structure,
namely, that the more you earn the more
income tax you pay.
Former Treasury Secretary Joseph W.
Barr, testifying before the joint Eco-
nomic Committee earlier this year, made
an eloquent plea for reforms in our in-
come tax system when he said:
Our income tax system needs major re-
forms now, as a matter of importance and
urgency. That system essentially depends on
an accurate self-assessment by taxpayers.
This, in turn, depends on widespread con-
fidence that the tax laws and the tax admin-
istration are equitable, and that everyone is
Paying according to his ability to pay.
We face now the possibility of a taxpayer
revolt if we do not soon make major reforms
in our income taxes. Revolt will not come
from the poor but from the tens of millions
ad' middle-class families and individuals with
incomes of $7,000 to $20,000, whose tax pay-
ments now generally are based on the full
ordinary rates and who pay over half of our
individual income taxes.
The middle classes are likely to revolt
against income taxes not because of the level
or amount of the taxes they must pay but
because certain provisions of the tax laws
unfairly lighten the burdens of others who
can afford to pay. People are concerned and,
indeed, angered about the high-income re-
cipients who pay little or no Federal income
taxes. For example, the extreme cases are
155 tax returns in 1967 with adjusted gross
incomes above $200,000 on which no Federal
income taxes were paid, including 21 incomes
above $1 million.
Secretary Barr spoke with deep con-
viction founded upon his experience as
one of the Nation's leading fiscal officers,
Since the date of his testimony before
the Joint Economic Committee, Janu-
ary 17, 1969, we have heard and read
much on the probabilities of income tax
reform. A study is now being conducted
by the House Ways and Means Commit-
tee which, hopefully, will result in
meaningful and comprehensive reform.
We also hear reports that the Nixon ad-
ministration may delay implementing
any tax reforms until 1971.
Certainly, there is no doubt that some
of the areas marked out for reform will
require additional thorough study to de-
termine their effect on the Nation's
economy. However, there are questions
upon which we can all agree and in which
reforms should be implemented as soon
as possible.
The bill I introduce today, Mr. Presi-
dent, is, I believe, one of those upon
which there can be a general agreement.
What I propose is that we insure that
those best able to pay income taxes do,
in fact, pay income taxes. This, as my
bill details, can be done by the imposi-
tion of a minimum tax. Stated simply,
the proposal amends the Internal Reve-
nue Code to provide new tax tables for
those who under the existing law, by
taking advantage of such provisions as
the allowances for depletion, deprecia-
tion, and capital gains, have only mini-
mum tax liability, or no tax liability at
all. The rates would vary as they do now
ranging from 7 to 35 percent. In addition,
there is a provision for a minimum cor-
porate income tax.
Mr. President, passage of this bill will
not remove all the inequities in our pres-
ent tax structure. It does not affect sev-
eral defects, the correction of which I
have supported in the past and will con-
tinue to support. For instance, it does not
ease the burden of those with children
in college, a matter which the distin-
guished Senator from Connecticut (Mr.
RisrcoFF) has dealt with in previous
Congresses, and one on which I expect
to support him again in the near future.
It does not increase personal exemptions
from $600; it does not exclude as gross
income the first $5,000 of civil service
retirement; it does not provide head-of-
household benefits to certain single per-
sons; it does not modify the oil depletion
and capital gains allowances-all of
these changes which I support.
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Passage of my proposal, Mr. President,
is intended to accomplish one simple re-
suit: to insure that those with the ability
to pay would in fact pay their fair. share
of income taxes. It would be a start to-
ward improving and perfecting the In-
come tax structure, one of our country's
strongest assets. The other changes
which I have cited and which equity re-
quires should be Incorporated in the
comprehensive reform being developed
in the House Ways and Means Committee
and adopted as promptly as possible.
The VICE PRESIDENT. The bill will
be received and appropriately referred.
The bill (S. 1773) to amend the Inter-
nal Revenue Code of 1954 to impose a
minimum income tax, Introduced by Mr.
HART, was received, read twice by its title,
and referred to the Committee on Fi-
nance.
S. 1774-INTRODUCTION OF DESIGN
PROTECTION ACT OF 1969
Mr. HART. Mr. President, I introduce,
for appropriate reference, today the pro-
posed Design Protection Act of 1969. The
purpose of the legislation is to provide
effective protection for original orna-
mental designs from unauthorized copy-
Ing.
The need for the legislation has been
established in hearings before the
Patents Subcommittee of the Commit-
tee on the Judiciary. The legislation was
approved by the Senate in previous Con-
gresses but has been unsuccessful in the
House of Representatives. In this Con-
gress a number of bills similar to the one
I propose have been introduced in the
House, and it is hoped that they will be
favorably considered. It is my belief that
the equity of this proposal will again re-
sult in favorable action by the Senate.
S.1776-INTRODUCTION OF A BILL
FOR THE ISSUANCE OF A SPE-
CIAL POSTAGE STAMP IN THE
HONOR OF THE LATE DR. MAR-
TIN LUTHER KING, JR.
Mr. GRIFFIN. Mr. President, I intro-
duce, for appropriate reference, a bill to
authorize the issuance of a special pos-
tage stamp in honor of the life and serv-
ice of the late Dr. Martin Luther King
Jr.
In 1811, Thomas Jefferson said:
Politics, like religion, hold up the torches
of martyrdom to the reformers of error.
In 1964, Martin Luther King said:
The Negro is willing to risk martyrdom in
order to move and stir the social conscience
of his community and the Nation.
To the shock and sadness of millions,
Martin Luther King's risk became a re-
ality on that fateful day a year ago.
Mr. President, Dr. King died so that
others of his race might live in free-
dom.
To millions of Americans, he was the
prophet of the Negroes' quest for racial
equality, their voice of anguish, their
champion for human dignity.
While I offer this legislation today to
memorialize this great civil rights leader,
the measure of the man and his move-
ment is already memorialized by the fact
that his crusade goes on with anew sense his avem'ge current ear
of urgency. became disabled.
The VICE PRESIDENT.' The bill will
be received and appropriately referred.
The bill (S. 1776) to provide for the
issuance of a special postage stamp In
honor of the late Dr. Martin Luther
King, Jr., introduced by Mr. GRIFFIN,
was received, read twice by its title, and
referred to the Committee On Post Office
and Civil Service.
S. 1779-INTRODUCTION OF A BILL
FOR RELIEF OF BOGDAN BEREZ-
NICKI
Mr. HART. Mr. President, the bill I
introduce grants authority to the For-
eign Claims Settlement ommission to
reopen the claim of Bogdan Bereznicki
for compensation for family property
confiscated in Poland duri g World War
IT. This legislation is necessary to right
the wrong he suffered as a result of an
incorrect ruling by the Immigration and
Naturalization Service for which there is
now no administrative remedy.
Mr. Bereznicki first approached me in
early May 1967 for help in appealing the
decision of the Immigration and Natu-
ralization Service that he, had forfeited
his citizenship by s service in the Pol-
ish Army. On the b is of 'the Immigra-
tion Service ruling the Foreign Claims
Settlement Comm ion was forced to
deny his claim.
A series of court} and administrative
decisions relating to >e supposed forfeit-
ure of his citizenship ed to a ruling that
Mr. Bereznicki had, in fact, continuously
been a citizen from the date of loss as
required by the Claims commission, but
by this time the jurisdicn of the Com-
mission had expired and'''lit was unable
to consider this new evideri e.
While the bill does not. presume to
judge the merits of the claim, it does
emphasize my conviction that equity re-
quires that this lifelong citizen have the
same consideration under the law as had
other citizens who were unaffected by an
erroneous decision by their government.
The VICE PRESIDENT. The 'hill will
be received and appropriately referred.
The bill (S. 1779) for the relief c}f Bog-
dan Bereznicki, introduce o by Mr. $riRT,
was received, read twice by its title and
referred to the Committee on the Judi-
ciary.
S. 1781-INTRODUCTION OF A BILL
TO ALLOW DISABLED WORKERS
TO RECEIVE BOTH SOCIAL SECU-
RITY BENEFITS AND; WQftKMEN'S
COMPENSATION
Mr. RANDOLPH. Mr. President, I in-
troduce, for appropriate reference, a bill
to repeal section 224 Of the Social Secu-
rity Act. This legislation' will correct a
serious inequity resulting from the
Social Security Act` by the amendments
of 1965. Section 2'L4 provides for reduc-
tion in social security insurance bene-
fits payable to a disabled worker and
his family who are receiving workmen's
compensation. Presently, this restriction
applies if the total monthly benefits of
the two programs exceed 80 percent of
further compounded by its application
only to those persons who become eligi-
ble for disability insurance benefits after
December 31, 1965. It does not apply to
those who were already receiving these
benefits.
As of December 1967, 9,965 disabled
worker families, involving a total of
29,796 beneficiaries, were affected by this
section of the act. The average monthly
reduction in social security benefits for
a disabled worke - + i. no dependents
was $53.57. The reduction for a worker
with one or more dependents was $158.42.
In some cases a worker's social security
benefits have been totally eliminated due
to receipt of workmen's compensation.
The total number of persons subjected
to the workmen's compensation offset
provision may not be large. However, the
effect of this reduction of a beneficiary's
monthly payment is significant.
It is my belief that this provision
places an unjust burden upon our work-
men injured on the job and their fami-
lies. These workers have encountered a
serious financial setback by loss of their
ability tee participate (ally in the em-
ployment market and, therefore, loss of
potential income.
It is possible that in some cases bene-
ficiaries may receive excessive benefits
if this section is repealed. But this would
be preferable to the continuation of a
policy that results in insufficient pay-
ments in the majority of. cases.
Mr. President I am pleased to have
as cosponsors of this measure the Sena-
tor from Tennessee E Mr. BAKER), the
Senator from West Virginia (Mr. BYRD),
the Senator from Montana (Mr. MET-
CALF), the senior Senator from Pennsyl-
vania (Mr. SCOTT), and the junior Sena-
tor from Pennsylvania (Mr. ScHWEIKER).
The VICE PRESIDENT. The bill will
be received and appropriately referred.
The bill (S. 1781) to amend title II of
the Social Security Act. to eliminate the
reduction in disability insurance bene-
fits which is presently required in the
case of an individual receiving work-
men's compensation benefits, introduced
by Mr. RANDOLPH (for himself and other
Senators), was received, read twice by
its title, and referred to the Committee
on Finance.
SENATE JOINT RESOLUTION 88-IN-
TRODUCTION OF A JOINT RES-
OLUTION TO CREATE A COMMIS-
SION TO STUDY THE BANK-
RUPTCY LAWS 01' THE UNITED
STATES
Mr. BURDICK. Mr. President, I in-
troduce today legislation creating a Com-
mission on the Bankruptcy Laws of the
United States. A similar measure, Senate
Joint Resolution 100, passed the Senate
in the second session of the 90th Con-
gress, but too late for the other body to
act.
The purpose of the Commission envi-
sioned by Senate Joint Resolution 100
was to "study, analyze, evaluate, and
recommend changes to the Bankruptcy
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