FOREIGN ASSISTANCE ACT OF 1974

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79-00957A000100030042-1
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 24
• Document Creation Date: December 16, 2016
• Document Release Date: June 28, 2005
• Sequence Number: 42
• Publication Date: October 1, 1974
• Content Type: OPEN

October 1, 1974
the House to the Senate amendment No.
5 to H.R. 4861, 6,nd that the Senate re-
cede from aniendments numbered 3 and
4 to the 6fOresaid bill.
The Motion Was.' agreed to.
Mr. BIBLE. Mr. President, I move
that the action which has just been
taken be reconsidered.
?Mr. MANSFIELD. I move to lay that
niotion on the table.
The motion to lay on the table was
agreed to.
Mr. HUMPHREY. Mr. President, I
yield to the Senator from Ohio.
'531-11
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CONGRESSIONAL RITCORD ? SE NAI S 17949
SENATE RESOLUTION 416?SUBMIS-
SION OF A RESOLUTION REGARD-
ING 'nig 1974 MEETING OF THE
BOARDS OF GOVERNORS OF THE
INTERNATIONAL MONETARY
FUND AND THE WORLD BANK
GROUP
Mr. TAFT. Mr. President, I call up a
resolution at the desk expressing the
sense of the Senate regarding the 19'14
meeting of the Boards of Governors of
the International Monetary Fund and
the World Bank Group, and ask for its
Immediate consideration.
The ?RESIDING OFFICER. The res-
olution will be stated by title,.
The legislative clerk read as follows:
A resolution (S. Ites. 416) expressing the
sense of the Senate regarding the 1974 an-
nual meeting of the Boards of Governors
of the International Monetary Fund and
World Bank Group.
Mr. TAFT. Mr. President, I yield to the
distinguished majority leader.
Mr. MANSFIELD. Mr. President, I
object to its consideration today.
The PRESIDING OrriCER. Did the
Senator from Ohio request immediate
consideration? '
Mr. TAFT. Yes, I asked for immediate
consideration. Objection has been made
by the majority leader.
The PRESIDING OFFICER. Objection
is heard, and the resolution will go over
under the rule.
The resolution, with its preamble, is
as follows:
S. RES. 416
Expressing the sense of the Senate regarding
the 1974 Annual Meeting of the Boards of
GOVSTTIOPS of the International Monetary
Fund and World Bank Group
' Whereas world economic stability is pres-
ently threatened by the drastically increased
transfer of Wealth to oil producing nations
and by other international economic devel-
opments; ?
Wheress these developments txuald have
devastating effects on some of the world's
less developed nations;
Whereas disruptive flows of monetary re-
serves threaten to imperil world financial
institutions and to overwhelm International
capital markets;
Whereas the present governmental and
private financial institutions may not be able
to recycle funds to oil importing nations in
a manner which minimizes the economic im-
pact of increased oil import prices;
Whereas government policies designed to
mitigate the effects of international eco-
nomic problems in a particular nation often
worsen the economic sitration in other na-
tions, ultimately to the detriment of the na-
tionS involved; and
Whereas possible methods of alleviating
these problems *ill be e major ttmic of the The PRESIDING OFFICER. Without
1974 Annual Meetings of de Boards of Gov- n, it is so ordered.
ernors of the Internale. Al Monetary I
Now th.ero
and the World Bank GIV.,1p:
be it resolved, That it ; ; the sense ai the
Senate that:
(1) The present ecotr,mie situa de-
rounds greatly increase(, internatio eco-
nomic cooperation &GUY 4 nations;
(2) The Internationa, Monetary id be
supported in its efforts 1-, discourage
eral economic actions vhich cmil ? ;effect
other nations' economic ituations a ersely,
including its guidelines ,r goverTUri man-
agement of floating exr:,ange rat rd its
promotion of the Vain ary Decl ion on
Trade Measures;
(3) The Annual Meet tgs shout he ur-
gent and detailed consnieration t e ade-
quacy of present anc: pr posed int Monal
facilities for providing necessary ncing
to oil importing nations in view o.0th the'
short-term and long-ti' -m econ c pros-
pects of these nations.;
(4) The Annual Meet ,,gs shoul ecognize
fully the emergency ne of the ? cat oil
importing nations;
(5) Other types of in ternation coopera-
tion to help alleviate La prese. ' .nomic
situation should emit: :elle to pursued
vigorously.
QUORUM CALL
Mr. MANSFIELD Mr. P
suggest the absence a qu
The PRESIDING c?
will call the rill.
The second assist f legi
proceeded to call thi roll.
Mr. MANSFIELD, Pr
unanimous consenthat t
the quorum call be tescin
The PRESIDING i1.tori
objection, it is so cy tered...
Mr. HUMPHREY Mr. President, I
yield to the distingt .hed Senator from
West Virginia, the r jority whip.
dent, I
m.
e clerk
ve clerk
dent, I ask
order for
d.
. Without
ORDER FOR Aar: )URNMENT TO
10:30 A.M. '1', MORROW
Mr. ROBERT C. E`,' RD. Mr. President.
I ask unanimous co a sent that when the
Senate completes II business today it
stand in adiournm-at until the hour
of 10:30 a.m. tomoi row.
The PRESIDING cwriCER. Without
objection, it is so or,Jered.
ORDER FOR arct), INITION OP SEN-
ATORS CURT. McCLURE, AND
EASTLAND, DESTI1NATING PERIOD
FOR THE TRANF ACTION OF ROU-
TINE MORNINc- BUSINESS AND
FOR RESUMPTI:- N OF THE INFIN-
ISHED BUSINES:1 TOMORROW
FOREIGN ASSISTANCE ACT OF
1974
The Senate continued with the con-
sideration of the bill (S. 3394) to amend
the Foreign Assistance Act of 1961, and
for other purposes.
Mr. HUMPHREY. Mr. President, in
order to expedite our action on this
matter today, I first ask unanimous con-
sent that the committee amendment be
agreed to and that the bill as thus
amended be considered as original text
for the purpose of further amendment.
The PRESIDING OV.ViCER. Without
objection, it is so ordered.
The committee amendment, which
was to strike out all after the enacting -
clause and insert new language, is as
follows:
That this Act may be cited as the "Foreign
Assistance Act of 1974".
FOOD AND NUTRITION
SEC. 2. Section 103 of the Foreign Assist-
ance Act of 1961 is amended?
(1) by inserting the subsection designa-
tion "(a)" immediately before "In";
(2) by striking out "6291,000,000 for each
of the fiscal years 1974 and 1975" and insert-
ing in lieu thereof "$291,000,000 for the fiscal
year 1974, and $491,000,000 for the fiscal year
1975"; and
(3) by adding at the end thereof the fol-
lowing:
"(b) The Congress finds that, due to rising
world food, fertilizer, and petroleum costs,
human suffering and deprivation are grow-
ing in the poorest and most slowly developing
countries. The greatest potential for signifi-
cantly expanding world food production at
relatively low cost lies in increasing the
productivity of small farmers who constitute
a majority of the nearly one billion people
living in those countries. Increasing the em-
phasis on rural development and expanded
food production in the poorest nations of the
developing world is a matter of social Justice
as well as an important factor in slowing the
rate of inflation in the industrialized coun-
tries. In the allocation of funds under this
section, special attention should be given to
increasing agricultural production in the
countries with per capita incomes under $300
a year and which are the most severely af-
fected by sharp increases in. worldwide com-
modity prices."
POPULATION PLANNING
SEC. 3. The Foreign Assistance Act of 1961
Is amended as follows:
(1) In section 104-, strike out "$145,000,000
for each of the fiscal years 1974 and 1975"
and insert in. lieu thereof "$145,000,000 for
the fiscal year 1974, and $165,000,000 for the
fiscal year 1975".
(2) In section 292, strike out "$130,000,-
000" and insert in lieu thereof "$150,000,000".
Mr. ROBERT C. Is RD. Mr. President,
I ask unanimous Di )sent that after the
two leaders or then iesignees have been
recognized under ti standing order to-
morrow, the follow lig Senators be rec-
ognized, each for n to exceed 15 min-
utes and in the ordi stated: Mr. CURTIS,
Mr. MCCLURE, and TAT'. EASTLAND; that
there then be a pi 3d for the t:^ansac-
tion of routine mori ing business of not to
exceed 15 minutf , with statements
therein limited to E, ainutes each, at the
conclusion of whic - the Senate resume
the consideration of the unfinished
business.
EDUCATION AND HUMAN RESOURCES
DEVELOPMENT
SEC. 4. Section 105 of the Foreign Assist-
ance Act of 1961 is amended by striking out
"$90,000,000 for each of the fiscal years 1971
and 1975" and inserting in lieu thereof
$90,000,000,000 for the fiscal year 1974, and
$92,000,000 for the fiscal year 1975".
HOUSING GUARANTIES
SEC. 5. The Foreign Assistance Act of 1961
Is amended as follows:
(1) In section 221, strike out "6305,000,-
000" and insert in lieu thereof "$405,000,000".
(2) In. section 223(1), strike out "June 30,
1975" and insert in lieu thereof "June 30,
1976".
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S 17950 Approved For Release
(A./NM SIONAL RECORD- SENATE October 1,
"(1) with respect to an excess defense
article, the actual value of the article bitnot less than 33% per ceintum of the araoun
the United States paid at the Deno the de
tense article was acquired by the United
States;".
lAceet cwtioainisieltlidantidle Iploreofoth,emAucittaryentitleds
Act, and for other purposes", approved Janu-
ary 12. 1971 (89 Stat. 2053), as amended, are
re pealed.
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INTERNATIONAL ORGANIEATIONs AND pROORANT1
Sec. if, Section 302(a) of the Foreign As-
sistance Act of 1961 is amended by striking
out "for the fiscal year 1175. 4159,000,000"
and inserting In lieu thereof for the fiscal
year 1973, e186,900,000".
SEILTrARY ASSISTANCE AUTHORIZATIONS
SEC. 7. Section 1504(a) 01 the Foreign A--
sistance Act of 1961 is amended by shekel.:
out "$512,500,000 for the fiscal year 1974"
and inserting in lieu thereof "Ile30,000.0ne
for the fiscal year 1975."
SPECIAL AUTITORTTY
Sec, 8. Section 508 of the Forele Ass::
anCe Act of 1961 is repealed.
1/11XrAiry ASsISTANcE AUTHOREEATIoSs ?Os
south vier:eels
Sec. 9, Section 613 of the Foreign Aoe
ance Act of 1961 is amended as tollews.
(1) Strike out "Thailand and Lao." in II
caption and insert In lieu thereof ' 1 helix io
Laos, and South Vietnam".
(2) At the end thereof add the Miley:if:,
new subsection:
"(c) After June 30, 1975, no military IL.-
&stance shall be furnished by the United
States to South Vietnam directly or throueh
any other foerign country unites that as-
sistance is authorized under this Act or t
Foreign Military Sales Act."
EXCESS DEIT.Nbs ArricLE.i
Sec. 10. (a) Chapter 2 of part 11 of tile
Foreign Assistance Act of 1961 is amended
by adding at the end thereof the following
new section:
'Sac. 514. LIMITATION ON THE GRANT ok'
Excess Deserese Airmiths.- (a) The value of
any excess defense article furnished to a for-
eign country or internatimial orgaidzatkel
by any agency of the United States Govern-
ment shall be considered to be an expendi-
ture made from funds appropriated under
section 504 of this Act. UnleSS such agency
certifies to the Comptroller General of the
United States that the excess defense article
ft is ordering Is not to be transferred by any
means to a foreign country or international
organization, when an order Is placed for it
defense article whose stock statue is times,
at the time ordered, a stun equal to the value
thereof (less amounts to be transferred
under section 632(d) of teas Act) than (1)
be reserved and transferred to a suspense
account, (2) remain in the suspense ac-
count until the excess defense article es
either delivered to a foreign country or in organization or the order there-
for is canceled, and (3) be transferred from
the suspense account to (A) the general
fund of the Treasury upon delivery of such
article, or (S) the appropriation made under
section 504 of thle,Act for the current thecal
year upon cancellation of the order. Such
sum shall be transferred to the appropria-
tion made wider section 504 of this Act for
the current fiscal year, upon delivery of such
article, if at the time of delivery the stock
status of the article Is determined in accord-
ance with section 644(g) or (En) of this Act
to be nonexcess.
"(b) The President shall promptly and
fully inform the Speaker of the House ol
Representatives and the Committee on For-
eign Relations and the Committee on Appro-
priations of the Senate of each decision to
furnish on a grant basis to any country ex-
cess defense articles which are major weap-
ons eystems to the extent such major weap-
on system was not included in the presen-
tation material previously submitted to the
Congress. Additionally, the President than
also submit a quarterly report to the Con-
gress listing by country the total value of
all deliveries of excess defense articles, deo
clredug both the agregate original acquisi-
tion cost and the aggregate value at the '
time of delivery."
(b) Section 1344(in)(1) of the Foreign As-
sistance Act of 1961 is amended to read as 1
fellows;
briber amended by adding at the end there-
t of the following new section:
t "Sec. 517. Teraanearrors or AuTIloRrry.-
- I a) Il) The President shall gradually reduce
assistance (other than military trebling)
provided under this chapter so that, not later
than September 30, 1977, no assistance (other
than military training) shall be provided
under this chapter.
"(2) Paragraph (1) of this subsection shall
not apply to funds obligated prior to Octo-
ber 1, 1977.
"(b) For each of the fiscal years 1975,
1976. and 1977, the President is authorized to
_finance-procurements of defense articles and
defense services (other than military train-
ing) by any foreign country receiving defense
articles or defense services during fiscal year
1974 under this chapter on terms providing
for payment to the United States Govern-
Merit In United States dollars (1) of the
ealue of such articles and services which
tolue shall not exceed during each such fiscal
year the value of such articles and services
t other than military training) furnished that
country in fiscal year 1974 under this chap-
ter, (2) at a rate of interest of not less than
four per centum a year, and (3) within ten
years after delivery of the defense articles or
tendering of the defense services.
e(c) (1) By not later than September 30,
1977, all the functions of a military assist-
slice advisory group, a military mission, or
other organization of the United States Gov-
ernment in a foreign country performing ac-
tivities similar to any such group or mission,
shall be transferred to the Chief of the
teethed States Diplomatic Mission to that
country. Upon the transfer of such func-
tions, that group, mission, or organization,
as the case may be, shall cease to exist.
"(2) On and after October 1, 1977, the total
number of military attaches assigned or de-
tailed to the United States Diplomatic Mis-
(eon of a foreign country shall not exceed by
more than twenty-flve per centum the total
member of military attaches authorized to be
assigned or detailed to that mission on
June 30, 1974.
"(3) On and after October 1, 1977, no mili-
tary assistance advisory group, military mis-
sion, or other organization of the United
States Governs:newt in a foreign country per-
forming activities similar to any such group
or mission, shall be established or continued
unless such group, mission, or organization
is authorized by law specifically for that
country."
Ib) Effective October 1, 1977-
(1) the heading of chapter 1 of part II
of the Foreign Assistance Act of 1961 is
amended to read as follows:
"Coesanni 1-Pa0VEDING MELITART TRAINING":
(2) sections 501, 502A, 514, and 516, subsec-
tion (g) of section 644, of the Foreign As-
sletance Act of 1861 are repealed;
(3) section 502 of the Foreign Assistance
Aet of 1961 is amended by striking out the
caption "Utilization of Defense Articles and
Services" and inserting in lieu thereof "Pro-
viding Military Training", by striking out of
the text "Defense articles and defense serv-
ices" and inserting in lieu thereof !Military
training", and by striking out the last sen-
teeeee
4) the heading of chapter 2 of part II of
the Foreign Assistance Act of 1961 is amended
to read as follows:
"CELAPTEa 2-MILITARY TRAINTING?',
sections 603-505 of the Foreign Assist-
roues Act of 1961 are stricken out and the fol-
lowing Inserted in lieu thereof:
'Sac. 503. Giansame Atrrnoarre.-The Pres-
ident is authorized to furnish, on such terms
anti conditions consistent with this Act as
the President may determine, military train-
ing to any foreign country or international
organization. Funds for such training shall
be appropriated for each fiscal year pursuant
o authorization for that fiscal year. After
,T5 IiPILING OE 1ALVENIRC ARTICLES FOR
Foak/Gt. rooNTRIBES
SEC. II Chapter 2 of part II of the Foreign
Aesieteeice Act of lien, an amended by sec-
tion 10(a) of this Act, le further amended
by adding at the evil thereof the following
new section:
"Sec 515. Sro? Kee lou OE DEFENSE ARTICLES
row' Foarion Cotornues.--(a) Notwithstand-
ing any other provision of law, no funds,
other then furien made available under this
chapter or section we (a) of Public law 89-
367 180 Stat. 37), or any subsequent cor-
reeptinding legislation, nifty be obligated for
the purpose of stockpiling any defense article
or war reserve metenal. Including the ac-
q Mel 'eon, storage. or . maintenance of any
e'er reierve equipmene secondary items, or
munitlens. if such article or material is set
aside, reserved, or In any way earmarked or
ItO eadeti for future use by any foreign coen-
try under this Act or such section.
? ( b I The oust of any such article or mate-
rut; set aside, reserved, or in any way ear-
elm-laid or intended by the Department of
Defense fi r future Use by, for, or on behalf
of the country reterrec to in 'section 401(a)
(1) or Public Law 89-3137 180 Stat. 37) shall
Sc' charged waited the lineation specified in
such F.E( tion or any ealbsequent correspond-
ing les:illation, for the fiscal year In which
such Et.illc/c or material is set aside, reserved,
or otherwise earmarked or intended; and the
"Ott rf ny such LtrElc!c or material set aside,
-eserved or In any way earmarked or intend-
ed for nittire use by, for, or on behalf of any
ot hfr toreign country shall be charged
(gee nst funds authorized under this chapter
for the ferret! year In which such article or
material le set aside, reserved, or otherwise
earnietked No such r-rtIcle or material may
ensde avedlable to or for use by any for-
eign country unless Itch article or material
has been charged 'gallant the /thiltation
,.peeleed 1II such tectlon, or any subsequent
corresponding legisIaTic n. or against funds
stithorieed under this chapter, as appro-
priate.
"i ce This section shell not be conetrued
as co.lterrIng any authority to stockpile de-
fense articles or War materials under this
Act or such section 4411(a), or subsequent
/-3rreSpondIng legislation."
3.111.11AR y Amor:1ST/4NET ALVISORT GROG: ws
AND NDISIONEI
err. 12 Chapter 2 of part n of the Foreign
Assistance Act of 1961, as amended by sec-
tions Ilea) and 11 of this Act, Is further
amended by adding at the end thereof the
following new section:
"Sac. 516. MILITARY ABBINTANCr. ADVISoitY
GRoops A'1) Mrsaxonse-An amount equal to
each sum expended under any provision of
law, other than section 504 of this Act, with
respect to any military assistance advisory
group. military mission, or other organize-
tem or the United etates performing ac-
tivities similar to such group or mission,
shell be deducted from the funds made avail-
able wider eucla section 504, and (1) U ram-
ble:Demerit of such amount is requested by
the agency of the United States Govern-
ment making the experditure, reimbursed to
has agency, or (2) if no suer) reimbursement
13 requested, deposited in the Treasury as
nisceilaneous receipt's:
TERMENATTON OW ArTtiOarrY
3E.c. 13. (a) Chapter 1: of part II of the
t'oreign Assistance Act of 1951, as amended
y sections 10(a), 11, end 12 of this Act, Is b
September 30, 1977, no such training shall be
coeducted outside the United States except
y specific authorization of law.";
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O'ctober 1, 1974 CONGRESSIONAL RECORC6A?REI-Isi s 17951
(6) section 511 of the Foreign Assistance (C) Section. 251(c) is e mended to read as not to exceed $10,000,000 may be made avail-
Act of 1961 is amended by striking out of the follows: able for the purpose of providing military as-
section caption "Assistance" an 1 inserting in "(c) The authority of - ction 610 may be sistance (including credit sales and the face
lieu thereof "Training", and by striking out used to transfer funds trade available for amount of guranties).
of the text "military assistance" and "such thLs title only to funds ,sade available for
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POLICY WITH RESPECT TO INDOCHINA
' assistance" and inserting in lieu thereof title I of this chapter." SEC. 20. (a) The Congress finds that the
"military training" and "such training", re- (D) Section 302 (b ) (2 ). is amen-dad by
cease-fire provided for in the Paris Agreement
spectively; rstrilsing out "or 614(a)". on Ending the War and Restoring Peace in
(7) section 636(g) (1) of the Foreign As- (E) Section 610(b) is Amended by strik-
Vietnam has not been observed by any of the
sistance Act of 1961 is amended by striking ing out "sections 451, 509, and 614" and in Vietnamese parties to the conflict. Military
, out "defense articles and defense services on sorting in lieu thereof "fs.ction 451".
. operations of an offensive and defensize na-
ture continue throughout South Vietnam.
thereof "military training"; and - out "or 614(b)". In Cambodia, the civil war between insurgent
(8) section 644(m) of the Foreign. Assist- (0) Section 652 is assended by striking
forces and the Lon Nol government has in-
ane() Act of 1961 is amended by striking out out "section 506(a) , 610; s), or 614" and In-
subparagraph (1) and by striking out of serting in lieu thereof "EC' Aim tensified, resulting in widespread human suf-
610(a)".
subparagraphs ' (2) and (3) "nonexcess" (11) Section 653(b) is it mended by strking fering and the virtual destruction of the
wherever it appears. out "and may not be wit i red under the pro-
Cambodian economy.
visions of section 614(a) of this Act". (e) The Congress further finds that con-
TERMINATION OF MILITARY ASSISTANCE TO tinuation of the military struggles in. South
' SOUTH KOREA ACCESS TO CERTAIN MIL) , SET BASES ABROAD Vietnam and Cambodia are not in the inter-
SEC. 14. Chapter 2 of part n of the For- SEC. 17. (a) Chapter 3 of part In of the est of the parties directly engaged in the con-
eign Assistance Act of 1961, as amended by Foreign Assistance Act of 1961 is amended by filets, the people of Indochina, or World peace.
sections 10(a), 11, 12, and 13(a) of this Act, adding at the end theses c the following new In order to lessen the human suffering in In-
is further amended by adding at the end section: dochina and to bring about a genuine peace
. thereof the following new section: "Ssc. 659. ACCESS Tr. CERTAIN MILITARY there, the Congress urges and requests the
i "Eine. 518. TERMINATION OF MILITARY ASSIST- BASES ABROAD.?None of 1.0e funds authorized President and the Secretary of State to un-
ANCE To Sorrrx KOREA.?(a) The total of (1) to be appropriated for foreign assistance dertake immediately the following measures:
, the amount of funds obligated under this (including foreign milites y sales. credit sales, (1) to initiate negotiations with sense-
' chapter to furnish assistance to South Korea, and guaranties) under any law may be used ' sentatives of the Soviet Union and the Peo- -
' and (2) the value of excess defense articles to provide any kind of Si f 'stance to any for- ple's Republic of China to arrange a mutually
' "(A) $91,500,000 during the fiscal year 1975; eign. country in which a military base is lo- agreed-upon and rapid de-escalation of mill-
furnished to South Korea under this chapter, cated if? tary assistance on the part of the three prin-
shall not exceed? "(1) such base was cc sstructed or is being cipal suppliers of arms and material to all
"(B) $61,000,000 during the fiscal year 1976; maintained or operated sith funds furnished Vietnamese and Cambodian parties engaged
and by the United States; an rc in conflict;
"(C) $30,5000)0 during the fiscal year "(2) personnel of the United States carry (2) to urge by all available means that the
1977. . out military operations fr sm such base; Government of the Khmer Republic enter
. '(b) The aggregate total of credits ex- unless and until the P-esident has deter- into negotiations with representatives of the
' tended, including participations in credits, mined that the governrssnt of such country Khmer Government of National Union for
and the principal amount of loans guaran- has, consistent with see srity authorized ac- the purpose of arranging an immediate cease-
teed, under the Foreign Military Sales Act cess, on a regular basis, to bona fide news fire and political settlement of the conflict;
with respect to South Korea shall not ex- media correspondents (IS the United States and to use all available means to establish
coed? to such military base" contact with the Khmer Government of Na-
"(1) $42,450,000 during the fiscal year 1975; (b) Section 29 of the Foreign Assistance tional Union and to urge them to participate
. "(2) $28,300,000 during the fiscal year 1976; Act of 1973 is repealed. in such negotiations. The United States
and ' . ?
s anosnraTtsm POTIrE TRAINING should urge all.Camboclian parties to use the
' "(3) $14,150,000 during the fiscal year 1977.
SEC. 18. (a) Chapter s of part III of the good offices of the United Nations or a re-
sistance(c) On and after October 1, 1977, no as- spected third country for the purpose of
Foreign Assistance A et .. f 1961, as amended
shall be furnished South Korea un- bringing an end to hostilities and reaching
by section 17(a) of slits Act, is further
der this chanter, and no credits, including
participations in credits, shall be extended, amended by adding at 'the end thereof the a political settlement;
(3) to utilize any public or private forum
and no loans shall be guaranteed, under title in
e followg new section:
Foreign Military Sales Act with respect to , "SEC. 660. PROHIBITING POLICE TRAINING.? to negotiate directly with representatives of
South Korea. The Preceding sentence shall la) None of the, funds made availeale to the _Democratic Republic of Vietnam, the
not, apply with respeot to funds obligated carry out this Act, anS none of the local Provisional Revolutionary Government, and
currencies generated a der this Act, shall the Republic of Vietnam to seek a new cease-
prior to such date."
be used to provide trail fog or advice, cr pro- fire in Vietnam and full compliance with the
Sacurays supsonTnsc ASSISTANCE vide any financial sup esrt, for police, psis- provisions of the Paris Agreement on Ending
SEC. 15. -Section 532 of the Foreign Assist- one, or other internal Es- urity forces for any the War and Restoring Peace in Vietnam, in-
ance Act of 1961 is arnended by striking out foreign government or any program of in- eluding a full accounting for Americans miss-
"for the fiscal year 1974 not to exceed $125,- ternal intelligence or usrveillance on behalf lug in Indochina;
000,000, of which not less than $50,000,000 of any foreign governme .it within the 'jnited (4) to reconvene the Paris Conference to
shall be available solely for Israel" and in- States or abroad. seek full implementation of the provisions of
sorting in lieu thereof "for the fiscal year "(b) Subsection (a) of this section shall the Agreement of January 27, 1973, on the
1975 not to exceed .$585,500,000". not apply? part of all Vietnamese parties to the conflict;
TRANSFER BETWEEN ACCOLINTS "(1) With respect ts assistance rendered and
SEC. 16. (a) Section 610 of the Foreign As- under section 515(c) of the Omnibus Crime (5) to maintain regular and full consulta-
sistance Act of 1961 is amended as: follows: Control and Safe StreeI ., Act of 1968, or with tion with the appropriate committees of the
' (1) In subsection (a) , immediately after respect to any authority of the Drug Enforces CongreSs and report to the Congress and the
"any other provision of this Act", insert (ex- ment Administration or the Federal Bureau Nation at regular intervals on the progress
cept funds made available under chapter 2 of Investigation which related to crimes of toward obtaining a total cessation of hos-
of part II of this Act)". the nature which are unlawful under the tilitie,s in Indochina and a mutual reduction
(2) Add at the end thereof the following laws of the United Stets: : or of military assistance to that area.
new subsection. "(2) to any contras, entered into prior PRINCIPLES GOVERNING ECONOMIC AID TO INDO-
" (0) Any funds which the President has to the date of enactme es of this section with . CHINA
notified Congress pursuant to section 653 any person, organize-Li sn, or agency of the SEC. 21. (a) Congress finds that, after ex-
that he intends to provide in military assist- United States Govern.ssmt to provide per-
pending over a billion dollars in funds for
ance to any country may be transferred to, sonneI to conduct, or sssist in cond acting,
economic purposes in Indochina last year,
arid consolidated with, any other funds he any such program. and vast amounts in previous years, little in
has notified Congress pursuant to such sec- Notwithstanding clouts (2), subsectisn. (a) lasting economic benefit remains. A large pro-
tion that he intends to provide to that coun- shall apply to any renes sl or extension of any portion of the funds expended have been used
try for development assistance purposes." contract referred to in such paragraph en- for consumable Items related to hew ar
(b) (1) Section 614 of such Act is repealed. tered into on or after such date of enact- effort. Very little of our money has found its
(2) Such Act is further amended as fol- ment." way into capital investments of a lasting
lows: . ? (b) Section 112 of such Act of :1961 is productive benefit to the people. Congress
(A) In section 109, strike out "sections 610 repealed, calls upon the President and Secretary of
"(a) and 614(a)". and insert in lieu thereof LIMITATIONS UPON ASSITTANCE TO on FOR CHILE State to take immediately the following ac-
"section 610(a)". SEc. 19. Notwithsta sling any other pro- tions designed to maximize the benefit of
(B) In section 210(c) , strike out thEI corn- vision of law, the total amount of assistance United States economic assistance:
ma and "nor may the authority of section that may be made avasable for Chile. under (1) to organize a consortium to include
614(a) be used to waive the requirements of this or any other law Suring fiscal year 1975 multilateral financial institutions to help
this title". may not exceed $65,00S,000, of which amount plan for Indochina reconstruction and de-
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S 17952 Approved For Releas.ep5/07/13 : CIA-RDP79-00957A000100030042-1
. ithssiONAL RECORD ?SENATE October 1, 19744
ielopment; to coordinate multilateral and
bilateral contributions to the area's ecemouitc
recovery; and to provide continuing advice
to the recipient nation on the use of their
own and outside resources;
(2) to develop, in coordination with the re-
cipient governments, other donors, and the
multilateral financial institutions, a compre-
hensive plan for Indochina reconstruction
and economic development;
(3) to develop country-by-country recon-
struction and developments plans, includilie
detailed plans for the development of ireii-
vidual economic sectors, that can be used to
identify and coordinate specific econosnie
development projects and programs and U.
direct United States resources illIO areas 01
maximum benefits;
(4) to shift the eraphasm of United State.
aid programs from consumption-oriented es-
pendItures to economic development;
(6) to Identify possible structural ecorioni p-
reforms in areas such as taxation, exchanee
rates, savings mechankros, internal pricine.
Income distribution, land tenure, budgetary
allocations and corruption, which should he
Undertaken if Indochinese eseamorsic develop-
ment is to progress; and
(6) to include In Indochina economic pie 1.-
ning and programming specific performame
criteria and standards which will enable the
Congress and the executive branch to judge
the adequacy of the recipients' efforts and V.
determine whether, and Woat amounts o,
continued United States funding is justideo
(b) This section Is not meant to imply
continuation of a United States financial
commitment beyond the authorization inti-
VIded .for in this Act or amendments made
by this Act.
INDOCHINA POSTWAR arycnsraucrioN
Sec. 21. Section 802 of the Foreign Assist-
ance Act of 1961 Ls amended to read as 10 -
lows:
"Bac. 802. AIITHORIZAT/ON -There are au-
thorized to be appropriated to the Preeidem
to furialah assistance for the relief and
eecoruftruction of South Vietnam, Cambodia.
and Laos as authorized by this part. so
addition to funds otherwise avelisible f
such purposes, for the fiscal year 1974 no;
to exceed $504,000,000, and for the fiscal
year 1975 not to exceed *550,000,00U Of the
amount appropriated for fiscal year 1975--
"(1) $420,000,000 shall be available on'
for the relief and reconstruction of South
Vietnam in accordance with section 806 of
this Act;
"(2) *70,000,000 shall be mailable only for
the relief and reconstruction of Cambodia
In accordance with section 807 of this Act;
"(3) $45,000,000 shall be available only for
the relief and reconstruction of Laos in ae-
Cordanee with section 808 of this Act;
"(4) 13,750,000 shall be available Daly for
the regional development proarestao and
"(5) $11,250,000 shall be available only for
Support costs for the agency primaiily re-
sponsible for carrying out this part.
Such amounts are authorized to rernalo
available until expended...
ASSISTANCE TO &OCTET VIEINAMESI CHILDREN
Sec. 23, Section 803 of the Foreign Assist-
ance Act of 100 is amended as follows:
(I) 112 subsection (a), strike out 'rights,
particularly children fathered by United
States citizens" and insert In lieu thereof
"rights".
(2) In subsection (b), between the second
and third sentences. Insert the following: "Of
the sums made available for South Vietnam
under section 802(1) of this Act for fiscal
year 1975, *10,000,000, or its equivalent in
ideal currency, shall be available until ex-
eended solely to carry out this section.",
LIMITATIONS WITH RESPECT TO BOOTH
inarwais
S arnetded by adding at the end
thereof the followir.g new section:
"Sec. 806. LIMITATIONS WITH RESPECT TO
ROUTH Vneraram.--4 a) Notwithstansting any
other provision of law, no funds authorized
to be appropriated by this or any other law
may be obligated in any amount in excess of
*1,280,000,000 during the fiscal year ending
June 30. 1975, for the purpose of carrying
out directly or indirectly any economic or
military assistance, or any operation, project,
or program of any kind, cr for providing any
goods, supplies materials, equipment, serve
Mee. personnel, or advisers in, to, for, or on
behalf of South Vietnam. Of that amount,
there shall be erstirible during such fiscal
year?
" ( I) $700,000,000 for inintary assistance:
"12) *180,000.000 only to carry out the
Agricultural Trade Development and Assist-
ance Act of 1954, and
"(3) $420,000,000 osly for economic Iftesist-
some, of which there shall be available--
- ( A) $95,000,000 for humanitarian assist-
ance, of which there shall be available?
"Ii) $68,500,000 for tefttime relief;
"(Ii) $8.200.000 for child care;
s(iii) *10,300,000 for health care; and
"(iv) $10,000,000 for the City-to-Farm
program;
"(B) $188.000.000 f ef agricultural assist-
ore. of which there he available?
"( $160,000,000 for fertilizer. POL, and
pesticides;
$20.000.000 for rural credit;
"Ili') $10,000,000 for canal dredging;
( iv) $4,000.000 for low-lift pumps; and
) 44,000,000 for fish farm development;
aCi *96,600,000 for industrial develop-
ment amistance. of which there shall be
mud able--
" (1) $85,000.000 for commodities:
"(Ill $10,000.000 [Cr Industrial credit; and
"(ail) $600,000 for development planning;
and
-if)) *41.400,000 for miscellaneous assist-
sues, of which there snail be available?
"Ii *30,000,000 for transportation; and
"(Ill $11,400,000 for technical support.
"(b) ( I) No funds made available under
paragraph (2) or (3) of subsection (a) may
be trensferred to, or csneclidated with, the
fonds made available ender any other para-
graph of such euheeetion, nor may any
funds made available under 'subparagraph
(A), 113), (C), or (D) of paragraph (3) of
sularetion (ai of this section be trans-
ferred to, or consolidated with, the funds
made available under any other such sub-
paragraph.
"(21 Whenever the President determines
it to he nreteseery in cerrying out this part,
any funds made available under any clause
of subparagraph (A), (3), (C), or (D) of
rubeect1on (a) of this section may be trans-
ferred to, and consolidated with, the funds
made available under any other douse Of
that same subparagraph.
"(3) The President shall fully Inform the
Speaker of the Rouse of Representatives and
toe Committee on Foreign Relations of the
Senate of each transfer he intends to make
tinder paragraph (2) of this mfasection
prior to making such transfer. ,
*-1 c) In computing the $1.280,000,000
limitation on obligailenal authority under
subsection (a) of this sectaon. with respect
to such fiscal year, there shall be included
in the computation the value of any goods,
supplies, materials, equipment, services,
personnel. or advisers provided to, for, or on
behalf of South Vietuoro In such fiscal year
by gift, donation, loan, lease, or otherwise.
For the purpose of this subsection, 'value'
means the fair market value of any spode,
supplies, materials, or equipment provided
to, for. or on behalf of South Vietnam but
ti no case lees than Ldits per centum of the
amount the United Stales paid at the time
REC. 24. Part V of the Foreign Aseistance
such goods, supplies, materials, or equip
naent were acquired by the United-States.
"(d) No funds may be obligated for any
of the purposes described in subsection (a)
of this_ section in, to, for, or on behalf of
South Vietnam in any fiscal year beginning
after June 30, 1976, unless such funds have
been specifically authorized by law enacted
after the date of enactment of this section.
In no case shall funds in any amount in
excess of the amount specifically authorized
by law for any fecal year be obligated for
any such purpose during such fiscal year.
"(e) After the date of enactment of this
section, whenever any request is made to
the Congress for the appropriation of funds
for use in, to, for, or on behalf of South
Vietnam for any fiscal year, the President
shall furnish a Written report to the Congress
explaining the purpose for which such
funds are to be used In such fiscal year.
"(f) The President shall submit to the
Congress within thirty days after the end
of each quarter of each fiscal year, beginning
with the fiscal year which begins July 1. 1974,
a written report showing the total amount of
funds obligated in, to, for, or on behalf of
South Vietnam during the preceding quarter
by the United States Government, and shall
include in such report a general breakdown
of the total amount obligated, describing the
different purposes for which such funds were
obligated and the total amount obligated
for such purpose.
"(g) ( I ) Effective six months after the
date of enactment of this pectlon, the total
number of civilian officers and employees,
including contract employees, of executive
eflencies of the United States Government
who are citizens of the United States and
of members of the Armed Forces of the
Jolted States present in South Vietnam shall
not at' any one time exceed four thousand,
rest more than two thousand live hundred of
whom shall be members of such armed forces
and direct hire and contract employees of
the Department of Defense. Effective one year
after the date of enactment of this section,
such total number shall not exceed at any
one time three thousand, not more than one
thousand five hundred of whom shall be
members of such armed forces and -direct
hire and contract employees of the Depart-
ment of Defense.
"(2) Effective six month after the date
Of enactment of this section, the United
States shall not, at any one time, pay in
whole or in part, directly or indirectly, the
compensation or allowances of more than
eight hundred individuals In South Vietnam
who are citizens of countries other than
South Vietnam or the United States. Ef-
fective one year after the date of enactment
of this section; the total number of toehold-
mils whose eompensation or allowance is so
paid shall not exceed at any one time five
hundred.
"(3) For purposes of this subsection 'ex-
ecutive agency of the United States Gov-
ernment' means any agency, department,
board, wholly or partly owned corporation,
instrumentality, commission, or establish-
ment within the executive branch of the
United States Government,
"(17) This section shall not be construed
as a commitment by the United States to
South Vietnam for its defense."
LIMITATIONS WITH RESPECT TO CAMBODIA
Sec. 25. (a) Part V of the Foreign As-
sistance Act of 1961, as amended by section
24 of this_ Act, is further amended by add-
ing at the end thereof the following new
section:
"Sic. 807. LIMITATIONS WITH RESPECT TO
CAMBODIA.?(a) Notwithstanding any ether
provision of law, no funds authorized to be
appropriatiated by this or any other law
may be obligated In any amount in excess
of $347,000,000 during the fiscal year end-
ng June 30, 1975, for the purpose of carry-
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shall not eiceed at any eke time one hundred "(d) No hinds may be obligated ear any
October 1, 1974 CON
lag out directly or indirectly any economic
or military assistance, or any operation, pro-
ject, or program of any kind, or for provid-
ing any goods, supplies, materials, equip-
ment, services, Personnel, or advisers in, to,
for, or on behalf of Cambodia. Of that
amount, there shall be available?
"(1) $200,000,000 for military assistance;
"(2) 07,000,000 only to carry out the
Agricultural Trade Development and Assist-
ance Act of 1954; and
"(3) $70,000,000 only for economic as-
sistance, of which there shall be available?
"(A) $20,000,000 for humanitarian assist-
" (B) $31,000,000 for commodity import as-
sistance
"(C) $17,500,000 for multilateral stabiliza-
tion assistance; and
"(D) $1,500,000 for technical support and
participant training.
, "-(b) No funds made available under para-
graph (2) or (3) of subsection (a) of this
section may be transferred to, or consoli-
dated with, the funds made available under
any other paragraph of such subsection, nor
may any funds made available under any
subparagraph of paragraph (3) of subsection
(a) of this section be transferred to, or con-
solidated with, the funds made available
under any other such subparagraph.
"(c) In computing the $347,000,000 limita-
tion on obligation authority under subsec-
tion (a) of this section with respect to such
final year, there shall be included in the
goods, sup-
the value of any
ana seventy-five, of the purposes described in subsection (a)
"(2) The United Stats1 shall not, at any of this section in, to, for, or on behalf of
one time, pay in whole a in part. direct.y or Laos in any -fiscal year beginning after
indirectly, the compensssion or allowances June 30, 1975, unless such funds have been
of more than eighty-five edividuals in Cam- specifically authorized by law enacted after
bodia who are citizens ..1 countries other the date of enactment of thissection. In
than Cambodia or the 1_, ,ited States. Effec- no cape shall funds in any amount in excess '
tive six months after tip date of enactment of the amount specifically authorized by law
of this section, the total number of individ- for any fiscal year be obligated for any such
-uals whose compensatia or allowance is so purpOse during such fiscal year.
paid shall not exceed al any ooe time sev- "(e) After the date of enactment of this
enty-five. section, whenever any request is made to the
"(3) For purposes of this subsection, Congress for the appropriation of funds for
!executive agency of the Tinted States Gov- use in, to, for, or on-behalf of Laos, for any
ernment' means any es- ency, department, fiscal year, the President shall furnish a
board, wholly or partly ewried corporation, written report to the Congress explaining
instrumentality, corrotn Son, or establish- the purpose for which such funds are to
ment within the execs" -ve branch of the be used in such fiscal year.
United States Cloverrimor,G. "(f) The President shall submit to the
"(4) This subsection =hall riot be cons Congress within thirty days after the end
strued to apply with ressect to any inclivids of each quarter of each fiscal year beginning
ual in Cambodia who (r, is an employee or with the fiscal year which begins July 1,
volunteer worker of a volisatary private, non- 1974, a written report showing the total
profit relief organizatios or is an employee amount of funds obligated in, to, for, or
or volunteer worker cs the International on behalf of Laos during the preceding -
Committee of the Red =;TOBS, and (B1 en- quarter by the United States Government
gages only in activities providing humani- and shall include in such report a general
tarian assistance in Ca mbodia. breakdown of the total amount obligated.
"(h) This section sIssI not be construed describing the different purposes for which
as a commitment by tan United States to such funds were obligated and the total
Cambodia for its defens. ? amount obligated for such purpose.
(b) Section 655 and eS6 of such Act are "(g) This section shall not be construed
repealed. as a commitment by the United States to
Laos for its defense."
LIMITATIONS WITH nESPECT TO LAOS
Computation
plies, Materials, equipment, services, per- SEC. 26. Part V of the Foreign Assistance
sonnel, or advisers provided to, for, or on Act of 1961, as amende ?1 by sections 24 and SEC. 27. Part V of the Foreign Assistance
behalf of Cambodia in such fiscal year by 25(a) of this Act, is ' irther amendad by Act of 1961, as amended by sections 24,
gift, donation, loan,lease or otherwise. For adding at the end ther. -I the following new 25(a), and 26 of this Act, is further amended
the purpose of this subsection, `value' means section? by adding at the end thereof the following
the fair market value of any goods, supplies, "Ssc. 808. LIMITA-10 - Wrist RESPECT TO new section:
materials, or equipment provided to, for, or LAOS.?(a) Notwitlutar ,ling any other pro- "Ssc. 809. TRANSFER OF FUNDS.--(a) The
on ,behalf .sf Carribodia but in no case lessvision of law, no funds ;Puthorized to be aP- authority of section 610 of this Act shall not
MEWS, 31-/a per centum Of the amount the propriated by this or r" y other law may be apply with respect to any funds made avail-
United _States paid at the time such ffnoas, obligated in any aroma, S. in excess of $100,- able to South Vietnam, Cambodia, or Laos.
supplies, materials, or equipment were ac- 000,000 during the fiessl year ending Juno "(b) Any funds made available under any
quired by the United States. 30, 1975, for the plane) e of carrying out di- provision of this or any other law for the
- "(d) No funds may be obligated for any rectly or indirectly any ?conomic or military purpose of providing military assistance for
of the purposes deacribed in subsection (a) assistance, or any oper e,ion, project, Cr pro- South Vietnam, Laos, or Cambodia may be
of this section in, to, for, or 011 behlaf of gram of any kind, or fry providing any goods, transferred to, and consolidated with, any
-Cambodia in an fiscal year beginning after supplies, materials, .ripsoment, services, per- funds made available to that country for
June 30, 1975, unless such funds have been sonnel, or advisers is, I's for, or on behalf of war, relief, reconstruction, or general eco-
specifically authorized by law efiaeted after Laos. Of that amount, here shall be avail- nornic development."
the date of enactment of this section. In no able? MIDDLE EAST ASSISTANCE
case shall funds in any amount in excess of "(1) $55,000,000 for SEC. 28. (a) The Foreign Assistance Act of
the arnount specifically authorized by law and 1961 is amended by adding at the end there-
for any fiscal year be obligated for any such "(2) $45,000,000 (ail of the following new part:
,
purpose during such fiscal year. ance, of which there sl
,
. ?)(e) After the date of enactment of' this
"(A) $13,000,000 for "PART VI
seetion, whenever any request is made to the ance;
"Ssc. 901. GENERAL AUTHORITY FOR ASSIST-
,
Congress for the apPropriation of funds for "(B) $9,900,000 for i 1 ANCE TO THE MIDDLE EAST.?The President is
nee in to, for, or on behalf of Cambodia velopment assistance: authorized under section 902 cd this Act to
- for any fiscal year, the President shall fur- "(C) $17,500,000 10, furnish, by loan or grant, assistance author-
ized by this Act, and to provide credits and
?echnical support.
"(b) No funds riside ,vailable under para-
graph (2) of subsecties (a) of this section
may be transferred to sr consolidated with,
the funds made asail sole under paragraph
(1) of such subsectio nor nosy any funds
made available under ,ny subparagraph of
paragraph (2) be Sr'sferred to, Crcon-
solidated with, the .1-1d.s made available
under any other SUCI subparagraph.
"(c) In compuSin the limitations on
obligation authority seder subsection (a)
of this section Wills , spect to such fiscal
year there shall be Inc ' .ded in the computa-
tion the value of any soods, supplies, mate-
rials equipment, Se r vices, personnel, or
TRANSFETt OF FUNDS
military assistance;
for economic assist-
,11 be available?
larmanitarian assist-
construction and de-
stabilization assist-
plainirig the purpose' for which such funds "(D) $4,600,000 for guaranties authorized by the Foreign Mill-
are to_be used in such fiscal, year. tary Sales Act. Any such assistance, credits,
,
. S(f) The President shall submit to the ance with all the purposes and limitations
, applicable to that type of assistance under
Congress within thirty days after the end
?of eaCh quarter of each fiscal year, beginning this Act and applicable to credits and guar-
1974, a written rePait' ShoWing the Antal anties under the Foreign Military Sales Act.
With the fiscal year vytrich begins July 1,
. . . . "Ssc. 902. Assocanows.?(a) Of the funds
behalf - of Cainbodia, -diming -the- preceding appropriated to carry out chapter 2 of part
6ALtiunt of funds obligated' in, to, for, or on
quarter by the 'United -states Onvernment, II of this Act during the fiscal year 1975, not
arid ehall. iricIude ill _ such report a general to exceed $100,000,000 may be made avail-
breakdown eilm the 'total amourit obligated, able for military assistance in the Middle
East.
describing the different' PurpOSes for which
such funds' were obligated arid the total "(b) Of the funds appropriated to carry
amount' obligated for suds Piripose. s' ' out chapter 4 of part II of this Act during
the fiscal year 1975, not to exceed $577,500,-
000 may be made available for security sup-
porting assistance in the Middle East.
"(c) Of the aggregate ceiling on credits
and guaranties established by section 31(b)
of the Foreign Military Sales Act during the
fiscal year 1975, not to exceed $330,000,000
shall be available for countries in the Middle
East.
"SEC. 903. (a) SPECIAL REQUIREMENTS
Furia?There are authorized to be appro-
priated to the President for ,the fiscal year
and guaranties shall be provided in accord-
"(g)"(11) The total number 6ecivflian offis:
- ,
eels and employees, including contract em- advisers provided, to. for. or on behalf of
ployeeS, of executive agencies of the United Laos in such fiscal sar by gift, donation,
States Government who are citizens of the loan, lease or otherwi For the purpose of
United. States and of hien-there of the An-lied this subsection, 'Yes .se' means the fair
Forces of the,Useited States (excluding such market value of any soocis, supplies, mate-
members 4Arbi1e, actually engaged in air on- rials, or equipment rrovided to, for, or on
era-4?ns in OS over Cainboala Which Originate behalf of Laos but in eo case less than 331/s
Ontside Cambodia) plea-6M in Cambodia at per centum of the amsunt the United States
- any onetime shall not eireeechtivo hundred, paid at the time such .nods, supplies, mate-
Effective six _Months after the date of enact- rials, or equipmerit vssre acquired by the
merit of this subsection, auCh total nfirilbee United States.
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t.A.fliNtoctowuniAL RECORD ? SENATE
October 1, 192'4
1975 not to exceed 11011,000.000 to steel" set
Mal requirements arising from thme to time
for the purpose of providing any type or
asehrtanee authorized by part I of this Ace
In addition to funds otherwise avaliebh fig
-
such plapoSe. The funds authorieed to be up
propitiated by this section alma be svallatee
for Me by the President for iessinaise?
/herbed by this Act In ems:tin:hunt with the
pressiatons applicable to the furnoldzig ul
such assistance. Such funds are authorized
to remain avaUs.ble until expended.
"(b) 13se Pmeident shall keep the Cum.
mitten Ma Foreign Relations and the Men-
mittee on Appropriations of the Suede atel
the Speaker of the House of Representeaftea
currently informed on the prograraing auci
obligation of funds under subseetien (a).
"(e) (I) Prior to obligating any sanottet.
In excess MI $1,000.000 from I ands made
available under this section. the Presideet
ehisil transmit a written report te the Spam-
Or of the Haase of Repreeentethes and the
Committee on Foraihm aelations ol Ghe
?so-
Ste on the same day giviug a complete ex-
planation with respect to such prove/Lod ob-
ligation. Raab report shall include an in-
planatien relating to only one eropmee
obligator.
"(2) (A) The Fee:Adelt may make ewe,
obligation thirty days after the retort leo
been So transmitted unless, before the IILLe4
Of the first period of thirty calendar clays
oentinuous mission of Congress after the date
on which the report is tranakettece aliens
House adopts a resolution disappro leg the
proposed obligation with respect to ahem
22se report Is made.
"(Be For purposes of eubparagreph (A;
Cf this paingraph?
"(1) the continuity of is seesiou Le brokee
only by an adjournment of the Congress sine
Me; and
"(II) the days on which either Rona is net
In seselon because or an ndjournnieot ce snore
than three days to& tiny certain we exelledets
In the computation 01 the titterer-dee maker.
"(8) Paragraphs (4) through (II) of thi
eabseettion are enacted by Congress?
- any other seershrtion with respect to the same
obligation which lam been referred to th
(remmittee
"44S) A motion to discharge may be made
only by an bedielittes1 teeming the resolution
-ii hirhly pennitseed (except that It may no
be made after the Committee has reported
resolution with respect to the same proposed
obliration), and detente thereon is limited to
not snore than one hour, to be divided equally
between those favoring and those opposing
tee rettolution An amendment to the motion
le not in order, and it Is not to order to move
to reconsider the yore by which the motion is
agreed to or disagreed to
if the rnotior to ft lecherge is agreed to,
or diseereed to, the motion may not be re-
newed, nor may another motion to discharge
the committee he 71" role with respect to any
other resolution "'eh respect to the same
oblige t Ion.
"fin When the committee has reported, or
hos been ditschoreed front further consider-
wtion of, a rewslutien with respect to an
obligation, It is at any time thereafter in
order (even though a previous motion to the
same effect has been disagreed to) to move
to proceed to the tomitleratIon of the rem-
Melon The metkes Le highly privileged and
Ls not debatable An emendnumt to the mo-
tion Is not in order, and It Is not in order
to move to reconettler the vote by which the
motion is agreed to or disagreed to.
"(t) Debate on the resolution Is limited
to not more than L%70 hours, to be divided
equally between theme favoring and those
01-teoesee the resolution 4 motion further
to ilmit debate is not debetable. An amend-
ment to, or motien to recommit. the rem/li-
nen is not in order, mei it is not In order
to move to reconsider the vote by which the
retolution agreed to or disagreed to
"(10) Motions to postpone, made with re-
spect to the disnharee from eommittee, or
the emeideratton of a resolution yeah re-
epees to an obligatien, and motions to pro-
ceed to the oonsideratIon of other business.
so dee tied without debate.
11) Appeals from the decisions of the
Chair r -listing to the aPPlicetion of the rules
If the Senate or the House' of Representa-
tives, a the ease may be, to the procedure
item to a resolution with respect to an
alai tga ti ea are decided without debate,"
or) thm 620(pI of such Act is re-
po .4.
within a period not to exceed ten years after
e the delivery of =Me articles or the rendering
of such services; and
'(n) Internet on the unpaid balance of that
, obligation for payment of the value of such
t artiCies or services, at a rate equivalent to
a the current average interest rate, as of the
last May of the month preceding the nnanc-
big of such procurement that the United
States Government pays on outstanding
marketable obligations of comparable ma-
turity, unless the President certifies to Con-
pose that tete national interest requires a
lesser rate of interest and 'notes in the cer-
tification the lesser rate so required and the
lustiacation therefor."
(4) In subsections (a) and (b) of section
14, the parenthetical phrase in each is
intended to read as follows: "(excluding
hit ted States Government agencies other
.han the Federal Financing Bank)".
(5) Section 24 is amended by adding at
he mad thereof the following:
"(d) The President may guarantee under
-hls section only those payments for any de-
ems article or defense service which are due
--(Rhin ten years after that defense article is
Ritvered or that defense service is rendered,
t xcept that such guaranty may be made for
vett more than twenty years if the President
certifies to Congress that the natdonal in-
t 'rest requires that the period of guaranty
le longer than ten years, and states in the
eTtinCeLICTIT the country or international
trganization on whose behalf the guaranty
I to be made, the period of the guaranty,
and the justification for the longer period."
(8) In section. 31?
(A) in subsection (a), strike out "6325,-
? )0,000 for the fiscal year 1974" and insert
hi lieu thereof "4455,000,000 for the escal
yar 1975"; and
(B) in subsection (b)---
(I) strike out "8730.000,000 for the fiscal
y or 1074" and LT1ECTL ill lieu thereof "3872,-
5'10,00(i for the fiscal year 1975"; and
(ti) add at the end thereof the following
n lxv sentence: "Of the funds made available
u ider subsection (a) of this section, 8100,-
0(0,000 shall first be obligated with respect
Is financing the procurement of defense ar-
t/ :les and defense services by Israel under
a ation 23 of this Act, except that Israel shall
bo released from contractual liability to ee-
s the United States Government foe the
*Masi articles and defense services so
tenced."
POLTTECAL FRISONEMS
Sac, 30. Section 32 of the Foreign Amist-
at AM Act of 1973 is amended by adding at
the ene thereof the following new sentence:
"4 ommencing with respect to 1974, the Presi-
dent shall submit annually to the Speaker
of the Rouse of Representatives and the Corti-
na ttee on Peretten Relations of the Senate
a- written report setting forth fully the steps
In hue taken to carry out this section."
GOECAS MEMORIAL INSTITUTE
exe. 81. The first section of the Act en-
titled "An Act to authorize a permanent au-
nt al appropriation for the maintenance anti
operation of the Gorges Memorial". approved
Day 7, 1926, as -amended (22 U.S.C. 278), is
ea ended by striking out "$500,000" and in-
setting In lieu thereof "$1,000,000".
ZETERNATrONAL COMMISSION Or CONTROL AND
sometritssornite VIETNAM
32. (a) There are authorized to be ap-
prepriated to the Department of State for
Seal year 1075 not to exceed 416,526,000 for
Mtenents by the United States to help meet
e4onses of the International COMMISS1011 of
Co strol and Supervision In Vietnam, Fends
aretropriated under this subsection are auth-
ort ted to be made available for reimburse-
to the Agency for International De-
velepment of amounts expended by the
Agency during fiscal year 1075 as interim
trn ted States payments to help meet ex-
pet see of the International Commission of
Mittrol and Supervision.
"(A) as an exercise of the rulereanine
pbwer of the Senate and the -Reuse a Rep-
resentatives, reeipectively, and as meth thm
are deemed a part of the rules of each Ileum,
respectively, but applicable only wets respec.
to the procedure to be foliewed tic tic; Hotta&
In the ,casi of reanbtrions described by the.
subsection; Ned they supersede Mien rake.
only to the extent that they Are inetemist,
ent therewith; and
"(B) with full recognitiou of the cenetile-
tkinal right of either Beene to change Let
rules (so far as relating to the preceLlure ol
That House) at any time, In the same manner,
ancl to the same extent as iii the cue of am
other rale of that HOUSe.
"(4) For purponee of paragrapha (2)
through (11) of this subsection. lea...tenon'
Means only a resolution of either House tei
Coegress, the matter atter the resolving
clause of which is as follow.. 'Tame the --
does not approve the obligateou for
said explained In the report truesualeted to
Congress by the President on --,
the first blank apace thertin be-
ing filled with the name of the reniving
House, the second blank ammo tie:lea. being
filled with the name of the foreign ciuntry
or organization on whose behalf the oblige-
tion is to be incurred, and the other blank
spices therein being appropriately filled with
the date of the transmittal of the report; but
don: not include a resolution specifyin ; mon,
tha:L one proposed obligation.
"(5) /f the committee, to which has Men
refeered a resolution disapproving 1. pro-
posed obligation, has not reported the reaolu-
term at the end of ten calendar days, alter its
introduction, it is In order to move either to
discharge the committee trent furthe- con-
sideration of the resolution or to diseharge
the committee from further consideration of
1.J.6.111?..N MILITARY SALES ACT AMENDMENTS
hwc ee. The Foreign Military Sales Act is
amended as follows:
II) Motion 8(d) H amended to read as
fellows:
-en A country shall remain ineligible in
Crtma.,CC with tsubsection (cc of this see-
n/el until such time as the President de-
teremie, that such vielation has ceased, that
the country concerned has given assurances
fatiffactery to the President that such viola-
tion will not recur, mid that, If such viola-
tion involved the transfer of sophisticated
weepone without the consent of the Presi-
cent, stels weapons lave been returned to
the country concerned."
(e) Renton 22 in enneded by adding at
the end thereof the ft:Howe-1g new subsee-
t ice :
e) No sales of dennse articles shall be
mace to 'he governs:neat of any economically
developed country under the provisions of
this eection if such articles ire generally
available for purchase by such country from
sOlioX1 in the United States."
le) /notion 23 is amended to read as
follows:
' Ero. ii. CE17,71T Seiss.?The President is
meteorized to finance procurements of de-
fume articles and deetese services by friendly
foreign countries and international organiza-
tion, on tome requiring the payment to the
United Metes Government in United States
(Jolters of ?
"; I) the value of such articles or services
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elected represeritativef If the Amereean flation. The committee has acted in a
people have always co -? to the conchi- responsible manner to help in that effort.
sion that continuatior of a foreign as- Before I explain the major provisions
sistance program is in the national . of the bill, a few words of background
terest and a part of our national security are necessary. Last year Congress ap-
effort. Within that, t ajority there is proved a 2-year authorization for for-
much argument about t orm and content eign economic development assistance,
but there is no substar L ,ial disagreement but only a 1-year authorization for min-
over the Nation's obla! tion and indeed tary grants, military credit sales, secu-
our desire to help the world's poor. rity supporting assistance, and only 1
The bill recommen{ ed to the Senate year for economic aid to Indochina.
The principal purpose of the bill be-
fore the Senate is to provide a number
of supplemental authorizations for eco-
nomic development programs and to pro-
vide new authorizations for the pro-
grams which were authorized for only
1 year during the last session' of Con-
gress. In addition, the bill contains au-
thorizations of appropriations for a
Middle East contingency fund which was
requested by the President and the Sec-
retary of State, and for U.S. contribu-
tions to the International Commission
of Control and Supervision in Vietnam
which was set up under the Paris Agree-
ment.
For many years the Committee on For-
eign Relations has urged that military
and economic assistance authorizations
be considered in separate bills. In re-
porting a bill containing authorizations
for both economic and military assist-
ance, the committee recognizes that, on
the surface, its action appears inconsis-
tent with its traditional position. How-
ever, this is a unique bill where military
and economic aid issues are inextricably
combined. In Indochina, for example,
hers. Those staff me e hers made an in- the committee believes that the Senate
tensive study of our foreign assistance should consider the total flow of U.S.
program in the Indot t ma area. resources to South Vietnam, Cambodia,
The staff membert, brought back rec- and Laos.
ommendations to us and those recom- It would be inadvisable and confusing
mendations were re esented to every to try to deal with policy toward those
member of the eon, mittee. They were countries in separate economic and mili-
discussed in coma ittee and, subse- tary aid bills. Similarly, in the Middle
quently, amendment were drawn from East, the committee's singling out this
some of those recome Lendations. region for special attention has resulted
I am proud to so: that a num oer of in a mix of economic and military aid
those recommendatams I offered as authorizations. Next year the committee
amendments so that they could be in- fully expects to deal with foreign assist-
eluded in the proptaed legislation now ance authorizations in two separate bills,
before us, the Far{ I m Assistance Au- as outlined in section 9 of the State De-
" -74 partment/USIA Authorization Act, S.
October 1, 1974 .
(10 There are anthorized to be appropri-
ated to the Department of State not to ex-
ceed $11,-900,000 for reimbursement to the
Agency for International Development of
amounts expended by the Agency for Inter-
national Develotunent to help meet expenses
of the International CommisSion on Control
and Supervision in fiscal year 1974.
(a) Iteirnbitrsements received by the
Agency for International Development un-
der, this section may be credited to applicable
apprbpriations of 'the Agency and shall be
available tor the purpOses for which such ap-
propriations are authorized to be used dur-
ing fiscal year 1975.
HU1VrPHREY. Mr. President, I
ask unanimous consent that Dan Spiegel
of my staff, and Norvill Jones, John
Hitch, Robert Dockery, and Richard
Moose of the staff of the Committee on
Foreign Relations be permited to remain
In the Chamber during the remainder of
the Senate's consideration of S. 3394.
The Prmsmrco OFFICER. Without
objection, it is so ordered.
Mr. HUMPHREY. Mr. President, it is
my responsibility to bring the foreign
assistance authorization bill, S. 3394, to
the Senate. This follows, of course, our
extended discussion on the continuing
resOlution with all of its amendments.
I am hopeful that during the consider-
ation of this bilt into which a great deal
of work by the Committee on Foreign
Relations has gone; we Will be able to
expedite the consideration of amend-
ments. There are several Members of this
body with other pressing duties who have
amendments to offer, and we have had
much debate already on most of the items
which will be brought up for considera-
tion. Actually, I have a feeling that we
are going to see- what they call in foot-
ball parlance some instant replay here,
and I am fully aware of what the score
? Is going to be On the instant replay.
It was mY judgment that we should
have proceeded with the foreign assist-
ance authorization bill, S. 3394, prior to
the continuing resolution, but there were
those in the administration who felt that
-Was not desirable. can understand their
concern. But that is the past, and we shall
preceed now with this proposed legisla-
tion.
Let me add that the foreign assistance
by the committee, by L. vote of 11 to 5,
will bring an end to on major aspect of
the foreign aid prograra
I wish that this Chanber were better
occupied today, so 11 et my colleagues
would know the impoi lance of this par-
ticular action. The aaret of the foreign
aid program to be d ationtinued is the
military grant a,seisteac.e program. For
many years the Correeittee on Foreign
Relations has sought a bring about ma-
jor changes in foreir aid policy. Last
year significant irnprosements were made
in the economic aid pregram. and I want
to compliment in part{ ular our esteemed
colleague from Vermot le (Mr. AIKEN) for
his help in this effort, - joined with Sen-
ator AIKEN in designt g that bill. Ie was
designed to insure that the benefits of
American tax dollar reached the rice
bowls and bread bask sis of the poor and
did not lodge in the rrrckets of the rich
or the corrupt. This e ear the committee
has continued its wert: at reform, con-
centrating on the nub t. Lry assistance pro-
gram and aid to /ad -.;:sthina. And may I
add that the conontj.ee dispatched to
Indochina two of its rT)st able staff :nem-
.
authorization bill before us is greatly thoriza io .
different from other legislation that we This year, as Thal L said, we continued 3473, now in conference, which requires
have adopted ' in this area on other our efforts at imam, , e_ment and reform consolidation of future requests to Con-
occa,.siOns. -1-- ' t and fiscal discipline.
, gress for foreign affairs and foreign as-
Fereign aid* bills, Mr. President, have The bill recomrdei ded by the commit- sistance authorizations.
never been popular. I believe that is tee would authorize a total of $2,527,- Mr. President, I ask unanimous con-
probably the understatement of the year. 626,000 in approm I tions for certain sent to have printed in the RECORD at this
' Blit in this time of galloping inflation, foreign assistance pi ,)grams in the 1975 point three tables: the first showing the
belt tightening bY every American, and fiscal year. This rep tesents a reduction authorizations proposed by the execu-
a Mounting Federal budget, the task of of $724,600,000--or t.'2 percent?in the tive branch and the recommendations
defendiu this bill in the Senate is less executive branch's n tuests for these pro- by the Foreign Relations Committee; the
palatable than ever'. But, as distasteful grams. second showing the executive branch's
as foreigi aid is to most Amerie,ans, year I submit that no i tl. has been brought foreign assistance request, including pro-
in and year (int since the beginning of before the Senate that has hal that grams already authorized; and the third,
the Greek-Turkish aid program, every much reduction ape Led to it. We went a country-by-country breakdown of all
CongreSs 'arid every President have over every item in tis bill, and I hope foreign assistance programs proposed by
agieeei that foreign aid is a key element that my colleague{ will take the time the executive branch for the 1975 fiscal
In America's foreign policy. Congress as they consider V. Is measure to look year.
may grumble -and groid, and indeed it at what we have 1-me. 'The President There being no objection, the tables
does, and it has, and I have done my has called for Corigr ,ss to exercise fiscal wereprdered to be printed in the RECORD,
share. But, in'the end, a majority of the restraint to help in I he fight against in- as follows:
-
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kAiivraRk.SIONAL RECORD-SENATE October 1, 1974
TABLE L-609(1834 ASSISTANCE AITINIONATIONS INCOMMENDED 81' THE COMMITTEI OK FOREIGN MIAT10NS
{la tonsande W doilies]
I- find and WW1=
2. Rapidan planning siI Imalth
8. Education and human resomais develop inept _
4. GormeMersorial--Ranarna..
b. INowbowi organisation and programs__
b. lodachina postern rocoostruction
Y. Security supporting assistance
'Supplemental to current authorization.
1001
taloroncia
sada request
006bost
1
25:4 30u
-55, 400
ft middia East special requiren nits funds__
000
+20,000
-1-2,000
_
9. Military assistance program.
10 Foreign rather, credit sales. .
+500
it
_
Werner onat Commission ft Cordrol and
+33;600
Supervision in Vietnam_
335, 560 58
-389100
tzua, ou
IOW
Racal year Committee
1975 sateen- recornmen- Difference from
Matto request dation request
100, MO
985, 000
555, 000
27,726
3, 252, 226
100,000
550,000
? 455, 000
-435,000
-100,000
27,726
2, 527, 626 -124,600
7.4811 0 --COMPARATIVE DATA
Fly-el yen r 1974
_
Autbmize- Appropria-
tion Soo
SleveWirani assistance:
and nutrition 291, UC) 34,0(L1
Revelation planning end health _ 145, trOa 115,06u
,Edscatian end human faSUtileta__ 90. 003
YedoStod devehipmeat problems._ 53, (03 43,502
Sdoesd countries and organi-
sations__ 39,003 36, soa
TAM, donctional development
issiolonco 610,000 580, OW
loternedarml orderdzab014
811gresilliod yaw programs _____
Mainsns Basin Development Find
lea
is Rasta davoloproard Fund
1LN. Inewencooit fund
and
30f tids amount, poo,000.coo to be in the eater* of a grant to Israel.
09IEIGN .AMISTATICE ACTIVITIES, FISCAL Y tRS 1974 AND 1975
fin thomends of dollarsi
faced year 1975
mosesi
- - Demarrilee
ppropMe? Ai/Morin- Meermnsa-
tie* ten deliao
At, 300 5 255, 396
145,000 --
90,360 .
53,460
Snfret droved relief
? 200, IMO Disinter rebel and recorstructron_
026,000 Administrative esperism, AID
'2,0(0 Administrative and ocher expense ,
32, 003Total, davalopinent assist -
Indeelmm postwar reconstruction_ _
. WO .256,300 4 at 6011 Sucerrity support* Isar dance
- - -- - /diddle Fast Special Requirement
Fend.
15E. LX, Cat SRL " 3, 900
6) 2,000 300
14, 510 9.00. .4 506
2, CX 2.001
7, 50, 16, GU&
lout hdereational cream-
mtions awl programs. __ 16,6, 51t 14S, 506 1.2 ter6 90=
Americas 'Awls and Itcopitals
abroad_ 19,000 19,03
Contrnmucy fund 30, 0_10 Is, 00t
Association Partnere of the
..... -
Abaft Schweitzer Hospital__ _ 1 WO 1, 630 .
934 756
600
A, GOO
____ ......... ... .
fiscal year 1974
Fiscal year 1975
request'
Committee
Aerlhoriza? Appropria. Appropria- Authorize- recommen-
tion don tion lion dation
75,000
186,000
45, 003
20,000
150,000
40,000 45,000
4,000 5.960
990,434
000
906,050025. 000
'499,000
112, 500
1, 142, 800 '259,200 = 258,900
939.800 939,800 550, 000
385, 500 385, 500 585, 500
100,000 100,000 100,000
Total AID.. _ .. 1, 684, 434 1,597, 550
Marimbas:I rearceues antral.
. _ 42,500 . 42,500
Oversees Pfister, Investment Cor
proration (rammer)_ (I) 25, 000
midowywnewerwe premaniOeitriP). 512,5439 7450, (101)
foreign military credit sales_ ..._ 325, 000 325,000
Einetgency security assistance:
hovel 2 200 000 2, 200,000
Cambodia. 8150, 000
2, 568, 100 1.684, 500 1 494, 400
42,500
25.000
985, 000 985, 000 550, 000
550,000 555.000 455,000
loreiva asrastanCe dents . 4, 764, 434
Oran Memorial Instrtme.. (I)
International Comeussioe of Con-
trol sod Supervision in Vietnam 4,500
4, 790, 050 4, 175,600 3,224, 500 2, 499, 400
500 500 (0) 500
'27, 726 027, 726 "27,726
Grand total__ ........ _ . 4, 766. 234
4,790, 550 4, 203, 826 3, 252, 226 2, 527, 626
I Romrest includes the fallowing ad ditional summits not isis i,.dct in itic year
25 bad transmitted to the Congress or; fob. 4, 11/4. InJothisur postwar soussestrectissa,
; sonority supporting a; ststance 5327 500,000_ Marcie r as. vocial sequiremeefl.
foreign military credit ;les. 9243,300,300, mil 1..i) 4,sisteute s wands, 140,0011,0011.
I to erdst ng authorization.
Ott moms* authorized by Ar of 1767 Var.! Tale e 851,266,00d) Lich:
ArethorieNt by Public Law 93-188 which flair aaa.abtu I,,,,,Lt6,060 rood, minima d.
TABLEIll--U.S. corm 611: AS:it:, to 'ILI, MILIIAI4Y 436137A2NGL, AND CREDIT SALES P6OGRAMS IIOPOSED FOR FISCAL YEAR 1975
Pernweent itedkortration for nab Sonia as mat be necessary.
'Includes $49,000.000 suppler**, gal appropriation.
' tediums 1250.000,003 in dotes., stocks provided to Cambodia under sec. 506 of the FAA Gt
1001.
*Not authorized.
?Perineumf enthoriaalion of 53L 1,0013 per anourn.
eche $05, 905,526,000 for Meal year 1975 contribution to the ICCS sad $11,200,000 Ii rein-
borsoossol to MO For fiscal year 18 '4 expanses of lb* ICCS.
Tater
economi
Ila theirs:Ids of dollars]
Rowe* Mbetenc? preprint
snidiery
rreistinca
and
arse
sales
Total
ecenomer
Desistence
AID
Petits
e Law, ?
4905
kiter-
ethane'
imicatice
control
lommery
Parke, tate
,ia_
SotOwana
dirron8 . . .... - ........
Ga simmen
Central African Republic
Chad.
Collo (9012Mtriffe)
Dahomey
Ethiopia
Gabon
Gambia
Ghana
Gahm
Ivory COM,
0368,736
293, 753
1,400
1, 736
425425
1, 313
260
448
412
499
42, 938
530
442
15,666
333
2,091
I 4, 72, 226
251,443
1,493------1,409
i, 7
1. 311 _
200
418
4
4
32.0li
530
442
15,026
333
2.481 .
2, 842, 415
16/1.01
12.256 995,828
42, 500
26, 803 56,13
25.897
13,746
394 1,842
-
825 486
139 121 ---------
444 4
412 .
MS III
3. Z 1.804
225 /87
1,187 fla
333
1,463 622
Military assistance and credit sates programs
Total
it dairy
min Same
and
credit
soles
Military
assists/ma
maids
(MAR)
Foreign
military
credit
sales
Tufts
defense
articles
Military
assistance
service
funded
3. 463, 500 1,024, 000 872,500 150,000 1,450,000
42,285 14, 785 24, 500 3,000
It 900 11,300 5;000 2,600
70 70
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S 17957
Economic assistance prograt -
-I- ,
Total Military assistance and credit sales programs
KIJITOM1C
.. and Total
ilitary military
stance liter- assistance Military Foreign Military
-end Tolal Public national and assistance military Excess assistance
Credit economic Peace Law, narcotics credit grants credit defense service
- Sales assistance AID Corps 4801 co Aral sales (MAP) safes articles funded
Trenya I, 951 S, 951 7, 493 1, T.15 299
-Lesotho :1, 739 1,739 98 1, 641
Liberia 8,.62.6 9,026 7, 206 1, 352 458 600 100 500
Malagasy 168 168 198
Malawi 410 410 _ 351 50
Mali 1, 286 1,236 _
Mauritania 290 290
Mauritius _ 1,219 1,219
Morocco 49, 182 34, 322
Niger 3,957 1,957
Nigeria 6, 133 6, 133
Rwanda 2, 947 2,947
Senegal 1,870 1,845
Seychelles 26 26
Sierra Leone 2,566 2,566
Sudan 15, 960 15, 910
Swaziland__ 572 572
Tanzania_ 12,054 12, 054
Togo 2, 089 2, 089
Tunisia 21, 368 17, 468
' Upper Volta 2, 230 2, 230
Zaire 15,294 11,494
Zambia 8 8
Economic regional programs:
Central West Africa and Sahel 26, 874 26, 874 26, 874
East Africa 1,563 1,563 1,563
Southern Africa 10, 123 10, 123 10, 123
Africa regional 21, 988 21, 988 20, 527
Self-help projects 1,700 1, 700 1, 700
Regional military costs 30
356 880 50 50
54 236
79 1,140
15, 210 1,331 117,781 14, 860 860 14, 000
1,061 897
3,682 151 2300
2,500 _ 447
606 1,739 25 25
26
11,655 911
10,850 5,090 50 50
452 120
00,659 1.395
1 061 1,o28
5,809 1 072 10, 587 _ 3,800 2,000 1,500 400
529 1710
6,013 5, 14f 335 _ 3, 800 300 3, 500
8
30 30
Asia total 4,792 069 2, 086, 017 1, 375, 949 V,67' 680, 746 14, 198 2,676, 052 787, 902 318,000 120, 150 1, 450, 000
Afghanistan
.Bahrain
angladeah
ritish Salomon Islands
unna
-Cambodia
-China (Taiwan)
Cook Islands_
Trus
17,185 16,985 14,467 I, 29 1.175 50 200 200
83 83 8
104,669 104,669 65, 220
116 116
2-
5,000 5, 000 5,000
550, 761 187, 011 u 110, 000 77, 011 , 363, 750 362, 500 1,250
80, 400 80, 400 400 80, 000
14 14 1
571 571
606 606 60.
!filbert and Ellice Islands_ 21 21 2
reece 71, 000 71, 000 71, 000 ?
I ndia 1113,894 1113,794 75, 500 21 30,1)03 _ 100 100
Indonesia 221, 369 192, 469 71, 460 120, 909 100 28, 900 22, 700
Iran. _ _ - 0569 1569 159
)(area 436,108 182,068 25, 176 1,90 054,90') 234,300 161,500 52,000 20,800 .
Laos 143, 505 57, 405 ?56 000 ,,!53 1, 152 86, 100 85 200 900
- Lebanon 10, 150 10, 150 150 10, 000
Malaysia 12 938 2, 653 2, 41- T 156 10, 285 285 10, 000
Micronesia 1, 061 1,000 1, 0,
`Nepal ? 6, 991 6,956 5, 721 8 r 402 35 35
'Oman - 161 181 1i
Pakistan - 123, 074 122, 794 78, 745 43, 299 750 280 280
PhilipTines 103, 715 78, 315 49, 844 Z 1 t 26, 043 250 25 400 17, 900 5 000 2, 500 _
t audrArabia -220 220 220
Sri Lanka (Ceylon) 18, 801 3.8,706 8, 000 _ 10, 786 15 15
'Thailand - - 88 587 14, 087 6, 005 1 2 ", 6, 864 74, 500 56000
Tonga ' 338 338 3 '
'Turkey 232, 492 27,452 23,064 ------4,396 32 205,000 80,000 90, 000 35, 000 _
Vietnam 2 396, 553 991, 553 a 751, 000 _ 160, 553 1, 485 000 35, 000 1450 000
Western Saito 321 321 3 i
Yemen Arab Republic 13, 734 13, 734 11, 496 1 Z 078
, t manic regional program 25, 365 25, 365 24, 251 1, 1.,
-'Regionaf military cos(s_ 417
39, 449
92
6,200
18, 500
417 417
Latin America, total 92 306 372, 206 267, 461 ' 1997, 78, 137, _
6, 630 220, 100 18 250 200, 000 1 850
Argentina 30,900 - 200 200 38 700 700 38 000
Belize (British Honduras) 275 275 2 '
Bolivia__ 35, 959 29, 459 22, 239 45 , ' 8 300 3, 000--
64,976 63, 676 26, 035 3, 2 178
7 175 66,, 850000 200
Brazil 800 68 000
'Chile - 69, 309 8 508 2 800
9, 986 243
28 21, 300 800 20, 500 .
37 097
Colombia 700 17, 000
Casio _. _ 2, 147 35 148 21, 908
2, 147 834 2,
209 537 17, 700
Dominican Remiblic __ , _ __ 15 8554 0 5 456 1F150
' Ecuador - . 18 976 17 07565
2, 050 1 7, 888 _
3, 327 ,
1' 430?0? 500 50
12, 500
El Salvador 17 381
12, 731 9 833 326 12, 900
8 500 50
Guatemala
21, 305
- ,
18 955 11, 561 4 650 11?
17, 090 1, 781
2,350 1, 300? 1,000 50
Guyana 8 624 3, 624 8 550 _
74
Haiti _ 11, 055 10,055 8,179 2 -
, 669786 200 200
H0ndpras 28, 152 23, 502 22, 038 I, 100 3, 500 50
Mexico 10,100 5,000 8, 450 1, 1, 558
5,00034 _ 4,650
6,100 100 5,000
Jamaica 11, 399 11, 399
Nicaragua 33, 558 29, 108 27, 826 57 688 4,4501, 100 3,000 350
Paraguay 7, 770 5,420 4,756 338 18
3656?
500 . 50
Panama 22 266 21, 716 21, 360
Peru 38,631) 17, 330 13, 489 1, ; 2,51369 10 2,0 500 450
93 21,800 1, 400
800 20, 500 - --
, Trinidad and Tobago 16 16 16 - -- -
ruguay -
eepezitela?,1, 857
Caribbean 6,486 786 775
19,557
rational 6, 443 6 4
Central America regional (ROCAP) 1, 674 1: 67443
16, 69304?
Inter -American prngradta 17, 650 17, 650 17, 650 _
tconadiTc re - Farogtanrs 23,646 23,646 22,281
' Regrany military-tosls 350
rooiri;oiei?iii title. '
---
33
11 4,700 1,600 2,500 600
43 17,700 700 17,000 -----------------
--
350 350
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S 17958
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CONGRESSIONAL RECORD ? SENA TE October 1, 1974
TABLE 111.--U.S, ECOI4OMIC ASSISTANCE, MILITARY ASSISTANCE, Alin CREDIT SALES PROGRAMS PROP0SED FOR FISCAL YEAR 1975?teathang
pa taainseds el dating
Economic assistance province
Total
ecomereic
and
milltarr
assirtaric
end
Medd
sofas
Total
'commove
assisterice
Peace
AID Corps
Public
Les
4801
Inter-
national
part:oho
control
Military assistance and credit sales programs
TMal
military
.siStance
and
credit
sales
Military
assistance
[grants
(MAP)
Foreign
military
credit
sales
Excess
defense
articles
Military
assistance
service
funded
Middle East, total 969, f.,5d 519, 807 478,175
Egypt 259,144 153144 250, 000
Israel 378,21 14.211 '50. gm
Jordan., 217,04", 44,45? I 78 175
Middle East Special Requirements Fund . 100,00u 100. OW 100,000
Europe, total
Austrie
Finland
Matta
Portugal
Spain
Regional military costs ..
41,632
449, 243 94, 243 330, 000
3,144
28211 300, 000 300,000
10, 277 149, 243 94, 243 30,000 25, 000
25,000
1$,
15,053 12, 522 12, 500 22
.24
.. 24 24
...... ..... 24 24
9, 52, 9 522 *9500 22
841
4,60F OW * 3 000860 860
1,600 1,600
2,531 2.531
23 23
Other 821, XS- 721, 079 6397338 f 20, 529 r 139, 540 '21, 672 .06,289 '106,289
U.S. contributions to international financial in
stitutirens. total 909, 47
African Development Bask Spemal Fond .. 15,000.
International De mlopment Association 32(j, min
Inter-American Development Bank;
Paid-in capital
Callable capital
FUN Itif Special operations .590, ot.,)
Asian Development Bank:
Pald-in capital_
Callable capital
Special funds_
900.127
15 000
39n CAM
50030)
24,171 24 177
(36, 503 (96 50")
50,009 50 000
'Public Law 480 estimates are planning Livers Viki,11 Oftli reexamined :ate hi the VOlf
I'-
light Of revised price estimates. U.S. commodity asslamIthe'' ind 'sapient co nit's reouiremene
if ovaslabilities permit, _a title I concessional 5.11,115 :romans mai tie pimmeri Pu Guires,
Includes pfM,000,000 U.S. ContribUfiona IC inturnationst finsizaal institutions,
4 Largely or wholly funded from security suoporirg ass.s:eace or Indochina postwar recon-
struction accounts.
includes West Bank at the Jordan River anc Gare.
Includes the following: American schools and Lospitsts Woad. 110,410t IO mrs,tats,rnsvs
expenses, AID, 147,100,000; State, $5,900,000; ventingety fund, $30,000,000, intanationg
Mr. HUMPHREY. I ask also that there
be printed in the REcoso a StiallillarY of
the major policy provisions of S. 3394 as
reported by the Foreign Relations Com-
mittee:
There being no objection, the sum-
Mary was ordered to be printed in the
Recoeto as follows:
Str:dmaRY or MAJOR POLK Y Fitovisiores sir
TIM WILL
I. ItesOCICIN
1. Policy.--States a Congressional policy
concerning the political/military sItuatio.
in Indochina and ,principles to guide the
17.S. economic assistance program.
2. Spending Ceilings.--Iniposes fiscal year
1975 ceilings on obligations for assistance to
IraloChina: $1.28 billion for South Vietnam;
$347 million for Cambodia; and $100 million
for Laos.
3. Project and Program Authorisations:-
Authorizes foods for economic assistance to
South Vietnam, Cambodia. and Laos 1.iy spe-
cific project or program.
4. Personnel Ceiling in South Vietnam.-.--
Imposes a ceiling on US. direct hire ai.d con-
tract personnel in South Vietnam of 4,000 to
De readied within six months after enact-
ment and a fUrther reduction to nos more
than 3,000 by the end of fiscal year 1976.
5. Personnel Ceiling in Carnhorgfa,?.Re-
duces the ceiling on U.S. direct hire or cons-
tract personnel in Cambodia from 200 to
175. Contract personnel of humrinharlan re-
lief agencies are evertipted from the ceiling.
O. Transfer authority.?Allows military aki
funds to be tised for economic assistance
Morposes.
U. MILITARY ASSISTANCE
1. PitaSe Out of Military Grant Assistance
and Military Missions.--Requires a phase out
orgrazations and programs. $200,100,000; operafing costs, $123,400,000; interregional popula-
tinn program, $50,400,000; and ohm interregional programs, $69,100,000.
? locludee worldwide soPPert. 4.600,000; Peace Corps share of action support, $13,300,000.
Includes emergency reservesfoliaged title II, $35,300,000; ocean freight, $103,200,000;
grants of title I currencies under Sc. 204 of title II, 91,000,000.
I Includes International organza-ions, $5.100,000; interregional programs training and support
costs, $6,700,000; unprogranied. $.4800,000? .
locludes administration, $75,210,000; supply operations, 378.700,000; inspection, general,
$175,000; storage and maintenance stockpile, 31,000,000,
over a chree-year period of military grant
us....istalice and United States military aid
r, foreign countries.
2. CoAs of Military Missions.?R,equires
that all r!ostu of United States military mis-
sions abronct must be charged against appro-
priation.; for military grant assistance.
3. war Resecce Stockpile for Foreign Conra-
--,tequires that any stockpiling of mili-
tary equiprnaent or austerial for foreign coun-
:rico ;re nuanced, out of funds appropriated
for milliary assistance. No material can be
provided to a foreign country from previ-
ously stockpiled materials unless the cost of
the materials Is charged against funds appro-
priated for the regu'ar military twat:stance
provrtim or military eld to South Vietnam,
4. Aurttnrity to Orate on Defense Stocks.?
Repeals the authority to draw on Depart-
rnent nr Defense stocks for the purpose of
providinir additional military grant assist-
ance to foreign countries.
5 Excess Defense tirtichrs.?Tighterts re-
atriction; on the use of excess defense arti-
cle% for foreign military aid by requiring
that all crania of excess articles be charged
against funds for military aid at not less
than one-third the acquisition cost of the
article.
6 Military Aid to Korea ?Imposes a ceil-
ing on military grant aid and credit sales
to Korea of not more thin three-fourths the
FY 1974 level and phases out such assistance
over a three-year period.
7 Arms Sales Throtigh Commercial Chan-
iblts government procurement of
arms for economically developed countries If
the equipment or material Is available
through commercial channels.
8. Interest Rate Oa Credit Sales.?Im-
poses a rignimura interest rate on credits ex-
tended to foreign coma-ries for purchases of
arms under the Forelan Military Sales Act
of not less than the interest rate paid on
'Treasury borrowings of comparable maturity.
Ur. GENERAL
1. Chile.?Imposes an FY 1975 ceiling of
not more than $65 million of which not
ntore than $10 million can be in military
credits or grants.
2. Waiver Authority.?Repeals the Presi-
dantS general authority to waive restric-
tions In the Foreign Assistance Act.
3. Police Training.?prohibits use of for-
at aid funds for training foreign police,
prison, or internal security forces.
Mr. HUMPHREY. In its work on the
Ptesident's foreign aid request the com-
mittee's primary focus was on two major
ategories: the military grant assistance
program and assistance for Indochina.
I1 . addition, the committee gave con-
siderable attention to the provisions con-
cerning assistance to countries in the
Middle East. I will comment briefly about
the committee's action in each of these
al cos. I will not burden the Senate with
a description of all of the other pro-
visions recommended by the committee.
The details are contained in the corn-
m.thee report.
I commend to Members of the Senate
ar d to the public a careful reading of
that committee report.
First, on military assistance: The
committee approached its consideration
of the proposed military assistance pro-
grim for fiscal year 1975 with the long-
held belief, expressed in committee re-
po ts of past years, that the United States
should provide grant military aid to for-
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October 1, 1974 CON'OIMS'SIONAL Ittr:01M ? SENATE S 17959
eign countries not as a habit, but only importance, I would litvle" that our sol- can; always authorize military grants or
In specific instances where such assist- leagues would take not ei the fact that? concessional credits on a case-by-case
ance is clearly warranted by U.S. if they read the RECOR1, and we presume basis whenever a country's circumstances
security or foreign policy interests, that such is done in preparation for im- warrant such aid, as was done in the case
At Present, the farflung network of portant votes?we mail a reduction of of Israel last year.
U.S. Military missions gives bureaucratic 44 percent in foreign 'solitary assistance. INDOCHINA
momentum to the perpetuation of an ex- No other committee ha', made reductions Now, I turn to the provisions in the bill
tensive program, the rationale of which of the size that the F oreign Relations relating to Indochina. The Foreign Re-
has become Increasingly more dubious Committee has made in this foreign as- lations Committee has acted to reduce
each year, in the view of the majority sistance program. This seems to be the the scope of U.S. involvement in South
of the committee. Through this bureauc- desire of the Senate, e ed we have tried Vietnam, Cambodia and Laos to estab-
racy, the United States continues to to comply with that judgment. lish guidelines for future U.S. activities
dispense' hundreds of millions of dollars In addition to reduce ' g the authorize- and programs in that region.
In weapons each year in pursuit of such tion for military grant id and providing To place a clear and definite limit on
vague goals as "stability," "balance," for a 3-year phaseout 'f the grant pro- our financial involvement in Indochina,
and the "maintenance of friendly rela- gram and overseas ne -sions, the corn- the committee imposed a ceiling for each
tions." Vet, there is little evidence that mittee closed off auliary sources of country on all U.S. obligations for for-
Mich general purPoses have actually been military assistance wl Ich have allowed eign assistance purposes. In addition, the
served by this extravagant program. for greater volumes of military aid than bill establishes a ceiling on U.S. person-
'Experience indicates that the avail- could be clearly perce eed either by the nel in Vietnam and lowered the current
ability of grant military aid induces re- Congress or the Amen sari people. In ad- personnel ceiling for Cambodia.
cipient countries to maintain larger dition to regular military grants and To establish guidelines for future m-
end more expensively equipped military military credits, milit ' ey assistance has tivities, the committee approved state-
forces than they would otherwise find been provided in the past by the follow- ments of policy relating to both military
necessary or prudent. By encouraging Ing means: and economic assistance. On the military
recipient countries toward increased Military Assistance :service-Funded? side, the policy statement calls upon the
militarization, the program not only es- MASF?a Defense Dsoartment budget President and the Secretary of State to
calates the destructive potential of in- category now used on e for military aid take new initiatives to bring about an
ternatiOnal conflict but also enhances the to South Vietnam; effective cease-fire throughout Indo-
relative power of the military within Defense Depart:net s funding of most china, reduce arms shipments to the
those societies. Thus, it often serves to of the costs of U S. military missions area, and conclude a lasting settlement
stifle - the very democratic processes abroad; of the issues which have fueled the past
which the prograrn, in its origins, was Grants of "excess sefenee articles"; quarter century of tragic conflict.
Intended to defend. and On the economic side, the committee
Only Congress is in a position to put Grants of weapons and equipment incorporated in the bill specific guidelines
an end to the near-additive habit which drawn from Defense e:epartment stocks, designed to promote the effective utilize-
the military aid program represents. Like which are replenish ii through subse- tion of any economic aid Congress may
all longstanding programs, this program quent appropriations provide for the countries of Indochina
has been institutionalized, and it is simply The committee deal , with each of these and authorized aid on a program or proi -
in the nature Of things that the State four categories. ect basis. The committee believes that
Department and our embassies abroad The bill requires that Department of the specific plans and performance cri-
will want to perpetuate the status quo Defense funding of mi Itary aid to South teria called for in the guidelines and
rather than risk offending a foreign gov- Vietnam end on June 30, 1975, and that specific allocations are essential if U.S.
ernment, even if an objective evaluation any subsequent DAIL try assistance to assistance is to be used wisely. These
indicates that the program no longer South Vietnam be fe ided through ap- plans and criteria will also provide a basis
serves a useful ptirpose. Corigreas, how- propriations for the 1 , sulfa military as- for future evaluation of the effectiveness
-ever, cars ease the potential diplomatic sistance program. of the program approved for this fiscal
problem by requiring reductions which It also requires th it all expenditures year.
give the executive branch no alternative relating to support c'S military missions
and th relieve it of the embarrassment be charged against tle appropriation for For South Vietnam, the committee has
uS
established a fiscal year 1975 ceiling on
of beinz 'importuned by foreign govern- military assistance.
merits ,for a continuation of aid. Under the bill all " scans defense arti- obligations of $1.28 billion. Within this
1,, t year, the Foreign Relations Corn- cies" must be valued at a minimum of ceiling, the committee has recommended
$420 million for economic assistance,
mittee made significant reductions in the one-third acquisition 'mat and all grants
1160 million for Public Law 480 corn-
amount requested for military grant aid of such articles chair sed against appro- -
arid also added a requirement that the priations for military eid; and modities, the amount programed by the
eri,ire _program, Including the overseas Finally, the bill rer eals the basic au-
i ' -executive branch; and $700 million in
network Of Military missions, be phased thority which has eel netted Defense De- military assistance, the amount approved
oat over a period of 4 years. Regretably, partment stocks to ts used EIS a supple- by both the Senate and the House in the
teem ' the cominittee's view, the Senate,, mental source of milieiry aid. Department of Defense appropriations
provisione-This year the committee re- ment of these prosisiees will have a salu- bill.
The $700 million is compared to $1.45
by a narrow margin, voted to strike that The committee bs ieves that enact-
sleeved it's efrorthe reducing the executive tary effect by makh 7t the annual mill- billion that was requested by the execu-
branch's authorization request from $985 tary assistance appropriation a more ac- tive branch.
Millieri to OM million, and added a re- curate measure or the actual cost to the The $420 million approved by the corn-
satireneent ilia thientire military grant American taxpayer ' ' military aid dur- mittee for economic aid to South Viet-
aid progra, other than grants for train- hie the phaseout per sid. nam is $330 million below the adrninis-
_ eme,
Ing, and all military missions be phased I wish to emphasi e that the phaseout tration's request.
ent over a wrind of 3 years. During the of the military gran- assistance program For Cambodia, the committee estab-
phaseout' period, the committee author- will, by no means, e suire a total cessa- lished a ceiling of $347 million. Within
d linilted_eoncessional credits to coun- tion of all U.S. nil] i ary assistance ac_ this ceiling, the committee allocated $70
j'teS 'Where "giant programs- are being tivities. The foreign 'military credit sales million for economic assistance; $200
-terminated.program will contin e- so that American million for military assistance; and $7'7
' lit
was inflnivilege tonialethe motion arms and equipment ?ill be available on million for Public Law 480 commodities,
ve ,CII. -t 5-8 lion requested for favorable credit tf developing
fins to
' he- $ 5 Mil 'the amount programed by the executive
What we 'call the inffitary grant aid pro- countries after they lave carefully ana_ branch. The $70 million recommended
-
grain t6'5 Minion. That is a reduction lyzed their security ii'leds within the con- by the committee for economic aid is $40
_ _
, Of WI Million. straints imposed h normal budgetary million below the administration's re-
Aji& again talkingtO a. relatively empty considerations. Also grant aid for miff- quest of $110 million.
rn e e svhich, rthink, is most unfortu- tary training will - till continue. And, In the committee's view, Cambodia has
. .,
nate as we"Consider-legislation of this after the phaseout i completed Congress long since ceased to have a national
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S 17960 CONGRESSIONAL RECORD?SENATE October 1, 1974
econrinty, and the amount appeoved is in economic aid for Israel, which, by the dres of Congress and the American pea-
Intended simply to sustain Cambodiretui- %say, was overwhelmingly supported ele that Vietnam, Cambodia, and Laos
UI a cease-fire can be arranged between today as an amendment to the con- ;boulder a greater share of their own
tlie Phnom Penh government and 14.1O Uniting resolution inancial burden and that our presence
Khmer insurgents. The reductiatz in tlie It. also specified that, of the $300 mil- n Southeast Asia be further diminished.
Cambodian economic request also re- lion in military credit sales to Israel, Thus, the Foreign Relations Committee
fleet the elimination of ,what the commit- ale? million shall be forgiven and, thus, decided to make substantial reductions
tee believes to have been padding in the be in the nature of a grant. The commit- :n many of the act's funding categories.
proposed Prograne tee believes that Israel's serious CO-e I have already reported, Mr. Presi-
The committee made a reduction of Wade siutation Justifies this additional tient that the committee has reported a
$191 million in the request for military aesistance. In approving the special re- bill authorizing $2.5 billion for foreign
aid to Cambodia. The war in Cambodia euirements fund, part of which may be tannery and economic assistance for
is more clearly than ever a civil war, one used for Syria. the committee prohibited fiscal 1975. This represents a reduction
In wbich the United States is. in sig- use of the fund for military assistance 14 22 percent, or $724.6 million from
nificant measure, supplying the fortes and added a requirement that Congress the President's original request. These
on both sales, Of the military ale pro. be notified in advance of significant corn- ravings were achieved by rather sharp
grain proposed by the executive branch. mitments from the fund. i eductions in the following areas:
some $300 million would have been used coneetencee One hundred million dollars from the
solely for ,ameawaition, allowing con- Mr. President in its consideration of erogram of foreign military credit sales,I epresenting a cut of 18 percent.
tinuatinn of the present extravagent ratethe foreign aid bill the Foreign Relations
of consumption. The committee bellevee committee was Pour hundred thirty-five million dol-
well aware of the serious
that the $200 million authorized should problems afflicting our economy and of lers from the military assistance pro-
be ample for military aid if some meas- the need for budget austerity. We b ram, representing a reduction of 44
e-
ure of discipline is exercised by the gov- iieve, Mr. President, in recommending i ercent.
eminent forces, which far outinunber the this bill to the Senate And $389.8 million from the Indochina. the committee
insurgents. It will serve neither ow inter- has attempted to strike a responsible to.stwar reconstruction program, rep-
resenting a cut of 41 percent.
eats nor those of the local population for compromise between the need for con-
the y e United States to continue to sustain tenuity in American foreign policy and The action taken b the Committee on
Foreign Relations is fully consistent with
both the wa,steful practices of the gov- the pressing need for reductions in the
ernment forces and the arms needs of the fiscal year 1975 Federal budget, both of tie President's desire that Congress re-
insurgent.s. which have been stressed by President gard no budget as sacrosanct and that itmake every effort to cut Government
For Laos, the committee established a Ford. The comm that committee believes at S.
calling of $100 million for the 1975 fiscal 3394. az recommended, represents a re-
&sending in a responsible fashion.
year. Within this ceiling, the committee spunsthie compromise between those
: The committee has carefully examined
a
ha.s reCOrorrteniied $45 million for eco- objectives. te total foreign assistance budget. We
nomie Resistance and $55 million for I." wee that it be approved by the e iminated all of the waste and padding
military aid, representing reductions al: Se:iaLe. se could find. In addition, we made
$11 million and $30 million, respectively. Now. Mr. Preeicient, let me just em-
spending reductions where we believed
frren? the eXecutive braiach's requeste. etiesize a little bit some of the work I that they could be sustained without ad-
U.S. economic aid in Laos is used pri- oeneve went into this. I say this with verse effects on the foreign policy in-
merely to support the economy of the some personal feelings. tt rests of the United States. No one can
fleet
capital city, Vientiane. The $45 inillion I have given, as one Senator, a great the committee for its generosity to
approved should be sufficient to 1/CCOLL- deal ix attention to the subject of our olie program or one area of the world
Plish that objective. On the militate economic aaeletarice program, or our When additional funds were added to
,
side, the committee could find no valid foreign assistance program, because I tite bill it was done only after close and
Justification for the administration's think we need one, but we need one cereful scrutiny of established need. An
'
proposal to provide more military as three ted toward the appropriate objec-
anample of this is the committee s action
'
sistance during a year of expected cease- elves.
tc supplement the administrations re-
fire than was provided during the part The Foreign Relations Committee has quest for security supporting assistance
far Israel by $200 million. The original
year, reported to the Senate a foreign aid bill
request of $50 million was insufficient in
saminx =ET AID for fiscal year 1975 which is prudent In
Let me explain briefly the provinops its spending recommendations IL ht of the very great burdens on the
. construe-
relating to assistance to countries in the they in its policy statements and mind-
Israeli economy following the October
Middle East. Administration officiati>. in- f ul of (Jur humanitarian responsibilities wit and the continued flow of Russian
eluding Secretary of State Kissinger in 3 WOm Id beset by poverty and growing aims into Syria and Iraq.
have placed great stress on the import_ food stiertages. Mr. President the Committee on For-
ance Of U. foreign assietance in fur- Le other words. I say with a sense of el tri Relations spent a great deal of time
therIng peade in the Middle Ease The coulide.ice that this is a responsible bill aid effort on the sections of this act
committee has demonstrated its support and this is a good bill. It deserves strong re1ating to Indochina. In face the com-
of the administration's initiatives in the bipartisan support for the new and re-
m etee's actions on the Indochina pro-
region by approving all of the amounts spon.sible principles it enunciates and grams represent new policy departures in
requested for assistance in that area. for the strong policy guidelines it has the ever-evolving economic and military
And it has approved additional funds established for the administration of se nation in Southeast Asia. I personally
'
for Israel. American economic and military imist-
was involved in the committees work
The administration's r as cencerning our aid programs in Vietnam,
equest w for a afire-
total of $907.5 million in assistance for As I have noted already, the Leos, and Cambodia and would like to
adminis-
nations of the Middle East?$807.5 mil- tration originally requested that the di ;cuss the legislation in some detail.
it
Hoe in allocations by country end $100 Congress authorize $3.2 billion for for-
was clear to many members of the
million for a Middle East special re- eign assistance. Such a sum would be Ccmmittee on Foreign Relations when
quirements fund. excessive in view of our present drepeetic wt began to consider the administra-
The proposed allocations y wary
economic situation. In addition, the very tit n's economic assistance request of $939
, b cc
were as follows: First, Israel?$50 mu-
substantial increases in the president's million for Indochina and the $482.2
lion in economic aid and $300 million I
fiscal )eeir 1975 request for military as- 'ninon military program for Cambodia
n
military credit sales; second, Egypt-- sistance over the previous fiseal year are and Laos that we had an obligation to
$250 million in economic aid; and third, out of line with the actual needs of the do more than simply approve or reduce
Jordan?$100 million in militate* gram recipient countries and the external thae spending recommendations.
eid, $30 million in military credits aeni threats which they face. We had an obligation to begin to for-
e/7.5 million in economic aid. The coin- And the eery large Increases requested initiate an American policy for Indo-
mittee approved these allocation, and for economic and Military assistance to rh DA We have done this. It is now 21
iinthorized an additional $200 million Indochina clearly run counter to the de- months following the signing of the Paris
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October 1, 1974 CONGRESSIONAL RT:CORD SENATE S 17961
which causes triple digit inflation. It is
questionable which will come first--the
total economic or military collapse of the
Cambodian Government.
The losers in this sorry amalgam of
poor planning, waste, corruption, and
military conflict are the people of Viet-
nam and Cambodia?and especially the
poor in cities and in rural areas. The
refugee populations in both countries
face unending economic hardship with
the tragedy that those who manage to
obtain resettlement may soon become
refugees again or remain immersed in
abysmal poverty and deprivation. .
In light of the very depressing eco-
nomic situation in Indochina and the
failure of our Government to come to
grips with the situation, the Committee
on Foreign Relations adopted a series
of six economic directives which are
badly needed to maximize the benefit of
our assistance. They are as follows:
First. Organize a consortium to in-
clude the multilateral financial institu-
tions to help plan for Indochina recon-
struction and development; to coordi-
nate multilateral and bilateral contribu-
tions to the area's economic recovery;
and to provide continuing advice to the
recipient nations on the use of their own
and outside resources.
Second. Develop in coordination with
the recipient governments, other donors
and with multilateral financial institu-
tions a comprehensive plan for Indo-
china reconstruction and economic de-
velopment.
Third. Develop country-by-country re-
construction and development plans, in-
cluding detailed plans for the develop-
ment of individual economic sectors, that
can be used to identify and coordinate
specific economic development projects
and programs and to direct U.S. re-
sources into areas of maximum benefit.
Fourth. Shift the emphasis of U.S. aid
programs from consumption oriented ex-
penditures to economic development.
Fifth. Identify possible structural eco-
nomic reforms in areas such as taxation,
exchange rates, savings mechanisms, in-
ternal pricing, income distribution, land
tenure, budgetary allocations, and cor-
ruption, which should be undertaken if
Indochinese economic development is to
progress.
Sixth. Include in Indochina economic
planning and programing specific per-
formance criteria and standards which
will enable the Congress and the execu-
tive branch to judge the adequacy of the
recipients' efforts and to determine
whether, and what amounts of, continued
American funding is justified.
I recognize that there is no way to
force the President and the Secretary of
State to implement these proposals.
However, I believe that unless they take
action and seriously consider these guide-
lines, the economic situation in Indo-
china will further worsen. In addition,
Congress will be unwilling to consider
another substantial authorization for
Indochina in fiscal year 1976 in the face
of continuation of past practices and
policies.
The economic aid levels we have de-
termined suitable for Indochina will not
prove to be an undue hardship for Viet-
Peace Agreement. We must wait no
longer. In fact, it is almost 22 months.
The administration's aid programs do
not constitute an acceptable substitute
for American policy for an area of the
world where our Nation has sacrificed so
much. To be sure, the provision of bil-
lions of dollars to Vietnam and Cambodia
represents a continued commitment to
the preservation of the political and eco-
nomic status quo in these countries?but
little else.
The programs and amounts proposed
do not represent a positive or construc-
tive solution to the problems posed by the
failure of the Paris agreement to bring
peace and a political settlement to Viet-
nam.
Neither do they represent an accept-
able alternative to the never-ending
tragedy of Cambodia civil war. And our
billions do very little to alleviate directly
the widespread human suffering which is
compounded daily in Indochina.
Frankly, as I said, we have no policy
In Indochina today that looks 6 months
Into the future, let alone 1 or 2 years
down the'road. We are adrift. The Amer-
ican people know this, the Congress
knows this and certainly Communist
insurgents throughout Indochina are
keenly aware of this policy vacuum.
But I do not believe that providing
billions in foreign assistance constitutes
an acceptable American policy in Indo-
china.
Nor do I believe that funding maxi-
mum military confrontation indefinitely
is what the American people want our
Government to do.
Nor should our billions of assistance
be used to perpetuate corruption, oli-
garchy, and ? 'este in the name of humane
relief and reconstruction.
The policy vacuum existing in Indo-
china is a direct result of the preoccupa-
tion of many American foreign policy-
makers with urgent problems elsewhere
In the world. This is understandable,- but
it is still a factor.
Congress shares part of this blame.
Too often, past congressional actions re-
lating to Indochina have constituted
either simple acquiescence to executive
branch polices or obstructionism. But we
cannot be accused of obstructionism or
acquiescence in our handling of the
Indochina section of the Foreign As-
sistance Act of 1974.
We had a choice to make. We could
have continued to fund these programs
at the high levels recommended by the
administration, knowing full well that
these rftmds were not an effective sub-
stitute for policies which might bring
true peace to Vietnam and Cambodia.
This would have been the path of least
resistance. We could have continued to
ignore gaping loopholes in the law which
allowed the executive branch to greatly
Increase Indochina funding in violation
of the intent of the Congress. Instead, we
acted with restraint and responsibility in
reducing the flow of dollars to Indochina,
specifying where the funds should be
spent, closing the loopholes and propos-
ing specific "economic and political pol-
icies to be taken by the President and the
Secretary of State which could lead to
the cessation of hostilities and decreasing
amounts of Americal assistance in the
years to come.
Even before we comidered the Foreign
Assistance Act, the committee agreed to
an amendment I had 3ffered to the State
Department authorial :;ion bill, requiring
the administration to develop a detailed
plan for future economic and military
assistance to Vietnarr hat would include
a specific timetable for the phased re-
duction Of such assistance.
I realize that the administration be-
lieves that the restri,:tions contained in
this bill on aid to Imiochina amount to
unnecessary congres5i onal interference
in an area of executive branch jurisdic-
tion. However, I wan to remind my col-
leagues that the Committee on Foreign
Relations took this unusual step of de-
priving AID with bro:td program flexibil-
ity in Vietnam in order to assure : that
American aid dollars ',ere spent for those
who needed them roost and on viable
economic projects which would result in
tangible benefits for the people. In the
past, great portions of our funds were
used for consumable :7-erns related to the
war effort, with far tee few dollars going
for capital investmen is of a lasting pro-
ductive nature. While we recognize the
severity of our budgetary and program
restrictions, they are warranted Ixr con-
tinued reports of a lack of adequate plan-
ning, waste, and mismanagement of U.S.
assistance funds in Vietnam.
It was the committee's judgment that
the administration's Fiscal year 1975 aid
Plans for Vietnam o iffered little from
past strategies. Uridee the title of "vcon-
struction and devel mment," the Con-
gress was asked to approve large sums
of money in order tr) fill the trace and
budgetary gaps of a faltering Vietnam-
ese economy.
I do not doubt thm economic solvency
is critical to the military capabilities of
the South Vietnamese Armed Forces. And
I am convinced that ihere can be no real
reconstruction and development in a
country whose national economy has Vi-
tally disintegrated.
Unfortunately, roliance on massive
foreign exchange groats and crisis man-
agement rather than serious economic
planning have characterized the think-
ing of both the Vietnamese and the
American officials. Nor has there been
any serious Americao initiative to have
the South Vietnapase undertake the
type of structural reforms in their eco-
nomic life which will enable them to
achieve greater self-sufficiency and a
more equitable dist ibUtion of economic
benefits to their people.
The American program has been
superimposed on an economic structure
still geared to mar sive dollar flows of
the past and the puo:ence of a large U.S.
military establishmcht. The Vietnamese
economy is in a precarious siimation
today.
The situation in Cambodia is even
more alarming, with the near total col-
lapse of the Canotaldian economy now
taking place as a result of the heavy
fighting and the inability of the Lon Nol
government to prevent the separation of
heavily populated a eas such as Phnom
Penh from rice growing areas and sea-
newts. The CambocVan capital is under-
going slow ecoucmic strangulation
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S 17962 CONCRESSIONAL RECORD ? SENAT:i October
nem. Cambodia and Laos. I recognize
that our spending recommendations are
austere. But austerity is needed to ad-
vance economic self-suelelencY and
structural economic reform. Without It
there is no other way to begin what I
am sure will be a painful political and
economic process.
We have an obligation ?a moral obli-
gation?to help the people of Indochina
rebuild their war-torn countries. But
somehow we seem to have lost sight of
this worthy goal. The process of recon-
struction and alleviating human suffer-
ing is a long way from our current pro-
gram which now only postpones through
reliance on the generosity of America the
hard economic and political choices
which the Vietnamese and Cambodians
have to make.
The legislation before us provides the
adminietration with a clear anti Precise
way to reorient our foreign economic
assistance in Indochina.
At present, beyond the infusion of
American capital into the faltering econ-
omies of Vietnain and Cambodia, the
United States refuses to adopt policies
which deal with the two most critical
Issues in Indochina: The failure of the
Paris Agreement to halt the fighting in
Vietnam; and the approaching collapse
of the Lon Nol government In C'embodia.
After years of war, the struggle con-
tinues. After millions of words about the
"lessons of Vietnam," we ignore the most
Important lesson that political battles
cannot be resolved by force of arms.
We learned this lesson at great Jeer's
flee to our Nation. Yet our policymakers
now are engaged in a course of action
which does not recognize this basic reality
of Indochina. The Malted States has em-
barked upon a comae of encouraging the
funding of maxinnun military confron-
tation, hoping that somehow those we are
supporting can Prevail.
By dint of unlimited U.S. funds, the
Thieu government has managed to hold
its own, and the Lon Nol government
still manages to exist, though its posi-
tion is steadily deteriorating.
But what about the future? How can
the policy of military confrontation be
sustained when it is clear that neither
the Congress nor the American public are
willing to fund the wars in Vietnam and
Cambodia at high levels for the indefinite
future?
The Ford administration must open its
eyes to the political reality in America
and the military reality in Southeast
Asia.
The Secretary of State has said that,
as a signator of the Paris agreement:
The United States committed itself to
strengthening the conditons which rask_e the
cease, fire possible and to the goal of the
South Vietnamese people's right to se.f de-
. termination.
I share Secretary Kissinger's assess-
ment of our obligation and commitment.
But I know that we cannot accomplish
? the goal of achieving a cease-fire through
fueling continued military confrontation.
And as to the noble cause of Vietnamese
self-determination, this can be had only
if the fighting stops and a political set-
tlement is allowed to evolve which will
reflect the realities of the current Viet-
namese scene.
I receanize that a large portion of the
blame for the failure to obtain a real
cease-ere in South Vietnam rests cue the
North Vietnamese and those who supply
Hanoi with arms and materieL But 21
months after the cease-fire, the issue
now is not who violates the cease-fire,
but how we can help bring about a new
cease-fire and stop the incessant warfare
which has. since January 1973. killed
more than 13,500 South Vietnamese and
51 North Vietnamese and Vietcong.
Unfortunately, I have received no in-
dication, either privately or Publicly,
that the United States is currently en-
gaged in any efforts whatsoever to re-
negotiate a cease-fire and peace settle-
ment in South Vietnam. Once again, our
leaders look mistakenly to the battlefield
for a solution which must be found at
the conference table.
A policy which amounts only to large
doses of military assistance and rhetoric
from Washington is doomed to failure.
In reality, it is a. nonPolicy. It is a fen-
t asy to expect that somehow the Paris
Agreement will work without further ef-
forts to make it work. The problem will
not go away and no Vietnamese parte to
the Paris Agreement will abide by Its
terms unless the United States and
other nations are willing to begin inten-
sive diplomatic efforts to scale down the
flow of supplies and get the Parties to
the conference table once again.
As I stated earlier, the military situ-
alien in Cambodia is even more preca-
rious than in Vietnam. Ames-leans serv-
ing in Cambodia at the highest levels
and visitors who come away from the be-
leaguered capital of Phnom Penh report
that it is only a matter of time before
the Lon Nol government collapses totallY
and completely. A continuation of the
military struggle In Cambodia is a hope-
less exercise In futility, Yet our Govern-
ment seems unwilling to recognize this
fact and fails to use all of its eleills and
talents to bring to the conference table
all tile parties to the conflict. We cnntin-
;lowly hive avoided any official or pri-
vate contact with the Khmer insurgents
as we witnessed the economic, military,
and political position of the Lon Nol gov-
ernment disintegrate_ It may be too late
to reverse the process and avoid a total
collapse and overthrow of the govern-
ment before negotiations can begin.
Aware of these many factors govern-
ing the political and military situation in
Vietnam and Cambodia, the Foreign Re-
lations Committee has urged President
Ford and Secretary saiesinger to under-
take certain measures that we believe
may being peace to Indochina. Let me
read the five steps voted by the commit-
tee:
First. Begin negotiations with repre-
sentatives of the Soviet Union and the
People's Republic of China toward a
mutually agreed upon and rapid deesca-
;anion of military assistance on the part
of the three principal suppliers of arms
and materiel to all Vietnamese and
Cambodian parties engaged In conflict.
Second. Take all necessary measures
strongly requesting that the Government
of the Kilmer Republic enter into nego-
tiations with representatives of the
Khmer Government of National Union
which will lead to an immediate cease-
1, 1974
fire and political settlement of the con-
flict. Use all available means to establish
contact with the Khmer Government of
Notional Union and to urge them to par-
ticipate in such negotiation. The United
States should urge all Cambodian par-
ties to use the good offices of the United
Notions or a respected third country for
the purpose of bringing an end to hostili-
tits and reaching a political settlement.
Third. Utilize any public or private
fo elm to negotiate directly with repre-
sentatives of the Democratic Republic of
VI Allem, the Provisional Revolutionary
Government and the Republic of Viet-
nam to seek a new cease-fire in Vietnam
and full compliance with the provisions
of the Paris Agreement on Ending the
W ir and Restoring Peace in Vietnam.
?aourth. Reconvene the Paris confer-
en w to seek full implementation of the
provisions of the Agreement of Janu-
ar', 27, 1973, on the part of all Vietna-
m se parties to the conflict.
seifth. Maintain regular and full con-
sultation with the appropriate commit-
ters of the Congress and report to the
Congress and the nation at regular inter-
va, s on the progress toward obtaining a
tot al cessation of hostilities in Indochina
aril a mutual reduction of military as-
slisance to that area.
The only possible way to stop the fight-
ine in Vietnam and Cambodia, the only
way to reduce the large expenditure of
American aid dollars which currently
support the war efforts, is through the
process of political negotiation.- This is
what the Committee urges and recom-
mends to the President and Secretary of
Sts te. We ask for negotiations at mane
diferent levels and in many different
forums. But the process must begin soon,
nt is clear that the Soviet Union and
the People's Republic of China are criti-
cal of this negotiating process. They are
the. principal sources of economic and
mlitary assistance to North Vietnam.
It makes little difference which out-
side power or powers give more aid to
Its Vietnamese client. The issue is how
all three aid suppliers can mutually agree
to lmit their military assistance in a way
to ;top the fighting. I recognize that this
will not be an easy objective to attain.
However, the Soviet Union and the Peo-
ple's Republic of China appear anxious
to naintain the improved relations with
tilt United States and the many eco-
nor ale benefits which are derived from
detente. It 13 virtually important to in-
form these countries most strongly of
ow belief that their cooperation in
Malang peace to Indochina is a critical
element in the further normalization of
relations with the United States. In this
cornection, we must also convince them
of inn* readiness to allow the Vietnamese
and Cambodian people to work out their
oral destiny, provided Hanoi's allies will
do; lie same.
If negotiations are to begin and then
be. successful, they must involve the di-
me; and personal participation of Sec-
retory Kissinger. I do not believe that he
has given the situation in Vietnam and
Carnbodia the personal attention it
me_its. I say this with full understand-
ing that he has been preoccupied with
a very dangerous situation in the Middle
Batt and in the eastern Mediterranean,
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October 1, 1974 CONGRESSIONAL RECORD ? SENATE
wa o co n m Or iv at he has The policies of Ei.,_hard Nixon brought
been able to achieve in Other areas Of about the withdra v-v al of American troops
the world where he has invested his time 4 long years after he took the oath of
and attention. But he and the Depart- office. But the flglrng still continues and
merit of State now InUat tnrn their at- our Nation still i., spending billions of
tention Once again to Indochina. Fur- dollars in Southeast Asia as yet another
thermore, President Ford must involve President urges th, American people to
himself intimately in this process. stand firm and support policies which
Finally, in advance of any negotia- mean only more it,fiting and destruction
tons, the United States must make con- in Indochina.
tact with the leadership in Hanoi arid This is not a murse which I support.
the leaders of the Provisional Revolu- This is not the course the Senate should
tionary Government in South Vietnam. support as the ele 'led representatives of
There is absolutely no reason why the the people. I urge adoption of the corn-
United States should not maintain more mittee's approach to the development of
regular contact with, the North Viet- American policy tc.vard Indochina as the
namese. I call upon the President to take only viable path if peace in that trou-
this step. In the Cambodian context, bled part of the A orld.
there is little chance for suceessful nego- Our proposal dote not represent a cop-
tiations unless our government makes out. It does not epresent retreat. It
Contact with the Khmer insurgents and represents respons I 1e planning and or-
Prince Norodom Sihanouk. We are de- ganization of our aF Astance.
luding ourselves that a negotiated settle- Let us seek tin. path of negotiation
merit is possible in Cambodia without once again. Let us stop this official self-
early and high level contact with these delusion which saz,'3, "just a little more,
elements of the Khmer insurgency, and victory will be i
I was personally dismayed that Presi-
dent Ford has chosen the path of opposi-
tion to what the Committee on Foreign
Relations has done in reference to Indo-
china.
I hope that opposition has by now
, moderated.
Mr. President, I am saddened that he
has not seized the opportunity to an-
nounce a new departure in American
policies in Indochina. Instead, he has
urged the Congress to increase American
economic and military assistance to Viet-
nam, following the course of his pred-
ecessor.
I have supported the administration in
the field of foreign policy when I thought
It was doing the right thing. That, in-
deed, has meant that I have supported a
good deal of what this administration
has wanted in the foreign field area.
But I will not support any amend-
ments offered to restore the aid levels the
committee has reduced. This would be
fiscally irresponsible and detrimental to
the chance of a true political settlement
In Cambodia and Vietnam.
It is unfortunate that neither the
President nor the Secretary of State has
recognized what the Committee on For-
eign Relations was trying to do in its
treatment of the Indochina portions of
the Foreign Assistance Act.
I hope, again, may I say, that we have
their support in this bill.
We were saying to Mr. Ford and Mr.
Kissinger that we recognize a serious
Mr. President, I and here as one who
went through 4 years of the kind, of self-
serving rhetoric, and I supported the pol-
icies of that achnirjstration. I have paid
my price. I heard again and again, "Just
a little more and vi tory will be certain."
Mr. President, we have heard that
since 1961?"Just ,a little more, and. vic-
tory will be certain'
Let us turn our ai.;tention to obtaining
political settlements in Indochins, so that
we can end the expenditure of billions of
dollars in Vietnam arid Cambodia while
widespread starvation and poverty rage
throughout the developing world.
I know this task i not easy, and I am
not one to pretend f or a moment that it
will be accomplished quickly. But it is
absolutely essential that we lend every
effort toward the diplomatic and politi-
cal solutions which are the only solutions
that we ought to bc giving our attention
to.
Commonsense, if nothing else, should
tell us that our policies need to be re-
thought and options reevaluated after
years of fruitless war.
Mr. President, a .1:ttle later I am going
to be offering an an- ndment that relates
to the Portuguese African territories. It
is a policy statemen I. As a matter of fact,
I doubt that there be any objection
to it at all. That amendment merely
calls upon the President and the Secre-
tary of State to take actions that will
make clear the U.S. support of Portugal's
policy vacuum caused by rnany factors, policy of independel: ce for African terri-
and we were ready to make our contribu- tories. This amendvient is supported, of
tion to the formulation of American pol- course, by the respc,,,sible officials in our
icy in Indochina. We were offering to Government.
cooperate and to share in the responsi- Mr. President, I -,hall also offer an
bility in ending the nightmare of con- amendment that re' ittes, as a statement
tinued conflict in Indochina. I refuse to of policy, to assistance to Africa. It has
sit back and help perpetuate the delusion been my judgment ihat in our .foreign
that massive American military aid some assistance program u are have had no real
how will end the fighting, policy toward Africa.. We have had some
I sat at Lyndon Johnson's side during financial assistance _ a moderate and in- ,
his years of agony over Vietnam. I sup- deed modest degree. 3ut we have had no
ported his policies because I believe they policy.
would bring peace to that country and Mr. President, 1 l'.. Ave an amendment
allow its people to determine their own at the desk that is known as the Hum-
political destiny. But President Johnson's phrey-McGee ament intent on Portuguese
policies did not bring peace to Vietnam. African territories.: will send it to the
S 17963
desk now. and I am not asking for its
immediate consideration because the
Senator from Idaho has an amendment
which is pending, but I ask to have this
amendment printed.
It is a statement of policy on assist-
ance to Africa. We shall take that
amendment up tomorrow.
The PRESIDING OFFICER. The
amendment will be received and printed.
Mr. HUMPHREY, So, Mr. President,
I have tried to lay before the Senate, on
behalf of the Committee on Foreign Re-
lations, which recommends this bill to us
by a majority of 11 to 5, the arguments
for S. 3394. I consider this piece of pro-
posed legislation the most responsible
effort that we have made in recent years
in the area of foreign economic and
military assistance.
I yield the floor.
Mr. McGEE. Mr. President, as the
Senate begins consideration of the For-
eign Assistance Act of 1975?S. 3394?one
can expect a debate which will be marked
by emotional appeals either to reduce
drastically the funding levels approved
by the Committee on Foreign Relations,
or to abandon our foreign assistance pro-
grams altogether.
The traditional foes of foreign assist-
ance in the Senate will seize upon our
domestic economic difficulties as compel-
ling reason enough to abandon the inter-
national community. We will be told that
the largess of the United States is already
too great. Under this guise of concern for
the American taxpayer, we will be asked
to cloak ourselves in the indifference of
Isolationism.
While the Congress of the United
States is under considerable fiscal re-
straints this year, I would hasten to point
out that the Committee on Foreign Rela-
tions has responded in a meaningful and
responsible manner to our domestic con-
cerns. S. 3394 contains an authorization
level of $724.6 million less than the
executive branch's request, or a cut of
22 percent. No other authorizing com-
mittee in the Senate has cut so deeply
into proposed fiscal 1975 programs before
floor action than the Committee on For-
eign Relations. However, those of us who
are members of the committee and who
support this bill are fully cognizant that
we bring this legislation to the floor after
slashing the request to a bare-bones level.
Those of us who supported reporting S.
3394 to the floor realize that while this
legislation will allow us to pursue an
effective foreign policy, further cuts will
only undermine our ability to do so.
Thus, it is in this context that I want
to address myself to the issue of what the
United States is actually doing in the
way of foreign assistance, particularly
in the area of economic development. I
do so as an effort to clarify any misrep-
resentations of U.S. largess which will
most certainly be argued throughout the
course of debate of S. 3394.
Since 1949, there has been a distinct
downward trend in foreign economic aid
programs when seen in relation to total
Federal budget outlays and the U.S. gross
national product. The figures recently
reported by the Organization for Eco-
nomic Cooperation and Development on
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S 17964 CONGRESSIONAL RECORD?SENATE October 1, 1974
official development assistance are some-
what startling when we compare U.S.
efforts to those of other free-world in-
dustrial nations For purposes of this
debate, Offic1-1 Development Assistance
con.lets only of grants and loans at con-
cessional terms which are extended to
developing nation'.
In 1949, when the _Marshall plan was
Implemented. foreign economic develop-
ment assistance nmounted to 11.5 per-
cent of the Federal budget Teday, this
share is less than 1.5 percent.
In 1949, economic development staist-
ance represented 2.78 percent of our
gross national product, and has moved
downward ever since. By 1973, the figure
had fallen to 0.23 percent
The declining trend is also evident
when measured in relation to the eco-
nomic assistance provided by other in-
dustrialized nations in the free world.
Of the 17 member nations of the De-
velopment Assistance Committee?
DAC?the United States ranked set ond
in 1964 in value of economic development
aaaistance expressed as a percentage of
erten national product. Since then, the
downward drift has been steady. Accord-
ing to OECD figures, our position had
dropped to 14th by last year.
In 1963, some 62 percent of the total
dollar value of aid from DAC country
sources came from the United States.
This share has also fallen steadily. In
1973, while the value of U.S. economic
ski still exceeded that provided by any
one of the other DAC member nations,
I t represented 32 percent of the total
value of DAC assistance.
It is interesting to note what other
oDAfacCiaitanidnteionsvaneldopamreeandtolasntgshiseitniarnatchiede ifinwam(vim_y of
Parkon to. the United States. First. de-
maln
rge
spite economic difficulties of much
greater magnitude than our own, other
DAC nations have restated their deter-
mination to make all possible efforts to
developing countries and to improve the
terms of their aid Other DAC nations
have also expressed their determination
to extend relief assistance in various
forms to the poorer developing countries
which have been most seriously affected
by the prices of oil and other essential
Imports and, hi channeling their aid, to
give priority to countries whose needs
are the greatest and most urgent.
It is interesting to note that. In 1973,
the poorset nation in Europe, Portugal,
contributed more than three times what
the United States contributed in official
development assistance as a percentage
of _ gross national product. While the
U.S. official development assistance in
1973 represented 0.23 percent of our
GNP, Portugal's contribution was more
than 0.70 percent of their GNP for official
development assistance, both bilateral
and multilateral.
Other nations which contribute a
lareer share of their gross national prod-
uct to official development assistance
than the United States include France,
Sweden, the Netherlands, Belgium. Den-
mark, Norway, Australia, Canada, the
United Kingdom, the Federal Republic
of Germany, New Zealand. and Japan.
Particularly noteworthy are the fol-
lowing observations by the OECD:
DAC Members as a whole moved away from
the 0.7 percent of GNP target which the
United Nations Iss.s recommended that each
donor achieve by 1075. Dee Member" have
oaken various po.itiong with rerard LO this
argot. Four of them (the Netherlands. Bd -
g111111. Sweden, and ,Norw:k .1 ha ? c accepted it
without reservation; eight (Australia, Den-
mark, Frauce, Canada. (lerniciny. Japan. New
Zealand. and the United Kingdom) have ac-
cepted a date after 197f rknd ave nave not
Fetheeribed to it at all
Eight DAC Members act leved some prog-
ress in their aid effort sia measured in terms
of ODA (Office Development Assistance) to
OSP ratio?Austria, Denmark. Germany,
Italy, Japan, Norway, New Zealand, and
Sweden Flut a ran In this ratio for some of
the major donors (France. the Netherlands.
the United Kingdom. and the United Mates)
outweighed this progress. and the DAC aver-
age declined. In parlictdAr, the United States,
which IS the largest donor (32 peroent of
DAC Members combined ODA in 1973). re-
corded a fall In its provision of ODA. not
only In relation to 0141'. but also in absolute
value.
Our largess as a nation also pales in
comparison to the fact that with only 6
percent of the world's population, the
United States consumes 30 percent of
the rarth'S resources By virtue of this
:act, the leas developed nations have
ever right to expect the United States
to do more in providing official develop-
ment assistance. Yet, we are doing less.
In essence, while our economic devel-
opment assistance programa are aimed
et helping those countries less fortunate
than ours, we also have a vital stake in
the success of these efforts over the long
term. Today, we exist in a very fragile in-
ternational economic system. A uni-
lateral withdrawal from the world on
the part of a major industrialized na-
tion, such as the United States, can only
provoke a further deterioration of this
system. We would pay heavily for the
ensuing chaos as the interdependent
nature of the global community has
never been more evident than now. The
A can oil boycott of last year and the con-
sequences of a fourfcild increase in petro-
leum prices demonstrates that the
United States cannot insulate Itself from
dependence upon the international com-
munity if our own economic viability Is
to be maintained.
Therefore, if opponents of foreign as-
sistance are serious in their efforts to
doom the program, then it is incumbent
upon them to explain to the American
People and their constituents the conse-
quences of this action. If we withdraw
Into isolationism, then it should be abso-
lutely clear that we do so fully cognizant
of the economic peril we bring upon our
people. While our present domestic eco-
nomic situation is working a hardship on
many Americans, will we ask our people
to endure much greater suffering as a
price for the folly of the U.S. Senate
should we reject S. 3394.
Thus, the fate of S. 3394 is directly tied
to the question of whether the U.S.
Senate can actually function, or is
even capable of functioning, as a respon-
sible partner in the foreign policy formu-
lation of this Nation. The price of world
stability and peace does not come cheap-
ly. Yet, if we are no w g pay s
prim , the inevitable consequences will be
much more costly for all of us.
AMENDMENT NO. 1923
Ms CHURCH. Mr. President, I call up
my emendment No. 1923, and ask for its
burr edi ate consideration.
Tile PRESIDING OFFICER. The
am* edment will be stated.
The second assistant legislative clerk
rent) as follows:
At the end of the bill add the following
new section:
roR13691 ABSMTANC2 cITLING
SE:. 34. Notwithstanding any other pro-
vision of law, the total amount which may be
?Weeded during fiscal year 1975 under the
Pore_gri Assistance Act of 1961, the Foreign
Mliii ary Sales Act, the Agricultural Trade
Dew loprnent and Assistance Act of 1954. and
section 401 of Public Law 99-367 providing
military assistance to South Vietnam, may
not exceed $5.000,000,000.
Tae PRESIDING OFFIt-eat. The time
on this amendment is limited to 40 min-
utes, equally divided.
Who yields time?
M BILLION CIMINO ON MOLL TZAR 1915
IPOREIGN am
IV:1;. CHURCH. Mr. President, I believe
tha; most of the Senate recognizes that
the aggregate U.S. foreign aid program,
which totals in excess of $8 billion as
proposed by the executive branch for fe-
cal year 1975, bears very little relation
to the high-blown claims which are made
for it as being a carefully modulated con-
trit?ution to international peace, order,
ant justice. To be sure, a certain num-
ber of foreign assistance activities can
be iustified; but for the most part, the
U.E. foreign aid program as it is now con-
stituted is best described as the coagula-
tion of old assumptions, outdated poll-
cia4 bad habits, and bureaucratic iner-
tia At a time of such serious economic
cot ditions in our own country, Congress
sinaPlY cannot countenance such a vast
and ill-considered expense as has been
',reposed by the executive branch.
I have therefore introduced an amend-
ment to S. 3394, Mr. President?amend-
ment No. 1923?which will serve the very
useful purpose of keeping a lid on for-
eign aid spending during the current fis-
cal year. My amendment relates to all
foreign aid provided under the authority
of the Foreign Assistance Act, under
which economic grants and loans and
military grants are made; the Foreign
Military Sales Act, under which military
credits are given; Public Law 480, un-
cle which grants and loans are made for
boll economic and military Purposes;
ani, finally, the military aid program in
So eth Vietnam, which is financed this
year through the Defense Department
appropriations bill. In short, my amend-
ment concerns all U.S. foreign aid, with
but two exceptions: the Peace Corps and
Anierican contributions to the interne-
ticnal financial institutions such as the
W erld Bank. What my amendment does
is to place a ceiling of $5 billion on all
fo reign aid obligations during fiscal year
1175, with the two exceptions I cited: the
Peace Corps and international financial
Institutions.
Now, how does this $5 billion ceiling
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October 1, 1974
relate to the expenditures which would
be made without such a ceiling? Mr.
President, I ask unanimous consent to
have printed in the lIEC0111) at this point
a table which answers this question quite
clearly: Such a table Isalso &Venable to
Senators on their desks.
There being no objection, the table was
ordered to be printed in the Ra:coaa, as
follows:
CHURCH AMENDMEN? T
ProvisiOns: Places a $5 billion ceiling on
total P'71975 foreign aid obligations (except
for the Peace Corps and 17.S. contributions to
the 'international financial institutions such
as the World Bank).
-
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CONGIUSSIOTsfAt 1 CO-11.1)'--- :SENA:It
4
Fiscal year
1975 (as
Fiscal year Fiscal mg thus far
1974
(actual) (proposed) the ;eilate
Economic:
AID -
Public T_aw 480?.
Military:
Erants -
Credit pales
$1,929 $2,885
1,152 996
I. 1, 679 2,474
325 555
$2,695
996
1,289
455
--- .. 6'084
6,910 5;435
I goes not include 2 expenditures of a 1-time nature: emer-
gency aid to Israel and emergency drawdown for Cambodia.
. ,
Effect of amendment:
(1) Reduces spending
by an additional
$43$ million, whileallowingEnie cut i v e
BBranch'!3Q331.e Ilexiby in determining where
tdo econairk* can 'best be rile& '
J) 1mitS spendin4 to the It' 474 level
aPproximatefy), thereby
holding the line
against thcinfiationayx spiral.
'cirt11. Mr Pr?dent, not
colinting the Peace Corps and -contribu-
tions to the international financial In-
stitutions, which are not covered by my
ceiling,, the foreign aid program p
poged by the administration totals a.;
Freria, that, $0.9 billion request
the 8enate has 'aIreadV made reductions
totaling approximately $1.45 billion.
These cuts came in two places: in mili-
tary aid to Vietnam, which was cut $0
znalton,in the DO appropriations bill;;
and anether $760 inillion-in military and
economic aid whichhaa b,een
eliminated
thus far from the bill POWrbefore
u s.
These reductions, totalling $1.45
ion,
IeaYe 41,P, year 105 program at a
What my amendment will do
paging a eeiling Of $5 billion, Is to
require a further savings ofover $490
million$435 b ,to exact.
level of? approximately" $5.45 billion.
Where these rectuctiens, will b- made will
he .left to the AdrnipiStratio: to decide.
Allowing the executive branCbranchthisd
_cretion, Mr. President, Is, I arri
ie
ft.a.novagage, contrary usual
'
Pnt,in this case 1-bleilieve al-
lowing _ some executive fieidbility is
justified. With my amendment, what
the Senate Will have done is m6.9akbeile.
total cut of $1.9 billion?from $6.9
down to $5 billion?but, to specify
only $1.45 million of those c
the administration To id bra. ilThowead
flexibility In determining where the
final $435 million Insavings could best
be achieved, out total cost
billion. This, I believe, is a reasonable
and
arid think justifiable concession to ex-
ecutive flexibility.
Briefly again, Mr. President, I shall
summarize the overall effect of the
l
Approved For
amendment: 'the- ainiaration pro-
posed foreign aid Programs for fiscal
year 1975 totalling $6.- billion, not count-
ing the Peace Coma and the interna-
tional financial instil Aions. The Senate
thus far has made sr( ,-;ific cuts of $1.45
billion. My amendme rt would reqt.ire a
further reduction of S,L35 million, bring-
ing total expenditures town to $5 billion,
but would allow the ad ministration flexi-
bility, in determining where that final
$435 million in sa,vin4::; will be achieved.
Mr. President, t sli., dd point out that
$5 billion Was the l at of foreign ex-
penditures actually it-,ade during fiscal
year 1974. Thus ttN amendment, in
addition, to saving ,.:ver $400 million,
would serve to make e -lear statement to
the Arberican people ',hat the Senate is
prepared to take sub tantive action in
the fight against the I liationary spiral?
that at least vie are ttr Tared to hold the
line this year againsi a further expan-
sion of the foreign atl. program.
Unless the amendrnont is adopted, Mr.
President, we will be I tifying a program
that is, substantially lk :ger than the cur-
rent level of apenclilii_i-rthat is to say,
substantialfy larger .b.an the amount
spent on these Very Programs during fis-
cal 1974, One ,would njc that, with the
economic problems tI?,t face this coun-
try, with an infietioi that is now run-
ning out of control, Wt h a Presidens who
Is asking that the budget be balanced,
the very least the Set. ,.te might want to
do would be to hold the line against ex-
tending foreign aid above last year's
level of spending.
There is little HIM that needs to be
said, Mr. President confused and
misguided purpose oil much of our vast
and largely outdate(- foreign aid pro-
gram is now manif ast, The sad state of
the American econom t is clear for every-
one to see. The only ,ii.e.stion which re-
mains is whether Cot :Tess, which holds
the purse strings of Fi.e.ral spending, has
the will to take corre,-.tive action.
I believe that my aidendment, by plac-
ing a responsible limit, on foreign aid ex-
penditures, constitute, such action; and
I urge its adoption b:,- the Senate today.
Mr. President, I reserve the remainder
of my time; but I say to the distinguished
manager of the bill th t I am prepared to
yield back My time, :f he is prepared to
yield back the remaining time available
to him, in order that :ve might expedite
a vote.
The PRESIDING ( OFICER. Does the
Senator from Minneta yield back his
time?
Mr. HUMPHREY. r. President, I will
take a moment or ta, k, in which to state
the case.
Mr. CHURCH. In t IA event, Mr. Pres-
ident, I withhold Ivh, .ever time may be
remaining to me.
Mr. HUMPHREY. ilfr. Presidem, the
point I should like L. make is that we
have sought?and no one has been more
vigorous in this than the Senator from
Idaho--to get congre,,donal control over
these authorizations aid appropriations.
For example, as I redollect, the Senator
from Idaho subniitt: I an amendment
last year that gave Congress, in lag
year's bill, authority 7,0 get control, over
the recycling of fund and not to leave it
in the discretion of the executive. priation bills. Under the approach taken
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S 17965
rt the amendment proposed by the
Senator from Idaho were agreed to, it
would result in a $435 million cut in U.S.
bilateral assistance for fiscal year 1975.
I simply have to ask the question:
Where does the Senator think that the
administration will make those cuts?
They are not going to make any cuts
In Indochina, because they already want
more. They are not going to make any
cuts in military assistance, because we
have -already cut $45 million out of
military assistance. I think we are going
to see the cuts made out of African pro-
grams, which are so minimal. We are go-
ing to see the cuts made out of the
Public Law 480 programs.
r really believe that, no matter what
the desire may be of the Senator from
Idaho for further reduction, this blanket
authority is simply saying to the Presi-
dent or to the Secretary of State or to the
Aft Administrator, "Von go ahead and
now decide where you want to take off
another $435 million.? It is really turn-
ing back everything we have tried to do.
We have set country ceilings in this
bill. We have denied transferability in
this bill.
For example, we have placed in this
bill, under military assistance, that even
If there are excess articles taken out Of
the Department of Defense, they have to
be charged to the military assistance
program. Up until now, substantial
amounts of so-called excess military
equiPment were shipped here and there
at ridiculously low cost to the military
aid program. They just declared it excess
and said that we really did not need to
charge very much for it.
I wish just to state the argument that
this amounts to giving up a large share
of congressional control over how our
bilateral assistance money should be
spent. The ceiling that is set is $435 mil-
lion lower than the committee recom-
mendations, and it leaves the executive
branch to decide where the cuts are
going to be made. I think that is the
wrong policy, even though the objective
may seem desirable to certain Senators.
I believe we have been a responsible
committee in cutting as we did. We cut
this bill $724 million; in military assist-
ance grants and credits we cut it $535
'ninon. We made a 22-percent reduction
in assistance overall. We have, I think,
demonstrated the kind of fiscal disci-
pline and responsibility that was asked
for. No other authorization has come out
of any committee of this Congress with a
22-percent reduction, and we have per-
formed that. I believe it ought to stand.
STATEMENT CONCERNING THE CHURCH AMEND-
MENT RE CEILING ON OBLIGATIONS FOR FOR-
norr An)
Mr. President, the amendment offered
by the Senator from Idaho would put a
ceiling of $5 billion total obligations for
several specified foreign aid activities?
AID economic aid programs, the military
grant and credit programs, and the Pub-
lic Law 480 program.
This is the wrong way to go about cut-
ting foreign aid. If the Senate wants to
cut the programs covered by the Sena-
tor's amendment, it should reduce the
amounts in this authorization bill and in
the foreign aid and agriculture appro-
S 17966
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CONGRESSIONAL RECORD?SENATE October 1, 1974
In the Senator from Idaho's amendment.
the Senate would, in effect, pass the buck
to the President as to where cuts Were
to be made. This is not responsible deci-
sioiunaking. This is decision avoidance.
For a number of years the Senate hae
slowly, but surely, taken steps to regal, n
Its proper role in the setting of national
policy. The Senator from Idaho has often
spoken eloquently of the need for the
Senate to reassert itself in order to re-
store a proper baiance between Congress
and the executive branch. But the
amendment goes in the opposite direc-
tion. It would say to the President: "We
think that no more than $5 billion should
be spent on these programs, but we do
not know enough?or care enough--
about where the cuts should be made.
You do it."
In this bill the committee has taken
a number of important steps to take
away discretionary power that Congress
In the past, has given to the President
over foreign aid matters. The adoption
of this amendment- would be contrare
to the basic thrust of this bill And, oi
greater significance, it would be con-
trary to the spirit of much that we have
tried to do to restore the integrity of
this body over the last several years.
forone, do not believe that we should
give the President discretionary author-
ity to nullify decisions that Congress
takes in authorizing and appropriating
funds for specific foreign aid activities
If Congress decides to appropriate x
amount for food assistance, for exemple,
that should not mean "x minus what-
ever amount the President wants to cut
out." If Congress thinks that a foreign
aid activity should be supported at a cer-
tain appropriation levet, then it should
stand by that decision. The Senator from
Idaho's amendment would give the Presi-
dent the power to pick and choose which
programs to fund at some lesser level
than the amount Congress authorizes
and appropriates.
Under the Senator's amendment the
President could, if he chooses, make the
supporting assistance or military credit
sales programs bear much of the burden
of the additional cuts necessary. Sen-
ators Can appreciate the effect this could
have on a country like Israel_ We simply
do not know what the ramiecations
would be from the Senator's amendment.
/n this bill we are dealing only with
authorizations for a portion of the over-
ail foreign aid program. We have made
significant cuts. I am confident that the
Appropriations Comraittee will recom-
mend further reductions in programs al-
ready authorized?as well as those in this
hill But the way to make further reduc-
tions is by offering amendments to re-
duce the specific authorizations in this
bill and specific items in the foreign aid
appropriation bill. The pending amend-
ment is not the appropriate way to go
about it.
I hope that the amendment will be
rejected.
Mr. President, I ask unanimous cop-
sent to have printed in the Reseal) a
"Summary of the Impact of a Ceiling
Reduction on all foreign aid programs:'
Reduction on all Foreign Aid Programs."
There being no objection, the summary
was ordered to be printed in. the Amon,
as follows:
see:smear or sae rare= or a CLUZING
Bz-
oUcrz? OF ALL PoRZIGN AM PIIIOGEAMS
1. The reduction is totally aebilzary and
without reference to the merita of the many
and varlotis activities included in the cate-
gorization
2 The Congress has full opportunity to
oonirider the merits of individual appropria-
tion requests. Imposition of a blanket ceiling
reduction subsequent to Congressional re-
view of thaw programs obscures the merits
r)feacti and undercuts original Congressional
intent
3. The reduction applies to an "apples and
oranges" calegorlastkin of programs cutting
wrest separate authorization bills, program
purposes and organizational jurisdictions. It
would, tberefeee, be exceedingly difficult to
administer in a rational manner
4. In the context of deep reductions al-
ready taken in individual appropriation re-
quests, the additional 11435 million cut would
Tall most heavily on:
Development assistance to small fanners
and the rural poor in countries facing major
food shortages and possible famine;
Research on Improving agricultural pro-
duction. maw:ling *Ceres to Improve the ef-
fect ivenesa of fertilizer. seeds and ptiticides
and thereby cope with the world food crisis;
Harnanttaria.n assistance to the Salielian
nations In their struggle against drought,
famine and the oegreciation of their fragile
envIronnient;
Assistance to poor countries in their ef-
forts to deal with the critical problem of un-
constrained popitlatipn growth and to pro-
vide iteen with :he basic family planning
services
Assietsnee to 13.5, and overseas private and
volunteer organteatiois designed to engage
these liostitutione in the development proc-
ess- and tap their conliderable skills and ex-
Food coral1U.)01ms under PL 480 to pri-
vate and voluntary organizations for over-
sew distribution to needy children and to
young nursing mothers;
Food assistance to such countries as Ban-
gladesh, the Sabellan nations and Pakistan
to help them deal with short run shortages,
crop failures and possible starvation:
L'S. .utributions to multilateral and in-
tentational organizations--the UNDP, the
the UN Fund for Population, the Or-
ganization for American States--which
would seriously affect their capacity to con-
tinue critically important development as-
sistance programs:
Probli.ble reductions in: overseas Peace
Corps ac, mules, U.S. narcotics programa de-
signed to curb illegal trafficking In narcotics,
the capshility of the U.S. to respond to
nattiral disasters (the Honduran floods,
Cyprus, floods in Bangladesh).
Mr. AIKEN. Will the Senator yield?
Mr. HUMPHREY. I yield to the Sena-
ter from Vermont.
Mr. AIKEN. I wish to say that the
committee spent about 5 months with
this bill, from the time of its introduc-
tion in April. I think we did a pretty
good job on it. I did not agree with every-
thing that was done, but I realized that
it must come to the floor, and also go to
conference later.
M the Senator from Minnesota has
said, we reduced the total amount by 22
percent, If we accept the amendment of-
fered by the Senator from Idaho, that
will make about a 30-percent reduction,
which I believe is too much for 1 year.
The 22-percent reduction the committee
arrived at is very substantial. I hope that
we do wit reduce Public Law 480, and I
ii pe that the Senator from Idaho does
net intend to do that, because that plants
a seed for over $20 billion in eeports of
/nod commodities from this country to
other countries.
I think that we had better take what
the committee recommends at this time.
I know that other countries, particu-
larly in the Middle East, are undertaking
to grow more of their own food. I think
that is true also of southeast Asia. We
should help them do that, because they
*ill live better, and, as they live better,
perhaps they will like us better.
I shall not go along with the amend-
m ent offered by my friend from Idaho
as. this time.
The PRESIDING 01.eICER. who
yields time?
Mr. HUMPHREY. I yield to the Sen-
se or from New York.
Mr. JAVTTS. Mr. President, it seems to
me, I might say to My colleague manag-
ing the bill, that the real problem with
this amendment is that it is premature
and aborts the work of the Senate. We
are taking great pride en the fact that
w s. are now running the show more and
more?a budget committee, a war powers
resolution, much greater attention to de-
tell, the President's papers, Watergate,
and many other things.
Here we are asked to make a meat-axe
tee without any regard to our deter-
mining the priorities. Every Member of
ti e Senate will be able to vote as he
shes on any amendment for any par-
tieular item, whatever it may be. But
simply to cut right off the top and then
torn it over to the Executive is going
es actly the other way from what we want
to do.
There is no reason in the world why,
If Members wish to make this $5 billion
oi $4.8 billion or $4 billion, they cannot
do it. They can do it and they should do
It. if that is the will of the Senate. But
it ought to be done with a scalpel and
not a meat-axe or a cutlass. That is what
this is all about.
I believe every one of us is under the
gem on the economy, but people have
sent us here to use our heads, not blind-
ly to vote on everything that anybody
says is economy. I ask my colleague, is
It not a fact that this is really a test
of this program? If we believe that the
United States has no interest in its own
security, in equating foreign aid with
any other expenditure in the budget,
then vote against the whole thing. Throw
it out in the ashcan. We should not
de it.
- If we do vote for it because a certain
pretion of our substance needs, in our
men interest, to go in this direction,
then we should do it prudently, not in
&Vance and not without ourselves tak-
ing responsibility for what we want to
et t.
* Those are the reasons, Mr. President,
that I shall personally vote against the
amendment. I think it should be rejected.
The PRESIDING OFFICER. Who
yields time?
Mr. CHURCH. Mr. President, in re-
, ?
seonse to my good friends and col-
ic tlitte.s on the Senate Committee on
Foreign Relations, I take no issue with
the proposition that the committee and
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the Senate, as a whole, should exercise trtah Mfr. Moss) , the tor from Ala- tries. In the past, money from a variety
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CONGRESSIONAL RI COED ? SENATE S 17967
as flinch control over the foreign aid bama (Mr. SPARKMAN) and the Ser.ator of programs was ploughed into both Viet-
program Is- feasible. We have done from Georgia (Mr. TA ,IADGE) are neces- nam and Cambodia, sometimes without
this in the bill that the committee has sarily absent. the approval of Congress. The result was
reported out on the floOr; which we are Mr. GRIFFIN. 1 e ,nounce that the that our economic and military expendi-
presently debating. Senator from Terme. ee (Mr. BAKER), tures in this area of the world ran into
However; I pbInt out that if this the Senator from On, noma (Mr. BELL- the billions of dollars a year.
amendmentwere adopted, the total cut Mow). the Senator 1 rom Utah (Mr. The most severe funding cut in this
In foreign aid expenditures from the BENNETT) , the Senah., from Tennessee year's bill is for Cambodia, both for mill-
level requested by the administration, (Mr. Smelt) , the .aator from New tary and economic aid. It is the commit-
tee's view that it is pointless to contem-
plate spending huge amounts of money
with little prospect that the Phnom Penh
government can survive in the long run.
Instead the committee hopes, by cutting
funds, to stimulate a negotiated end to
the warfare there. In the meantime the
committee supported further humani-
tarian aid and wants to encourage
humanitarian relief agencies to continue
their work.
For Vietnam the administration re-
quested economic aid in the amount of
$750 million. The U.S. Agency for Inter-
national Development contended that
this dollar level would help in the rede-
velopment of Vietnam. The committee
agrees that a good program is needed, but
it reduced the request from $750 million
to $420 million in economic assistance.
Of more far reaching significance, I be-
lieve, is an amendment I proposed that
was approved by the committee. In the
past the Congress has been asked to
vote funds for foreign aid with only the
sketchiest idea of how these funds would
actually be spent. While AID and the
State Department provided some justifi-
cation for their requests, it was impossible
to tell from the categories presented to
the Congress exactly what the United
States was doing and why. Much of
our aid, quite frankly, was used to Prop
up client governments without much
thought of what those governments did
with the money we gave them.
It was clear to me that such an ap-
proach made no sense at all.
At my direction my staff and the staff
of the Foreign Relations Committee spent
many weeks trying to untangle our Indo-
china AID program and look for ways to
$6.9 billion, would be $1.9 billion. All
but 20 percent of that cut is mandated
? by the Congress. Only the last 20 per-
cent Would be left open to the Presi-
dent, giving him the flexibility to make
the, sayings where the State Department
feels, and the ADD Agency and the other
Government departments concerned
with these programs feel would be best.
I do not think we are abandoning the
principle of congressional control at all
in passing this amendment.
?r have observed in my years in the
Senate that whenever one is opposed
to an ainendment, it is a meat-ex
amendment. Whenever drie'IS- in favor
of it, it is a scalpel.
I do not knew 'Whether these phrases
are really hanfii.I. The object of this
arnendinent is simply to hold the line
? on foreign expenditureSrIt is simply to-
? preVett a further expansion of the pro-
grain above last- year's level of spending.
I think that is highly responsible, in
-view of the State of the American econ-
omy and -our need toeffect an -end to the
deficit spending, which all economists
agree is adding further fuel to a very
Serious inflation.
That, is my purpose In offering this
arnendment, and I would hope that the
Senate would support the amendment,
arid thus', if it is not Prepared to cut back
on foreign aid spending this year, at
least btoadcaSt the message to the Amer-
ican people that it is prepared to hold the
line against furthiir increases in foreign
aid above the level of spending in fiscal
year 1.07-4L-a very Modest objective, Mr.
President, eminently reasonable consid- Be.kiear
'ering the present state of the American BaJlmon
ecOrioniY. Beiniett
York (Mr. Bucia.Ky ), he Senator from
Kentucky (Mr. CooK) , the Senator from
Colorado (Mr. Damn' ,cit) , the Senator
from Maryland (Mr. 7,1".ATFITAS) , and the
Senator from Oregor (Mr. PACKWOOD)
are necessarily absent
I also announce the t the Senator from
Illinois (Mr. PERCY) 1 ', absent on official
business.
The result was al? ounced--yeas 62,
nays 21, as follows:
1 No. 440 .eg]
YEAS- 'i2
Abourezk Gra vel Iviu.skie
Allen Gurney Nelson
Bartlett Hansen Nunn
Beall Hartke Pastore
Bentsen Haskell Pearson
Bible Hatfield Pell
Bidert Helms Proxmire
Burdick Hollings Randolph
Byrd, liuddlest ,u Rtbicoff
Harry P., Jr. Hughes Roth
Byrd, Robert C. Jackson Schweiker
Cannon Johnston Scott,
Chiles Long William. L.
Church Ma gnli so , Stafford
Clark Mansflel c Stennis
Cranston McCI ell 93 Stevensor.
Curtis McClure symington
Dole MeGo ver , Thurmoni
DOrflelliCi McIntyre Tunney
Eagleton Metcalf Weicker
Fannin Metzenbt rn
Goldwater Montoya
Aiken
Brooke
Case
Cotton
Eastland
gong
Griffin
I, therefore, urge the Senate to ap- Brock
Buckley
prove the amendment.
Mr. President, I am prepared to yield So Mr.
back the remainder of my time. agreed to.
?Mr. HUMPHREY. Mr. President, un- Mr. CHURCH. MI President, I move
less there are others who wish to speak, to reconsider the ote by which the
I am prepared to yield back the re- amendment was agm,c1 to.
d f time Mr HATHAWAY. r move to lay that
_
limitation on the Call of the toll?
motion to la on the table was Let me tell you a little al3out the pro-
NAYS 21
Hart
}lathe we -
Hrusk a
Humplm
JavitE
Kennedy
McGee
Mondale
Scott, Hugh
Stevens
Taft
Tower
Williams
Young
NOT V CYI
Cook Moss
Dominic, PackwoOd.
Ervin Percy
Fulbrigh Sparkma
Inouye Talmadge make it a sound program that will ac-
Mathlas ?complish the goals AID proposed for it.
Cimacif! amendment, was The result was the committee agreed to
four general programs for Vietnam,
Cambodia, and Laos and approved a
number of subprograms which, under
the committee's bill, will be carefully
audited by Congress to insure the pro-

my President, do we have any time motion on the table. grams are really carried out.
_ grams approved under m3r amendment.
['he
'The PAESI:61*o -01VICElt: No: 15 agreed to. The chief programs are humanitarian
Minutes.
Am toil /No0cPITNA .aE POREMN AM RILL
IN assistance, agricultural assistance and
Mr. HUMPHREY. I yield back the re- Mr. CASE Mr. Pr( sident of particular industrial development aid. The main
mainder of my time. interest in this yea, ' AID bill are the thrust of the humanitarian assistance
'
The PRESIDING OFFICIM.. (Mr. provisions on econor c assistance to the program is to resettle war refuges on
METZENBATIM) . All remaining time having countries of Indochb , 1. The action taken reasonably good farmland that will en-
been yielded back, the question is on by the Foreign Fl. ' 1 ations Committee able them to be self-supporting. Where
agreeink to the amendment of the Sena- represents, I belicve a major change in possible, the program emphasizes the re-
tor Irerri Idaho (Mk. Cimacit). On this the congressional a t proach to foreign turn of families to their own home vii-
question, the yeas and naVs have been aid?and it deserves -c- belie, a careful lages. This program also provides for
, . . _ believe,
orderd, an-a, the clerk will call the roll, hearing by the full S4, late. child care services and health care. The
'The asst..?ant teki40,tive clerk called The committee hal taken a number of agricultural assistance program is de-
sfgnificent steps: r st. the committee signed to make Vietnam, once the rice-
the re
ET Cf. E7E/3. I announce macle Mardi ''etfiiciuk.riti in the level of bowl of Southeast Asia, selfsufficient in
eriator -froth Indiana (Mr.' dollar aid to .both r-anbOdia and. Viet- rice and other food commodities in the
&riagiqrOriilTorth Carolina nam, and a lesser c-ii" in our aid to Laos. shortest possible time. And the industrial
the-genatailign' Aikansas rn Making these redi'etions the ccmmit- development program is designed to help
? (Mr. nr..esi4tt);tlie 'Senator frcim Ea- tee for the first Um'. set ceilings on how the country begin to produce goods which
wall(Ivtr. IivoUYE), the Senator from much can be spent 1 -11 any of these coun- can be sold for foreign exchange, thus
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CONGRESSIONAL RECORD SENATE October
helping to make the economy of South
Vietnam more viable and leas Laiittni
otasiffe aid.
If properly administered and vit.ilanti:,
watched by Congress, I think these gro-
gram have a fair (thence of paying off.
And if they fail, then there is not much
point to continuing to give economic as-
sistance to Vietnam or to Indochina gen-
Americans are a generous people but
the time has come. I believe, when they
(Mite rightly want to knoll, how then
money is being spent abroad-- they want
and deserve an accounting so they can
determine where we stand. On the suc-
cess of our effort to build these features
Into the AID bill this year rides. I believe,
the future of the foreign aid program.
Mr. President I ask unanimous con-
sent to have printed in the RECORD an
excerpt on assistance for Indochina from
the Foreign Relations Committee report
on the Foreign Assistance Act of 1974.
There being no objection, the excerpt
was ordered to be printed in the Rscoao,
as follows:
futresaire
Section 20. Statement of policy? Indochina
Section 20, initiated by Senator Humphrey,
Is a statement of policy by Congress relative
to the situation In Indochina.
Congress finds that the cease are pi mettle
gated in the Paris Agreement on Ending the
War and Restering Peace In Vietnam heo
not been observed by any Vietnamese party
to the conflict. Ineallitles of an offeneive
and derroodve nature still continue in South
Vietnam. in Cambodia, the conflict between
insurgent forces and the Lou Nol govern
-
Meat has iliterialited resulting in widespread
human suffering the near total collapae
Of the CAM national economy.
;The Congress further Ands that coatiral,
&Bon of the Military trustles in South Viet-
nam and Cambodia is net In the interest or
the parties directly engaged in the conflicts,
the people of Indochina or world peace. In
Order to lessen the human suffering in ludo-
China and to bring about a true peace there,
the Congress hereby urges and requeets the
President and the Secretary of State to un-
dertake Immediately the following measurep.
(1) Begin negotiations with represent*,
lives of the Soviet Union and the People's
Republic of China towards a mutually agreed
upon and rapid de-escalation of military ate
.-iirriasucc on the part of the three principal
suppliers of arms azie material to all Viet-
namese and Canexellan parties engaged in
conflict
12) Take all necessary measures strongly
requesting that the government of the
Khmer Republic enter into negotiations with
repreeeetetivee of the Khmer Got:err:anent of
Me tonal Union which will lead to an imme-
diate cease-fire and eontical settlement of
the conflict. Use all available means to as-
tabitsh contact with the Khmer Government
or National Union and to urge them to par-
ticipate in such nermtlation, The United
States should urgeedi Cambodian parties to
use the good offices of the United Nations
or a respected third party for the purpose of
bringing an end to hortilltles and reaching a
political settlement.
(3) 'Utilize any puh'ic or private forum to
negotiate directly with representatives of the
teemeenio ic Republic of Vietnam, the Provi-
&Leonel Revolutionary Government and the
Republic of Vietnam to seek a new cease-fire
In Vietnam and full compliance wth the
provisions of the Parte Agreement on Ending
the War and Restorin4 Peace in Vietnam.
(4) Reconvene the Paris Conference to seek
full implementation of the provisions of
the Agreement of January 27, 1978 on the
part of all Vietnamese parties to the conflict
(5) Maintain regular and full consultation
with the appropriate committees of the Con-
grese and report to the Congress and the Na-
tion at regular intervals on the progress
toward tile-gloms i total cessation of hos-
tilities ill 111CIOChlEllt and a mutual reduction
of milatery assistance to that area.
Section zt. Statement of principles to govern
U.S. economic red to indochina
Reetion 21, Initiated by Senator Humphrey,
in a policy statement by Congress concerning
the prineiples which should guide US. eco-
nomic assistance programs to Indochina,
Congress finds that after expending over a
billion dollars in funds for economic pur-
preen In Tndoehina last year, and vast
ntreetmet In previous years, that little in last-
ing economic benefit remains. A large pro-
pe-tion of the funds expended has been used
for consernable Items related to the war ef-
fort Very little of our money has found its
way into capital Investments of lasting pro-
ductive benefit to the people.
ongress calls upon the President and Sec-
retary of State to take immediately the fol-
lowing actions designed to maximize the
benefit of United statei economic assistance.
(1) Organize a consortium to include the
multilateral financial institutions to help
INDOCHINA ECONOMIC ASSISTANCE
1, 1974
pan for Indochina reconstruction and devel-
opment; to coordinate multilateral and bi-
le-tenet. contributions to the area's economic
reeevery; and to provide continuing advice
tc the recipient nations on the use of their
as :n and outside resources.
(2) Develop in coordination with the re-
defeat governments, other donors and the
maltilateral financial institutions a compre-
hensive plan for Indochina reconstruction
ard economic development.
(3) Develop country-by-country recon-
st uction and development plans, including
&tailed plans for the development of had!-
vi Wel economic sectors, that can be used to
id-ratify and coordinate specific economic de-
veopment projects and programs and to di-
re-t U.S. resources into areas of maximum
be nett.
(4) Shift the emphasis of United States
all programs from consumption oriented
ez*enditures to economic development.
(5) Identify poasible structural economic
re orms in areas such as taxation, exchange
ra es, savings mechanism, internal pricing,
income distribution, land tenure, budgetary
aCocatIons, and corruption, which should be
sir dertaken if Indochinese economic devel-
opment is to progress.
:6) Include in Indochina economic plan-
ni ig and programming specific performance
criteria and standards which will enable the
Congress and the Executive Branch to judge
the adequacy of the recipients' efforts and to
de :ermine whether, and what amounts of,
coetinued American funding is justified.
2,Tone of the foregoing Is meant to imply
coetinuation of American financial commit-
mi nt beyond the authorization provided for
in this legislation.
Se lion 22. Authorization of economic assist-
ance for South Vietnam, Cambodia, and
Laos
election 22 amends section 802 of the For-
eign Assistance Act to authorize appropria-
tic us for Decal year 1975 to provide economic
aselstance, other than Public Law 480 as-
set ance. to Indochina. The Committee rec-
ommends an authorization of $550,000,000
for fiscal year 1975, a reduction of $389,800,-
00e from the Executive Branch request, of
ESE 9.800,000. This is an increase of $46,000,-
001 above the authorization for fiscal year
19t4. 4449,000,000 was appropriated for this
pti 'pose in lineal 1974.
!.`elate table below compares the Committee's
ref ammendations with the Executive Branch
request and the program for fiscal year 1974:
Program
Executive branch Committee
request, fiscal recommendation,
Fiscal year 1974 year 1975 focal year 1975
Reduction in
executive branch
reques
Seger Vietnam
Cambodia._
Laos
rat programs
support costar
Total
1 Includes a $50.00h.000 dreitooment loan.
'The pm eft ;hare of Allies worldwide techneal and administrative activities what'
support the Indochina program. Separate is-country AID :-.upport costs ass included in
the country amounts.
Election 23. Assistance to South Vietnamese
children
This section Insures that $10.000.000 will
be available for assistance to child care pro-
grams In South Vietnam in fiscal year 1975.
e5,000,000 increase in the earmarking for
that purpose from the fiscal year 1974 re-
quirement. Funds for the child care program
can be derived from a combination of Amelia
Mado available through the authorization
in this bill and local cturencies. The Com-
mittee has approved a specific line Item at
I 1399, 000, 000
95,000,000
1750. 000, 000
IRI, 000, 000
1420, 000,000
70,000,000
?$334, 000,000
?40,000,000
0,000,000
55, 200, 000
45, 000, 000
?io, 200,000
2,000.000
9, 400. 000
3,750,000
?5, 650, 000
13, 000, MO
18, 700, 000
11,150, 000
?7, 450, 000
549, 000,000
.943,300,000
550, 000,000
?393, 300, 000
a lasted.' 13,560,000 in nimble sevens and recoveries.
0.200,000 for child care programa Thus, an
additional $1,800,000 must be made avail-
able in local currencieS.
One of the most haste results of the In-
dochina war Is the plight of millions of dis-
advantaged children len in its wake. The
orphaned, the maimed, and the ha:eider:a are
continuing victims of the violence In Indo-
china.
The Committee has noted the aflimaative
response of AW to the COSigreesional man-
date of last year.
?Atelier: 24, Limitations with respect to
South Vietnam
Section 24 contains limitations relative to
Soot& Vietnam which will be added as a new
sec eon 806 to the Foreign Assistance Act.
'lbs new subsection (a) of 806 establishes
a ceiling of $1,280,000.000 on amounts that
Mae be obligated in fiscal year 1975 for the
purpoee of providing economic or military
asspetan.ce to South Vietnam. Under that
ceiling Up to $700,000,000 can be for military
asesesuce, $160,000,000 for Public Law 480
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commodity assistance, and $420,000,000 for
economic assistance as specified in the bill.
COMPARATiVE DATA ON THE CEILINGS rOR SOUTH
VIETNAM
tin millions of dollars]
Executive Committee
branch recom-
Pimate, proposal, mendation
fiscal year fiscal year for fiscal
1974 1975 year 1975
South Vietnam:
1. Military assistance
(MAS F) l
2. General economic assist-
ance (IPR) 2
9. AID loan
4. Public Law 480
864.5 1,
349.0
50.0
104.7
485. 0
750.0
160.6
700.0
420. 0
160.0
Total, South Vietnam_ 1,568.9 2,395.6 1, 280. 0
New obligational authority and excess defense articles.
2 Includes supplemental appropriation of $49,1100000.
Similar ceilings have been enacted in the
past for Laos and Cambodia. They were gen-
erally effective in both instances. Whereas
actual U.S. expenditures in Laos had consist-
ently been almost twice what had been pre-
viously reported to Congress before the ceil-
ing was imposed. Thereafter spending stayed
substantially within the limits prescribed.
The ceiling was effective in Cambodia but it
was allowed to lapse in fiscal year 1974. The
Executive Branch subsequently grossly ex-
ceeded the overall amounts projected at the
beginning of the year for all categories of aid
to Cambodia. Public Law 480 deliveries esca-
lated, for example, from a $30 million projec-
tion to $194 million. For military assistance,
the Administration originally requested
$167,200,000. A total of $399,300,060 was ulti-
mately used for that purpose, including $250,-
000,000 in materials taken from Defense De-
partment stocks.
In Vietnam, the accounting under the Mili-
tary Assistance Service funded (MASF) pro-
'gram is now acknowledged to have been in-
accurate over the years. No one really knows
how much was spent in Vietnam for military
support between 1966 and 1973. When this
fact came to light, the Senate Committee on
Armed Services acted decisively to correct
the many loopholes in the management and
accounting for this program. The inclusion
of military aid in the ceiling for South Viet-
nam is intended to complement the actions
taken by the House of Representatives and
the Senate on the Department of Defense Ap-
. e
propriation Bill. -
Paragraph (3) of 806(a) provides authori-
zations by major categories and by program
or project under each of these categories. This
provision and the specific authorizations for
Cambodia and Laos were initiated by Sena-
tor Case.
The Committee has approved four major
programs for economic assistance to South
Vietnam. These are: (A) Humanitarian As-
sistance; (B) Agricultural Assistance; (C)
Industrial Development Aid and (D) Miscel-
laneous which includes funds for purchase
of petroleum and for support of 'the USAID
Mission. in Vietnam.
Each of these four categories is complete
in itself. No transfer of funds between these
four general categories is permitted except
that petroleum procured in Part D of the
? authorization may be used for the support of
any of the other three major programs.
Transfers within any of the subcategories
of the four maker categories of a reasonable
kind of response to changing circumstances
are permitted provided timely notice is given
to Congress before any transfer is carried
forward. .
Under an amendment, also initiated by
Senator Case, approved by the Committee,
funds available for military assistance to In-
dochina may be transferred for humanitarian
relief and economic development programs
within each country, on a country-by-
country basis. Transfers ::tinnot be made from
one country to another This discretionary.
feature of the bill should assist further the
development of humariliarian assistance pro-
grams the Committee de ims crucial for Viet-
nam.
The most crucial of the programs approved
for Vietnam is that for aumanitarlan relief,
for which the Committ,-,2 has allocated $95,-
000,000. The Comm:Ate r hopes that e, con-
certed effort will be made to prevent the use
of United States fun& for the support of
so-called refugees activities which have di-
rect political or military objectives. One way
in which this can be dorm is to begin to pro-
vide more United Stair- e support to eolun-
tarp and international agencies working in
the refugee field. This ti largely a local cost
program and the Conn attee seeks to insure
that both dollars and the piasters which
they generate are used for the intended pur-
pose.
Assistance in agricritural production is
-the next most valid need in South Vietnam.
The Committee has recommended that $188,-
000,000 be used for tire purpose. The Com-
mittee is of the view that AID should move
away from placing t'l.rther emphasis on
capital intensive agriculture.
Additional data concerning the Commit-
tee's recommendations 'ollows;
I. Humanitarian assistance
Millions
A. AID recommended 'budget:
Refugee relief mug resettlement.. $86.5
Child care_ 8.2
Health care_ .. 10.3
City to farm program 30.0
Total AID recemmendations_ 135. 0
B.
Committee authorisation:
Refugee relief at rl resettlement..
Child care
Health care
City to farm proeram
66. 6
8.2
10. 8
10.0
Total authorization 95. 0
The Committee appeeved the full requests
made for child care Er d health care. Child
care funds should be 'argeted to help pro-
vide immediate necessities such as food stuffs
and training supplies, e,foreover, every effort
should be made to lar eg child care concepts
to foster homes whicli are in dire need of
upgrading. Every effort should also be made
to find ways to make child care centers self-
sufficient if possible.
Urban squalor, both. in Saigon and other
urban centers, is a re :tilt of years of war.
Hundreds of thous= is of refugees try to
make a living as beer they can under the
circumstances. While this was possible when
large numbers of Amer can soldiers a:ad sup-
port personnel were in llietnam, it is far more
difficult today. Sof-rine inflation and a de-
pressed economy am the continuing war
make the urban poor a very real threat to
the regime. If it is pessible to work out a
land acquisition program to relocate many
formerly agrarian people, such an effort
should be supported. ! fowever the prospects
for a rapid transfer co' poor urban families
to the country side sec ins dim. Consequently,
only past of the request for the 'City to
Farm" program is approved in this recom-
mended budget.
The problem faced by the South Viet-
namese government cc -teeming refugees and
the urban masses wl summarized in this
way in a recent repot by the Committee
staff:
"The refugees and urban unemployed pres-
ent a real dilemma tie the Vietnamese gov-
ernment. If the peop7e remain in ttee camps
and cities, they preseet a political problems
as well as a further welfare burden on an
already over-extendeD national budget. Mov-
ing them to rural areas, as proposed, would
shift the economic support burden from the
national budget to the people themselves
and to the natural resources of the land-
presuming land is available. However, the
transfer of people out of camps and the cities
creates a population control problem by ex-
posing them to contact with the Viet Cong.
The conipromise between military control
and economic survival is the placement of
war victims on previously uncultivated land
in government controlled or marginally con-
trolled areas. But these new lands require
large amounts of capital investment for
roads and land clearing to make them ac-
cessible and arable. The losers are the war
victims themselves who see destined to suf-
fer no matter where they are."
II. Agricultural assistance
A. AID recommended budget: Millions
Fertilizer, OL, and pesticides $185
Rural credit 60
Canal dredging 10
Low lift pumps 4
Fish farm development 4
Salt water intrusion 11
Total AID recommendations 274
B. Committee authorization:
Fertilizer, POL, and pesticides 150
Rural credit 20
Rural credit 20
Canal dredging 10
Low lift pumps 4
Fish farm development 4
Total authorization 188
The Republic of Vietnam has the capacity
to become self-sufficient in -essential food-
stuffs and, even with its increased popula-
tion, a major exporter of food products and
forestry products such as raw and finished
lumber. But radical change will be needed
for this to come about. A significant problem
is the continuation of the war which makes
the development of the forestry and rubber
industries virtually impossible. The war also
diminished the amount of available crop
growing land-especially rice areas-and in-
terrupted the food distribution system.
Even in light of these conditions progress
has been made in expanding food produc-
tion, especially rice, through the introduc-
tion of hybrid rice plants which require
fertilizer and pesticides for growth. The
United States should encourage South Viet-
nam to continue to work toward self-suffi-
ciency in food production.
Less funds than were requested are being
made available for the purchase of fertilizer,
POL, and insecticides as an inducement to
the Government of South Vietnam to work
toward converting the currently subsidized
agricultural system to self-sufficient system.
III. Industrial development
A. AID recommended budget: Millions
Commodities for industrial pro-
duction $155. 0
Industrial credit 40. 0
Industrial park 5.0
Urea plant 80. 0
Export processing zone 5. 0
Highway construction 3.4
Development planning .6
Total AID recommendations 289.0
B. Committee authorization:
Commodities for industrial de-
velopment 85. 0
Industrial credit 10.0
Development planning
Total authorization 98,6
The Committee has made substantial re-
ductions in the industrial development este-
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CONGRESSIONAL RECORD ?SENATE October
gory. In the Committee's view, humanitariao
and agricultural needs are the most im-
portant to the Vietnamese and Mauer:el
development is of far less significanoe when
It comae to deeding how to divide tee
limited funds available.
IV. Miscellaneous
Wiens
Transportation $30. U
Support of AID mission_ IL a
The last category 1s assistance to help pro-
vide fuel and other conunodit7 support to
Vietnam's transportation system and to pay
for the costa of AID's aclenntstostive and
Sec/Intent activities which are not directly
chargeable to a specific project.
Implementation of ceiling
The new subsections (c), (d) and (e) con-
tain further epeciiics conoerniag the coiling
Unposed on spending for liouth Vietnam.
New subsection (c) provides that In com-
puting the limitations on obligation author-
ity under subsection (a) with respect to an
lime year, there shall be included in te.
computation the value of any goods, sup-
plies, materials, equipment service, person-
nel or advisers provided to, for, or on behalf
of South Vietnam in the decal year by gift,
donation, lona, lease or otherwise. enr the
purpose of the subsection, "value" moons the
the fair market value of any goods, supplies.
materials, or equipment provided to, for, or
on behalf of South Vietnata but In Ile case
lees than 383 per eentum of the amount the
United Stater paid at the time the goodo.
supplies, materials, or equipment were ac-
quired by the United Stales.
New subsection (d) provides that no funds
May be obligated for any of the purposes
deecnbed in aubsectkai (a) in, to, for, or on
behalf of South Vietnam in any lime year
neginning after June 30, 1975, uoleas the
funds have been specifically authorized by
law neap:en rater the date of enactment of
thla section. In no case shell funds In any
amount in excess of the account specillcalle
&Unionised by law for any nscal year be obli-
gated for any purpose during the fiscal year.
New aubaection (e) states that after the
date of enactment of the section, whenever
any request Is made to the Congrese 10t the
appropriation of funds for use 1.12, for, or on
behalf of South Vietnam for any fiscal year,
Ins President shall lumina a written report
to the Congress explaining the purpose for
Which the funds are to be used in the fiscal
year.
New subsection (I) requires the President
10 submit to the Congress within thirty days
after the end of each quarter of each fiscal
year, beginning with the Ilscal year which
begins July 1, 1974, a written report showing
the total afeetillt Of funds obligated in. lots
or on behalf of South Vietnam during Use
preceding quintet by the United States Gov-
ernment and specifies that It shell include
a general brealtdrown of the total amount
Obligated, describing the different purposes
for which the funds were obligated and the
total amount obligated for each purpose.
New Subsection (g) Z.imitations on U.S.
Personnel in Vietnam.--Subseetion (g) es-
tablishes ceilings on the number of Arnie-
leans and enonment of this hill. This ceiling
applies to both direct hire and personnel em-
ployed by government contractors. 'Further
reductions In the ceilings are to become ef-
fective twelve months thereafter, Within the
selling on American personnel a subcelling is
Imposed on the number of members of the
U.S. armed services and all direct hire and
contractor personnel of the Department of
Defense. The intent of the Committee is that
these limitations shall apply to both perma-
nently authorised and so-caned temporary
duty personnel.
The ceilings are as follows:
DOD 3r1 country
Overall personnel saunas
As of t risoaUu Item soul-
merit
As 12 morreeniern grid-
ANNUL
4. WO
3, 004
2. 503
1, 500
$00
500
Of the 5,200 total personnel who were In
South Vietnam as of May 1974 some 3.850
were military or DOD; of these approximately
WO were civilian direst hire DOD employees.
2,800 were DOD contractors and 200 were
uniformed meitery (50 attaches and 150
Marine guards). The Committee was in-
formed a year ego that by January 1974, all
DOD direct hire personnel and all but 2,000
riontractors Would be phased out. It was fur-
ther assured that 'vet y soon thereafter" con-
tratcor personnel would number only 500. As
indicated, these pledges have not been met.
The principal reason for this is that 17.8.
perecnne lire continuing to provide substan-
tial direct maintenance and operational sup-
port to the Vietnamese armed forces. By this
time, the contractors were to have trained
eolith Vietnamese to take over their jobs but
this has not occurred. Imposition of these
ceilings should stimulate the turnover to the
Vietnamese of jobs that are now being per-
formed by U.S.contractors.
The progressively declining ceiling for U.S.
vupported third country national personnel
is also intended to foster South Vietnamese
self-suflietency Unleas the so-called "TCans"
ere controlled. departing Americans will
"imply be replaced with other foreigners.
Olean the skill and resourcefulness of the
South Vietnamese and their long exposure
to American training and example, there Is
no justification for continuing this practice.
New subsection (h) statee that nothing in
the new 1..ec Lion [shall be construed as a com-
mitment by the United States to defend
South Vietnam,
cl v,it 25. Ltmtrations with respect to
Cambodia
Section 25 would ride a new section 807 to
the Act providing for limitations with respect
to Cambodia.
The new subsection (a) would set a ceiling
of 1347,000,000 In fiscal year 1975 on obliga-
tions for the purpose of providing economic
or military *Assistance to Cambodia. It fur-
ther specifies categories of assistance within
Liao overall ceiling as follows: military assist-
anoe 4200 000,000; Public Law 480 commodity
Resistance 577,000,000; and economic assist-
ance 570.100,000:
LUMPARATIkE DA1A rbefenteitie Ten CEILING FOR
EAMBOOIA
fin million: .51 dollars!
Emote, Conerdits?
breech woo-
Elliman. rattiest. meodafion
Baal year fiscal yew fiscal year
1974 1975 1975
CmeMiclie-
%Mary assotenc01 39.9. 3 391. 3 200. 0
Geeefel economic sexist-
mem (11/5) 95.0 110.0 70.0
PeeliC la* del ISe. 2 77.0 77.0
Totel Crrildnlia ... _ . OIL 5 575,3 347.0
Includes pp ly operations aril excess dnne articles.
Includes 1250,00C.000 in Department of Defense eons.
The Committee bee .specrined four areas of
approved programming for use of the $70,-
000,000 in economic aseistance recommended
for Cambodia. These are humanitarian, com-
modity Imports, multilateral stabilization
and technical support. Meetly the most
urgent of these is humanitarian relief for
1, 1974
*latch the Committee has allocated $20 mil-
/tote Unfortunately, both the Executive
Eranch and the Cambodian Government
hive been slow to respond to the human!-
Simian needs of the Cambodian people. At
p-esent almost all relief work in Cambodia
is being carried out by voluntary agencies.
Tee Committee strongly approves of this
means of providing relief and will expect the
Annecy for International Development to
provide the maximum possible support to
witch agencies, including the International
Committee of the Red Cross, from the funds
wathorized. In this connection, the Commit-
tee has written into the bill a provision
wnich exempts voluntary agency personnel
fr 7m the ceilings on American and third-
country national personnel.
The Committee has reduced the eommod-
It .? Import authorization for Cambodia from
$71 million to $91 million. Even the most
casual observer in Phnom Penh is keenly
aware that, while the mass of the Cambodian
pc pulation is suffering intensely from the
wen Cambodian government officials and
bosinessmen are enjoying an improved
Mon/lard of living?which can only have
cern. from one source?the U.S. taxpayer.
Osmbodia, is perhaps the outstanding ex-
tunple of the failure of the "trickle-down"
en which U.S. aid to Indochina appears to
be predicated.
ECONOMIC ASSISTANCE CATEGORIES, CAMBODIA
fin millions of dollars'
Executive
Branch
proposal
Committee
reCOM-
mendation
Hut anitarian 20.0 20.0
Corimodity import. ...... 71.0 31.0
laeleideral stabilization 17.5 17.5
Tecinical support and Partici-
p int training Li 1.5
Total 110.0 70.0
'nee new subsection (b) prohibits the
newsier of economic assistance or Pu.blic Law
481, funds for use for military aid purposes
and also prohibits transfers within the four
categories of economic assistance.
?he new subsections (c), (d), (e) and (f)
re see to the implementation of this ceiling
on obligations for Cambodia requirements
identical to those explained in the analysis
of .he new section 808.
The new subsection (g) reduces the cur-
ref t ceiling on U.S. personnel in Cambodia
from 200 to 175 and on U.S. ilnanced third-
cos ntry national personnel from 85 to 75. It
wo IDA exempt personnel of voluntary relief
agencies in Cambodia from the ceiling. Lane
gunge Is included to make it clear that the
cening on U.S. personnel includes contract
personnel.
The reductions contained in subsection (g)
are designed to reduce our official invo:ve-
me it in Cambodia and to begin the process
of eliminating Oambodian dependence on the
Uit ted States. They parallel the Committee's
action In reducing the level of US. military
expenditures in Cambodia. In the event the
was is still going on in Cambodia neat year
the Committee expects to lower the person-
nel ceilings still further in len 1976.
While it would appear that the Embassy
In Phnom Penh has made an effort?not 51-
ways successful?to remain within the letter
of she personnel restrictions, it Is evident
that; American personnel have become in-
cressIngly Involved In a vast range of sup-
per and advisory efforts, generally not in-
chiding tactical military advice, designed to
ooze pensate for the inadequacy of the Cam-
bad .an Government. This expansion of the
Annirican role in Cambodia is contrary to the
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CONGRESSIONAL 1t7CORD ? SENATE S 17971
osealleintent Of the Original Congressional person- ' ' ECONOMIC ASSISTANCE CATEGORIES, LOSS
met restriction. The Committee believes that
by limiting the number of Americans in
Cambodia the degree of American involve-
ment in Cambodian affairs can be more ef-
fectively controlled and, thus limits can be
put on Cambodia's dependence upon the U.S.
Government. iris now evident that the Com-
mittee underestimated the energy and re-
sourcefulness of 200 Executive Branch rep-
resentatives in Phnom Penh.
While reducing the level of U.S. personnel
in Cambodia, particularly the military, the
Committee also adopted an amendment
offered by Senators Case, Symington, and
. Humphrey, designed to encourage expansion
of private relief activities in Cambodia. At
present these are being carried out almost
exclusively by American voluntary nonprofit
organizations and by the International Com-
mittee of the Red Cross. The Committee has
been informed that these organizations are
willing to expand their operations in order
to meet the increasing humanitarian needs
of the Cambodian people. In order to do so,
however; the relief organizations need U.S.
funds to support their personnel since they
have now reaohed the limit of their own re-
sources. To date; AID has been unwilling to
provide personnel support funds to the relief
agencies since, if it did so, the personnel
supported would be subject to the personnel
ceiling's. The Committee questions the ap-
propriateness of the Embassy's decision to
give priority in its personnel allocation to
military personnel, who now account for 124
of the authorized total of 200, rather than
to increasing the number working on relief
programs.
The new subsection (h) carries over the
provision from subsection 655(g) which
States that the section shall not be con-
strued as a commitment by the United
States to defend Cambodia.
Subsection (b) of section 25 repeals sec-
tions 655 and 656 of the Foreign Assistance
Act since they will become obsolete upon the
enactment- of this act.
Section 26. Limitations with respect to Laos
Section 26 will enact a new section 808 to
the Foreign Assistance Act of 1961 which will
establish a ceiling on and specify the dis-
tribution of ft-tilted States assistance to Laos
for fiscal year 1975 Subsection (a) of the
new section 808 imposes a ceiling of $100,-
000,000 on? obligations for the purpose of
providing military and economic assistance
to Laos in fiscal year 1975. Under the ceiling,
$55,000,000 is allowed for military assistance
and $45,000,000 is allowed for economic as-
sistance, which is allocated into four cate-
gories. The table below provides comparative
data on assistance for Laos.
ASSISTANCE TO LAOS
[In millions on dollars'
1. Humanitarian
2. Reconstruction and de-
velopment 3. Stabilization
4. Technical support
Executive
branch C smmittee
request recommendation
9.5, 300, 000 SI? , 000, 000
400,000 900, 000
17, 500, 000 1, 500,000
(6, 300, 000) I., 600,000
Total 5,200, 000 45, 000, 000
The Committee has uot reduced tie Lao
program in proportion to other Indochina
programs. Laos alone among the Indochina
states has reached a political settlement and
the Lao people deserve encouragement and
assistance in making their government work.
The amount approved reflects the Emit of
what they can effectit =ay absorb. It will not
be sufficient, however, to sustain Vientiane
society in the mariner to which it 'became
accustomed in the days of the massive Amer-
ican presence. The rectuction made in the
Lao program came pri !fierily out of 'recon-
struction" where AID requested $11 million
to build two dikes, nel Pier of which required
any dollar inputs. The AID request for dollars
for this purpose apottared to be 'out an
effort to obtain additional free foreign ex-
change for Laos from the Congress.
United States polka' in Laos is designed
to facilitate the estabhshment of peace and
national reconciliation. To this end, United
States assistance mix r operate within, the
terms of the agreements on a cease-Ore and
a coalition governmen t signed by the Laotian
parties in February-. raid September, 1973.
Since that latter akri?ement establishes a
Provisional Grovernmo it of National Union,
American aid should be channeled to the
extent possible through that government.
Also, insofar as is pcssible. U.S. programs
for humanitarian assistance, recontruction;
and development shot, Id be available to all
areas of Laos and shalt Id be directed wherever
the need is greater t and the assistance
desired.
The new subsectior (b) prohibits transfer
of economic assistanctt funds authorized for
Laos for use as militsry assistance. Military
assistance funds mfot be transferreel to and
The PRESIDING OFFICER. The re-
port will be stated by title.
The assistant legislative clerk read as
follows:
The committee of conference on the dis-
agreeing votes of the two Houses on the
amendment of the Senate to the bill (H.R.
12471) to amend section 522 of the United
States Code, known as the Freedom of In-
formation Act, having met, after full and free
conference, have agreed to recomMend and
do recommend to their respective Houses this
report, signed by a majority of the conferees.
The PRESIDING OFFICER. Is there
objection to the consideration of the con-
ference report?
There being no objection, the Senate
proceeded to consider the report.
(The conference report is printed in
the House proceedings of the CONGRES-
SIONAL RECORD of September 25, 1974, at
page H9525.)
The PRESIDING OrriCER. The ques-
tion is on agreeing to the conference
report.
The report was agreed to.
Mr. HRUSKA. Mr. President, as a
conferee on this bill, I have seen several
significant changes made to the bill
which, in my view, makes it a more work-
able measure. However, I do not believe
that these corrections go far enough.
While we were in conference, the
President sent a letter to the conferees
pointing out his objections to the bill.
The provision that appears to concern
the executive branch the most is the sec-
tion of the bill that places the burden
of proof upon an agency to satisfy a court
that a document because it concerns
military or intelligence secrets and diplo-
matic relations is in fact properly classi-
fied. If the court is not convinced that
the agency has adequately carried the
burden, the document will be disclosed.
Yet, while this bill transfers the au-
thority to declassify documents from
used in the economic assistance categories

the executive branch to the courts, it
in accordance with One new section 809. provides no standards to goven the re-
There shall be no transfers of funds between view of the documents. The judge is
the four economic assistance categories, given the documents and then is cast
The new subsection (c) through (1) relate upon a sea without any lighthouses or
to implementation of this ceiling for Laos, buoys to point out the shoals and rocks
and are identical to 1 hose explained in the to make his decision whether the docu-
analysis of section 13,15. ments are properly classified.
The new subsection (g) states 'Ghat the No standards are created to guide a
new section shall nol le construed as a com- judge in reviewing the documents. He
mitment by the 171 ted States to defend
Laos. can release the documents if, in his own
" Section 27. Trdnsfer of Func:s view, they are not properly classified,
even if the Secretary of State, the
Score-
- Section 27 add:, a ,iew section 809 to the
- Committee Foreign Assistance Act. tary of Defense, or any other agency
Executive moon. Subsection (a) prohibits use of the tram- head cerf,ifies that the documents are
'classified. This is a provision
ot only distrustful in nature; it
asonable,
ident Ford, in his letter to the
rees cited these concerns and said:
simply cannot accept a provision that
uld risk exposure of our military or ni-
telligence secrets and diplomatic relations
because of a judicially perceived failure to
branch menda-
er authority of section 610 of the Act to proper
Estimate request tion
r
fiscal fiscal fiscal add to, or take away, from, the funds appro- that i
ear /ear Tear priated. for assistan e to South Vietnam, is
Lao';.974 975 975 Cambodia, or Lao';.
Laos:
Military assistance 1, 81.0 E 90.9
General economic assist-
twice (IPR) 40.6 55.2 l 6
Public Law 480 .3
Subsection (b) liaiated by Senator Case, co
provides that any fl ids made ava:lable for
'55.0military assistance low South Vietnam, Laos
45.0 or Cambodia may he used for war r
reconstruction, or go -lieral
Total, Laos 125. 2 146. 4
100.0 satisfy a burden of proof. My great respect
ment purpose,s,40e
for the courts does not prevent me from
I New obligational authority and excess defense articles.
, Military assistance service funded.
, Includes supply operations and excess defense articles.
FQ*11r categories of assistance authorized
for Laos are: humanitarian; reconstruction
and development; stabilization; and tech-
nical support. For these categories the Com-
mittee recommends the following:
observing that they do not ordinarily have
FirthEvom OF INFORMATION ACT the background and expertise to gauge the
AMENDMENTS -CONFERENCE RE- ramifications that a release of a document
PORT may have upon our national security. The
Constitution commits this responsibility and
Mr. KENNEDY Mr. President, I sub- authority to the President.
mit a report Of tie committee of con-
ference on H.R. ,_ .471, and ask for its Despite these strong words and valid
Immediate consideration. -concerns, the majority of the conferees
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NGRESSIONAL RECORD ? SIENAlla October 1, .i,.
the Withholding was olitiout (a) reaecn- rasy be Identified must be protected In order
able basis In law- if t he complainant so re- nr tt severely hamper our efforts to combat
quests. If such a find ng n3ade, the court cr me.
Is required to direct ic aarney to suspend I am, however, equally concerned that an
that employee withoi t pay or to take dig-
cipltnarsr or Corrective ie ti in agaloQ hint
Although I hate do:a5tr, ab,ot the anpro-
priatanag_, of CAI/gnaw the direction of ne-
gation Irons the disco) ure of information
to carecr-affesiting disciplinary hearings
about te ,ployee toed ice I rue most can-
reamed with the InhiNtinc? effect tivn the
eigioroug soil effective conduct of official
duties that this potential personal liability
will have upon employees responsible fer the
exercise of these judgments. Neither the best
Interests of Governuaut nor the public
would be served by subjecting an employee
W this hind of personal liability for the
perform:Ince of his offleisi duties.
Any patential ham oi to successful com-
plainants Is more appropriately rectified by
the award of attorney fees to Iram P'urther-
more, placing In 'he judiciary the require-
ment to initially determine the appropriate-
ness of an employee's conduct and to initiate
discipline is both unprecedented and unwise.
Justahente eoncerninE employee discipline
MDR% in the Interests of both fairness and
effective personnel management, be made
Initially by his supervisors and judicial in-
voivement should thee follow In the tradi-
tional form of review.
There are provialons in both bills which
would place the burden of proof upon an
agency to satisfy a court that a document
classified because It concerns military or In-
telligence (including Intelligence sources
and methods) secrets and diplamatic tele-
:awn is, in feet, properly clasailled, following
an in camera =spectacle of the document by
tee court.
If the court Is not convinced that the
agency has adequately carried the burden.
the docunient will be disclosed. !simply can-
net accept a provision that would risk ex-
poeure of our military cir intelligence secrete
and diplomatic relistioits because of a Judi-
dolly perceived failure to satisfy a burden
of proof.
My great respect for the courts does not
prevent me from observing that they do not
ordinarily have the background and exper-
use to gauge the reedit:aeons that a reissue,
of a document may have upon our national
accurity. AMENDMENT OF 'lila NATIONAL
'rho cOstustibution commits this nal- ANK ACT, THE FEDERAL DE-
Witty and authority to The president. I un- POSIT LNSURANCE ACT, AND THE
tiereasuad that the purpose of this provision ATIONAL HOUSING ACT
is to provide a means whereby Improperly /Ir. TOWER Mr. President, I &SE
classified information may detected and
reieeked the This obp,otive unerdmous consent that the Senate re-
can support as long as the means seieeted con eider the vote by which S. 3817, a
do not jetroa.relize our matioaal security in- bill to amend the National Bank Act, the
terms I could accept a provision with an Federal Deposit Insurance Act, the Na-
exPreos PaeouniPtion that the alliesilleation tior al Housing Act, the Small Business
wee proper and with ta camera judicial re- Inletment Act, and for other purposes,
,Iew wily after a review of the evidenee did was passed.
isot bxlicate thet the matter bad been Yea- iadverten tly when the bill was
sseeibly clussified in The Interests or our1.1
isaaloeul seeurity, pas -ed, the we page was left off and the
ullowlng this review, the court could then bill passed without opposition. It has
disclose the (Meal Mein U :t finds the claini- been- agreed to. It does affect interest
limotiun to have been seethes-3a capricious, rate s in three States, Montana, Tenne-
or without a reasonable Oasis. It must also be see and Arkansas, so it is not contro-
clear th.a.t ails procedure does not usurp my verde).
Onastitutional zesporusibilltles as Command- Mr. HUMPHR.EY. Was this matter
S 17972 Approved For R!,10
ref ased to change the Prevision vesting
a power in the courts to declassify docu-
ments classified by a Government
agency.
Mr. President, I realize that there are
some mista.kes in judgment about clas-
sification and that there are some abuses
of the elltem. But there are adrainistra-
tive procedures for dealing with these
mistakes and abuses. U a citizen wants
access to a classified document, he may
request declassification under Executive
Order 11652. If his request for declassifi-
cation is refused, he may appeal to the
head of the agency. If his request is again
refused, he can appeal to tile InteragencY
Classification Review Committee?e.
committee designed to correct erroneous
eliasettleetions and in general, be u
watchdog over the classification system.
This bill, however. Ignores this admin.-
istrative mechanism and vests in the
courts the power to declassify documents
and release them to all the world.
The President, in his letter to the con-
ferees, said that he could not accept a
provision that would risk ekPesure of our
national defense or foreign relations
secrets. I cannot accept such a provision
either.
Mr. President, I ask unanimous con-
sent that the text of President Ford's
August 20 letter be printed in the Racole
at this point.
There being no objection, the letter
wee ordered to be printed the RECOED,
as follows:
Tea werrre
Wafh,ington, Aug. 20, 1374.
Senator EDWARD KENNZDY ,
US: Senate,
WaShington, DO.
DEAR Tan: I appreciate the time you have
given me to study the amendments to the
Freedom' of Information Act (Hla. 12471)
prenatal' before you, so that I could provide
you my peritonea views on this bill.
I share your concerns for Improving the
Freedom of Information Act and agree that
now, after eight years In existence, the time
is ripe to reassess this profound and worth-
while legislation. Certainly, ito other recent
legislation more closely encompasses my ob-
jectives for open Government than the
philosophy underlying the Freedom of Infor-
mation. Act.
Although many of the provisions that are
now before you in Conference will be expen-
sive in their implementation I believe that
most would more effectively assure to the
public an open Executive branch. I have al-
ways felt That arimmistrative burdens are
not by themselves suffIclent obstacles to pre-
vent progress in Government, and I will
Therefore not comment on those aspects of
the tell.
There are, however, more significant costs
to Government that would he exacted by
this bill?not in dollar terms, but relating
more fundame,unilly to the way Government,
and the Executive brunch in particular, has
and must function. In evaluating the costs,
I must take care to avoid seriously impaoring
the Government we all seek to make snore
open. I am concerned with some of the pro-
visions Which are before you as well to tonic
Which I understand you may not have con-
sidered. I want to share my concerns with
you so that We may accommodate our reser-
vations achieving a common ?Weeder.
A provision which appears In the Senate
version of the bill but not in the lioulie ver-
sion requires a court, Whenever its decision
grants withheld documents to a complain-
ant, to identify the employee responsible for
the withholding and to determine whether
le ihriduata right to privacy would not be
appropriately protected by requiring the dis-
t, of Information contained In an ln-
ve aleatory !Ile about him unless the invasion
of Individual privacy is clearly unwarranted.
Al :hough I intend to take action shortly to
aedress more comprehensively my concerns
with encroachments upon Individual privacy,
/ oelleve now is the time to preclude the
Praedom of Information Act from diselos-
ine information harmful to the privacy of
inelviduals. I urge that you strike the words
"clearly unwarranted" from this provision.
,sinally, while I sympathize with an in-
de idual who is effectively precluded from
exercising his right under the Freedom of
Iniormation Act because of the substantial
is of litigation, I hope that the amend-
me ole will make It clear that corporate inter-
ests will not be Subsidized in their attempts
to increase their competitive position by
using this Act. I also believe that the time
limits for agency action are unnecessarily
restrictive in that they fail to recognize sev-
eral 'valid examples of where providing
liwitiffity in several specific instances would
peemit more carefully considered decisions
in special cases without compromising the
primiple of timely implementation of the
Act.
/-gain, I appreciate your cooperation in
&feeding me thin time and I am hopeful
that the negotiations between our respective
stars which have continued in the interim
ell be successful.
I have stated publicly and I reiterate here
That intend to go more than halfway to
acCommodate Congressional concerns. I have
fon wed that commitment In this letter,
ant / have attempted Where I cannot agree
wits certain provisions to explain my reasons
ant to offer a constructive alternative. Your
aceaptance of my suggestions will enable us
to move forward with this progressive effort
to Teske Government still more responsive to
the People.
Sineerely,
GERALD POEM
sesoffalise Uist this provision clea red with the majority?
is seconionly not, before you in Conference, Mr. TOWER This was cleared with
bat the cluierIn provisions g pvisions of Me afford, .
I bellese. grounds to secaerunodate our mu- the distinguished Senator from Montana
toal luterests and concerns, who has a personal interest in the matter.
The Senate but not the BoUSE, version Mr. HUMPHR.EY. I know he has a Very
amends the esemption concerning invent- irnpartant public interest in that matter.
etstory Llesi compiled for law enforcement Mr. TOWER It has been cleared with
purposes. 1 ani concerned With any provision the committee.
which would red
deal withaolme. Thie amendment Could havYe Mr. ROBERT C. BYRD. Would the
trust effect it the 410USEet 03 Information or Sem tor include in his tasanienous-con-
the Information remit are disclosed. These sent request that the bill be returned to
Jources and the leformenon by which they secoad reading, the amendment adopted,
Approved For Release 2005/07/13 : CIA-RDP79-00957A000100030042-1