THE UNITED STATES MUST RESPOND PROMPTLY TO NEW SOVIET THREAT IN CUBA

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP72-00337R000200260010-8
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 4
• Document Creation Date: December 15, 2016
• Document Release Date: August 10, 2001
• Sequence Number: 10
• Publication Date: September 28, 1970
• Content Type: OPEN

September 2A4p1V0ged For RiWb01 B991Q L- 2-OBMUM0200260010-8 }I9291
the seas, will be overcome by NOAA. Un-
like our space programs, this Nation's in-
volvement in the oceans is a partnership
between these various elements of so-
ciety. Each is contributing substantially
and each has a rightful role to fulfill in
the future.
Mr. Chairman, I urge my colleagues
to support Reorganization Plan No. 4 and
thus to , disapprove House Resolution
1210.
(Mr. MOSHER asked was given per-
mission to revise and extend his re-
marks.)
Mr. HOLIFIELD. Mr. Chairman, I yield
5 minutes to the gentleman from Florida
(Mr. RoGERS).
Mr. ROGERS of Florida. Mr. Chair-
man, I thank the gentleman for yeild-
ing.
Mr. Chairman, I just want to say I
too regret that I must disagree with my
distinguished colleague, the gentleman
from Michigan (Mr. DINGELL) about this
reorganization proposal.
Our committee, as has been pointed
out before, on oceanography held weeks
and months of hearings on the prob-
lem of NOAA. I regret that the reorga-
nization plan did not make the agency
a separate and independent agency. I
think that would have been the proper
approach. I regret also that the Coast
Guard was not included in the reorga-
nization.
However, I believe this is a step for-
ward and eventually probably will result
in a separate independent organization
with even more of the constituent agen-
cies.
I have heard the argument that be-
cause sports fishing and commercial
fishing would be transferred they would
suffer at the hands of commerce. I do
not share that feeling. I believe just the
opposite will be the result.
People must realize that all of the cur-
rent employees basically who are now
administering those programs will be
transferred almost in toto. They will not
have new personnel come in who are
against any of these programs. Rather, I
believe this will be given new impetus
and new force in the Department of
ommerce, because this will be the maj-
r effort now of the Department of
Commerce. It will be the largest part of
its budget, and the major emphasis of
the Department of Commerce will be
now in this area, and I believe we are
going to see added help for sports fish-
ing and the whole fisheries environment.
I am encouraged that this will happen.
I am sure our committee will do over-
sight on all the activities they may carry
out, and I am sure this will be the result.
I also believe they will give this added
budget strength. Certainly, when we look
at what has been done in the past with
respect to sports fisheries and commer-
cial fisheries, it is nothing which any of
us can wave the flag about. We are far
down on commercial fishing. We have
gone down compared to other nations. I
know I am not satisfied with respect to
the activities of sports fishing off the
coast of Florida. We ought to be doing
more to protect and conserve the sports
fisheries.
This is what I anticipate will be done.
I would urge rejection of this resolution
and approval of this plan as a first step
in eventually bringing about an inde-
pendent organization for the develop-
ment of the resources of the sea.
Mr. ANDERSON of Illinois. Mr. Chair-
man, I rise to urge the defeat of the res-
olution of disaproval to Reorganization
plan No. 4 which would establish in the
Department of Commerce a new Nation-
al Oceanic and Atmospheric Adminis-
tration. I enthusiastically endorse NOAA
as an essential requisite in the formula-
tion and implementation of a national
policy for the oceans. And there is no
doubt in my mind that there is a need
for such a policy and such an organiza-
tion as man turns increasingly to the
sea for new solutions to the problem of
survival. As former Maritime Adminis-
trator Andrew E. Gibson put it:
It is the sea of which we must look ...
to feed a growing population. It is this sea
from which we must harvest not only food-
stuffs buts its vast resources of minerals. It
is the sea to which we must look by means
of desalination for the very water necessary
to sustain life in the future. .. . Put suc-
cinctly, as a nation and people ... we will
live or die by the sea.
Mr. Chairman, the Congress recogniz-
ed this back in 1966 with the passage of
the Marine Resources and Engineering
Development Act. In that act we estab-
lished a National Council on Marine Re-
sources in the Executive Office of the
President, and we authorized a 2-year
study to be made by a newly created
Commission on Marine Science, Engi-
neering, and Resources under the, able
chairmanship of Dr. Julius A. Stratton.
The results of that exhaustive study were
released in January of last year in the
report, "Our Nation and the Sea." One
of the top priority recommendations of
that Commission was the creation of a
National Oceanic and Atmospheric
Agency.
In the words of the Stratton Commis-
sion report:
We believe that it will mobilize the re-
sources of our Government in the most effec-
tive manner to lend strength and power to
the Nation's marine commitment. The incre-
mental cost in taking prompt action for con-
solidation will in itself be relatively small.
The added effectiveness for the fulfillment of
the national program should be enormous.
The Commission report went on to note
that the proliferation of marine pro-
grams throughout some 23 departments
and agencies of the Government made
virtually impossible any unified national
thrust in the oceans, and therefore, "a
new, strong Federal focus for marine ac-
tivity" was urgently needed.
Mr. Chairman, after reading the Strat-
ton Commission report early last year, I
concluded that this was a major area for
national concern, and I testified before
the Oceanography Subcommittee of this
body in favor of a new organization for
the oceans. All told, that subcommittee
heard some 92 witnesses on the NOAA
proposal, most of whom urged affirmative
action on this proposal.
I think we owe a great debt of grati-
tude to the Stratton Commission, to the
Oceanography Subcommittee, to the
Ash Commission, and finally to the ad-
ministration for bring this proposal to
full fruition in this reorganization plan.
While this NOAA differs in some respects
from that originally proposed by the
Stratton Commission, it still draws
heavily from their recommendations both
as to structure and role.
Under this reorganization plan, a num-
ber of Federal marine-related missions
will be brought together under NOAA in
the Department of Commerce for the
purpose of fully and effectively explor-
ing and developing our marine resources
while avoiding the type of oceanic en-
vironmental degradation and depletion
which might result from a haphazard
approach. This plan recognizes the need
and indeed the necessity for a coordi-
nated and unified national ocean policy
to avoid the perils of pollution and over-
population and deliver on the promises
and potential of this last great frontier
on earth. If we do not organize effec-
tively for the careful exploration and
constructive exploitation of this last
great frontier, we will soon be faced
with a global resource problem of crisis
proportions. It would be little consola-
tion to know that this would be our last
crisis on earth.
Mr. Speaker, I urge defeat of this reso-
lution so that we can get on with the
very exciting and urgent task of meeting
the challenges and possibilities which lie
waiting beyond our shores.
Mr. ERLENBORN. Mr. Chairman, I
have no further requests for time.
Mr. HOLIFIELD. Mr. Chairman, I
yield myself such time as I may con-
sume.
I should just like to say this is an
important plan, as we note when we
study the number of employees, 13,250
positions, and the projection of 13,750.
Most of these functions that are to be
transferred over to this one entity are
related services and related functions in
the field of national oceanic and atmos-
pheric programs. We are proliferating
these programs all over the map, and
there has to be some. concentration of
them so that we will, know where they
are and can handle them as an entity
rather than in fragmented areas,
The success of this agency will de-
pend, in my opinion, more upon adequate
funding and adequate programs than it
will on the actual structure involved. It
can be good the way it is, or it can be
just as good or perhaps better if it is put
together into one agency, but in the last
analysis it will depend upon how much
financial support is given to these agen-
cies and functions that are outlined un-
der this consolidation of like functions.
I believe that the President under the
reorganization-plan procedure has set up
a plan which is orderly and which in gen-
eral comports with the purposes of the
Reorganization Act. Therefore I am sup-
porting the plan.
Again, because this is a resolution of
disapproval, those who vote on this plan
who are for the plan will vote "no" on
the disapproving resolution and that
automatically will be a vote for the plan.
Mr. Chairman, I have no further re-
quests for time, and it has been stated
on the other side that there are no fur-
ther requests for time.
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The CHAIRMAN. The clerk will read. handed as to be useless in determining Mr. FASCELL. Mr. Speaker, the White
The Clerk read as follows: foreign policy positions in the world of House statement last Friday, September
H. RES. 1210 1970. 25, that the United States would view
Resolved, That the House of Representa- But that would be a matter of opinion. with grave concern any attempt to estab-
tives does not favor Reorganization Plan I am more interested at the moment in lish a base in Cuba for the servicing of
Numbered 4 transmitted to the Congress by pointing up a demonstrable fact concern- Soviet nuclear submarines, came none
tie President duty 9,1970. . tt discovery of which uI am indebted to too I fully support the President's state-
Me. F
at the HOLIFIELD. rtt Chairman, a the
my own slovenly habit of rarely throw- meant.
mode ehor the Committee; do now rise ing anything away. It is this: This public warning to the Soviets ap-
Ho eept the resolution back to the The American Security Council ques- pears to be based on intelligence devel-
Huse with the recommendation that tionnaire which was sent to me-"an oped by the Department of Defense, in-
thThesmution be rejected. opinion leader in Washington"-on July dicating that such a base is in the process e cc motion wasaomm to 15 carried a mailing tab unmistakably of being established at Cienfuegos in the
Accordingly having resumed the chair, and identical to mailings which have arrived southern part of Cuba.
Me Speaker having resumed air , at my home from numerous other orga- I am today calling the Subcommittee
Me ANDREWS of Alabama, Chairman of nizations-all of them legitimate, but all on Inter-American Affairs to meet in an
the State of fee the e the Union, House that identified with the far, far right. urgent executive session with high Gov-
th, reported One of these groups utilizing the same ernment officials, to review this situation.
shaS om at Committee, having had under con- on- mail list was the Conservative Victory I am also requesting the chairman of
approve House ezationtola an Nu to dead Fund. in this one our colleague, the gen- the Armed Services Committee to give
approve he reported the back to the tleman from Ohio (Mr. AsuBRooK) was every consideration to the requirements
House w with ith the the recommendation ck that the urging me--also by computerized letter- of strengthening our military and naval
the to join in an effort to defeat such good capability in the Caribbean region.
resolution rejected. Th.e friends as JOHN BRADEMAS, DoN EDWARDS, Nearly 3 months ago, in the course of
The SPEAKER. Th question is on the and DicK FuLTON-and to help boost the - my subcommittee's hearings reviewing
resolution. fortunes of Senator MURPHY and Phylis the security situation in the Caribbean,
question The SPEAK Ras taken. Schlafly, among others. I raised this very issue with high-rank-
The SPEAKER. the opinion the af- the In another mailed message delivered to ing officials of the administration and the
Chair, the resolution, , not having my door with the very same address tab, top U.S. military commanders responsi-
agreed responsi-
thorized vote r a majority of e, is Senator BARRY GOLDWATER asked me to ble for the Caribbean region.
thorized to. membership of the House, is au-
send $15 to Young Americans for Free- I had stressed that only a short time
agreed dom-ostensibly to help counter a mil- earlier, in May of this year, the second
So the resolution was rejected. lion-dollar kitty purportedly collected by group of Soviet naval units visited the
the New Mobe for their moratorium rally Caribbean and first stopped in Cuba at
GENERAL LEAVE TO EXTEND last October. the port of Cienfuegos.
Mr. HOLIFIELD. Mr. Speaker, I ask Still another appeal came from the Na- That Soviet naval force included an
Members tional Right To Work Legal Defense and Echo II type submarine which had nu-
unanimous consent that all Education Foundation, Inc.-again with clear capability, eight firing tubes, and
may have 5 legislative days in which to the same, easily identified mailing tab. a range of approximately 400 miles.
revise and extend their remarks on the the thrust of this organization's message I had pointed out to executive branch
resolution just passed and include ex- was that union officials alone had socked witnesses that the presence of Soviet nu-
traneous matter. $60 million into Hubert Humphrey's cam- clear naval units was drastically chang-
The SPEAKER. Is there objection to paign, and unless we right-thinking citi- ing the security balance in the Caribbean
the request of the gentleman from zens took legal action to halt them, those and required the U.S. Government to
California? same union officials would spend even take prompt steps to reverse the policy of
There was no objection, more in this year's congressional elec- curtailing our naval and shore facilities
tions. The range of suggested contribu- at Key West, at Boca Chica, at the Home-
THE AMERICAN SECURITY COUNCIL tions: $5 to $500. stead Air Force Base, and at other instal-
AS VIEWED BY A MAN WHO NEVER On and on runs the identically ad- lations in Southeastern United States.
THROWS ANYTHING AWAY dressed torrent-appeals from every con- Adm. E. P. Holmes, commander in
ceivable new creation of that far-out chief of our Atlantic Command, agreed
(Mr. VAN DEERLIN asked and was fringe of the right, usually with the right that it would be a "folly" to cut down
given permission to address the House palm turned upward in a political cam- U.S. military and naval capability in the
for 1 minute and to revise and extend paign year. face of this new Soviet threat.
his remarks.) I commend these organizations on On July $, and during subseque
Mr. VAN DEERLIN. Mr. Speaker, we their frugality in combining mail lists. hearings, I repeatedly called to the a
were treated last week to another Of And I suppose if I did not save them all, ministration's attention the many reports
those campaign-year reliables, the "rat- in desk space that surely could be put to which I received indicating that facilities
ing" of Senators and Congressmen ac- better use, I might be fooled into sup- for servicing Soviet nuclear submarines
cording to the ideological lights of a posing that each of these peas came from were being constructed in Cuba.
particular organization. a different pod. Information now available to the De-
The new entry in this field calls itself Mr. Speaker, I shall be glad to share partment of Defense and the White
Council the American Security , the fruits of my easily assembled detec- House seems to confirm those reports.
headquarters at 1101 17th h Stre Street NW. listing, tive work with anyone interested in in- I believe that it would be a drastic
here Washington. specting it. Meanwhile, any colleagues mistake for the administration to invite
The council's approach was essentially low rated by the American Security a repetition of the 1962 Cuba missile
the same as other rating or an bed Council should be no more concerned crisis by failure to act promptly and de- h vetfa business. labor, sponsors said, on than if their rating came from the liberty cisively to nip this new Soviet challenge
veterannssIt was based, sponssors said, on lobby, in the bud.
a selected group of 10 votes touching on Which it probably did. The track record of Soviet policy has
war licy and ce betwe between n this s and and other her demonstrated that once they embark
Onllyy difference -,/ upon the course of trying to change the
vote rating systems was that the Anie - THE UNITED STATES MUST RE- military balance in a given region, they
can Security Council based its own poot SPOND PROMPTLY TO NEW SO- will continue ahead until they are
sit
com. put ni questionnaire on the results from a which it mass sent o-
ut VIET THREAT IN CUBA stopped. zed in min mid- -J uly. - (Mr. FASCELL asked and was given This has almost happened once in
Impartial observers might charge that permission to address the House for 1 Cuba. It has happened since in the Medi-
the council's multiple-choice questions minute and to revise and extend his re- terraneaher areas in the Indian Ocean and in
were loaded, or In the main so heavy marks.)
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September 28, T7
Cols ~O AL It ~- ~
As the first step, I believe it is impera-
tive that the United States move
promptly to beef up our military capa-
bility in the Caribbean region. This
means that our facilities at Key West,
Boca Chica, and Homestead should be
immediately restored to full strength.
The stakes involved in any potential
conflict in the Caribbean, and particu-
larly in any United States-Soviet con-
frontation in that region, are going up
each day.
I warned about this months ago, and
I am today repeating that warning.
I believe that to wait any further is
to court disaster.
The United States should and must re-
spond promptly and forcefully to this
new Soviet challenge.
I am gratified that the White House
is turning its attention to this urgent
problem. I hope that this will result in
actions along the lines I have suggested.
Mr. SIKES. Mr. Speaker, will my dis-
tinguished colleague yield?
Mr. FASCELL. I yield to my distin-
guished colleague from Florida.
Mr. SIKES. I wish to commend my
distinguished colleague from Florida
upon his statement. I endorse what he
has said and join in his concern. I feel
that the United States must move, and
move vigorously, and that the commit-
tees of Congress should fully explore the
threat to our security and to the hemi-
sphere, which appears to be developing,
in the area to which the gentleman re-
ferred.
Mr. RIVERS. Mr. Speaker, will the
gentleman yield?
Mr. FASCELL. I yield to the distin-
guished chairman of the Committee on
Armed Services.
Mr. RIVERS. I thank the gentleman.
I assure him that we have known about
the proposed base for some time, and I
have been preparing to release some re-
marks on the subject. For 4 months I
have been preparing remarks, which I
intend to deliver today. In a conference
report, consideration of which we con-
cluded on Thursday, we have included
$435 million for the Navy as a beginning
effort to beef up our Navy to be able to
meet the threat we know the Soviets are
creating. The item is in the conference
report which will be up tomorrow. But
this afternoon I intend to speak on the
subject.
I want to thank the gentleman. The
time is now to do something about this.
Mr. FASCELL. I agree with the gen-
tleman from South Carolina.
MRS. JESSIE BALL DU PONT
PASSES
(Mr. BENNETT asked and was given
permisson to address the House for 1
minute and to revise and extend his re-
marks and include extraneous matter.)
Mr. BENNETT. Mr. Speaker, Mrs.
Jessie Ball du Pont, of Jacksonville, Fla.,
and Wilmington, Del., passed away at
Nemours, her estate near Wilmington,
on this past Saturday, and will be buried
there today. She was one of the most
beautiful characters I have ever known,
full of love for humanity and with a zest
for life, and wholesomely dedicated to
making life better for others. Yet, she
never claimed credit for the vast amount
of good she did; and most of it was done
anonymously.
Since she was the widow of an ex-
tremely able and wealthy man, Mr. Al-
fred I. du Pont, and the sister of another
outstanding business leader, Mr. Edward
Ball, some who knew her only slightly as-
sumed that her tremendous accumula-
tion of wealth was the result solely of
the work of these able men; but those
who know anything of the actual facts
know that she has been an extremely
successful businesswoman in her own
right for a half a century.
She established the Alfred I. du Pont
Foundation for Crippled Children, a
dream of her ]ate husband; and she
otherwise carried on the philanthropic
objectives of this sensitive and strong
man, whom I also had the pleasure to
know before his death 35 years ago. And
she had a strong conviction of the need
to keep vital the independent colleges of
the country, particularly those which
were church oriented. Her philanthropies
in this field have been little published
but they were tremendous.
Several weeks ago, Mr. Speaker, my
family and I went to Nemours to pay
our respects during a congressional re-
cess, as she had repeatedly asked us to
do. We learned sadly from her doctors
that she would not be with us long. But
regardless of how certain is the closing
of life, it is always a shock and a per-
sonal tragedy to those who are left be-
hind.
Few persons ever had the outstanding
talents and opportunities of this great
lady; and none ever used them better for
mankind, I am sure. All thoughtful
Americans join me in deepest sympathy
to her brother, Ed Ball, her sisters and
her daughter, Mrs. Carl Zapfee, and her
other relatives and close friends.
Mr. Speaker, Ralph Waldo Emerson
once observed that most of us fret our-
selves into nameless graves while here
and there some noble soul forgets him-
self into immortality. Such a person was
my beloved friend, Jessie Ball du Pont.
This morning's edition of the Wash-
ington Post carried the following an-
nouncement of her death:
JESSIE BALL DU PONT
WILMINGTON, DEL., September 27.-Mrs.
Jessie D. Ball du Pont, 86, third wife of in-
dustrialist Alfred I. du Pont, died Saturday at
her family estate near here.
Her husband, who died in 1935, organized
E. I. du Pont De Nemours and Co., and was
one of the world's richest men. He was a
grandson of the founder of the Du Pont in-
dustrial empire.
It was reported in 19641that Mrs. du Pont
received from the Alfred I. du Pont estate a
total of $58.8 million from 1951 to 1962, $6.6
million in 1962 alone.
Mrs. du Pont was a native of Virginia and
was married to the industrial magnate in
Los Angeles in 1921. She was then 36. She
was a descendant of Mary Bail Washington,
mother of George Washington.
Mr. du Pont was divorced from his first
wife, the former Bess Gardner of Philadel-
phia, in 1906. His second wife, Mrs. Alicia
Bradford Maddox, of New York City, died in
1908.
Mrs. du Pont had lived in seclusion at Ne-
mours, the family estate, for a number of
H 9293
years. Her secretary said she died of pneu-
monia.
Mrs. du Pont was a major benefactor of
such institutions as Hollins College, Wash-
ington and Lee University, the Virginia Mu-
seum of Fine Arts, Mary Washington Col-
lege of the University of Virginia, the Uni-
versity of the South and the Alfred I. du Pont
Institute for crippled children.
In 1957, for example, Mrs. du Pont gave
Hollins College a gift of $271,000,. half of it
to go toward a chapel and the other half for
versity of the South and the Alfred I. du Pont
arship fund.
She made two gifts in 1947 totaling $112,-
000 toward Washington and Lee University's
bicentennial fund.
In 1956, Mrs. du Pont was selected by the
Virginia Chamber of Commerce for a spe-
cial award for "her service to Viginia and to
education in the Old Dominion." She was
the first woman to receive such an award.
Mrs. du Pont broke a 210-year tradition in
1959 when she became the first woman on the
Board of Trustees of Washington and Lee
University. She was appointed to succeed
Sen. Harry F. Byrd (D-Va.) who had resigned.
Funeral arrangements were incomplete.
However, burial was expected to be next to
her husband at the estate.
She is survived by a daughter, Mrs. Carl
Zapfee, of Baltimore, three stepchildren,
eight grandchildren and two great-grand-
children.
RUSSIAN SUBMARINE BASE IN
CUBA
(Mr. ROGERS of Florida asked and
was given permission to address the
House for 1 minute and to revise and ex-
tend his remarks.)
Mr. ROGERS of Florida. Mr. Speaker,
I think all the Members of the House are
greatly concerned by the evidence of the
showing that Russia is trying to build a
submarine base in Cuba.
I have by wire contacted the distin-
guished chairman of the Armed Services
Committee as well as the Foreign Affairs
Committee urging that the committees
call th Def d State DPnnrtmPnt5
e ore them and investigate this matter.
It is a serious development, and the
people of this Nation are vitally con-
cerned. I am sure, as he has in the past,
that the chairman of the Armed Services
Committee will respond by looking into
this matter which can vitally affect the
defense of this Nation.
Mr. RIVERS. Mr. Speaker, will the
gentleman yield?
Mr. ROGERS of Florida. I yield to the
gentleman from South Carolina.
Mr. RIVERS. Mr. Speaker, I believe
the gentleman understands I will ap-
proach this in a little different manner
than the chairman of the Foreign Af-
fairs Committee, but I will look into it.
Mr. ROGERS of Florida. Mr. Speaker,
I thank the gentleman from South Caro-
lina, and I would urge his close investi-
gation into this matter.
NATION'S HOUSING CRISIS
(Mr. WIDNALL asked and was given
permission to address the House for 1
minute and to revise and extend - his
remarks.)
Mr. WIDNALL. Mr. Speaker, the other
day, one of my colleagues made a speech
blaming the Nixon administration for
the Nation's housing crisis. While I must
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admit that we are indeed in the midst The administration has also increased
of a housing crisis as severe as any this the flow of funds into mortgages by ex-
Nation has ever faced, I should point out tending the Fannie Mae commitment
several things: and by adjusting interest rate ceilings
First. President Nixon's administra- on FHA and VA mortgages.
tion did not cause the housing crisis. It Attacking the housing problem from
was inherited from the Democrats. The another direction, the President also
Housing and Urban Development Act of took steps to stabilize e the cost of buil d-
stra on and product of a Democrat culture was directed to use a supplemen-
Congress, Democrat-controlled htal appropriation for fiscal year 1969 and
Congress, documented ed units the housing sing the need next an increased appropriation for 1970 to
26 a10 t years-1968-78. million sg over v goal was reaf- provide additional timber from national
firmed b by y President This Johnson's National forests. The Department of Interior was
fi directed to make available increased
Commission on Urban Problems in its timber for sale. And the Interstate Com-
report to him in 1968. merce Commission issued orders to re-
Second. The reason why the housing lieve the shortage of boxcars used to
crisis persists is because of inflation. And move lumber and plywood from the
inflation is the unfortunate result of un- Northwest. As a result of these measures,
wise guns-and-butter overspending of the sharp increase in prices which had
the Johnson administration. This infla- seriously affected the building costs for
tion has hit the housing problem from single family homes and small apart-
severa It has l directions all at the same time. ments'was reversed. Lumber and plywood
It has caused the cost of homebuilding, prices have declined from their high
including land, labor, materials, manage- levels of a year ago
.
ment, and financing to increase 10 per- Working to relieve the labor shortages
cent since 1968. It has made financing that have helped push housing costs up,
home purchase more difficult and. costly. the Nixon administration has initiated
And it has increased the price of existing special job training programs to make
housing, often pricing it out of the entrance into the labor market easier.
market for which it was intended. At present, 250,000 students are enrolled
Home builders begin to sound a bit more
optimistic.
There's still plenty of gloom in the in-
dustry, which has been hit hard by tight
money. But signs of improvement are easier
to come by now. The Council of Housing
Producers, whose 13 members are among
the major home builders in the U.S., says
members expect to build about 33% more
units in 1970 than a year ago. Houston's
Westchester Corp., which had anticipated
selling 225 homes this year, now expects to
build about 300. In Pittsburgh, Ryan Homes,
a big builder of single-family units, says
business is "up substantially."
"We think it's quite obvious that the
tight money situation is easing," says Eli
Broad, chairman of Kaufman & Broad, a Los
Angeles builder that expects housing starts
in the last half to be up "at least 30%" from
a year abo. This week's cut in the prime
lending rate by major banks has added to
optimism that more money will be available
for housing.
The SPEAKER. Under a previous order
of the House the gentleman from Arkan-
sas (Mr. PRYOR) is recognized for 60
minutes.
[Mr. PRYOR of Arkansas addressed
the House. His remarks will appear here-
after in the Extensions of Remarks.]
THE SOVIET THREAT
The SPEAKER. Under a previous or-
der of the House the gentleman from
South Carolina (Mr. RivEes) is recog-
nized for 60 minutes.
(Mr. RIVERS asked and was given
permission to revise and extend his
remarks and to include extraneous
matter.)
Mr. RIVERS. Mr. Speaker, never be-
fore in the 30 years of my membership
in this body have I stepped into the well
of this House with greater concern for
the future of this Nation.
The fears that I have are those that
must be shared by every American re-
gardless of his political or social philos-
ophy or his economic status.
All Americans have been given the
blessed and priceless heritage of free-
dom-a freedom which I am convinced
is in terrible jeopardy.
My critics, who are legion, will at-
tempt to dismiss what I say today by
categorizing them as the shrill cries of
a hawk who is suffering the agonies of
reduced defense expenditures.
If this occurs, I will have failed my
purpose since I believe that these critics,
who love America no less than I, will,
if they assess my words carefully, find
that we not only have a common con-
cern, but a common and frightening
peril.
The Congress is now engaged in a
great and protracted debate over foreign
policy and the defense budget.
Unfortunately, the debate in the other
body has again distinguished itself by
its indecisiveness and, regrettably, its
apparent sense of hopelessness. Thank
God that this body, despite its uninhib-
ited free swinging debate, continues to
be capable of making clear-cut and cour-
ageous decisions when our Nation's se-
curity is at stake.
My words today are, therefore, in-
tended as much for the Members of the
blem together with a war-induced infla-
tion which has exacerbated the housing
problem, a number of specific steps have
been taken which are beginning to bring
results.
The most important step to take in
curing the housing crisis is to. curb in-
flation. As Federal Reserve Board Chair-
man Arthur Burns said on February 7,
1970:
There can be no doubt whatever that the
single most important contribution toward
improving housing market conditions would
be success in the present struggle to check
inflationary trends and expectations. None-
theless, it must be recognized that it takes
time to overcome an inflationary momentum
that has gathered headway over a span of
and reports on specific manpower needs;
and the Department of Health, Educa-
tion, and Welfare is helping States de-
velop plans for vocational education in
secondary schools, postsecondary schools,
and cooperative education programs
which emphasize preparation for the
construction industry.
In addition to attacking inflation, ma-
terials costs, and labor shortages, the
Nixon administration has launched an
imaginative program, Operation Break-
through, which aims at developing en-
tirely new ways to go about meeting our
housing needs. Operation Breakthrough
seeks to apply the principles of mass pro-
duction to homebuilding so that the dis-
coveries of industrial research and tech-
i
u,ne Nixon administration has
nsti- ing out of the Middle Ages. As this suc-
tuted a number of fiscal and monetary ceeds, volume production and economy
changes designed to bring inflation un- of scale will become possible, permitting
der control. Just last week we heard the greater efficiency in the design, produc-
heartening news that the prime interest tion, transfer, financing, and manage-
of f living to r less percent ment of our national housing effort. This
and had due cost from
and that the hg rose s since Decem- will mean attractive, well-built homes at
August than e n in any month families can afford.
ber 1968. it appears, is is- s anti-inflationary
paying off. This policy, sBecause of these efforts by the Nixon
it success
should be reflected in an easing of the administration, the housing outlook is a
housing finance situation in the near fu- lot brighter than it was when Nixon took
ture. The lower prime rate especially office in January 1969. His efforts to con-
should mean that very soon home mart- trol the inflation which the Democrats
gages will be down to the point where bequeathed to the Nation in the 1960's,
the average family can begin to afford to means that soon the housing problems
buy a home. Unfortunately, the 'Demo- that accompanied the inflation will be-
crat-controlled Congress did not see fit gin to respond. The additional adminis-
to adhere to Nixon's fiscal policy which tration efforts to control materials costs
called for a $1.3 billion surplus in fiscal and labor shortages and to develop new
year 1971. Such a surplus would also housing construction approaches will
have had the effect of making more help us beat this housing shortage in
money available for investment and the 1970's.
thereby forcing down interest rates. According to a Wall Street Journal
Rather than a surplus, however, the article, appearing on September 24, there
Democrats have passed legislation which are already tangible signs that the hous-
so far has added $2.7 billions to the Pres- ing situation is improving. The article
ident's fiscal year 1971 budget. follows:
Approved For Release 2003/03/25 : CIA-RDP72-00337R000200260010-8