BAY OF PIGS: THE CURTAIN IS LIFTING

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March 11, 1963
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Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 196d' CONGRESSIONAL RECORD - APPENDIX A1309 lift our economy onto another plane-a plane on which it can move forward more consistently and more rapidly in the future than it has been able to in the past. This is the only kind of economy that would give us more jobs, more sales, more income-and more construction-not only for next year or for the next 2 years, but for many years and perhaps for even decades to come. For richer or poorer, the performance of the construction industry-as of all our in- dustry and all our people-is indissolubly wedded to the performance of our economy. And how well our economy performs in the years ahead depends on how far we today can look beyond our parochial and conflict- ing self-interests to the larger self-interest common to us all that the President's tax prograt,,is well designed tppjlerve? ductive investment would be heightened from welfare and relief costs, leaving more through enlarged demand and through re- duced corporate tax rates .which will Increase ,aftertax profits. And the production of new machines and the building of new fac- -tories, offices, stores, and apartments would further increase consumer incomes in the same way as would the expanded production of consumer goods. No in ustry as large as the construction Industry, as vital and as closely linked to the country's economic well-being, can afford to ignore these very real implications of the President's tax ogram. In the four quarters ending in the last quarter of 1962, our rate of economic growth was only 2.7 percent-compared with our entirg,postwar --average of 3.4 percent. If in 1964 we were merely to return to this postwar average- :and we fully expect to do better than that- Alien by the end of that year we could expect -business construction. expenditures, should they do no more than retain their. present ;percentage of total output, to rise by roughly around $2 to $3 billion over the present $21.2 billion. But should a new and more brisk .,investment atmosphere restore to business construction the proportion of total output ,it held in the late fifties, then we might :expect expenditures to rise by more than twice that amount. .Certainly in a period of accelerated eco- nomic ?growth, which the tax program is designed to foster, industry will not find it sufficient to concentrate its investment in new equipment alone. For increased de ..mind for,present products, and the increased profitability of expanding present capital investment fof existing goods and processes, would create a highly favorable atmosphere -for new products and processes and the new ,plants needed to produce them. Industry is, of course, not the only or even the largest market for the construc- tion industry. But I think it is quite clear ,that in your other markets as well a similar ,process would occur. , In 1962, for example, .State and local governments financed $11.3 billion, or almost one-fifth, of all construc- tion activity. Yet many State and local ,government units have found it increasingly difficult to finance, not only many new and needed projects, but needed expansions of ,present projects. New schools, new urban renewal developments, "greater matching .funds for highways, new roads, and many -other programs suffer because State and "local "governments simply -cannot find the ,revenues necessary to support them. The economic expansion we anticipate as a result of the P_esident's tax program offers e genuine opportunity for a health increase sin State and local-revenues to finance needed .public construction without raising State and local tax rates. This must be of more than passing importance to you in view of the Increasing recistance to rises in State and local tax rates and bond issues for con- struction purposes. Within a few years, the proposed tax pro- gram will lift our gross national product -substantially over what it would otherwise be. Assuming that this additional growth would amount to $50 billion,per annum, .then this would mean an increase of 8 per- cent, or $3.5 billion, in tax revenues col- lected by States and local units at present effective rates. The State of Michigan, for instance, would realize $2.5 billion as its proportionate share of the , gross national product increase. Or should the induced increase in gross national product reach only a range of $30 billion, then this would mean an increase of over 5 percent, or $2 billion, in State and local tax revenue. Michigan's proportionate share would be $1.5 billion. And throughout the country the reduction in Federal taxes, along with greater pros- us cope more readily with any difficulties in perity and lower unemployment, would les- the immediate road ahead. It was designed sen the pressure an local and State budgets for one purpose and one purpose alone- to EXTENSION OF REMARKS OF HON. BRUCE ALGER OF TEXAS IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. ALGER. Mr. Speaker, the follow- ing article from U.S. News & World Re- port of March 18, 1963, "The Bay of Pigs: The Curtain Is Lifting," is but an- other story of the emerging truth of U.S. backdown. The most disconcerting part, of course, is to learn so long after the fact what part the United States played and to learn it almost by happenstance rather than to be forthrightly told by our own national leaders. This further story of the Bay of Pigs disaster adds to our knowledge of what took place although we have not yet been told the full story by the President and those responsible. Under leave to extend my remarks. I include the article in the RECORD. BAY OF PIGS: THE CURTAIN Is LIFTING That clamp of secrecy on what happened at the Bay of Pigs in April 1961, just will not stay put. Information keeps leaking out. Now it shows: Americans were in far deep- er than officials admit. And U.S. air power was ready to go on a moment's notice. More and more details are breaking through the curtain of secrecy to show how deeply Americans were involved in the Bay of Pigs invasion of Cuba. For 2 years, the official story in Wash- ington has been that the attempt to over- throw Fidel Castro in 1961 was an all-Cuban affair. But it is clear now thalkmany Amer- icans took part in it, and that U.S. forces were poised, ready to join in. U.S. Navy jets, their identifying insignia painted out, were lined up on airstrips at K'y West, Fla., within easy striking distance of the Bay of Pigs. They never got the signal to go. A U.S. aircraft carrier, jets ready on her flight deck, was on station near Cuba. Other American jets were in the air almost con- stantly, patrolling just off the invasion beaches. American frogmen scouted the beaches in advance of the attack, American combat vet- erans flew B-26 bombers into the battle zone and piloted planes carrying Cuban para- troopers who were dropped in advance of infantrymen. None of these men were members of the regular U.S. Armed Forces, although several Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 The point, I think, is abundantly clear: In the expanded economy which the Presi- dent's tax program is fully capable of gen- erating, the construction industry cannot help but thrive. But let me make it equally clear that the proposed tax program that can provide this stimulus is a program of tax reform as well as rate reduction. Nor should anyone deceive himself into believing that, without any of the proposed reforms, the tax program would be as effective as I have described it, The President himself has emphasized that of all the reforms the largest and the most important is rate re- duction itself. This, however, should not be interpreted to suggest that the reforms are merely something added to the program as an afterthought with no importance in and of themselves. The reforms, I can assure you, are an essential part of the overall program. Everyone agrees that the tax program must include, as its most important ele- ment, substantial tax reduction and rate reduction. But not everyone realizes that the proposed reforms are vital-not only in terms of equity, hardship relief, and eco- nomic growth-but to the very achievement of larger rate reductions than would be fis- cally responsible without them. With the reforms it is possible to obtain rate cuts of $13.6 billion, together with additional help for the poor and aged which bring this flg- ure well over $14 billion, at an overall cost of only $8.8 billion. The reforms-including the gradual transition to a more current tax payment basis for corporations-will, in other words, offset more than $5 billion- well over a third-of the budgetary impact of the most important part of the program, the rate reductions and hardship relief. The .only way, therefore, to achieve the largest possible rate cuts within the limits of fiscal .responsibility is to combine them with base-broadening tax reforms. I do not mean to suggest that the Con- gress must accept the reforms in exactly the size and shape proposed by President Ken- nedy. As the President himself has noted, this is a matter for the Congress to decide, What I do mean is that every measure which whittles away at those reforms must be com- pensated for in some fashion. If one takes ,part of that $5 billion offset away, one must run the risk of a greater budgetary impact with the consequent fears of inflation that this may well raise in some quarters. Or one has another alternative-one can whittle away at the rates themselves, thus blunting the overall thrust of the program by weak- ening its most essential part. My point is, in short, that the reforms are an essential and integrated part of the entire program. Any effort to remove them- in part or entirely-is bound to have a price of its own. Those who. oppose the reforms, whether they do so on grounds of principle or because those reforms would interfere with the benefits they would otherwise re- ceive from the rate reductions, should re- flect upon the alternatives before they com- mit themselves irreparably. They would look beyond what the program means in terms of dollars and cents tax cuts. They should look beyond what the program would put in their pocketbook this year, next year, or 1965. If there is one thought I would like to leave with you today it is that you and, indeed, anyone seriously concerned with the eco- nomic welfare of this Nation should look very carefully at the tax program in the light of that welfare. This program was not devised as a quick shot in the arm for a lagging economy. It was not devised as mere adrenalin to help Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 - A1310 CONGRESSIONAL RECORD - APPENDIX March 11 were Air National Guardsmen. All were vol- unteers. But after word got out that four American pilots died in combat at the Bay of Pigs, President Kennedy said this at his news conference on March B: "Let me just say about these four men: Th"y were serving their country" HOW J. brim s These details can now be told. In the days just before the 1961 invasion. American frogmen swam to the landing beaches and carefully charted them for the infantry assault that was to follow. These men Were civilians under contract to the in- vaders. All had been underwater-demolition experts in the V.8. Armed Forces at one time. On D-day-April 17-one American frog- man was with the Cuban underwater teams that went ashore ahead of the invasion. This American was in a rubber boat that was caught, by chance, in the headlights of one of Castro's jeeps. He was able to escape and get back to the mother ship, standing offshore. At least one American is known to have piloted a lanehold of Cuban paratroops from a staging base in Nicaragua to the point where they were dropped back of the beaches. 8n route to Cuba, they flew low over an American aircraft carrier so the Cubans could see the jets positioned on her deck. On the second day-fipril 18-three Amer- ican airmen flew over the invasion" beach. Two, a pilot and copilot, were in a C-54 transport plane that dropped ammunition to the Invaders. The third was pilot of a 8-26 bomber, trying to support the invading troops with attacks on Castro's forces. On at least one occasion, Castro jets bear- ing down on an Invasion transport veered off when U.S. Navy fighters came on the scene, not far offshore. It was on the last day-April 19 -that four Americans were killed in two B-28 bombers over Cuba. Three other Americans did not reach the target area. Long before the actual attack, American volunteers were working with the Cubans at their , secret training base in Guatemala. Gradually, the fun scope of their activities In cooling to light. V.8. B-25 PILOTS Hffi.D On March 7, 1983, the Chicago Sun-Times reported that Air National Guard pilots from Alabama, Arkansas and Virginia, "were offered $2,500 a month by the Central In- telligence Agency to take part in the Cuban Bay of Pigs invasion in 1961." The news- paper said pilots from the three States were "sought out because the Guard units of those States were the lost to fly the B-28 bombers used In the Invasion. The Word War U bomber was retired from the State units in 1958." The Chicago American Identified Brig. Gen. George Reid Roster of the Alabama Air Na- tional Guard as tactical commander of the anti-Castro force. General boater refused to confirm or deny the report, but indicated he would like to tell his story to a con- gressional committee. He said: "I wish they would call me and let me put my feet on a desk and talk for about 8 hours." It had been reported earlier by U.S. News & World Report that at least 18 American airmen went to Guatemala to train Cuban pilots of the B-26 bomber fleet that the in- vaders had assembled. These men were re- cruited for combat duty. Later their orders were changed, limiting them to the role of instructors. But when things started to go wrong at the Bay of Pigs, those who wanted to were permitted to go on combat missions. At least 10, maybe more, did so. There still Is no public report by the Ad- ministration on how many Americans were involved in the invasion, or what they did. But gradually, after 2 years of silence, some of those. Americans are beginning to tell their experiences. And as their accounts are pieced together, the curtain of secrecy is lifting from the Bay of Pigs. Secretary Dillon Emphasizes Small Busi- ness Provisions of President's Tax Bill HON. JOE L. EVINS 07 TENNSSSIE IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. EVINS. Mr. Speaker, as chairman of the House Small Business Committee, I am deeply interested in the effect of the President's tax proposals on the small business segment of our economy. Tax reductions and revisions which are of benefit to small business are long over- due. The Treasury Department has submit- ted to me as chairman of the House Small Business Committee a memo- randum which summarizes the prin- ciple points in the President's tax pro- gram, which affect small business. It appears that the benefits to small busi- ness under the proposed program will be extensive. Mr. Speaker, I ask unanimous consent that Secretary Dillon's letter and the Treasury Department's memorandum be reprinted in the Appendix of the RECORD. The letter and memorandum follow: THE SECRETARY OP THE TREASURY, Washington, March 11, 1963. Hon. Jos L. EvINS, Chairman, House Select Committee on Small Business, House of Representatives, Washington, D.C. DEAR MR. CHAIRMAN: I am enclosing pursu- ant to your request a memorandum which summarizes the principal points in the Pres- ident's tax program which affect small busi- ness. Since small business plays a part in virtually every segment of the economy, all the proposals in the President's program may have some direct or indirect effect, but I believe the memorandum covers the major provisions and provides a good starting point for those Interested in the impact of the program on small business. I understand that John E. Horne, Adminis- trator, Small Business Administration, will shortly submit a more detailed analysis of the proposal as it affects small business to the Committee on Ways and Means. This statement, when it is released. may also be of use to you and the committee. Sincerely yours, DOUGLAS DILLON. The 41A million small business enterprises prises that have equal Income but are or- in the United States are very important to ganized as a single corporate entity. Chains the economy. They account for about 95 of multicorporate units are in effect paying percent of all business organizations, em- small business tax rates, yet benefiting from ploy about 30 million people, and are re- economies inherent In large businesses. The sponsible for about 40 percent of total busi- new law would allow only one surtax exemp- ness volume. tion to multicorporate enterprises, and President Kennedy's proposed tax pro- thus improve the competitive position of gram would benefit small business. directly small enterprises. in a number of ways. The most important OTHER TAX PROPOSALS THAT INFLUENCE SMALL one Is lower taxes. Under the program small BUSINESS INCLUDE business enterprises, whether they are cor- Income averaging: If a taxpayer's indi- porations, partnerships or sole proprietor- vidual income in a given year should rise ships, will enjoy substantial rate reduction. materially compared with previous years, he Corporate Income tax rates for companies may find himself In a higher tax bracket. with a net Income of $26,000 or less will be Under the administration's proposal, a tax- reduced this year from 30 to 22 percent. In payer in this situation could average his 1963, corporations with taxable incomes of current income with that of the past 4 years $25,000 or less will get reductions of about and if the current income amounts to more 27 percent. compared with reductions of than 133 percent of the average, he would be about 10 percent at $50,000 and 4 percent at allowed in effect to treat the excess over 133 $100,000. percent as though it were earned over a The overall reduction in corporation tax 5-year period. Thus he would be taxed at rates will be proportionately larger for small a considerably reduced. rate. Incomes of companies. Reductions In the surtax paid small unincorporated businesses, farmers, by large corporations will go into effect In ranchers, writers, and artists vary widely 1964 and 1965. But even when all three steps of the corporate tax cut are in effect, the tax reduction for small companies would be greatest. The reduction for com- panies with profits of $25,000 or less would amount to about 27 percent; for those earn- ing $100,000 to $1 million, it would amount to about 11 percent; and for those earning more than $1 million annually, it would be about 10 percent. For the 467,600 corpora- tions with incomes of $25,000 or less, the annual tax saving would total about $233 million. Small business will also benefit directly from the individual income tax rate cuts, which will average considerably more than 20 percent. The reductions will be made over a 3-year period and will scale down the present range of 20 to 91 percent to a range of 14 to 65 percent. These rate cuts will help particularly the millions of individual proprietors and partners whose main, and sometimes only, source of income is from a business. The tax program will also benefit small business indirectly in a number of ways. The reductions in individual tax rates will re- lease a large volume of additional consumer purchasing power. More than 90 percent of the tax reduction will quickly find its way into consumer buying, boosting retail sales and, then, in turn, wholesalers' and manu- facturers' sales. The resulting improvement in the business climate and confidence should be an important factor In sustaining an ex- panding economy. The corporate and individual tax cuts would result in higher after-tax profits and retained earnings. The tax program will thus help remove one of the most persistent deterrents to the growth of small business- a lack of adequate capital. Because of their inability to obtain conventional long-term financing for expansion and modernization, small businesses are forced to rely on clostly short-term credit, which they must continu- ally refinance, to supplement their limited internally generated funds. Tax reduction would increase the volume of earnings which can be plowed back Into small businesses to sustain their healthy growth. Tax cuts would also attract new investment to small businesses, since the profitability of suchen- terprises would increase. At the same time, increased profit prospects would improve their borrowing power. Inequities which now discriminate against small business will be removed by the tax program. For example, a small business may be competing with a wholly-owned subsidiary of a large corporation; the subsidiary is a legal entity, hence able to take advantage of the benefits of the $25,000 surtax exemption. A company with a number of such wholly- owned subsidiaries can reduce substantially its effective tax rate compared with enter- Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 _ - CONGRESSIONAL RECORD -APPENDIX A1303 years of service, sometimes as many as 40 years or more. Why should accumulations over so great a number of years be taxed as if received over a 5-year period, or any other arbitrary period of time? If the 5- year period is adopted, it will discourage the continuance of existing profit-sharing plans and the establishment of new ones. Invest- ment of profit-sharing funds in stock of the employer company will be discouraged with an adverse effect on the incentive impact to employees. The council is seriously con- cerned about the effect the Treasury De- partment proposals will have on profit sharing, particularly profit sharing in small companies. The administration proposal would result in an increase in the taxes which most em- ployees covered by deferred profit-sharing plans would pay on lump-sum distributions. An inevitable byproduct of its adoption would be a trend among employees to take their distributions over longer periods of time. This would conflict with what em- ployees themselves prefer, A recent study by the council shows that where alternative forms of distributions were available 70 per- cent elected to take their benefits in a lump sum rather than in installments. The study also showed that 97 percent of the plans reporting provide for lump-sum dis- tributions. It is also significant to note that in most cases profit-sharing plans are supplemental to fixed pension payments, such as social security, or those provided under private pension plans. The purpose of profit-sharing plans in these instances is to provide the employee with a capital sum, in addition to the guaranteed retirement In- come which he will receive over his retire- ment years, which he can use for various personal needs such as entering a business of his own, educating his children, buying a home, meeting extraordinary medical ex- penses, et cetera. A further byproduct of distributions made over longer periods of time would be that the governmental revenues would be decreased over what they would be when lump-sum distributions are made. In fact many distributions which are now taxed would not be taxed at all if spread over a long enough period of years. It has been said that the present method of taxation of lump-sum distributions from deferred profit-sharing plans Is a device which principally benefits highly compen- sated employees. A recent survey by the council indicates that out of over 4,000 lump- sum distributions to retired employees of 223 companies during the period covered, 92 percent were made to persons whose annual compensation range was $10,000 or less. TREASURY PROPOSAL IS COMPLEX The Treasury Department proposal will inject additional complexity into the tax law. Each employee receiving a lump-sum distri- button must go through the following sepa- rate computations: First, he must compute the tax on one- fifth of his lump-sum distribution plus his income other than salary received from his employer; Second, he must compute the tax on his income other than salary income received from his employer; Third, he must subtract the tax deter- mined under the second step from the tax determined under the first step; Fourth, he must multiply the resulting figure by five to obtain his partial tax at- tributable to his lump-sum distribution; Fifth, he must then compute his income tax on all of his income including his salary income from his employer but excluding his lump-sum distribution; and Sixth, he must determine his final tax by adding the partial tax on the lump sum de- termined under the fourth step to the tax determined under the fifth step. The Treasury proposes to substitute this complex system in place of the present com- paratively simple, well-understood capital gains method. In addition to the 6-year averaging device, the Treasury Department proposes to contin- ue to tax as capital gains distributions at- tributable to accumulations now existing un- der profit-sharing plans. The 5-year averag- ing device for part of the distribution and capital gains treatment for the remainder of the distribution inject complexities into the tax law which will make it (a) difficult for the Internal Revenue Service to administer; (b) difficult for trustees to administer; and (c) most important of all, difficult for tax- paying employees to understand. Secretary Dillon indicated that this change in the Income tzx law is not designed to pro- duce additional revenues when he stated in the technical explanation that: "For the average employee, the tax on his lump-sum distribution will be roughly the same as he would pay under the present capital gains rates" Moreover, the Treasury Department estimates that the lump-sum amendment to- gether with ot'ier capital gains definitional changes will bring in only $8 million addi- tional revenue. The President has stated that tax reform should be directed to en- couraging growth and employment, and that it would be unwise "to launch into a full- scale battle on general reform for academic reasons." It is respectfully submitted that in an age of $100 billion Federal budgets, with a Federal debt in excess of $300 billion, a proposal which involves less than $8 million of revenue and which is so complex, must be characterized as "academic.' UNREALIZED APPRECIATION ON EMPLOYER STOCK Now, a word about lump-sum distribu- tions which include stock of the employer corporation. Frequently such stock ap- preciates in value between the time when it was acquired by the profit-sharing trust and the time when it is distributed to the em- ployee. Under present law the employee does not have to pay tax on this unrealized ap- preciation of the employer company stock until the employee sells or otherwise dis- poses of this stock. If the employee had invested his money directly In such securi- ties, the gain would not be taxed to him un- til he actually disposed of the securities, and at that time the appreciation would be taxed as capital gain. Under the Treasury Depart- ment's proposal, the appreciation on stock purchased with both employer and employee contributions would be taxed as ordinary in- come. Moreover, the gain would be taxed before the time that the employee actually receives his gain by selling the stock. The result Is that employees will not contribute to profit-sharing plans which distribute se- curities of the employer, and the incentive element of such plans will be killed. In ad- dition, the proposal will curb the desirable trend toward wider diffusion of Ownership of American industry, which has been en- couraged by plans which distribute securi- ties of the employer. For these reasons the council strongly opposes any change in the present law on the taxation of lump-sum distributions which include stock of the em- ployer corporation. THE DEATH BENEFIT EXCLUSION UNDER SECTION 101(b) The Secretary of the Treasury has also recommended that the present $5,000 exclu- sion available to the beneficiary of a de- ceased profit-sharing participant, under sec- tion 101(b) of the Code, be eliminated to the extent that the deceased employee was covered by group life insurance carried by his employer. Most certainly this proposal will be detrimental to the widows and or- phaned children of deceased employees who were covered under profit-sharing plans. The council is opposed to any such pro- posal which will run contrary to the welfare of these beneficiaries. The present exclu- sion under the existing law is limited to $5,000 and certainly cannot be considered a provision to benefit highly paid employees. The council strongly urges the committee to reject this proposal because it will further diminish the value of profit sharing as an economic incentive which is so important today. CONCLUSION The Council of Profit Sharing Industries appreciates very much the opportunity of presenting our views to you this morning. Profit sharing is an effective means of de- veloping cooperation and efficiency; it helps create harmonious labor-management re- lations; it helps create a sense of partner- ship between employer and employee; and it benefits employers, employees, stockhold- ers and the Government. The number of qualified profit-sharing plans has increased since 1930 from a few plans to more than 33,000 plans today. This growth in profit- sharing plans has been materially aided by the wise tax policies adopted by Congress. We fear that the complex and inequitable proposals of the Treasury Department will have an adverse effect on the entire profit- sharing movement. We therefore urge that this committee recommend against any change in the present rules for taxing lump- sum distributions from deferred profit- sharing plans, Ernest S. Griffith Says American Om- budsman Could Serve a Most Useful Function EXTENSION OF REMARKS OF HON. HENRY S. REUSS OF WISCONSIN IN THE HOUSE OF REPRESENTATIVES Monday, March 4, 1963 Mr. REUSS. Mr. Speaker, as former Chief of the Legislative Reference Serv- ice, Dr. Ernest S. Griffith has a familiar- ity with the problems and operations of Congress that is well known to Members of this House. Dr. Griffith, now dean of the School of International Service at the American University, has made a valuable contribution to the considera- tion of the possible adaptation of the Scandinavian office of Ombudsman to the American political system. I there- fore call particular attention to his views on the subject. I would refer also to my remarks on the Ombudsman in the CONGRESSIONAL RECORD of February 11, 1963, pages 2078 through 2084. Dr. Griffith's views follow: DEAR CONGRESSMAN REuSS: Just a note by way of response to your letter of February 27, concerning the office of Ombudsman. If such an officer were at the disposal of Congress, and confined his activities to serv- ing such congressmen who cared to use him, I believe that he might fulfill a most useful function. While I was in the Legislative Reference Service I was impressed by the way in which we of the Legislative Reference were able to assist in providing information requested by constituents. However, even so, often we were aware that there were functions in connection with specific in- quiries concerning decisions in the executive branch which it was unsuitable for us to handle. Someone with more power and with the specific function of watchdog would be Approved For Release 2004/06/23 :.CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 CQNGRESSIONAL RECORD - APPENDIX reaulred. As .matters Stand.. this function, In ,ply instapCes, is performed by the individ- ual ,3 embers, but with very considerable un- eVpfiiikee=the variables being the Member's imae,' importunity, his specific function within the Congress Itself, etc. As a specialist dealing with this type of inquiry, In all probability It would be wel- comed by the agencies themselves, and they would learn to respect his sincerity and un- derstanding, as well as the power of inquiry which would lay back of it. I believe to extend his. role beyond this would create unnecessary complications for the executive agencies which have problems enough, in any event. Sincerely, 88NffiT S. GaIFFITA, 'Dean, School of International Service. ,Where Reds May Take Over Next in HON. BRUCE ALGER o? TXZAS IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. ALGER. Mr. Speaker, so long as the Monroe Doctrine is not reimposed in this hemisphere; so long as commu- Ilisin, Castro and Khrushchev control Cuba; so long Is the danger of subver- sion to the other Latin and South Amer- ican countries of this hemisphere. The danger is no less real to the United States but is not so immediate as it is to the others Qf.Latin and South America. Where next will the Communists strike and through subversion as well as overt terror and violence cause Government to fall, to be replaced by a Communist regime? The attached article from the March 18. 1963, issue of U.B. News & World Re- port, entitled "Where Reds May Take Over Next in Latin America" indicates that Guatemala may be next. Others have pre+ilicted Haiti. No one knows, of Course, for sure which will be next. One thing, however, we know for sure that until and unless the Monroe Doctrine is reimposed someone will be next, to be followed by others. When will our national leaders realize , , only as a military base but as a center for fomentation, unrest and revolution, in other countries of this hemisphere. It us hope they wake up in time. WHO REDS MAY TAKE Ovaa NEXT IH LATIN RMEMCA Worry over the Communists In Cuba Is likely to preoccupy the Central American Presidents and U.S. President Kennedy at their March meeting in Costa Rica. But a king-sized headache for the United States Is building up here in the largest and { most populous Country It is th g try of Central America. The way things are going, Guatemala could become "the next Cuba," giving the Communists a base on the mainland of the Americas. Or, to prevent that happening, there may be a military takeover. A PRESIDENTIAL CAMPATON A political campaign in now underway to pick a successor to President Miguel Ydigoras Fuentes In a national election next Novem- ber. The front runner by far. at this stage, is a former President-Juan Joad Ardvalo- who once opened the door to communism in Guatemala and went Into exile when the Communists were later overthrown. With elections little more than half a year away, the Communists and their followers are recognized as the best organized political force in Guatemala. The active anti-Com- munists are disorganized and divided. And the rest of the voting population seems pretty much disinterested in what happens. Ardvalo, whether he disavows it or not, has the quiet but determined support of Communists and fellow travelers. The Guatemalan Communist Party, which has had experience in running this country once, is rated as seasoned, tough and thoroughly disciplined. WHERE REDS, ARE STRONG Hard-core membership in the party is esti- mated at 1,500. But party influence actually is far greater than that number indicates, since the Communists are particularly strong among students, young professional people, teachers, and In several key unions. There is also evidence that the social secu- rity system and the lower courts have been heavily infiltrated by Reds. A lull In Communist activities has been noticeable lately. The common belief is that the Reds are staying in the background, planning to make their move only after the elections. With non-Communist factions divided or apathetic, political experts say the only ele- ment that remains capable of stopping the Ardvalo bandwagon is the nation's armed forces. Defense Minister Enrique Peralta re- cently announced that Ardvalo will not be permitted to take office again. The clear implication is that the military will inter- vene and take over the country, if necessary. IF ARMY SHOULD ACT But Guatemalans are beginning to doubt that the army, whose participation would be vital, has the capacity to move. After an air force uprising was put down last Novem- ber, the armed forces united in a pledge of military respect for constitutional govern- ment. Now a move to block the election would he interpreted by some officers as a violation of constitutionality. The result might bring a split, with the danger of a military civil war. It Is former President Ardvalo's history and background that give the major concern to those who fear a Communist takeover here. Most Guatemalans do not consider Ardvalo a Communist. He is regarded as an ambi- tious opportunist, with an Irrational hatred of the United States. It was Ardvalo, at the close of his earlier term, who arranged for Jacobo Arbenz to get the Presidency In 1951- a move that turned the country over to rule by Communists. ILZ-FOR HEALTH When the pro-Communist Arbenz govern- ment was overthrown by a revolt in 1954, Ardvalo was out of the country, serving abroad as an ambassador. He decided it would be healthier to go into exile. He opened his present campaign while living in refuge In Mexico. In recent months, the former President has been hard at work trying to spread the Idea that his anti-Americanism is past his- tory and that his present candidacy has the backing of the U.B. Government. His sup- porters have made that claim so often and so Insistently, in fact, that the U.S. Embassy has been kept busy denying it. Despite his current protestations of U.B. March 11 friendship, many Guatemalans feel that Ardvalo, once elected, would have no choice but to open the way for the Communists once again. They reason it this way: Busi- nessmen, the church, and a good part of the armed forces, will never support Ardvalo. To govern, therefore, he will have to court the continued support of the Communists who are now disguising themselves as "reform- ers." Also, Ardvalo'a opponents point out, Fidel Castro took power In Cuba disclaiming Com- munist sympathies-then promptly turned the place over to them. Complicating the political outlook here is the experience, so far, with the Alliance for Progress program. Guatemalan officials, from President Ydigoras Fuentes on down, consider that the Alliance for Progress is too slow and too de- manding in Its emphasis on reforms to be of much help to the local economy. They have adopted a land-reform law and the first income tax in the country's history In the hope of starting Alliance money Sowing. But they insist that both changes are going to hurt Guatemala's economy in the long run. WHY LOANS LAG Since March of 1961-the date the Alliance for Progress Is considered to have gone into effect-Guatemala has received less than $10 million in new loans. This, combined with $26 million which was still in the pipeline of past aid programs when the Alliance for Progress started, gives the country a total of $38 million in loans that have not yet been drawn down. According to U.S. officials, the reason Guatemala doesn't get loans faster is that It doesn't take the action necessary to set the loans in motion. They tell stories of loans that were not drawn against for months because officials didn't get around to openings bids. In other Instances, the Government has failed to prepare projects that would justify loans for technical assist- ance. Alliance loans for water and sewerage proj- ects and for low-income housing remained unused, say U.B. officials, because Guatemala was supposed to put up one-third of the amount, and claimed she didn't have the money to do so. A WESTERN SISEUP One Western official stationed here says that the whole trouble is that the Govern- ment "doesn't have the slightest idea of what the Alliance is all about." His explana- tion : "What is wrong is that you are dealing with a society here that has a concept of mankind opposed to that of Western civiliza- tion. In Guatemala, the educated, the peo- ple of means and their children, are inter- ested only in amassing as much as they can for themselves and their families. They have no sense of obligation to the rest of society." Says another official: "You would think that after Cuba, in self-interest, these peo- ple would change to relieve some of the eco- nomic pressure on the rest of population. However, they are as uncompromising as ever." There are plenty of problems here, regard- less of who is to blame. Operating expenses of the Government go up and up. 'Until last June, the United States donated $10 million a year to support Guatemala's budget. This has since been, cut off, and the Government-with a budget of $105 million-now has running debts with Its supplers of between $15 and $18 million. Next to Venezuela, Guatemala has the highest cost of living in Latin America. Critics say this is because the Government imposed high protective tariffs to raise in- come and stimulate local production.. As, a Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 the terrible dallger that communism poses in this hemisphere in Cuba not 1963 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 CONGRESSIONAL RECORD - APPENDIX trayal` of the Polish nation at Yalta, the Katyn massacre, the Budapest slaughter and the ever increasing menace at our own door- step. In this grave hour, we must be more than mindful that godless Communism, which is boldy encircling us, operates by means of deceit and tyranny, by treachery and murder. As a citizen of this great country of ours, and as your constituent I would be remiss in my duty if I would not bring my view- points, which I am sure are shared with many constituents of yours, to your good attention, With best wishes, I am Sincerely yours, . K. STEFAN POMIERSIeI, result, everything from food to manufac- tured-goods is expensive. An imported automobile tire that cost $25 before present import taxes were imposed now sells for $50. A man's shirt that used to sell for $3.25 now costs $7. A chicken costs $3.50, in a country where the per capita income Is estimated at about $175 a year. The escape valve for Guatemalans is the fact that most of them live close to the land, out of the money econorhy. Conditions, nevertheless, are bad. There is widespread unemployment, and an even larger problem of underemployment. After student riots last year, a flight of capital developed. There is a lack of new investment. U.S. private investment is esti- mated at $125 million. But neither foreign- ers nor Guatemalan investors seem willing to put new money into the economy. This has been accentuated by uncertainty over the election. HEADING FOR TROUBLE? Outwardly, there is an impression of rela- tive calm in Guatamala City. Yet, when you listen more closely, you hear worried people everywhere saying that their country needs peace, but it is heading toward chaos and conflict. For the rest of Central America, and for the United States, the worry is that out of conflict and chaos will emerge one of two things: another military dictatorship, or another Cuba. Katyn Forest Massacre EXTENSION OF REMARKS HON. STEVEN B. DEROUNIAN OF NEW YoRIC IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. DEROUNIAN. Mr. _Speaker, Mr. Stefan Pomiersli, a constituent of mine who truly understands the nature of the Communist beast has written me of the Katyn Forest massacre of thousands of Polish officers, by the Russian Commu- nists, 23 years ago, and I feel his letter should be placed in the CONGRESSIONAL RECORD for all to read: Hon. STEVEN B. DEROUNIAN, House of Representatives, Washington, D.C. DEAR STEVE: As we are approaching an- other Spring, in many communities wher- ever Americans of Polish extraction, will be gathering, they will pause in a few moments of silence to pray for the souls of some ten thousand Polish officers massacred in the Katyn Forest near Smolensk, Russia in the gruesome days of the Spring of 1940. Material gathered by the Polish Govern- ment-in-exile (at present in London) and by a congressional committee investigating the facts, evidence and circumstances of the Katyn Forest Massacre, without doubt es- tablish the identity of the perpetrators of the cruel mass murder as the evil and godless forces of the Red Kremlin. It is said that this material is sufficiently convincing to present all the facts to the General Assembly of the United Nations re- questing an indictment of the guilty parties. On this 23d anniversary of the Katyn Mas- sacre, the voices of the souls of these mur- dered Polish officers go out to this great country of ours, which has always stood in the defense of justice and honor, in the hope that neither fear nor timidity will induce the leaders of the free world to be silent, when fortitude and firmness and courage in a just cause be tested, be it the rape and be- Florida Port Calls for Closing All Trade With Countries Aiding Cuba EXTENSION OF REMARKS HON. PAUL G. ROGERS OF FLORIDA IN THE HOUSE OF REPRESENTATIVES Monday, February 11, 1963 Mr. ROGERS of Florida. Mr. Speaker, support continues to grow for strong action by the United States against those countries which permit their ships to supply Communist Cuba. Rer ently the governing body of Port Everglades, one of the largest and busiest ports in the Southeast, went on record supporting the closing of all U.S. ports to the ships engaged in Cuban trade. I ask that this resolution be printed at this point in the RECORD, and want to personally thank the Broward County Port Authority for their support, which is an indication of the personal sacri- fices that our public officials and citizens are willing to make to eliminate this Cuban threat to the security of all the Americas. The resolution follows: RESOLUTION 12-1963 Resolution of the Port Commission of the Broward County Port Authority expressing its endorsement and urging the adoption of a_policy by the United States of America closing all American ports to vessels en- gaged in commerce or trade with the Re- public of Cuba. Whereas in view of the current Cuban crisis there is a growing sentiment among the citizens and residents of the United States of America that all American ports should be closed to commerce and trade deal- ing with the Republic of Cuba; and Whereas this sentiment has been exempli- fied as representative of the citizens and residents of the State of Florida by expres- sions of the Honorable PAUL G. ROGERS, Rep- resentative from the Sixth Congressional District of the State of Florida, on the floor of the House of Representatives of the U.S. Congress; and Whereas the Port Commission of the Broward County Port Authority is charged with the responsibility of the operation of Port Everglades in Broward County, Fla., which said port is a deepwater harbor which accommodates vessels which have dealt in commerce and trade with the Republic of Cuba, and is therefore cognizant of and vitally interested in the significance of such continued commerce and trade: Now, there- fore, be it Resolved by the Port Commission of the I 1305 Broward County Port Authority, That it goes on record as being in favor of the United States of America adopting a policy which will close all American ports to vessels di- rectly or indirectly engaged in commerce with the Republic of Cuba; be It further Resolved, That copies of this resolution be forthwith forwarded to the Honorable John F. Kennedy, President of the United States of America, the Honorable Spessard L. Hol- land and the Honorable George A Smathers, Senators, and the Honorable Paul G. Rogers, Representative, and to such other persons in positions of public confidence and trust as shall be appropriate. Adopted at Port Everglades, Fla., this 19th day of February, A.D. 1963. KERMIT E. WHITSON, Chairman, Broward County Port Authority. Attest: OLIVIA M. WOODS, Deputy Port Secretary. Communist Racism EXTENSION OF REMARKS of HON. CORNELIUS E. GALLAGHER OF NEW JERSEY IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. GALLAGHER. Mr. Speaker, much has been written about what pur- ports to be a new look in the Soviet Union. Chairman Khrushchev has with great ceremony turned his back on what he describes as the errors of the Stalinist era and has broadcast to the world much about the new freedoms he alleges in- dividuals now enjoy in the U.S.S.R. However, while the Soviets have un- deniably made some progress in mate- rial things since the collapse of czardom in 1918, there is serious question as to whether comparable strides have been made in human freedoms. Asa recent editorial in the Jersey Journal points out: Having done so well in material things, the next great stride forward must be in the matter of human freedom. Today's Russians have rejected some of the unnatural re- strictions on normal human thinking which were attempted in the early days of their revolution. To complete freeing the indi- vidual, they must now cease their relentless campaign against religion. This is a challenge which the Soviets cannot answer with another propaganda bombast; the reply must be found in true freedom of conscience and enjoy- ment of human rights within the bor- ders of the U.S.S.R. Present-day So- viet anti-Semitism is a stern warning to the believer of all faiths as to what they might expect from Communist dictator- ship. Soviet actions permit no other interpretations. The world-and es- pecially the new nations of Asia and Africa-will pass stern judgment on So- viet racism as the sordid facts are brought to light. The December 7 editorial of the Jersey Journal follows: CABLE TO KHRUSHCHEV Life within the Soviet Union and rela- tionships between that country and its neighbors in the world would be far better if Nikita Khrushchev would take the advice Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 CIA-RDP65B00383R000200220015-2 CONGRESSIONAL RECORD - APPENDIX A! 6?^. Administration, U.S..? Department of Com- merce, reported today. However, at least an .additional billion board feet is expected to be produced through salvage of windthrown timber resulting from the severe west coast storm In October.1962. This excess produc- tion would be added to Inventory and would Production (million board feet)___________________ Value of shipments (thousand dollars)9__________- Q.uantity of imports (million board feet)____ Value of imports (thousand dollars)______________ Quantity of exports (million board feet)---------- alue of exports (thousand dollars)______________ tend to depress softwood lumber prices. Lumber impor's will probably total about 5.3 billion board feet in 1963, a rise of 8.5 per- cent. Statistical summary Statistics for 1961 and 1962 and estimates for 19.63 are as follows: 31, 843 82,886 2 34, 330 +3.3 +4.4 2,691,000 12,700, 000 2,800,000 +4.2 +3.7 4, 248 4,884 6,300 +15.0 +8.5 312,616 368,902 400,000 +18.0 +8.4 755 702 830 +4.9 +4.8 87,163 91,5% 96,000 +5.1 +4.8 I Estimated. 8 An additional billion board feet may result from salvage of windthrown. timber. 8 Sawmill and planing mill products (not related to production figures). Source: Bureau of the Census, OUTLOOK FOR 1963 . The lumber industry (standard industrial classification code 2421) comprises approxi- rnately 32,000 establishments employing about 240,000 people. Lumber consumption is expected to total 88.8 billion board feet in 1963, about 5 per- cent more than in 1962. Prospects for the principal lumber-consuming industries are generally favorable. In the construction in- dustry, total construction lumber require- ments in 1963 are expected to equal or exceed those in. 1962. .Expenditures for private and public con- struction are, expected to be 3.3 percent greater than in 1962. Construction of new housing, largest single user of new lumber, is expected to Increase slightly in 1963. Con- struction of multifamily housing (two or more units), which has increased sharply in recent years, is expected to level off at slightly more than the 32 percent of total housing construction reached In 1962. Total consumption of lumber in residential con- struction has been held down in recent years because these multifamily units require less lumber than single-family structures. Ex- penditures for residential alterations and repairs and for nonresidential construction (industrial, commercial, religious, educa- tional, etc.) are also expected to rise slightly in 1963. The pallet industry, one of the fastest growing lumber-consuming industries, used an estimated 1.7 billion board feet of lumber in 1962, which was 5 percent of total do- mestic production. Pallet production totaled 68 million units in 1962, compared with 64 million In 1961. Production has increased steadily in the last 4 years-the 1962 in- crease amounting to the largest on record. Production in 1963 is expected to gain modestly. Shipments of nailed and wirebound boxes and crates will probably increase about 5 :percent in 1963. Shipments of nailed wood- en boxes and crates were about 7 percent thigher in 1962 than in 1961, and those of wirebound boxes and crates were 3 to 4 per- cent higher. Total shipments of household furniture may be about 4 percent greater in 1963 than ;he record high attained in 1962. Value of shipments of unupholstered wood furniture -case goods) totaled $1.6 billion in 1962, compared with $1.4 billion in 1961. Value of hipments of upholstered furniture was $900 pillion in 1962, a record annual increase over he $802 million reported for 1961. Value f shipments of wood office furniture may in- rease about 2 percent over the total 111 862 of.$89 million. About 33 percent more railroad freight cars are expected to be constructed in 1963. The railroads also expect to upgrade a larger number of older cars, thus tending to in- crease the consumption of lumber. In 1962, 36,555 new freight cars of all kinds were built, 12.5 percent more than the 31,720 cars built in 1961. The construction of cars using wood, accounting for about one-third of the total, increased at approximately the same rate. . Procurement of railroad ties is expected to increase 5 percent over the quan- tity purchased in 1962, when the increase was 20 to 25 percent over purchases in 1961. In addition to demand from wood-using Industries, lumber production in 1963 will also be strongly affected by the level of im- ports (especially. of softwood lumber) and the salvage of west coast timber blown down by the severe storm in October 1062. Total imports have risen from 1.3 billion board feet in 1947 (3.7 percent of apparent domestic consumption) to 4.9 billion board feet in 1962 (13.2 percent of consumption). Imports of softwood, accounting for 94 per- cent of total imports in 1962, have Increased rapidly in recent years, as follows: 1947---------- ----------- 1960--------------------- 1961----------------------- 1962 --- ------------------ 1963 (estimate)------------ 1,096 3,636 4,004 4,573 5.100 Percent of total soft- wood con- sumption 4.1 12.5 13.7 15.0 15.5 Source: Bureau of the Census; estimate for 1963, For. est Products Division, BDSA, On the basis of recent trends, total lumber imports in 1963 should be about 5.3 billion board feet. A severe storm on the west coast in Octo- ber 1962 blew down 11.2 billion board feet of timber. To prevent an epidemic infestation of bark beetles and consequent additional loss of green timber, this timber must be re- moved rapidly. The salvaged timber is ex- pected to boost production of logs (including sawlogs, plupwood logs, veneer logs, etc.) from 1 to 2 billion board feet above the level which might otherwise be expected. Growing demand for lumber in industrial- ized countries and export promotion pro- grams of both Government and industry may increase exports to 830 million board feet in 1963, a 5-percent gain over 1962. At the estimated levels of consumption, imports, and exports, lumber production of about 34.3 billion board feet will be required to meet domestic demand in 1963, Salvage of windthrown timber would raise total pro- duction by at least 1 billion board feet, which would be added to inventory. The average wholesale price index for all lumber was 96.5 in 1962 (1957-59=100), compared with 94.7 in 1961 and 99.8 in 1960. The index for softwood in these years was 95,9, 93.,5, and 98.6, respectively. Excess pro- ' duction resulting from salvage of blown- ,down timber would tend to depress softwood prices in 1963. It is estimated that each 300 million board feet produced in excess of de- mand would reduce the price $1 per thou- sand board feet. REvoLUTION To the Honorable Senate and House of Representatives c8 ' the United States in Congress assembled: We, the members of the Ferry County Timbermen's Association, do respectfully represent that: Whereas lumber imports from Canada are increasingly yearly at an alarming rate and now constitute about one-sixth of the an- nual consumption of lumber in the United States; and Whereas there is a need to increase the cut from overmature forests to prevent ex- cessive loss from decay, disease, and other causes; and Whereas a serious blowdown of timber occurred in Washington, Oregon, and Cali- fornia in October of 1962 and salvage of said blowdown timber will place a further burden an the orderly marketing of lumber from other domestic areas; and Whereas there is no shortage of timber for the production of lumber and related items in the United States; and Whereas U.S. lumber manufacturing firms pay the highest wages and provide working conditions equal to or better than similar firms In other countries; and Whereas lumber manufacturing firms in the United States are losing their home markets to foreign firms, especially Canada, due to advantages such as: (1) depreciated currency; (2) low stumpage rates; (3) non- competitive bidding; (4) less costly and re- strictive forest practices; (5) lower wage rates; (6) high tariff rates on lumber shipped to Canada; (7) low charter rates for coast- wise and intereoastal shipping; (8) a co- operative Government; and Whereas unemployment in the lumber in- dustry of the United States is increasing with resultant loss of wages to the workers, loss of taxes and Income to taxing bodies and communities: Now, therefore, be It Resolved, That the Congress and President of the United States of America, be respect- fully petitioned to give immediate attention to and request action necessary to place the lumber industry of the United States on an equitable and competitive basis with foreign manufacturers through the use of a quota system or other means, including the re- quirements that imported lumber be marked to show the country of origin, to the end that domestic manufacturers are not placed at a disadvantage with resultant loss of markets, reduction of employment, loss of taxes and deterioration of communities; and be it further Resolved, That this resolution be sent to the President and Vice President of the United States, the Speaker of the House of .Representatives of the Congress, and to the Senators and Representatives representing this State in the Congress of the United States. Passed the 17th day of January 1963, at regular meeting of Ferry County Timber- men's Association. Attest: FRED C. LEJAUR, President, IRA MERRITT, Secretary, Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Million board feet Approved For Release 2004/06/23 CIA-RDP65B00383R000200220015-2 CONGRESSIONAL RECORD - APPENDIX heard that Federal expense has been out- even on a terrible day such as that one- running population growth for years now. with admiration. DpWoerats and Republicans in Congress The U.S. Congress is probably the best be- alike, are alarmed at the size of the budget, haved parliament in the world. The rau- and the $11 billion deficit forecast-partic- cous and raffish cries of "murder,"' Treason ularly as last year's forecast of a half bil- and shame, that characterize that lively de- lion surplus became a realized $8 billion bates in Westminster are almost never heard deficit. in the Capitol. There is none of the tur- The budget can be, should be, and mupt bulence of the Chambre de Deputes in Paris, be out, or the House of the People in New Delhi or HON. ; J,Q L._- EYINq .. _, OF TENNESSEE IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. EVINS. Mr. Speaker, the Con- gress is often criticized and regrettably is rarely commended. Congress, as an institution, is often made the national whipping boy and all too infrequently commended. It is refreshing, therefore, to read a ,recent article by Columnist Jenkins Lloyd Jones, which appeared in the Washington Evening Star commending Congress, I believe this article is worthy of wider reading, and I ask unanimous consent that this article be reprinted in the. Appendix of. the RECORD. The article follows; CONGRESS ADMraED FOR BEHAVIOR- AB-SENCE. OF TVag,ULENCE ON FLOOR CRED- ITED, WITH, HELP;NG... S.UCCESS It was one of those awful days in the U.S. Senate when a handful of senators were just standing around beating their gums to empty desks and the puzzled galleries. The upper House was in a state of paraly- Bis because . the _ liberals had introduced a move to kill filibusters by a three-fifths vote instead of the traditional two-thirds vote, and with.the.rules up in the air the Senate Couldn't organize and the committees couldn't be appointed and so, a month after the beginning of th' session, nothing was going on. Vice President JOHNSON was up on the high chair. A couple of freshmen, TED KENNmrr of the well-known family and HOWARD EDmONDsox, of Oklahoma, sat around still, presumably, entranced by the newness of it all. Senator ROBERTSON of Vir- ginia was conducting a filibuster on the filibuster,, and every once in a while he would refer to the Senate's being like Caesar's wife and again to its being in Abra- ham's bosom. Occasionally, Senator RUSSELL, of Georgia, would ask permission to make a brief com- ment that wasn't brief and once Senator LAUSCHE of Ohio asked to interrupt so that he might call attention to the wonderful Ukranians who were being ground down be- neath the Kremlin's heel, whereupon Sen- ator SCOTT of Pennsylvania, mindful of his own Ukranians in Pittsburgh, fell all over himself seconding Senator LAUscHE's senti- ments. I was killing an hour in the practically empty Press .Gallery and I kept my eye on a couple of young men across the way in the visitors' seats. One had a beard and they were enjoying themselves hugely and about to die with suppressed merriment at the grotesque performance on the floor. You could just hear them at their next cock- tail party laughing Congress to death. But here's one uncynical newspaperman. Strangely, I come away from either House- the Israel Knesset. Not since Preston Brooks of South Carolina nearly brained Charles Sumner of Massachusetts 111 years ago has the Senate floor seen a serious fight. The Congress shows its sophistication by .doing practically all its significant work in zcommittee, or at least away from the floor. The floor is largely window dressing- speeches to the Gallery and remarks for the record-and, of course, formal voting. Votes may be changed by quiet persuasion or adroit pressure in the corridors, but rarely by fre- netic debate in full assembly. In the new republics all eyes are on the rough-and-tumble Congresses. There is the place of passion and oratory and recrimina- tion and contention. And here are spawned the dictators. For popular government can't survive dis- order and chaos. The confusion of mob gov- ernment in the Agora in Athens brought forth Pericles. The corruption in the Ro- man Senate made Caesar inevitable. The ir- responsibility of the French deputies finally drove the nation into the arms of General de Gaulle. A republic is a fragile thing. The price of its survival is a reasonable efficiency. Yet popular government is inherently inefficient. It.. is full of lost motion, confusion and in- decision. It moves forward under the weak force of persuasion instead of the strong force of personal power. The U.S, Congress has been a success. Over 180 years, in spite of a host of mounte- banks and incompetents and a few genuine rascals, it has listened more often than not to the voice of reason. It has, surprisingly perhaps, usually recognized real leadership and devoted patriotism. Its Members-most of them-work desperately hard. It may, of course, decay. Perhaps its golden age has already passed. Congress is a reflection of the people and the greed of the people has-this year brought financial irresponsibility to a new high. If we ever have a crashing dollar and a national paraly- sis we may well lose the right to elect our representatives, But, even if, that happens, history will remember the U.S. Congress. For it's time it reached a high point in the delicate art of deliberation. Reportedly, it showed generosity in triumph and strength in crisis. It had tradition and pride. It molded a lot of good vessels, some out of pretty ordinary clay. I never leave the Gallery, even after listen- ing to sonorous rhetoric rolling over empty seats, without marveling that the whole thing could have lasted so long and per- formed so well. SPEECH os HON. BEN F. JENSEN OF IOWA IN THE HOUSE OF REPRESENTATIVES Monday, March 4, 1963 Mr. JENSEN. Mr. Speaker, I wish to Join my colleagues in all the words they have uttered in praise of our able Par- liamentarian Lew Deschler. Lew was on A1299 the job when I came to Congress almost a quarter of a century ago, and I learned quickly to seek his counsel and advice, all of which proved to be good. Lew Deschler possesses that sixth sense, to see the right, and to live right during every minute of the day. I could go on for hours, Mr. Speaker, expounding my high esteem of this great and good man, but it is simply not pos- sible to gild the rose, neither is it possible to say anything that would add to the love and high esteem that all have who know well, my friend. Lew Deschler. I only wish for you, Lew, many more years of service to the Members of Con- gress and to our beloved Nation, which you have served so well for over one-third of a century. Blockade EXTENSION OF REMARKS OF HON. BRUCE ALGER OF TEXAS IN THE HOUSE OF REPRESENTATIVES - Monday, March 11, 1963 Mr. ALGER. Mr. Speaker, the edi- torial by David Lawrence in the U.S. News & World Report issue of March 18, 1963, entitled "Blockade," points out the truth that many American citizens know even if the President and his mili- tary and State Department advisers do not know. Cuba is a threat militarily, politically, and in every other way to us and the nations of this hemisphere. The longer we postpone taking the necessary action, first to neutralize the danger and then to remove the danger and the threat, the more difficult will the task become. There is no point further in quibbling over kinds of blockades although the pa- cific blockade mentioned by Mr. Law- rence is pertinent. The. main thing is to prevent further military buildup while we determine militarily what action is necessary to reimpose the Monroe Doc- trine in this hemisphere, which means freeing Cuba of communism of any form, Castro, or Khrushchev. The editorial follows: BLOCKADE (By David Lawrence) President Kennedy told his news confer- ence on March 6 that the primary source of the shipments into Cuba today are bloc ships, This, of course, means that, under orders from Moscow, the Communist-bloc countries of Eastern Europe are sending to Castro not only military equipment but oil and other goods essential to Cuba's economic survival. The American people, on the other hand, are furnishing what is popularly known as foreign aid to the governments of several countries whose ships are carrying oil and other supplies to Cuba. How long will it be before the United States puts into effect and enforces a block- ade against this traffic? President Kennedy admits that an em- bargo on oil to Cuba could be effective. He says: "There isn't any doubt that over a long period of time that denial of oil would make a difference.. To deny the oil would require, Approved For Release 2004/06/23 CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 A1300 CONGRESSIONAL RECORD - APPENiX of course, a blockade, and a blockade is an We imposed a quarantine last autumn act of war, and you should be prepared to and intercepted Soviet as well as other ships go for It. In the Atlantic as they approached Cuba. "r think we indicated last October that in IT we had a right to do this then, we have periods where we considered the United the right today to put into effect a pacific States was endangered, we were prepared blockade so as to protect and defend the to go as far as was needed to remove that people of the United States and other peo- da ' er, and we would, of course, be willing pies of the Western Hemisphere. ai ps tano do so again, if we felt there was a si ation which carried with it that kind of anger to the United States-" When the President rays that a blockade Chemists' Magazine Reports New Deter- is $n "act of war," does this apply to all forms of blockade? History doesn't support gent That Cleans as Well Without Pol- suirh a broad assertion. In the handbook of law known as Corpus Juris Secundum. luting Widely used in America's judicial system, thggre is a particular reference to what Is EXTENSION OF REMARKS paled a pacific blockade. It is defined as to Iowa: The so-called pacific blockade is a means HON. HENRY S. REUSS S o1'coerc)on, ordinarily treated as falling short war, consisting in the Interruption of or wlscoirsm c ercial intercourse with certain ports IN THE HOUSE OF REPRESEN TATIVES o coasts of a state to secure redress for an Monday, March 4,1963 international wrong. The accepted position Is that pacific Mr. REUSE. Mr. Speaker, H.R. 4571, ockades should not bear on third states to end detergent pollution of the Nation's ee cept as they are affected by the constraint streams and water table would require ei'tly applied to the port or ports block- manufacturers to stop using the chemi- ed." cal that is now the key ingredient in most t Whether a pacific blockade might even- synthetic detergents. tually develop into an acknowledged state of war is hardly relevant, since, realistically The choice of a substitute will be up }peaking, there has been and still continues to private industry within the bounds set o be a state of war between Cuba and by standards of decomposability to be he United States. The Soviet Union has established by the Secretary of Health, en proved conclusively to be a military Education, and Welfare. artner of the Cuban Government. The The availability of a substitute that is hole world knows that offensive armament ntended for a potential attack on the United reportedly comparable to the products States was set up in Cuba by the Soviets now in use in its cleaning ability but un- and that at least 17,000 troops and techni- like them in that it is full decomposable Gans were brought there from Eastern Eu- has been reported in a recent article in rope to man the apparatus. Chemical and Engineering News. Ameri- On the same day-March 6--that the can research may be able to develop an President at his news conference was prom- better substitute for the present ising to take action if the Cuban situation even became dangerous again, Maj. Gen. Alva perpetually foaming product. The impo- R. Fitch, head of U.S. Army Intelligence, sition of a reasonable deadline will spur was testifying before a Senate subcommittee, such efforts. ii as follows: The report on the new biodegradable "Prom the large volume and frequency detergent follows: of reports concerning -the underground stor- age of aEifrltmItion, supplies, vehicles, and GeRMAN Fizit DEVZLOPB New Syuoers even aircraft. it is certain that there is con- West Germany's detergent sweepstakes } siderable activity in connection with under- sparked by a law forbidding sale after Octo- ground Installations throughout the island. ber 1, 1984, of products that aren't at least "There are several thousand caves In Cuba 80-percent biodegradable, has another entry and matiy'have been used for storage over A new group of nonionic detergents claimed the years. With the reported addition of to be I00-percent biodegradable has been un- dehumidification and air-conditioning veiled by H. J. Zimmer Verfahrenatechnik, equipment. many would be suited to storage chemical research and development firm lo- of both large and delicate electronic Items." cated In Frankfurt, West Germany (Chemica General Fitch described the various kinds and Engineering News. Feb. 18, p. 49) , of tanks, artillery mortars, rocket launchers, The products are sugar eaters of bydroxy and ground-to-ground missiles in Cuba to- fatty acids. The group currently number day, and then declared: four and Includes the sugar eaters of riclno "With the introduction of this equipment letc acid, and mono di-, and trlliydroxy Into Cuba, the potential firepower and mo- stearic acids, btllty of ground forces has been increased In addition to being biodegradable, the new considerably. No nuclear warheads are be- nts are low-foaming, nontoxic, and lieved to be in Cuba although it is possible deterge stand on a relatively cheap and available raw that they could be used by some of the material base-sugar and natural oils, And weapons systems present there." their detergent activity compares well with Why then do we quibble over the techni- that of tetrapropylene benzene aulfonat calitles of international law as we observe (Tpbs). Tpbs Is Germany's biggest sellin an obvious enemy building a military ma- detergent, has about 85 percent of the mar chine 91) miles away from our shores with ket. But it's only about 25-percent degrad the unquestioned purpose of endangering able, hence will be barred by the Federal Re the people of the United States? detergent law, 111( Why should Congress continue to vote, public's scrambling: Detergent producer to the government of any country Producers scram ! tOhose ships carry oil and other goods to and process developers are currently bling for substitute products that will mee strengthen Castro's position? the 80-p'roerit degradahnlty requiremen Why should the United States hesitate and Engineering News, Feb to impose a pacific blockade which Will (Chemical 1B, p. 65). At stake is a detergent market i not Interfere in any trade operations of the 'West Germany that's estimated currently a soviet ThIon or its satellites with other about 108,099 metric torte a year, or about Sa parts O!the world, but will effectively place a boycott on all commerce with Cuba? miftfon, , . a l s - - e g s t t . n t 6 March 11 Tice key to the washing ability of the new products is the hydroxyl group, according to Dr. Herbert Simonis, technical manager of Simmer's purification process methods a81lf- ate and coinventor of the detergents with Dr. Mohammed Ismail, also of Zimmer, The sugar eater of stearic acid, for example, has practically no washing activity, he points out, However, at least one hydroxyl group on the fatty acid chain raises washing ability to competitive levels. Optimum washing prop- erties seem to lie between monohydroxy- and dihydroxystearic acids. The four sugar esters have similar proper- ties. Special raw material or market condi- tions would determine which would be pro- duced, Dr. Simonis says. The sugar ester :f rtcinoleic acid is cheapest to make. But superioritlea of other members of the group in certain specific properties might make them more suitable for higher value wash- ing products. In cost, the new products don't score quite so high. Zimmer figures production cost at about 23 cents per pound of sugar ester, This is about twice that of Tpbs. But the amount of detergent in commercial consumer washing products is only about 2 percent according to Dr. Simonds. The balance is filler and various additives. In industrial detergent products, the detergent fraction might rise to 10 to 20 percent, he says. So, on a final product basis, Dr. Simonis esti- mates that Zinuner's sugar esters will only be 10 to 16 percent higher in cost than Tpbs. Will license: Zimmer, which is not a chemical producer, 1s aiming at licensing the process that It has developed for making the detergents. It is currently negotiating with several companies, including one U.S. firm. The firm isn't ready to talk process details publicly yet. However, it has roughed out the general scheme, which involves a two- step reesteriflcation of sugar and fatty acids from natural oils. First, fatty acids from raw castor oil or other natural oils are reacted with a low-boiling alcohol such as methanol or ethanol. Then the resulting ester is re- acted with sugar to give the sugar ester. Ac- tually, a mixture of about 75-percent enonoester and 26-percent diester results, but it can be used as such and needn't be puri- fied. The process is rather simple, Dr. Si- monia says, doesn't require special equip- ment, and in many cases can probably be run in existing plant equipment. Further unpurified raw materials can be used. Zimmer has tested a number of natural sugars, finds that cheap cane sugar (sucrose) is best. Others can be used, but they cost more and have no special advantage, Dr. Simonis says. Various _natural oils that give fatty acids having at least one hydroxyl group, or that can be hydroxylated by hydro- gen peroxide or peracetic acid, can be used. After finding that the sugar ester of rtcinoleic acid (from.castor oil) is degrada- ble and has good detergent qualities, the firm's research group prepared the sugar esters of mono-, di-, and tri-hyd oxystearic acid for comparison. These turned out to be comparable to the rtcinoleic acid sugar ester, but need more processing, are more costly. Tests made: So far, Zimmer hasn't tested its dete gents in large-scale sewage treat- ment plants. However, it has had testa made by two independent university authorities. Dr. H. Schlegel, director of the Institute for Microbiology of the University of Goet- tingen, has tested them for microbto'ogical properties, found them no toxic and de- gradable by bacteria normally found In sewage. Dr. Herbert Koelbel, rector of the Tech- nical University o2Befifn, chedked out deter- gent characteristics. He fount that all four esters foam less than Tpbs- At the same time, they lower surface tension by at least Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 1963 Approved For Release 2004/06/23 CIA-RDP65B00383R000200220015-2 CONGRESSIONAL RECORD - APPENDIX A1293 as they in turn affect our internal wel- fare. This opinion is shared by many peo- ple in and out of the Congress, Arid it is hoped, therefore, that for the good of this Nation and the good of the State Department the problems-can' be re- viewed and aired in order that there may be a complete understanding among the State Department, the Mem- bers of Congress, and the citizens of this country. ABCD Mail Service EXTENSION OF REMARKS HON. ROE 1 A. EVERETT of TEinittsEE IN THE ROUSE OF IEPRESENTATIVES Monday, Marc. 11, 11963 Mr. EVERETI`. Mi. Speaker, on Feb ruary 25, 1963, Postmaster General J. Edward Day inaugurated a new major ,postal service innovation-ABCD, stand- ing for accelerated-business -collections and delivery-in the Washington metro- politan area. This new service will provide 4-hour delivery of local "first-class mail in the downtown business area from Monday "through Friday. Bythe'end of this cal- endar year 273 cities in"this country will have the advantages of accelerated busi tiess- collections and delivery service; a step forward in mail service comparable in importance to the start of free city delivery a century ago. In launching the accelerated business collections and delivery service here in Washington, Postmaster General Day aid richly deserved credit to the archi- tect of this innovation in mail service, Assistant Postmaster General Frederick C $elen, by presenting him with the Post Office Department's first annual Denja- Thin Franklin Award. As head of the vitally important nu- xeau of Operations` of the 'Post Office Department for the past 2 years, Mr. casion for special recognition of the architect Mr. Belen first inaugurated the accelerated of this very successful program of 4-hour business collection and delivery program on business mail service, a pilot basis last August 14 in his home city It is my genuine pleasure to honor As- of Lansing, Mich. sistant Postmaster General Frederick C. In designating Frederick C. Belen as the Belen as the first Post Office Department first official to be honored with the Benjamin official to receive the Department's esteemed Franklin Award, I am proud to recognize Benjamin Franklin Award. Mr. Belen's exceptional contributions to the The Benjamin Franklin Award is a new operation of, the postal service. I now pre- tbp honor award of the Department reserved sent to him this beautiful plaque of un- for officials in noncareer positions whose usual three-dimensional design featuring outstanding leadership" and accomplish- an inset bust of the first Postmaster Gen- ments have resulted in major improvements eral, Benjamin Franklin, and a genuine of ational significance in the work of the specimen of the very first postage stamp pos$'al service. Issued by the U.S. Government-in 1847. I am rather unusual among Postmasters The stamp carries Benjamin Franklin's General, because I.have never been national portrait-and it is interesting to note that chairman of my party or even particularly it is a 5-cent stamp. active in politics at all. In fact, when President Kennedy announced my appoint- ment-as the first Cabinet member ever from Southern California-he emphasized that it was not because of my very incidental past political activity but because of my management experience, in State govern- meht and in business. I was associated for a number of years with ' one of the largest and finest law firms in the country. After that I was a senior officer for 8 years of a giant insurance com- pany which is the third largest private corporation in the world. And yet I can state unequivocally that I have never been surrounded with such talent as I am right now that I am serving in the Federal Government. Every day I work with Federal executives who demonstrate superb imagination, energy, good judgment and practical idealism. With few exceptions I have found that the Federal executive sees himself in context with the great compli- cated world we live in, he has a lively in- terest in new ideas and in wider horizons- and he does not take himself too seriously. Fred Belen has all these qualities. He has been Assistant Postmaster General head- ing the Department's key Bureau of Opera- -Inquiries: Democrats Handcuff GOP EXTENSION OF REMARKS OF HON. FRED SCHWENGEL OF IOWA IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. SCHWENGEL. Mr. Speaker, the battle to bring about a better balance between minority and majority staff members on congressional committees is beginning to get backing at the grass- roots level. As a case in point I offer an editorial from the Davenport (Iowa) Daily Times, of February 23, entitled "Inquiries_ Democrats Handcuff GOP." Under leave to extend my remarks, I request that this editorial appear in the Appendix of the RECORD. The editorial follows: tions since the beginning of President Ken- INQUiRxES: DEMOCRATS HANDCUFF GOP nedy's administration and for the past 8 months he has additionally carried, with distinction, many of the responsibilities of the Office of Deputy Postmaster General. Before- assuming his ' present post in January 1961, Mr. Belen had been Counsel and Chief Counsel of the House Post Office and Civil Service Committee for 14 years and was already widely acknowledged as one of. the Nation's foremost authorities on postal administration. In developing and spearheading major pressive record of accomplishments that only, Mr. Belen has brought imaginative new have resulted in numerous major im- approaches to the solution of longstanding problems of the postal service. Accelerated prove'nlents og national significance in business collections and deliveries is but the Post O3ilce'Department, His imagi- _oneexample. fictive and dynamic approach to proli- _ He has shown outstanding leadership in .ems that have long beset the Postal Es- enlisting the cooperation of the Nation's tablishment las brought about improved large volume business mailers, and has efficiency, lower cost, and, most impor- demonstrated that such cooperation benefits tart, better service. Fie has played a both the mailer and the Department. major role in developing -a" number of He has provided expert and energetic -direction to the Post Office programs of cost el t - o acc progressive pr'og ig similar -11 grated business collections and delivery -reduction and management improvement, The liberal Washington Post, supporter giving concrete expression to the President's generally of the Kennedy administration, 11 designed t0 maintain our postal service = goals of economy and manpower utilization. says editorially: as the most modern and effl`cient in the "He has been a major contributor at the "Representative ScHwENGEL has estimated world, executive level to the Department's accom- that fewer than 50 of about 500 committee I am sure my colleagues will be in- plishments in holding to a minimum man- employees are Republicans. terested In the tribute paid to Mr. nelen power increases in the postal service in the It does not follow, however, that the other "'_Fi reduction of Christmas temporary employees 450 are Democrats. by Postmastereileral i~ay, W111C f01- from 295,000 in 1960 to approximately one- "In many cases where appointments have lows; half that number in 1962, In the return of been made on merit, the political affiliations EXCERPT FROM THE ADDRESS BY J. EDWARD $37 million of our Department appropriation of the employees are not known and are of no DAYS POSTMASTER GENERAL to the Treasury in fiscal 1962, and in the significance, and this Is as it should be. introduction of the accelerated business Department's apacity to- absorb this year "The professional employees ought to be collections and delivery program here In $'0 million of the recent postal employee pay available to serve the minority as well as the the Washington area provides an Ideal oc- increase. majority, with the object of advancing the Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2' associated with him in the demand for the Republican right to appoint 40 percent of staffs of House committees are so right that its denial is nothing less than a ruthless power play by Democrats. Actually, the proposal is so fair that it lost by only 1 vote, 10 to 9, in the House Ad- ministration Committee. Democrats in-the House are leery of in- vestigations, a major reason for holding the overwhelming number of investigators under their thumbs. The inquiries which are apt to engage at- tention of committees extend Into the laby- rinth of Federal-State appropriations, par- ticularly into the use of funds for Federal highway construction. In Massachusetts, for instance, that type of scandal has wider ramifications touching figures whose reputations are of concern to party colleagues. In other States, inquiries have suddenly been dropped at times, Republicans say as Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 A1294 CONGRESSIONAL RECORD -APPENDIX work of the committee and not of merely making political hay." The Washington newspaper must expect Its readers to be naive to swallow the defense it presents for the failure to give Republicans enough staff members to bring about some semblance of adequate personnel for their committee work. The Republicans ask 40 percent of the 500 1 staff members which is certainly a reasonable proportion based upon Republican repre- sentation in Congress. And the idea that professional staff mem- bers do not know the Democrats are their bosses and do not carry out their bosses' will is too foolish for argument. The Washington Post's statement that "it does not follow that the other 450 are Dem- ocrats" would bring questioning from Demo- cratic Members of the House if they did not feel that this large group is Democratic enough to hold its place on the Federal pay- roll, We Cannot Abann Cuba, E$ TENSION OF REMAF&,Q 01 HON. BOB WILSON IN THE SOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr, BOB WILSON. Mr, Speaker, from the white House "command post" a concerted barrage of propaganda is being aimed at anyone-Republican or Democrat--who deigns to criticize the Kennedy record of inaction with regard to Cuba. As one who has been subjected to such criticism, I find consolation in noting the criticism of the administration's myopic at#itude toward the Monroe Doctrine by none other than former President Harry S. Truman. As a historian and rugged individualist, Mr. Truman recognizes the peril of the present situation. I com- mend him,for his strong call for action. f . I ask unanimous consent to include as a portion of my remarks the article en- titled "We Cannot Abandon Cuba," which appeared in the New York Stand- ard on Sunday, February 24, 1963. The article follows: } [From the New York Standard, Feb. 24, f983j Ws CANNOT AB,Nnon Cues (By Harry S. Truman) Along with everyone else, I have been con- cerned but the situation in Cuba, The Cuban people have been beset with Internal problems almost from the time Cuba was discovered by Columbus. One set of tyrants seems to be succeeded by another in guise of liberators. There Is, now much talk about Cuba. There 'are those who read and talk about It? and there are those who tell those in charge what to do and how to do it. That is all right, as far as it goes, but it does no good and could do much harm, if we get into a political hassle about it. Foreign policy should never be an Issue between the great tt political parties. is there no hope for Cuba? Is Cuba now doomed to become theBaikansateliite of tie American continent? These And many other questions are being raised. The one thing that history teaches us over and over again is that no system of govern- meat that defies the will of its people can long endure and, while modern weapons in the hands of a new crop of quislings make the tank of liberation more formidable, it is as true today as it ever was that the will of a people to be free is irresistible. Any gov- ernment that Imposes its will from the top will be overthrown in time. When the people reach that certain point of loss of pa- tience and the congealment of their will to resist they strike back with the savage fury of bloody revolution, resulting in more cruelties In the name of the revolution. We have always been sympathetic toward the Cuban people but for one reason or an- other, things never seemed to work out so that the affairs of Cuba could be admin- istered by honest and devoted patriots, rather than the greedy, selfish, grafting dictators that kept succeeding one another. The present situation In Cuba defies all reasoning. Castro as a revolutionary leader fighting to unseat Dictator Batista attracted sympathetic support from many quarters in this hemisphere, and from the United States in particular. There was some reason to hope that here at long last there may have arisen a true patriot and able leader, who would devote his energies to the establish- ment of representative government, and put through necessary reforms for the benefit of all the Cuban people. But, again, our hopes were doomed to dis- appointment: The man, Castro, became in- Sated and power mad-and Incapable of the kind of leadership Cuba needed in her pe- riod of reconstruction. Instead of applying his energies to the so- lution of the needs of Cuba. Castro betrayed his revolution by delivering the Cuban peo- ple to the political' Imprisonment of a Russian-made Communist dictatorship. He thus committed Cuba to a life of crisis, of aggression, oppression, and Intrigue. We admit that our policies toward Cuba, and I would Include my own administration as well, have left something to be desired. For some reason we have put off for too long our responsibility to put pressure on the Cuban leaders to Institute badly_needed reforms. There is one thing we cannot do and must not do and that Is to abandon Cuba to her self-imposed tyrants and new conquerors. For as long as these people enforce their will by the use of modern weapons, the Cuban people will be compelled to undergo pro- longed suffering, before they can hope to restore themselves by the process of spon- taneous popular uprising. The Cuban situation is in a different cate- gory and should not be confused with the other satellite victims within the-Russian- Chinese orbit. Cuba was delivered to Com- munist control and domination by a betrayal of a modern-day Quisling, Castro. fie per- petrated this act of treason against the Cuban people and even those of his revolu- tionary followers, in the name of liberation from colonialism. I think that it is well that we take a look at the record of our past relations with Cuba. From early 1899 to mid 1902, while Cuba was under temporary V.S. mill- tary rule. following her liberation from Spain, most of the omces were placed under Cuban nationals. During that period much was done to build public works; strict meas- ures of sanitation were put into effect; the civil service was reformed; and public edu- cation significantly Improved. Yellow fever, which had been plaguing Cuba for centuries, was eradicated. At the same time a constitutional con- vsntion was called to establish a system for self-government. The first Cuban Conti- nental Congress met on May 6, 1902, and we turned over control of the (loverninent to the people of Cuba, March 11 In restoring Cuba to self-government the so-called Platt amendment was accepted by Cuba on June 12, 1901, as a part of its Constitution. Among the several provisions of the Platt amendment were these: The sanitation measures set up by the military, were to be maintained; "Naval stations authorized to be leased to the United States; and "The United States reserved the right to interfere in the affairs of the island if it be- came necessary." It seems to me, that when it appeared that the situation In Cuba was getting out of hand, and that a threat to the security of this hemisphere was clearly in the making, that we should have considered that the basic implications of the Monroe Doctrine were at stake, as well as the reservation im- posed by the Platt amendment, which an- ticipated precisely such a development. These provisions, the Monroe Doctrine, and the Platt amendment, were there as much for the welfare and protection of Cuba, as for the security of all the other nations of this continent. The situation is clear, the problem is ob- vious, the solution not so apparent. But, like the bubonic plague or cholera, quaran- tining is one remedy that every public health authority knows must be imposed until a virulent epidemic abates. A former President, much as he might try, cannot detach himself from events, even long after he is out of office, On one of my walks, a speculative thought kept going through my mind on how I might have dealt with Castro if it had been mine to do. This is how I saw it: Immediately after the conclusion of the revolution In Cuba, I would have invited Castro to the White House. This Is the way I might have put it to him: "Mr. Castro, your revolution is over and now you have the responsibility and the big job of reconstruction. You have made a great many promises to your people in enlisting their support. How are you going to make good in those promises? You don't have the resources of your own in Cuba, and there are no means in sight to enable you to perform the things you promised the Cuban people. "Now, there are only two places where you might get the necessary economic sup- port to put over your program of reforms. We are close to Cuba and we have historic ties with your country. All we would expect In return for our support would be that you keep the Cuban Institutions free, and the Cuban people free, and that you get rid of corruption. This is all we would ask, this is all we would expect, and Cuba would en- joy complete sovereignty and independence as a nation. But if you should elect to go the other way-the Communist way-you will become a puppet and that can only lead you to more trouble and bloodshed." I would have hoped that after some such exchange we should have come to an under- standing and I think we might have reached a friendly agreement. All this, of course, needed to have been quietly negotiated within the privacy of the White House. With that out of the way I might have closed our meeting with a friendly suggestion, per- haps something like this: "Now that we understand each other, Fidel, let us get to work and do all we can for the cause of your people." The Cuban crisis has served one useful purpose-it again smoked out the Russian capacity for bluff and their "hit and run" type of international piracy. And it pro- vided the United States with an opportunity to make it clear to the Communist aggres-. sore that once the line is drawn we stand firm, Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 1963 CONGRESSIONAL RECORD - APPENDIX A1291 ernment felt it owed the cotton farmer some- and will Cost our taxpayers much less than vided on whether Wednesday's flood was t con- . larger was the anothe1957 cd ost y bit of nhigh not not thing, that they should pay it to because d the trol present cotton, torsacost of y n th ng ofnthenloss of event itan not try to make the market pay t th market would not do it for long, and in our cotton business due to such control. water. the end, if we followed that road, the United As Dr. Horne has indicated, U.S. cotton is Some 3.5 Inches of rain fell Tuesday, States would lose its cotton supremacy. fighting a desperate battle for survival. I coupled with melting snow from the moun-e e One other man supported me. His name want to add that it is fighting this battle ttai Pigeon River sent rising both prongs of thst signs mand, was Thompson, and he was an official of the with both hands tied behind its back so long Pi rapidly. Texas Cotton Ginners' Association. as the Government continues control of cot- overflowing about 1 came e t about midnight, started nd ter But our voices were like one crying in ton production and of the cotton market. then the rapidly. It r.m. t its wacrest tarty 6 s- the wilderness. hat time, 6:30 a.m. Wednesday and started to fall At me, the Civil was k r psychology shortly thereafter. Some Knoxville-Sevier- still persisted that cotton was king in Amer- ville traffic was open shortly- after 9 a.m. ice. The United States produced more cot- Flood Again Homeowners and businessmen now face op- ton than all the rest of the world put to- the task of cleaning up, another costly op- gether. We produced then 141/2 million the The Sevier County Volunteer Rescue bales for consumption. We are producing EXTENSION OF REMARKS eration. the same amount today, but a sizable quan- OF Squad was on the scene all night Tuesday, the ears, foreg loan. pro- HON. JAMES H. (JIMMY) QUILLEN aiding in the evacuation of homes and serv- tity goes in In these 30 years, foreign free world o- ing in many helpful capacities. Also on bales ales n to 21 has million increased bales. from If 81we /2 million included OF TENNESSEE extra duty were the Sevierville police and bales THE HOUSE OF REPRESENTATIVES the Sevierville Volunteer Fire Department. Russia and China, the increase is even No details were available at press time as greater. Monday, March 11, 1963 to the total amount of damage. As Dr. Horne has shown, synthetics have Mr. QUILLEN. Mr. Speaker, I insert Now is the time to get something done increased greatly. Obviously, some of this accelerated growth in the Appendix of the CONGRESSIONAL about an even this larger situation; flood we comes shouldn'andt wait takes until nail sev- in foreign cotton and in synthetics would RECORD an article which appeared in the eral lives. have taken place in any case. To me, how- Sevier County News-Record on Thurs- ever, the most frightening aspect of our day, March 7, 1963, regarding the devas- present situation in cotton is the fact that tating flood which swept into Sevierville Improving Medical Aid we are losing markets at home and abroad, and Sevier County last Tuesday night while foreign cotton and synthetics are both going down in price and up in use. Wednesday morning, March 5 and EXTENSION OF REMARKS For the 10 years prior to the meeting in 6. of Washington in June 1933, the average of Many homes in the Love Addition and CHARLES McC. MATHIAS, JR. our cotton exports was 7,880,000 bales. The on Riverside Drive of Sevier County had HON. average for the past 10 years is 4,732,000 to be evacuated, and merchants of down- OF MARYLAND bales. In these 30 years, we have lost over town Sevierville worked throughout the IN THE HOUSE OF REPRESENTATIVES 3 million bales per year in exports of cot- night setting up barricades, in efforts to ton. keep water out of their stores. Court Monday, March 11, 1963 What can be done now to save our raw Avenue in Sevierville was a thoroughfare Mr. MATHIAS. Mr. Speaker, under cotton industry? I don't pretent to knowall the answers, for boats Wednesday morning as flood- leave to extend my remarks, I include but I believe I know some of them. waters from the Pigeon River covered at Bal- more this News-Post point, an an o editorial March 4, from the 1963, tl- Obviously, U.S. cotton's principal com- the heart of the town entering many of petitors are foreign cottons and synthetics, the business establishments and causing fled "Improving Medical Aid," which both of which operate in a free market. The widespread damage. points up so well certain drawbacks in greatest service of the free market the Mr Bo Roberts, editor', and Mr. Wil- the administration of the Kerr-Mills automatic selection of the most efficient liam C. Postlewaite, publisher, of the program for providing medical care for means df production. Sevier County News-Record, are to be senior citizens in my State of Maryland. sugar, World wheat, comm et odities, cetera, like produced ce es, for cotton, export, congratulated on the fine coverage of this It is for this reason that I introduced cannot be sheltered from world competi- flood and for presenting a word and Pic- legislation in the House of Representa- tion. Even for domestic consumption, every ture story of the flood, pinpointing the tives, H.R. 4388, to correct this situation commodity has its competitors. desperate need for flood relief. I and permit the individual States to se- If our cotton is to regain its rightful posi- thought it was so good that I would like lect' the agency to be responsible for tion in the domestic and world markets, then to make it available to the other Mem- U.S. assistance to the aged, rather the free market. Government tris cotton ers of Congress. than having this program supervised by a free market. any man man in Reducing the h this e price room not o imagine t The article follows: enough. Does any the State departments of welfare. The that any bureau in Washington knows what FLOOD AGAIN editorial is appended at this point and the price of any world commodity, such as (By Bo Roberts) I commend it to the attention of the cotton, should be? The answer to this ques- High waters swept into Sevierville early Congress: Gov- tion is to be found in the record of Gov- Wednesday morning causing a flood in the IMPROVING MEDICAL AID ernment price fixing for these past 30 years downtown and some residential sections at administered in Maryland, the Just look at the record of the two-price sys- least greater than the one in December of As now Kerr-Mills program for providing medical tem on cotton. The United States, a num- 1961 and possibly as large as the one in care for senior ro same for Is ro ixing by the bet of years ago, officially branded such sys- 1957. State department of welfare and is carried tem, as "dumping," and now at a time when There has been a lot of talk, but very out by local welfare agencies, in Baltimore by the rest of the industrialized free world is little action taken since the 1961 flood, and the city department of public welfare. moving in the opposite direction, we engage it seems many area citizens are wanting to Congressman CHARLES MCC. MATHIAS of in this system, not only for cotton but for get something done. Thousands of dollars Maryland's Sixth District has noted that this other commodities. Among other faults, of damages have again been caused, even has certain drawbacks, principally use a has ertai Yd b must file pally their this two-price system on cotton lays a wholly though many persons had 6 or 7 hours to System unfair and indefensible burden on our cot- prepare for the flood. The next flood could because c scan the for aide agencies. ton textile mills in allowing their foreign be years away * * * of it could be next week applications welf MATHIAS goods it is high time action is taken on the `Many people," Congressman competitors in rthe aw domestic market o to * * * points out, "feel that there is a certain stig- cotton, their raw material, even U.S.-grown part of local, State, and Federal officials to ma to making applications for welfare aid. be- cotton, at 81/2 cents per pound less than the see that something is done to stop this costly This objection has some basis in fact aid. U.S. mill must pay. and dangerous flooding. cause those who receive medical aid through In my opinion, nothing but a return to There have been no reported casualties, department d not through the free market will save our U.S. raw cotton but many homes in the Love Addition and the au a welfare those needful of apart assistance: ' trade. Nevertheless, under Government con- on Riverside Drive have had to be evacuated. be welfare trol these past 30 years, we have gone so Merchants in downtown Sevierville worked To correct this situation, Congressman far in the destruction of this trade that throughout the night setting up barricades MATHIAS has introduced in Congress a bill there certainly will be a period during a in efforts to keep water out of their stores. which would change the Kerr-Mills provi- shift back to farmer control when cotton Water is reported to have gotten into rev- othe permitting idiv du lbStates to se- farmers will need help. It is believed that eral businesses in spite of their efforts. lect agency which this period will not last more than 5 years Veteran observers of floods here were di- for medical assistance to the aged. Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 A1292 CONGRESSIONAL RECORD -APPENDIX Advocatesof the Kerr-Mills program agree that It can be Improved. Congressman MAranas' proposed legislation is one way to achieve improvement. His bill should re- ceive full congressional support. Soviet Bombers-How? EXTENSION OF REMARKS OF HON. STEVEN B. DEROUNIAN Or NEW YORK IN THE HOUSE OF REPRESENTATIVES Monday, March 11. 1963 Mr. DEROUNIAN. Mr. Speaker, a most disturbing revelation has been made by Robert S. Allen and Paul Scott in yes- terday's Long Island Press. It concerns Soviet bombers flying over several of our aircraft carriers. I wonder if President Kennedy will also consider these bombers as defensive? The article follows: SOVIET Botsssas KNEW JUST Warms U.S. CAxsness Wsaas (By Robert B. Allen and Paul Scott) WASaueatON.-Defense Secretary McNa- mara's delayed disclosure of those Russian reconnala_ance-bomber flights over tour U.S. carriers is only part of this jolting story. What the at-times-circuitous Pentagon boss didn't reveal is even more $ ircant than what he finally did make known, For security reasons most of these chilling untold facts cannot be divulged as yet. They are still tightly classified-although, of course, no secret to the Russians; only to Americans. But it is possible to publish the following extremely important information that Mctia- mars withheld: In each of these ominous carrier over- flights the Soviet reconnaissance-bombers flew direct to their midocean "targets" by the shortest circular routes from bases in Russia. The giant Red planes (known in the West as Bears) did not search for the carriers. They set courses straight for them and flew over them. Such extraordinary bull's-eye flying, as it Is being termed by members of the joint Chiefs of Staff, is possible only in two ways, as follows. 'Possession by the Russians of a secret space (satellite) or other high level recon- nai$saace system that enables the detection and tracking of ships. Advance.Soviet knowledge of the exact lo- cation and Courses of the lour carriers-the $nterprfse, Forrestal, Kitty Hawk, and Princeton. Military authorities are convinced the former Is the case. These highly revealing incidents confirm for them a growing belief they have had for some time that the Russians have in orbit one or more reconnaissance satellites with the same. capabilities as our very secret Samos and Ferret. - =ese U.S. satellites take photographs and monitor communications. The Air Force has at least six Samoses in orbit from 160 to 500 miles above the earth. These satellites snap pictures of Russian areas and installations and transmit them to ground receiving sta- tions. The Ferret, in , addition to being equipped with a camera similar to those in the Samos, has a complex electronic system for monitoring communications, Both the Samos and Ferret can take pho- tos at heights of several hundred miles from which individuals on the ground can be Identified. Strikingly Indicative of the high degree of effectiveness of the Reds' detection and tracking system are the following grim de- falls about- which Secretary McNamara was characteristically vague: The Navy reported that the Bear recon- nalasance-bomber that new aver the 75.000- ton Forrestal southeast of the Azores on Feb- ruary 22 was tracked some 2,100 miles from a base in northeastern Russia. From the very start the Soviet plane made a beeline for the carrier and flew directly to it by the shortest circular route. Throughout, the intruding Bear was under surveillance, either by radar, radio, or by plane. Two Ferret satellites were tuned In on the Russians. What was learned Is classi- fied. For two brief periods radar lost its "Ioc" on the Soviet plane. This was done to the Reds' using a new type of metal chaff that temporarily blotted out radar contact. But surveillance was maintained through other methods, and interceptors of the Forrestal were In the air long before the Bear hove into sight. However, intelligence experts point out that Is not as important as it may appear to be. They cite thefact that the Bear has the capability of being armed with a known Soviet air-to-ground missile that can be launched some 850 miles from a carrier- definitely out of the range of U.S. carrier- based Interceptors. One Navy report on the incidents-also not mentioned by McNamara--stated that a Bear that overflew a carrier was equipped with racks that could have carried nuclear bombs of more than 20 megatons. Photos were taken of this Communist plane showing these bomb racks. An Intelligence report stressed the point that, in direct contrast to these bullseye overflights. It took the Navy 4 days to locate that hijacked Venezuelan freighter. Senator BARRY GOLDWArER, Republican, of Arizona, had much to do with forcing dis- closure of then` sinister overflights. He questioned McNamara about the Kitty Hawk incident during the latter's closed-door ap- pearance before the Senate Armed Services Committee. Obviously startled and discon- certed, McNamara admitted the accuracy of Ooldwater's Information. Later, after conferring with the President, the defense chief hurriedly summoned a press conference and announced the over- flights.. An Example of Individual Responsibility EXTENSION OF REMARKS or HON. ROBERT DOLE 07 KANSAS IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. DOLE. Mr. Speaker, throughout our great country silent benefactors play vital roles In countless small communi- ties such as my hometown of Russell, Kans. Russell, and in fact all of Russell County, Kans., lost a true friend In the death of W. H. "Bill" Sellens on Febru- ary 10, 1963. Blessed with a degree of material wealth Mr. Sellens firmly be- lieved in community betterment and practiced this belief In Individual re- sponsibility for many, many years. There are countless examples bearing the stamp of his generosity in our com- munity but perhaps his greatest pride March 11 was In doing his bit to insure first class medical treatment for the patients and first class facilities for the staff of Rus- sell City Hospital. I share with you a letter written by Dr. M. E. Schulz, Mr. Sellens' physician for many years, to the Russell Daily News: YOUR HOSPITAL AND Bn.L Smums In January 1963. your hospital was 20 years old. For the past 12 years, Mr. Bill Bellens has been the greatest benefactor of this community Institution for healing the sick. Through his generosity, your hos- pital has been made a better place in which to care for the sick, and has been kept mod- ern In every respect. Each and every one of us should be par- ticularly grateful for this man. Be was truly a pioneer of Russell County and ex- pressed many times that the good Lord was kind to him, and he wished to return this kindness to his home community. This is something that many of us should think about, for It is our home community which to Important, for It is where we live and where we die. Mr. Sellens was a God-fearing man, who in the early days quarried our famous stone posts, at the price of 10 cents apiece. He was a very humble man and truly left his community in a better condi- tion than when he found It. He had many friends. He was a towering man, well above 8 feet in height, and distinguished in his actions. He gave to the youth in many ways, as be was always Interested in our children. This kind of citizen is a citizen worth writing about. He believed in self- determination and individual responsibili- ties. He not only spoke of Individual initi- ative, but he practiced It. Here are some of the things that your hospital would not be blessed with had it not been for gifts over the past 12 years from Bill Sellens: the professional staff library, many room furnishings, solarium furnish- ings, laboratory equipment, two different sets of new X-ray equipment, air condition- ing, the doctors' call system, and many other things. It has been said that there is always a woman behind every man's actions. The above comments could not have been said were It not for the very able Mrs. Amelia Sellens, wife of Mr. Bill Sellens, and It is triteto say that these things could have been done only with her full cooperation. Activities of the Department of State EXTENSION OF REMARKS or HON. HJALMAR C. NYGAARD Or NORTH DAKOTA IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. NYGAARD. Mr. Speaker, at an- other point in the RECORD today, Con- gressman DON L. SHORT is including in his remarks, House Joint Resolution Q-1, passed by both houses of the North Dakota State Legislature without a dis- senting vote. The resolution requests Congress to investigate and study the policymaking procedures, methods of assessing for- eign developments, and personnel prac- tices of the Department of State. In other words it calls for an investigation of the activities of the State Depart- ment as It relates to our foreign policies Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 CIA-RDP65B00383R000200220015-2 1963 CONGRESSIONAL RECORD - APPENDIX How have we responded to your appeals? Let me answer the question this way. The Chinese Communists persecuted and im- prisoned- Bishop Cuthbert O'Gara. When they finally expelled him from China, he hoped to arouse American Catholics to the sufferings of their brother Catholics in China. How did we answer his appeal? By and large _ we ignored him. Bishop O'Gara said it was easier to bear Communist perse- cution than the indifference of American Catholics. We have done very little to help our brother Catholics who suffer Communist persecution. . We forget that it is Christ himself whom they persecute.. What will we Latin Catholics say to Jesus Christ our Judge when He asks us at,the judgment, "I was persecuted, and what did you do to help Me?" We cannot.rely on the V.S. Government to do this job for us. The U.S. Government plainly showed its attitude toward those suf- fering Communist persecution when the U.S. Embassy in Moscow shut its door in the face of those Russian.. Baptists who asked for asylum in the name of Jesus Christ. Fur- ther, the U.S, Government has completely abandoned., any idea of supporting a libera- tion movement against the Communists. Not only that, but the United States has abandoned the Monroe Doctrine and has consented to the maintenance of a Commu- nist slave State. in Cuba, 90 miles off our shores. Furthermore, the United States has adopted %,policy of peaceful coexistence with the Communist., empire. And now the U.S. Government. is disarming in the face of the Communistene;ny; witness the abandon- ment of planning and production of ad- vanced,nuclear.hombers, the RS-70 program; Witness the abandonment of the Skybolt nu- clear bomber missile; the abandonment of nuclear missile bases around Russia; and the recall of our nuclear bombers from bases around Russia.. Our Government is not only willing to settle for things the way they are now, but Is disarming to prevent even any threat to. jhe Communists. We cannot count on the U.S, Government to help those suffer- Ing Communist persecution. The U.S. Gov- ern}uent does not want to embarrass the -Communists. .but. what can we do? We can do a great deal..,We can pray. Does that sound like a ,truism?, About 1 year ago the Ukrainian batholic bishops here in the United States called: a press conference to spotlight the sufferings of Archbishop Siipy in his Com- munist prison. Here in Omaha, our beloved archbishop, the Most Reverend Gerald T. ]3ergan, called upon us to pray for those suffering Communist persecution. I am sure many American bishops did likewise. Today on this, his 71st birthday, Archbishop Siipy is a free man.. If it is a holy and wholesome thing to pray for the dead, how much more holy and wholesome It must be to pray for those suffering persecution for Christ. Those who suffer persecution have first call on the charity of our prayers. Secondly, we can and should constantly remind our fellow' Americans and our Gov- ernment of the persecution which our broth- era are. suffering from the Communists. There is hardly an issue of the CONGRESSIONAL REcoRnwhich does not carry articles about the persecution of the Jews in Russia. The Communists do not, generally kill Jews-they pressure them. They close some of their synagogues; they restrict the publication of Jewish religious books; they obstruct the training of rabbis; they give the Jews ad- verse publicity; they make it difficult for Jews. to get a professional education. My friends, you and I know that the Communists have treated the Jews mildly in comparison to their treatment of Ukrainian Catholics. The Communists have made a determined effort to suppress catholicism completely among Ukrainians. . Our Jewish friends are telling their story. We Latin Catholics are not telling the story of our persecuted brothers. You would think the silent church is on this side of the Atlantic. We can and should make the sufferings of our fellow Catholics known. We Latin Catholics must cooperate with you Byzantine Catholics to tell the world of Com- munist persecution. Then maybe our Gov- ernment will exert itself to alleviate the sufferings of our brothers in Christ. Archbishop Slipy symbolizes the fidelity of the Ukrainian people to Christ In the face of Communist persecution, That is the rea- son we honor him. We can honor him best by loving Our Lord Jesus Christ as Arch- bishop Slipy has loved him. We can love Our Lord by working and praying for our brother Catholics who are suffering Com- munist persecution. That is the message of the archbishop's release. The warning is that if we fail to love Our Lord as we should we may soon suffer persecutions ourselves. Just as God has released Archbishop Siipy from a Communist concentration camp, so one day God *111 free the Ukrainian people and all other people from Communist slavery. Let us praise and thank God for His goodness, and pray and work together for that glorious day. Thank you. Housing Utopia Is Fine, but Where's the Cash? EXTENSION OF REMARKS of HON. WILLARD S. CURTIN OF PENNSYLVANIA IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. CURTIN. Mr. Speaker, under leave to extend my remarks in the RECORD, I desire to include an editorial which appeared on March 6 in the Daily Intelligencer, a newspaper published in Doylestown, Bucks County, Pa. The said editorial goes right to the heart of one of the problems which is presently con- fronting us: HOUSING UTOPIA Is FINE, BUT WHERE'S THE CASH?. We need the stout advocates of principle at both ends of the political spectrum. They sharpen public debate on the great issues and serve as a useful check on too pre- cipitate Government action. But it does not follow from this that those who stand for .principle are of necessity braver and more useful than those who occupy the compromising political center. The National Housing Conference, a 32- year-old organization devoted to eliminat- ing slums and blight, perhaps illustrated in its newest Washington meeting how easy It is to talk on the aide of the angels. The NHC notes some largely unassailable facts: Our total annual output of new housing is insufficient to meet the needs of a grow- ing population, especially those in lower- and middle-income groups. We are not get- ting enough urban renewal and we are, getting too much urban and suburban sprawl. To get more and better housing, to arrest deterioration, wipe out slums and check sprawl, the NHC proposes that the Federal Government quickly approve vast new sums. Toting up the rough amounts involved in its proposals for expanded urban renewal, low-rent housing, housing for the elderly, A1289 improved rural and farm housing, we attain a figure upward of $4 billion. A portion would be in loans. A nonspecialist in housing problems is hardly equipped to question the wisdom of NHC's figures as an ideal proposition. What the outsider can question, however, is how NHC President Nathaniel Keith and NHC's resolutions committee can discusss these proposals for 21 pages as if not one single other claim on the Federal budget existed. It is recognized that better housing is just part of a broad attack on poverty. But no- where are housing's demands on the budget put in a scale of priorities with such other needs as job retraining, improved general education, health, welfare, highways, Nothing is said of the fact that we must spend some $55 billion for defense and other sums to aid our friends abroad. Indeed, NHC says plainly that its proposed bigger housing effort has a "first claim on the resources of our economy." Many Americans had thought that defense re- quirements enjoy that preeminence. NHC's goals are fine. But in stating them flat out in a kind of political and economic vacuum, the group has done just the easiest part of the job. Left to the political engineers who must deal in realities is the task of scaling such propositions to make them fit somewhere in today's baffling array of competing demands. Truth, Toughness Needed (n Cuba HON. JOHN M. ASHBROOK OF OHIO IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. ASHBROOK. Mr. Speaker, I wish to call to the attention of the House an excellent editorial which appeared in the Ashland Times-Gazette, Ashland, Ohio, written by Robert Beer, publisher of this independent daily newspaper. It focuses attention on the growing grass- roots sentiment regarding bungling pol- icy in the Cuban situation. I commend this fine editorial to all of the Members of the House: TRUTH, TOUGHNESS NEEAEO IN CUBA When the arms buildup began in the Florida Keys several months ago this writer pledged to silence his criticism of President Kennedy and to support him in his apparent determination to avert another blunder such as our chickenlivered failure to'back up the Bay of Pigs attack. The chance of hot war then became a calculated risk and, at last, our country was to assert its responsibility to its own people and to the other free na- tions of the hemisphere. So it seemed. Fear of the possible consequences of such a firm stand was smothered by a renewed pride and confidence in ourselves and our President.. The showdown was at hand- the brave and noble move had been made- someone would be obliged to either fight or lose face before a world audience. Unity among the Americas was at an historic peak-more fierce and abiding than ever. Now there would be a beginning of an end, an end of 20 years on a powder keg while one Republican and three Democratic Presidents watched communism creep its way like molten lava from the Kremlin to the very shores of the United States. The end was In sight. Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 AJ290 6o it seemed. CONGRESSIONAL' RECORD APPENDIX press corps, the publishers of our Nation's responst''le newspapers, nor a growing num- ber of Members of Senate and House on both sides of the aisles. While Huntley and Brinkley chuckle about the walking antics of the personable Pierre Balinger-a man who this writer admires and knows in a casual way-an accom- pushed journalist with an impressive back- [ ound for faithful dedication to the best interests of the fourth estate-we wonder. We wonder if it doesn't get awfully op- pressive to be on the inside these days. We wonder If even a stout fellow like the able and redoubtable press secretary doesn't often yearn to take a brisk bike Into the fresh, open air. In our opinion be has the most demand- tng job In Washington. It was Khrushchev who backed away. He prdnised to withdraw his- service personnel and arms from Cuba. Yes, there would be inspection permitted to assure compliance with this agreement. Yes, the process would atsrt as soon as we relinquished our blockade of the island. What a victory this was for ails free countries and the true friends of Ur}cIe Sam. Row plain it now was, that the Red plan was based on bluff and arrogance, hqw wonderful It was that the United States of; America had regained its global prestige d ea the acknowledged winner of a blood- Ie s showndown. The insults and threats uld be no more. Bo it seemed. iDisillusionment by reason of inaction and be the abandonmentof our Guantanamo 1aval Base in return for an exodus of the ussian guests? We anticipate with horror headline "Castro Stays-Gitmo Goes." For months the Cuban situation has rap- !0y worsened. It was first dented that '1,000 Russians occupied the island. Admin- iaation word declared that the Red missiles e gone, the launching sites destroyed, evacuation an accomplished fact. the tact With Russia honorably consummated, d the situation again under our control. (( This, we now know was utterly false and eliberately misleading. 11 When the comptssionate and levelheaded Bishop, John Knight, and other reputa- le and distinguished observers have their {craws full of managed news releases from he White House it is time to take heed. The Cuban refugees who were unlawfully med by way of typical Kennedy family anipulatiori swear that only a few of the ally potent attack missiles left Cuba. They maintain that more Russian troops and service personnel are arriving every week-that the huge assault weapons have been transferred to island caves-that Cas- tro is now a confirmed and powerless puppet. Refugees are excitable; these reports may i not be true. Our Cursory inspection of the departing ships of U.S.S.R. convinced the brains of Washington that there was full compliance With the arms withdrawal deal that Ken- nedy made with Khrushchev. Indeed, were not the tarps lifted on one or two of the suggkstive missile silhouettes that were ob- served on the decks of the Russian vessels? Indeed Were not the portions of the cargo thus exposed quite similar to the pictures We have seen of Russian rocketry on parade is the streets of Moscow? Did we board the ships and verify these assumptions? Did we lift the tarpaulin sheathe from the other packages to see if they covered real jet missiles or merely the severed trunks of royal palm trees? Did we inspect the caves, count the Russian guests on the Island? Did we insist that Nikita make good his bargain? We did not. Furthermore we are still relying on fuzzy pictures made from hedgehopping U.S. planes. We are told by way of the hood- winked press that Such is adequate proof that our doubts are unfounded. Incoming shipments show no rocket contours on the decks ? * - again reconnaissance photos, we are told, Indicate that a bicckade or con- tact inspection is unwarranted. Why further provoke or irritate the touchy and honorable Nikita? Why risk another incident? This editor Is not buying such custom- tailored trash and neither is the Washington Praise Given to Bureau of Land Man- agement Administration in Colorado EXTENSION OF REMARKS or HON. WAYNE N. ASPINALL or COLORADO IN THE HOUSE OP REPRESENTATIVES Monday, March 4, 1963 Mr. ASPINALL. Mr. Speaker, people generally, and Members of Congress in particular, usually hear only the com- plaints and criticism that are made about Government agencies. The Bu- reau of Land Management has been no exception to this general rule. As a welcome change, there has come to my attention a resolution adopted at the annual meeting of the Consolidated Wool Growers of Western Colorado, which was held at Hotchkiss, Colo. on February 13, 1963, expressing apprecia- tion to the Bureau of Land Management for Its "very good work in administra- tion of the sheep ranges in this district." In bringing this matter to the atten- tion of the House I would be remiss if I did not mention In passing the coopera- tive spirit that has been displayed by Mr. Lowell M. Puckett, State Director of the Bureau of Land Management. It is a pleasure to acknowledge the coopera- tion that Mr. Puckett has given to me and to the people of Colorado. I compliment the Consolidated Wool Growers for their constructive action In taking note of meritorious service and I include the text of the resolution with my remarks for the information of all Members: FinauAsr 13, 1963. At the annual meeting of the Consoli- dated Wool Growers of Western Colorado the following resolution was passed. This association wishes to express our ap- preciation to the Bureau of Land Manage- ment for their very good work in adminis- tration of the sheep ranges in this district. Their work In range Improvement Is notable. The development of stock water, In clean- ing of useless brush, In reseeding, in fenc- ing along borders of allotments, and for access roads add to practical management which show results In Improvement of the range. Sheep growers know and feel that it is time the public should know the land man- agement is doing all possible within the means they have to develops the potential of public ranges. We feel that in the last March 11 few years. the cooperative agreements have resulted In Improved conditions. Water development, in construction of water ponds has eliminated wasted trailing. The construction of dams has prevented erosion. The fencing program of the last few years has increased better management and has eliminated damaging, duplication of use. We feel that intelligent training and prac- tical application, and cooperation of users are bringing good results. Therefore this association wishes to thank the land management and its officers and pledge further cooperation. D. W. MCINTI&E, President. Will Clayton Speaks Out Against Cotton Controls EXTENSION OF REMARKS or HON. BOB CASEY OF TEXAS Hf THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. CASEY. Mr. Speaker, Mr. Will L. Clayton is well known throughout the Nation for his distinguished service to this country as former Under Secretary of State for Economic Affairs and As- sistant Secretary of Commerce. He is known throughout the world for his knowledge of the cotton business, as head of he great international firm of Ander- son & Clayton. I think It would be well for those who are endeavoring to manipulate the U.S. cotton Industry to heed the recommenda- tions contained in Mr. Clayton's brief remarks before the National Cotton Council in El Paso last January 28. So that others interested in U.S. cotton gaining Its rightful place in the world market may have an opportunity to read this distinguished statesman's recommendations, I have the privilege of inserting his remarks: RzsAAxs Or W. L. CLAYTON AT THE 25TH AN- NIIAL CONVENTION OF THE NATIONAL COTTON COUNCIL, EL PAso, TEx.. JAxvAaY 28. 1963 We are all indebted to Dr. Horne and to Mr. McCord for their lucid exposition of the critical danger the United States faces of losing its raw cotton trade. I have studied the council pamphlet of September 1962, and I am in complete agree- ment with Dr. Horn's conclusions, except I go farther than he in fixing the responsi- bility for this situation and in the steps that must be taken to correct It. To develop the points I wish to make, I must take you back to an historic meeting I attended in Washington in June 1933, al- most 30 years ago. This meeting was called by the Secretary of Agriculture. There were a`aout 100 men present, all In- terested in some aspects of the cotton busi- ness. As I remember it, the telegram calling this meeting was rather vague as to Its purpose, but soon after the meeting opened, it was apparent that its purpose was to get the cotton trade to approve a decision already made for t'-e Clover-went to pay farmers to plow up every third row of the growing cot- ton crop. I spoke out against this with all the vigor that I could command. I said if the Gov- Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 stretch and face up to their Pegu-Pyu dif- ferences at a later date. Agency for Inter- national Development officials want the Pegu-Pyu stretch to follow whichever route is found to be most economical and' tegh- nically feasible. MANDALAY-1960 (WITH APOLOGIES TO RUDYARD KIPLINO) By the Old Mulmein Pagoda, lookin' east- ward to the sea, There's a Burma project settin', and I doubt it works for me. But the White House says we've got to, and the foreign echoes say Come you back, you Yankee dollar, come you back to Mandalay. On the road to Mandalay, Where the ICA'ers play, Can't you hear their 'dozers Rangoon to Mandalay? On the.road to Mandalay Just another giveaway And the dough comes up like thunder from the good old U.S.A. Bargaining on Trial EXTENSION, OF REMARKS HON. RALPH HARVEY OF INDIANA IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. HARVEY of Indiana, . Mr.-Speak- or, under leave to extend my remarks in the RECORD, I include the following editorial from the Wall Street Journal of March 6, 1963. BARGAINING ON TRIAL Labor Secretary Wirtz has let it be known that, in his view, collective bargaining is on trial. Labor and management face their "last clear chance" to prove that they can work things out by themselves. If they don't, he strongly implies that the Govern- ment stands ready to take over. Looking around the Nation, it's not hard to find evidence that collective bargaining is indeed in trouble.. As Mr Grimes com- mented on this page the other day, tradi- tional bargaining procedures lately have proved of little help in the airline, railroad, aerospace, newspaper, and longshore indus- tries. How did bargaining get in such a bad way? Why is there increasing talk that "some- thing must be done" by Government? Ironically a large part of the answer is simply that Government has done so much already. Washington proclaims proper wage as well as price behavior. In purported de- fense of the public interest, Government officials roam the country intervening in labor disputes. Their intervention comes ever earlier, sometimes even before real bar- gaining has had a chance to begin. And its circle of interest grows ever wider, sweeping in even the Metropolitan Opera. The more the concept of public interest has been twisted and expanded, the more labor disputes become a matter of public shouting rather than private bargaining. In- creasingly, both sides see little reason for flexibility in their dealings with each other. Why should they try to work things out at the bargaining table? The chances are the Government will settle it anyway. It's true that both sides can still resist Government pressure up to a point. Thus the railway clerks on the Southern Pacific, In their eagerness to preserve featherbedding. feel free to ignore the findings of a Presi- Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 CONGRESSIONAL RECORD - APPENDIX A1285 York printers' union, denounced by the Pres- ident, blandly replies that Mr. Kennedy was misinformed. After all, they have before them the in- terestinq precedent of the longshoremen. When tile dockworkers resisted Federal pres- sure, the Government turned on the employ- ers and in effect forced them to accept a set- tlement. A settlement, in fact, that went be- yond the Government's own wage guide- lines. So it is hardly surprising that the Gov- ernment, as well as the would-be bargainers, feels a growing sense of frustration. It has stepped in too far and yet the only answer it sees is to get in even deeper. Unless, of course, those directly concerned with collec- tive bargaining should somehow overcome all the Government-imposed obstacles, pull themselves together and.regain mastery of their own affairs. The chances for any such development, in the current circumstances, are dim. For collective bargaining, even before the Gov- ernment stepped up its intervention, was being called on to accomplish too much. A labor official quoted by Mr. Grimes put it this way: "Collective bargaining was in- tended to handle specific problems between a specific company and a specific union." Where- those conditions still prevail, labor relations are often excellent. But even a cursory glance at today's America will show how far bargaining gen- erally has departed from the original con- cept. With their explicit exemption from antimonopoly laws, labor unions over the years have steadily expanded the area of bargaining to a point where negotiators are called upon to set wages and working con- ditions for employees in a wide variety of plants in a variety of geographical areas, often located throughout the country. Is this request entirely reasonable? The head of the Steelworkers Union admits to being out of touch with the real wishes of the rank and file, and other national union leaders cannot be much better informed. Yet, on their distant reading of the needs of their members, national unions now can and do close down not just a few plants but whole industries. In this situation, it is no solution to take the process of wage determination still an- other long step away from the workers-to entrust the problem to government. That way lies the road to complete economic regi- mentation, a regimentation that could hard- ly be expected to stop with wages. Surely it would make more sense to head in the op- posite direction, to try to bring about local bargaining in local plants over local issues. If collective bargaining is indeed on trial, it is government that has largely put it there. And government also must stand in the dock. EXTENSION OF REMARKS F HON. CLINTON P. ANDERSON matter is long overdue. That is the central point of a statement by the AFL- CIO Executive Council published on February 26, 1963. I ask unanimous consent that this statement be printed in the Appendix of the RECORD. There being no objection, the state- ment was ordered to be printed in the RECORD, as follows: STATEMENT BY THE AFL-CIO EXECUTIVE COUNCIL ON THE PRESIDENT'S SPECIAL MES- SAGE ON AIDING SENIOR CITIZENS, FEBRUARY 26, 1963 For the first time in our history the Presi- dent of the United States has sent to the Congress a special message on the problems of the aged and aging. The President's pro- gram recognizes with fresh perspective and clear vision that old age need not be char- acterized by anguish, fear and insecurity, that the phrase "the golden years" can in- deed become a reality for millions of more Americans, and that the Federal Government has an important role in helping States, local communities, and individual families in bringing this about. Of course, the first and foremost priority is hospital insurance. As the President so eloquently stated: "A proud and resourceful Nation can no longer ask its older people to live in constant fear of a serious illness for which adequate funds are not available. We owe them the right of dignity in sickness as well as in health. We can achieve this by adding health insurance-primarily hos- pitalization insurance-to our successful social security system." The AFL-CIO has called for the enactment of health insurance for the aged through social security and railroad retirement for some years past. Since our early support of such legislation we have witnessed an in- creasing recognition of the need for action, we have seen legislative proposals revised and modified and we have watched the support of thoughtful citizens and responsible orga- nizations strengthen and grow: In the devel- opment of the last. several years, these facts stand out: (1) The aged need health insurance: Health insurance has become the accepted way of paying hospital and other large health bills for the majority of Americans. The increased medical needs that come with old age make payment of major health costs at the time of illness utterly impractical for those living on a retirement income. Health insurance for the aged is imperative. (2) The type of insurance the aged need most Is hospital insurance: The greatest health expenses during old age are associated with hospitalization. A program of benefits emphasizing hospitalization and nursing home care is the most appropriate program for meeting the most urgent needs of the vast majority of the aged. (3) The only practical way to finance hos- pital insurance for the aged is based on the social security principle, with benefits: For those people who are not now covered by social security or railroad retirement fi- nanced out of general revenues. Our social of NEW MEXICO security system is today serving many mil- IN THE SENATE OF THE UNITED STATES lions of Americans in protecting them Monday, March 11, 1963 against loss of income through retirement, disability, or death. Beneficiaries have Mr. ANDERSON. Mr. President, earned this protection through contributions President Kennedy recently submitted made during their working lives. Social Se- to Congress his recommendation that a curity must be extended to protect people basic program of hospital insurance for against the fourth major threat, the high the aged be provided for Americans 65 cost of hospital and related care. Social in- surance, enabling people to contribute while and over primarily through the social they are working toward benefits which they security system. Thirty-five Senators receive as a matter of right at the time of joined me in introducing the Hospital retirement is far superior to a welfare pro- - Approved Foi' Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 A1286 CONGRESSIONAL. 'RUCOAD = APPENDIX March 11 gram. Social insurance prevents poverty and preserves dignity. (4) Public welfare medical assistance is only acceptable as a second line of defense: While public assistance medical can can- not substitute for social insurance, it can function as a supplement to the basic hoe- pitalization program of social security, just as old-age assistance has supplemented the OASDI system for a quarter of a century. The President answered well those who would rely solely on welfare medical pro- grams instead of social security financed in- surance when he so aptly pointed to the weakness of welfare medical assistance as helping people to get health care "only If they first accept poverty and then accept charity." (5) Private insurance can make a major contribution by supplementing the basic hospitalization plan. We can expect private insurance greatly to expand as it supple- ments basic hospitalization coverage through social security just as other private insur- ance grew after the passage of the original Social Security Act. (6) The time for action is now. We call upon the Congress of the United States to enact a program of hospital Insurance for the aged through social security and rail- road retirement at this session. Although irresponsible opposition has done all it can to confuse the American people about the Issues at stake, the vast majority of Ameri- cans young and old, can see through the sloganeering and were tactics, and will sup- port with enthusiasm the prompt enactment of the administration's-sound, practical pro- posal of hospital insurance for the aged. While the problem of providing hospital insurance for the aged supersedes all other matters that would improve the lot of the older members of our families, we cannot overlook the special needs of the aged In the areas of housing, income, employment taxes and special facilities and services. We con- gratulate the administration on the scope of its program for our older citizens and urge the Congress to implement It with prompt action. Cuban Caves ION OF REMARKS or HON. ELFORD A. CEDERBERG or MxcnIQAR IN THE HOUSE OF REPRESENTATIVES Monday, March 11, 1963 Mr. CEDERBERG. Mr. Speaker, for some weeks now there have been con- flicting claims about a Soviet military buildup in Cuba. In an effort to shed light on this sub- ject, my distinguished colleague from New Hampshire [Mr. CLmLANDI made a statement on the House floor Febru- ary 28. This statement largely con- sisted of material obtained from the Legislative Reference Service concern- ing the numbers and sizes of Cuban caves. The Information obtained was fragmentary and Incomplete. On March 8, 1963, the Chicago Tribune carried the following story on page 3: SCANT DATA AVAILABLE IN UNITED STATES oN CUBAN CAVES WASHINGTON, March 7.-Little public in- formation Is available about the thousands of underground caverns in Cuba. some of them of vast size, where Russian troops are reported to be storing large amounts of mili- tary equipment and supplies. It is known, however, that some are a half-mile long, with arching roofs as high as a skyscraper, the ground dry, and the tem- perature even, capable of storing the biggest missiles and jet bombers, as well as tanks and artillery of leaser size. Representative JAMES C. CLEVELAND, Re- publican, of New Hampshire, has placed in the CONGRESSIONAL RxcoaD a report on the Cuban eaves which he solicited from the Li- brary of Congress. The report cited some published references to the caves it found in library flies but it conceded that informa- tion was scarce. NO SPECIFIC KNOWLEDGE The US. Geological Survey, for example, told the library researchers that it had no specific knowledge of the number and sizes of the caves. This same lack of information apparently extends to the highest intelligence officers. When Maj. Gen. Alva R. Fitch, the Army's Chief of intelligence, told Senate investiga- tore yesterday of Russian activity indicating underground storage of weapons, his pre- pared statement first asserted: "There are several hundred caves in Cuba" "Hundreds" was later scratched out and "thousands" substituted. NOT ALL REMOVED Fitch noted persistent reports from refu- gees that not all long-range missiles had been removed from Cuba after the Russian agreement of last October 27. However, he indorsed the official administration position which expressed the "belief" that the Rus- sians have removed all strategic missiles. The refugee reports contend that 88 medi- um-range (1.600 miles) missiles were sent to Cuba and that only 42 were withdrawn last foal. The remaining 46 are underground, they assert. Such missiles easily could be hidden In Cuba's caves, Representative CLEvELAND noted. The Library of Congress reported some studies of the caves in Spanish publi- cations, most of them, however, describing explorations and pictographs found on the wails. One of these was a century-old "guide to the cave of Befamar," on the San Juan River near Mantanzas Bay. CLEVELAND said this lack of accurate In- formation concerning the number and loca- tion of Cuba's caves was distressing. "It seems obvious." he saiii, "that we should have collected this information. For more than 50 years prior to the Castro take- over we had freedom to acquire this in- formation. Our information-gathering pro- grams have lacked selectivity and Impetus" The gentleman from New Hampshire has diligently pursued his research on Cuban caves. On March 9, the Man- chester Union-Leader published the fol- lowing article on page 1: CLEVELAND ASKS DATA ON CUBAN CAVE NET- WORK WAsHINGTON.-A Congressman suggested Friday that it anyone has information on Cuban caves and their weapon-storage capa- bilities be should forward It to the Library of Congress. Representative JAMES C. CLEVELAND, Re- publican. of New Hampshire, said such data might help the Defense Department and con- gressional committees. He noted that the Army's chief Intelligence officer told the Sen- ate Armed Services Committee Thursday that Cuban caves may hide Soviet weapons. More than a week ago CLavxiAND told the House there apparently is little accurate in- formation on the size, number or location of Cuba's caves. "For more than 50 years prior to the Castro takeover," CLEVELAND said, "we had freedom to acquire this information. All of this sug- gests our information-gathering programs in the past have lacked selectivity and impetus" I am pleased to report that informa- tion is already being received by the Li- brary of Congress. I wish to applaud the nonpartisan efforts of the gentleman from New Hampshire. He has taken the time and trouble to help Congress obtain sorely needed background information on a matter of importance to all Americans. Old-Age Care and the Public Purse EX'T'ENSION OF REMARKS HON. MILWARD' L. SIMPSON OF WYOMING IN THE SENATE OF THE UNITED STATES Monday, March 11, 1963 Mr. SIMPSON. Mr. President, on February 25 I arose to praise an action of Wyoming's State Legislature in imple- menting the Kerr-Mills medical care bill. I now ask unanimous consent to enter in the CONGRESSIONAL RECORD a newspaper article on that same subject by the distinguished columnist, Holmes Alexander. Mr. Alexander has noted Wyoming's action in becoming the 28th State to provide medical care for Its aged under the Joint Federal-State aegis of the Kerr- Mills act. His comments' pay tribute both to Wyoming's State government and the laudability of the Kerr-Mills program. I ask that they be printed in today's RECORD as further evidence of Joint co- operation in meeting the needs of senior citizens through voluntary, economically sound programs managed by State gov- ernments. There being no objection, the article was ordered to be printed In the RECORD, as follows: OLD-AGE CARE AND-THE PUBLIC PURSE (By Holmes Alexander) WASHINGTON, D.C.-By the act of its cur- rent legislature, Wyoming becomes the 28th State to provide medical care for its aged under the Kerr-Mills Act by which the Fed- eral Government matches State funds. Although the bill passed the Wyoming House, 39 to 10, and passed the Senate, 27 to 0, the lawmakers are not happy about It. Neither is the Wyoming press. Every- body concerned seems to feel that the prob- lem Is bigger than the solution, that the new act is helpful and necessary, but in- sufficient and imperfect. All Americans of conscience, I surmise, wish that more could be done for the needy aged. It is a compassion that does the Na- tion credit, but it should not load us with a guilt complex that can be exploited by the bureau builders and denigraters of this greathearted land. Old age is a natural law, an act of God, which cannot be repealed by human legisla- tures. The best that mortals in a self-gov- erning society can do is insure that old per- sons In need are given medical aid which they, their communities, and their families are not willing or able to provide. It Is equally necessary for State and Fed- eral Governments to keep their guards up against chicanery and freeloading. Welfare racketeering has become a scandal. There are brigands who raid the public treasury behind masks of demagoguery. There are Approved for Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 1963 CONGRESSIONAL RECORD - HOUSE 3753 basis of this figure of 10,000 formally or there was a growth in sentiment to abolish and students, some were American security technically enrolled members. the Un-American Activities Committee. But personnel; but that even discounting as Thereafter in this speech, Mr. MCNa- he cited recent House votes to show the much as 25 percent there were still a good committee was in no danger of being many thousands of Americans reading the mara stated that on the basis of reports abolished. party line every week or month. filed with the Post Office Department Granted his calm, analytical talk was not just three Communist publications which The first Washington Post editorial, a "sensational" one, but it was warmly ap- could be described as "hard-core"-The based on this false news story, appeared plauded by YAF members in search of the Worker, People's World, and National March 6. It was as follows: truth find in-thewhich, Washington Post unfortunately, the they next did not morn- Guardian-had a combined average paid SEEING REDS ing. circulation per issue of about 50,000 dur- Francis J. McNamara, the staff director of VERNON W. HOLLEMAN, Jr. ing the year ending October 1961. that remarkable research organization, the Mr. McNamara pointed out that dur- House Un-American Activities Committe, let The editorial of apology-acknowledg- ing the same period, domestic foreign- it be known recently that there are 700,000 ing, in effect, that the distortion in the language publications which have been to 800,000 Communists in the United States. news report and the admitted bias, This is in rather striking contrast to assere venom, and irresponsibility of the early officially cited as Communist had a cir- tions by J. Edgar Hoover, Director of the editorial were to much even for the culation of about 46,000 and publications Federal Bureau of Investigation, that the of unions which have been found to be communist Party reached a top strength of Washington Post to attempt to defend- Communist-controlled and expelled from 80,000 in 1944, has declined every year since was carried this morning. It reads as the CIO as such, a circulation of about then and nosedived in 1961 to between 8,000 follows: and 10,000. SEEING RED FACES t The combined circulation Before anyone gets excited and starts talk- thhese these various categories of A letter from Vernon W. Holleman., as- - ing about tossing Mr. Hoover out of his job appearing elsewhere on this page today as- he added, is roughly 250,000. as an incompetent, It might be worth while serts that the Washington Post did an in- He said that in estimating readership to look critically at Mr. McNamara's com- justice to Francis McNamara, staff director on the generally accepted ratio of three putations. He said he arrived at his estimate of the House Un-American Activities Com- persons per publication, it would appear by totaling the circulation of all publications mittee, in reporting a recent speech by him. that between 700,000 and 800,000 persons officially cited as subversive and tripling this A subsequent editorial, Seeing Reds, based in this country regularly read either number in accordance with the usual adver- on the news story, compounded the in- hard-core party literature or party-line tising hypothesis that there are three read- justice. Inquiry has satisfied us that the ers for every subscriber. news story and the editorial were mistaken publications. Estimates of this kind used to be arrived in imputing to Mr. McNamara the implica- Mr. McNamara further qualified his at, somewhat haphazardly, by looking at tea tion that all readers of Communist publica- estimate with the statement that this is leaves or examining the entrails of sheep or tions are Communists. We genuinely regret not to be considered a gage of Com- multiplying the ambyranth of Q by the co- the imputation and the derisory tone of our munist strength because many paid sub- efficient of means square contingencies. But editorial comment concerning it, and we scriptions to these publications are ac- there was always an element of error in such tender to Mr. McNamara an unequivocal counted for by Government security calculations; and anyway the Communists apology. agencies and anti-Communist organiza- kept complaining that they were being un- (Mr. JOHANSEN asked and was given tions and individuals, and also by the derestimated. Mr. McNamara's method is fact that many Communists and fellow much more scientific. Naturally it costs a permission to revise and extend his re- little would obviously subscribe to little more money. This, evidently, is why marks and to include a news story from the House of Representatives last week the Washington Post, two editorials from more than one Communist or party-line voted, 385 to 20, to give the House^Un-Ameri_ the Washington Post, and a letter to the 20 And Mr. McNamara conciuaea that scientinc investigations this year. lice even if as much as 25 percent was to be dissenters seem content to hobble along with,. deducted from the total for these types that old-fashioned FBI. CUBA, REFUGEE SITUATION of readership, we are still faced with the Meanwhile, 2 days prior to the appear- ` -' ePEAKER pro tempore. Under fact that several hundred thousand peo- ante of this editorial, the following letter previous order of the House, the gentle- ple in this country are apparently sym- to the editor of the Washington Post was man from Florida [Mr. PEPPER) is recog- pathetic readers of hard-core and party- mailed by Mr. Vernon W. Holleman, Jr., nized for 10 minutes. line propaganda. - chairman, Metropolitan Washington Mr. PEPPER. Mr. Speaker, today I From the foregoing, Mr. McNamara chapter of Young Americans for Free- have introduced in the House the follow- offered the valid observation that it dom, protesting the distorted news re- ing resolution as a declaration of the would be obviously unrealistic to judge port. sense of this House: the totality of Communist strength and This letter was published in this morn- Resolved by the House of Representatives influence in this country by the figure ing's Washington Post, in the "Letters to of the Congress of the United States, That it of 10,000 members. the Editor"column adjoining the edito- is the sense of the House that the entry of Under leave to extend and revise my rial of retraction and apology, and is as Soviet armed forces into Cuba was and the remarks, I enclose at this point the follows: continued presence of such Soviet armed forces. in Cuba is a violation of the Monroe Washington Post news report on this COMMUNISTS IN THE UNITED STATES Doctrine and a menace to the security of the speech, published the next day, March 1: The headline and lead paragraphs of your United States; that the entry of such armed OVER 700,000 REDS BELIEVED IN UNITED STATES March 1 report about the February meeting forces into Cuba was and the continued Francis J. McNamara, staff director of the of the Metropolitan Washington Council of presence there is in violation of the prin- House Committee on Un-American Activities, Young Americans for Freedom were com- ciples of the Organization of American States said last night there was reason to believe Pletely false and grievously misleading. You and a menace to the security of all the there are 700,000 to 800,000 Communists in quoted Francis McNamara, staff director of American States; that the entry of Soviet the United States. the House Committee on Un-American Activ- armed forces into Cuba was and the con- McNamara said he arrived at these figures sties, as asserting there is reason to believe tinued presence of such forces in Cuba is in by totaling the circulation of publications that there are "700,000 to 800,000 Commu- violation of the Charter of the United Na- officially cited as subversive and then triting nists in the United States." tions because the presence of such armed this number. This is not the truth and it is not what forces in Cuba constitutes a threat to the the number in line with stand- Mr. McNamara said at the meeting. What he peace of the world: He tripled d advertising did say was that there are approximately Wherefore the Government of the United and atriple g practice, i which estimates people in this country who subscribe States, in such manner as the President shall there are three readers for every copy, he said. to Communist publications like the Sunday determine, should call upon the Organiza- McNamara admitted this method was Worker, foreign-language pro-Soviet publica- tion of American States and the United Na- vague and nebulous and said the committee tions, Communist-front publications, and tions to join the United States in a demand did not know for sure the exact number of party-line publications. ? that the Soviet Union shall forthwith re- Communists in the United States. Taking the normal ratio of 3 readers move all of its armed force from Cuba. He pointed out, however, that the figure for 1 subscriber he estimated that the I have also introduced the following of 10,000 generally cited as the total of readership of hard-core Communist publica- joint resolution having to do with the registered Communists, was misleading. tions, plus those who read general party-line Addressing a meeting of the Metropolitan material, totaled about 750,000. Mr. McNa- resettlement forthwith of the excess of Washington Council of Young Americans mara emphasized that some of these readers Cuban refugees now living in Dade for Freedom, McNamara acknowledged that were anti-Communist, some were teachers County, Fla., which includes my district: Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 37M CONGRESSIONAL RECORD HOUSE .Toni RzsoLuTioN To PEOVI-E FOR TIE ESTAD- AMMM" OF A COMMISSION 029 CUBM AW"M SET TITLE SECTION 1. This Act may be cited as the "Cuban Refugee Commission Act". EETABLIBnMFNT OF COMMISSION on CIJEAN EarvcEZa Sac. 2. (a) There Is hereby established a commission to be known as the Commission on Cuban Refugees (hereinafter referred to as the "Commission"). (b) The Commission shall be composed of the Secretary of Health, Education, and Wel- fare, the Secretary of Labor, and the Secre- tary of Commerce. The Secretary of Health, Education, and Welfare shall serve as Chair- man. (c) The members of the Commission shall serve Without compensation in addition to the compensation for their services as head of a department, but they shall be reim- bursed for travel, subsistence, and other necessary expenses incurred by them in the performance of the duties of the Commis- sion., (d) The Commission may utilize the facili- ties and personnel of the departments under the respective jurisdictions of the mergbers of the Commission. Duties of the commission Sac. S. (a) The Commission shall establish, t operate, and maintain a program for the f orderly relocation of refugees from Cuba from the Dade- County, Florida, area to such other areas within the United States as may be appropriate. Such program shall be con- ducted with due regard to the job oppor- tunities, housing facilities, public educa- tional facilities, and other pertinent factors existing in each relocation, area to the end that an excessive burden shall not be placed on any one relocation area. (b) The Commission shall initiate and conduct a study, on a continuing basis, of the respective problems involved in the re- location and resettlement within the United States of refugees from Cuba. Such study shall devote particular attention to the eco- nomic and social factors Involved in such relocation and resettlement with particular reference to job opportunities, housing fa- cilities, educational fac111tiCS, and oppor- tunities and facilities In general for adap%- tion of such refugees in each relocation and resettlement area to the way of life in the United States. The Commission shall sub- mit an annual report to the President for presentation to the Congress of the results of such continuing study together with such recommendations as the Commission deems advisable. SEC. 4. There is hereby authorized to be appropriated annually to the Commission, to remain available until expended, such sums (not to exceed the amount of $25,000,000 an- nually) as may be necessary to carry out the purposes of this Act. Mr. Speaker, I believe that those who have criticism to offer about the present threatening and disturbing situation in Cuba owe It to the country to try to do something constructive or to offer criti- cism which will be helpful in the solution of the grievous burdens respecting that unhappy island which our President now has to bear. We all know the awesome responsibility the President has had to bear to meet the challenge of commu- nistic imperialism In Cuba and to re- move from power In the unhappy island of Cuba that creature whose regime has been the source of aggression and sub- version against all the American States. The President deserves the oommenda- tion of the country indeed he has re- celved the acclaim of the Nation-for the courageous and effective manner in which heconfronted aggressive commu- nistic imperialism in Cuba and forth- with required before the observing eyes of the world the removal of the offensive missiles and planes which constituted a dangerous threat to the safety of the American people. And the President has received and continues to enjoy the gratification of the country that he is steadily bringing about the removal of Soviet armed forces from Cuba and in his announced determination that the remainder of such forces shall be with- drawn as the spearhead of communistic Imperialism In the Western Hemisphere. But the coming of such Soviet Armed Forces Into Cuba and their continued presence In Cuba is a matter of concern not only to the United States, but to every State in the Western Hemisphere and to every peace-loving nation in the world. Such forces strengthen the hand of communistic subversion and aggres- sion in the Western World; they consti- tute a dire menace and threat to the security of every American state; their presence in Cuba constitutes a distinct and dangerous threat to the peace of the world. That is the reason, Mr. Speaker, I have Introduced today a resolution ex- pressing the sense of this House that the Government of the United States in such manner as the President should deter- mine should call upon the Organization of the American States and the United Nations to join us in a demand that the Soviet Union forthwith remove all of Its remaining armed forces from the island of Cuba. The added strength, of the Organization of American States and the United Nations to our own demand will give It greater force and power and abate the breach of the Monroe Doctrine, the breach of the principles of the Organ- ization of American States and the breach of the United Nations Charter which theirpresencein Cuba constitutes. Mr. Speaker, on the first day this House met in the 88th Congress, I introduced a resolution declaring It to be the sense of this House, among other things, "that the fair Isle of Cuba must and shall be freed of the curse of Castro and com- munism " I have been assured ajl.ear)y hearing by the subcommittee of the House Foreign Affairs Committee upon this resolution. It does not attempt to prescribe for the President of the United States the method by which this high purpose shall be achieved but it does un- reservedly and Irrevocably decWre the sentiment of the Congress of the United States that Castro and communism must go from Cuba and that we shall never falter in our det rrminatinn that this isle formerly called the jewel of the Car- ribean shall be freed of this curse and the Western Hemisphere of this menace. I am sure when our President speaks shortly in Costa Rica among those most endangered by the threat of Castro and commussm from Cuba he will spell out many ways by which the American States can cooperate with other freedom- loving and peace-loving nations of the world in eradicating Castro and com- uiusim ffnm Cuba. It would seem tome that other of the American States March iX would wish to break all diplomatic rela- tions with Cuba as the United States has done; close their ports to Cuban ships and Cuban exports; require the closing of all Cuban embassies, minis- teries and consulates In the respective American countries to stop them from continuing to function as hot beds and spawning grounds of communistic ag- gression and subversion in the several American States; that the several Latin American nations should cooperate more closely with the United States in the coordination of their political, eco- nomic and military policies respecting Cuba as long as Castro's or any Com- munist government shall be in power; that the United States should also call upon all friendly states everywhere in the world to stop commerce with Castro or communistic Cuba and if such states persist in giving aid, strength, and com- fort to our enemy in Cuba that we should advise them that neither their ships nor their commerce can enter the United States; that we should not ex- tend economic assistance or cooperation even through international financial in- stitutions to states which manifest that they prefer the friendship of Castro and communistic Cuba to that of the United States. I know we can depend upon our President to do what Is the best thing to accomplish the objective upon which we are all united to free Cuba, the Western Hemisphere and the free world from the curse of Castro and communism and to remove the bridge- head of commuistic imperialistic ag- gression from the Western Hemisphere. Mr. Speaker, Castro and communistic tyranny In Cuba have brought to Dade County, Fla., some 200,000 Cuban refu- gees fleeing from communistic terror; many already robbed of all their posses- sions before they departed, others giving up everything they had in order to breathe the air of freedom in America. Our Government has willingly and gladly given sanctuary to these exiles from communistic persecution and horror; more than that we have been glad and proud to give them succor and sustenance in our country; we have extended to them the hand of fellowship in freedom and given them words of encouragement that we shall hasten the day when they may return to a free Cuba again. But, Mr. Speaker, the congregation of over 200,000 of these refugees in Dade County has im- posed a very serious economic burden upon the people of our county. In spite of the some $70 million a year the Federal Government has given for the sustenance and care and education of the children of these refugees, they still have felt it necessary in order to enjoy a higher level of living or subsistence than the funds federally provided enable them to enjoy to go into our economy and take by re- sponsible estimate some 30,000 jobs. We already had a labor surplus in Dade County. It is inevitable that the refu- gees willing to work at almost any wage have not only taken the jobs of many of our local citizens, but have lowered the wage scale for all of the people who work in our county. I wish we had jobs enough for our people and a surplus ad- equate to meet the needs of the refugees. Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 Approved For Release 2004/06/23:.CIA-RDP65B00383R000200220015-2 1 O 3 CONGRESSIONAL RECORD - HOUSE 3755 I have, striv n in ever,r, way I could missile operation clearly had ulterior pur- However,' the Soviet Union is certainly e to Induce the Federal pavernment to poses. preparing the elimination of Castro at the help us to o provide more jobs in Dade 'The Soviet Union in Cuba is faced with a opportune moment, namely when it becomes County; t provide funds o assure Fed- variety of problems, but the Cuban thorn in either convenient or unavoidably necessary. the Soviet foot is Castro himself. He is prob- This would probably be accomplished by one eral participation in Interama which ably not more popular in the Kremlin than of two techniques: (1) a connived military would immediately pr.w_ ?.e thousands in the White House. Impossible to get along coup by trusted elements of the Cuban Army of additional jobs for the people of our with, it has so far been impossible for the and militia, or (2) to have Castro suddenly county; to aid us in getting defense Kremlin to get along without him. and officially declared insane, to which an contracts for which we are-in so many 'Soviet armed forces are in Cuba neither element of plausibility would not be lacking. t o attack the United States nor to defend Then Castro would be immediately incar- ways so much suited; to decjare us eligi- ble for the benefits of the area redevelop- Cuba against the United States. They are cerated in padded luxury on the shores of ana otnerwise? we are. striving to get Monolithic communism exists only when space-age industries located in Dade,_ sheltered by Red bayonets. This explains County, a natural and highly desirable why Soviet garrisons were established in the location for them; we have labored to increase social security benefi s, welfare assistance, educational aid and, in short, we have been trying, in every way we could to assist our people in the hope that after our own, citizens had gainful employment of suitable character there would be a surplus of jobs for the Cuban refugees. But we have not yet reached that point. . The Federal Government has not yet given us the assistance which we feel we are entitled to receive in giving jobs to the unemployed among our own citizens let alone the refugees, We are continu- ing to struggle to achieve this end. But meanwhile, thoueands of our people are out of work, many of them having had their jobs taken by Cuban refugees. Until we can provide enough jobs for our own people and a surplus for the ref- ugees, it is imperative that we immedi- ately institute :a resettlement program which will remove to other parts of America-which, I am sure, will also hos- pitably receive them-the surplus refu- gees beyond our ability to absorb them in jobs not required by our local people. The agencies have been working upon the problem, but too little has been done and what has been done .has been done too late. Accordingly, I have to- day introduced a resoultion to set up a high level Cabinet committee to insti- tute and immediately to effectuate a resettlement program for the Cuban refugees which will relieve this excessive burden and pressure upon our own people. I hope the Congress will take prompt action upon this resolution and give our people the relief to which we have been,long entitled and avoid an unhappy increase in tension which has grown up in Dade County, between our displaced citizens and the Cuban gees on account of .t fir iiattral effort to better themselves above, the level of bare subsistence almost which, the boun- ty of our Government provides. Mr. Speaker, before I conclude, I want to commend to every Member of this House and thee Congress a, letter entitled "A cQmmun}o, tiappearing in the Sunday Marc 16issue of the Washing- ton Post by the Honorable John C. Wiley, former Ambassador of the United States to Columbia, Iran, Portugal, and Pana- ma, and who, though in retirement, re- mains an able and wise counselor of his country, -" - A tIOMMTNICATION The public parade of Soviet missiles into tuba and the complacently public parade of the same n[iisslles out of Cuba appear too obvious for a simple explanation. The Soviet before the takeover. It also explains the successful rejection by China, Yugoslavia, and Albania of the primacy of the Kremlin. The first schismatic was Trotsky. A refugee in a foreign country, armed only with ideas, he was easily disposed of. Mao Tse-tung is no Trotsky. His elimination, were it possible, would not close the chasm with China. Mao represents a massive, or- ganized movement in a great country. When he disappears from the scene his cadres will survive. .But can the Soviet garrisons in Cuba in this late date successfully. impose the Krem- lin's authority in a remote island under a native leader, a self-anointed Communist and domineering authoritarian who achieved power, like Mao and Tito, without active Soviet assistance? -In Cuba, Soviet authority is, of course, great but it is limited. It has long been clear to Moscow that Castro has quietly be- come the ally of Mao, Throughout Latin America, the young, fiery Communists are much more attracted by the revolutionary afdor of both Mao and Castro than by, to them, the staid coexistence of Khrushchev. True, Castro's Cuba is dependent on the Soviet Union for desperately needed eco- nomic aid and for arms, munitions and mili- tary support. In this area, Mao Tse-tung can neither" rep lace nor compete with Khru- shchev, but at the same time, Moscow can-, not prevent the covert financing of Castro- isin by China and the clandestine collabora- tion of Castro with Mao throughout Latin America. Effective foreign policy is based on altern- ative courses of action. This is a principle followed by the Soviet Union as demon- strated over long years by frequent zigzags. What alternative policies can the Kremlin pursue toward Castro; what" zigs and which zaks bnly three alternatives seem to exist. The "first would be for the Soviet Union to wash 'its hands of the whole Cuban affair. This is obviously out of the question, if only for compelling reasons of prestige. The second alternative would be for the Soviet Union and Communist China- to divide the world into two noncompetitive geographical spheres of influence. Such a pact would be difficult to negotiate and still more difficult to carry out. Neither could trust the other. The third alternative is draconian, the harsh decision to eliminate Castro and replace him with someone subject to monolithic Krem- ainR discipline. This move is doubtless the only feasible choice, but it is one that re- quires subtle and careful preparation and great operational skill. 'The elimination of Castro would not be foreign to Soviet procedures but it would the Caspian. Hopes rampant among Cuban refugees that disaffection in the Cuban armed forces will lead to the overthrow of Castroism are as illusory as the conception that led to the fiasco of the Bay of Pigs. Without a sim- ultaneous invasion by the United States, any anti-Castro initiative within Cuba, not con- trived by the Kremlin, could and would be quickly suppressed. But what about the Soviet missile bases in Cuba? Surely Khrushchev did not need missile bases within Cuba itself in order to keep Castro in line. Obviously not, but they have served as a supremely astute stratagem with Castro for the Introduction of Soviet armed forces into Cuba, not merely forces to defend the Com- munist regime against internal disaffection, but primarily to deal with Castro whenever desirable or necessary. The missile bases in Cuba were indeed a magnificent multipurpose example of Soviet guile. They were a tit for the tat of Ameri- can missile bases on the very fringes of Rus- sia. Moreover, in addition to their intrinsic military value, they constituted excellent bargaining pawns for the removal of our bases from Italy and Turkey. And whether the missiles introduced into and removed from Cuba were genuine or Potemken stage settings, they were excellent weapons for psychological (political) warfare. Now, the only effective opposition to Castro in Cuba is the Soviet Union itself. In any event, Khru- shchev deserves credit for having perpetrated the most brilliant stroke of international chi- cane of the of the present century. The Soviet Union continues to threaten war on the American mainland if the United States attacks Cuba. This is putting dry froth on stale beer. The Soviet Union knows perfectly well that the United States has no intention of attacking Cuba, just as we know perfectly well that the Soviet Union has no intention of attacking us with nuclear weapons should we do so. However, there is always the dangerous possibility that Amer- ican activities with regard to Cuba might help to incite the old, perhaps compulsive urge of the messianic Russians to seek new pastures-pastures and warm waters-and serve as a precedent for so doing. This pos- sibility has not been diminished by develop- ments in Iraq and Yemen. Middle East petroleum, or rather the threat of its denial to the West, could easily press the button of the holocaust. Under existing - circumstances, Cuba does not involve the vital interests of any, except the Cubans themselves. On the other hand, the Middle East touches the vital interests of many. A cradle of civilization, it could be its deathbed. JOHN C. WILEY, Former Ambassador to Colombia, Iran, Portugal, and Panama, who retired from the Foreign Service in 1056. now be premature. First, Castro is still an UNIVERSAL MILITARY TRAINING asset internally in Cuba and his departure AND SERVICE ACT might precipitate the open break with Peip- (Mr. DERWINSKI (at the request of 1ng that Moscow wishes to postpone until the Mr, CLANCY) was granted permission to mo.Inent arrives for a still harsher decision: what. to - do .to prevent Communist China extend his remarks at this point in the from developing sophisticated atomic weap- RECORD and to include extraneous, ons, and when to do it. matter.) Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 3756 Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 CONGRESSIONAL RECORD -- HOUSE March 11 Mr. DERWINSKI. Mr. Speaker, the aid commitments to Brazil. Nothing in ren which appeared under the title "The action of the House this afternoon in the release indicated that any part of Chief's Column," in the February issue approving the extension of the Universal U.S. funds would be used to help finance of the Army Reservist. Military Training and Service Act serves the trade agreement between Brazil and General Warren, who is Chief of Army a; necessary and practical need. With Russia, although State Department of- Reserve and ROTC Affairs, exhorts all world tensions growing rather than Ies- facials knew this to be true. unit commanders to draw all equipment sning, our Armed Forces remain the I have made inquiries to the State De- to which they are entitled on paper, ap- protectors of peace In the world, serving partment concerning this matter and parently without regard to the needs of as they do not only in defense of the have been told that Brazil probably the units or whether they are at full United States but also protecting the would not get as much as she was ask- strength or half strength. security of all free world nations. jug for. Subsequent to this, another re- Writes General Warren: The Soviet Union, in its consistent lease was issued pointing out that Bra- Failure to draw this equipment not only propaganda, attempts to don the mantle zil's finance minister would be here to- could have an adverse effect on future equip- ot peace but their policies remain clear day to negotiate further loans and a ment budgets, but also on programs for in- ti) observers, that is, the hope for world "qualified source" indicated the sum creased storage facilities, maintenance tech- 4otnination. would be In the neighborhood of $450 to niclans. spare parts and tools. America is free, America maintains $500 million. Here again, nothing was The important thing, according to this leadership in the world because of said as to what plans had been developed message, is to draw the equipment so Our tremendous military establishment. for the expenditure of this money. that it will all be used up and therefore The extension of the draft is necessary, Whether it is $1.5 billion, $450 million, justified. I suggest that the Appropria- F d I commend my colleagues of the or $1 makes no difference. The Ameri- tions Committees will want to examine Ouse Armed Services Committee for can taxpayer does not want his money this activity most closely, especially since e rapid manner In which they proc- used to expand Russian trade with any we were told that high school ROTC had 4ssed this proposal, the first major leg- country. to be sacrificed due to budget needs. 1plation approved by the House. The camouflaged releases prove once General Warren is in charge of Reserve again that the news managers are work- and ROTC. It is apparent to me that AIDING RUSSIA AND NEWS ing at their best. A commitment like ROTC was to be sacrificed to the bureau- ] this is preposterous and to delude the cratic habit of drawing all equipment, MANIPULATION American taxpayer by deliberately man- spending all the money, and making a (Mr. HARSHA tat the request of Mr. aging the news, when the officials in the good justification In the ledger books on kk_Ncy) was granted permission to ex- State Department know that portions which to base future budget requests. nd his remarks at this point in the of these funds will be used to help fi- I understand the Pentagon has backed ECORD D and to include extraneous nance and expand Communist trade with down some on its plan to abolish high flatter.) Brazil, is not in the best Interests of our school ROTC. Indeed they had better Mr. HARSHA. Mr. Speaker, the news national security and under no circum- do that and also see that the old army anagers are back in rare form. They stances can it be justified. game of "spend today so you can get Eve left no stone unturned in trying Not only is any negotiation that would more tomorrow" is given even closer at- e hoodwink the public. The Brazilian enhance Red trade foolhardy and detei- tention. vernment previously announced it was mental to our national security, but in The article referred to will be inserted ding a mission, headed by Finance direct confict with the stated purposes at the end of my remarks, but I would inister San Thia.go Dantes, to Wash- of our tremendous defense budget and call the attention to two other passages ngton n to seek liberalized terms on exist- foreign aid outlays. Managing the news which clearly indicate to me that the Ing loans and $1.5 billion in new U.S. Is most dangerous and detrimental to instructions in this case are based solely loans and investments over a 3-year our national security, and it is done for on the desire to show Congress that eriod. Part of the 3-year plan the one purpose and one purpose only and there is a need for more money because United States would be asked to help that is to control our thinking. all the previously appropriated money ance was a $160 million per year long- We should not be treated as a mass was used up. rm agreement between Brazil and unable to comprehend. The American Note these two passages: ussla, but this fact is being cleverly taxpayer is entitled to know where his An additional danger in the conversion concealed. money is going, he's paid enough tuition. of functional use of space is that failure to Previously, a meeting between the News manipulators should be ferreted use space for functions prescribed In ap- Ptate Department and the Brazilian mis- out along with those who are advocating proved space criteria, can bring about the Sion was scheduled for March 4. This such a disasterous loan. I believe Con- elimination of that space on the basis that meeting was postponed until today. I Kress should take a long, hard look at any it is not required since it is not used for the previously requested an explanation such policy. The administration should designated purpose. rom Secretary of State Rusk as to state publicly that it does not advocate In the end, by having the equipment on a policy of enhancing the Soviet econ- hand, the need for additional supporting Ewhy the U.S. Government would en- and call a halt to such ludicrous technicians, spare parts and the required tertain any transaction or negotiation Only extension of facilities will be clear for all to E for any sum, whether it be $1.5 billion negotiations. a"? or $1, to enhance trade negotiations be- Copies of this material will be directed (tween Brazil and Russia. To date, I SPEND, SPEND, SPEND TODAY SO to the Armed Services and Appropria- 1have received no answer. YOU CAN SPEND TOMORROW, TOO tions Committees. I am certain it will i The State Department's foreign policy with Latin America is "an exercise in (Mr. CUNNINGHAM tat the request of be of value and interest in both commit- futility." The administration is calling Mr. CLANCY) was given permission tees. [for $11 billion to be spent In curtailing to extend his remarks at this point in the The entire article is as follows: Ithe Communist threat in Latin America RECORD and to include extraneous mat- TIME CHIEF'S COLUMN and now the State Department is enter- ter.) A matter of vital concern to all of us Is taming negotiations with Brazil to help Mr. CUNNINGHAM. Mr. Speaker, I the amount of equipment available to sup- finance and expand a trade program with think I would be naive indeed to say that port the Army Reserve. Equipment must be available in Army Reserve centers to that country and Communist Russia. we in Congress are not aware of the un- conduct proper home station training on a The result of such a deal would enhance written law of bureaucracy that requires year-round basis. the Reds' position in Latin America and the spending of all appropriations so that Additional equipment is essential to meet make our expenditures futile. future requests for larger appropriations the expanded requirements of summer camp Last Monday, a release was issued that can thus be justified. training. The Berlin callup emphasized the the U.S. Government and Brazil were Seldom, however, do we find that this need for equipment to meet mobilization planning to start high level, economic unwritten law has been put down In requirements. talks In Washington, March 11, to deter- writing. But I have at hand a column As a direct result of the Berlin Gallup, I mine America's disposition toward new written by Maj. Gen. Frederick M. War- additional funds have been provided in Army Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 I 44 g~ 3'704 Approved For ReI~~ ~SSIONAL IRECORDB SENATE 200220015-2 1v . this point in the RECORD an article en- titled "District of Columbia Negro Paper Backs POWELL," written by Richard Wil- son and published in the Des Moines Sunday Register of March 3, 1963. The article relates some of the prob- lems with respect to the recent furor over the actions of a Member of the House of Representatives, and also in- cludes an editorial entitled "A Des Moines Negro View," which first ap- peared in the Iowa Bystander, a weekly newspaper published at Des Moines by and for Negroes. The editorial takes a point of view of the situation entirely different from that expressed in a Washington, D.C., newspaper published for Negroes. There being no objection, the article and editorial were ordered to be printed in the RECORD, as follows: [Prom the Des Moines Sunday Register, Mar. 3, 19831 Dwraxcr or CoLussIA NEoao PAPER BAC$a POWSLL s (By Richard Wilson) ' WAS$INOTON, D.C.-Critics of ADAM CcAT- ToN PowE=.L should not indulge In the il- lusion that he lacks prestige in the nation- wide Negro community, or that the recent attacks on POWELL have shaken this pres- ti a very much. vowmLL is much admired as a symbol even by those who may deplore some of his acts. He seems to many Negroes to be one of their race who has broken through racial prejudice to stand on his own as an individ- UAI. In Washington, with its 54 percent Negro population and its 84 percent Negro school enrollment. criticism of PowsLL rasps on raw nerves in the Negro community. ZZACTED ANGRU.T The Washington Afro-American, one of the chain of newspapers which strongly af- fects Negro opinion, reacted angrily to the attempt of Clark R. Mollenhoff of the Reg- later's Washington bureau to pin down Pow- ELL at a press conference. The prize-win- ning investigative reporter was probing PowELL on the charges of Senator Jogs Wx.r.i.us, Republican of Delaware, who accuses Pow=.L of extensive abuses of his congressional position with the connivance of Kennedy administration officials. The reporter, a Drake University football star once optioned to the New York Giants, was criticized in a page 1 story in the Afro- American both for his questions and his physical condition. "The pasty-faced Mollenhoff, who resem- beld a former shotputter who has let him- self go to pot, tried repeatedly with just a trace of preciousness in his. slightly Lisping voice to put POWELL on the spot," the article stated. It continued with Its derision of the reporter but told little of either the questions or answers at the press conference. An editorial In the Afro-American elab- orated on these- views, centering its attack on Senator Wiuiaass and Columnist Drew Pearson. The editorial predicted the day would come when "this great civil rights fighter (PowELLJ attains even greater heights.- "When he does," the editorial continued, "18 million colored thumbs are going to go up to i8 million colored noses to remind Drew Pearson and Senator Wn.z.IAMs that 'what's good for you white geese is sure good for us colored ganders: " The editor of the Washington Afro-Amer- ican is C. Sumner Stone, Jr., who signed his name to the page 1 news article as "Chuck Stone." Stone will not long remain as editor of the Afro-American. He has been appointed pub- lic affairs officer In the U.B. Information Service and will be placed in charge of the office In Tanganyika. His responsibility there will be to carry out programs of USIA Intended to give to the residents of the former British colony In east Africa a clear and accurate picture of conditions, opinions, attitudes, and culture of the United States. Stone says that be expects to go to Tan- ganyika in April. He reinforces in conver- sation his views stated in the Afro-Ameri- can. "I could take you into the bars and barber shops and street corners In Washington and show you that 95 percent of the colored people think that the attack on PowzLL was clearly racial," he says. "POWELL has pulled a lot of deals we don't like, but if he Is going to be criticized It has got to be on the Negro's terms." ANOTHER NEGRO VIEW It Is impossible to convince Stone and most Negroes within sound and sight of PoweLL that Wn,w ass was inspired by any- thing but racial feelings in spite of his long record to the contrary, and in spite of the role he has played over many years in the exposure of serious abuses in Government. Negroes sharing the view of Stone, and only grudgingly aware of PowELL's long and flagrant violation of generally accepted con- gressional standards. white or Negro, can- not conceive of any but a racial reason for WI.LIAM's attack. This is saddening. It Is more saddening that POWELL can play upon the misguided Negro racism which to so evident In the words and tone of the Washington Afro- American. The dialog between the races In Wash- ington does not seem to be Improving In anywhere near the measure that the cir- cumstances justify. Nor is it reassuring that the well-mannered, well-dressed, but passionately spoken Stone is going to Tan- ganyika to Interpret America to the people and officialdom of an emerging nation. an'PERENT VIEW Wet get quite a different view than Stone's of Negro attitudes when another Negro jour- nalist, Simeon Booker, of Ebony magazine, speaks. Booker is writing a book which he intends to make a balanced account of the need for Negro self-improvement as well as a plea for the opening of fairer opportunities. He points out that POWELL does not have much support or sympathy "among people who think." Booker's tool is rationality; Stone's is emotion: PowzLL's is flimflam. [From the Des Moines Sunday Register, Mar. 3, 19831 A Des Mosxes Nrcao View (The following editorial appeared in the Iowa Bystander, a weekly newspaper pub- lished at Des Moines by and for Negroes.) It often happens that some people, placed in a position of responsibility and promi- nence, use this situation to abuse it by doing things a far less prepared citizen does. Rep- resentative ADAM CLAYTON POWELL, of New York, is an excellent example of this. A minister of one of the largest churches in America, elected from a district compris- ing mostly Negroes and Puerto Ricans, POWEIx has moved up to chairmanship of the Health, Education. and Welfare Commit- tee. In this post, he could be a power in Congress and serve as an example for younger people to point to with pride that a Negro had attained such a commanding position. There are those who opposed his elevation to that high post but the system of seniority made the choice automatic. March 11 However, Representative Pow.ELL, unlike some other Negroes serving in Congress, has abused his position by his continued absen- teeism from duty, by loading up his staff far out of proportion to the other chairmen. He has abused the expenditure of public funds and he has failed or refused to pay his taxes to the Government which pays his salary. These derelictions of duty have brought stern criticism from Members of both Houses to the extent never before witnessed, and all because the charges lodged against him are true. Here is a public servant, a minister who, instead of conducting himself in a straight- forward manner, has done many things which bring disgrace, distrust, and shame, while representing a district whose people are entitled to a leader who should bring honor and prestige to the position which he holds. There is no excuse for Representative PowzLL's conduct. It should not be con- j LAYS~TEVEN&N'S UNDERSTAND- ' INC} OF THE SOVIETS Mr. Mrr.I,>? u.. Mr. President, I ask unanimous consent to have printed at this point In the RECORD an article en- titled "Wilson Finds Adlal Slow to Un- derstand Soviets," written by Richard Wilson and published in the Des Moines Register of March 7, 1963. In his article, Mr. Wilson, a distin- guished columnist, indicates some con- cern over the fact that the U.S. rep- resentative to the United Nations has apparently taken such a long time to come to grips with the nature of the international Communist conspiracy. There being no objection, the article wag ordered to be printed in the REC- ORD, as follows: Wu.soN FINDS ADLAI SLOW To UNDERSTAND SOVIETS (By Richard Wilson) WASHINGTON, D.C.-In an interview 'with the Associated Press, Adlai E. Stevenson has revealed the attitude of mind toward Russian negotiations which so many have found hard to understand. With 2 years' experience as U.N. Ambassa- dor, Stevenson says that he has changed his mind about the Russians. He has dis- covered that they will stubbornly support positions which they seem fully prepared to reverse when it is expedient to do so. It seems Odd that Stevenson would have had to learn such a lesson, for this has been the uniform experience of Secretaries of State for the last quarter of a century. Stevenson has been a student of foreign affairs for at least that long. EXPECTED RUSSIA TO ACCOMMODATE Stevenson's statement is implicit confir- mation that the Kennedy administration came Into office with the belief that a new set of conditions with Russia could be created. The United States should be able to accommodate itself in some ways to Rus- sian policy, and, In turn, if the negotiators were skillful enough, Russian policy would make accommodations, too. Thus Secretary Rusk began his "quiet" diplomatic moves. President Kennedy con- ferred with Premier Khrushchev. New thoughts were formulated by Walt W. Rostow, McGeorge Bundy, and Paul Nitze. Under almost all conditions new solutions were pursued. About all this has proved was that the American political administra- tion bad changed, but the Russian political administration had not. Approved For Release 2004/06/23-: CIA-RDP65B00383R000200220015-2 1963 CONGRESSIONAL RECORD - SENATE Still, the idea that the Russians could control-'of student job patronage. A clear- somehow be made to see the light was hard ance system reportedly has been set up to put down. This frame of mind has per- whereby the names of all students who have sisted right through the Cuban crisis, mani- filed applications for summer employment festing itself in the care exercised in not in Government agencies will be sent to the pushing Khrushchev too far, too fast when White House, along with information as to 1 tt AA if n e l THINKS RUSSIANS CAN BE HANDLED The result, to borrow a phrase from Col- umnist Arthur Krock, has been half-won victories, which the administration con- tinually advertises as great triumphs. In the wake of Khrushchev's withdrawal of missiles from Cuba a wave of euphoria washed over Washington. Large but poorly described changes were foreseen. There were premonitions of some new order in the world based on Khrushchev's back down and his quarrel with his Chinese allies. It was sup- posed that the noncommitted nations were losing their fascination with Russia. Ad- ministration officials spoke of the missile withdrawal as if it were some historic turn- ing point. But now all the airy castles built on the shifting sands of the imagined new world order are coming tumbling down. The cold war seems to have been renewed. Khru- shchev is seen to have achieved important objectives in Cuba, though not all he sought. The test ban negotiations are again in a state of collapse. We are warned once again that Russia will burn us up if we touch Cuba. TROOPS ARE STILL THERE It does not appear that there is much to be gained by not pressing advantages against the Soviet Union to their full limit when it was possible to do so, as in Cuba. Now, months after the fullest pressure could have been brought, Russian troops are still in Cuba. We do not know how many are being taken out. Nor have we achieved all the aims we sought when we confronted the world with the imminent prospect of nuclear war. There is_ enough now to confirm Steven- son's newfound wisdom about the Russians. We should keep the pressure on them when we can and gain the most from it. Only too soon they will have found new ways to move toward their unchanging general objectives. SUMMERTIME STUDENT JOBS IN THE FEDERAL GOVERNMENT Mr. MILLER. Mr. President, I ask unanimous consent to have printed at this point in the RECORD an editorial en- titled "Plum Jam," published in the Mil- waukee Sentinel of March 7, 1963. The editorial relates to the recent announce- ment that appointments of student trainees to Federal jobs during the sum- mertime will be cleared through the White House. There being no objection, the editorial was ordered to be printed in the RECORD, as follows: Each year, more than 10,'60 students are given summer jobs by the ederal Govern- ment. The jobs mainly are'In Washington. Quite a bit of personal political patronage is involved, although the Civil Service Com- mission requires applicants to pass 'civil service examinatigns for c'le`rical td plst, and stenographer job`s. In tne" `case of student trainee, jobs, in which college students take Federal suummer ' employment in what the Government hopes will be their Federal pro- fessions after graduation, they are selected from civil service registers. Now a storm of protest hasblown up in Congress following a report in the Washing- ton Star that the White House has taken ege a e home States and the co any). Assuming that it is essential in the first place to hire 10,000 students for summer Federal work, the action of the White House in having them all run through the Presi- dential funnel for clearance fouls the civil service system. Worse yet, this latest action appears to be but another example of a New Frontier attitude that is disdainful of the spirit, if not the law, of Federal civil service. In a Senate speech rapping the White House student patronage plan, Senator MILLER, Republican, of Iowa, accused the ad- ministration of having "an irresistible urge to play politics with our civil service system." "First," Senator MILLER recalled, "there was the shocking direetive to civil service employees that they should be expected to participate in trying to sell proposed new programs to the general public. This was belatedly and grudgingly withdrawn due to the revulsion of the public in general and carreer civil service employees in particular. Next our civil service employees were pres- sured to buy $100 tickets to the Democratic fund raising dinner here through the clever device of having them invited to cocktail parties of their bosses if they had purchased a ticket. * * * And now, this administra- tion apparently is not going to wait until people have civil service status for an op- portunity to engage in partisan political activities." The Kennedy administration defends the plan by saying that its primary concern is that the student talent be put to the best use possible and groomed for regular Federal employment when the youths graduate. Desipte this high sounding explanation, the plan is high handed. It's something new in the way of harvesting political plums-pick 'em while they're green. PROGRAM UNTIL. AFTER WHEAT Mr. MILLER. Mr. President, I ask unanimous consent to have printed at this point in the RECORD an article en- titled "Shuman Asks Congress To Wait until after Wheat Referendum To Write Farm Laws," published in the American Farm Bureau Federation's official news- letter of March 4, 1963, together with table 1, which indicates the various fac- tors which have ocurred in the reduction of the carryover of feed grains. The table points up in an excellent way why the reduction of the carryover, in feed grains is due in very minute part to the emergency feed grain program of the last 2 years. There being no objection, the article and table were ordered to be printed in the RECORD, as follows: SHUMAN ASKS CONGRESS To WAIT UNTIL AFTER WHEAT REFERENDUM To WRITE FARM LAWS Charles B. Shuman, president of the Amer- ican Farm Bureau Federation, has urged Congress to delay any decision on the type of_feed grain program to be in effect after 19?3. 11 He said the legislators should wait until after the signup under the 1963 feed grain program has been completed and the result of the forthcoming wheat referendum is known. 3705 At a House Agriculture subcommittee hearing last Thursday, Mr. Shuman said that if the wheat referendum carries, "there still will be ample time to consider and adopt a feed grain program for 1964. "If the wheat referendum does not carry, which we think more likely, then by all means this commitee and the, Congress should consider wheat and feed grains together." There is urgent need for a more effective, less costly, and less disruptive program," the Farm Bureau president declared. "We pledge our support in helping to de- velop such a program when the results of the wheat referendum are known." Here is the full text of Mr. Shuman's statement at the hearing: "We appreciate the opportunity to discuss the operation and results of the 1961 and 1962 feed grain programs. We also would like to comment briefly on the 1963 feed grain program and its implications. Finally, we would like to discuss with this committee a course of action which we believe would be wise and best for farmers. "Before we get into a detailed discussion of the feed grain program, we would like to urge strongly that this committee delay any decision on the type of feed grain program to be in effect after 1963, until (1) the signup under the 1963 feed grain program has been completed and announced and (2) the multiple-price wheat referendum has been held and the result is known. Our reasons for asking the committee to delay any decision on a feed grain program are: 1. Most feed grains are spring planted. There will be ample time, after the wheat referendum, for action by Congress on a future program for feed grains. 2. The signup for the 1963 feed grain pro- gram will continue until at least March 22 (or later if the time is extended). No one knows until then what feed grain producer reaction will be to the 1963 compensatory payment program. 3. If the complicated, restrictive, multiple- price wheat program is approved in the up- coming referendum, one set of circumstances will prevail. On the other hand, if it is voted down, this will create substantially different conditions for wheat, feed grain, and livestock producers. If this happens, this committee and the Congres would then most certainly want to reanalyze the entire wheat, feed grain, and livestock prob- lem in order to do justice to all producers. This committee should not tie its own hands by acting prematurely, without having all the facts necessary for sound judgment. You are well aware of the fact that Farm Bureau has a membership of over 1,607,000 farm families in 49 States and Puerto Rico. Most of our members produce feed grains and livestock although many, of course, have a larger economic stake in other commodities. A large number produce wheat and feed grains. Our members strongly believe that feed grain and wheat legislation are closely related and that both affect livestock pro- duction and prices. We strongly believe that any future programs for feed grains and wheat should be considered together. RESULTS OF 1961 AND 1962 FEED GRAIN PROGRAMS The administration claims that the so- called emergency feed grain program has been a great success, since the buildup in supplies has been halted and some progress has been made in reducing carryover stocks. What are the facts? Fact 1. A sizable majority of the eligible producers gave the program a "no confi- dence" vote by staying out, both in 1961 .and 1962. In - 1961 only 42 percent of the farmers with corn and grain sorghum bases signed program contracts. In 1962 contracts were Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2 3706 Approved For RelT,?,0fi 43k:1 @gW0O*I?ig 00220015-2 j, .tr~h 1Y signed by 44 percent of the producers with corn and grain sorghum bases and 29 per- cent of Lose with barley bases. Pact. The acreage that was diverted under the program did not result in a cor- responding reduction in feed grain plant- ings. In 1961 the Government contracted for approximately 4 acres for each .3 acres by which corn and grain sorghum plantings were reduced from the 1959-60 base. In 1962 it contracted for approximately 5 acres for each 3yz acres by which corn, grain sorghums, and barley were reduced from the 1959-$0 base. In 1959-60 the total acreage planted to the four principal feed grains averaged 151.3 million acres. .In 1961 farmera planted 129.3 million acre to feed grains and were paid for di- verting 26.7 million acres. Thus, the total of 156 million acres planted or diverted in 1061 was 4.7 million acres ,greater than 1959-60 plantings. In 1962 farmers planted 125.9 million acres to' feed grains and were paid for di- verting 32.7 million acres. Thus, the total planted .pplus the acreage diverted rose to 188.6 mitlion.acres, or'7.3 million acres more than the average planted in 195060. The increase in feed grain acreage (in- eluding diverted acreage) under the pro- gram reflects increased plantings by non- participating farmers and adjustments in the base acreage of participating producers. Pact 3. The production of feed grains was reduced less than the reduction in acreage planted because yields increased. Apologists for the program have attrib- uted most of the 1961 Increase in yields to weather. But yields rose again in 1962. (Per-acre corn yields averaged 53.8 bushels in 195940 and rose to 82 bushels In 1961 and 64.1 bushels in 1962.) In 1961, as compared with the base period 1959-60, the acreage devoted to four feed grains was reduced 14.5 percent and the production of four -feed grains (total ton- nage basis) was reduced 7.9 percent. In 1982, as compared with the 1959-60 bade, the acreage devoted to four feed grains was reduced 16.8 percent and the produc- tion of four feed grains was reduced 6.2 per- cent. " Pact 4. The reduction in feed grain stocks has been due almost entirely to increased utilization and not to the Government pro- gram. At the beginning of the 1981 marketing year, feed grain stocks totaled a record of 84.7 million tons. By the beginning of the current market- ing year stocks had been reduced to 71.8 mil- lion tons, Only a very small part of this reduction of 12.9 million tons can be at- tributed to the ' feed grain program. The production of feed grains was reduced 15 million tons in 1961, but barley, and oats--which were not included in the 1961 program-accounted for 3.1 million tons of this reduction. One of the most significant factors In the feed grain situation is the increase In utiliz- ation which has been occurring. Domestic consumption and exports of feed grains in- creased $.1 million tons in the marketing year 1981 (as compared with 1980). To summarize, under the 1961 program, stocks were reduced 12.9 million tons, but if there had been no increase in utilization and no reduction in the production of feed grains not covered by the 1961 program, the reduc- tion in carryover would have been less than 2 million tons. It now appears that stocks will be reduced 10.8 million tons (from 71.8 to 61 million) during the 1962 marketing year. This re- duction Is almost entirely accounted for by Increased utilization and a reduction In the production of oath. As compared with 1961, total production of feed grains increased 2.5 million tons (from 140.6 million tons to 143.1 million tons) and exports are expected to decline by about 1.7 million tons this year. By the fall of 1962, feed grain stocks will have been reduced by a total of approxi- mately 23.7 million tons from the 1981 level. But, if there had been no Increase In utiliza- tion and no reduction In production of crops not under the program, the total reduction in stocks would be only a little over 2 mil- lion tons (see table 1). Thus, 90 percent of the reduction In feed grain carryover was due to factors other than the effect of the emergency program. Fact 5. The total direct cost-41.7 bil- lion--of the 1961 and 1962 feed grain pro- grams cannot be justified by what has ac- tually been accomplished under these programs. 55ARKE PRICES DEPRE58En Early in 1961, when this committee was discussing the 1981 feed grain program we spoke out against one of Its most disturbing features. We called this the obvious threat to use the Government's huge surplus stocks to beat down the market price of feed grains. We denounced this proposal as a brandnew and fallacious concept. We con- tinued to oppose the dumping of CCC feed grain stocks during the 1962 program. We have continually pointed out that this use of CCC stocks Is bad for our market system for grain and that it severely penalizes pro- ducers who want to sell their feed grains on the market. As we have already pointed out, consider- ably more than 60 percent of all feed grain producers stayed out of the feed grain pro- gram in 1981 and In 1962. Dumping CCC feed grains on the market held down their market price and, of course, lowered their incomes. We also pointed out early in 1961 that dumping feed grain stocks onto the market would ultimately adversely affect poultry. dairy, and livestock production and prices for these commodities. Let us review briefly what has happened in this regard. Poultry and dairy production have con- tinued above what they would have been if CCC stocks of feed grains had not been dumped. Prices of both these commodities have been depressed because of this unwise action. Numbers of hogs coming to market and cattle on feed and being marketed are also up considerably. Hog prices are down, and top cattle prices have taken one of the sharpest drops in history-over $7.00 per hundredweight since last fall. This, too, has been caused In part by the dumping of CCC stocks of feed grain. We realize that some persons have sup- ported the feed grain program on the ground that it has been an effective way,of pouring "free money" from Washington Into the feed grain areas. But what Is happening cur- rently to livestock, dairy, and poultry prices would Indicate a loos in income to feed grain, poultry, dairy, hog, and cattle producers of several times the payments made to feed grain growers under the 1961 and 1962 pro- grams. THE 1963 TEED GRAIN PROGRAM As we stated previously, It is too early to determine the reaction of feed grain pro- ducers to the 1983 program and the results that can be anticipated from its operation. The slgnup period has several weeks to run. The 1963 program has most of the bad fea- tures of the 1961 and 1962 programs and, in addition, contains a provision for Brannan- type compensatory payments. Since pay- ments are to be made on the "normal" yield of planted acres, they encourage producers to participate on a minimum basis and to di- vert their poorest acres. As members of this committee know, we are opposed to the compensatory payment concept. Our reasons for opposing~pay- ments are spelled out in our 1963 policies as adopted b the voting delegates of the mem- ber State Farm Bureaus: "Compensatory payments are proposed in a variety of forms. Regardless of the form in which presented, the payment approach is unsound and dangerous to our economic and political system. It would be fantastically expensive and would stimulate production, Increase unit costs, depress market prices, lead to tight production controls, and make farmers dependent on congressional appro- priations for a substantial part of their total income. "Limitations on payments to individuals would place a ceiling on opportunity and level farm incomes downward. "Payment programs would socialize the production and distribution of food and fiber by having consumers pay a part of the cost through taxes-rather than full value at the store. This is a trap for producers. Ulti- mately, the payment approach also would be a trap for consumers, since It would en- courage inefficiency and thereby result in high real costs of food and fiber. "We vigorously oppose any system of com- pensatory payments for agriculture." In summary, we strongly urge this com- mitteee to delay any further action on a feed grain program until after the multiple price wheat referendum. If the wheat referen- dum carries, there still will be ample time to consider and adopt a feed grain program for 1964. If the wheat referendum does not carry (which we think more likely), then by all means this committee and the Congress should consider wheat and feed grains together. Finally, we have pointed out why we be- lieve the 1961, 1962, and 1983 feed grain pro- grams have not, and will not, solve the basic problem in feed grain and livestock ag- riculture. There Is urgent need for a more effective, less costly, and less disruptive pro- gram. We pledge our support in helping to develop such a program when the results of the wheat referendum are known. TABLE I. Factors in the reduction of feed grain stocks [In million tons] 1961 1962 Total Reduction in production from 1080 of crops covered by program: Corn -------- .------------------ 7.9 7.4 15.3 Orain sorghum_________________ 4.0 3.1 7.1 Barley-------------------------- ------ 0 0 Total_________________________ 11.9 10.5 22.4 Reduction in production from 1980 of crops not covered by program: Barley -------------------------- .8 ------ .8 Oats____________________________ 2.3 2.0 4.3 Total------------------------- 3.1 2.0 5.1 Increase in utilization from 1960 marketing year------------------ N t ff t f d i i d 8.1 8.3 16.4 ec e e o uct on n pro uc- re tion of o s not o e ed b - cr p c v r y pro gram and increase in utilization on carryover___________ -10.3 -21.5 Total reduction in carryover-- r 10.8 23.7 Reduction In carryover due to food grain program-------------------- .1 .5 1 2.2 Norf.-It may be argued that the carryover would have increased It there had been no feed grain program. The point, however, is that the program has done little except to stop the buildup. The reduction In accumu- lated stocks is almost entirely due to Increased utiliza- tion and reduced production of feed crops not covered by the program. Mr. MANSFIELD. Mr. President, I suggest the absence of a quorum. The PRESIDING OFFICER. The clerk will callthe roll. The legislative clerk protieeded to call the roll. Approved For Release 2004/06/23 : CIA-RDP65B00383R000200220015-2