FOREIGN ASSISTANCE ACT OF 1973

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CREST

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General CIA Records

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CIA-RDP75B00380R000600170002-0

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RIFPUB

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December 9, 2016

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August 24, 2001

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Publication Date:

October 2, 1973

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Approved Forasigtsig July 26, 197 nata0kReaK751E)aggR000600170002-0 ;3 Carter Casey, Tex. Cederberg Chamberlain Chappell Clark Clausen, Don H. Clawson, Del Cleveland Cochran Collier Collins, Tex. Conable Hogan Holt Hosmer Huber Hudnut Hungate Hunt Hutchinson Ichord Jarman Johnson, Colo. Ruppe Johnson, Pa. Ruth " Jones, Ala. Sandman Jones,'N.C. Sarasin Satterfield Saylor Scherle Schneebeli Sebelius Shipley Shoup Shuster Sikes Slack Smith, Iowa Snyder Spence " Stanton, James V. Rinaldo Roberts Robinson, Va. Rogers , Roncalio, Wyo. Rose Roush Rousselot Roy Runnels Conlan Jones, Okla. Conte Jones, Tenn. Coughlin Karth Crane Kazen Cronin Keating Daniel, Dan Kemp Daniel, Robert Ketchum ' W., Jr. Kuykendall Davis, Ga. Latta Davis, S.C. Lent Davis, Wis. Litton de la Garza Long, La. Delaney Long, Md. Denholm Lujan Dennis McClory Dent McCloskey Steed. , Derwinski McCollister Steelman Donohue McDade Steiger Ariz. Dorn McEwen Steiger:II is. Downing McKay Stubble eld - Duncan McSpadden Stuckey , du Pont Macdonald Sullivan Obey- O'Hara O'Neill Passman Patten -Pepper Pickle Price, m. Pritchard Railsback Rangel Rees Reid Reuss Robison, N.Y. Rodino Rooney, Pa. Rosenthal Rostenkowski Ryan St Germain Sarbanes Seiberling Sisk Smith, N.Y. Staggers Stanton, J. William Steele Stokes Stratton Studds Symington Teague, Tex. Tiernan Udall Ullman Vanik Ware Whalen Wilson, Charles, Tex. Wolff Wright Yates Yatron Young, Ga. Zablocki NOT VOTING-62 Abdnor Fuqua Patman Anderson, iii. Gettys Pettis Andrews, Gibbons Podell N. Dak. Griffiths Regula Arends Grover Riegle Bell Gunter Roe . Bowen Hanna Roncallo, N.Y. Brasco Hawkins Rooney, N.Y. Brotzman Horton Roybal Camp King Schroeder ' Carney, Ohio Kluczynski Shriver Clancy Landgrebe Skubitz Conyers Landrum Stark Devine Leggett Stephens Dickinson Lott Symms Erlenborn Madigan Thompson, N.J. Fish Metcalfe Waldie Fisher Milford Widnall Edwards, Ala, Madden Talcott , Flowers ? Mills, Ark. Wiggins Eshleman. Mahon Taylor, Mo. ' Ford, Gerald R. Minshall, Ohio Williams ? Evins, Tenn. Mann Taylor, N.C. , Frenzel Myers Winn Flynt Maraziti Teague, Calif. \ . Forsythe Martin, Nebr. Thomson, Wis. ',, So the motion to recommit was agreed Fountain Martin, NC. Thone Frey Mathis, Ga. Thornton Froehlich Mayne Towell, Nev. Fulton. Mazzoli Treen Gaydos Melcher Van Deerlin Gilman Michel , . Vander Jagt Ginn Miller Veysey " Goldwater Mitchell, N.Y. Vigorito ? Goodling Mizell Waggonner Green, Oreg. Mollohan Walsh Gross Montgomery Wampler Gubser Moorhead, White Guyer Calif. Whitehurst Haley Natch.er Whitten Hammer- Nichols ' Wilson, Bob schmidt O'Brien Wilson, Hanley Owens Charles H., Hanrahan Parris Calif. Harsha Perkins Wyatt Harvey . Peyser Wydler Hastings Pike Wylie Hays Poage Wyman Hebert Powell, Ohio Young, Alaska Hechler, W. Va. Preyer Young, Fla. Heckler, Mass. Price, Tex. Young, Ill. Heinz Quie Young, S.C. Henderson Quillen Young, Tex. Hicks Randall Zion Hillis RarIck Zwach Hinshaw Rhodes Abzug Adams Addabbo Anderson, Calif. Annunzio Ashley Aspin Badillo Barrett Bergland Biester Bingham Blatnik Boggs Boland Bolling Brademas Breaux Breckinridge Brown:Calif. Buchanan Burke, Calif, Burton Carey, N.Y. Chisholm Clay Cohen Collins, Ill. Corman Cotter Culver NOES-139 Daniels, Helstoski Dominick V. Holifield Danielson Holtzman Dellenback Dellums Diggs Dingell Drinan ' Dulski 1.c.g. he Clerk announced the following paihs: On his vote: Mr. ?for, with Mr. Thompson of New Jersey a inst. Mr. Gun er for, with Mr. Rooney of New York agains - Mr. Landru or, with Mr. Hanna against. Mr. Fisher or, with Mr. Kluczynski against. - Mr. Stark for, wi Mr. Podell against. Mr. Flowers for, w Mr. Brasco against. Mr. Carney of Ohio or, with Mr. Hawkins against. Mr. Gerald R. Ford fo with Mr. Metcalfe against. Mr. Fuqua for, with Mr. C yers against. . Mr. Gettys for, with Mrs. Gr I ths against. Mr. Arends for, with Mr. Leg tt against. Mr. Grover for, with Mr. Patma against. Mr. Horton for, with Mr. Roybal ainst. Mr. Bell for, with Mrs. Schroeder a ainst. Mr. Devine for, with Mr. Waldie aga 'st. Mr. Myers for, with Mr. Riegle agains Until further notice: Mr. Mills of Arkansas with Mr. Anders? of Illinois. Mr. Milford with Mr. Abdnor. Howard Mr. Bowen with Mr. Andrews of North Da- Johnson, Calif. kota. Jordan Kastenmeier Mr. Gibbons with Mr. Brotzman. Koch Mr. Stephens with Mr. Camp. Mr: Clancy with Mr. King. Mr. Dickinson with Mr. Lott. Mr. Roncallo of New York with Mr. Erlen- born. Mr. Fish with Mr. Madigan. - Mr. Frenzel with Mr. Minshall of Ohio. Mr. Pettis with Mr. Shriver. Mr. Skubitz with Mr. Widnall. Mr. Symms with Mr. Wiggins. Mr. Williams with Mr. Winn. Kyros Eckhardt , Lehman Edwards, Calif. McCormack Eilberg McFall Esch McKinney Evans, Colo. Mailliard Fascell Mall ary Findley Mathias, Calif. Flood Matsunaga Foley Meeds Ford, Mezvinsky William D. Minish Fraser Mink Frelinghuysen Mitchell, Md. Giaimo Moakley Gonzalez Moorhead, Pa. Grasso Morgan Gray Mosher Green, Pa. Moss Gude Murphy, Ill. Hamilton Murphy, N.Y. HanSen, Idaho Nedzi Hansen, Wash. Nelsen Harrington Nix The result of the vote was announced as above recorded. Mr. MORGAN. Mr. Speaker, pursuant to the instructions of the House in the motion to recommit, I report back the bill H.R. 9360 with amendments. The 'SPEAKER. The Clerk will report the amendments. The Clerk read as follows: 116747 Amendments: Page 5, in line 23, strike out "$115,000,000" and insert in lieu thereof "$90, 000,000". Page 6, in line 9, strike out "$93,000,000" and insert in lieu thereof "$60,000,000". Page 6, in line 19, strike out "660,000,000" and insert in lieu thereof "650,000,000". The SPEAKER. The question is on the amendments. The amendments were agreed to. The SPEAKER. The question is on the engrossment and third reading of the bill. The bill was ordered to be engrossed and read a third time, and was read the third time. The SPEAKER. The question Is on the passage of the bill. Mr. GROSS. Mr. Speaker, on that I demand the yeas and nays. The yeas and nays were ordered. The vote was taken by electronic de- vice, and there were?yeas 188, nays 183, present 1, not voting 61, as follows: [Roll No. 398] YEAS-188 Abzug Gonzalez Addabbo Grasso Anderson, Green, Pa. Calif. Gubser Annunzio Gude Armstrong Guyer Ashley Hamilton Badillo Hanley Barrett Bergland Biaggi Biester Bingham Blackburn Blatnik Boggs Boland Bolling Brademas Breckinridge Brooks Broomfield Brown, Mich. Buchanan Burke, Calif. Burton Carey, N.Y. Cederberg Chamberlain Chisholm Clay Cohen Collins, Ill. Conable Conte Corman Cotter Coughlin Cronin Culver aniels, Mahon Dominick V. Mailliard D ielson Mallary De enback Mann Dell s Mathias, Calif. Diggs Matsunaga Dingell Mayne Donohu Mazzoli . Drinan Meeds du Pont Melcher ? Eckhardt Mezvinsky Eilberg Minish Erlenborn ink Esch tchell, Md. Evans, Colo. M chell, N.Y. Fascell Moa Findley Moor Flood Morn. Foley Mosher Forsythe Murphy, O'Brien O'Hara O'Neill Patten Pepper Perkins Peyser Preyer Hansen, Idaho Price, Ill. Harrington Pritchard Harvey Quie Hebert Railsback Heckler, Mass. Rangel Heinz Rees Helstoski Reid Holifield Reuss Holtzman Rhodes Hosmer Rinaldo Howard Robison, N.Y. Johnson, Calif. Rodin? Johnson, Pa. Rooney, Pa. Jordan Rosenthal Karth Rostenkowski Keating Ruppe Kemp Ryan Koch St Germain Kuykendall Sarasin Kyros Sarbanes Leggett Schneebeli Lehman Sebelius Lent Seiberling Long, Md. Sisk McClory Smith, Iowa McCloskey Smith, N.Y. McDade Stanton, McEwen J. William McFall Steele McKay Steiger, Wis. McKinney Stokes Madden Stratton Sullivan Symington. Teague, Tex. Tiernan Udall Ullman Van Deerlin Vander Jagt Vanik Vigorito ' Walsh Ware Whalen Wilson, Bob Wilson, Charles, Tex. Wolff Wright Wydler Yates Fraser Murphy, Yatron Frelinghuysen Nedzi Young, Ga. Gael= Nelsen Young, Ill. Gilman Nix Zablocki NAYS-183 Ashbrook Beard Aspin Bennett Bafalis Bevill Baker Bray ley ead, Pa. Adams Alexander Andrews, N.C. Archer Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 Approved Fo H 6748 I CH3 104630104,44121148B99380R000600170002-0 ONGRESSION 41. RECORD HOUSE July 26,11973 Breaux Hammer- Randall Brinkley sclueldt Radek Brown, CUM'. Hanrahan Roberts Brown, Cede Hamm. Wash. ROblILSOrk, 'Vs. Broyhill, N.C. Hardie Rogers Broyhill Va. Hastinas Renounce Am, Burgerier Hays Rose Burke, Frit. lieetaer, W. vit Roush Burke, Mass. Henderson Boueselot Burleson, Tex. Ricks Roy Burlison, Mo. Hillis Runnels Butler Hinshaw Huth Byron Hogan Sandman Carter Holt Satterfield Casey, Tex. Huber Baylor Chappell Pludnut Scheele Clark Hungate Shipley Clausen, Hunt Shoup Don H. Wateratecin Shuster Clawson, Del. Ichord Sikes Cleveland Jarman Mace Cochran Johnson, Colo. Snyder Collins, Tex. Jones, Ala. Spence Conlan Jones, N.C. Staggers Crane Jones, Okla. Stanton. Daniel, Des Jones, Tenn. James V. Daniel, Robert Kasteneneier Steed W., Jr. Kazen Stee .m an Davis, Ga. Ketchum Steiger, Ariz, Davis, S.C. Latta Stubblefield Davis, Wire Litton Stuckey de is Garza, Long, La, Studds Delaney Lunen Taicott Denholm McCollister Taylor, Mc. Dennis McCormack Taylor, N.C. Dent meneand en Teague, Wit Derwieskt Macdonald Thomson. Wis. Dorn Maraziti Thone Downing Martin, Nebr. Thornton Dulski Martin, N.C. Towell, Nev. Duncan Mathis, Ge. Treen Edwards, Ala. Miller Veysey Edwards, Calif. Mizell Wag gunner Eshleman Molasban Weepier Evins, Ten n. Montgomery White Flynt Moorhead, Whitehurst Ford, Calif. Whitten William D. mese Wilson, Fountain Natcher Charles ..1. ? Frey Nichols Calif. Froehlich Obey Wyatt Fulton Owens Wylie Gaydos Parris Wy n Ian Ginn Passman Young, Alaska Goldwater Pickle Young, Fles Goodling Pike Young, S.C.. Gray Peage Young, Tex. Green, Oreg, Powell, Ohio Zion MOSS Price. Tex. Zwach Haley Quillen PRESENT?I Michel NOT VOTING---61 Abdnor Fuqua Pettis Anderson, Ill. Gettys Podell Andrews, Gibbons Regula N. Dalt. Griffiths Rieas e Arends Grover Roe Bell Gunter Roncallo, N.Y. Bowen Hanna Rooliey, N.Y., Brasco Hawkins Roybal 13rotzman Horton Schroeder Camp King Shriver Carney, Ohl e Kluczynskt Skuteise Clancy Landterebe Stark Collier Landrum Stephen.. Conyers Lott Symms Devine Madigan Thompson, N.J. Dickinson Metcalfe Wale ie Fish Milford Widriall Fisher Mills, Ark. Wiggins Flowers Minshall, Ohio Williams Ford, Gersid It. Myers Winn Frenzel Patmetie So the till was passed. The C:Lerk announced the following pairs: On this vote: Mr. Gerald R. Ford for, with Mr. Michel against. , Mr. Thompson of New Jersey for, with Mr. Gunter against Mr. Rooney of New York for, with Mr. Landman against. Mr. Hanna for, with Mr. Fisher against Mr. Kluirzynski for, with Mr. Roe against. Mr. Podett for, with Mr- Stark against. Mr. Briikiee> for, with Mr. 1Pliewers agaitet. Mr. Hawked fie, with Mr. Carney of Ohio against. ? Mr. Metcalfe fee, with Mr. Getty's. against. Mr. Conyers for , with Mr. Fuqua against. Mrs. Grifftnis for, with Mr. Andrews of North Dakots age inst. Mr. Patrean for, with Mr. Devine against. Mr..Roylrial for, with Mr. Dickinson against. Mrs. Sehrottelee for, with Mr. Pettis against. Mr. Waldie for, with Mr. Shriver against. Mr. Riegle for, ssith Mr. Skubitz against. Mr. Arende for. With Mr. Abdnor against. Mr. Horton for with Mr. Clancy against. Mr. Bell tot, wi 11 Mr. Romano of New York against. Mr. Ander ion of Illinois for, with Mr. Grover againct. Mr..Widnal I for, with Mr. Myers against. Mr. ilrotzin an 1,r, with Mr. Symms against. Mr. Fish foe, with Mr. Camp against. Mr. Frenzel foe, with Mr. King against. Until further BOUM: Mr. Bowen with Mr. Minshall of Ohio. Mr. Gibbons wi et Mr. Collier. Mr. Milford witi Mr. Landgrebe. Mr. Mills ol Ark ansas with Mr. Lott. Mr. Stephens wish Mr. Madigan. Mr. Willianis w tii Mr. Winn. The result of the vote was announced as above record A motion to reconsider was laid on the table. The SPEAKER. Pursuant to the provi- sions of House esolution 506, the Com- mittee on breign Affairs is discharged from the f irtlier consideration of the bill S. 1443. The Clerk mid the title of the Senate bill. MOTION Or IIRED BY MR. MORGAN Mr. MORGA C. Mr. Speaker, I offer a motion. The Clerk yea cl as follows: Mr. M0RGA17 in eves to strike out all after the enacting elm se of the bill S. 1443 and to insert in list tht reof the provisions of H.R. 9360, as passe a, at follows: That this et r say be cited as the "Mutual Development ant Cooperation Act of 1973". CHANGE OE' TT ME )17 ACT AND NAME OE AGENCY Src. 2. The Foreign Assistance Act of 1961 is amended at. foltows: (a) In the Ant section, strike out "this Act may be cited as 'The Foreign Assistance Act of 1961'" anc insert in lieu thereof "this Act may be cite .1 as the 'Mutual Develop- ment and Cooperation Act' ". The amend- ment made by this subsection shall take effect on the lay after the date of the enact- ment of this init. (b) Strike out 'Agency for International Development" each place it appears in such Act and inseet is, lieu thereof in each such place "Mutual Development and Cooperation Agency". POLICY; me a-LOME/ST ASSISTANCE ATP :I-IORIZATIONS SEC. 3. Chapter 1 of part I of the Foreign Assistance Ac; of 1961 is amended as follows: (a) In the clupter heading, Immediately after "CITAPTP 1?Isomer" insert "; DEVELOP- MENT ASSISTA NCH AUTROR/ZATIONS". (b) In section 102, relating to statement of policy, irsert "(a)" immediately after "STATEMENT ine Porecyn?", and at the end thereof add the fcilowing: "(b) The Cons ress further finds and de- clares that, with the help of United States economic east star ce, progress has been made in creating a bass for the peaceful advance of the less developed countries. At the same time, the coat into n s which shaped the United States foreigr ass iettance program in the past have changed. While the United States must continue to leek increased cooperation and mutual:IV beneficial relations with other na- tions, our relations with the less developed countries must be rev iced to reflect the new realities. In restructuring our relationships with those countries, the President should Place appropriate emphasis on the following criteria: "(1) Bilateral development aid should con- centrate increasingly on sharing American technical expertise, .farm commodittes, and industrhs1 goods to meet critical development Problems, and less on large-scale ? capital transfers, which when made should be in association with contributions from other industralized. countries working together in a muittilaeera1 framework. "(2) Future United States bilateral sup- port for development should focus on critical problems in those functional sectors which affect the lives of the majority of the people in the developing countries: food produc- tion, rural development, and mdrition; population planing and health; education, public administration, and human resource development. "(3) Unitel States cooperation in develop- ment should be carried out to the maximum extent possible through the private: sector, particularly those institutions which already have ties in the developing areas, such as educational institutions, cooperatives, credit unions, and eoluntary agencies. "(4) Development planning; must be the responsibility of each sovereign country. United States assistance should be admin- istered in a collaborative style to support the development goals chosen by each country receiving assistance. "(5) United States bilateral development assistance should give the highest 'priority to undertakings submitted by host govern- merits which directly improve the lives of the poorest majority of people and their capacity to participate in the development ?of their countries. -(6) Unite 1 States development assistance should continue to be available thron.h bilateral channels units it is clear that multilateral chaneis exist which can do the job with no loss of development momentum. "(7) The esonornic and smile' development programs to which the United States lends ? support should reflect, to the maximum extent practicable, the role of United States private Investment in such economic and social develcpment program, and arrange- ments should be continualy sought to pro- tide stability and protection for such private investment. "(8) Under the policy guidance of the Secretary of State, the Mutual Development and Cooperation Agency should have the responsibility for coordinating all United States development-related activities.". ci At the end thereof, add the following new sections: "Sec, 103. FOOD AND NUTRITION.-14% Order top prevent starvation, hunger, and mal- nutrition, mei to provide basic services to the people tieing in rural areas and enhance their capacity for self-help, the President is atithoriezd to furnish assistance, on such terms and cc-petitions as he may determine. for agriculture, rural development, and nutrition. There are authorized to be appro- priated to the President for the purposes of this section, in edition to funds otherwise available for such purpoeess $300,000,000 for each of the fiscal years 1974 and 197$t which amounts are authorized to remain available until expended. "Sac. 104. POPULATION PLANNING AND Heerlen?In order to increase the opportu- nities and motivation for family planning, to reduce the rate of population growth, to prevent and combat disease, and to help provide health services for the great majority, the President is authorized to furnish m- ei stance on :such terms and condittons as he may determine, for population planning Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 July 26, 1973 and health. There are authorized to be ap- propriated to the President for the pur- poses of this section, in addition to funds otherwise available for such purposes, $150,- 000,000 for each of the fiscal years 1974 and 1975, which amounts are authorized to remain available until expended. "SEc. 105. EDUCATION AND HUMAN RESOURCE DEVELOPMENT.-Ill order to reduce illiteracy, to extend basic education, and to increase manpower training in skills related to devel- opment, the President is authorized to fur- nish assistance on such terms and conditions as he may determine, for education, public administration, and human resource devel- opment. There are authorized to be appro- priated to the President for the purposes of this section, in addition to funds otherwise available for such purposes, $90,000,000 for each of the fiscal years 1974 and 1975, which amounts are authorized to remain available 'until expended. "SEC. 106. SELECTED DEVELOPMENT PRO13- 1-Ems.-The President is authorized to fur- nish assistance on such terms and conditions as he may determine, to help solve economic and social development problems in fields such as transportation and power, industry, urban development, and export development. There are authorized to be appropriated to the President for the purposes of this section, in addition to funds otherwise avail- able for such purposes, $60,000,000 for each -of the 'fiscal years 1974 and 1975, which amounts are authorized to remain available until expended. SEC. 107. SELECTED COUNTRIES AND OR- GANrzATIoNs.-The President is authorized to furnish assistance on such terms and conditions as he may determine, in support of the general economy of recipient coun- tries or for development programs conducted by private or international organizations. There are authorized to be appropriated to the President for the purposes of this sec- tion, in addition to funds otherwise available for such purposea, $50,000,000 for each of the fiscal years 1974 and 1975, which amounts are authorized to remain available until ex- pended. "8E0. 108. APPLICATION OF EXISTING PROVI- sioNs.-AssiDtance under this chapter shall be furnished in accordance with the provi- sions of title I, II, 1TI, or X of chapter 2 of this part, and nothing in this chapter shall be construed to make inapplicable the restrictions, criteria, authorities, or other provisions of this or any other Act in ac- cordance with which assistance furnished under this chapter would otherwise have been provided. "8E0. 109. TRANSFER OF FUNDS.-NOtwith- standing the preceding section, whenever the President determines it to be necessary for the purposes of this chapter, not to exceed 15 per centum of the funds made available for any provision a this chapter may be trans- ferred to, and consolidated with, the funds made available for any other provision of this chapter, and may be used for any of the pur- poses for which such funds may be used, ex- cept that the total in the provision for the benefit of which the transfer is made shall not be increased by more than 25 per centum of the amount of funds made avail- able for such provision." DEVELOPMENT LOAN FUND SEC. 4, Section 203 of chapter 2 of part I of the Foreign Assistance Act of 1961, relating to fiscal provisions, is amended as follows: (a) Strike out "the Mutual Security Act of 1954, as amended," and insert in lieu thereof "predecessor foreign assistance legislation". (b) Strike out "for the fiscal year 1970, for the fiscal year 1971, for the fiscal year 1972, and for the fiscal year 1973 for use for the purposes of this title, for loans under title VI, and for the purposes of section 232" and insert in lieu thereof "for the fiscal years 1974 and 1975 for use for the purposes of Approved For Release 2001/08/30 : CIA-R0P75600380R000600170002-0 CONGRESSIONAL RECORD - HOUSE H 6749 chapter 1 of this part and part VI of this Act." TECHNICAL COOPERATION AND DEVELOPMENT GRANTS SEC. 5. Title II of chapter 2 of part I of the Foreign Assistance Act of 1961, relating to technical cooperation and development grants, is amended as follows: (a) In section 211(a), relating to general authority, in the last sentence immediately after the word "assistance" insert the word "directly". (b) In section 214, relating to authoriza- tion for American schools and hospitals abroad, strike out subsections (c) and (d) and insert in lieu thereof the following: "(c) To carry out the purposes of this sec- tion, there are authorized to be appropriated to the President for the fiscal year 1974, $20,- 000,000, and for the fiscal year 1975, $20,000,- 000, which amounts are authorized to re- main available until expended. "(d) There are authorized to be appropri- ated to the President to carry out the pur- poses of this section, in addition to funds otherwise available for such purposes, for the fiscal year 1974, $7,000,000, and for the fiscal year 1975, $7,000,000, in foreign currencies which the Secretary of the Treasury deter- mines to be excess to the normal require- ments of the United States. "(e) Amounts appropriated under this section shall not be used to furnish assist- ance under this section in any fiscal year to more than four institutions in the same country, and not more than one such institu- tion shall be a university and not more than one such institution shall be a hospital.". HOUSING GUARANTIES SEC. 6. Title III of chapter 2 of. part I of the Foreign Assistance Act of 1961, relating to housing guaranties, is amended as follows: (a) In section 221, relating to worldwide housing guarantees, strike out "$205,000,000" and insert in lieu thereof "$305,000,000". (b) In section 223(1) , relating to general provisions, strike out "June 30, 1974" and in- sert in lieu thereof "June 30, 1976". OVERSEAS PRIVATE INVESTMENT CORPORATION SEC. 7. Title IV of chapter 2 of part I of the the Foreign Assistance Act of 1961, relat- ing to the Overseas Private Investment Corporation, is amended as follows: (a) In section 235(a) (4), relating to issu- ing authority of the Overseas Private In- vestment Corporation, strike out "June 30, 1974" and insert in lieu thereof "June 30, 1975". (b) In section 240(h), relating to agricul- tural credit and self-help community devel- opment projects, strike out "June 30, 1973" and insert in lieu thereof "June 30, 1975". ALLIANCE FOR PROGRESS SEC. 8. Section 252(b) of title VI of chap- ter 2 of part I of the Foreign Assistance Act of 1961, relating to authorization of appro- priations, is amended to read as follows: "(b) There are hereby authorized to be appropriated to the President for the fiscal year 1974, $968,000, and for the fiscal year 1975? $968,000, for grants to the Nationfri As- sociation of the Partners of the Alliance, Inc. in accordance with the purposes of this title.". 1.110GRAMS RELATING TO POPULATION GROWTH SEC. 9. Section 292 of title X of chapter 2 of part I of the Foreign Assistance Act of 1961, relating to authorization, is amended by striking out "1972 and 1973" and inserting in lieu thereof "1974 and 1975". INTERNATIONAL ORGANIZATIONS AND PROGRAMS SEC. 10. Chapter 3 of part I of the Foreign Assistance Act of 1961, relating to interna- tional organizations and programs, is amend- ed as follows: : (a) At the end of section 301, relating to :general authority, add the following new subsection: "(e) (1) In the case of the United Na- tions and, its affiliated organizations, includ- ing the International Atomic Energy Agency, the President shall, acting through the Unit- ed States representative to such organiza- tions, propose and actively seek the estab- lishment by the governing authorities of such organizations a single professionally qualified group of appropriate size for the purpose of providing an independent and continuous program of selective examination, review, and evaluation of the program and activities of such organizations. Such proposal shall pro- vide that such group shall be established In accordance with such terms of reference as such governing authority may prescribe and that the reports of such group on each examination, review, and evaluation shall be submitted directly to such governing au- thority for transmittal to the representa- tive of each individual member nation. Such proposal shall further include a statement of auditing and reporting standards, as pre- pared by the Comptroller General of the United States, for the consideration of the governing authority of the international organization concerned to assist in formu- lating terms of reference for such review and evaluation group. "(2) In the case of the International Bank for Reconstruction and Development and the Asian Development Bank, the Presi- dent shall, acting through the United States representative to such organizations, pro- pose and actively seek the establishment by the governing authorities of such organiza- tions professionally qualified groups of ap- propriate size for the purpose of providing independent and continuous program of se- lective examination, review, and evaluation of the program and activities of such orga- nizations. Such proposal shall provide that such groups shall be established in accord- ance with such terms of reference as such governing authorities may prescribe and that the reports of such groups on each exami- nation, review, and evaluation shall be sub- mitted directly to such governing authority for transmittal to the representative of each individual member nation. Such proposal shall further include a statement of audit- ing and reporting standards, as prepared by the Comptroller General of the United States, for the consideration of the govern- ing authority of the international organiza- tion concerned to assist in formulating terms of reference for such review and evaluation groups. "(3) Reports received by the United States representatives to these international organizations under this subsection and related information on actions taken as a re- sult of recommendations made therein shall be submitted promptly to the President for transmittal to the Congress and to the Comptroller General. The Comptroller Gen- eral shall periodically review such reports and related information and shall report simultaneously to the Congress and to the President any suggestions the Comptroller General may deem appropriate concerning auditing and reporting standards followed by such groups, the recommendations made and actions taken as a result of such recom- mendations." (b) In section 302(a), strike out "for the fiscal year 1972, $138,000,000 and for the fiscal year 1973, $138,000,000" and insert in lieu thereof, "for the fiscal year 1974, $127,- 800,000 and for the fiscal year 1975, such sums as may be necessary". (c) In section 302(b) (2), strike out "for use in the fiscal year 1972, $15,000,000, and for use in the fiscal year 1973, $15,000,000" and insert in lieu thereof "for use in the fiscal year 1974, $15,000,000, and for use in the fiscal year 1975, $15,000,000,". (d) Section 302(d) is amended to read as follows: "(d) Of the funds provided to carry out the provisions of this chapter for each of Approved For Release 2001/08/30 : CIA-RDP751300380R000600170002-0 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 H 6750 CONGRESS:ZONAL RECORD? HOUSE July 2'6, 1978 the fiscal years 1074. and. 19754 $18,000,000 shall be available in each such fiscal year only for contributions to the United ldettons Children's Fund.". (e) an. section 302 (e), strike out "ttl 000900 for the fiscal year 1972 and $1,000,000 for the fiscal year 1913" and insert in. lieu thereof '12,000,000 for the fiscal year 1074 text $2,- 000,000 fer the fiscal year 1975". CONTINGENCX min Brenta. Subeeetton (ay of section 451 of chapter 5 of part I of the Foreign Assistance Act of 1981, relatteg to the contingency fund, Is amended as follows: (a) Strike out "for the fiscal year 1972 not to exceed $30,000,000, and for the fiscal year 1973 not to exceed $30,000,000" and insert in lieu thereof "far the fiscal year 1974 not to exceed litsa,000,000-, and for the fiscal year 1975 net to exceed $30,000,000". (b) (Strike out the provled contained in the first Sentelitee of such subsection and at the end of :Such subsection add the following: "In addition to the antounts authorized to be appropriated by this subsection there are autharized to be appropriated such ad- ditional amounts as may be required from tithe to *nine to, pet-Vide relief, rehabil tetion, and related assistance in the case of eetraor- dinary disaster situations. Amounts appro- priated under this subsection are authorized to remain available until expended.". neezeretertotem enatearies colt-mot Sec. 12. (a) Section. 481 of chapter a of part I all the Foreign Assistance Act of 1961, relating to international narcotics control, is amended by inserting "tar immediately after areregattierimetm Reno:trice CONetele---" and by adding at the end thereof the follow- ing new subsection: `(b) (1) Not later than forty-five days after the date on which, each calendar quarter of each year ends, the President stall transmit to the Speaker of the EOUSe of Representa- tives, and to the COmmittee on Foreign Rela- tions of Lae Senatee a report on the program- ing and elongation, per calendar quarter, of funds under title chapter -prior to such. date. "(2) Not later than forty-five days after the date on which the second calendar quar- ter of each year ends and not later than forty-live days after the date on which the fourth calendar quarter of each year ends, the President shall transmit to the Speaker of the Rouse of Representatives, and to the Committee on Foreign Relations of tee Sen- ate, a complete and detailed semiannual re- port on the activities and operations carried out under this chapter prior to such date. Such semiannual report shall include but shall not be limited to? "(A) the status of each agreement con- cluded prior to such date with other coun- tries to carry out the purposes of thie; chap- ter; and "(B) the aggregate of obligations and ex- pencil:tuxes made, and the types and quantity of equipment provided, per calendar quarter, prior to such date-- "(I) to carry out the purposes of thin chap- ter with respect to each country find etch in- ternational organization receiving assistance under this chapter, including the cost of United States personnel e_n_gagest in carrying out such purposes in each such country and with each such international organization; "(ii) to carry out each program conducted under this chapter in each country arid by each international organization, including the cost of United States personnel engaged in carrying out each such program; and "(iii) for administrative support services within the United States to carry out the purposes; of this chapter. including the cost of United States personnel engaged in carry- ing out such purposes in the United States.". (hi Section 482 of chapter 8 of Part): of the Foreign Assistance Act of 1961, relating to authorization, is amended by ;striking out "142,500,000" and all that follows down through the pitied at the end of such section and insert' ag it lieu thereof "$50,000,000 for each of tee fiscal years 1974 and 1975. Amounts anpropriated under this section are authorized to remain available until ex- pended.". COOP: MAT PM ECONOMIC EXPANSION SEC. 13. Part I of the Foreign Assistance Act Is amended by adding at the end thereof the following new chapter: "Cueerte 10?Cocreenersve Economic EXPANSION "Sze. 491*. 0 )0PERATIVN ECONOMIC EXPAN- stan.?The Pre Idiot is authorized to use up to $2,000,040 of the funds made available for the purposes of this part in each of the fiscal years 1974 and. 1975 to assist friendly coun- tries, especially -hese in which United States development 1i:egret:es have been concluded or those mit receiving assistance under sec- tion. 211. in the procurement of technical as- sistance front I idled States public or private agencies or individuals. Assistance under this chapter stall be for the purpose of (1) encouraging development of natural re- sources of zateeet to the United States, (2) ettemixagement of &climate favorable to mu- tually profitable trade and development, and (3) stimulitirm of markets for United States exports. Any ft nds'used for purposes of this section met be provided on a loan or grant baste and raa,y be used notwithstanding any other provision of this Act." MILITARY ASSISTANCE Sec. 14. Chapter 2 of part II of the Foreign Assistance Act, of 1961, relating to military assistarece, .s attended as follows: (a) In section 504(a), relating to author- ization, strike c ut "$500,000,000 for the fiscal year 1972", and inert in lieu thereof $550,- 000,000 for the fiscal year 1974". (b) In static n 506(a), relating to special authority, exile out the words "the fiscal year 1972" wherever they appear and insert in lieu theieof "the fiscal year 1974". (c) Section 513 is amended? (1) by striking out "THAILAND.?" in the section hea lint and inserting in lieu thereof "Telemann, LAOS, and Vierepuit.?(a)"; and (2) by adding at the end thereof the fol- lowing new subsection: "(e) After J me 30, 11174, no military as- sistance shall be furnished by the United States to LECS Cr Vietnam directly or through any other foreign country unless that as- sistance is authorized under this Act or the Foreign Meitaty Sales Act.". (d) Section III is repealed. SECIIR Try SUPPORrINC ASSISTANCE SEC. 15. llect.on 532 of chapter 4 of part II of the Foreien Assistance Act of 1961, re- lating to atthotization, is amended by strik- ing out "fcr tic fiscal year 1972 not to ex- ceed $618,0( 0,0C 0, of which not less than $50,- 000,000 shall be available solely for Israel" and inserting in lieu thereof "for the fiscal year 1974 net to exceed $125,000,000 of which not Less than ;e50,000,300 shall be available solely for Israel'. iNTERNAIIONAL MILITARY EDUCATION AND TRAINING SEC. 16. (a) Part II of the Foreign As- sistance Act of 1961 is amended by adding at the end there of the following new chapter: "CHAPTER, 5?INTERNATIONAL MLLITARY ' Eovcs- 'tIC re AND TRAINING "Sec. 54: . SZATEMENT OP Pm/poste?The purpose of this chapl,er is to establish an international military education and train- ing program w:bich will? "(1) impeovie the ability of friendly foreign countries, ihro .igh effective military educa- tion and taunting programs relating partic- ularly to United States military 'methods, procedures, earl techniques, to utilize their own resources and equipment and systems of United States origin with maximum effec- tiveness for the maintenance of their defen- sive strength and internal security, thereby contributing to enhanced, professional mili- tary capability and to greater self-reliance by the armed forces of such countries; ."(2) entourage effective and Mutually beneficial relationships and enhance under- standing between the United States and friendly foreign countries in order to main- tain and foster the env earneent of interna- tional peace and security essential to social, economic, and political progress; end "(3)- promote increased uaderstanding by friendly foleign countries of the policies and objectives of the United States in pursuit of the goals of world peace and security. "Sec. 542. GENERAL ALTTIIORITY.?The Presi- dent is authorized in furtherance of the pur- poses of this chapter, to provide military edue coition and training by grant, contract, or otherwise, including? "(1) attendance by military arid related civilian personnel 01 friendly foreign coun- tries at military educational and training facilities in the United States (other than the Service Academies) and abroad; "(2) attendance by military and related civilian personnel of friendly foreign coun- tries in special courses of instruction at schools and institutions of learning or re- search in the United States and abroad: "(3) observation and orieetation visits by foreign military and related civilian person- nel to military facilities and related activities ie the United States and abroad; ;and "(4) activities that will otherwise assist and encourage the development and. improve- ment of tht military education and training of members of the armed fcrces and related civilian personnel of friendly foreign coun- tries so as to further the purposes of this chapter, including but net limited to the as- signment of noncombatant military training instructors, and the furnishing of training aids, technical, educational and information- al publicat ons and media of all kinds, "Sec. 54e. AUTHORIZATION.?To sorry out the purposes of this chapter, these- are au- lhorized to be appropriated to the President $30,000,000 for the fiscal year 1974. Amounts appropriated under this section are author- ized to remain available until expended. "Sec. 544 ANNUAL EEPORTS.?The Nicaragua earthquake... 11, 674 +2, 733 0 3 35 3i 10,0)10 10,109 2,010 2, C13 = - 14,4117 14,407 (85) ( -5) (80) 180) (10, 000) (--2,000) (8,000) (8,1:00) Program as of Mar. 31, 1973 het change in 4th quarter Program Obligations as of as of Jane 30, 1973 June 30, 1973 Sahelian drought relief -I-(4, 697) (4,697 Cyclone (Fiji) (762) (762) Floods (150) +(200) (350) Civil strife (243) -(100) (343) Displaced persons_ (25) (25) Fire (34) -I-(9) (43) Drought +(25) (25) Famine +(14) (14) Earthquake +(25) (25) Miscellaneous. (4) (43) Un obligated reserve (X) -(371)_ =-- Total contingency fund, AID 21,859 +4,601 26, 46) -, 26,460 Transfer to Department of State for Sudan Refugee Relief 2,500 -2,500 3 0 Total contingency fund uses.: 24, 359 +2, 101 26, 461) 26, 460 (4,697) (762) (350) (343) (25) (43) (25) (14) (25) (43) Foreign Assistance Act contingency fund-- fiscal year 1973 approved uses of the CCM- tingency funds as of June 15, 1973 [Ls, share of contributions to the international Commission for Control and Supervision (ICCS) , Vietnam $3, 018, 000 Grant to WHO for cholera emer- gency planning 35,000 This grar.t was made to WHO as a result of AID'S effort to stim- ulate WHO to develop a global inrategy to eliminate emer- gency conditions caused by the seventh pandetaic of cholera. The grant is to augr lent WHO staff re- sources for err erg( my planning. Bahama livest Dc,k: 'research and development pro ice t__ _ _ _ _ _$10, 000, 000 This is a grant for a two part livestock project. Approximately $4 million mil. be for research, studies trainim: ant technical as- sistance to bo clone by Penn State, the Western Institute of Technology, an 1 Texas State Tech. Approximately $6 million will go for 16 pilot farms, an ag, experi- ment station, and perhaps some ag. credit for new livestock grow- Disaster relief $12, 668, 000 Earthquake 8, 025, 000 Drought 2, 912, 000 Cyclone 762,000 Floods 325, 000 Volcanic disturbance__. _____ - 85, 000 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 p ForftwENIM8A10 ikparAppi?gcpprxwo o 0600170002-0 October 2, 19roved A13 S 18375 Civil strife Fire $50, 000 43,000 Stockpile transfer 39, 000 Displaced persons 25, 000 Famine 13, 000 Miscellaneous . 4, 000 ,Unobligated reserve 385, 000 Total contingency fund 24, 721, 000 Contingency fund uses, fiscal year 1972 DISASTER AND REFUGE RELIEF AND RECONSTRUCTION Interregional disaster relief: Floods Earthquakes $578, 000 262,000 War displaced person's 250, 000 Civil strife 172, 000 Storms 99, 000 Volcano threat 92, 000 Stockpile increases 60, 000 Disease 46, 000 Drought 25, 000 Explosion ?25, 000 Miscellaneous 12, 000 Subtotal 1, 621, 000 Eastern European refuge assist- ance 1, 850, 000 Pursuant to Section 2(C) of the Migration and Refugee As- sistance Act, the President au- thorized a transfer of $1,850,000 to the Department of State to meet unanticipated urgent needs in connection with assistance to refugees from Eastern European countries. Subtotal 3, 471, 000 SECURITY ASSISTANCE Jordan 15, 000, 000 A cash grant was made to supplement the $30 million pre- viously provided out of support- ing assistance. Its purposes was to help the Jordanian Govern- ment maintain its political sta- bility which is an essential ele- ment in the search for a just and lasting resolution of the Arab- Israeli conflict. Malta 9, 500, 000 A cash grant was made in two tranches to support the econo- mic and political stability of the Government of Malta and facili- tate the continuation of import- ant strategic arrangements with that country. ,..Subtotal 24, 500, 000 DEVELOPMENT ASSISTANCE Boliva 2, 000, 000 A cash grant was made to the Government of Bolivia to fund an emergency public investment program required to relieve severe unemployment problems and re- sume the Bolivian development effort. OTHER U.N. Conference on the Human Environment A contribution vi.)as made to the U.N. Conference on the Human Environment to support prepara- tory work with the developing countries to strengthen their participation in the Conference. 100, 000 Total FY 1972 30, 071, 009 Contingency fund uses, fiscal year 1971 DISASTER AND REFUGEE RELIEF AND RECONSTRUCTION Interregional disaster relief: Floods $1, 118, 000 Earthquakes 322, 000 Cholera 310, 000 Typhoons 248, 000 World Health Organization 200, 000 Miscellaneous 96, 000 Total 2, 294,000 Philippines: Typhoon damage school reconstruction 1, 500, 000 As part of the program of relief following typhoons Joan, Kate, and Patsy, a supporting assist- ance grant of $1.5 million was made to the Philippines to cover the repair and reconstruction of typhoon damaged schools. Jordan: Civil strife 4, 250, 000 $4,250,000 was provided to Jor- dan for emergency relief and re- habilitation following civil dis- turbances caused by Palestinian commandoes. East Pakistan: Civil strife 1, 000, 000 $1,000,000 was provided to East Pakistan victims of the civil strife there. East Pakistan: Cyclone 7, 500, 000 $7,500,000 was provided to East Pakistan for relief of victims of the cyclone and tidal bore. U.N. High Commission for Refu- gees (UNHCR) : Refugee relief 5, 000, 000 $5,000,000 was provided to UNHCR for care of East Pakistani refugees in India. Transfer to Department of State_ 3, 600, 000 In accordance with the Presi- dential determinations, pursuant to section 2(C) of the Migration and Refugee Assistance Act, $10,- 000,000 of FAA funds were trans- ferred to the Department of State in two tranches in order to meet unexpected urgent refugee and migration needs in connection with assistance to refugees in East Pakistan. Of this total, $3,- 000,000 were from the contingen- cy fund. Subtotal 24, 544, 000 Minus refunded overcharges_ _ _ 2, 000 Subtotal 24, 542, 000 OTHER International Committee of the Red Cross (ICRC) $1,000,000 was provided to the ICRC to relieve the financial emergency resulting from the committee's increased activities in the areas of humanitarian and disaster relief. Payments to U.S. Army Corps of Engineers $3,700,000 was provided the Corps of Engineers to pay a claim to a private U.S. contractor aris- ing out of an AID construction project for which the Corps of Engineers was the implementing agent for AID. 1, 000, 000 3, 700, 000 Subtotal 4, 700, 000 Total 29, 242,000 Contingency fund uses, fiscal year 1970 1 DISASTER AND REFUGEE RELIEF AND RECONSTRUCTION Peru: Earthquake $10, 600, 000 $10,600,000 was provided to Peru for earthquake relief and 'rehabilitation. Nigeria: Civil strife 2, 000, 000 $2,000,000 was provided to Ni- geria for international relief efforts. Czechoslovakia, others: Refu- gees $5,800,000 was provided for re- lief of Czechoslovakian and other refugees. Tunisia: Floods 2,000, 000 $2,000,000 was provided to Tunisia for relief of flood dam- age and reconstruction. 5, 800, 000 Subtotal 20, 400, 000 OTHER Mexico: Narcotics control $1,000,000 was provided to Mexico to assist in narcotics control. 1, 000, 000 Total 21, 400, 000 1 Does not include all uses since not enough data was available. Contingency fund uses, fiscal year 1969 1 DEVELOPMENT ASSISTANCE Laos: Dam $2, 700,000 $2,700,000 was provided for the U.S. share of a shortfall in funding of the multilateral Nam Ngurn dam project in Laos. 1 Does not include all uses since not enough data was available. Mr. EAGLETON. Mr. President, I re- serve the remainder of my time. Mr. HUMPHREY. Mr. President, the Senator from Missouri has pointed out something that I think was needed in reference to what we call the contingency fund. The amount in this bill for the contingency fund is $23.5 million. Ac- tually, in the past I think we have had some misuse of the contingency fund in terms of it not being used for emergen- cies. The whole purpose of the contin- gency fund was to meet emergencies. These funds have been spent, for ex- ample, for a Bahama livestock research and development project, last year in the amount of $10 million. That, I think, should have been a development loan or grant rather than taken from the con- tingency fund. The Senator has emphasized that the contingency fund should be primarily for disaster purposes, but I think that he would also allow what might be a neces- sity, such as the grant to WHO last year to work on cholera emergency planning when there was a fear of cholera and no funds were in the regular categories. A modest amount of $35,000 was taken to be used for that particular purpose. Mr. EAGLETON. Mr. President, will the Senator yield? Mr. HUMPHREY. I yield. Mr. EAGLETON. Something related to an imminent cholera epidemic such as Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18376 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ?SENATE October 2, 1973 the WHO grant comes into the disaster category and would be permissible. Mr. HUMPHREY. Mr. President, at this point I ask unanimous consent to have printed in the RECORD the informa- tion in the committee report related to the use of the contingency fund in fiscal Year 1973 SO that we can see what has happened in the past. There being no objection, the material was ordered to be printed in the RECORD, as follows: Foreign Assistance Act contingency fund-- fiscal year 1973 approved use of the con- tingency fund as of June 15, 1973 Thousands U.S. share of contributions to the international commission for con- trol and supervision (ICS)'- Vietnam $2, 018 Grant to WHO for cholera emergency planning 35 This grant was made to WHO as a result of A.I.D.'s effort to stim- ulate WHO to develop a global strategy to eliminate emergency conditions caused by the seventh pandemic of cholera. The grant is to augment WHO staff resources for emergency planning. Behama livestock research and de- velopment project 10, 000 This is a pant for a two part live- stock project. Approximately $1 million will be for research, stud- ies trair.ing and technical assist- tame to be done by Pennsylvania State, the Western Institute of Technology, and Texas State Tech. Approximately $6 million will go for 16 Pilot farms, an ag. experimtent station, and perhaps some ag. credit for new. live- stock growers. D saster relief 12,4363 ,Earthquake 8.025 Drought 2,131:2 Cyclone 76:2 Floods 325 Volcanic Disturbance 85 Civil Strife 50 Fire 43 Stockpile Transfer 39 Displaced persons 25 Famine _ 1:3 Miscell ane ous 1 UnobliF,rated Reserve ass Total Contingency Fund 24, 72 I. Mr. HUMPHREY. Mr. President, I am more than happy to associate myself with the amendment of the Senator from Missouri. I have discussed this matter with the ranking minority mem- ber, the Senator from Vermont (Mr. AIKEN), and we are suggesting that the arnenclment be agreed, I hope we can yield back our time and have a voice vote. Mr. EAGLETON. Mr. President, will the Senator yield for a brief question? Mr. HUMPHREY. I yield. Mr. EAGLETON. As a part of the legislative history of this amendment, which now reads "primarily" in lieu of "only," can I be assured by the distin- guished Senator from Minnesota that next year when this bill is working its way through the legislative process, that with his usual diligent attention the Senator will focus on this fund to make sure the expenditures were primarily for disaster or crisis-related situations? it want to be absolutely sure that this fund is not siphoned eff for items that could have been previded for in other portions of the AID bill--that the money will be used for tufforeseen catastrophes. Mr. HUIVIEHREY. Mr. President, I concur wholelea.:tedly. I hope the ad- ministrator of this program, when he uses any contingency fund assets, will report it immediately to the appropriate committees of Congress so that we have an idea what is going on and so we will know this fund is not used for anything other than eillerk'enCieS. We have flint's for development .n several categories in this bill, witk funding provided in the contingency fund for the kinds of things that are unpredictable, that come up and have to be handled promptly by the Secretary of Sta Alt or the AID admin- istrator. Mr. EAGLE TO. And of a crisis, dis- aster, or emergen3y-type situation? Mr. HUMPHR EY. The Senator is correct. Mr. EAGLETON. Mr. President, I yield back my time Mr. HUMPHREY. Mr. President, I yield back the tune on this side. The PRESIDING OFFICER. All time having been :rielded back, the question is on agreeing to the amendment of the Senator from Missouri, as modified. The amendment, as modified, was agreed to. Mr. HARRY F. :BYRD, JR. Mr. Presi- dent, will the Senator yield for a ques- tion? Mr. HUMPHREY. I yield. Mr. Presi- dent, this time will be on the bill. Will the Senator yield first to let me call up an amendment out of order? Mr. HARRY F. BYRD, JR. Certainly. Mr. HUMPHREY. Mr. President, I ask unanimous consent to call up my amend- ment No. 563 cut Of order. The PRESIDING OFFICER. Is there objection? Without objection, it is so ordered. The clerk will lead the amendment. The second ask istant legislative clerk proceeded to read amendment No. 563 offered by AV. :Ell:mammy for himself, Mr. Jsvirs, anf Mr. Dons. Mr. HUMPHR:ElY. Mr. President, I ask unanimous consent that the text of the amendment k e printed in the RECORD without its being aead. The PRESIDING OFFICER. Without objection, it is so ordered. Amendment No, 563 is as follows: Add the followiwr new section to the end of the bill: (a) It is the lense of the Congress that the United States shou.d provide full participa- tion in efforts to alleviate current and future. food shortages whit h threaten the world. (b) The Pretident shall take immediate steps to initiate a "Ugh level commission to study and report or the world food situation through 1985 in consultation with relevant international agencies where possible and appropriate. Th a reoort should include esti- mates of world production and utilization, barriers to increase world productivity, the adequacy of transportation and distribution facilities, the known or anticipated world availability of agrieultural inputs such as fertilizer, the impa,t t, of energy shortages on agricultural pr eduction, future sources of protein includir g scurces from the seas, pro- jections of humanitarian food assistance re- quirements, and the role of national trade policies in facilitating and encouraging the productive capacities of world agriculture. (c) To provide a minimum level of secur- ity for the peoples of the world from suffer- ing hunger and malnutrition the President shall cooperate with the appropriate inter- national agencies such as the Food and Ag- ricultural Organization of the United Na- tions to establish an international system of strategic food reserves. Such a system of world food reserves should provide for an equitable distri.bution of the direct and in- direct costs between producer and consumer nations. (d) To bring appropriate attention to the current and potential threat to world security and social welfare the President shall instruct the Special Representative for Trade Negotiations to issue a formal request before the member nations of the General Agreement on Tariffs and Trade to explore means for assuring equitable access by all nations of the world to national markets and basic resources such as mineral and agricultural supplies. (e) The President shalt submit a report to the Congress no later than December 31, 1873, concerning the progress made in imple- menting the provisions of this section and should forward to the Congress by June 30, 1974, any recommendations he deems advis- able for legislation required for United States participation in an international food re- serve. (f) To provide the Secretary of Agricul- ture the flexibility with which to respond to such emergencies Public Law 480 is amended as follows: The last sentence of section 401 of the Agricultural Trade Development and Assistance Act of 1954 is amended by strik- ing the period and inserting a comma and the following: "unless the Secretary deter- mines that some part of the exportable sup- ply should be used to carry out the national interest and htmanitarian objectives of this Act.". (g) In making any assessment which would affect or relate to the level of domestic production the Secretary of Agriculture should include in his estimated overall utili- zation the expected demands for humani- tarian food assistance through such pro- grams as Public: Law 480, Mr. HUMPHREY. Mr. President, may I say I have cleared this amendment with the minority side, and there is no objec- tion on that side. ginNilotw I yield to the Senator from Vir- Mr. HARRY F. BYRD, JR. May I ask the distinguished Senator from Minne- sota a question I note on page 11 of the bill there is provided $900,000 each year for 2 years to the National Association of the Partners of the Alliance, Inc. Mr. HUMPHREY. Yes. Mr. HARRY F. BYRD, JR. What in the world is that? Mr. HUMPHREY. That is a nongov- ernmental organization working in the field of Latin American economic devel- opment. The committee report notes that? This organization has done an effective job Over the last several years in developing co- operative arrangements between, our states. and cities and countries and cities in Latin America. It is a kind of people-to-people pro- gram. There are cities, in the Senator's State and my State, for example, that have relations, with cities in Argentina, Brazil, or Venezuela,' for example. Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 proved For Edmightme R? yedomigmti000600lmoo2-o S 18377 October 2, 19N? The committee has given this program support over the years. It is something that has proven itself to be very valuable. By the way, it proves itself to be valua- ble even in economic terms, where com- munities have been able to induce in- vestment from Latin America here and to find investment opportunities there. It is not done by the Government, may I say; it is done by the local communi- ties, the State of Virginia, the State of Minnesota, the city of Richmond, the city of St. Paul, all working with their Latin American counterparts in sister cities and provinces and so on. Mr. HARRY F. BYRD, JR. But the Federal money goes to this organization? Mr. HLTMPHREY. That is correct. Mr. HARRY F. BYRD, JR. Could I ask another question? Under the heading "International Organizations and Pro- grams" I note $120 million is involved. Mr. HUMPHREY. Yes. Mr. HARRY P. BYRD, JR. Which or- ganizations are those? Mr. HUMPHREY. Those are primarily U.N. organizations. We will give the Sen- ator the complete listing of them. The listing is on page 22 of the committee report, and includes the U.N. develop- ment program, the U.N. children's fund, food and agricultural program, the World Health Organization, the International Secretariat for Volunteer Service. Those are some of the multilateral organiza- tions that we aid. They are contributed to also by other countries. Mr. HARRY F. BYRD, JR. I thank the Senator. Mr. HUMPHREY. Mr. President, my amendment relates to the President's taking immediate steps to initiate a high- level commission to study and report on the world foOd situation through 1985 In consultation with relevant interna- tional agencies where possible and appro- priate. However, it would relate not only to international agencies, but to other cOuntries, both importing and exporting countries. The report would include esti- mates of world production and utiliza- tion, barriers to increase world produc- tivity, and the adequacy of transporta- tion and distribution facilities. The purpose here is to get our Nation Involved more directly with the interna- tional food program so that we do not have the burden of food relief strictly on our, own shoulders. We need a much better understanding of what the crop reports are, what world production may be, and what world demands may be. Therefore, we are asking the President to submit a report to the Congress not later than December 31, 1973, concern- in the progress made in implementing the provisions of this section, and to for- ward to Congress by June 30, 1974, any recommendations he deems advisable for legislation which would be required for U.S. participation in an international food reserve. May I add that this food reserve we mention in the amendment is the one that has been talked a great deal about. This amendment does not commit us to it; it merely provides that the President shall initiate a study to see whether or not it is feasible, what the costs would be, in other words, what_ our effort, if any, should be. f WORLD FOOD CONFERENCE AND WORLD FOOD RESERVES Mr. President, it would be easy to write off the food shortages of the past year as aberrations due to bad weather in cer- tain parts of the world. But it would be irresponsible to do so. The problems we are facing can be linked to trends which go far into the past. According to the FAO the rate of in- crease in agricultural production was less than the rate of population growth in 42 countries over the last decade. In 1972 instead of an increase the de- veloping countries suffered an actual de- cline of 1 percent in their agricultural production. In the Far East the fall in total pro- duction was 4 percent, and if the popu- lation increases are added in the decline in production per capita was 6 percent. What we are seeing are the early signs of strain on world agricultural produc- tions and unless we start planning now for the food demands of the future the shortages we have encountered this past year are going to become over more se- vere. The United States has a special re- sponsibility in taking the lead in plan- ning for increasing world food needs. Our excellent climate, efficient farm organi- zation, readily available supply of farm inputs, and favorable geographic situa- tion make us, the American farmers, among the most productive of the world. With about 1 percent of the world's farmers we produce about 15 percent of the world's food. While I realize that America cannot and, if fact, should not serve as the world's cornucopia, certainly the United States should take the lead in initiating policies toward a minimum level of nu- tritional security for the consumers of the world in cooperation with all the na- tions of the world. Furthermore, we cannot suddenly withdraw our food assistance to these countries of the less-developed world who critically depend on the United States to make ends meet and prevent mass star- vation and malnutrition. We must, in consultation with the other developed countries, make a commitment toward gradually increasing the level of self- sufficiency and thereby reducing the de- pendence of the third world on the food supply of the developed world. This must be done first by a program which pro- vides for direct food assistance to avert widespread starvation during time of shortages but not at a level that might inhibit domestic production. Public Law 480 is a proven program. Over the 20 years of its existence the program has been a model for humani- tarian food assistance. Now, in times of temporary domestic shortages it would not be fair to suddenly pull the rug out from under a program that has shown itself to be a successful example of what can be done to provide a crucial foun- dation upon which a country can move out of the mires of food crises and mal- nutrition and begin building toward self- sufficiency. This amendment will clarify the restrictions on Public Law 480 to al- low the Secretary of Agriculture to per- mit continuation of our humanitarian food assistance programs for emergency food requirements of the less-developed countries of the world. This past year we saw a situation of mass starvation and malnutrition in many parts of the world but we were prevented from responding to the extent that was necessary because of the con- straints in the language in Public Law 480. We are not talking about any signifi- cant effect on the availability of food supplies at home. What we are talking about is setting aside a relatively small part of our do- mestic production for humanitarian food assistance. We encountered spot shortages and rising prices over this past year due to the unusual demand on our food supplies. But food shortages meant the differ- ehce between life or death for many of the people of the less developed world. We must also go beyond the immediate food problems to begin planning for the future food demand of the world. My amendment also calls for a major conference of the nations of the world to meet and plan for world food needs. The shortages and dislocation in our food supply system over this past should be testimony enough for the need to be- gin planning for our future food demands now. Such a conference should not only ad- dress the simple supply demand situation but should explore all aspects which af- fect our food supply system including the availability of adequate supplies of fertil- izer, fuel, and other farm inputs. The conference should direct itself to the constraints on world production and explore ways to provide a reasonable level of food security for the consumers of the world. Finally my amendment would state the Senate's belief that our country should participate in establishing a system of world food reserves?a world food bank. I am concerned to note that the wheat stocks in the exporting countries have fallen to their lowest level in 20 years- 20 years over which the world's popula- tion has grown by over 50 percent. It has become clear that even the low- est foreseeable grain requirements over the next year cannot be covered by this year's production. This means stocks will have to be reduced even further. The International Wheat Council pre- dicts the world will suffer a 6- to 9-mil- lion-ton shortfall in grain supplies over the coming year. It should be pointed out that 1 million tons of grain represents a year's mini- mum food supply for between 4 and 5 million people in a developing country. What we are seeing is an increasing uncertainty in world food production cre- ated by a rapidly rising world demand. The inability of world agricultural production to keep up with population growth compounded by rising world af- fluence creating a demand for more and better food places increasing strain on our agricultural systems throughout the world. We are seeing the swings in agri- cultural production from year to year become increasingly more significant. And, unless we can develop ways to in- sulate world farm production from the Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18378 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CDNGRESSIONAI RECORD ?SENATE October 2, 1973 effects of weather and climate or unless the countries develop a system which in- sures the availability of stored reserves large enough to offset the production swings, consequences for the consumers of the world will become increasingly disastrous. It is only prudent that the producer and consumer nations of the world join together to establish an ? international system of strategic food reserves to pro- vide a reasonable measure of market and price stability on world markets and to protect the poorer nations of the world from mass starvation and malnutrition when the world is confronted by bad weather which creates world shortages in basic food commodities. We must give immediate attention to each of these issues, humanitarian food assistance programs, a world food con- ference and world food reserves if the world is to enjoy a minimum level of food security over the coming decades. The stakes for the producers and con- sumers of the world are just too high to let policies be established in the emer- gency atmosphere of a new world food crisis. We must place the emphasis on pre-- venting a world food disaster rather than waiting for an emergency to forte us to action. Are we to be proactive or reactive? These are the resPonsibilities with which the Congress and the world are challenged. Mr. President, ;the distinguished Sen- ator from New York (Mr. Jams) has been deeply involved in this matter, as has the Senator from Kansas (Mr. DOLE) . Mr. JAVITS. Mr. President, will the Senator yield? Mr. HUMPHREY. I yield. Mr. JAVITS. I would like to express my strong support for this particul-ae proposal. It is based on a very keen per- sonal experience, as I have been re- cently, through the so-called famine areas of Africa, where this problem is extremely visual and extremely poignant. So I consider it a privilege to join the Senator from Minnesota (Mr. HUM- PHREY) in the proposal of this amend- ment. Our operations in the food field, it seems to me, now dominate the whole matter of foreign aid. I hope ultimately the amendment will also be joined by other efforts in the world food situation. Certainly the food situation, involving problems of worldwide scarcity and the hazards which are involved because of the marginal nature of many of the econ- omies in terms of food, and which de- pend so sensitively upon the vagaries of the weather and immediate crop develop- ments and immediate crop realizations, make this amendment, to my mind, extremely attractive and very impor- tant in terms of the real purpose of our world aid, which is the subject of this bill. It represents a humanitarian con- corn by by one of the stronger nations On earth in terms of productivity and in terms of resources. We simply cannot forgo it and remain in a peaceful and working world which is not filled with hatred and resentment. For this reason, and based on the ar- gument which the Senator from Min- nesota has made, which is very informa- tive and helpful, I am privileged to join with him in hoping that this amendment will be accept( d by the Senate. Mr. HUMPHREY. Mr. President, I thank the Senator from New York. May I say this amendment is primarily the re- sult of a conference the Senator from New York and I had some time ago. I dis- cussed the substance of it with the Sen- ator from Kansas (Mr. DOLE), who serves on the Committee on Agriculture and Forestry and is a cosponsor of the amendment. The amendment also reads: unless the Secretary determines that some part of the e cportable supply should be used to carry cut the national interest and humanitarian obJwtives of this Act,? Relating to Public Law 480. So it makes provision for flexible au- thority for the Secretary of Agricultnie to be helpful on the part of our Govern- ment where there is great hiunanitailon need. Mr. DOLE. Nfr. President, the pending amendment focuses attention on the critical need for food and the necessity to evaluate fcod production potential of the peoples throughout the world. It creates a high level commission charged with the responsibility to survey and re- port on this need and other factors af- fecting food rroduction, The United States, through the food for peace program?Public Law 480?has been a leadea ir improving worldwide nutrition durng recent years when our Nation's food supplies were in surplus. Now, as those surpluses have been dimin- ished greatly, there is a natural tend- ency to withdraw from our participa- tion in worldwide feeding programs. This must not happen I join to coeporsoring this amendment today in the interest of maintaining our participation in food for peace activities, especially those administered by Amer- ica's great voluntary agencies for over- seas relief ani rehabilitation, organiza- tions such as CARE, the Protestant Church World Service! and Lutheran World Relief, Catholic Relief Service and its charitas c eunterparts, the American Jewish Joint Distribution Committee, and a numbe of similar privately sup- ported humar Italian organizations. This program is indeed worthwhile and deserves our continued support. We can- not be human: tartan only in times of sur- plus. We have an obligation to continue this worthwhile program. Furthermore, Mr. President, our farm- ers have beer. asked to respond to this increased deriani for food production and they are planting far greater acre- age this year than ever before. Estimates show that Kansas wheat farmers have already increased acreage by 10 percent. We are not out of food. We will produce adequate grain to supply our domestic needs and still participate in these worthwhile programs for other nations. The PRESIDING OFFICER. Is all time yielded back? Mr. HUMPHREY. Mr. President, I yield back the remainder of my time. Mr. JAVITS. Mr. President, I yield back the time on this side. The PRESIDING OFFICER. All time having been yielded back, the question is on agreeing to the amendment of the Senator from Minnesota. The amendment was agreed to. Mr. JAVITS. Mr. President, are we on controlled time? Mr. HUMPHREY. Yes, we are on con- trolled time. shall be happy to yield to the Senator from time on the bill. The PRESIDING OFFICER. The next order of business is an amendment by the Senator from Idaho. Mr. ROBERT C. BYRD. Mr. President, does the Senator from New York have an amendment? Mr. JAVITS. I have two amendments which are routine, and I would be happy to propose them now. Mr. ROBERT C. BYI?,D. Mr. President, I ask unanimous consent that the Sen- ator from New York may be recognized to call up two amendments in succession at this time, without prejudice to the distinguished Senator from Idaho (Mr. CHURCH). Mr. JAVITS. Mr. President, I call up my amendment No. 564 and ask that it be stated. ? The PRESIDING Oeireneset (Mr. Ntenv) . The clerk will report the amend- ment. The assistant legislative clerk ? pro- ceeded to state the amendment. ? Mr. JAVITS. Mr. President, I ask unanimous consent that further reading of the amendment be dispensed with. The PRESIDING OFFICER. Without objection, it is so ordered. The amendment is es follows: At the end of the bill add the following new section: That section 17 of the Asian ;Development Bank Act (Public Law 92-245, March 10 1972 ) is hereby amended by striking out 180,000,- 000 for fiscal year 1972 and $40,000,000 for fiscal year 1973", and inserting in lieu !there- of "$100,000,000". Mr. JAVITS. Mr. President, this is a technical amendment to section 17 of the Asian Development Bank Act. It strikes out a requirement calling for two installments, one of $40,000,000 and one of $60,000,00t, in fiscal years 1972 and 1973 for the special fund of the bank and substitutes a single installment of $100 million. These are two installments al- ready which provide for an aggregate of $100 million. These were originally enacted on March 10, 1972, as part of a compre- hensive bill making authorization for special funds in respect to the number of international financing agencies. I believe it was the intent of the 'Con- gress in enacting this particular section that the two installments did not have to be appropriated in a particular fiscal year, but could be expended without fis- cal year limitations. We are now in fiscal year 1974 and Congress has not yet taken affirmative action on the administration request for these funds. I do not believe the. fact that we have not acted should affeet the authorization, This technical amendment will remove any question that the total of um mu- Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 October 2, /99proved For Eftfig gmA3p ityeas7_51gmn000600inoo2-o S 18379 lion is authorized?that is, the $40 mil- lion and the $60 million. It would con- tinue, subject to appropriation, if we de- cided to appropriate it. But at least it will not be susceptible to a point of order that there is no authorization. I should point out that it does not involve the authorization of any additional funds. I urge the adoption of the amendment. Mr. HUMPHREY. Mr. President, this amendment does not add new money to the bill. It is a tecbnical amendment. It states again that the commitments made in the past shall continue and not be vitiated by the fact that the authori- zations were in the years 1972 and 1973. There is no objection to the amend- ment. This is required and necessary. On behalf of the committee, I am pre- pared to accept the amendment and thank the Senator from New York for his alertness in bringing the matter to our attention. Mr. JAVITS. Mr. President, I yield back the remainder of my time. Mr. HUMPHREY. Mr. President, I Yield back my time. The PRESIDING OFFICER. All time has been yielded back. The question is on agreeing to the amendment of the Senator fgrom New York (putting the question) . The amendment (No. 564) was agreed to. Mr JAVITS. Mr. President, I send another amendment to the desk and ask that it be stated. Mr. HUMPHREY. Mr. President, is this amendment a printed amendment? Mr. JAVITS. No, it is not. However, again it is not a matter of terribly great importance. The PRESIDING OFFICER. The amendment will be stated. The assistant legislative clerk read as follows: an page 18, line 16, immediately atfer the semicolon, insert the following: "the Deputy Under Secretary for International Affairs, Department of Labor;". Mr. JAVITS. Mr. President, it will be noted that there is a section dealing with coordination of various Cabinet agencies which are concerned with foreign aid. Mr. HUMPHREY. Mr. President, this is an acceptable amendment. Mr. JAVITS. Mr. President, I ask unanimous consent that the letter from the Deputy Under Secretary for Legisla- tive Affairs of the Department of Labor which describes this amendment be printed 'in the RECORD. There being no objection, the letter was ordered to be printed in the RECORD, as follows: DEPART4ENT OF LABOR, Washington, D.C., September 28, 1973. Hon. .3.ACOB K. JAVITS, U.S. Senate, Washington, D.C. DEAR SENATOR JAVITS: Your assistance in connection with the matter described below will be very much appreciated. Section 640B of S. 2335, "A Bill to amend the Foreign Assistance Act of 1961," calls for the President to establish a Development Coordination Committee to "advise him and the Congress with respect to coordination of United States policies and programs affect- ing the development of the developing coun- tries, including programs of bilateral and Multilateral development assistance." In naming the Committee members the Bill omits the Department of Labor. The House version of this Bill, H.R. 9360, includes the Department of Labor among the agencies of the Executive Branch on the Committee. There are two major reasons why a repre- sentative of the Department of Labor should be included on the Development Coordina- tion Committee. Many of the policies and programs ini- tiated under the Foreign Assistance Act will have an impact on employment, wages, and working conditions in the United States, matters for which the Department of Labor bears rnajor responsibility within, the Execu- tive Branch. At present the Department is deeply involved in providing information and advice with respect to international trade and investment matters affecting U.S. workers through its membership on the Council on International Economic Policy and through its participation in the inter- agency trade organization. It would be both advantageous to and consistent with this role for the Department to assist in the co- ordination of policies and programs under the Foreign Assistance Act to ensure that the impact of such policies and programs on employment, wages, and working con- dition in the United States is taken fully in- to account. In addition, one of the three main thrusts of the proposed legislation is education and human resources development, with promi- nence given to the need "to increase man- power training in skills related to develop- ment" (Section 105). The Labor Department has extensive responsibilities and expertise in the manpower field. For years it has collab- orated with AID and various multilateral agencies in international activities designed to assist the developing nations. This work has involved: training large numbers of foreign labor and manpower technicians; pro- viding American experts for overseas assign- ments; and research and preparation of tech- nical manuals for use in developing coun- tries. The Department's expertise and experi- ence should continue to be drawn 'upon in the formulation of manpower policies and pro- grams for the developing countries. More- over, the growing emphasis being given to questions of employment and income dis- tribution in both our bilateral and mul- tilateral foreign assistance efforts underscores the appropriateness and desirability of De- partment of Labor participation on the Co- ordination Committee. The officer within the Department of Labor who is responsible for international activities and who is analogous to the officers named for the other ageneies in the Senate Bill is the Deputy Under Secretary of Labor for In- ternational Affairs. He, therefore, would be the appropriate officer to represent the De- partment on the Committee and should be named in Section 640B (a) of the Senate Bill. Sincerely, BENJAMIN L. BROWN, Deputy Under Secretary for Legislative Affairs. Mr. JAVITS. Mr. President, the amendment adds the Department of Labor to the agencies in the executive branch who function on this coordination committee. Mr. HUMPHREY. Mr. President, this is the development coordination com- mittee which we establish in this legisla- tion. Mr. JAVITS. The Senator is correct. Mr. President, I yield back the remain- der of my time. Mr. HUMPHREY. Mr. President, this Is a desirable amendment. I certainly accept it on behalf of the committee. I hope that it will be voted on favorably. I yield back the remainder of my time. The PRESIDING OFFICER. All time has been yielded back. The question is on agreeing to the amendment of the Sen- ator from New York. (Putting the ques- tion.) The amendment was agreed to. Mr. ROBERT C. BYRD. Mr. President, with respect to the two amendments which the Senator from Idaho (Mr. CHURCH) is scheduled to call up at this time in consecutive order?and in con- nection with which, I understand, he will want a yea-and-nay vote on both amend- ments?I ask uanimous consent that the first yea-and-nay vote occur at 1:30 p.m. today and that the second vote occur first yea-and-nay vote, and that begin- ning with the second yea-and-nay vote, there be a time limitation on that vote and on all other yea-and-nay votes, dur- ing the afternoon, of 10 minutes, with the warning bells to sound after the first 21/2 minutes. The PRESIDING OFFICER. Without objection, it is so ordered. Mr. HUMPHREY. Mr. President, what is the time limitation on the amendments of the Senator? The PRESIDING OrleiCER. Thirty minutes, to be equally divided. The Senator from Idaho is recognized. Mr. ROBERT C. BYRD. Mr. President, if the Senator would yield for a parlia- mentary inquiry, would the situation not be this in response to the amendments of the distinguished Senator from Idaho, the time on both Church amendments would be limited to a total of 45 minutes en bloc? The PRESIDING OFFICER. If they are offered en bloC-, by unanimous con- sent. Mr. ROBERT C. BYRD. Mr. President, with the vote to occur on the first amend- ment at 1:30 p.m. and the vote on the second amendment to occur immediately thereafter at 1:45 p.m., are we not limit- ed to a total of 45 minutes for debate? The PRESIDING OFFICER. The Sen- ator is correct. Mr. HUMPHREY. Mr. President, a vote is to occur on the first amendment at 1:30, and there will be back to back votes, and we will be voting on the second amendment immediately thereafter. Is there not just 45 minutes to be equally divided on both amendments? The PRESIDING OFFICER. The Sen- ator is correct. Mr. CHURCH. Mr. President, I pro- pose these amendments be offered ad seriatim and statements be made for both of them. If the Senator from Min- nesota wishes to respond, I ask that he give me 3 minutes at the end of the debate to sum up my side. Is that agree- able? Mr. AIKEN. Mr. President, would the Senator from Idaho tell us what his amendments are? They are not printed or typed. Mr. CHURCH. The Senator is correct. Mr. AIKEN. Mr. President, if the Sen- ator will tell us, it will help me as the Senator goes along. The PRESIDING OFFICER. Would the Seantor from Idaho send his first amendment to the desk so that the clerk may report it? Mr. CHURCH. Mr. President, I send an Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18380 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD - SENATE October 2, 1973 amendment to the desk and ask that it be stated. The PRESIDING OFFICER. The clerk will report the amendment. The assistant legislative clerk read [us follows: At the end of the bill, add the fallowing new section: EXPENDITURE LIMITATION SEC. 24. Notwithstanding any other pro- vision of law, not to exceed $1,100,003,000 Ia addition to funds made available p ursuant to section 203 of the Foreign Assistance Act of 1961 may be obligated during fiseal year 1974 to carry out parts I and V and section 637(a) of the Foreign Assistance Act of 1961. Mr. CHURCH. Mr. President, this amendment would reduce the authorize, tion level in the bill by $134 million, giv- ing the President full flexibility to make the cuts where he sees fit. Mr. AIKEN. What about the second. amendment? Mr. CHURCH. The second amendment; would restore to Congress the right of both authorizing and appropriating debt moneys repaid by foreign governments. Al; present, such moneys are collected into a revolving fund administered by the AID agency. Mr. AIKEN. It would eliminate the loan reflows to AID, or the revolving fund? Mr. CHURCH. It would eliminate the revolving 'fund; it would restore the au- thority to Congress to decide 'what part of that money should go back to AID, and what part should be used for other purposes. Mr. AIKEN. It comes back to the Congress. Mr. CHURCH. The Senator is correct. Now it is recaptured by USAID. Mr. President, the first amendment I have sent to the desk is a simple one. It is designed to help balance the budget. It would establish a ceiling of $1.1 bil- lion on obligations that can be made dur- ing fiscal year 1974 for the progranis authorized in this bill. The amounts in the bill before the Senate appear modest, as foreign aid bills go. But this bill is only the tip of the foreign aid iceberg. The $1.3 billion authorized in S. 2335 represents less than 15 percent of the $8.6 billion foreign aid package proposed by the executive branch for this fiscal year. Since this is little understood, Mr. President, I ask unanimous consent that a table listing the many different foreign aid programs, which will total $8.6 bil- lion during the coming fiscal year-to be exact, $8,643,349,000-be printed in the RECORD at this point. There being no objection, the table was ordered to be printed in the RECORD, as follows: Transfers of U.S. resources to foreign .no.- tions-woridwide distribution by program [In thousands of dollars I isca7 &CUT Grand Total of All U.S. 1974 proposed Resources Transferred_ 8. 643, 349 Security Assistance (Sub- total) 4. III, 417 Military assistance program 7'71, 500 Distributed by country- (648, 727) Not distributed by country- - Int. mil. educati and training program Distributed by CUTOUT Not distributed by country Military assis isence service funded Distributed by oho try MAAG administrative Costa- military degas tme at fun ded- Distributed by c ohs try Transfer of defense stocks Distributed by country__ _ Excess defense a Moles _____ _ Distributed by aountry Not distributed by country Ships transfers, distributed by country -------- Real property 'LI anar'er.._ _ _ Security suppectini. assistance Distributed by .:our try__ _.___ - Not distributed oy cuntry Foreign military ere Alt Distributed by .1011/ itry__ _ Export-Import military loans (n.a.) Distributed by country (n_a.) Public Law 48C (Sac. 104(c), dist. by country... _ Purchase of Medi currency (Vietnam) Indochina po3twar recon- structic n s.abtotal _ Distributed by country_ _.. Not distributed by country__ - Development assistance--sub- total Agency for International Devel- opment Development lo ms-Distributed by country Not distributed by country_ ___ Development grants-Distrib- uted by country Not distributed by country Population pr agrarns--Distrib- tributed by (our, try___ Not distributed by country South Asian re ief American schools tid hospitals abroad Not distributocl by country International orgarizations and. programs---N d thstributed by country Administrative expenses-not distributed b 7 country Administrative expenses-State- International narc )tics control and contingoncy fund--Dis- tributed by :ountry_ Contingency I und , undistrib- uted Narcotics, und ,..stributed Program support end interre- gional activities--Not distrib- uted by emir try Peace Corps- -Distributed by country Not distributed by country__ ___ General suppoi t__ Public Law 48( --Distributed by country Not distributen by country__ Ocean freight_ Grants of title I, '>ectiOn. 204__ Private trade entities___________ Emergency reserve, U.S. Contributions to interna- tional final mita institutions: IBRD-Paid- in capital Callable capital_ International :Development As- sociation Inter-Amerioar. Development Bank: Paid-in capi Callable crap ital.. Fund for sped al operations__ (122, 773) 33, 000 (80, 123) (2,8'77) 1, 870, 800 (1, 870, 800) 52,409 (52, 409) 185, 000 (185, 000) 6, 500 244, 553 124,055 (117, 500) (6,556) 780, 000 (760, 000) (162, 080) 63, 800 630, 945 (614, 000) (16, 945) 3, 900, 987 (1,338,314) 596, (100 49, 000 102,725 84, 525 37, 071 9, 675 500 10, 000 177, 122 57, 875 5, 100 20, 431 30, 300 9,738 148, 202 51, 463 6, 543 18, 995 976, 575 22, 345 117, 700 1,000 10, 000 19, 180 320, 000 25,000 (168,380) 500,000 Asian Development Bank: Paid-in capital Callable capital Special funds State Department migration d refugee programs-Not distributed by country_. Inter-American Foundation Pan American Ifighway_ Darien Gap Highway Mutual education and cultural exchange Nonregional Trust Territories of the Pacific__ Contribution to international organizations--State Depart- ment 24,200 (96, 800) 100, 000 7.600 13,283 30, 000 38.557 14,443 66,000 199,787 Mr. CHURCH. Mr. President, I point out also that there is already $2.7 billion in the pipeline for the programs included in this bill, two and a half times the au- thorizations allowed under my amend- ment. And Members should also realize that in addition to the $1.1 billion of new money my amendment would allow, $251 million more ia available to AID from re- payments on outstanding foreign aid loans. Our Govern:ment's fiscal situation' is in terrible shape Over $100 billion in 'defi- cits in the regular Federal budget have been run up in the last 5 fiscal years. In- terest on the Federal debt will cost some $27 billion this year and is mounting steadily. The Government is now borrow- ing money at 81/2 percent to lend to for- eign governments at 2 percent. The President has asked Congress to hold the line on spending_ for domestic Programs. There is no doubt that the Federal budget should be balanced and deficit spending ended. But I do not agree that domestic programs should absorb all of the cuts for budget balancing pur- poses, as the President proposes. Foreign aid should bear its fair share of' the bur- den of bringing our financial house in order. , My proposal would only make a modest reduction of $134 million in the spending level recommended by the committee. It would do this not by cutting specific pro- grams, but by imposing a ceiling on obli- gations. Thus, it would leave the Presi- dent with complete flexibility to apply the cuts as he sees fit. He could Make the reductions in loans, punts, aid to Indo- china, contributions to international or- ganizations, administrative expenses, or any of the other categories in the bill. Mr. President, I remember vividly how we discussed the need to balance the budget and to establish a, spending ceil- ing in the early months of this session. I see little evidence that we will accom- plish that goal. Furthermore, I can re- call how enthusiastically members of the Democratic Caucus called for = these cuts to be made in military spending and in spending abroad, rather than in do- mestic programs, as the means of bal- ancing the budget and living within the ceiling that Congress and the President have prescribed. If we are to have any chance of suc- ceeding, it is necessary that this foreign aid bill be cut, at a minimum, .by the amount proposed in this amendment. Even so, we still will have a long way to go, if Congress is to fulfill its pledge to Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 - Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 October 2, 197'3 CONGRESSIONAL RECORD ? SENATE live within its own spending ceiling. That, Mr. President, sums up the case for the first amendment I have offered. I now ask that the Senate proceed to consideration of the second amendment I have sent to the desk. The PRESIDING OFFICER. The amendment will be stated. The legislative clerk read as follows: On page 9, strike out lines 13 through 20 and insert in lieu thereof the following: Sec. 3. Section 203 of the Foreign Assistance Act of 1961 is repealed. Mr. CHURCH. Mr. President, this amendment would help to restore con- gressional control over the foreign aid program. It returns to Congress the , pursestrings for a quarter billion dollars now held by the executive branch. Mem- bers will be surprised to learn that the bill now before the Senate is close to a quarter of a billion dollars bigger than It looks. My amendment is very simple. It would require that Congress authorize and appropriate, in the regular manner, all funds for use in the foreign aid pro- gram. Strange as it may seem, this is not the case under existing law, a condition that would be continued by this bill. Un- der existing law, Congress is deceived about the amounts it thinks it author- izes and appropriates for the foreign aid loan program?loans made for 40 years with 2 percent interest the first 10 years and 3 percent for the next 30 years. Take this bill, for example. The table on page 2 of the committee report shows that, under the continuing resolution, de- velopment loans can be made at an an- nual rate of $310 million and that, under the new aid categories, a total of $592 million will be available for both loans and grants. But these figures do not show that $251 million more will be available this fiscal year for lending purposes from repayments on outstanding foreign aid loans. Nowhere in this bill will you find that quarter of a billion dollars listed. This is not a $1.23 billion foreign aid bill; it is a $1.48 billion bill, immensely more than meets the eye. I would hazard the guess that few, if any, members outside the Foreign Re- lations and Appropriations Committees realize that this additional money is made available each year?almost auto- matically and without any real congres- sional scrutiny. And the total is growing yearly. In 4 years, the money from loan repayments that will be available under existing law will increase to $416 million. This practice is deceptive of Congress and deceptive of the public. Repayments on foreign aid loans should go into the Treasury. If a case can be made for using these additional funds in the foreign aid program, a straight- forward authorization and appropriation request should be submitted to Congress each year by the President. This methocl for circumventing Congress should end. I recognize that the executive branch, of course, wants to keep things the way they are?so that these hundreds of mil- lions will not be subjected to the gamut of the regular authorization and appro- priations processes. Foreign aid officials know that Con- gress would take a dim view of voting an extra quarter of a billion this year for 2-percent loans to foreign countries when the Government is borrowing its money at 8,/2 percent. This is a clear-cut example of how Congress has allowed its authority to erode to the advantage of the executive branch. Approval of my amendment will be a step toward restoring Congress con- trol over the purse strings. So I urge the Senate to adopt it. That concludes, Mr. President, the case that I intend to make for the two amend- ments that I have offered. Aside from the time I should like to reserve for rebuttal, I suggest that the floor manager of the bill, the distinguished Senator from Min- nesota (Mr. HUMPHREY) , may want to take the remaining time to respond as he sees fit. Mr. JAVITS. Mr. President, will the Senator from Minnesota yield? Mr. HUMPHREY. How much time does the Senator need? Mr. JAVITS. Five minutes. Mr. HUMPHREY. I yield 5 minutes to the Senator from New York. The PRESIDING OFFICER. The Sen- ator from New York is recognized for 5 minutes. Mr. JAVITS. Mr. President, I have heard the arguments of the Senator from Idaho with great interest. He took very much the same position before our com- mittee. I hope very much that that po- sition will not be sustained and for the following reasons: We are already making material cuts in foreign aid. Indeed, the Senate's pro- posal is $300 million less than that adopted by the House. We are facing a real issue of morality in this particular situation because we are simply thumb- ing down on foreign aid both absolutely in terms of our own position and rela- tively in terms of the position of other countries, which is almost shameful in terms of the fact that relatively speak- ing we are the major "have" nation when two-thirds of the world are in the "have not" category. I do not believe it is worth the $134 million for the United States to put it- self in the position of incurring more hatred and resentment, which is grow- ing?as we whittle down, and whittle down again with respect to foreign aid? among developing countries in the world. It is growing and I have seen it grow and so has every other Member who has gone to any meeting or conference around the world, including the United Nations, which involves the developing areas of the world, which are mindful of what this relatively affluent Nation of ours is doing with respect to trying to help them out of the morass in which they have found themselves for so many decades. The argument is made to cut it down because it is not effective, when the fact is that this amendment comes at the moment when we are trying totally new criteria with respect to foreign aid. The report on page 4 clearly states: This year, in providing for the continua- tion of a U.S. bilateral program, the Com- mittee has taken determined action to focus our aid efforts more sharply upon the world's poor. Under the provisions in the bill re- S 18381 ported by the Committee, bilateral develop- ment aid would be concentrated, on direct problem-solving, and considerably less em- phasis than in the past would be accorded to large scale capital projects and general pur- pose resource transfers. Funds in the bill would be allocated specifically in categories reflecting the most common and pervasive development problems: food production, rural development, and nutrition; popula- tion planning and health; and education and human resources development. Mr. President, I should like to point out that we are not even talking about $1.2 billion because $376 million is for economic assistance in South Vietnam, Laos, and Cambodia and we can be sure that if this cut is made, it will not come out of those countries, which represent, in essence, defense support?but will come out of the backs of the poorest people on Earth. We have cut down and cut down until today we are responsible, in the public sense, for a fraction of 1 percent, not the United Nations' criterion of the 1 percent to which we ourselves subscribed. I know that, because I made the speech at the United Nations by authority of the President in 1970 when I was a general delegate there. One other point. One of the excuses for cutting down, which we have already done with respect to a bilateral foreign aid program, has been the fact that we are building up and financing an inter- national organization, like the World Bank, the Inter-American Development Bank, the Asian Development Bank. But the fact is that we are not following through on these commitments. One of the crying needs for appropriations is precisely in those particular areas. It only compounds the deplorable situa- tion in which our country would find it- self were it to make this proposed fur- ther cut. and I think this is a conclu- sive argument, we have a new Secretary of State. We have a new posture re- garding foreign policy. We have done our utmost to make a success of our foreign policy. Most of us understand the grave deficiencies in our domestic policy. Let us not make the mistake of putting in danger our progress in foreign affairs by such a shortsighted proposal as this. For these reasons, I believe the com- mittee has done more than enough to accept the conception of an economy that proportionately will make certain that we have a well-planned rather than an undeveloped foreign assistance pro- gram. Mr. AIKEN. Mr. President, I yield my- self 2 minutes. I invite the attention of the Senate to the fact that, as I understand the sec- ond amendment of the Senator from Idaho, it would eliminate the loan re- flow authority. I do not think this is the time when we can cut down on our co- operation with other countries to that extent. We approved an amendment this morning?and the other day, too?which I was not happy about, which puts the squeeze on India, or would if that aniendment were carried out as it might be interpreted. I do not think that countries like In- dia, Bangladesh, and many other coun- Approved For Release 2001/08/30 : CIA-RDP751300380R000600170002-0 S 18382 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ?SENATE October 2, 1973 tries can do the job if our assistance to them is reduced at this time. This $885 million cut which is what the two amendments provide?is pretty heavy?pretty heavy, indeed. I hope the amendment will be rejected. Mr. HUMPHREY. Mr. President? I op- pose this amendment. I opposed the first amendment, which would set a ceiling of $1.l. billion, because it would have the effect Of reducing the authorization in the bill by $134 million. I note again that the Senate's appropriation for the fiscal year 1973 was $1,493,000,000. If we were to adopt this authorization ceiling with- out regard to what the Committee on Appropriations does, that would mean a reduction of $393 million since fiscal 1973, despite the fact that during that period of time inflation has caused a reduction in the value of the dollar. Mr. President, the committee has al- ready cut the administration's request by $376 million. We have acted with the greatest care in trying to economize under this program. The amounts in this bill are already the lowest recommended for these activities in foreign aid since the foreign aid pro- gram began. So we are being prudeni;. I regret that this Chamber is not filled, so that Senators would know that we have done what the Senate has asked us to do. We have cut, and cut deeply. The Senator alleges that Congress is kept in the dark about the use of the re- payments on outstanding development loans. I respectfully suggest that this is simply not true. Not one penny of these funds can be used without passage ct authorization and appropriations bills. Four committees go over this item each year and any one of them can vote to deny the use of these repayments for ad- ditional lending. AID does not get this money auto- matically. It takes specific approval in both the authorizing and the appropria- tions process for these funds to be made available. This is not a process where the wool is pulled over Congress" eyes. Congress has been clearly told by Al]) each year what they plan to do with the money and Congress has consistently given its approval in both the authoriza- tion bill and the appropriations bill. The AID congressional presentation materials clearly show how these funds are to be used?every chart showing the Proposed AID program includes these re- now funds. The facts are fully laid out for anyone who has enough interest to look. The authority for use of the repay- ments on outstanding foreign aid loans for making new loans is nothing new. It has existed since the beginning of the current development loan program. It is entirely proper that these repayments be used for making additional loans. To do so is to use the money for precisely the same purpose for which it was appropriated by Congress in the first place. One final point: If the Senator's amendment is approved it will have the effect of cutting the development loan program approved by the committee by about one-half--a reduction of $251.- 000,000. This would be on top of the 20- percent reduction already made by the committee in the administration's request. The PRESIDENCf OFFICER. The time of the Senator has expired. Mr. HUMPHREY. I yield myself an additional minite. Mr. AIKEN. Mi. President, will the Senator yield? Mr. HUMPHREY, I ,yield. Mr. AIKEN. I might call attention to the fact that 11 we take into considera- tion the devaluitioi of the currency, the cut is much more than it appears to be on paper. Mr. IIIIMPHFEY. Indeed. This amend- ment, if adopted, would amount to a total cut of 35 percent in the program, and we have al rea ly trimmed the pro- gram by almost 26 percent. I believe it ould be unwise for us to accept this amendment or to approve it. This reflow a;ner dment was before the committee, we> argued in committee, was debated in coninittee, and the com- mittee rejectee it I hope the Senate will reject it. Mr. President, I ask unanimous con- sent that the euttorization and appro- priation history foe economic assistance under the Foreign .issistance Act of 1961 and predecessor legislation, including supplementals, be printed at this point in the RECORD, ;Laving exactly what the authorizations ),re, what the appropria- tions are, and the reflow. There being no objection the material was ordered to be printed in the RECORD as follows: AUTHORIZATION AN!) APPROPRIATION HISTORY FOR ECONOMIC ASSISTANCE' VAR THE FOREIGN ASSISTANCE ACT OF 1961 AND PRINCE SSOR LEGISLATION (INCLUDING SUPPLEMENTALS) F SCA.1 YEAR 1948-73 lln mill ices of dollars] Authorize- AU.horized Appropria- Appropri- tie, by tion ated by Fiscal year request' C:c ngress 2 request3 Congress 1948 49 7, 370.) 6 913.0 7, 370. 0 6, 446. 3 1950 4, 280. 3 4 280.0 4, 280.0 3,728, 4 1951 2, 950. 1 2, 762. 5 2, 950. 0 2, 262, 5 1952 2, 197. 3 1 585. 7 2, 197.0 1, 540. 4 1953 2, 475.) 1 894. 3 2, 499. 0 1,782. 1 1954 1, 543. 2 1475. 7 1, 543. 2 1, 301, 5 1955 1, 798. 1 1 571. 9 1, 788. 5 1, 528. 8 1956 1, 812. 8 1 851. 8 1, 812. 8 1, 681. 1 1957 1, 860. 3 1. 815. 1 1, 860. 0 1,749, 1 1958 1, 964. 4 I 786. 9 1, 964. 4 1, 428.9 1999 2, 142. 1 2 070. 6 2, 142. 1 1, 933. 1 1960 2, 330.) 2176. 8 2, 330.0 1,925. 8 1961 2, 875. 3 2, 786. 3 2, 875.0 2, 631, 4 1962 2, 883. 5 2 559. 5 2, 883. 5 2, 314. 6 1963 3, 281. 1 3 074.8 3, 281. 3 2, 573.9 1964 3, 124. 3 2 602. 1 3, 124. 6 2, 000. 0 1965 2, 461. 7 2. 452. 0 2, 461.7 2, 195. 0 1966 2, 704. 5 2 605. 0 2, 704.5 2, 463. 0 196/ 3, 443. 4 2 628.0 2, 469. 0 2, 143. 5 1968 2, 785. 6 2. 165. 0 2, 630. 4 1, 895. 6 1969 2, 554. 2 1. 609.8 2, 498.5 1, 380.6 1970 2, 210. 0 1 624.2 2, 210.0 I, 424.9 1971 2, 093. 7 2. 093.7 2, 008. 0 I, 733. 9 1972 2, 355. 2 1 869.6 2, 355. 2 1,718. 2 1973 4 1, 970. 5 4 6 1. 026. 5 2, 256. 6 6 1, 664. 2 I Adjusted to fiscal year ha: i ; and including executive branch adjustments. Adjusted to fiscal yeer basis. Includes borrowing auth irity (other than for investment guaranties) during Mari hall j Inn period April 1948-52. Includes $984,000,040 authorized in fiscal year 1972 for development assistance prog ams in fiscal year 1973. a Excludes supporting assis`ance and refugee relief assistance (Bangladesh) which we e no authorized in fiscal year 1973. Represents annual rate ci ntained in the continuing resolu- tion (Public Law 93-9; Mar. 8, 1973). Note: Excludes investment guaranty program (borrowing authority and appropria ions) and OPIC. Mr. JAVITS. Mr. President, will the Senator yield for 1 minute, for a question? Mr. HUMPHREY. Mr. President, how much time do I have remaining? The PRESIDING OFFICER. The Sen- ator has 0 minutes remaining. Mr. HUMPHREY. I yield. Mr. JAVITS. I have been reading the editorial opinion in the country. I have before me two editorials from leading newspapers?the Washington Post and the New York Times?one captioned "A Responsible Foreign Aid Policy," the other "Innovative Aid Reform." The new direction of foreign aid has been widely hailed in editorial opinion throughout the country. Does not the Senator feel that it is a sheer construction of good faith. in undertaking a totally new program directed to the most poor and the most dire situation; that because these amendments have been very carefully debated and considered by the commit- tee, the Senate ought to at least,, for this once, abide by our judgment and give this matter a chance? Mr. HUMPHREY. That is my view, of course; but every Senator has a right to modify legislation. I know the views of the distinguished Senator from Idaho. I have a high regard for him personally., publicly, and oflicialy, particularly- in matters that relate particularly to foreign policy. But I feel that his amendments go too far. If this bill had not been reduced, I would say there should be a cut. But we have made a 25- to 26-percent reduction. As the Senator from Vermont has said, if we should accept these amendments, we would, for all practical purposes, wreck this bill. More than that, this money will chine out of the categories that relate to. food production, nuerition, health, education, and training. That would be a sad mis- take. The PRESIDING OFFICER. The time of the Senator has expired. Who yields time? Mr. CHURCH. Mr. President, how much time remains to me? The PRESIDING OFFICER. The Sen- ator from Idaho has 7 minutes. Mr. CHURCEI. Mr. President, I know that the distinguished floor manager of the bill knows the score, and I like to think that I know the score as well.. All the discussion concerning reduc- tions in this program amounts to just so much juggling of figures. The important figure to look at, if one really wants to know whether or not this program is being reduced, is the figure contained in the continuing resolution. That repre- sents the existing level of foreign aid spending. The House bill is 11 or 12 per- cent above the continuing resolution. The Senate bill, as reported by the Commit- tee on Foreign Relations, is 111/2 per- cent below the continuing resolution. It may be that these near-identical per- centages are just coincidental, but I do not think so. The effort here is to pass a bill that will then go to conference, where the dif- ferences in the money amounts will! be Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 October 2, 4PP8oved For ReKtegagiffiRAIChIRABBINIERM0600170002-0 S 18383 split between the two Houses. In that process, we will come out with foreign aid spending preserved at the current level. In other words, the real undertaking here is to keep foreign aid spending at the current level and, if possible, to in- crease it just a bit. Unless my amend- ment is adopted, this is what will hap- pen. If my first amendment is adopted, we will a modest reduction of $134 million, which would likely come out of confer- ence at about $50 million or $60 million. I suggest that it is a very small cut, in- deed. Even though I have long since grown disenchanted with the bilateral aid pro- gram, having concluded that it does serve the goals its advocates proclaim, the case for this amendment can be based solely upon the financial difficul- ties within our own country. The best argument that can be made for it is the fact that we are now suffering through the worst inflation in the century, aggra- vated by enormous Federal deficits which bespeak the urgent need to reduce Fed- eral spending. Here is a place to do it, and to do it in a way that will not bring down either the wrath of the world upon us or cause the collapse of foreign aid. As a matter of ,f act, as I have already pointed out, that program does not amount to $1,234,000,000, the authorized level of this bill. This is only a small part of a total foreign aid program that actu- ally Will -come to between $8 billion and $9 billion this year, when all categories of aid are added together. If Senators wish to make any reduc- tion in the present level of the economic aid program, this amendment represents their opportunity to do it. If they accept the bill as the committee reported it, they will continue foreign aid spending at approximately present levels, once the measure works its way through the legis- lative process. In regard to the second amendment, I suggest the present method of handling reflows does pull the wool over the eyes of Congress. The Senator from Minnestota knows that a quarter billion dollars of returned payments on past loans this year will revert to foreign aid; I submit, however, that most Senators and Mem- bers of Congress do not know this. It is not a line item in any appropriation bill, it is buried in the fine print of the law; It is a way to circumvent the normal process by which Congress scrutinizes public expenditures; it should be stopped. Anyone who believes Congress should undertake to tighten its grip on the Federal purse strings should support this amendment. Those who would give only lip service to that cause, by leaving it to the AID agency to recapture the money and reloan it to foreign governments, support a method that, in effect, circum- vents the Congress. Finally, Mr. President, I wish to say a Word about the new foreign aid program. It does come to us in new wrappings, yet it is still the same program underneath. The wrappings are designed to appeal to our best instincts. Since day-to-day politics are largely determined by the packaging, it may be that the committee version of the aid bill will pass unaltered. However, it is the same old program still, whatever the wrappings. Therefore, I hope the Senate will ap- prove both amendments. Mr. President, I suggest the absence of a quorum. The PRESIDING OFFICER. The re- quest is not in order at this time. Mr. HUMPHREY. Mr. President, may we divide the time on a quorum? Mr. CHURCH. Mr. President, I ask unanimous consent that we may have a call of the quorum and that the time be equally divided between the two sides. The PRESIDING OFFICER. The Sen- ator form Minnesota has all the time re- maining. Mr. HUMPHREY. Mr. President, I sug- gest the absence of a quorum. I am very glad to divide it on that basis with my dear and distinguished friend from Idaho. The PRESIDING OFFICER. The clerk will call the roll. The legislative clerk proceeded to call the roll. Mr. ROBERT C. BYRD. Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. The PRESIDING 0.F.FICER. Without objection, it is so ordered. Mr. ROBERT C. BYRD. Mr. President, I ask unanimous consent that the two votes which were scheduled to begin at the hour of 1:30 p.m. today begin at the hour of 1:45 p.m. today. The PRESIDING OFFICER. Without objection, it is so ordered. Mr. NELSON. Mr. President, I send to the desk an amendment. The PRESIDING OFFICER. Does the Senator from Minnesota yield back his time on the pending amendment? Mr. HUMPHREY. Mr. President, I am sorry. I thought we were finished. I yield back all my time. The PRESIDING OFFICER. The Sen- ator from Wisconsin is recognized. Mr. NELSON. Mr. President, I send to the desk an amendment and ask for its immediate consideration. The PRESIDING OFFICER. The amendment will be stated. The legislative clerk read as follows: At the end of the bill, add the following new. section: PRISONERS OF WAR AND INDIVIDUALS MISSING /N ACTION SEC. 23. (a) The Senate declares that? (1) the families of those 1,300 individuals missing in aotion during the Indochina con- flict have suffered extraordinary torment in ascertaining the full and complete informa- tion about their loved ones who are formally classified as missing in action; (2) United States involvement in the Indo- china conflict has come to a negotiated end with the signing of the Vietnam Agreement in Paris on January 27, 1973, and section 307 of the Second Supplemental Appropriations Act, 1973, requires that "None of the funds herein appropriated under this Act may be expended to support directly or indirectly combat activities in or over Cambodia, Laos, North Vietnam and South Vietnam by United States forces, and after August 15, 1973, no other funds heretofore appropriated under any other Act may be expended for such purpose"; (3) the question of the return of prisoners of war and accounting for individuals miss- ing in action and dead in Laos is covered by article 18 of the Protocol signed by repre- sentatives of the Lao Patriotic Front (Pathet Lao) and the Royal Laotian Government in Vientiane on September 14, 1973 (which im- plements article 5 of the Agreement signed by the Pathet Lao and that government in Vientiane on February 21, 1973, requiring the release of all prisoners "regardless of na- tionality" captured and held in Laos), and paragraph C of such article 18 provides that, Within "15 to 30 days" from the date of the signing of the Protocol, each side is to report the number of those prisoners and individ- uals still held, with an indication of their nationality and status, together with a list of names and any who dies in captivity; and (4) few of the United States men lost in Laos during the military engagements in Indochina have been returned, and with knowledge about many of. these men has yet been fully disclosed, and the North Vietnam cease-fire provisions calling for inspection of crash and grave sites and for other forms of cooperation have not been fully complied with. (b) It is, therefore, the sense of the Senate that? (1) the provisions for the release of prison- ers and an accounting of individuals missing and dead, as provided for in article 18 of the Protocol signed on September 14, 1973, by the Pathet Lao and the Royal Laotian Gov- ernment, be adhered to in spirit and in deed; and (2) the faithful compliance with the spirit of the Laotian Agreement and Protocol on the question of individuals missing in action will encourage all parties in Indochina to cooperate in providing complete information on all nationals of any nation who may be captured or missing at any place in Indo- china. Mr. NELSON. Mr. President, more than 8 months ago representatives of the U.S. Government signed the Vietnam agree.- ment in Paris marking a negotiated end to the Indochina conflict. Soon thereafter, 591 American prison- ers of war rejoined their families after long years of separation. Many of us would like to think that this marked the end to what seemed to be an endless ordeal for the peoples of the United States and Indochina. But that is, unfortunately, just .ot the case. For the families of 1,300 men missing in action in Indochli.a, there is no end to the tormenting questions about their loved ones. A recent development occurred in Vientiane Lao A to give these families new hope, however. On September 14, 1973, the representatives of the Royal Laotian Government and the Lao Patriotic Front?Pathet Lao?signed a protocol pursuant to their agreement of Febru- ary 21, 1973. Article 18, in particular, spells out detailed provisions agreed to by the two Lao parties for release of prisoners and accounting for the missing in Laos. According to an official State Depart- ment analyst of POW/MIA provisions of the Laos Protocol: The language of Article 18 requires the release of all prisoners regardless of nation- ality captured and held in Laos. This would appl. to Lao personnel, to other Indochinese, and, of course, to any Americans. . . . Para- graph C of Article 18 provides that within '15 to 30 days' from the date of signing of the Protocol (September 14) each side is to report the number of those still held, with indication of their nationality and status, to- gether with a list of names of any who died Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18384 Approved For Release 2001/08/30 : CIA-RDP751300380R000600170002-0 CONGRESSIONAL RECORD ? SENATE October 2, 197,1 in captivity.... .f this provision is observed, information on the number of those held, and the list of names of those who died in captivity, should be provided no later then October 14, 1973. Mr. President, we are at a very cruciat juncture in cur long-standing efforts to learn about the fate of the 1,300 men missing in Indochina, some 327 of them in or near Laos. Mr. President, a show of Senate con- cern and resolve is absolutely essential at this stage, The end of the period ofi7 15 h. 30 days from the signing of the pro- tocol on September 14--the time pre- scribed in the protocol when the Laotian parties are to report the number, nation- ality, and status of those men held and the names of any who died in captivity-- is in only a matter of weeks. This amendment, which is really a sense-of-the-Senate resolution, which I am calling un today is an effort to en- courage resolution of the status of the missing in action. It appeals to the well acknowledged humanitarian reputation of the Laotian people. And it is directed to them as a reinforcement of all the un- flagging efforts of those who, with un- derstandable concern, still seek news about their unforgotten loved ones. This resolution, it is further hoped, will also serve as an encouragement for all parties concerned in Indochina to co- operate in providing complete informa- tion to the families of all 1,300 Americans who may be captured or missing any- where in Indochina. Mr. President, I ask unanimous consent that the Senator from Florida (Mr. CHILES) be added as a cosponsor of this amendment. The PRESIDING OFFICER. Without objection, it is so ordered. Mr. NELSON. I also ask unanimous consent that the Senator from Minne- sota (Mr. HUMPHREY), the Senator from Alabama (Mr. ALLEN), and the Senator from Idaho (Mr. CHURCH) be added as cosponsors. The PRESIDING OFFICER. Without objection, it is so ordered. Mr. NELSON. Mr, President, I yield back the remainder of my time. Mr. HUMPHREY. Mr. President, might I ;just ask the Senator a question, on my time? In section 23 of the Sen- ator's amendment he says, "The Senate declares that * * *" I believe the Senator' should change that to, "The Congress declares." Mr. NELSON. That is correct. I modify my amendment to include the word "Congress" for "Senate" in the language. Mr. HUMPHREY. And in one other place there is reference to "Senate." Ii should be changed to "Congress." Mr. NELSON. The Senator is correct. I amend my amendment to use the word "Congress" anyplace where the word "Senate" is used. The PRESIDING OFFICER (Mr. ALLEN). The amendment will be so mod- ified. Mr. HUMPHREY. Mr. President, I want to commend the Senator from Wis- consin for this amendment. There is no subject that is closer to the hearts of the American people with reference to the tragic war in Indochina than what we call the missing in action. We want to make sure that every conceivable effort is made by our Government and other governments, international organiza- tions, to 'ascertain ei hether these men are really missing in. amion, or whether they are prisoners of wax, or whether they are casualties or dead. The purpose of the amendment is quite obvious. It states ::,:aat the families of - 1,300 individual4 are suffering great an- guish here in America because they are not getting any iniormation as to what Is happening to their loved ones. The amendment merels states that faithful compliance with the Laotian agreement and the protocol an individuals missing in action will encourage all parties in In- dochina to cooperate in providing com- plete information en all individuals who may be capture I Or missing at any place in Indochina. I want to thaak the Senator for bring- ing this matter to our attention. I am sure this will be a .sourde of reassurance to the families of the 1,300 Americans who are listed as missing in action: Mr. NELSON. 1 thank the Senator from Minnesota. I think many of the people who hav3 relatives,. sons, or broth- ers who are minsing in action frequently feel that not enough is being done to retain the issue in the public forum for constant reference and pressure. We must continue do whatever we can do to get word and information on all of those missing in action. I ask marlin ous consent that the Very brief amendment, SU modified, be printed in the RECORD at this point. There being no objection, the amend- ment, as modlieci, was ordered to be printed in the REC ORD, as follows: At the end of the bill, add the following new section: PRISONERS OP W IR 1,17.13 INDIVIDUALS MISSING IN ACTION SEC. 23. (e) T1 e Congress declares that? (1) the families ef those 1,300 individuals missing in action during the Indochina con.. filet have suffer Id extraordinary torment In ascertaining the full and complete informa- tion about their loved ones who are formally classified as missing in action; (2) United Stetes Involvement in the Indo- china conflict has come to a negotiated end with the signing of the Vietnam Agreement in Paris on January 27, 1973, and section 307 of the Seco act Supplemental Appropria- tions Act, 1973, requires that "None of the funds herein appropriated under this Act may be expended to support directly or in- directly combal activities in or over Cam- bodia, Laos, Nol th Vietnam and South Viet- nam or off the shores of Cambodia, Laos, North Vietnam and South Vietnam by United States lora s and after August 15, 1973, no other funds heretofore appropriated under any other Act may. be expended for such purpose."; (3) the question of the return of prisoners of war and accounting for individuals miss- ing in action and dead in Laos is covered by article 18 of the Protocol signed by repre- sentatives of the Lao Patriotic Front ? (Pathet Lao) and the I:oyal Laotian Government in Vientiane on Se ptember 14, 1973 (which im- plements articts 5 of the Agreement signed by the Pathet Lao end that government in Vientiane on Ft bruary 21, 1973, requiring the release of all prisoners "regardless of nation- ality" captured and held in Laos), and para- graph C of such article 13 provides that, within "15 to 30 days" from the date of the signing of the Protocol, each side is to report the number of those prisoners and indisiU- uals still held, with an indication of their nationality and status, together with a list of names and any who dies in captivity; end (4) few of the United States men lost in Laos during the military engagements. in Indochina have been returned, and knowl- edge about many of these men has yet been fully disclosed, and the North Vietnam cease-fire provisions calling for inspection of crash and grave sites and for other forms of cooperation hs,ve not been fully complied with. (b) It is there fore, the sense of the Con- gress that? (1) the provisLons for the release of pri- soners and an accounting of individuals missing and dead, as provided for in article 18 of the Prot000l signed on September 14, 1973, by the Pathet Lao and the Royal Lao- tian Government, be adhered to in spirit and indeed; and (2) the faithful compliance with the spirit of the Laotian Agreement and Protocol on the question of Individuals missing in action will encourage sal parties in Indochina to cooperate in providing complete information on all nationals of any nation who may be captured or mLssing at any place in Indo- china. Mr. HUMPHREY. Mr. President, I feel that there is no need for further use of time on this side, because we are Minn concurrence with the amendment of: the Senator from Wisconsin. Therefore, I yield back all time on this side. Mr. NELSON. I yield back my time. The PRESIDING OFFICER. All time having been yielded back, the question is on agreeing to the amendment of the Senator from Wisconsin, as modified. The amendment, as modified, . was agreed to. Mr. ROBERT C. BYRD. Mr. Presi- dent, I ask unanimous consent that It be in order to order the yeas and nays on both Church amendme:nts at this time with one show i)f seconds. The PRESIDING OFFICER. Is there objection? Without objection, it is so ordered. Mr. ROBERT C. BYRD. I ask for the yeas and nays. The yeas and nays were ordered. Mr. HUMPHREY. Mr. President, I am waiting for the Senator from Indiana, who, I believe, is on the way and has an amendment that he wishes to be brought up. I do not know whether any other Senator at this point has an amendment he wants to bring up. May I suggest, therefore, on the time on the bill?We still have considerable time left-- The PRESIDING OFFICER. One hour on each side. Mr. HUMPHREY. Mr. President, I sug- gest the absence of a quorum, with the time equally divided. The PRESIDING OFFICER. Is there objection? The Chair hears none, and it Is so ordered. The clerk will call the roll. The legislative clerk proceeded tei call the roll. Mr. HARTKE. Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. The PRESIDING OierfCrat (Mr. NuelN). Without objection, it is so or- dered. Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 October 2, MY? ved For ReamacIsym9asygweBogimpo600170002-0 Mr. HARTKE. Mr. President, I send to the desk my amendment, No. 502, as modified, and ask that it be stated. The PRESIDING OkteiCER. The clerk will report the amendment. The legislative clerk proceeded to state the amendment. Mr. HARTKE.. Mr. President, I ask unanimous consent that further reading of the amendment be dispensed with. The PRESIDING 010/0.1.CER. Without objection, it is so ordered. The amendment, as modified, is as fol- lows: At the end of the bill, add the following new section: INTERNATIONAL NARCOTICS CONTROL "Sm. 23. Chapter 8 of the Foreign Assist- ance Act of 1961 (22 U.S.C. 2291) as amended, relating to international narcotics control, is further amended (1) by inserting in section 481 "(a)" imme- diately after "INTERNATIONAL NARCOTICS CONTROL.?"; (2) by inserting in section 481 "(b) imme- diately after the first sentence and before the beginning of the second sentence which reads, "In order to promote"; (3) by striking out of section 431 the fourth sentence to the end which begins with "The President shall suspend" and inserting in lieu thereof: "(c) The President (or his delegate) shall cause to be suspended all foreign assistance, tangible or intangible, including but not limited to gifts, loans, credit sales, or guar- antees to each country, except as provided in (b) of this section, when such aid is rejected by the Congress in accordance with subsection (b) of section 482 of this chapter."; (4) by striking "Sze. 482.", and inserting in lieu thereof "SEC. 483."; (5) by inserting the following: "Ssc. 482. (a) The President shall make an affcrmative finding that a country is taking adequate Steps, as set forth in (c) of this section, to control the production, dis- tribution, transportation, and manufacture of opium and its derivatives within ninety days of the enactment of this section and each year thereafter, which finding shall be submitted to the Congress the first day of June of each year. "(b) Within ninety days following the submission of such affirmative findings, the Congress may adopt a concurrent resolution rejecting such findings as to any or all coun- tries, whereupon the President shall imme- diately suspend all foreign assistance to slick' country in accordance with section 481 of this chapter. "(c) The Secretary of State, after coordina- tion and consultation with all other depart- ments or agencies involved with the control of the production, distribution, transporta- tion, and manufacture of opinion and its derivatives, shall set forth those measures which constitute a good faith effort to con- trol illicit opium and its derivatives. Such measures may reflect the individuality of a country, but shall include the following: "(1) the enactment of criminal laws con- trolling the production, distribution trans- portation, and manufacture of opium and its derivatives; "(2) the establishment of a viable agency to enforce criminal laws controlling the pro- duction, distribution, transportation, and manufacture of opium and its derivatives; "(3) the vigorous enforcement of criminal laws controlling the production, distribution, transportation, and manufacture of opium and its derivatives; "(4) the full cooperation of such country with all 'United States departments or agencies involved in the interdiction of the supply of illicit opium, and its derivatives, into the United States; "(5) the establishment of border proce- dures for the interdiction of opium and its derivatives, out of or into such country; "(6) the destruction of all illicit opium and its derivatives after its evidentiary use has expired; and "(7) the establishment of detailed proce- dures for the control of all legal production, transportation, distribution, or manufac- ture of opium and its derivatives.". Mr. HARTKE. Mr. President, I am to- day raising an amendment to the foreign assistance bill to prohibit foreign assist- ance to those countries which refuse to take adequate measures to end illicit opium production. Mr. President, section 481 of the Foreign Economic Assistance Act au- thorizes the President to suspend mili- tary and economic assistance to those nations which he determines lave not taken adequate steps to suppress dan- gerous drugs. The President fully em- braced this responsibility on September 18, 1972, when, he proclaimed? Any government whose leaders participate in or protect the activities of those who contribute to our drug problem should know that the President of the United States is required by statute to suspend all Ameri- can economic and military assistance to such a regime. I shall not hesitate to com- ply fully and promptly with that statute. Apparently the President feels that there are no nations which continue to be lax in their control of heroin and other related hard drugs. And he most certainly must not suspect that some governments are completely ignoring drug traffic. The Congress, however, knows better. The existing situation de- mands a clear formulation of the intent of Congress in the Foreign Assistance Act if we are to be conscientious in our effort to end the drug problem in America. Congressional study and journalistic research have brought forth incontra- vertable evidence that a number of governments are simply not complying with the requests of the -U.S. Govern- ment to vigorously suppress drug traffic. Yet no action has been taken by the President. Mr. President, I ask unanimous con- sent that the July 1973 report of a spe- cial study mission entitled "The Nar- cotics Situation in Southeast Asia," sub- mitted to the House of Representa- tives' Committee on Foreign Affairs by the Honorable Lester L. Wolff, be printed in the RECORD following my remarks. The White House denies that their pro- gram of piecemeal efforts is insufficient, claiming that there have been "im- portant breakthroughs and huge seiz- ures." These huge seizures amount to confiscating 29 tons of opium in Laos, South Vietnam, and Thailand. In the face of the total production of illicit opium in this area, the seizures amount to only 3 or 4 percent. Mr. President, Congress gave the pow- er to terminate economic and military assistance to the President only because we know that customs agents and border patrols cannot singlehandedly reduce S 18385 smuggling of heroin. A General Account- ing Office report stated, in reference to customs operations, that? Although these efforts may deter amateurs and small-scale smugglers they have not had and probably cannot have any real impact on the organized groups engaged in large- scale heroin smuggling. Customs does act as a strong deterent, but it simply cannot stop the main bulk of heroin reaching the streets of Amer- ica, addicting our citizens, filling the cof- fers of organized crime, and accounting for nearly half of the crimes committed in our cities. Profits in the drug trade are enormous. A $100,000 investment by stateside financiers can yield $2 million within 6 months; 10 or 15 tons of heroin, originally costing $5 million will take a turnover for American dealers of $9.8 billion. With profits as high as this, as long as there is a source and a reason- ably safe route of transit, there will most assuredly be successful smuggling of heroin into the United States to feed the veins of American addicts. The logic behind section 481 of the Foreign Assistance Act was to stop her- oin at its source. Perhaps the flaw in our legislation has been that the President alone is left to decide whether or not a government's cooperation has been ade- quate. As we know, there are many coun- tries in violation of the intent of Con- gress. Yet, section 481 of the Foreign As- sistance Act of 1961 leaves the President to decide which governments are taking adequate steps to control the illicit pro- duction, transportation, and manufac- ture of opium and its derivatives. Gen. Lewis W. Walt, USMC retired, as head of Special Task Force on the World Drug Situation, stated that Southeast Asia is providing 10 or 15 per- cent of the total drug traffic coming into this country. Because of Its tremendous potential, however, Southeast Asia could eventually replace Turkey as the largest producer of opium in Asia with approxi- mately 400 tons. Laos, however, ac- counted for nearly 100 tons, and Thai- land for almost 200 tons annually. Ac- cording to the State Department, heroin imports from Southeast Asia's "golden triangle" to the United States doubled from 1969 to 1971. These countries not only produce opium, but are the homes for many of the laboratories which con- vert opium into the more valuable and much deadlier commodity?heroin. General Walt went on to say that, We know as a certainty that a lot of opium entering the illicit market is grown in the "golden triangle," or in Turkey, Iran, Af- ghanistan, Pakistan, and Mexico. The Turkish Government has taken decisive action in banning all opium pro- duction after 1972. This should effec- tively dry up Turkish sources. Mexico is the source of approximately 10 percent of the heroin smuggled into the United States and id the route of transit of 15 percent. The Mexican Government has established penalties under the agrarian reform law for those who plant or per- mit the planting of opium. Penalties in- clude confiscation of land and livestock. In addition, 'they have mobilized 10,000 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 ? S 18386 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ? SENATE October 2, 1973' troops for antidrug operations, destroy- ing more than 2,500 hectares of poppy fields. Mr. President, Michel Lamberti, co- author of a book on heroin, has written: Any underdeveloped country with a large unemployed labor force can start production. This could be the case, say for various South American countries. If we are to deter these undereievel- opeci countries from realizing their po- tential as opium producers and distribu- tors, we must act boldly and decisively? Some have suggested paying subsidies to those foreign farmers who agree not to grow opium as we have done in Turkey. But from the Washington Post of Febru- ary 18, 1973, American financial contributions to Tur- key as part of the considerable political pres- sure to stop the cultivation of the opium poppy after 1972, offers no encouragement, to other opium producing countries. Turkish authorities had estimated that stopping opium production would cost the country 432 million dollars: United States contribu- tions have amounted to 35 million dollars. Obviously, the cost of such subsidies to fully pay for opium produced in all coun- tries would become extreme. Threats to begin production by those countries not now engaged might also become corn- monplace. We would be paying a tribute to tyranny?the tyranny of drug traf- fickers. The only practical and honorable deterrent to illicit opium production and sales is the .Imposition of penalties on those nations which refuse to cooperate. And the only penalty we can impose on a sovereign nation is the removal of Amer.. lean assistance. This line of reasoning was accepted by Congress when it gave the power of suspending foreign aid to countries not taking adequate steps to end illicit drug traffic to the President last year. By enacting the pending amendment, We will be serving notice to organized crime and governments which have not taken vigorous action against drug traffic that we will no longer tol- erate the financial human or social costs that illicit drugs have brougth to our people. Let me explain what my amendment does. Under my proposal, the President shall annually make an affirmative find- ing that a country is taking adequate steps to control the production, distribu- tion, transportation, and manufacture of opium and its derivatives. The affirma- tive finding shall be submitted to the Congress, which may by concurrent reso- lution reject the finding as to any coun- try. All foreign assistance will then be suspended to that country. My proposal calls upon the Secretary of State to set forth those measures which constitute a good faith effort to control illicit opium and its derivatives. Those measures may reflect the individ- uality of the country, but shall include: First. The enactment of criminal laws controlling the production, distribution, transportation, and manufacture of opium and its derivatives; Second. The establishment of a viable agency to enforce those criminal laws; Third. The vigorous enforcement of those criminal laws; Fourth. The full cooperation of such country with all U.S. departments and agencies involve-i in the interdiction of the supply of Mint opium and its deriva- tives into the United States; Fifth. The e3tablishment, of border procedures for toe interdiction of opium and its derivatiaes, out of or into such country; Sixth. The destruction of all illicit opium and its cerivatives after its evi- dentiary use has expired; and Seventh. The establishment of de- tailed procedures for the control of all legal productior, , tiansportation, distri- bution or manufacture of opium and its derivatives. I have modiiied my amendment to clarify a questionable interpretation of when foreign assistance is to be sus- pended to each country not taking ade- quate steps to control illicit opium. Under my amendment as modified, subsection (c) of section 481 will read: (c) The Presidont (or his delegate) shall cause to be suspended all foreign assistance, tangible or intangible, including but not limited to gifts, loans, credit sales, or guar- antees to each country, except as provided in (b) of this section, when such aid is re- jected by the Congress in accordance with subsection (b) of section 482 of this chapter. This clarifies my amendment, and makes it clear that no aid will be sus- pended to any country under my amend- ment unless Congress by concurrent res- olution rejects the President's finding of fact that adequate steps are being taken to control illicit viten. My amendment does not cut off assist- ance to any country, but will result in a studied effort to determine which coun- tries are seriously attempting to control the illicit flow narcotics. Further, Mr. President, I would like to explain the technical changes of my amendment to ihe existing law. I believe that once my o.)11eagues understand the legal ramifications of my amendment, they will support it as a clear expression of the intent oi Congress to the admin- istration of thie country in the conduct of their foreign policy. Section 481 will be divided into sub- sections. The fast subsection expresses the sense of Congress to be full and ef- fective international cooperation to end the illicit production, smuggling, traf- ficking in, and ;ileum of dangerous drugs. The second sibsection will begin with the second sentence and authorizes the President to conclude agreements with other countries to facilitate the control of production:processing, transportation and distribution of narcotics and danger- ous drugs. My amendmant then strikes the re- mainder of sec don 481, which states: The President ihall suspend economic and military assistanu) furnished under this or any other act, and shall suspend sales under the Foreign Mil :tory Sales Act and under title I of the Agricultural Trade Develop- ment and Assist atm Act of 1954, With re- spect to any country When the President de- termines that tho government of such coun- try has felled to take adequate steps to pre- vent narcotic dmgs and other controlled substances (as d( fined by the Comprehensive Drug Abuse Prevention and Control Act of 1970) produced or processed, in whole or in part, in such country, or transported through such country, from icing sold illegally with- in the jurisdiction of such country to United States Government personnel or their de- pendents or from entering the United States unlawfully. Such suspension shall continue until the Persident determines that the gov- ernment of such country has taken adequate steps to carry out the purposes of this chap- ter.", and inserts in lieu thereof the follow- ing: (c) The President (or his delegate) shall cause to be suspe:adecrall foreign assistance, tangible or intangible, including but not lim- ited to gifts, loans, credit sales, or guaran- tees to every country, except as provided in (b)?(which is the provision of aid to coun- tries for the control of illicit substances) of this section and section 482 of this chapter. My proposal then inserts a new sec- tion 482 which calls upon the President to make an affirmative finding that a country is taking adequate steps to control the production, distributien, transportation and manufacture of opium and its derivatives within 90 days of the enactment of this bill, and each year thereafter, which finding will be submitted to the Congress the first clay of June of each year. The Congress may then adopt a con- current resolution rejecting the Presi- dent's findings as to any or all countries, whereupon the President shall immedi- ately suspend all foreign assistance to such country designated by the concur- rent resolution. This establishes a part- nership between the President and Con- gress which will allow for the Congress to perform their constitutional oversight responsibility, and set forth to the coun- tries engaged in illicit opium trade that the U.S. Government will no longer sup- port their government while they con- done conduct denigrating to the United States. For several years, I have been actively seeking legislation winch would reduce the flow of narcotics into the United States. I am again introducing an amendment to the Foreign Assistance Act which clarifies the posture of the U.S. Clovernment in international nar- cotics control. A similar amendment was passed by the Senate last year. Mr. President, my proposal does not engage in foreign policy, but merely sets forth the intent of Congress to the Presi- dent that unless countries are as con- cerned about the illicit flow of narcotics as is the United States, this; country should not support their endeavors while they bankrupt the fabric of America. My amendment is not a cure-all for the drug problem in the United States. It is a positive beginning by the Con- gress to tell the world and the adminis- tration that we are tired of rhetoric. And it tells addicts that we care and want to help. ' Mr. HIIMPIIREY. Mr. President, I have discussed the amendment with the Senator and with the ranking minority member, the Senator from Vermont (Mr. AIKEN). While section 481 of the Foreign As- sistance Act presently requires the Pres- ident to cut off aid to any country which does not take effective steps to control international traffic in narcotics, the amendment is a sound amendment. I understand that the Senator's amend- ment tightens up that section and re- quires affirmative action on the part of the President. Mr. HARTICE. The Senator is correct. Approved For Release 2001/08/30: CIA-RDP75600380R000600170002-0 L. Approved For Release 2001/08/30 ? O CIA-RDP7511811Q88AIR000600170002-0 .0 ctober 2, 1973 CONGRESSIONAL ItECORD ? SELNIAT.U, It makes sure that the President will take affirmative action. Mr. HUMPHREY. Mr. President, this is an amendment that is more than acceptable. It gets at a very tough prob- lem on the narcotics scene. It strength- ens the hands of the President at home in enforcing narcotic legislation. If the Senator would yield back the re- mainder of his time, I would be glad to yield back the time on this side and accept the amendment. Mr. HARTKE. Mr. President, / learned long ago that whenever there Is a spirit of cooperation on the other side, one should not push his luck. I yield back the remainder of my time. Mr. HUMPHREY. Mr. President, I yield back the remainder of my time, and I thank the Senator from Indiana. The PRESIDING OFFICER. All time has been yielded back. The question is on agreeing to the amendment, as modi- fied, of the Senator from Indiana (put- ting the question). The amendment, as modified, was agreed to. Mr. HARTKE. Mr. President, I thank the manager of the bill for accepting the amendment. I think that this is action of which he will be extremely proud. Mr. HUMPHREY. Mr. President, I thank the Senator very much. Mr. President, I suggest the absence of a quorum. The PRESIDING OrriCER. The clerk will call the roll. The legislative clerk proceeded to call the roll. Mr. JACKSON. Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. The PRESIDING OFFICER. Without objection, it is so ordered. The hour of 1:45 p.m. having arrived, pursuant to the previous order, the Sen- ate will now proceed to vote on the first Church amendment. On this question the yeas and nays have been ordered, and the clerk will call the roll. The legislative clerk called the roll. Mr. ROBERT C. BYRD. I announce that the Senator from Indiana (Mr. BAYH) , the Senator from Utah (Mr. Moss) ,the Senator from Mississippi (Mr. Simms) , and the Senator from Wyo- ming (Mr. McGEE) are necessarily absent. Mr. GRIFFIN. I announce that the Senator from Kansas (Mr. DOLE) is necessarily absent. I further announce that the Senator from Arizona (Mr. GOLDWATER) is de- tained on official business. I also announce that the Senator from Kansas (Mr. PEAssow) is absent because of illness. I further announce that, if present and voting, the Senator from Arizona (Mr. GOLDWATER) and the Senator from Kansas (Mr. DOLE) would each vote "nay." The result was announced?yeas 46, nays 47, as follows: [No. 450 Leg.] YEAS-46 Abourezk Burdick Chiles Allen Byrd, Church Bentsen Harry F., Jr. Clark Bible Byrd, Robert C. Cranston Biden Can non Eagleton Eastland Hughes Nunn Ervin Johnston Pastore Fulbright Long Pell Gravel Magnuson Proxmire Gurney Mansfield Randolph Hartke McClellan Schweiker Haskell McClure Scott, Hatfield McGovern William L. Helms McIntyre Symington Hollings Montoya Talmadge Huddleston Nelson Weicker NAYS-47 Aiken Fong Percy Baker Griffin Ribicoff Bartlett Hansen Roth Beall Hart Saxbe Bellmon Hathaway Scott, Hugh Bennett Hruska Sparkman Brock Humphrey Stafford Brooke Inouye Stevens Buckley Jackson Stevenson Case Javits Taft Cook Kennedy Thurmond Cotton Mathias Tower Curtis Metcalf Tunney Domenici Mondale Williams Dominick Muskie Young Fannin Packwood NOT VOTING-7 Ba,yh McGee Stennis Dole Moss Goldwater Pearson So Mr. CHURCH'S amendment was re- jected. Mr. CHURCH. Mr. President, I move that the vote by which the amendment was rejected be reconsidered. Several Senators addressed the Chair. Mr. JAVITS. Mr. President, I make the point of order that the Senator from Idaho, having voted in the affirmative, and the affirmatives having lost, he is not In a position to move to reconsider. . The PRESMING OFFICER (Mr. BARTLETT) . The Senator from Idaho, not having voted on the prevailing side, is not eligible to make the motion to recon- sider. Mr. HUMPHREY. Mr. President, let us proceed with the next vote. Mr. HUGH SCOTT. Mr. President, I call for the regular order. Mr. CHURCH. Mr. President, I change my vote to "no" and move that the vote by which the amendment was rejected be reconsidered. Several Senators addressed the Chair. Mr. HUGH SCOTT. Mr. President, I call for the regular order. Mr. MANSFIELD. Mr. President, I ask for the yeas and nays. Mr. JAVITS. Mr. President, the vote has been announced. I make the point of order that the vote has been an- nounced and that the motion is there- fore not in order. The PRESIDING OFFICER. The Sen- ator from New York is correct. The question now before the Senate is on agreeing to the second amendment of the Senator from Idaho (Mr. CHURCH) . On this question the yeas and nays have been ordered and the clerk will call the roll. The assistant legislative clerk called the roll. Mr. ROBERT C. BYRD. I announce that the Senator from Mississippi (Mr. STENNIS) , the Senator from Indiana (Mr. BAYH ) , the Senator from Utah (Mr. Moss), and the Senator from Wyo- ming (Mr. McGEE) , are necessarily ab- sent. Mr. GRIFFIN. I announce that the S 18387 Senator from Kansas (Mr. DOLE) , is necessarily absent. I further announce that the Senator from Arizona (Mr. GOLDWATER) is de- tained on official business. I also announce that the Senator from Kansas (Mr. PEARSON) is absent because of illness. I further announce that, if present and voting, the Senator from Arizona (Mr. GOLDWATER) , and the Senator from Kansas (Mr. DOLE) would each vote "nay." The result was announced?yeas 68, nays 25, as follows: Abourezk Allen Baker Bartlett Bentsen Bible Biden Brock Buckley Burdick [No. 451 Leg.] YEAS-68 Eagleton Eastland Ervin Fannin Fulbright Gravel Gurney Hansen Hartke Haskell Byrd, Hatfield Harry F., Jr. Helms Byrd, Robert C. Hollings Cannon Case Chiles Church Clark Cook Cotton Cranston Curtis Domenici Dominick Aiken Beall Bellmon. Bennett Brooke Fong Griffin Hart Hathaway Bayh Dole Goldwater Hruska Huddleston Hughes Inouye Jackson Johnston Long Magnuson Mansfield Mathias McClellan NAYS-25 Humphrey Javits Kennedy Muskie Percy Ribicoff Scott, Hugh Sparkman Stafford NOT VOTING-7 McClure McGovern McIntyre Metcalf Mondale Montoya Nelson Nunn Packwood Pastore Pell Proxmire Randolph Roth Saxbe Schweiker Scott, William L. Symington Talmadge Weicker Young Stevens Stevenson Taft Thurmond Tower Tunney Williams McGee Moss Pearson Stennis So Mr. CHURCH'S amendment was agreed to. Mr. CHURCH. Mr. President, I move to reconsider en bloc the votes by which the last two amendments were agreed to. Mr. PASTORE. I move to lay that mo- tion on the table. Mr. JAVITS. Mr. President, what is the motion? The PRESIDING OFFICER. The mo- tion is to reconsider en bloc the votes by which the last two amendments were agreed to. The motion to lay on the table was agreed to. MESSAGES FROM THE PRESIDENT Messages in writing from the President of the United States submitting nomina- tions were communicated to the Senate by Mr. Hefting, one of his secretaries. EXECUTIVE MESSAGES REFERRED As in executive session, the Presiding Officer (Mr. BARTLETT) laid before the Senate messages from the President of the United States submitting sundry nominations, which were referred to the appropriate committees. Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18388 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ? SENATE October 2, 1973 (For nominations received today, see the end of Senate proceedings.) MESSAGE FROM THE HOUSE A message from the House of Repre- sentatives,-by Mr. Berry, one of its read- ing clerks, announced that the House had passed, without amendment, the fol- lowing bills of the Senate: :3. 84. An act for the relief of Mrs. Naoyo. Campbell; S. 89. An act for the relief of Kuay Ton Chang (Kuay Hong Chang); and S. 396. An act for the relief of Harold C. and Vetra L. Adler, doing business as the Adler Construction Co. The message also announced that the House had agreed to the report of the committee of conference on the disagree- ing votes of the two Houses on the amendment of the Eouse to the bill (S, '795) to amend the National Foundation on the Arts and the Humanities Act of 1965, and for other purposes. The message further announced that the House had agreed to a concurrent resolution (H. Con. Res. 321) providing for adjournment of the House from Thursday, October 4, 1913, to Tuesday. October 9, 1973, in which it requested the concurrence of the Senate. fl FC)REIGN ASSISTANCE ACT OF 1973 The Senate continued with the consid- eration of the bill (S. 235) to amend the Foreign Assistance Act of 1961, and for other purposes. AMENDMENT NO, 567 Mr. FLTLERIGHT. Mr. President, I call up my amendment No. 567. The PR:ESIDING OFFICER. The amendment will be stated. The assistant legislative cleric pro- ceeded to read the amendment. Mr. FLTLBRIGHT. Mr. President, I ask unanimous consent that further reading of the amendment be dispensed with. The PRESIDING OFFICER. Without objection, it is so ordered; and, without objection, the amendment will be printed in the RECORD. The amendment is as follows: Strike out all after the enacting clause and insert in lieu thereof the following: That this Act may be cited as the "Foreign Assistance Act of 1073". DEVELOPMENT LOAN FUND Sec. 2. Tithe 1 of chapter 2 or part :1 of the Foreign Assistance Act of 1961 is amended is follows: i 1) In section 202(a), relating to author- ization? (A) immediately after "fiscal year 1972," strike out "and"; (13) immediately after "fiscal year 1973," Insert "$125,000,000 for each of the fiscal years 1974 and 1975,"; (C) immediately after "June 30, 1972," strike out "and"; and ID) immediately after "June 30, 1973," insert "June 30, 1974, and June 30, 11175,". (2) In section 203, relating to fiscal pre- visions, strike out "for the fiscal year 1970, for the fiscal year 1971, for the fiscal year 1972, and the fiscal year 1973" and insert in lieu thereof "for the fiscal years 1E14 and 1975". TECHNICAL COOPERATION AND DEVELOPMENT GRANTS SEC. 3. Title coa chapter 2 of part I of the Foreign Asst ;tan :ye Act of 1961 is amended iS f011OWS : (1) In sectiori 21. I. (a), relating to general authority, in the last sentence immediately after the word "assistance'', insert the word "directly". (2) In section 211. relating to authoriza- tion, strike out "$175,000,000 for the fiscal year 1972, and $175,1100,000 for the fiscal year 1973" and insert in :tell thereof "$100,000,000 for each pf the ;local years 1974 and 1975". (3) Section :114, relating to American schools and hospitas abroad, is amended by striking out suosections (c) and (d) and inserting in lieu tlie reef the following: "(c) TO carry out the purposes of this sec- tion there are antherized to be appropriated to the President for the fiscal year 1974, $19,- 000,000, which LEGO' sat is authorized to re- main available until expended. "(d) There are authorised to be appro- priated to the Presieent to carry out the pur- poses of this settee, in addition to funds otherwise availeble for each purposes, for fiscal year 1974, $1,500,000 en foreign cur- rencies which the Secretary of the Treasury determines to be is ceess to the normal re- quirements of the United States. "(e) On or before the termination of thirty days after the convening of the sec- ond regular session of the Ninety-third Con- gress, the Secretary of State shall submit to the Congress, fer consideration in. connec- tion with Deparaneet of State authorization legislation, such rectinuinendations as he con- siders desirable for assistance to schools, libraries, and hospital centers for medical education and research, outside the United States, foundee. CD sponsored by United States citizens and serving on study and demonstration centers for ideas and practices of the United Slate,.." MOD SING GUARANTIES SEC. 4. Title 311 cf chapter 2 of part I of the Foreign Ass': itan oe Act c.f 1961 is amended as follows: (1) In section 221, relating to worldwide housing guarantees, strike out "$2054)00,000" end insert in lieu thereof "$349,900,000". (2) In section 223(1), relating to general provisions, strike out "June 30, 1974" and in- sert in lieu theieof "June 30, 1975". ALLIAIIVE POR PROGRESS SEC. 5. Section 212 of the Foreign Assist- ance Act of 1961, relating to authorization, is amended as follows (1) In sub,see eon ;a)? (A) strike out ";'or the fiscal year 1972, $295,000,000, and for the fiscal year 1973, $295,000,000" and insert in lieu thereof "for each of the fiscal years 1974 and 1975, $150,- 000,000"; and (B) strike out "$88,500,000 for each such fiscal year" and inta it in lieu thereof "$50,- 000,000 for each sue a fiscal year". (2) Strike out subsection (b) and insert in lieu thereof the following: "(b) There are ? itthorized to be appro- priated U. the Prealeent for each of the fiscal years 1974 and 1971., $900,000 for grants to the National AS30Ci ttion of the Partners of the Alliance, Incorporated." PROGRAMS RELAT ENG 50 POPULATION GROWTH SEC. 6. Section 292 of the Foreign Assist- ance Act of 1961, relating to authorization, is amended. by i trik big out "1972 and 1973" and inserting in lieu thereof "1974 and 1975". INTERNATIONAL CMGs NATIO NEI AND PROGRAMS SEC. 7. Section 302 of the Foreign Aiisist- ance Act of 196:. is autencic,d as follows: (1) In subseceion ;a), relating to author- ization, strike out 'for the fiscal year 1972, $138,000,000 and fOr the fiscal 'year '1973, $138,000,000" and insert in lieu thereof "for each of the fiscal years 1974 and 1975, $120,- 000,000". (2) Subsection (b) (2), relating to Indus Basin Development grants, strike out. "for use in the fiscal year 1972. $15,000,000, and for use in the fiscal year 1973, $15,000,000" and insert in lieu thereof "for US5 in each of the fiscal years :1974 and 1975, $14,000,000". CONTINGENCY FUND Sac. 8. Section 451(a) of the Foreign As- sistance Act of 1961 is amended by striking out "for the fiecal year 1972 not to exceed $30,000,000, and for the fiscal year 1973 not to exceed $30,000,000" and insert in lieu thereof "for each of the fiscal years 1974 and 1975, not to exceed $23,500,000". 1NTEANATIONAL NAR.CCTICS.GONTROL SEC, 9. Section 482 of the Foreign Assist- ance Act of 1961, relating to authorization, is amended by striking out "$42,500,000 for the fiscal year 1973, winch amount is" and inserting in lien thereof "$40,000,000 far the fiseal year 1974, and $30,500,000 for the fiscal year 1975, which amounts are". PROHIBITIONS AGAINST FURNISHING ASS/STANCE SEC. 10. The rest full paragraph of section 623(e) (1) of the Foreign Assistance Act of 1961 is amended by striking out "no other provision of this Act Ethan be construed to authorize the President to waive the provi- sions of this subsection." and inserting in lieu thereof "the provisions of this subsection shall not be waived with respect to any country unless the President determines and certifies that such a waiver is important to the national ineerests of the United States. Such certification shall be reported imme- diately to Congress." EMPLOYMENT OF 1.515SONN5L SEC. 11. Sect:.on 625 of the Foreign As- sistance Act of 1961 is amended by adding at the end thereof the following new sub- section: "(k) (1) In accordance with such regula- tions as the President may prescribe,, the following categories of personnel who serve In the agency primarily responsible for ad- ministering part I of this Act shall become participants in the Foreign Service Retire- ment and Disability System: "(A} a persen serving under unlimited appointments M. employment subject to sub- section (d) (2) of this section as Foreign Service Reserve officers and as Foreign Service stall' officers and employees; and "(13) a person serving in a position to which he was appointed by the President, whether with or without the advice and con- sent of the Senate, if (Li such person shall have served previously under art unlimited appointment pursuant to such subsection (d) (2) or a comparable provision of pred- ecessor legislation to this Act, and (ii) fol- lowing service specified in clattse (1) of this subparagraph, such person shall have served continuously with such agency of its pred- ecessor agencies only in poetitions estab- lished under the, authority of sections 624(a) anod 631(b) or comparable provisions of pred- ecessor legislation to this Act. "(2) Upon becoming a participant in the Foreign Service Retirement and Disability System, any such officer or employee shall make a special contribution to the Foreign Service Retirement and Disability Fund in accordance with the provisions of section. 852 of the Foreign Service Act of 1946, as amend- ed. Thereafter, compulsory contributions will be made with respectsto each such participa- ting officer or employee in accordance with the previsions of section 011 of -the Foreign Serii ice Act of 1946, as amended. "(3) The pros isions of section 636 and title VIII of the Foreign Service Act of 1946, as Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 ? ? ? Approved For Release 2001/08/30 ? ClArRDP751800380R0006001 CONGRESSIONAL RECORD ? October 2, 19p proved SENATE ? amended, shall apply to participation in the Foreign Service Retirement and Disability System by any such Officer or employee. "(4) If an officer who becomes a partici- pant in the Foreign Service Retirement and Disability System under paragraph (1) of this subsection is appointed by the President, by and with the advice and consent of the Senate, or by the President alone, to a po- sition in any agency of the United States Government, any United States delegation or mission to any international organization, in any international commission, or In any in- ternational commission, or in any interna- tional body, such officer shall not, by virtue of the acceptance of such an appointment, lose his status as a participant in the system. "(5) Any such officer or employee who be- comes a participant in the Foreign Service Retirement and Disability System under paragraph (1) of this subsection shall be mandatorily retired (A) at the end of the month in which he reaches age seventy, or (B) earlier if, during the third year after the effective date of this subsection, he attains age sixty-four or if he is over age sixty-four; during the fourth year at age sixty-three; during the fifth year at age sixty-two; during the sixth year at age sixty-one; and there- after at the end of the month in which he reaches age sixty. However, no participant shall be mandatorily retired under this para- graph while serving in a position to which appointed by the President, by and with the advice and consent of the Senate. Any par- ticipant who completes a period of author- ized service after reaching the mandatory re- tirement age specified in this paragraph shall be retired at the end of the month in which such service is completed. "(6) Whenever the President deems it to be in the public interest, he may extend any participant's service for a period riot to ex- ceed five years after mandatory retirement date of such officer or employee. "(7) This subsection shall become effec- tive on the first day of the first which begins More than one year after the date of its enactment, except that any officer or em- ployee who, before such effective date, meets the requirements for participation in the Foreign Service Retirement and Disability System under paragraph (1) of this subsec- tion may elect to become a participant be- fore the effective date Of this subsection. Such officer or employee shall become a par- ticipant on the first day of the second month following the date of his application for earlier participation. Any officer or employee who becomes a participant in the system un- der the provisions of paragraph (1) of this subsection, who is age fifty-seven or over on the effective date of this subsection may retire voluntarily at any time before manda- tory retirement under paragraph (5) of this subsection and receive retirement benefits under section 821 of the Foreign Service Act of 1946, as amended. "(8)' Any officer or employee who is sepa- rated for cause while a participant in the Foreign Service Retirement and Disability System pursuant to this subsection shall be entitled to benefits in accordance with sec- tion 637 (b) and (d) of the Foreign Service Act of 1946, as amended. The provisions of subsection (e) of this section shall apply to participants in lieu of the provisions of sections 633 and 634 of the Foreign Service Act of 1946, as amended." ADMINISTRATIVE EXPENSES SEC. 12. Section. 637(a) of the Foreign As- sistance Act of 1961, relating to authoriza- tions, is amended by striking out "for the fiscal year 1972, $50,000,000 and for the fiscal year 1973, $50,000,000" and inserting in lieu thereof "for each of the fiscal years 1974 and 1975, $49,000,000". GENERAL MID MISCELLANEOUS PROVISIONS SEC. 13. Part III of the Foreign Assistance Act of 1961 is amended by adding at the end thereof the following new sections: "SEc. 659. SHARING OP' Cosrs.?No assist- ance shall be furnished by the United States Government to a country under title I, /I, or VI of chapter 2 of part I of this Act until the country provides assurances to the Presi- dent, and the President is satisfied, that such country will provide at least 25 per centum of the costs in any fiscal year of the entire program, project, or activity with respect to which such assistance is to be furnished, except that such costs borne by such country may be provided on an 'in-kind' basis. "SEc. 660. MULTILATERAL APPROACHES TO DE-. vEroprrENT.?Greater efforts should be made to promote and support sound multilateral approaches to the development of foreign countries. Therefore, the Secretary of State shall undertake consultations with multi- lateral organizations (including the United Nations) for the purpose of determining (1) how soon and which such multilateral orga- nizations would be able to administer for- eign assistance funds transferred to them by the United States Government for pro- grams, projects, and activities for the devel- opment of foreign countries, (2) the kinds of such programs, projects, and activities which those organizations are able and will be able to administer, (3) likely methods for the administration of those programs, proj- ects, and activities, and (4) the expectation of increased contributions by other countries to such organizations for those programs, projects, and activities. Not later than six months after the date of enactment of this section, the Secretary shall make a report to the President and the Congress with re- spect to his consultations, including such recommendations as the Secretary considers appropriate. "SEC. 601. PROHIBITING POLICE TRAINING.? No part of any appropriation made available to carry out this or any other provision of law shall be used to conduct any police train- ing or related program for a foreign coun- try." POSTWAR RELIEF AND RECONSTRUCT/ON IN SOUTH VIETNAM, CAMBODIA, AND LAOS SEC. 14. The Foreign Assistance Act of 1961 is amended by adding at the end thereof the following new part: "PART V?POSTWAR REL/EF AND RECON- STRUCTION IN SOUTH VIETNAM, CAM- BODIA, AND LAOS "SEc. 801. GENERAL AtrTHORITY.?The Pres- ident is authorized to furnish, on such terms and conditions as he may determine, assist- ance for relief and reconstruction of South Vietnam, Cambodia, and Laos, including hu- manitarian assistance to refugees, civilian war casualties, and other persons disadvan- taged by hostilities or conditions related to those hostilities in South Vietnam, Cambodia, and Laos. "SEC. 802. Aurrioarzarrox.?There author- ized to be appropriated to the President to carry out the purposes of this chapter, in addition to funds otherwise available for such purposes, for the fiscal year 1974 not to exceed $376,000,000, which amount is author- ized to remain available until expended. "SEc. 80$. ASSISTANCE TO S01.7TH VIETNAMESE CHILDREN.?(a) It is the sense of Congress that inadequate provision has been made (1) for the establishment, expansion, and im- provement of day care centers, Orphanages, hostels, school feeding programs, health and welfare programs, and training related to these programs, which are designed for the benefit of South Vietnamese children, dis- advantaged by hostilities in Vietnam or con- ditions related to those hostilities, and (2) for the adoption by United States citizens of South Vietnamese children, who are or- phaned or abandoned, or whose parents or sole surviving parent, as the ease may be, has irrevocably relinquished all parental rights. "(b) The President is therefore authorized to provide assistance, on terms and condi- tions he considers appropriate, for the pur- poses described in subsection (a) of this sec- S 18389 tion. Of the funds appropriated pursuant to section 802 of this Act for the fiscal year 1974, $7,500,000 shall be available until ex- pended solely to carry out the purposes de- scribed in such subsection (a). Not more than 10 per centum of the funds made avail- able to carry out such subsection (a) may be expended for the purposes referred to in clause (2) of such subsection. Assistance to carry out the purposes referred to in such subsection (a) shall be furnished, to the maximum extent practicable, under the auspices of and by international agencies or United States or South Vietnamese voluntary agencies. "SEc. 804. CONSTRUCTION WITH OTHER Laws.?All references to part I of this Act, whether heretofore or hereafter enacted, shall be deemed to be references also to this part unless otherwise specifically provided. The authorities available to administer part I of this Act shall be available to administer pro- grams authorized in this part. The provisions of section 655(c) of this Act shall not apply with respect to funds made available for fis- cal year 1974 under part I, this part, and section 637 of this Act." TERMINATION OP INDOCHINA WAR SEC. 15. No funds authorized or appropri- ated under this or any other law may be ex- pended to finance military or paramilitary operations by the United States in or over Vietnam, Laos, or Cambodia. LIMITATION ON USE OF FUNDS SEC. 16. No funds authorized or appropri- ated under any provision of law shall be made available for the purpose of financing direct- ly or indirectly any military or paramilitary operations by foreign forces in Laos, Cam- bodia, North Vietnam, South Vietnam, or Thailand unless (1) such operations are conducted by the forces of the government receiving such funds within the borders of that country, or (2) specifically authorized by law enacted after the date of enactment of this Act. WEST AFR/C/AN FAMINES SEC. 17. In regard to the famine in West Africa, the President shall consult with in- ternational relief organizations and other experts to find the best way to forestall fu- ture famine conditions in West Africa, and he shall report to Congress as soon as pos- sible on solutions to this problem of famine and further propose how any of these solu- tions may be carried out by multilateral or- ganizations. POLITICAL PRISONERS SEC. 18. It is the sense of Congress that the President should deny any economic or military assistance to the government of any foreign country which practices the intern- ment or imprisonment of that country's citi- zens for political purposes. TERMINATION OF ASSISTANCE IN INDOCHINA SEC. 19. (a) It is the sense of the Congress that the Agreements on Ending the War and Restoring Peace in Vietnam, and protocols thereto ,signed in Paris, France, on January 27, 1973, will be effective only to the extent that the parties to such agreements and protocols carry out the letter as well as the spirit of those agreements and protocols. It is further the sense of Congress that the United States should not furnish economic or military assistance to any such party, or make any sale, credit sale, or guaranty to or on behalf of any such party, unless that party agrees to comply, and does comply, with those agreements and protocols. (b) This section shall not apply to the pro- vision of food and other humanitarian as- sistance which is administered and distrib- uted, under international auspices or by United States voluntary agencies, directly to persons and not through any government. ACCESS TO INFORMATION SEC. 20. (a) After the expiration of any thirty-five-day period which begins on the Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 ? S 18390 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ? SENATE October 2, 1973 date the Ceramittee on Foreign Re1atto sal! the Senate or the Committee on Foreign At. fairs of the House of Representatives has delivered to the office of the head of the De- partment of State, the United States Infor- naation Agency, the Agency for International. Development, the United States Arms Con- trol and Disarmament Agency, ACTION, as the Overseas Private Investment Corporation, a written request that it be furnished any document, paper, communication, audit, re- view, finding, recommendation, report, or other material in its custody or control re- lating to such. department, agency, or corpo- ration, none of the funds made available to such department, agency, or corporation, shall be obligated unless and until there Inn been furnished to the committee making the request the document, paper, communica- tion, audit, -review, finding, recommenda- tion, report, or other material so requested. (b) The provisions of subsection (a) ol! this sectional:Ian not apply to any communi- cation that is directed by the President to a particular officer or employee of any such department, agency, or corporation or to any communication that is directed by any such officer or employee to the President. (c) Section 634(c) of the Foreign Assist- ance Act of 1961 (22 U.S.C. 2294(c)) fit amended? (1) by striking out "(I) "; and (2) by striking out all after the phrase so requested" and iriserting in lieu thereof a period and the following; "The provisions of this subsection shall not apply to any cCdri??? manication that is directed by the President to a particular officer or employee of the United States Government or to any coin- naunication that is directed by any such officer or employee to the President." Mr. FULIIRIGII1'. Mr. President, what Is the time situation with respect to this anaendmente The PRESIDING OFFICER. The Sen- ator has 1 hour. Mr. FULSRIGHT. I yield myself 10 minutes. Mr. President, this is an amendment in the nature of a substitute. It would. continue the foreign aid program under the traditional authorities in the Foreign Assistance Act of 1961, as recommended by the administration earlier this year.. and make a modest reduction of $217 million in the overall amount recora- mended by the committee. It also in- eludes all of the provisions now in S. 2335 that were initiated in the Foreign Rela- tions Committee. It is the same bill ex- cept for deletion of the new authorization categories and the reduction in amounts. I urge the adoption of this substitute for two principal reasons: First, the bill reported by the Foreign Relations Corn- mittee is merely a cosmetic job designed to give a facelifting to the foreign aid program, but which leaves the basic policy unchanged. Second, the state of our economy and the Government's fiscal condition are such that we cannot afford the luxury of continuing to spend the massive amounts recommended in this. bill for a bilateral foreign aid program which is badly in need of basic change. The bill is both deceptive and defer- ;eve. For years bilateral economic aid, other than that for_straight budget sup- port, as has been the case in Indochina, has been approved by Congress in two major categories: Development loans and grants for technical assistance. These funds were then loaned or given to recta- lent countries for the various projects and activities?in the fields of agricte- ture, health, population, education, in- dustrial development, transportation, and so on?that had been justified to Congress. This year he Agency for Interna- tional Develop tnent?AID?argued with- in the executive branch that its program would have a better chance to survive the gauntlet of an increasingly skeptical Congress if it aseed for money in cate- gories which lad more sales appeal. In- stead of the traditional loan and grant categories, it wanted to ask Congress for money under these labels: First, food production, nutrition, and rural develop- ment; second, population planning and health; third, education and human re- source development; fourth, selected de- velopment prcbleirs; and fifth, selected countries and organizations. But the Of- fice of Management and Budget did not accept that plan and the executive branch's foreign aid submission to Con- gress ended up a.s a straightforward ex- tension of the existing loan and grant authority. Th s bill contains the same authorization categories sought by AID and rejected within the executive branch. Thus, it is, ir, effect, AID's second at- tempt to obta: n e legislative revamping of its linage. Senators gentle, not be deceived. The foreign aid program will not be changed by this bill; even the authorization labels are the same as those in the AID con- gressional presentation book. The people who will admiaister the program will be the same as now. And they will be dis- pensing $1.2 billion for the same proj- ects and program: AID has supported in the past. Thi; is hardly the "vigorous newinitiative" claimed for this meas- ure by its priniipal sponsor. By authoriz ng amounts for five spe- cific aid categories, it appears, on the surface, that songressional control will be strengthened under this bill. This is but a bit of legislative sleight of hand. The bill authoi Lees $e92 million this fiscal year for five categories. Let us look at how this new system will work. Take, for example, the category of "Selected Countries and Organizations," for which the oil]. authorizes $28 million. Among other things this money is to be used for "supp est of the general economy of recipient countriee," in plain English, a program to f Mance imports. Dy adding loan renews, the money available for "Selected Cousitriss and Organizations" this fiscal year can be increased to $122 million?four ernes the specific amount the Senate is eeing asked to approve in this bill. Here is another example of how this bill weakens Congress control over for- eign aid spending. Under existing law Congress authorizes and appropriates specific amounts for loans and specific amounts for grants. But not under this bill. It authorises a lump sum for each of the five categories, money which can be used for eithei loans or grants. The only requirement is that not more than half of the new funds appropriated for all categories can be used as grants. Execu- tive branch bareaueratei, not Congress, will be the ones to decide how much in each category is given out as grants and how much in loans. They could require that population activities be financed en- thee,' on a loan basis while financing the building of dams and steel mills with grants, if they choose to do so, The bill is so loosely drawn that the assistance au- thorized in the new categories could be used here in the United States, not in the poor countries, as intended. The bill states only that the "President is authorized to furnish assistance on such terms and conditions as he may de- terrnine"?without specifying that the assistance is to go to foreign countries. It is another example of why this bill should be put aside for further study and refinement. For years Congress has been trying to plug the many loopholes in the foreign aid program, This bill re- verses that commendable record. ; If the Senate adopts S. 2335, it will probably do sounder the impression that it is voting to make significant changes in the foreign aid program. This would be an illusion which would result only in giving the existing unsatiefactoty aid program a new lease on life. This bill does not represent a change of policy; it Is "business as usual." The foreign aid program need; a drastic overhaul, not a facelifting. N:y substitute would con- tinue the existing programs, at a slightly reduced level, to give an opportunity for Congress to make an indepth study of the entire spectrum of U.S. relations with the poor countries of the world. It would avoid shoving the foreign aid problem under the rug. As to the amounts, my substitute would authorize a tctal of $1 billion compared with the $1.2 billion recommended by the committee, a reduction of $217 million. The reductions would be made primarily in the development loan category and, to a lesser extent, the technical assistance program. I ask unanimous consent to have printed in the RECORD following my remarks a comparative table of the amounts involved. The PRESIDING OFFICER. Without objection, it is so ordered. (See exhibit 1.) Mr. FULBRIGHT. Mr. President, this bill cannot be considered in isolation from our general economic situation. Our economy is in a state of disarray, the Government's fiscal condition perilous. In the past 2 years we have seen the end of the convertibility of the dollar into gold and two devaluations of the dollar? by 7.9 and 10 percent. The disorder in our financial house is largely due to the accumulated effects of many years of over-commitment abroad, including the foreign aid program. Our Government's zealous determination to control and shape the destinies of much of the world has brought our Nation to a state of financial exhaustion. Since 1965 the Federal debt has increased by $150 billion, interest on the national debt has doubled, and the cost of living is up by 40 percent. The $50 billion balance-of- payments deficit our Nation has incurred over the last .3 years is directly related to over-commitment abroad and the les- sening of world confidence in the United States' ability to put its house in order. The programs to be funded by this bill add over $40C; million annually to our balance-of-payments deficit. Enactment of this bill will contribute further to the Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 Na 41 ? Approved For Release 2001/08/30; CIA-RDP151300_180R(100600110002-0 October 2, 1973 CONGRESSIONAL RECORD ? SENATE deterioration of our general economic position. Mr. President, 3 years ago AID com- pleted a swanky hotel and apartment complex in New Delhi for foreign aid personnel at a cost of $3.2 million. Not long ago it was turned over to the Indian Government as a consequence of the shutdown of most of the U.S. aid pro- gram following the India-Pakistan war. Now, according to press accounts, India cannot figure out what to do with this costly white elephant. This is an appro- priate symbol of the foreign aid program. On a related issue, the September 20 Washington Post reported that India had proposed, and the United States had tentatively agreed, to settle its $3 billion foreign currency debt to us for $100 mil- lion in dollars and $900 million in local currency. Although, on the surface, it appears that only two-thirds of the rupee debt was written off, the American tax- payer has lost much more since, appar- ently, much of the $900 million in rupees will be used in foreign aid programs in the region. I do not criticize this settlement as such, but for what it represents?the culmination of a misguided foreign aid policy. An Indian economist wrote in the New York Times recently: Better Inclo-U.S. relations can only be built on a "zero aid" position... . The over- whelming majority of the Indian people . . . are against foreign aid. Now that the Indian foreign currency debt is being settled on such a favorable basis for India, we can expect Pakistan to demand equal treatment on the $1.1 billion in foreign currency she owes on Public Law 480 purchases. And the list of petitioners is likely to grow. Indeed, if the entire $8.3 billion in outstanding 'Public Law 480 foreign currency debts were settled on this basis, the American taxpayer would end up getting only about $280 million in dollars and $2.5 bil- lion in foreign currency. And, with the debt burdens of the poor countries grow- ing, it is not unreasonable to expect simi-, lar defaults in the future on the $29 bil- lion outstanding in dollar repayable loans. Settlement on the one-third basis followed in India would cost the taxpay- ers an additional $20 billion. One final point. The $1 billion pro- posed in my substitute is but a small part of the overall foreign aid program for this fiscal year. The total foreign aid package proposed by the executive branch comes to $7.9 billion, using the most conservative estimates. Other esti- mates go as high as $8.6 billion. There is now $2.7 billion in the pipeline for the programs to be authorized by this bill. If no new program money at all were pro- vided by Congress .the foreign aid pro- gram would still continue for the indef- inite future. In view of our Govern- ment's fiscal situation I think a further modest reduction in foreign aid is well justified. I urge the Senate to give priority con- sideration to restoring the confidence of our people in our ability to act respon- sibly in fiscal matters and to vote for my substitute. Mr. President, I believe I asked unani- mous consent; to have printed in the RECORD a table comparing the continuing resolution. The PRESIDING OFFICER. The Sen- ator is correct. Mr. FULBRIGHT. I will read only the total amount. The continuing resolution we are now operating under has $1,240.9 million. The committee recommendation in the bill before the Senate is $1,234.4 million. My amendment would reduce that to $1,017.1 million, or in other words $217 million. Mr. President, I ask unanimous con- sent to have printed in the REcosb as a part of my remarks two articles describ- ing the Indian settlement of its debt to the United States, published in The Washington Post. There being no objection, the articles were ordered to be printed in the RECORD, as follows: [From the Washington Post, Sept. 20, 19731 INDIA OFFERS SETTLEMENT OF DEBTS, TO 11.5. (By Barry Schweid) The Indian government has proposed?and the United States tentatively accepted?set- tling its $3 billion debt for $100 million in in cash and $900 million to be spent on U.S. operations in India and aid to neighboring countries. Under terms of the proposal carried here from New Delhi by Ambassador Daniel P. Moynihan, the remaining $2 billion debt would be used to underWrite agricultural de- velopment, rural electricity, housing and other Indian projects. All but the $100 million that India would give the United States in cash could remain in native currency?the rupee?under the proposal. The debt has built up over the years from American grain supplied during the famine years of the 1960s under the Food for Peace program, and completed U.S. aid loans to India. Although the debt is equivalent to $3 billion, it is actually owed to America by India in terms of rupees, not U.S. dollars. Moynihan is in Washington to consult with Henry A. Kissinger, the Secretary of State- designate, and other top officials. He still is considering an offer of a top post in the de- partment, but appears inclined to pass it up before returning to New Delhi next weekend. The 46-year-old Democrat has been am- bassador only seven months. He is reluctant to drop the delicate job of repairing relations between the two countries, strained especially during the 1971 Indian war with Pakistan when Indians generally claimed that WaSh- ington was tilting toward their enemy. The propospective compromise on the rupee account is essentially a political agree- ment, one that could help overcome Indian bitterness over the fact that Washington owns a handsome chunk of the Indian econ- omy. The rupees have piled up in the Reserve Bank of India, drawing interest, despite vig- orous U.S. efforts to spend them partly by such means as financing visits to India by American officials. The $100 million would be paid over the next 10 years. Part of the $900 million in rupees would be used to finance U.S. aid pro- grams to Nepal and other small countries on the subcontinent as well as to keep up the U.S. embassy and other American offices. [From the Washington Post, July 16, 1973] UNITED STATES To END AID PROGRAM IN INDIA (By Lewis M. Simons) NEW DELHI, July 13.?In the next couple of days, as scion as Prime Minister Indira Gandhi gets over a case of flu, U.S. Ambas- sador Daniel Patrick Moynihan will call on her and close out an era.. The ambassador will inform the prime S 18391 minister that the much-maligned U.S. aid program to India is officially ended, at her government's insistence, after 22 years and an expenditure of $10 billion. Moynihan will also present Mrs. Gandhi with a proposal for disposing of $810 million in Indian rupees held by the United States as a result of Indian payments for American grain supplied during the famine years of the 1960s under the Food for Peace program. Finally, Moynihan will turn over to the prime minister a $6 million complex of luxury buildings occupied by the U.S. Agency for International Development (AID) in New Delhi. The complex was completed just two years ago. So far as the Indians are concerned, the most important of the three components of the package will be Moynihan's proposition regarding the U.S. rupee holdings. These rupees are held in the Reserve Bank of India and they represent a drain on the Indian economy because of the enormous interest the account commands?interest that is piling up faster than the rupees themselves can possibly be spent. The ambassador, who recently returned from consultations with President Nixon, re- fuses to reveal details of the plan until he has seen Mrs. Gandhi. He said only that the proposal falls "somewhere between zero and infinity." In other words, it will not insist that the mammoth account remain in the Indian bank, nor will it write off the entire matter, as the Indians would like. Sources familiar with the proposal say it is a good one, from India's viewpoint, and that Mrs. Gandhi is likely to accept it. Her only reason for rejecting it, the sources speculate, would be political, not economic. The prime minister and members of her government periodically trot out the "rupee problem" when they want to accuse the United States of worming its way into the Indian economy. But the United States may not spend any of its rupee holdings without India's express consent. Moynihan hopes his plan will be the first important step toward putting Indian-Amer- ican relations on a normal nation-to-nation basis. As much as ideological variants and mili- tary alliances, the donor-debtor relationship has helped sour India on the United States and vice versa. The prime minister's attitude makes clear that there is no point to the old kind 'of relationship for either side. Knowing this, Moynihan is eager to clear the decks be- fore his stewardship moves into full gear. He views the transfer of the U.S. AID complex of buildings to the government of India as symbolizing an end to one era and the start of another. The collection of white brick buildings sticks up from the desert on the south edge of New Delhi like a sore thumb. And like a sore thumb, it has been an irritant ever since it was built. The south block complex as it is known to AID staff members, was living proof that the United States owned more of India's rupees than was good for 'either country. The decision to build the complex with food for peace rupees, was made in 1969, when AID .had 260 Americans working in India and the United States was spending what was considered "funny money" on any- thing it could think of, just to get rid of some of it. As one AID insider put it, "The way we were buying and spending in those days would make your hair curl. Anything any- body wanted was okay." The south block concept fit in perfectly with that kind of mentality. After all, the reasoning went, India is a hard place for Americans to live in. The weather is miserably hot at least half of the year, and all year- round in some parts; You cannot drink the water without boiling it; you cannot buy Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18392 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ? SENATE October 2, 1973 a steak; outside the big cities there's no place to swim, etc., etc. In short, wouldn't it be nice to have a place where we could get away from India, even for just a little while. The south block is just such a place, "An ostentatious American ghetto, but the best damned oasis in the Indian desert," as one AID staffer put it The complex consists of a clustered six-story building containing 30 roomy two-and three-bedroom apartments; a hotel with 18 double rooms as well as a dining room, cocktail lounge, reception room, library, four-lane bowling alley and swim- ming pool. The whole thing is swathed in tinted glass, lined with wall-to-wall carpet- ing, cooled with central air conditioning, sweetened with piped-in stereo music and lubricated with pure drinking water right from the taps. In addition to these living and playing facilities, the complex has a sprawling, low- slung office block, a giant warehouse and a covered garage. These buildings have already been turned over to India which has in- stalled members of its science and technol- ogy ministry in them. The rest of the buildings will be turned over by the end of September. Such a trans- fer was envisaged in 1969. The agreement signed by AID and the Indian government then said India would receive the complex "when no longer required for the support of the United Stases assistance program in In- dia." Barely a year after the construction ended, Mrs. Ghandi said India had had enough of U.S. AID and the staff was quickly run down to its present 12 Americans. A Major unknown is how the Indian gov- ernment is going to cope with the huge cost and expertise needed to run the modern complex. Electricity: alone costs $67,000 a year. Total annual operating costs are $160,- 000. An American engineer who just completed an overall inspection of the plumbing and water purification plant told AID staffers he expected the whole system would cease functioning Si,: months after the Indians take over. Cyril Peters, an Indian national who has been manager of the complex since its com- pletion, says it will take even less time.. "The government won't be able to run it," said Peters. "I'd hate to see it three months after they move in. Under my management, everyone does whatever Is required of him. The government will have to worry about caste. Higher caste people won't help with low-level jobs. It will be a mess." The end of the south block complex does not mean that the American community in New Delhi will no longer have a refuge from India. There is still the American Community Support Association, where Americans can taste such joys of home as hamburgers, hot dogs, American beer, cokes and soft ice cream and relax in the swimming pool and on the baseball diamond. The handful iof AID staffers and their fam- ilies who will remain in New Delhi to oversee outstanding loans, the large school lunch program and a few other extant projects are being transferred to rented houses or em- bassy compound apartments. Ironically, just as the south block is be- ing given up, the U.S. embassy finds itself needing at least 20 new apartments for staff members. A 12-unit building was recently completed and plans for others are on the drawing boards. Mr. FULBRIGHT. Mr. President, I ask unanimous consent to have printed in the RECORD an article from the Wall Street Journal entitled "The Case Against Foreign Aid," which I think makes a very strong argument against the continuation of the program as it has been administered heretofore. There being no objection, the article was ordered to b: printed in the RECORD, as follows: [From the Wall Street Journal, Oct. 3, 19721 THE CASE AGAIN ST FOREIGN ,A1D (By Peter T. Bauer) It can be confidently predicted that what- ever the outcome of toe election in Novem- ber, foreign aid will csice again be a contro- versial item on the agenda of Congress. And it cari alsc be predicted confidently that once again It will be alleged that official development assiitance?that is, govern- ment-to-government grants or soft loans?is indispensable for the progress of poor coun- tries. Aid is given regardless of the conduct of the recipients, or cf its results. It is virtually the only form of goiernment expenditure which goes unquestioned, unlike defense, farm price suppots or school lunch pro- grams. This is remarkable. Aid is plainly sot necessary for develop- ment, as is shown by the progress of many poor countries without aid. Moreover, it is often damaging, because although it is ad- mittedly an inflow of resources, it sets up repercussions which can outweigh the benefits. Aid advocates oiten allege that official aid is indispensable for development. This offen- sively patronizes aid recipients by saying that they desperately want development but can- not achieve it Witt out handouts?doles from us. In fact, very many poor countries have progressed without them. Malaya was trans- formed by the ris3 of the rubber industry, which received no external subsidies, from a sparsely populated country of hamlets in the 1890s to a thrivtig country by the 1930s where a much larser population lived longer at much higher standards. AFRICA .LND SONG XON'G To move from ASI C to Africa, the Gold Coast (Ghana sinus 1957) was transformed between the 1880s and the 1950$ without for- eign aid. In 1880 there were no cocoa trees there; by 1950 thsre were huge exports of cocoa, all from Atican-owned farms. Again, in 1840 Hong Kong was a barren rock. By now four million people live in that major manu- facturing center, *whose competition IS most embarrassing to 'Western industries. Hong Kong also developsd without external gifts. And so did the now dev eloped countries, all of which had begun as poor. Official aid is thus not necessary for devel- opment. Nor is it sufficient The Navajo In- dian nation has remained wretchedly poor in spite of decades of huge American official aid, If a society cannot develop without exter- nal gifts, it will not develop with them. What holds back many less developed countries is the people who live there. Development deuends on people's capaci- ties, motivations and social and political in- stitutions. Where these basic determinants are favorable, material progress will usually occur. Materially embitious, resourceful, in- dustrious, far-sigh ted md thrifty people will create or obtain' capital, and also use it pro- ductively. There is an Ines( apaole dilemma, in the ar- gument that aid is necessary for develop- ment. If the required conditions other than capital are present, capital will be generated locally or supplied commercially from abroad, to government or to business, so that aid is unnecessary for development. If the other conditions are not ?resent, aid will be ineffec- tive and thus useless. It is often said that the culture and the social and political institutions of the recip- ients should not he disturbed. But what if these are incompatible with substantial ma- terial progress, as are many beliefs, customs and institutions, such as the deeply held be- lief in the sanctito of animal life in South Asia? Material progress requires modernize- tion of the mind, which is inhibited by many institutions in less developed countries and also by official pcSicies pursued there. Progress does not depend on handouts, but on capacities, moaes and institutions. This still leaves open the question whether aid is more likely to pro:cnote or to retard progress, which cannot be shown so conclusively. I be- lieve that in practice it is more likely to re- tard it. Here are 13011Ie of the many reasons why. Aid reinforces the disastrous tendency to make everything a matter of politics in less developed countries. The handonts increase the resources and power of governments com- pared to the rest of society, a result rein- forced by the preferential treatment of gov- ernments which try to establish state-con- trolled economies and of countries with bal- ance of payments problems. Politicization of life diverts energy and ambition from eco- nomic activity. Moreover it provokes and ex- acerbates political tension, because it be- coshes supremely -important, often a matter of life and death, who has the governme!nt, as is clear from .the recent history of In- donesia, Pakistan, East Africa and Nigeria.. Aid often supports most damaging poli- cies. Many recipient governments restrict the activities of minorities, of Chinese in In- donesia, Asians is. East and Central Africa, Indians in Burma, Europeans everywhere. The removal of thousands of Asians from East Africa (the most familiar of many ex- amples) has reduced incomes and widened income differences between these countries and the West. These measures are often fol- lowed by the expulsion of even destruction of thousands or tens of thousands of people. ENCOLTRAGING THE PARADOX/CAL - Aid in many wajs encourages the paradosi- cal policy of recipients to restrict the inflow and deployment of private capital. The In- dian government, an aid recipient for many years, sets up expensive state oil refineries when the oil companies in India have unused capacity which they are not allowed to em- ploy. Foreign aid promotes the adoption of Un- suitable external models. The establishment of uneconomic heavy industries and national airlines is familiar. More important is the proliferation of `Western-type universities, whose graduates cannot find employment, and of Western-style trade unions which are only vehicles for the self-advancement of politicians. Aid obscures the fact that progress cannot be had for nothing, that the peoples of ad- vanced countries have themselves had :to develop the required conditions. It rein- forces a widespread attitude that opportu- nities and resources for the advance of one's self and one's family must be provided by someone else, which promotes or reinforces torpor, fatalism or even beggary and black- mail, but not self -improvement. Preoccupa- tion with aid also diverts the government's attention from the basic causes of poverty and from the poss!bilities of acting on them. These are just fits ways in which an inflow of resources can damage development. And the economic productivity of aid resources is generally likely to be low and insufficient to outweigh the adverse repercussions. Aid can- not be so closely adjusted to local conditions as can resources supplied commercially. Moreover, governments are understandably apt to use resources donated from abroad 'on wasteful show projects. All this is not to say that aid cannot promote development. Whether it in fact does so or not depends on the specific cir- cumstances of each case. But the examples above make it clear that it is unwarranted to assume that because aid represents an inflow of resources, it must promote develop- ment. In fact, aid is at least as likely . to retard development as to promote it. If it is only money that were missing; it could be secured commercially from abroad. Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 ? . October 2, 1 roved For RV8Rangliaaiitta535130^"0 0600170002-0 0?9 ANAIR Aid means at most that some capital is cheaper. But the capital is likely to be less productive than if it were supplied commer- cially from abroad to government or to busi- ness; and as we have seen, aid is also apt to set up far reaching adverse repercussions.. There can, therefore, be no general presump- tion that in practice aid is more likely to promote development than to retard it. In fact, these various considerations suggest that as it has operated and is likely to oper- ate, any general presumption would be the other way round. Of course, even if aid does promote development, this still leaves open the question why people in the donor coun- tries should be taxed for this purpose. It is often urged that the more aid is given the better, without examining its results that, somehow effectiveness is measured by cost, which no one in his senses would apply to his own life. Aid certainly removes resources from the donors. But it does not follow that it pro- motes development. To make the rich poor, does not make the poor rich. Once the case for aid is taken for granted, then either progress or its absence can be advanced for more aid; progress as evidence of its success, and lack of progress as evi- dence that more is needed. Whatever hap- pens is an argument for more aid. When a case is taken for granted, evidence becomes Irrelevant. Why is the argument that aid is necessary so widely accepted if it is unfounded? This isn't strictly relevant; why people hold cer- tain beliefs has nothing to do with their validity. However, for what it is worth let me give you my explanation. Many advocates of aid are well inteia- tioncd, but not well informed. But by and large the aid crusade is a gigantic confidence trick. A well meaning public has been conned by a motley coalition which has suc- ceeded in part by playing on feelings of guilt, which however unfounded are nevertheless widespread. I think this coalition includes international agencies and government de- partments anxious to increase their activ- ities and power; professional humanitarians with similar ambitions; disillusioned, bored, power-and-money-hungry academics; the churches which face spiritual collapse and seek a role as welfare agencies; temperamen- tal do-gooders, frustrated by events at home; politicians in search of publicity; exporters in. search of easy markets, and governments embarrassed by commodity surpluses. And there are also many people who welcome any argument or policy which in some way or other weakens the position of Western so- ciety, which for various political and emo- tional reasons they have come to dislike. Where do we go from here? What should we do about foreign aid? I think it wolld be best to finish this system of handouts which Is bad for both the patrons and for the patronized, and which, by the way, is rela- tively recent and was started only some 20 years ago. However, this is unlikely to come about, because of the emotional, political, intellec- tual, financial and administrative interests behind it. Moreover, the immense sums al- ready spent on aid themselves operate against Its termination: the greater are the sacri- fices, the harder it is to question the prin- ciples in the name of which they have been extracted. Given the fact that aid will continue, I would wish to see the method and criteria of allocation changed drastically. Aid could be allocated in such a manner that it would favor governments which within their hu- man, administrative and financial resources try to perform the essential and difficult tasks of government and at the same time refrain from close control of the economy. These tasks include the successful conduct of external affairs; the maintenance of law and order; the effective management of the monetary and fiscal system; the promotion of a suitable institutional framework for the activities of individuals; the provision of basic health and education services and of basic communications; and also agricultural extension work. These are important and essential functions which must devolve on the government. This is for two reasons. First, because part of the institutional struc- ture within which the private sector func- tions does not emerge from the operation of market forces and so must be established by law. Second, because some of these activities yield services which, although there may be a demand for them, cannot be bought or sold in the market. This list of tasks largely exhausts the po- tentialities of state action in the promotion of general living standards. These tasks are extensive and complex. Their adequate per- formance would fully stretch the resources of all governments in poor countries. Yet governments frequently neglect even the most elementary of these functions while attempting close control of the economies of their countries, or even, occasionally, con- templating coercive transformation of so- cieties. They seem anxious to plan and unable to govern. Much more thought could also be given to prevent the inflow of aid from biasing the development of recipient countries in direc- tions based on inappropriate external proto- types. Preference could be given to govern- ments interested more in improving the roads and extending external contacts than in opening Western-type universities or in creating heavy engineering works. GOVERNING VS. PLANNING The substantial revision of the criteria of allocation of aid which I suggest does not in the least imply underestimation of the tasks of government, but rather the reverse. The adoption of such criteria would favor govern- ments which try to govern rather than to plan. By the same token, aid would be with- held from governments which pursue pol- icies which plainly retard the material prog- ress of their countries. And many of these policies, as for instance the maltreatment of economically successful minorities, often exacerabate the problems and difficulties both of other aid recipients and also of the donors. The adoption of such criteria would pro- mote relatively liberal economic systems in the recipient countries, minimize coercion and favor material progress, especially an improvement of living standards. It would also reduce political tension in the recipient countries. This proposal assumes, of course, that the purpose of aid is to improve material condi- tions in recipient countries. But the proposal will be altogether unacceptable if the actual purpose of aid differs from the ostensible ob- jective of improving general living standards in the recipient countries. It will be unac- ceptable if the primary purpose is the pur- suit of unacknowledged political policies, such as the promotion of closely controlled econcanies and societies, or the increase in the resources and power of the international organizations. Mr. FULBRIGHT. Mr. President, last- ly, I ask unanimous consent to have printed in the RECORD an article entitled "Foreign Aid Without Aid," published in the Washington Post on June 3, 1973. There being no objection, the article was ordered to be printed in the RECORD, as follows: [From the Washington Post, June 3, 1973] FOREIGN Am WITHOUT Am (By William C. Paddock) The American bald eagle is a remarkable bird. For 83 days the parents feed their young. Then, realizing that the eaglets will S 18393 never fly without drastic action, the parents fly overhead with a fish, land nearby in sight?but out of reach?of the eaglets and eat the fish themselves. The eaglets are fi- nally starved into leaving the safety of the nest to go out and fish for themselves. It is a practice we would do well to keep In mind in pondering our foreign economic aid program, run by the Agency for Inter- national Development, which expires this month unless Congress, as it has in the past, grudgingly renews it. For more than 2D years, the American peo- ple have been carrying out a sometimes charitable and sometimes self-serving cru- sade against hunger and poverty in the de- veloping world. The crusade employs thous- ands of Americans overseas and has cost us more than $150 billion. While the majority of those who have studied this crusade are hard put to find concrete proof that the money has been well spent, most interna- tionally minded Americans still advocate a continued flow of such aid. But the time has come to let the developing world fish for itself. A PREPOSTEROUS PROMISE For more than 25 years the hungry nations of Asia, Africa and Latin America have heard of the miracles that American technical know-how, Yankee ingenuity and U.S. dol- lars can produce in a backward, hungry, tra- dition-bound nation. It is not surprising that these hungry nations have come to place a degree of faith for solving their problems on U.S. help. No better example of this can be found than in the "green revolution," a name coined by a former AID head. The "wonder" wheat and "miracle" rice developed by the Rockefeller Foundation were "seeds of change" which gave Congress hope that the war on hunger not only could be won but was truly being won. The developing nations believed these florid statements. Thus, after a couple of good crop years those countries credited their increased 'Yields to new technology rather than to good rainfall. By 1970 Indonesia, the Philippines, Pakistan, India and others were talking con- fidently about soon being self-sufficient in food. The chairman of the Nobel Peace Prize committee, in announcing that the 1970 prize was going to Dr. Norman Borlaug, developer of the "wonder" wheat, summed up the euphoria by saying that, because of the "green revolution," "we do not any longer have to be pessimistic about the economic future of the developing countries." How could the world be so misled? One rea- son was the flourishing public relations work of AID and the foundations. Another reason can be found in a book written in the early 1950s which noted that "when a white-coated scientist, looking up from his microscope, makes a pronouncement for the public, he may not be understood but he is certain to be believed. No one doubts a scientist." The book's title, "Science is a Sacred Cow," is appropriate when one remembers that the "green revolution" was promoted by the scientific branch of the development com- munity. For instance, Dr. Borlaug said, "You have to be brutally frank with some governments; you have to push them into using (the new technology) . . . it doesn't do any good to get 10 or 15 per cent yield increases, they won't listen to you. You have to throw the long bomb. You have to make a 100 or 200 per cent gain to change their old worn-out practices." Dr. D. S. Athwahl, Associate Direc- tor of the foundation-financed International Rice Research Institute (IRRI), where the "miracle" rice was developed, says, "What we are saying is either you apply the new technology or you starve." I remember well a photograph of President Johnson visiting IRRI, a science showcase in the Far East, and listening spell-bound to the Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 ? S 18394 Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ? SENATE October 2, 1973 gesticulating director, Dr. Robert F. Chan- dler, in front of a large billboard which blazoned the message, "Newly Developed Rice Selections . . . Produce Up To 400% More Rice, Make Rice Growing Profitable." The American Association for the Advance- ment of Science advertises one of its pub- lications by saying, "New methods and tech- niques will make it possible to meet the food needs of the world's rapidly increasing population throughout the 21st Century." It is a preposterous promise, for at current rates the world's population will have grown. from today's 3.5 billion to 37 billion by the end of the next century. DREATIITAFCING HOPE The truth is that, while the new wheat and /it* varieties are excellent high yielders under certain specialized conditions (con- trolled irrigation, high fertilization), they have done little to overcome the biological limits of the severage farm. The hungry na- tions of Asia, Africa and Latin America are hungry because they have a poor piece of agricultural real estate, and no one should delude them into believing that some sort of technological wizardry can nullify the consequences of too many people on too little arable land. But if AID officials and their supporters were to admit this to Congress, they would destroy a major argument for more money. For instance, in the 1973 congressional pre- sentation of its program, AID said, "Signifi- cant and even exciting technological gains have been made in important food crops. .. Keeping up the pace of this progress will be difficult though far from impossible task" (italics mine). The hope held out to Congress is breath- taking. For example, research on agricultural problems in Latin America, AID says, "has resulted, where the improved management practices have been adopted. in yields of 200 bushels per acre of corn where 80-bushel crops were the usual production. The long time effect of this research should result in yields increases on the nearly 300 million acres of land cultivated in Latin America... research in arid and subhurnid lands in Asia has demonstrated that, in India and Pakistan alone, yields on the existing 100 Million acres of irrigated land can be more than doubled by the application of modern irrigation practices . ." Where is the congressman who would vote against such a program? And if Congress takes hope, think what visions of sugarplum fairies dance before the eyes of the hungry nations. Why should they not feel that AID's technology will, eliminate their problems, or at least materially reduce them? THE ONLY HOPE Yet if one looks at some of the character- istics which developing nations hold in com- mon. It is clear the only hope to solve their food problems lies an extreme action of such gargantuan dimensions that they dwarf any help our dollars or technology can offer: BE per cent of their people depend on agriculture for a living, though 25 per cent of the labol. force is either unemployed or underemployed, they grow a narrow range of crops which are excessively susceptible to both pests and mare ket fluctuations; most of their land is broken, mountainous, swampy or desert, with water the most critical factor affecting production. Malnutrition 18 rampant. With enough capital some of these prob.. lems could be remedied, but this lione of the hungry countries have, and few have much credit left. Of the $59 billion they have bor- rowed from the industrialized world. $33 bil- lion falls due in the five-year period 1970-75. Yet we hear of much progress in these nations, of how the poorest countries in the world (with a per-capita gross national prod.. uct of less than WO end containing 67 per cent of the developing nation's population) have been growing emnoznically at nearly 4 per cent a year for LO years; a rate faster than their population. This sounds fine, but in general it has mewl that their rich have gotten richer while teeir poor have either remained the same or are, indeed, poorer. More people, not few; r, are worse off today than 10 years ago. "When you rip aside the confusing figures on growth rates," 3535 Pakistan economist Mahbub tel Hag, "you find that for about two-thirds of hunianRy the increase in per capita income has been less than one dollar a year for the last liCh ye ars." THE POP' MAI CON CRUNCH American president. have told us AID is necessary because "the wealthy nations can- not survive as islands of abundance in a world of hunger, eickress and despair." This is utter nonsense, for we are doing so now, like it or not, and we are going to continue - to do so, like it or not. Every day the liap widens and at an ac- celerating pace. In 1960 the per capita GNP gap between the rich and poor countries was $2,000; today it .s $3,000. World Bank President Robert S. Mb/camera says, "Pro- jected to the end of the century , . . the people of the deneceeed countries will be enjoying per capita incomes, in 1972 prices, of more than $8,000 a year, while the masses of the poor . . will on average receive less than $200 per melte, and some 800 million of these will recei ire has than $100. . . ." While some countries have doubled and tripled the size of their school systems dur- ing the past 10 year;., each year there are more illiterates. he trouble, of course, is that even before they are started, develop- ment efforts are defeated ley the steady, un- controlled growth in population. Develop- ment experts once thaught the millennium had arrived when India produced a record =95 million tons Cf food grains in 1967-88. Today, however tie ee perts refer to the pro- jected 1972-73 Irdisei crop of 100 million tons as a "criticaLy kw figure." The reason: This year's crop rausi feed 70 million more Indians than it did in 1967. Mexico is often citet as one of the world's best agricultural success stories. It was there that Dr. Borlaug of the Rockefeller Founda- tion developed his "wonder" wheat. Congres- sional committee; lead others have often heard that since the Rockefeller Foundation scientists began worleng there, Mexico no longer has to import wheat and corn. This supposed self-suff cier cy, unfortunately, has been greatly exaggerated. Mexican price supports or cost of pi eduction, or both have priced corn and waeat out of reach of a large pecentage of Medea es. Malnutrition is a major problem in Mexico--clear evidence that Mexico's age iculLure does not produce the food her people need. Speaking of the, a I ormer U.S. ambassador to Mexico once tcld me, "We can't convince the Mexican government that a population problem exists; a:: long as agricultural pro- duction is growing as fast as the population, they don't think there is anything to be concerned about." Since World War II: Mexico, like most of the developing wcrld has been able to in- crease its agriculeural production primarily by putting new lanc into production, not through new technolegy. But now, like the rest of the hung a: world, it is harder and harder to find nine :and to develop. If its population contir ues to grow at the present rate, the next 40 years will see Mexico's popu- lation mushroom from 50 million to am mil- lion, a number be vole i the capabilities of her limited farm land to feed. WHAT IS SELF-HELP? Throughout the history of our aid pro- gram, Congress has ben told that all the United States warts to do is help those peo- ple who will help themselves. Thus Presi- dent Truman said our aim was to "help the free peoples of the world through their own efforts," and President Johnson said, "The key to victory is h elf-help," Today's AID ad- ministrator, John Hannah, says, "We recog- nize that the developing countries are re- sponsible for their own development. . , ." Such statements seem clear when made, but what is "self-help"? The concept offers no guidelines for the expenditure of our aid money because no country intentionally teies self-harm. They are all making en effort to improve their lot. And "self-help" is just as confusing to the recipient nation. A friend in the Dominican Republic: once told me that his concept of "self-help" was that of a US. supermarket where a developing nation strolls along the AID shelves and helps it- self to what it wants: a power plant here. a road there, and next an irrigation canal. The United States has made a noble effort to help the developing world solve its prob- lems. In doing so, however, we have given a false hope that we really can develop these regions?if the world would only listen to us and Congress would only be more generous with dollars. The resulting confidence has let the hungry nations concentrate on pro- grams often completely unrelated to their basic problem: the population-food crunch. Virtually ?every knowledgeable authority agrees that drastic action must be taker; if the crunch is not to become catstrophic. "To delay progress toward full self-regulation of population size is to play 'Russian roulette' with the fetture of Man," says a National Academy of Sciences report. Yet nowhere has the necessary extreme action been under taken, nor will it be until the developing world realizes that there is nothing the in- dustrialized naticns can do, in the form of foreign aid, about the population problem. Cruel though the statement might sound, Indian would be a more viable nation today if in 1965 the United States had not shipped a fifth of its wheat crop to that subcontinent, thereby averting a famine and saving per- haps 30 million or more Indian lives (Presi- dent Johnson put the figure at 60 mil- lion). The catastrophic shock of so many deaths in 1965-66 probably would have shaken India's political structure to the core and slowed down or stopped entirely its na- tionalist aspirations, such as needless ex- penditures on flag-carrying airlines and mil- itary operations against neighbors. Its agri- culture would surely be receiving a greater percentage of the national budget, and we could expect the citizenry to be far more re- sponsive to government efforts to control births (the Indian government might not have to report, as it did this year, that "Thus far, the rate of pcpulation growth has shown no declining tendency"). Nor would we have seen India relax into euphoric talk about food self-auffIciency, as it; did in 1971 after having a couple of good monsoons?which led to further dallying with its problems. AID WITHOlT/ AID One reason why no drastic action is being taken in the world against the population- food crunch is the false hope that foreign aid provides. So long Its there is such a false hope, governments will not initiate the action most needed The time has ? come then, for aid without AID. The hungry nations must be helped by not helping them, by letting them know they must solve their own problems and that the only way they caa do this is with their own energies and motivation. Most of the develop- Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 a Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 October 2, .P7U CONGRESSIONAL RECORD - SENATE S 18395 ing world knows what needs to be done. We must let them do it. No new scientific gismo needs to be in- vented to control runaway population growth. Birth control techniques already ex- ist. What does not exist is the motivation to use them. If the leaders of the hungry na- tions-Mrs. Gandhi, Gen. Suarto, President Marcos and others-could be convinced that so long as present trends continue famine is inevitable, they may well stop following their politically "safe" but dawdling courses. They would have to stop spending so much money on such things as elaborate road systems, military establishments and petrochemical industries that not only produce needed fer- tilizer but a hundred other less crucial "na- tional" products. The hungry nations of Africa, Asia and Latin America spend $26 billion annually on armaments-three times what they receive in official development assistance If this $26 billion, or a large part of it, Were spent on tube wells, irrigation ditches, fertilizer and agricultural research, it might become pos- sible to head toward a true "green revolu- tion." If, simultaneously, the nations' com- munications Industries focused on teaching the perils of a six-child (and even a three- child) family, and if economic rewards went to those who practiced what the nation preached, a significant birthrate drop might be possible. Then, indeed famine would not be inevitable. [Prom the New York Times, June 3, 19731 INDIA To IMPORT MORE GRAIN AS HEDGE AGAINST DROUGHT NEW DELHI, June 2 (Reuters).-India has decided to import more grain to build stoCka and to uombat severe drought in parts of the country, the Minister of State for Food and Agriculture said yesterday. The Minister, Annasaheb Shinde, said at a news conference that he could not yet an- nounce how much grain would be imported and that this would depend upon the pro- gress of the Government's plan to build up stocks and on the effect of the monsoon rains, due in Western India in less than two weeks. Mr. Shinde said that Government efforts to build up stocks were running behind sched- ule. They had been delayed, he said, because some farmers were holding their grain in the hope that the Government would increase the price. Mr. Shinde said that the Government still intended to nationalize the wholesale rice trade later this year, as it had national- ized wheat on April 1. U.S. NEWS & WORLD REPORT Hunger, mainly resulting from drought, is rising in Africa, India, China. As things look now, the coming year could be one of the century's hungriest. In India, as the first touches of monsoon rain reach the hills, drought and famine are threatening at least 80 million people with hunger and starvation before October's har- vest. So far, deaths are minimal. But worse Is to come. Bangladesh, miserable after the civil war, has promises of enough grain from U.S. alone to supply 6 million people for a year. More is? needed. Mainland China, with one bad harvest last year, faces another. Drought or floods mean food shortages, hunger, and increasing unrest ahead. West Africa is struggling through the worst of five to seven years of drought. Six former French colonies are hardest hit-Chad, Mali, Mauritania, Niger, Upper Volta, Senegal. Mil- lions of cattle, unknown numbers of people among the 10 million threatened have already died. U.S., once beset by grain surpluses, now has not only grain-short Russia but much of the world lining up to get what grain the Ameri- cans can spare. EXHIBIT 1 FOREIGN ECONOMIC ASSISTANCE AUTHORIZATION lin millions of dollars] Con- tinuing resolu- tion, fiscal Year 1V4 Corn- allies recom- menda- tion, fiscal Fulb right year substi- 1974 1 lute 1 Supporting assistance for South 2 450.0 376.0 Vietnam, Laos, and Cambodia. International organizations 94.1 120.0 Indus Basin 9.0 14.0 Worldwide development loans . 175.8 Worldwide technical assistance 140.8 grants. Alliance for Progress 204.1 Loans (134.4 Grants (69.7 Population 89.8 New development assistance categories: 5 Food and nutrition Population planning and health. Education and human re- sources. Selected development prob- lems. Selected countries and organizations. Miscellaneous categories: American schools and 9.0 519.0 hospitals. International narcotics con- 40.0 trol program. Contingency 22.4. 23. 5 Partners of the Alliance .9 Administrative expenses (AID)_ _ 45.9 49.0 376.0 120.0 14. 0 3125. 0 100. 0 150.0 3 (100. 0) (50. 0) (4) (4) 282. 0 141.0 94.0 47.0 20.0 Totals 19.0 40.0 23. 5 .9 49.0 1, 240. 9 1, 234.4 1,017. 4 1 The same amounts are recommended for fiscal year 1975 for all programs with the exception of the international narcotics control program for which $30,500,000 is authorized and Ameri- can schools and hospitals abroad and assistance to South Viet- nam, Cambodia, and Laos for which funds are authorized only for fiscal year 1974. Estimate. In addition, $251,000,000 in loan reflows will be available for relending. r $125,000,000 earmarked out of all categories for population programs. Not more than 50 percent of the amounts appropriated for these categories may be used for grants. In addition, $251,- 000,000 in repayments on outstanding foreign assistance loans will be available for relending in fiscal year 1974. o In addition $6,500,000 in excess foreign currencies are authorized. Mr. FULBRIGHT. Mr. President, I also ask unanimous consent to have printed in the RECORD a letter to the editor of the New York Times on August 1, 1973, entitled "How Foreign Aid Hurts India," an article entitled "Foreign Aid: Politics of Resentment"; and a table showing the estimated unliquidated ob- ligations by appropriation item for fiscal year 1973. There being no objection, the material was ordered to be printed in the RECORD, as follows: [From the New York Times, Aug. 1, 1973] How FOREIGN AID HURTS INDIA To the Editor: In reference to Bernard Weinraub's July 25 news story "India Ex- presses Desire to Broaden Relations with U.S." I would like to state that better Indo- U.S. relations can only be built on a "zero aid" position. Foreign aid-that is, government-to-gov- ernment loans on low interest rates and long maturity periods-neither promotes eco- nomic growth nor betters political relations. In fact, It worsens both. The overwhelming majority of the Indian people (and, I learn, the American people as well) are against foreign aid. At best, only a small fraction of the top bureaucracy in both countries want foreign aid. In India, foreign aid sustains sometimes directly and most often indirectly the high conspicuous consumption of a small elite, and conse- quently the investment pattern based on aid availability is distorted to bolster such con- sumption. The availability of money and grain on easy terms makes this elite postpone hard decisions, on essential reforms such as econ- omy in government expenditure, land reform and tax restructure. My study shows that, consequently, a dollar of foreign aid instead of supplementing domestic saving actually depresses it by more than a dollar. What India badly needs is immediate self- reliance-that is, to tailor its import bill to its export earnings. Long-term credit on the international Capital market is also permis- sable because foreign capital obtained this way is discipined to optimal uses by the mar- ket interest rate that the Indian economy would have then to pay. To qualify for such loans, India will have to improve its "credit- rating," which will create additional pres- sures at home for serious reforms. Finally, no one in India feels that foreign aid is motivated in the 1.7.8. or Soviet Union by the "largeness of the heart" or that it entails a sacrifice for the donor country. An Index of this feeling is the fact that Mrs. Gandhi ran the 1972 provincial elections on the main, appealing plank of puma arthik swaraj, i.e., self-reliance. To deviate from this election promise is good for nobody-In- dians or Americans. SUBRAMANIAN SWAMY. (Nom-The writer is an economist cur- rently teaching at, the Harvard University summer school. He is also a member of the Central Working Committee of the Bharatiya Jana Sangh, India's second-largest political party.) [From the Washington Star-News, July 25, 1973] FOREIGN Am: THE POLITICS OF RESENTMENT (By Smith Hempstone) Of all the billions of dollars of the Amer- icn taxpayers' money which profligate ad- ministrations have sown around the world in the past quarter-century, none has reaped such a bitter harvest as the $10 billion pumped into India since 1950. It always was naive to suppose that those nations which the United States so generous- ly aided would be grateful for the assistance: Dependency is seldom a happy relationship. And yet in an era in which ironies abound, it is somehow doubly ironic that past Amer- ican generosity should poison present relat- tions between Washington and New Delhi. Just the other day, American Ambassador to India Daniel Patrick Moynihan met with Prime Minister Indira Gandhi to announce the termination of the U.S. aid program and to find a way to dispose of a mountain of U.S.-owned rupees worth $840 million which Washington cannot possibly spend and the existence of which affronts Indian sensibili- ties. The rupees are a debt incurred by Int dia for the purchase of surplus food in f a- mine years at cut-rate, long-term prices. Americans rightly find it hard to turn away from people dying of hunger. Yet it is arguable that the provision of food to avert famine did India no favor: It simply made it possible for millions of people the land could not support to survive and procreate chil- dren who, in their turn, are doomed to lives of hunger and want. Indeed, the churlish Indian response to United States assistance calls into question the whole concept of foreign aid. And high time, too. The great success of the Marshall Plan, under which Europe rose phoenix-like from the ashes of World War II, fostered the sim- plistic notion that, given enough money, technical assistance and goodwill, poverty could be banished from the earth and the Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18396 I. Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGAESSIONAL RECORD ? SENATE October 2, 1973 most backward nations introduced to the glories of industrialism and c.ecurnerism. The point the aideologists missed-0,, chose to ignore?War that, in the case of Wester:a Europe, we were dealing with nations whie:a had ahead yundergone the historical experi- ence of industrialization. They had the Allies the institutions and the desire to become again what they once had been. The founda- tions, the preconditions, were there; in West- ern Europe, the job was one of reconstruction, not construction, and the difference is im- mense. In the Third World, we were trying to build brinks without straw, and to lay them on sand. The point is that we know virtually noth- ing about the -determinants of development. Theories abound, but there are no provable absolutes. If you will look at a map of the world, You will see that, in general, the developed countries lie well north of the Tropic of Cancer (the U.S., Canada, Europe, the Soviet Union and Japan) or south of the Tropic of Capricorn (Chile, Argentina, Brazil, South Africa and Australia). In between these parallels lie the bsirefoot aations of Africa, Asia and Latin America. Some theorists postulate that Protestans- ism and Industrialization are linked, that the Moslem-Catholic prohibition against usury made impossible the accumulation of capital necessary for development. Others suggest that there is a linkage between cli- mate and development. Still others are of the opinion that diet is the determining factor, that meat-eaters ultimately prevail over grain-eaters, and grain-eaters over rice- eaters. There is always the daager of confusing cause with effect, and the probability is that there is no single reason why one nation or group of nations is developed and others are not. Religion, climate, diet, national at- titudes and social organization probably ll play a role. The point Is that only a people, a nation,. can determine what it wants to be. Nobody else can effectively make that determination. for it. Many underdeveloped natior.s want the fruits of industrialization: automobiles, sewing machines, transistor radios, Cosa Cola. But, for reasons which we do not fully understand, they are unable or unwilling to create and sustain the preconditions for their own industrialization. The concern has been more with appear- ances than with realities. Let a nation attain independence and the first things its rulers want are a steel mill, a national airline and a mammoth sports stadium. Never mind. that its real needs are a workable population- control policy, an effective agricultural ex- tension program and a system of simple voca- tional schools: These are not ego-massaging prestige projects. And when resources in the form 01 money and techninans are received from abroad, this obviates the need for their generation at home, to the detriment of local pride, initiative and the development of responsive and responsible institutions. In short, nobody appreciates something for nothing and it's high time we get out of the foreign aid business, except on a highly selective bass.. Foreign assistance and related programs-- estimated unliquidated obligations by ap- propriation item, fiscal year 1973 In millions of dollars] Appropriation title.?Title I?Foreign Assistance Activities Development assistance: Development loans (1,841. 9) Worldwide 885. 5 Alliance for Progress_ 955_ Development grants Worldwide Alliance for Progress (181.4) 110.1 51.3, Population prog: ans. 155.0 Internatimsal organizations: United Nations devesopment pro- gram and other pr?sgrams U.N. technical assistance and other programs_ U.N. Environmer t Ind_ Indus Basin De Teloarcient Fund, loans Indus Basin De 7elcs ,ment Fund, grants Refugee relief assists nee (Bangla- desh) 167.6 American schoo.s s od hospitals abroad International na root las control Contingency Fuad.. Admin istn dive expenses: AID 4.5 State 1.5 Prototype desalting plant_ 23.6 12.2 30.1 Subtotal, dev aopment as- sistance 2,397.2 Indochina postwar reconstruction Military assist ince: Military assistance_ 791.5 Regional naval t aiteng International re 11 its ry education and training Security supporting assistance__ 469.3 Subtotal military and se- curity supporting assist- ance 1,260.8 Overseas Private In-estment Cor- poration, reserves Inter-American :Tom slation (limi- tation -on obligations) 151. 1 3. 4 Total, tit e :1 Foreign As- sistance Ac, activities__ 3,776.5 Title II--Foreign military credit sales 747.7 Total title I stud title II____ 4, 524. 2 Mr. HARRY F. BYRD, JR. Mr. Presi- dent, will the Senator yield? Mr. FULBRJ GB T. I yield. Mr. HARRY F. BYRD, JR. I am not clear What the Senator from Arkansas said in regard to the settlement with the Indian Government. Did I understand the Senator to say that if that pattern is followed with all the other nations which owe meney to the United States, the cost would te $20 billion? Mr. FULBRIGHT. That is applied to the dollar clett; -hese were to a great extent foreign currency debts accumu- lated. Mr. HARRY F. BYRD, JR. That $900 million also wild le used for neighboring countries. Mr. FULBRIGHT. Their currency is not convertible. '.1'he Indian agreement did not allow that. Mr. HARRY F. BYRD, JR. I am speak- ing now of tie total Indian debt of $3 billion. Mr. FULBR1GRT. Yea Mr. HARRY F. BYRD, JR. Of the total debt, we will get $100 million. Mr. FULBRIGILT. That is right. Mr. HARRY P. BYRD, JR. Which means it is being settled at a rate of 3 cents on the lollir. The $900 million is still in local currency. Mr. HARRY F. BYRD, JR. Then there Is $2 billion in atclition to the $900 mil- lion and the $.00 Mr. PULBRIGEIT. We are forgiving the $2 billion. It is like settling a bank- ruptcy case. Mr. HARRY F. BYRD, JR. As a prac- tical matter, we are getting 3 cents on a dollar. Mr. FULBRIGHT. That is right. The PRESIDING OtaeiCER. The Sen- ator's time has expired. Mr. FULBRIGHT. I yield myself another 5 minutes. Mr. HARRY F. BYRD, JR. The Senate approved on Friday legislation which would require that settlement to be ap- proved by Congress before it may become effective. Mr. FULl3RIGHT. That is right. The Senate enacted it. I do not know when it will be passed, but I approved it. I sup- ported it. Mr. HARRY F. BYRD, JR. I offered it today on this bill, and it was approved on this bill, because I thought it might not be considered germane on the mili- tary procurement bill, but it certainly would be considered germane on this bill, which is the foreign aid bill. Mr. FULBRIGHT. Certainly. As the Senator knows, I approve of that. I think we ought to approve these settlements. I do not know that we have much alter- native? Mr. HARRY F. BYRD, JR. In any ease, since it is tax funds, money owned to the taxpayers of the country, the deci- sion should be made, not by the executive branch, but by the legislative branch. Mr. FULBRIGHT. I agree. The point is, why do we want to pour additional funds into these areas? The bill we are now considering was a substitute offered by the Senator from Minnesota and the Senator from Ver- mont. They wrpte it in collaboration with the AID people. The bill I offer as a sub- stitute is in the form of the bill which the administration favored, except for the amount. Mr. HARRY P. BYRD, JR. It is a tighter bill and it is of a lesser amount. Mr. FULBRIGHT. Yes; the admin- istration, subsequent to the action of the committee, said it would support, the committee action, because it was in a big- ger amount than my bill. Mr. HARRY F. BYRD. JR. The :Sen- ator's bill offers a lesser amount? Mr. FULBRIGHT. Yes; $217 million less than the reported bill. Mr. SYlVEINGTON. Mr. President, will the Senator yield? Mr. FULBR1GHT. I yield. Mr. SYMINGTON. As I understand it, the proposal would reduce substantially funds for the Alliance for Progress. As I also understand it, a task force is already at work so as to get up aid to the new government of Chile. As I under- stand, if any of our aid money goes to Chile, it would come out of Alliance for Progress loans and grunts; ccrrect? Mr. FULBRIGHT. That is correct. Mr. SYMINGTON. There is an article in Newsweek of October 8, 1973, entitled "Slaughter in Santiago." I have seen many resports of organized murder, but this one is about the 'a'orst. It is a report by one John :Barnes, who tells in detail of these frightful killings of the Chilean people, despite the denial by the Chilean Government that anything of that char- acter is going on. Inasmuch as I am told the AID people are already planning to now send aid to Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 _Approved For Release 2001/08/30 ? CIA-RDP75130030R000600170002-0 October 2, 197d CONGRESSIONAL RECORD ? SENATE Chile, and inasmuch as we very promptly recognized this takeover by military totalitarians of a duly elected govern- ment, regardless of the merits or de- merits of said previous administration, this amendment would make it more dif- ficult for us to give aid to this military junta, would it not? Mr. FULBRIGHT. I do not know. The administration intends to give them aid. They recognized the new government quickly, and I assume they approve of it. The administration continued to give military equipment, but cut off economic aid during the Allende regime. The ad- ministration was devoted to supporting the Greek colonels. The Foreign Rela- tions Committee voted to stop aid to the Greek colonels when they were alleged to be mistreating people, but the ad- ministration overrode the Senate. Mr. SYMINGTON. In this article, John Barnes writes after being told eight peo- ple were the total killed: Last week I slipped through a side door into the Santiago city morgue, flashing my junta press pass with all the impatient au- thority of a high official. One hundred and fifty dead bodies were laid out on the ground floor . . . I ask unanimous consent that at the end of this colloquy the article in ques- tion, "Slaughterhouse in Santiago," be printed in the RECORD. The PRESIDING OFFICER. Without objection, it is so ordered. (See exhibit 1.) Mr. SYMINGTON. Mr. President, I support the amendment of the distin- guished chairman of the Committee on Foreign Relations. It would seem we are having enough problems with our econ- omy at home without taking the money of our taxpayers to support governments that operate on any such basis. Exinarr 1 SLAUGHTERHOUSE IN SANTIAGO Pablo Neruda, Chile's Noble Prize-winning poet, was dead of cancer, and even as his body was lowered into its grave, his country- men set about trying to murder his words. Books of all kinds, not only Neruda's but those by Mao and Marx and Marcuse, were seized by the tens of thousands from homes, bookstores and libraries and then fed to bonfires in the streets of Santiago. And the military junta that has ruled Chile for three weeks didn't stop there. Chilean uni- versities, once proud bastions of inde- pendence, were purged of suspected leftists, and ordinary people learned to dread the midnight knock on the door. All that was bad enough, but Newsweek correspondent John Barnes discovered last week that the reign of terror has already gone much fur- ther than most people thought. Below, Barnes's report: The military junta will not admit that there have been mass executions since the overthrow of Salvador Allende's Marxist government. "We have executed perhaps eight people since then for shooting at troops," Col. Pedro Ewing told newsmen. But that simply is not true. Last week, I slipped through a side door into the Santi- ago city morgue, flashing my junta press pass with all the impatient authority of a high official. One hundred and fifty dead bodies were laid out on the ground floor, awaiting identification by family members. Upstairs, I passed through a swing door and there in a dimly lit corridor lay at least 50 more bodies, squeezed one against another, their heads propped up against the wall. They were all naked. Most had been shot at close range under the chin. Some had been machine-gunned in the body. Their chests had been slit open and sewn together grotesquely in what pre- sumably had been a pro forma autopsy. They were all young and, judging from the roughness of their hands, all from the work- ing class. A couple of them were girls, dis- tinguishable among the massed bodies only by the curves of their breasts. Most of their heads had been crushed. I remained for per- phaps two minutes at most, then left the building. The next day I returned to the morgue with a Chilean friend so that I would have a witness. I also took along a camera. As I walked through the swing doors of the cor- ridor the sickly sweet smell of the decom- posing bodies almost knocked me back. There were more bodies, perhaps 70, and they were different from the day before. Just as I was pulling the camera from my jacket, a man in a white coat walked through the doors at the other end of the corridor. "What do you want?" he asked. "I'm look- ing for the bathroom," I said. "Come-with me," he said. As I followed him, I took a sharp right and ran out of the building. He shouted after me but did not try to follow. I did not have the courage to try again. Later, in my hotel room, my friend burst into tears. "These were my countrymen," he cried. "My God, what has happened to us?" BODIES Workers at the morgue have been warned that they will be court-martialed and shot if they reveal what is going on there. But I was able to obtain an official morgue body- count from the daughter of a member of its staff: by the fourteenth day following the coup, she said, the morgue had received and processed 2,796 corpses. No one knows how many have been dis- posed of elsewhere; a gravedigger told me of reports that helicopters have been gathering bodies at the emergency first-aid center in central Santiago, then carrying them out to sea to be dumped. One priest informed me that on the Saturday after the coup he had managed to get into the City's Technical University, which had been the scene of heavy fighting, on the pretext of blessing the dead. He told me he saw 200 bodies, all piled together. Tales like that abound in Santiago, and though information is almost nonexist- ent for the rest of Chile, the presumption is that the executions have followed a similar pattern in other cities. But the morgue count alone sets the regime's kill rate at an appal- ling 200 Chileans a day?just for the capital. With hardly an exception, the victims come from the poblaciones?the slums that en- circle Santiago and house half the city's 4 million inhabitants. During the three turbu- lent years of Salvador Allende's administra- tion, the poor of the poblaciones never wav- ered in their support of his government, for the fact was that the rotos (broken-down ones, as they are contemptuously called by the more affluent) had never had it so good. Despite the soaring inflation, they earned enough money to buy undreamed-of luxuries like new clothes, radios, television sets, re- frigerators. Community food-distribution centers in the poblaciones were always well stocked, while the shelves of stores elsewhere remained barren. Presumably, the junta be- lieves that since the poblaciones provided the former government's main support, they must be terrorized into accepting the fact of its demise. So the local leaders are now paying with their lives for their love of Al- lende. Not one poblacion has escaped the terror. ROUNDUP I spoke with three women from the Pin- coya poblacion. One of them, a mother of S 18397 two, had just found out that she was a widow. She told me this tearful story: "Sol- diers raided our problacion last Saturday at 8 in the morning. In the section where we live, they rounded up about 50 men and held them until a police lieutenant came to take his pick. When the lieutenant saw my husband, he made him step forward and told him: 'Now you will pay for all you people have done.' The oarabineros took him and a few others to the police station, and the rest were arrested by soldiers." For three days, she and the other women of Pincoya searched for their men in police stations and the two soccer stadiums where thousands are incarcerated. It was only after they heard that a 17-year- old boy from their block had been found at the morgue?shot in the head and chest? that they made the journey to see the lists of the dead. There they found her husband, Gabriel, as well as every adult male from one block of their poblacion. I joined a funeral procession of weeping families following three coffins to burial. Carabineros, I was told, had raided a home in the Parque Santa Maria poblacion and had picked up three petty thieves aged 18, 19 and 20. A sergeant told them they would be released if they paid 7,000 escudos?only $5, but a lot of money to the poblaciOn poor. Their barrio raised the money and the youths returned home. But two hours later, a car- abinero patrol came back to get them. That was the last their families heard, until they found their names on the morgue list. One of the boys was so riddled with bullets that they could hardly dress him for burial. But the fate of the other two was worse. Coffins in Chile have small window doors over the face of the dead, and the women opened them for me. There were no heads inside. Orlando Contreras, who lives with his wife and seven children in the Jos?aria Caro poblaciOn, is in daily dread of an official knock at his door. He is a laborer who worked in Santiago's office of social development, a particular target of the new regime. And he is well aware of the danger he faces, should the soldiers come after him. On the day the coup took place, he told me, he and one of his sons saw ten high-school students marched from their school, their hands over their heads, after a brief skirmish with car- abineros. They were forced to lie face down on the ground, and then a policeman walked the line of prone youngsters, spraying them with m.achinegun fire. The stories of atrocities are endless, and by now, inhabitants of the poblaciOnes are utterly terrified. "I am too afraid to look for him," says a woman from the Ultima Hora poblacifin, whose husband was last seen covered with blood being hauled away in a police truck. "I am afraid that they will take me, too, and what would happen then to my four children?" Many are now afraid even to associate with families that had any con- nection with Allende's regime?whether as party members, union leaders or employees in the food-distribution centers. "They can kill whomever they want to kill," says Con- treras bitterly. "There is nothing, absolutely nothing, that we can do about it." Because of the total censorship of domestic reporting, most middle- and upper-class Chileans have no idea what is happening. They hear rumors, but their hatred for Al- lende compounded by their historic contempt for the roles leaves them little desire to verify them. Many do not believe the stories about slaughter in the poblaciones; many simply don't much care. "Why should we?" a Chilean lawyer asked me over an expensive lunch in a wealthy section of Santiago. "I don't believe the stories you tell me, but after the things the supporters of Salvador Allende have done to Chile, they deserve whatever happens to them." The PRESIDING OFFICER. The Sen- ator's time has expired. Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 Approved For Release 2001/08/30 : CIA-RDB75B.QMOR000600170002,- S 18398 CONGRESSIONAL RECOttii ? SENA IL uc0tober Mr. AIKEN. Mr. President, in order to put things in their proper perspective, I would like to state that the amend- ment offered by the chairman, the Sen- ator from Arkansas (Mr. PTJLERIGHT), is the proposal which Mr. Haldeman and Mr. Ehrlichman approved when they were top officials in the White House. The amendment offered by the Senator from Minnesota and myself is the pro- posal Dr. John Hanna, who was -three- tor of AID in those days, submitted to the White House, and he did not get to first base with it. However, Dr. Hanna knew what he was doing. His bill was a good. one. And after the ''high commissioners," as you might call them, had left the Waite House, those who came in and replaced them supported his bill, approved it, and the Senator from Minnesota and I have offered it. The adoption of the amendment of- fered by the chairman of the Foreign Relations Committee would undoubtedly mean the death of foreign aid. It means that, if it is approved, the task of getting a bill out of conference will be much tougher, and undoubtedly impossible. The Senate and House have already passed separate versions of military aid legislation. That will make our task in conference complicated enough. If we now add to it separate and 'distinct eco- nomic aid measures, the differences in conference will be so great that the most likely outcome will be no foreign assist- ance legislation at all. There may be some who wish such an outcome. There may be those who say that we should give up all foreign aid completely and should forget these coun- tries whicle we have helped for the last 20 years. Indeed, this is a legitimate and valid goal if that is the way they feel. However,-if the Senate wants to end the foreign assistance program, then it should legislate an end to it. It should not fall into the trap of using the pro- cedures of Congress as a means of ac- complishing indirectly what cannot be accomplished directly. I fear that the pending measure leads us to the brink of that trap, and if it is approved today, it may well leave the en- tire economic aid program in a dire condition. We cannot afford to sever our humeni- tarian connections with the rest of the world in this manner. I hope that the Senate will reject the amendment. Mr. JAVITS. Mr. President, a ould the Senator yield me 5 minutes? Mr. AIKEN. Mr. President, I yield 5 minutes to the Senator from New York. Mr. JAvrrs. Mr. President, this would replace essentially what the Chu nth amendment would have done, an amend- ment that the Senate defeated narrowly. At a time like this when we scrutinize so carefully every particular expenditure, I think the fact that 47 Members of the Senate felt in conscience that they otght to vote "no" is an excellent endorsement of what the committee did. Second, and in addition to a steeper cut than the Senate rejected when it re- jected a cut of $134 million already, the Senator from Arkansas (Mr. Foramen:0 proposes that ?173 make a cut of $217 million. The Fulbripht Amendment rejects any hope of any new concept in this field. I can only cor chide, because in essence that is what the Senator says in his mi- nority report which is before the Senate, that it mean; really a rejection of the whole thing. On page 66, the Senator from Arkansas (Mr. FULBRIGAT) in his minority views, says: Rejection of thia bill would be a step in the right directio:n. A major portion of this bill is but a camtuflage job to give a new lease on life tc a clscredited program. In my judgmer t, this kind of cut, steep as it is, means in essence rejection. We simply cannct move in respect of any kind of an appreciable program which is respectable enough for our country with respect to the rest of the world if we make this kind of steep cut. Let us rem miter that the Senate has already decked in the second Church amendment to anocate cuts. Without any question, the recycling of funds for all practical purposes puts another $250 mil- lion in the bill into the straight authori- zation and re appropriation route rather than stamping it as a circulated fund out of which foreign aid may be forth- coming. Mr. Presdent, I think that perhaps the most darnagiag part of the amendment which the Senator from Arkansas offers to the Senate is the fact that it eliminates in one pen staokl any effort to bring the foreign aid program into areas where it must go after a maturation of such a long period of 3 ears. It eliminates the opportunity for es to reach what we now consider to be Its best constituent popu- lation?namely, the very poor and the very poor nations through a sectoral funding approach which has been in- cluded in the bill through the gifted in- tervention cal Dr. Hannah as carried through -by I he Senators. Mr. President, feel that it would be a great mistake on our part to turn back the clock at thie time. The real issue is between whellier we want any program or whether we went one. Mr. FUL.BRIGHT. Mr. President, will the Senator yield? Mr. JAVITS. I yield. Mr. FULERIGHT. M. President, I made my position clear. I have stated for the last 5 years that I support a full- fledged multinsaional foreign aid pro- gram. I have never voted against any appropriations for any international organizations The trouble in that they are moving on both fronts:: bilateral and multilat- eral. I cannot support both. This pro- gram engage; us in the internal affairs of other countries. I think that it is time to end bilateral assistance encert for very small tech- nical assistance programs. Mr. JAVITS, Mr. President, I have heard the kenator with great respect, as I always d a However, today the "they" is veny important to identify in his statement. Arid the "they" is the very body which the Senator appeals to, in my judgment, to dismantle the bilateral aid program. 2, 1973 The fact is that the Congress has- not appropriated the necessary resources for these international agencies. We are a year behind in respect to the World Bank, although our percentage has been materially reduced. It has been reduced from 40 percent to one-third? We have already appropriated half of what we said we would do as far as the International Bank is concerned. We have appropriated nothing for the Asian Bank, although the Japanese have put up the money. And we have appropriated nothing for the African Bank. That does not put any money in any bill or provide any services or anything else. I feel about this as I argued with re- spect to the Church amendment, that it becomes shameful at this point that our Nation, with relatively great re- sources shodid act in this manner. Al- though surely we have many poor citi- zens, and life is a matter of degree, the fact is that we cannot satisfy every need around the world. That does not mean that we should not look after on a phil- anthropic and a humanitarian basis, other people. I always do, and so does everyone else. There is no reason why we should practice a different kind of morality internationally than we do personally and nationally. Two-thirds of the world is abjectly miserable compared to us. How can we, 200 million Americans, who live in a state that is unparalleled in mankind, avert our eyes and say that $1 billion Will corrupt the $250 million budget. I deeply believe that, and I deeply be- lieve that the American people would feel that we would have to give foreign aid to other peoples of the world. We rehabilitated Europe when it had problems. And we have rehabilitated other countries. We give our poor less, perhaps, than we should. Life is like that. We cannot exactly apportion things with a scalpel and say that this is what it should be. We are now away under the margin, and that is indicated by the fact that other countries are doing a great deal more than we. And they are no angels. They are just as selfish and have as many problems as we have. This goes for coun- tries in the world that have hall and one-third the income that our country has. I think that the common decency which the American people have always shown dictases that this program can- not be cut any further, although by a narrow margin that is what my col- leagues decided on the Church amend- ment. The Senate should decide against the Fulbright amendment. Mr. HUMPHREY.. Mr. President, how much time remains to the opponents of the amendment? The PRESIDING OFFICER. The op- position has 15 minutes remaining. Mr. HUMPHREY. I yield myself 10 minutes. Mr. President, first I want to express my thanks to the Senator from Vermont, the distinguished dean of the Senate, and to the Senator from New York, one of the most active, able, and dedicated Members of this body in the field of Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 Approved For Release 2001/08/30 : CIA-RDP751300380R000600170002-0 October 2, 1973 CONGRESSIONAL RECORD ? SENATE S 18399 foreign relations, for their penetrating arguments in opposition to this amend- ment. The argument has been made again and again, in and out of committee and here again today. I rise in opposition to the amendment. Mr. President, I never thought I would see the day when the chairman would rise in this body to support the same old foreign aid. Indeed, his posture is doubly anomalous in the light of his new assist- ance package, S. 2059, which is pending in committee. I suppose. that he sees the old foreign aid concept as more vulner- able to our existing criticism and, finally, to the substitution of his new concept.* Let us not be confused by this ma- neuver. As I stated in my opening re- marks, our committee has been after the executive branch to change its direc- ' tions in foreign aid for quite a few years. We have expressed our concern with the failure of our aid program to reach the poor people of lesser developed coun- tries and with its failure to address those people's human problems, such as mal- nutrition, overpopulation, and illiteracy. We did that as early as 4 years ago, when we were scarcely noticed, and we voiced our concerns again 2 years ago. Well, we generated some talk but not much action. Dr. John Hannah, whom I have known for many years and whom I consider to be an extremely able AID Administrator, heard our concerns and started trying to change the AID pro- gram to meet our concerns. But Dr. Han- nah could not get the rest of the admin- istration to propose new legislation along these lines. Therefore, a bipartisan group of Sen- ators and Members of the other body in- troduced a bill to execute our ideas. Thir- teen Senators, six from the majority party and seven from the minority, cosponsored the original legislation. Twenty-six Representatives-17 Demo- crats and 9 Republicans?sponsored the House version of our bill. The Senate Foreign Relations Committee reported it by a 12 to 3 vote. Why? Because it is not the same _old foreign aid. The committee bill, not the chairman's substitute, meets Congress' concerns with the foreign aid program and re- structures it to assure that these con- cerns are adhered to. The committee bill embodies our general policy in seven spe- cific expressions and guarantees the execution of that policy by authorizing foreign aid by impact sector rather than by method of delivery. Let us get specific. We would authorize $282 million for agriculture, rural devel- opment and nutrition to alleviate starva- tion, hunger, and malnutrition and to provide basic services to poor people. We would authorize $141 million for popula- tion planning and health to increase the opportunities and motivation for family planning, to reduce the rate of population growth, to prevent and combat disease, and to help provide health services for the majority of poor people. We would authorize $94 million for education, pub- lic administration, and human resource development to reduce illiteracy, to ex- tend basic education and to increase basic skills. Recognizing the need for, but the nar- rower impact of, big project assistance, we would cut authorization in this field to $47 million, to help solve economic and social problems in fields such as trans- portation, power, industry, urban devel- opment, and export development. We would also cut the authorization for gen- eral economic support programs, in this instance, to $28 million, again recognizing that the impact of such programs is not as directly related to the poor people as we would like it to be. Mr. FULBRIGHT. Mr. President, will the Senator yield for a question? Mr. HUMPHREY. On the Senator's time. Mr. FULBRIGHT. Yes; I yield myself 1 minute. Is there any project that the Senator can think of that could not be financed under our substitute, that is authorized under the Senate bill? Mr. HUMPHREY. I do not think that Is the issue, as the Senator will find out as I go into it. The point is that Congress is saying how we should spend this money. The Senator, believe it or not, is saying we are just going to leave it up to the administration. What we are doing is saying there are certain sectors where this money will be expended. Mr. FULBRIGHT. But the Senator says, under his bill, 50 percent of it can be given away, exactly the same way I would give it under my bill. There is no difference whatever in the type of activ- ity that can be financed under either bill. Mr. HUMPHREY. May I say the Sen- ator's language speaks for itself. The PRESIDING OFFICER. The Sen- ator's 1 minute has expired. Mr. HUMPHREY. It says what can be done, while the Senate bill that we have before us tells what will be done. It points the direction; it is a map clearly outlining it. What the Senator from Arkansas says is, "Here is the whole blank check; make the choice of the way you want to go." We are saying we have gone up that wandering trail in the past, and we want to have these funds dedicated to certain areas of conduct and activity. Both the committee bill and the chair- man's substitute authorize the use of loan repayments for future foreign aid loans. It is interesting to me that the chair- man of the icommittee voted for the Church amendment, which would com- pel the loan repayment program to go to the Appropriations Committee, even though his own substitute ignores that very vote here today in the Senate. Our bill, however, limits the uge of these re- payments to a maximum of one-third for any of the five impact sectors. The chair- man's bill does not limit it at all. Thus, we are sure that these repayments will be directed into future loans with direct impact on poor people. Under the chair- man's substitute, we have no such as- surance of the direction of future loans to be made from repaid foreign aid loans. The chairman's substitute is even more deficient in its basic approach to foreign aid. It continues to leave the executive' branch with complete flexibility in pro- graming loans and grants, regardless of the impact of those loans and grants. Under the chairman's substitute, "the old foreign aid concept," the executive branch could put the entire foreign aid program into general budget support for a select number of countries which it happens to favor at any given time, re- gardless" of the impact on malnutrition, overpopulation or illiteracy. Our bill, on the other hand, guarantees at least $282 million to help undernourished people, $141 million to help combat overpopula- tion and $94' million to educate and train the less fortunate. We care, and we want the impact of our cares guaranteed by legislation. The new foreign aid, the com- mittee bill assures that impact. The chairman talks of cosmetics, and argues that our bill is merely painting up the old girl and waltzing her out again. Well, I cannot buy that argument. When we put title X in the Foreign Assistance Act to assure an impact on population programs, we were not engaged in cos- metics. The Congress wanted to make a dent on worldwide overpopulation and we set aside $125 million each year for that purpose. That money cannot be used for general budget support, for ce- ment plants, for power stations or even for agricultural development or educa- tion. It is population money, and the GAO will assure that we get our dollar's worth in this area. What we did in the area of population a few years ago, we are doing with almost all of foreign aid this year. We are going to get an impact in beating malnutri- tion to the tune of $282 million in popula- tion and health to the tune of $141 mil- lion and in education and human de- velopment to the tune of $94 million. We are not going to rely on the good will of the executive branch to get that impact; we are going to write it into law. The chairman would let us continue to rely on the executive branch. The chairman's substitute and his new bill are all caught up in methods of as- sistance rather than the result. Like the chairman, I think AID has made mis- takes in the past?it has put too much money in governmental budget support and showcase projects. Unlike the chair- man, I do not thnik the AID establish- ment is all wrong?I think its direction has been. With Dr. Hannah, we turned that agency around and now we are go- ing to guarantee that it does not revert to its old practices. We are going to write our impact provisions into law, just as we did with population in title X. If you vote for the chairman's sub- stitute, you cannot be sure of what im- pact you will get for your foreign aid dol- lar. His substitue provides a cut of $167 million but returns no congressional con- trol on what his bill would authorize. I wish other Senators were here. We have been talking about wanting Con- gress to have more control. The substi- tute by the distinguished chairman gives Congress no control. Our bill does. We are responding to what has been the concerns expressed in this body. We have worked too hard on redirect- Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18400 a Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ? SENATE October 2, 1973 jag the foreign aid program to turn it over to two new men, Dr. Kissinger and Mr. Parker, without a clear statemene of what we want?and what we are going to get?With our aid dollar. I think it is unwise. Even if, after we have hearings on the chairman's new packaging bill, we decide to come back to the Senate with a bill to create a new agency, we want to be sure, in the meantime, that the present Agency gets the foreign aid dollar wh eye we, the Congress, wants it to go. This is not putting makeup on the same old girl?it is washing her face and getting her in a completely different line of work. I think that should be taken note of. Laughte.r. 1 Mr. President, I urge the Senate to op- pose the amendment offered by the chairman of the Foreign Relations Committee. His amendment would continue the present unsatisfactory status quo in the economic aid program and reduce the amounts to be authorized by the bill by nearly 2a percent. After years of growing dissatisfaction with the foreign aid pro- gram, I hope that the Senate is not going to reject this congressional initiative to change the existing policy. Contrary to the statement made by the Senator from Arkansas, this bill does initiate a :new policy for our bilateral economic aid pro- gram. And this new policy originated in Congress., not the executive branch. It is one which Congress persuaded the ex- ecutive branch to accept; not the other way around, as the Senator implies. This bill starts from the proposition that the poorest majority must share in the work of building a nation and must share more equitably in the fruits of de- velopment at the outset?nOt at some future date after growth targets have been met. It insures that the benefits of the foreign aid program actually reach the people. By specifying the fields of endeavor which most directly benefit the Poorest majority and committing money to each of those sectors, this bill chan- nels our aid to the people. Each field is responsive to a deeply rooted human problem that permeates the societies of the low-income countries. The three fields of' major emphasis are first, food, nutrition, and rural development, sec- ond, population planning and health, and third, education and human resource de- velopment. This new approach will en- able the little guy to be reached more directly. It represents a major change in direction from the way the foreign aid program has been carried out in the past. This bill also recognizes that America's responsibilities with respect to the de- veloping countries reach far beyond our aid programs. U.S. policies on trade, in- vestment, science policy, oceans, debt re- lief, and other subjects may affect very profoundly the destinies of the poor countries. Yet, until now, these policies are made without coordination?without systematically informing ourselves of how they will affect our interests in de- velopment. This bill institutionalises a coordinating procedure that would in- sure that the development factor was always considered. In order to do this, the bill sets up a Development Coor- dinating Committee and makes as its Chairman the head of AID. This proce- dure will, fos the first time, provide a means for considering in one place all of the ramification; of U.S. policies on the developing cc unt ries. The Senator :1-cm Arkansas has al- leged that this bi I weakens congressional control over he foreign aid program. It does just the op ;iosite. Under the exist- ing system Congress votes large lump stuns labelei simply "developmental loans" and "-ant nical assistance" which the executive blanch can distribute as it sees fit. Ur der the new approach in S. 2335, Congress specifies very precisely how it wants the foreign aid money it ap- proves to be used?so much for each of five differen; categories. And projects must be justified to Congress for those categories. This bill is net a cosmetics job. This bill will insur ; that our taxpayers' money, that is spent for toreign aid, actually gets down to the people. It turns away from the trickle-down theory that general eco- nomic devel >lament will automatically help the ME) SSe: This bill changes all that. It sets up a new system and new criteria which viii channel our foreign aid into projects and programs that touch the daily lives of the poor in the poorest coun ale,. Now, let UE talk about the amounts; in- volved here. The Senator from Arkansas would cut the stathorizations in this bill by $217 milion. I want the Senate to know that tae amounts in this bill are the lowest re:ore mended for these activi- ties since the fel eign aid program began. The committee already cut the adminis- tration's request by $276,000,000. And this bill is $377,000,000 below the com- parable total in the House bill. Certainly foreign aid should not be continued or, a -business as usual" basis in view of our grave fiscal and economic problems. The committee has acted in a responsible 'way to see that foreign aid bears its fair shire of the belt-tightening needed to get the Federal budget in line and our priorities in proper order. This is a tight bile, 'There is no fat in it. Mr. President. in summary, I urge the Senate to oppose the amendment. It would continue the present unsatisfac- tory status we I am amazed that the Senator would even offer it. May I say, on behalf of the administra- tion, that once we came up with this con- cept we have here, we had the support of the Presider t, ae had the support of the State Department and we had the sup- port of the LID agency. But we wrote the bill. It was start :id in the House of Repre- sentatives. It was joined over here in the Senate. We h td a meeting with Dr. Harms, and he I iimself went to the Secre- tary of State ant to the President and got support for our efforts. Mr. AIKEN. Mr. President, will the Senator from Minnesota yield at that point? Mr. H1ThVIIREY. I yield. Mr. AIKEN. I want to state that Dr. Hanna did riot get the support of the White House Intil there had been a change in he high ranking personnel there. Mr. HUMPHREY. The Senator from Vermont is absolutely right. Let me tell you, Mr. President, that the amendment we have here as a substitute is known as the Haldeman-Ehrlichman proposal [Laughter.] That is what it is. We got rid of them. I think, with Dr. Kissinger and with Mr. Parker coming in, that if we lay down these guidelines we will have better foreign aid. I do not say it will be all we want it to be, but I have heard about foreign aid being a failure. Well, we have not, abolished poverty in the United States, but I am not about ready to abolish the aid programs we have now for the American people. We have not abolished discrimination in the United States, and we have passed law after law, but I am no; about reedy to give up on the Civil Rights Act of 1964. The PRESIDING OFFICER. The time of the Senator has expired. Who yields time? Mr. FULBRIGHT. Is the Senator through? Mr. HUMPHREY. No, I am just relax- ing. [Laughter.] Mr. FULI3laIGHT. Mr. President, I ask for the yeas and nays. The yeas and nays were ordered. Mr. FULB1RIGHT. Mr. President, while the Senator relaxes a moment, I yield myself 5 minutes. The PRESIDING OFFICER. The Sen- ator from Arkansas is recognized for 5 minutes. Mr. FULBRIGHT. Mr. President, I would only comment that the news that Haldeman and Ehrlichman worked on this bill is news to me. I never before heard any time in any of the hearings that they had interested themselves in this foreign aid bill. That is something that is a new line of activity, so far as I know. Mr. President, the Senator says he is dressing up an old girl. This is an old girl, and I am glad she is trying to re- form. But my experience has been that when we try to reform an old girl the reformation does not last beyond the weekend. Laughter. There is nothing new about this.. What we are concerned about is the effective- ness of the expenditure of the money that we put out in these many fields. The Senator from New York made an impassioned argument that what is in- volved here is just human decency, tin- plying that this is a charitable under- taking. Actually, on that basis, I suppose it could be justified if we felt like being charitable to that extent. But I say that, even after we have tried the program of aid for so long, the, only success that can be cited, of any consequence, is Western Europe under the Marshall Plan. And that was not comparable in any respect whatever to the undeveloped countries where they are trying now to remake a society. Bilateral aid has been almost a complete failure in practically all of these places. There are a few little showcases where we have scent billions and billions of dollars, but I do not believe it is possible for us to contemplate doing that, in a comparable fashion, all over the world. I have said before, and I say again with regard to what the Senator from Approved For Release 2001/08/30 : CIA-RDP751300380R000600170002-0 04' proved For October 2., 19q proved :Ryems)75%9M000600170002-0 New York said, that I have supported and voted for the appropriations for the multinational organizations in this field, -such as the World Bank, IDA, IFC, the Inter-American Bank, and the Asian Bank. I would support the multilateral institutions because they are the only way that avoids our becoming involved In the internal affairs of these various countries, which we are doing now. If Congress and the Senate continues bi- lateral aid, then I will have to with- draw my further support, or additional support, of the multinational programs, because I do not believe we are justified in doing both. Mr. PASTORE. Mr. President, will the Senator from Arkansas yield? Mr. FULBRIGHT. I yield. Mr. PASTORE. I merely want to say that for the 23 years that I have been in the Senate, I have always supported foreign aid. I daresay, with the excep- tion of the bill the last time, when it was More or less a matter of parliamentary maneuvering on the floor, many of us voted against it as a remonstrance against it, and then the vote was changed. But I have become weary over the years. I believe in the argument of dignity and humanitarianism. Naturally, the American heart has always been a big heart. No matter where in the world, ,we have always shared our largesse. We have helped the poor; we have helped people in cases of tragedy. But things are beginning to happen in our own so- ciety that give us pause in this day and age. Just the other day, while coming back to Washington from my State by plane, on September 24, I read in the news- paper an article captioned "Old, De- caying Room Fills Widow's Day." This is out of Miami. This is what the article says: The room is old and decaying and filled with her memories, and from the window Flora Scheurman sometimes sees other old people pawing through garbage cans for scraps of food. Mind you, this is in America. This woman of 79 says: I'm in this room six years now. It's up to $85 now. I'm worried that it might go up to $100, and I don't know what I'll do then. How can I pay that out of $147 a month? Then she goes on to say: I don't know what T'd do if I didn't get it. It makes your heart bleed to open the win- dow and see some of those old people eating out of garbage cans, looking for a scrap of bread. The article concludes: Mrs. Scheurman said she sometimes won- ders why the government spends millions of dollars on foreign aid and politics while the old people who supported it are 'allowed to live in poverty. Just the other day, we had the pro- posal with respect to the increment under social security. It was the Senator's amendment, and I was happy to cospon- sor it. The President of the United States said we cannot pay it before July 1, 1974, because that would be inflationary. Here we are with a bill involving more than a billion dollars to feed the hungry throughout the world?a great thing, a noble thing. But when are we going to begin to take care of our own? How does one stand on this floor to enforce that case and emphasize the fact that charity begins at home? We learned that at our mother's knee. We are not doing it for our elderly in this country. We are not doing it for our underprivileged in this country. Every year?year in and year out?this Foreign Aid bill comes up here. I con- gratulate the committee for cutting it by 26 percent. It should be cut even more, until we begin to provide for our own. Every day I receive letters from the elderly: "I'm looking for a little place to live, and I cannot find one." And this administration has cut out the building for the elderly. People write to me and say, "I cannot live on my social security." Just the other day, I was visited in my office and I was told that if an elderly couple not on relief want food stamps, they have to go to the relief office, and they will not go because they are too proud. Talk about dignity?we have dig- nity in the American soul, but it is being neglected. So I say that unless this bill is cut a litle further, lam inclined to vote against it. I hope it is eta a little beyond the 26 percent, because I want to see our 'elderly in America provided for. I am sick and tired of hearing that every time we give 10 cents on social security, we are talking about inflation. Mr. President, I ask unanimous consent to have printed in the RECORD the entire article to which I referred. There being no objection, the article was ordered to be printed in the RECORD, as follows: OLD, DECAY/NG ROOM FILLS WIDOWS DAY (By Eric Sharp) MIAMI.?The room is old and decaying and filled with her memories, and from the win- dow Flora Scheurman sometimes sees other old people pawing through garbage cans for scraps of food. "I'm in this room six years now," says Mrs. Scheurman, 79. "It's up to $85 right now. I'm worried that it might go up to $100, and I don't know what I'll do then. How can I pay that out of $147 a month?" Mrs. Scheurman lives on about $4.70 a day provided by two welfare checks. She suffers more financial hardships than thousands of the retirees in the Miami area?and is bet- ter off than thousands more: Until the federal government funded a hot meal program recently, it cost her more than $2 for her one meal a day. Now, she gets a hot meal at midday for 50 cents, but there are many who don't. "Before the new program started, I used to run out of money at the end of every month,' she said. "Sometimes, I had a can of soup or something to tide me over a few days. Other times I did without. "I don't know what I'd do if I didn't get It. It makes your heart bleed to open the window and see some of these old people eat- ing out of garbage cans, looking for a scrap of bread." The plight of the elderly poor in Mi- ami received national publicity recently when police and storekeepers said retirees hit by inflation were shoplifting everything from vitamins to meat. Max Friedson, 75, head of the Congress of Senior Citizens, said some 250,000 retirees live around this city of 1.2 million, and he estimates '70 per cent need some kind of wel- fare assistance. "People come dawn here on a fixed income for the golden years" he said. "Then infla- S 18401 tion eats their income up. Then one of them gets sick and dies after medical expenses eat up their savings. "Then the survivor can't afford to keep up the little house or apartment they bought and end up living in poverty." To Friedson, children who send parents to live out their years in the sunshine often do them a disservice. "These old people are proud, and they don't want to be a burden on their families. A lot of times it isn't until the autopsy that the family learns Mamma starved to death," he said. Mrs. Scheurman's room is in the old Miller Hotel. Its salad days long past, the Miller and many small hotels like it house thou- sands of old people in a neighborhood shared with small shops, most of them run by im- migrant Cubans. She was born in Nashville, Tenn., and worked as a practical nurse for many years until illness forced her to stop. She has been in the Miami area since her husband died in 1937. Her room has a single bed, a dresser, a couple of small tables, two lamps and a fan, all supplied by the hotel. She said the only things she owns are her few clothes, a small television and radio, two pictures, a clock, some books and vases of artificial flowers. Mrs. Scheurman said she last bought a new dress seven years ago, and her wardrobe was augmented two years ago when a rela- tive gave her nine unwanted dresses. "The owners of this hotel are very nice. They help the old people as much as they can, and they have a man on duty all night in case you need help," she said. Mrs. Scheurman's main fear is illness. In the past seven years, she has been hospital- ized several times for various illnesses. "The last time, I had a bleeding ulcer. I passed out over the fan there. I don't know how long I lay there, but I managed to crawl to the phone and the desk clerk called some friends," she said. For many of the elderly, most of whorn live alone, life ends on an apartment floor because they are unable to crawl for help. Mrs. Scheurman said she can't afford bus fare to visit parks and stores, so tedium is part and parcel of her life. "I get up about 7 each morning and have a cup of Sanka and some Tang. Then I go down to the church for lunch. I usually get home about 1.p.m. and watch my soap opera. Then I sit for the rest of the day. I can't read much any more because everything runs together after a few lines," she said. Mrs. Scheurman said she sometimes won- ders why the government spends millions of dollars on foreign aid and politics while the old people who supported it are allowed to live in poverty. "But I'm not unhappy, and I'm not afraid to die," she said. "I sometimes wonder, 'Why can't I go.' But wanting to die is a sin and I ask God to forgive me." The PRESIDING OFFICER. The Sen- ator's time has expired. Mr. HUMPHREY. Mr. President, how much time do I have remaining? The PRESIDING OFFICER. The Sen- ator has 2 minutes remaining. Mr. HUMPHREY. Mr. President, I join the Senator from Rhode Island in his sense of compassion. I think my record in this, body indicates that?publicly and pri-ately. It is not a question of either/or. The question before this body is whether or not we just want to forget the rest of the world and pay a price, as we paid once before. We are not throwing this money away. If one wants te look at it in eco- nomic terms, it comes back to the United States?more than 80 percent of it. It Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 S 18402 it4 ? ,oe Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0 CONGRESSIONAL RECORD ? SENATE October 2, 1973 creates jobs; it creates investments; it creates income. However, more significantly, since it has been said that charity begins at home, I remind Senators that, in a senae, we are our brother's keeper, to. We are not trying to throw away American dol- lars. This is the smallest amount of assistance, for the wealthiest Nation in the world, in the history of this country, Yet, the Senate will appropriate bil- lions of dollars for wasteful material. We will appropriate billions of dollars for weapons that will never be used, planes that will never fly, and ships that will never float. We are talking about trying to heir, people feed themselves. We are going to give them food because we cannot afford to let people starve. The American peo- ple will not take that. We are putting $282 million in this bin to try to help people produce their own food. We are putting in this bill $125 mil- lion to help control population explosion, I think this is a wise investment. I appreciate the concern of Senators about what happens at home. But I think the biggest mistake in foreign aid has been revealed by the testimony here to- day. In Korea and Taiwan it worked be- cause they weve given enough and it has come back, I was originally a pharmacist by pro- fession. If you have an infection, do not take 20,000 units of penicillin. It would be better to get yourself some Smith Brothers cough drops, spearmint chew- ing gum, or licorice. When you have an infection, you get a big enough dose to do the job. We have an infection of pov- erty, and we have one at home. The biggest problem with many of our antipoverty Programs is that they are penny-pinched. We do not take a week's time to put $20 billion on the line for defense, for weaponry about which we have no knowledge as to whether it will work. We take the word of the admirals; we take the word of the committee. We are told that we have to stick with the committee because the committee knows what it is doing. The overwhelming ma- jority of this committee voted for the bill before the Senate, and the substitute has been rejected by the chairman, him- self, and he offers it as a substitute today. The PRESIDING OFFICER. All time on the amendment has expired. The question is on agreeing to the amendment of the Senator from Ar- kansas. On this question the yeas and nays have been ordered, and the clerk will call the roll. The legislative clerk called the roll. Mr. ROBERT C. BYRD. I announce that the Senator from Indiana (Mr. BAyn) , the Senator from Mississippi (Mr. STENNis), the Senator from Utah (Mr. Moss), and the Senator from Montana (Mr. METCALF) are necessarily absent. Mr. GRIFFIN. I announce that the Senator from Kansas (Mr. PEAssoN) is absent because of illness. The result was announced?yeas 31, nays 64, as follows: (No. 452 Leg.] TI :AS-31 Aboureek I agls ton Alien E:rvir Bible I Lulls .ight Brock elrav-4 Burdick Item m Byrd, liartLe Harry F., Jr. flask ffl Byrd, Robert C. Itatficd Cannon I felrn s Church 110111 ags Cranston I fudc leston Aiken Baker Bartlett Beall Bellmon Bennett Bentsen Eiden Brooke Buckley Case Chiles Clark Cook Cotton Curtis Dole Domenici Dominick Eastland Fannin Fong Bayh Metcalf NJ 3E-64 Oold water (irifIci flurr ey I fart flab mway I Cruz: ta IWO es L111:11 hre y ItIOU J acki en avit John non Item edy Long /lagr tison /fate las 14c0 .ie 1100.)vern 14cIr tyre flora lisle Ilual le Nc1lcxt NOT '70TINC1--5 Moss Stennis Pearl en Mansfield McClellan McClure Montoya Pastore Pell Proxmire Randolph Scott, William L. Symington Nunn Packwood Percy Ribicoff Roth Saxbe Schweiker Scott, Hugh Sparkman Stafford Stevens Stevenson Taft Talmadge Thurmond Tower Turnkey Weicker Williams Young So Mr. FuLtianim's amendment (No. 567) was rejected. Mr. HUMPHREY. Mr. President, I move to reconsides the vote by which the amendment was rl?jected. Mr. JAVITE.. Mr. President, I move to lay that motion or the table. The motion to lay on the table was agreed to. MESSAGE FROM THE HOUSE A message from. the House of Repre- sentatives, by Mr. Hackney, one of its reading clerks, announced that the House had passed the bill (S. 1016) to provide a more di mocratic and effective method for the distribution of funds appropriated by the Congress to pay cer- tain judgments the Indian Claims Commission and the CoUrt of Claims, and for othe.s purposes, with amend- ments, in wh.ch it requested the con- currence of the Senate. The messag e also announced that the House had passet. the following bills, in which it requested the concurrence of the Senate: HR. 620. An act to establish within the Department of tlu Interior an additional Assistant Secretary at the Interior for Indian Affairs, and for (Abe:. purposes; H.R. 9205, JUL 50: to amend the Agricul- tural Adjustme at J Let of 1938 with respect to peanuts; and H.R. 9257. An aci to amend chapter 83 of title 5, United Ste; es Code, relating to the rates of employee deductions, agency con- tributions, ant deposits for civil service retirement purpose ????????? ???????????????1.....-- HOUSE 1313.,LS REFERRED The following tills were severally read twice by their titles and referred, as indicated: H.R. epo. An act to establish within the Department of the Interior an additional Assistant Secretary of the Interior for Indian Affairs, and for other purposes. Referred to the Committee on Interior and Insular Affairs. H.R. 9205. An act to amend the Agricul- tural Adjustment Act of 1638 with respect to peanuts. Referred to the Committee on Agriculture and Forestry. HR. 9257. An act to amend chapter 83 of title 5, United States Code, relating to the rates of employee deductions, agency con- tributions, and deposits for civil service re- tirement purpmes. Referred to the Commit- tee on Post Office and Civil Service. ENTRY OF SOVIET JEWS INTO AUSTRIA Mr. JAVITS. Mr. President, if recent news reports from Austria are accurate, it would seem that international nego- tiations have been moved from the dip- lomat's briefcase to the muzzle of the terrorist's gun. The diplomats are desig- nated by their; governments. The terror- ists designate themselves?if they are successful, they are hailed by those whose cause they support; if unsuccessful, they are disowned. Two issues emerge. One 'Is whether terrorism?even minor league terrorism of the caliber of the recent incident in Anstria---will become the arena for inter- national persuasion and negotiation and dictate policies to governments. As the New York Times pointed out this morning? Success in terrorism inevitably breeds more desire for more success by the same devices, as governments and travelers around the world have learned. The other issue is the continuation by Austria of its, open-door policy of the past 3 years under which it has per- mitted transit and has temporarily har- bored refugees from the U.S.S.R. and Eastern Europe. Some 100,000 Soviet Jews now breathe the air of freedom in Israel and the West as a result of this policy. I am especially troubled by allegations in press reports that the decision to ter- minate the availability of the Schonau refugee transit center originated with the Austrians and not with the terrorists; I very much hope that this report is ill- founded, for it raises too readily to the mind the specter of another era best con- fined to the past. Yesterday, when I was necessarily ab- sent, attending to needs of my constitu- ents in upstate New York, the Senate adopted as an amendment to the foreign aid authorization, S. 2335, a provision expressing the sense of the Senate that the President should take determined steps to impress upon the Austrians the grave concern of the American people on its capitulation to the terrorist de- mands and calling upon the Austrians to reverse their reported decision and again to serve as a temporary refuge for the unfortunates fleeing the Soviet Union. I associate myself with this amendment, which was offered by the Se:nator from Minnesota (Mr. MONDALE) , and was Approved For Release 2001/08/30 : CIA-RDP75600380R000600170002-0

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FOREIGN ASSISTANCE ACT OF 1973