1950 immediately prior to the enactment of the Revenue Act of 1945, to be effective as 80 restored, with respect to taxable years end- ing after December 31, 1849, as if section 122 (g) of the Revenue Act of 1945 had not been enacted: “(1) Section 26 (a) (relating to the credit for income subject: to the excess-profits tax); “(2) Section 102 (d) (1) (defining terms rr ype purpose of the tax imposed by section “(3) Section 131 (b) (prescribing certain Imitations on the fcreign tax credit); “(kx) Taxable years to which amendments applicable: The amendments made to the Internal Revenue Code by this title shall be applicable with respect to taxable years end- ing after December 31, 1049. “(1) Technical changes: The Commis- Sioner is authorized to make such changes in the dates and the periods of time ap- pearing in subchapter E of chapter 2 of the Internal Revenue Code as may be neces- sary to conform to the amendments made by this title.” On page 50, line 18, before the pertod insert the following: “reduced by the credit for income subject to the tax imposed by subchapter E of chapter 2 provided in sub- section (e).” On page 88, strike out lines 24 and 25 and Insert in lieu thereof the following: “(A) the credit for income subject to the tax imposed by subchapter E of chapter 2 provided in section 26 (e) and the credit for dividends received provided in section 26 (b).” On page 89, strike out lines 24 and 25 and insert in leu thereof the following: “(1) The credit- for income subject to the tax imposed by subchapter E of chapter 2 provided in section 26 (e) and the credit for dividends received provided in section 26 (b) (computed by limiting such credit to 85 per- cent of the net income reduced by the credit for income subject to the tax imposed by subchapter E of chapter 2 in Meu of 85 per- cent of the adjusted net income so reduced) .” On page 94, strike out lines 22 through 25, and on page 95, strike out lines 1 through 38, and insert in lieu thereof the following: “(7) Bection 204 (a) (2) (relating to definition of normal tax net income and corporation surtax net income of foreign insurarce companies other than Hfe or mutval) ts amended to read as follows: “*(2) Normal-tax and corporation surtax net income of foreign insurance companies other than life or mutual and foreign mutual marine: In the case of a foreign insurance company (other than a life or mutual in- surance company) and a foreign mutual marine insurance company, and a foreign mutual fire insurance company described in paragraph (1) of this subsection, the normual- tax net income shall be the net income from eources within the United States minus the credit provided in section 26 (a), the credit provided in section 26 (b), and the credit for income subject to the tax imposed by subchapter E of chapter 2 provided in sec- tion 26 (e), and the corporation surtax net income shall be the net income from sources within the United States minus the credit provided in section 26 (b) (computed by iUmiting such credit to 85 percent of the net income reduced by the credit for income subject to the tax imposed by subchapter E of chapter 2 in Meu of 85 percent of the edjusted net income so reduced) minus the credit provided in section 26 (j), and minus the credit for income subject to the tax imported by subchapter E of chapter 2 pro- vided in section 26 (e).’” At the end of the table of contents, on page 7, insert the following: “TrrLe VI—Excrss-Frorits Tax “Src. 701. Reapplication of excezs-profits tax. “(a) Reapplication. XCVI-——716 CONGRESSIONAL RECORD—SENATE “(b) Rate of tax. “(c) Exemption, “(d) Excess-profits credit. “(e) Definition of unused excess-profits credit. 104g No carry-back to 1946, 1947, 1948, or “(g) Amount of excess-profits credit. “(b) Definition of base period. “(i) Taxable years beginning in 1949 or 1950 and ending prior to June 30, 1951. *(j) Technical amendments. “(kK) Taxable years to which amendments applicable. “(1) Technical changes,” STaTEMENT By SENATOR O'MaHonry UPon OFFERING THE Excrss-Prorits AMENDMENT Believing that an excess-profits tax imme- diately imposed would be the best answer that capitalism could give to Communist propaganda. I have today introduced such an amendment to the pending tax bill which I shall urge upon the Finance Committee. There has never been any doubt in the minds of the American public since the first excess-profits tax was imposed during the First World War that no part of the popula- tion should be permitted to reap huge profits out of war while another part was suffering and sacrificing in military uniform. The im- position of the excess-profits tax has always been resisted by those who were reluctant to give up the opportunity for great profit aris- ing out of the business created by Govern- ment expenditures to raise, equip, and main- tain the fighting force. The reaction of the public and of business leadership to the Ko- rean crisis convinces me that this opposi- tion has now practically disappeared. We know now that the war profiteer and the speculator must be eliminated if we are to adopt a pay-as-you-go policy for this war. Inflation, while it will make profits for the lucky speculator and the lucky profiteer, will take more out of the pockets of all of the people than any tax. This is so because in- flation vastly increases the cost of living as well es the cost of defense. With a national debt at $257,000,000,000, we can’t think of postponing the payment of Government expenditures for the Korean war to future generations; we must be will- ing to make the sacrifice necessary on the home front to meet the cost now, Fortunately the rate of corporate profits has been running at an extraordinary level since the shooting of World War II stopped and corporate profits before taxes which were running around $25,000,000,000 during World Wear II reached a peak of 36.6 billions in 1948. The last 5 years have been the most pros- perous years in our history: wages, salaries, profits, as well as prices have been up. We have been living in a luxury economy and I see no reason why we would not sacrifice some of thece luxuries to pay for the war. The excess-profits-tax rate in the amend- ment I have introduced is computed upon the base of 75 percent of the average profits of 1947, 1948, and 1949. A step scale is provided which is intended not only to take a fair share of the corporate net income above 75 percent of the average for these 3 years, but at the same time not to provide an induce- ment to waste and inefficiency. The rate schedule is as follows: 65 percent of net income above 75 percent of the base and not above 90 percent, 75 percent of net income above 90 percent of the base and not above 100 percent, 90 percent of net in- come above 100 percent of the base and not above 125 percent, 100 percent of net income above 125 percent of the base. I was of the opinion that the average profits of the 3 years 1947, 1948, and 1949 would be altogether too high a base from which to compute exceas-profits tax. The base which I have selected, 75 percent of the 3 years 1947, 1048, and 1949, is roughly 11373 four times higher than the level of cor- porate profits before taxes prior to World War II and is practically equal to the level of profits during World War II. Although for technical reasons the amend- ment applies the tax rate to the whole of the calendar year 1960, a provision has been inserted so that only 50 percent of the tax for 1950 is payable. This prorata provi- sion is designed to make the tax effective on July 1, 1950, to all intents and purposes at the time the Korean war broke out. The amendment is drawn upon the struc- ture of the World War II excess-profits tax. It preserves the Invested capital formula and the net income formule provided in sec- tions 713 and 714 of the Internal Reyenue Code and it also preserves the credit pro- visions of section 722 to take care of extraor- dinary individual cases to which the specific formula would not apply. AUTHORIZATION FOR SIGNING OF HOUSE BILL 7273 Mr. McFARLAND. Mr. President, I ask unanimous consent that the Vice President be authorized and permitted to sign House bill 7273 during the recess of the Senate. The PRESIDING OFFICER. With- out objection, it is so ordered. MESSAGE FROM THE HOUSE A message from the House of Repre- sentatives, by Mr. Snader, its assistant reading clerk, announced that the House had severally agreed to the amendments of the Senate to the following bills of the House: H.R. 4942 An act to regulate the collec- tion and disbursement of moneys realized from leases made by the Seneca Nation of Indians of New York, and for other purposes; H.R. 7273, An act to provide a civil gov- ernmcnt for Guam, and for other purposes; H.R. 7764. An act to authorize the con- struction of modern naval vessels, and for other purposes; and H.R. 8139. An act to authorize the attend- ance of the United States Marine Band at the annual reunion of the United Confederate Veterans to be held in Biloxi, Miss., Sep- tember 27 through September 30, 1950. The message also announced that the House had agreed to the amendment of the Senate to the bill (H. R. 9178) to sus- pend restrictions on the authorized per- sonnel strength of the Armed Forces, and for other purposes, EXECUTIVE COMMUNICATIONS, ETC. The VICE PRESIDENT laid before the Senate the following letters, which were referred, as indicated: Report ON INTERNATIONAL INFORMATION AND EDUCATIONAL EXCHANGE PROGRAM A letter from the Secretary of State, trans- mitting, pursuant to law, a report on the United States International Information and Educational Exchange Program, for the period July 1 to December 31, 1949 (with an accompanying report); to the Committee on Foreign Relations. GENERAL REVISION oF NAVIGATION LAWS A letter from the Acting Secretary of the Treasury, transmitting a draft of proposed legislation to revise, consolidate, and codify the navigation laws relating to admeasure- ment, documentation, entry, clearance, coastwise trade, foreign trade, and United States fisheries, and for other purposes (with @n accompanying document); to the Com- mittee on the Judiciary.
11374 Report ON CANADIAN RIVER PRrosect, Texas A letter from the Secretary of the Inte- rior, transmitting, pursuant to law, his re- port on the Canadian River project in Texas (with an accompanying report); to the Com- mittee on Interior and Insular Affairs. REGULATION AND CONTROL oF AIR COMMERCE A letter from the Secretary of Commerce, transmitting a draft of proposed legislation to authorize the Civil Aeronautics Board and the Secretary of Commerce to under- take security measures relative to the regu- lation and control of air commerce when authorized by the President in times of national emergency (with accompanying papers); to the Committee on Interstate and Foreign Commerce, Report of FeprRAL TRADE COMMISSION ON Rates or Rerurn For CERTAIN COMPANIES A letter from the Acting Chairman of the Federal Trade Commission, transmitting, pursuant to law, a report entitled “Rates of Return for 529 Identical Companies in 25 Selected Manufacturing Industries, 1940, 1947-49,” prepared by the Commission, dated June 27, 1950 (with an accompanying re- port); to the Committee on Interstate and Foreign Commerce. Financia, Alp TO STUDENTS IN HIGHER EDUCATION A letter from the Administrator, Federal Security Agency, Washington, D. C., trans- mitting a draft of proposed legislation to establish a program of financial aid to stu- dents in higher education, and for other purposes (with an accompanying paper); - to the Committee on Labor and Public Welfare. Report or ATOMIC ENERGY COMMISSION (S. Doc. No, 188) A letter from the Chairman and members of the Atomic Energy Commission, transmit- ting, pursuant to law, the semiannual report of the Commission, dated July 1950 (with an accompanying report); to the Joint Com- mittee on Atomic Energy and ordered to be printed. PETITIONS Petitions were laid before the Senate and referred as indicated: By the VICE PRESIDENT: The petition of K. E, Martin and sundry other citizens of Kansas City, Mo., and Olathe, Kans., praying for full armament of the United States and the establishment of price controls; to the Committee on Armed Services. A telegram in the nature of a petition from Miami, Ariz., Miners Local 586, IUMM, pledging full support to the Government in the Korean situation; to the Committee on Foreign Relations. A resolution adopted by the Board of Directors of the Pennsylvania Junior Cham- ber of Commerce at State College, Pa., favor- ing military aid to all free people, and so forth; to the Committee on Foreign Re- lations, A telegram in the nature of a petition from sundry officials of the Government of Guam, expressing appreciation for the pas- sage of legislation providing a civilian gov- ernment for Guam; ordered to lie on the table. DEFENSE OF SOUTH KOREA—RESOLU- TION OF FEDERATED TRADES AND LABOR ASSEMBLY OF DULUTH, MINN. Mr. HUMPHREY. Mr. President, I have recently received a resolution from the Federated Trades and Labor Assem- bly of Duluth, Minn., expressing its sup- port of the President's courageous action in the Korean situation. I ask unani- mous consent that the resolution be printed in the Recorp, and appropriately referred. CONGRESSIONAL RECORD—SENATE There being no objection, the resolu- tion was referred to the Committee on Foreign Relations, and ordered to be printed in the Reconrp, as follows: FepERATED TRADES AND ].ABOR ASSEMBLY, Duluth, Minn., July 25, 1950. The Honorable Husert H. HumpPurcy, Senate Office Building, Washington, D. C. Dear Sir: The Duluth Federated Trades and Labor Assembly in session July 14, 1950, passed the following resolution: “Be it resolved, That the Duluth Federated Trades and Labor Assembly in meeting held on Friday, July 14, 1950, go on record as commending President Truman for the courageous stand he has taken in the defense of South Korea.” Respectfully yours, CiarK KENNEDY, Secretary. TRANSPORTATION IN INTERSTATE COM- MERCE—RESOLUTIONS OF LABOR UNIONS OF MINNESOTA Mr. HUMPHREY. Mr. President, I want to bring to the attention of the Senate the fact that a number of reso- lutions have just come to me endorsed by a number of labor unions in my State. I refer particularly to local 3842 of the United Steelworkers of America, CIO, Albert Lea, Minn.; local No. 36, Fari- bault, Minn,; local No. 6, Albert Lea, Minn. ; local No. 55, Newport, Minn.; and local No. 9, Austin, Minn., all of the United Packinghouse Workers of Ameri- ca, CIO; and local 845 of the Brother- hood of Teamsters, Chauffeurs, Ware- housemen and Helpers of America, A. F. of L., of Albert Lea, Minn. These unions, Mr. President, express their support for H. R. 7983, a bill intro- duced by Congressman O’SuLLIVAN, of Nebraska, which forbids transportation in interstate commerce of any product of a firm or individual refusing to bar- gain fairly and in good faith with its em- ployees or indulging in any form of un- fair labor practice. REPORTS OF COMMITTEES The following reports of committees were submitted: By Mr. O'MAHONEY, from the Committee on Interior and Insular Affairs: 8. Res. 239. Resolution to investigate avail- able fuel reserves and formulate a national fuel policy of the United States; with amend- ments; and, under the rule, the resolution was referred to the Committee on Rules and Administration. By Mr. McCARRAN, from the Committee on the Judiciary, without amendment: 8. 204. A bill for the relief of Hernando J. Abaya, his wife, and two children (Rept. No. 2186); 8.1918. A- bill for the relief of Adelaide Giovanna Summa (Rept. No. 2187); 6, 2487. A bill for the relief of Dominic Arcella (Rept, No. 2188); 8. 2606. A bill for the relief of Libuse Ohalupnik Pavlish (Rept. No. 2189); 8. 2695. A bill for the reltef of Stella Jean Stathopoulou (Rept. No, 2190); 8.2881. A bill for the relief of Giuseppe Merlinet Forgnone (Rept. No. 2191); &. 3967. A bill for the relief of the law firm of Hunt, Hill & Betts (Rept. No. 2192); §. 8987. A bill to amend title 18, United Btates Code (Rept. No. 2216); H.R, 612. A bill for the relief of Col. W. M. Chubb (Rept. No. 2193); H.R. 1618. A bill for the relief of Kenneth J. MacKensle (Rept. No. 2194); H.R. 1988. A bill for the relief of Leslie A. Fry (Rept. No. 2195); JULY 31 H.R. 29650. A bill for the relief of Mra. Marion M. Martin Jones (Rept. No. 2196); H.R. 2805. A bill for the relief of John F. Oettl (Rept. No. 2197); H.R. 4886. A bill for the relief of Xyida L. Driver (Rept. No. 2198); H.R. 5167. A bill for the relief of the legal guardian of Anthony Albanese, a minor (Rept. No. 2199); H.R. 6657. A bill for the relief of Georges Jules Louis Sauvage (Rept. No. 2200); H.R. 6850. A bill for the relief of Lt. Col, FP. A. Ferguson (Rept. No. 2201); H.R. 7258. A bill for the relief of Charles Wilson Roland and Mirtie L. Roland (Rept. No. 2202); H.R. 7840. A bill for the relief of Louise Peters Lewis (Rept. No. 2203); H, R. 7868. A bill to provide for the fur- nishing of quarters at Newnan, Ga., for the United States District Court for the Northern District of Georgia (Rept. No. 2204); and H.R. 8450. A bill for the relief of Ralef Neahem, Iffef Neahem, and Ihsen Neahem (Rept. No. 2205). By Mr. McCARRAN, from the Committee on the Judiciary, with an amendment. 8.3004. A bill for the relief of Miriam Rosenblum (Rept. No. 2206); 8.3107. A bill for the relief of Bolesiaw H. Drobinski, his wife, Marjorie, and his daugh- ter, Janina (Rept. No. 2207); 8.3426. A bill to authorize the admission into the United States of an alien possessing special skill, namely, Gerhard Zahn, and his wife (Rept. No. 2208); and 8.8724. A bill for the relief of Maria Sull- kowska Forbes (Rept. No. 2209), By Mr. McCARRAN, from the Committee on the Judiciary, with amendments: 8.665. A bill for the relief of Margaret D. Scott and Lydia M. Scott (Rept. No. 2210); 8.2772. A bill authorizing the naturaliza- tion of Thomas N. Cole (Rept. No. 2211); 8.3108. A bill to provide for payment of om annuity to widows of judges (Rept. No. 2216); S 8167. A bill for the reltef of Mrs. Carl E. Ainsworth (Rept. No. 2212); and H.R. 4136. A bill for the relief of Helen M. Booth; (Rept. No. 2218). By Mr. HUMPHREY, from the Committee on Post Office and Civil Service: 8.3812. A bill relating to the compensation and leave benefits of officers and employees {n the custodial service of the Post Office Department transferred to the General Serv- ices Administration under Reorganization Plan No. 18 of 1950; without amendment (Rept. No, 2214). BILLS INTRODUCED Bills were introduced, read the first time, and, by unanimous consent, the second time, and referred as follows: By Mr. MAGNUSON: 5.3990. A bill to amend the Ship Mortgage Act, 1920, as amended; to the Committee on Interstate and Foreign Commerce. By Mr. IVES: 8.3991. A bill for the relief of Ann Lamp- lugh; to the Committee on the Judiciary. By Mr. IVES (for himself and Mr. LEHMAN): 8.3992. A bill to incorporate the United States Olympic Association; to the Commit- tee on the Judiciary. NOTICE OF MOTION TO SUSPEND THE RULE—AMENDMENT TO GENERAL AP- PROPRIATIONS BILL Mr. McCLELLAN submitted the fol- lowing notice in writing: In accordance with rule XL of the Stand- ing Rules of the Senate, I hereby give notice in writing that it is my intention to move to suspend paragraph ¢ of rule XVI for the purpose of proposing to the bill (H. R. 7786) making appropriations for the support of the
1950 Government for the fiscal year ending June 80, 1951, and for other purposes, the follow- ing amendment, namely: On page 448, before the period in line 24, insert a comma and the following: “Provided further, That no part of the funds herein appropriated shall be used to provide assistance to any participat- ing country which, in the opinion of the President, has failed, refused, or neglected to support the United Nations in the Korean War by supplying armed personnel, materials of war, or services.” Mr. McCLELLAN also submitted an amendment intended to be proposed by him to House bill 7786, making appro- priations for the support of the Govern- ment for the fiscal year ending June 30, 1951, and for other purposes, which was ordered to lie on the table and to be printed. (For text of amendment referred to, see the foregoing notice.) DISPOSITION OF WATER FROM THE COLO- RADO RIVER—BROADCAST BY SENATOR ANDERSON {Mr. ANDERSON asked and obtained leave to have printed in the Recorp a radio broad- cast delivered by him on July 80, 1950 on the subject of the disposition of water from the Colorado River for the benefit of the people of New Mexico, which appears in the Appen- dix.] PROSPERITY IN WASHINGTON STATE UN- DER 17 YEARS OF DEMOCRATIC GOV- ERNMENT—STATEMENT BY SENATOR MAGNUSON {Mr. MAGNUSON asked and obtained leave to have printed in the Recorp a statement prepared by him under the title “Prosperity in Washington State Under 17 Years of Dem- ocratic Government,” which appears in the Appendix J HOW WASHINGTON HAS PROSPERED UN- DER 17 YEARS OF NATIONAL DEMO- CRATIC ADMINISTRATION—BULLETIN OF DEMOCRATIC NATIONAL COMMIT- TEE |Mr. MAGNUSON asked and obtained leave to have printed in the Recorp a bulletin en~ titled “How Washington Has Prospered Un- dcr 17 Years of National Democratic Admin- istration,” published by the Democratic Na- tional Committee, June 30, 1950, which ap- pears in the Appendix.] STATEMENT BY BERNARD M. BARUCH ON MOBILIZATION PROGRAM—ARTICLE BY ARTHUR KROCK [Mr. BYRD asked and obtained leave to have printed in the Recorp an article by Ar- thur Krock discussing the testimony of Ber- nard M. Baruch before the Senate Commit- tee on Banking and Currency, whtch appears in the Appendix.] VISITORS FROM JAPAN—EDITORIAL COMMENT |Mr. SMITH of New Jersey asked and ob- tained leave to have printed in the Recorp an editorial entitled “Visitors From Japan,” published in the New York Times of July 29, 1950, which appears in the Appendix.] KANSAS CITY VOTE FRAUDS OF 1946—- ARTICLE FROM THE KANSAS CITY STAR [Mr. KEM asked and obtained leave to have printed in the Recorp an article entitled “Vote Fraud Echo," published in the Kansas City Star July 20, 1950, which appears in the Appendix. } KOREA'S LESSON—ARTICLE BY CLARENCE STREIT {Mr. KEFAUVER asked and obtained leave to have printed in the Recorp an article entitled “Korea's Lesson,” by Clarence Streit, CONGRESSIONAL RECORD—SENATE editor of the magazine Freedom and Union; which appears in the Appendix.] TOTAL PREPAREDNESS—EDITORIAL FROM THE MEMPHIS COMMERCIAL APPEAL [Mr. KEFAUVER asked and obtained leave ‘to have printed in the Recorn an editorial. entitled “We Must Have Total Preparedness,” published in the Memphis Commercial Ap- peal July 18, 1950, which appears in the Appendix. ] . THE TRAGIC BLUNDERS OF TRUMANISM— EDITORIAL FROM THE SIOUX FALLS (S. DAK.) ARGUS-LEADER [Mr. MUNDT asked and obtained leave to have printed in the Recorp an editorial en- titled “The Tragic Blunders of Trumanism,” published in the Sioux Falls Argus-Leader of recent date, which appears in the Appendix. | COMMISSION ON INTERGOVERNMENTAL RELATIONS (Mr. HUMOHREY asked and obtained leave to have printed in the Recorp a statement by the Citizens Committee for the Hoover Report, supporting S, 3147, which appears in the Appendix. ] THESE ARE DAYS FOR POETRY, NOT STA- TISTICS--ARTICLE FROM NEW YORK TIMES [Mr. BENTON asked and obtained leave to have printed in the Recorp an article entitled “These Are Days for Poetry, Not Statistics,” written by Barbara Ward, and published in the New York Times Sundey Magazine of July 30, 1960, which appears in the Appendix. ] POLICIES AND PROCEDURES OF SUBCOM- MITTEE OF THE ARMED SERVICES COMMITTEE—STATEMENT BY SENATOR JOHNSON OF TEXAS Mr. CHAPMAN. Mr. President, I ask unanimous consent to have printed in the body of the Recorp an excellent statement made today before the Senate Armed Services investigating subcom- mittee by the able chairman of the subcommittee, the Senator from Texas [Mr. Jonnson]. There being no objection, the stute- ment was ordered to be printed in the Recoprp, as follows: STATEMENT OF SENATOR JOHNSON OF TEXAS, CHAIRMAN, SENATE ARMED SERVICES INVESTI- GATING SUBCOMMITTEE, JULY 31, 1950 POLICIES AND PROCEDURES OF SUECOMMITIEE Members of the subcommittee, this mect- ing has been called for the purpose of dis- cussing the organization and procedures of our subcommittee. Our chairman late Thursday announced the personnel to the Senate, and this ts our first chance to meet, This statement represents my own thinking about our work. Our assigned task is clearly defined in the resolution adopted unanimously by the full committee. We are asked to exercise both a continuous watchfulness and a continuous study of “all policies, programs, activities, operations, facilities, requirements, and prac- tices” of the Department of Defense, the armed services, and other agencies dealing with the national security in general and our present preparedness effort in particular, We are specifically directed to determine whether such policies and practices are “the most effective possible’ and to determine whether the administration of such policies is “characterized by maximum efficiency.” If we carry out our assignment diligently and impartially, I am confident that the sub- committee’s work can be of substantial ben- efit to the Armed Services Committee, to the Senate, to the agencies dealing with the 11375 national security, and to the national wel- fare. Toward that end I would like to offer sev- eral suggestions which reflect my own think- ing about certain guldeposts of conduct which we should keep in mind as we out- line our work, I. We will not hunt headlines. We will handicap—not help—our chances for success if we exploit the sensational rather than develop the substantial. It {s my thought that the committee's work will be conducted primarily in executive sessions. Our reports will be reports to the full committee} we will not report directly to the Senate or the public. II. It is my sincere hope that politics can be left at the committee-room door. Our full committee has maintained a fine record of nonpartisanship, I hope we can empha- size unanimity so that here, at least, the Senate and public can expect to find un- colored, unemotional facts. III. Most important, I think this subcom- mittee must be extremely diligent not to establish—or attempt to establish—itself ag @ Monday morning quarterback club, second- guessing battlefront strategy. We were not created to tell the generals and admirals how to fight the battles, but rather to make sure that they and the men fighting under them have what they need to win those pattles. Battlefront strategy is not a part of our duties and so long as Iam chairman we will not get into that question. IV. Especially, I have confidence that the subcommittee will, in all its inquiries and recommendations, be frank, impartial, and straightforward——blunt but not unfair, zeal- ous but not persecuting, helpful but not compromising. If we adhere to these basic rules, I believe we can be successful. We are, of course, a subcommittee of a regular standing committee of the Senate, We shall function in that capacity only with- out usurping duties that are not ours and without infringing upon jurisdiction we do not possess. Wherever necessary and when- ever practicable, we should not hesitate to communicate information developed by our work to other Senate committees which might be interested and helpful. Furthermore, we will not overlap the dutics assigned to certain standing committees of our full committee—such as the Subcommit- tee on Civil Defense and the Subcommittee on Stockpiling. In all instances we should work harmoniously and with the fullest possible cooperation with all others who may be of assistance to us in our duties. Our funds at present are limited to $25,000 With that amount, we cannot em- ploy any large staff of investigators. There is no reason, however, that we can- not function successfully with our present professional staff serving as the nucleus for our initial studies and with the assistance of experts from the various agencies. As our needs become apparent, we can make our needs known to the chairman of the full committee. Of course, I believe additional clerical as- sistance will be needed immediately—and I hope arrangements can be made for an assignment of office space to our subcom- mittee. During the past few days many Senators and Congressmen have raised the question with me about where the money appro- priated for defense during the past 4 years has gone. This question, of course, 1s on all our minds. In 1946 the United States completed one of the most hurried and most thorough mill- tary demobilization programs ever instituted by a major world power. During the four fiscal years since we have spent 848,440,000,000 on the military func- tions of the Department of Defense, This,
11376 of course, has been a record peacetime out- lay for defense purposes. Because this amount has been unprece- dented, because tho burden has been heavy and irritating, the setbacks in Korea have prompted many people to ask now, “Where did the money go?” There js no secret about the answer. Our program of defense spending has been de- signed, discussed, debated, decided, and put into effect in full public view. Most of our defense dollars have gone to maintenance costs. The cold war was pri- marily a maintenance operation, high lighted by the heavy costs of occupying many foreign countries. This is supported by the breakdown of the @48,440,000,000 spent from July 1, 1946, to June 30, 1950, on the military functions of the Department of Defense. Utilization of new obligational authority for the military functions of the Department of Defense, July 1, 1946-June 30, 1950 Billions of dollars | Pereent Military personne} costs (pny, food, elothing, ete.).....-.2-.------- eee 10. 86 41.0 Maintenance and operation (of air- craft, ships, installations, ete.).. .. 12. 78 20.4 Major procurement (weapons, planes, ships, ete )-.-.-... a £8 17.6 Research ani development tecen ae 2,25 4.6 Civilian components (National Quard and Reserves)... 2-222... 1, 86 8.8 Service-wide administration and classified projects..........-----.-- 1.38 2.0 Retired pay... ...-..-.2-22.0 ----- 78 1.6 Military publie works.._22-2.-. 2... 49 1.0 Mobilization and war readiness. -... 30 8 Other... o.oo eee eee eee pot 02 48, 44 100.0 Major procurement, July 1, 1946~June 30, 1950 #6, 260, 000, 000 Ships._._.. wenennnc en nennee 810, 000, 000 Other (weapons, combat ve- hicles, etc.) ....-.-.----.- 1, 460, 000, 000 Total.......-..-.---- 8, 530, 000, 000 Service-wide administration and classified projects Includes: (a) Costs of Department of Defense ad- ministration at Washington, D. C., and at headquarters of major commands (Army areas, naval districts, sea frontier com- mands, Alr Force major commands). (b) Transportation of dependents, bag- gage and household effects of civilian em- ployees upon permanent change of station. (c) General Printing Office printing and binding. (d) Fleld expenses of service-wide fiscal or finance activities such as accounting, dis- bursing and cost inspection. (@) Costs of joint schools and joint plan- ning ventures. (f) Inter-American relations. (g) Military missions and attachés. (h) Classified projects (such as atomic bomb tests). (1) Claims. (Jj) Island governments. (k) Petroleum reserves. (Q) Foreign exchange losses, (m) Naval Home, Naval Observatory and Hydrographic Office. Public works construction (includes military housing) Includes all costs of land acquisition, engi- neering planning and desrgn, field engineer- ing and inspection, and construction of buildings, structures, roads and walks, utili- ties plants and systems, facilities, and ap- purtenances to real estate in the United States and overseas for which enabling legis- lation is required. CONGRESSIONAL RECORD—SENATE Mobilization and war readiness Includes all costs of maintenance and in- spection of military reserve plants; acquisi~ tion, rehabilitation, and storage of ma- chine tools and production equipment; in- dustry preparedness measures (phantom orders, pilot production, planning surveys, etc) and wartime planning within the De- partment of Defense. What does this breakdown indicate? Two of each five defense dollars were spent on military personnel costs such as pay, food, clothing, and transportation. One and one-fourth of each five defense dollars went for overhead costs, such as maintenance and operation of aircraft, ships, installations, and other necessary expenses. This means that substantially more than half of our defense outlay, approximately $325 from each 85, was paid out just to Keep our manpower fed, clothed, housed, and paid. One of each five defense dollars has been spread thin across such essential activities as research and development on new weap- ons, maintenance of the National Guard and Reserves, administrative work and classi- fled projects such as the atomic bomb tests, retired pay, military public works, planning for mobilization and war readiness, and other such work. Less than one of each five defense dollars— in fact, only about 75 cents—has been used to procure weapons, ships, and plane. These figures are rounded and approxi- mate, but they tell the story of where the money has gone. That is the answer to where the money has gone. We are not concerned with hind- sight—we are concerned with foresight. What's done, is done. We want to make sure that tin the future enough is done, soon enough, to assure the defeat of aggression wherever it may appear. There are many phases of the preparedness effort to which our attention might be turned beneficially--such as procurement, unifica- tion, morale and discipline, manpower utili- gation, research and development, training, medical services, government production, in- dustrial mobilization, occupation policies, ci- vilian personnel, defense of the United States, and others. At present, {t occurs to me that a helpful survey, to be undertaken promptly with the hope of an early report, could be made to Getermine the armed services’ plan for the build-up of both manpower and matériel and their plana for fighting any other fires that may break out in the world, This would acquaint us with the scope of the mobili- zation effort with which we are expected to aeal, Furthermore, a survey into the many phases of this program’ would provide us with useful information about the state of plan- ning for any additional fires that may break out, the pace at which military mobilization is proceeding to prepare us to fight these fires, and the bottlenecks retarding our pre- paredness effort. Without knowledge of these planning features of the military program, We might waste valuable time and energy grop- ing in the dark—and I do not think this is an opportune time for our subcommittee to go on fishing trips. In suggesting this, I am merely offering my personal opinion, but I hope we can use this as & base to formulate some tentative program at this firet meeting. There fs a tremendous and important job for us to do. If we are to do it well, we should begin promptly and pursue our work Ailigently without let-up. We need facts, the Congress needs facts— the people want facts. I hope that all Mem- bers of the Senate will assist us freely by supplying information and suggestions that may be helpful. Also, I hope people in the Government, members of the press, and the JULY $1 general public wil! assist us with information whioh would be useful in making our efforts successful. EXECUTIVE SESSION Mr. McFARLAND. I move that the Senate proceed to the consideration of executive business. The motion was agreed to; and the Senate proceeded to the consideration of executive business. EXECUTIVE MESSAGES REFERRED The PRESIDING OFFICER (Mr. Hot- LAND in the chair) laid before the Senate messages from the President of the United States submitting sundry nom- inations, which were referred to the ap- propriate committees. (For nominations this day received, see the end of Senate proceedings.) EXECUTIVE REPORTS OF COMMITTEES The following reports of nominations were submitted: By Mr. McCARRAN, from the Committee on the Judiciary: Edward Weinfeld, of New York, to be United States district judge for the southern dis- trict of New York; favorably; Eugene John Pajakowskl, of Indiana, to be United States marshal for the northern dis- trict of Indiana; favorably; Carroll O. Switzer, of Iowa, to be United States district fudge for the southern district of Iowa; adversely, with the recommenda- tion that the nomination be not confirmed; and M. Neil Andrews, of Georgia, to be United States district judge for the northern dis- trict of Georgta; adversely, with the recom- mendation that the nomination be not con- firmed. By Mr JOHNSON of Colorado, from the Committee on Interstate and Foreign Com- merce: Vice Adm. Edward L. Cochrane; United States Navy (retired), to be a member of the Federal Maritime Board for the term expir- ing June 30, 1952. The PRESIDING OFFICER. If there be no further reports of committees, the clerk will state the nominations under the heading “New Reports” on the calendar. NATIONAL LABOR RELATIONS BOARD The Chief Clerk read the nomination of Paul M. Herzog to be a member of the National Labor Relations Board. Mr. LEHMAN. Mr. President, I take very great pleasure in voting for the confirmation of the nomination of Paul M. Herzog. He received his first im- portant political appointment from me, during the time I was Governor of New York, when I appointed him a member os the original State labor relations board in 1937. Later, in 1940, he became chairman of the State labor relations board, and served until he was called to Washington to assume a place on the National Labor Relations Board. He aid a splendid piece of work during the long period of his service in New York State, a service which has been duplicated in quality and in excellence by his service to the Federal Govern- ment. I think he has shown great abil- ity, high character, imagination, loyalty, and industry throughout the years of his service, and I feel that the Nation is very fortunate that President Truman
1950 was able to persuade Chairman Herzog to accept the appointment at his hands a few days ago. There is a further personal reason why I am so pleased and happy to have the opportunity of voting to confirm this nomination. I have known Paul Herzog ever since he was a very small child. As a matter of fact, his grandfather was the family physician to my own par- ents 70 or 75 years ago, I have, of course, known the family for many, many years. During all the period of my acquaint- ance with Paul Herzog, I have been im- pressed with the quality of his character, the quality of his selfless devotion to duty, and his willingness to serve his fellow citizens. It gives me very great personal and official pleasure to have the opportunity of voting for the con- firmation of his nomination. The PRESIDING OFFICER. With- out objection, the nomination is con- firmed. DEPARTMENT OF LABOR The Chief Clerk read the nomination of Ewan Clague to be Commissioner of Labor Statistics. The PRESIDING OFFICER. With- out objection, the nomination is con- firmed. UNITED STATES AIR FORCE The Chief Clerk read the nomination of Joseph Frederick Green to be sec- ond lieutenant in the Air Force, with date of rank June 2, 1950. The PRESIDING OFFICER. With- out objection, the nomination is con- firmed. That completes the calendar. RECESS Mr. McFARLAND. As in legislative session, I move that the Senate stand in recess until 12 o’clock noon tomorrow. The motion was agreed to; and (at 5 o’clock and 50 minutes p. m.) the Senate took a recess until tomorrow, Tuesday, August 1, 1950, at 12 o’clock meridian. NOMINATIONS Executive nominations recelved by the Senate July 31 (legislative day of July 20), 1950: DIPLOMATIC AND FOREIGN SERVICE The following-named persons, now Foreign Service officers of class 3 and secretaries in the diplomatic service, to be also consuls general of the United States of America; Waldo E. Batley, of Missicsippi. Cabot Coville, of California. John B. Ocheltree, of Nevada. The following-named persons, now For- eign Service officers of class 56 and secretaries in the diplomatic service, to be also consuls of the United States of America: William C. George of the District of Columbia. Edward F. Rivinus, Jr., of Pennsylvania. Robert Rossow, Jr., of Indiana. The following-named Foreign Service staff officers to be consuls of the United States of America: Mrs. Doris H. Allen, of Kentucky. Sanford Menter, of Texas. LaMar D. Mulliner, of Pennsylvania. Edwin L. Smith, of Arkansas. Joseph A. Yager, of Ohio. CONGRESSIONAL RECORD—HOUSE The following-named Foreign Service re- serve officers to be consuls and secretaries in the diplomatic service of the United States of America; Belton O'Neal Bryan, of South Carolina. Howard Trivers, of Maryland. Coburn B. Kidd, of Oklahoma, a Foreign Service reserve officer, to be a secretary in the diplomatic service of the United States of America. UNITED STATES ATTORNEY Harvey L. Carey, of Louisiana, to be United States attorney for the western district of Louisiana, vice Malcolm E. Lafargue, term expired. In THE Marine Corps The following-named officers of the Marine Corps for permanent appointment to the grade of major general: William T Clement Merwin H Silverthorn John T. Walker Ray A. Robineon The following-named officer of the Marine Corps for permanent appointment to the grade of brigedier general: Willlam J Whaling Che following-named officers of the Marine Corps for permancont appointment to the grade of major: George E. Wasson Percy F. Avant, Jr. David R Moak Alfred G. Carlson The following-named officers of the Marine Corps for permanent appointment to the grade of major, subject to qualification therefor as provided by law: John K. Hogan Thomas A. Durham, Jr. John I. Loy The following-named officers of the Ma- rine Corps for permanent appointment to the grade of captain: Robert W. Hohl Richard J Schriver Robert B. Clay John W Walker John E Shields Roscoe R 8t. John Jefferson D Smith, Jr. Frank C, Caldwell John A. Conway David G Swinford William J Longfellow Richard A. Bauer Norman G Ewers Roger A. Morris Harold O Jones CONFIRMATIONS Executive nominations confirmed by the Senate July 31 (legislative day of July 20), 1950: NATIONAL LApnOR RELATIC2.5 BOARD Paul M Herzog, of New York, to be a member of the National Labor Relations Board, for a term of 5 years, e:piring August 27, 1955. DEPARTMENT OF LABOR Ewan Clague, of Pennsylvania, ‘» be Com- missioner of Labor Statistics, for a term of 4 years, expiring August 20, 1954. UNrrEp STATES ..rR Forc2 Joseph Frederick Green, a graduated cadet, United States Military Academy, Class of 1950, for appointment in the United States Air Force, in the grade of second lieutenant, with date of rank from June 2, 1950. HOUSE OF REPRESENTATIVES Monnay, JuLy 31, 1950 The House met at 12 o’clock noon. The Reverend Joe Weldon Batley, pas- tor of the First Baptist Church, Sulphur Springs, Tex., offered the following prayer: Eternal God, our Father, we come to Thee today especially within our hearts, 11377 with gratefulness and thanksgiving for all of the blessings Thou hast given us, blessings we have received as individ- uals, blessings that have been ours col- lectively as a Nation and as a world. We thank Thee, our Father, because we know that every good and perfect gift cometh from above; and as we stand here in this sacred place this afternoon we do pray that we as citizens may have wisdom to do and to know Thy will, and that these who are leaders of our coun- try may likewise have wisdom that comes only as we come to Thee and welcome Thy love; and we pray for the deliberations of this day, that all thoughts said and done may be to the honor and glory of Thy great and holy name. Bless everyone who is here, O God, today; and may, as we recognize the im- portance of this hour, we turn unto Thee for help and for strength. We pray in the name of the Son of God and for His sake. Amen. The Journal of the proceedings of Thursday, July 27, 1950, was read and approved, COMMUNICATION FROM THE CLERK OF THE HOUSE The SPEAKER laid before the House the following communication from the Clerk of the House of Representatives: JuLy 28, 1950. The honorable the SPraKrr, House of Representatives. Sm‘ Pursuant to authority heretofore granted, the Clerk received today from the Secretary of the Senate the following mes- sage: That the Senate had passed without amendment House Joint Resolution 512, en- titled “Joint resolution making further tem- porary appropriations for the fiscal year 1951, and for other purposes”; and That the Senate agree to the amendment of the House of Representatives to the bill 8. 3859 entitled “An act to authorize the President to control the anchorage and move- ment of foreign-flag vessels in waters of the United States when the national security of the United States is endangered, and for other purposes ” Very truly yours, Ratpx R. Ronerts, Clerk of the House of Representatives, ENROLLED BILLS SIGNED Mrs. NORTON, from the Committee on House Administration, reported that that committee had on July 27, 1950, examined and found truly enrolled bills and joint resolutions of the House of the following titles: H.R.702. An ac* for the rellef of Mrs. Ethel N. Plunkett; H.R. 1022. An act conferring jurisdiction upon the United States District Court for the District of Delaware to hear, determine, and render judgment upon the claim of Alvin Smith, of New Castle, Del., arising out of the damage sustained by him as a result of the construction and maintenance of the New Castle United States Army air base, New Castle, Del.; H.R.1095, An act for the relief of Pitts- burgh DuBois Co.; H.R. 1626, An act for the relief of Mrs. A. H. Hill; H.R. 1697. An act for the relicf of Mildred Smith Butler; H.R. 1884. An act for the relief of Kenneth Everard Hadfield;
11378 H.R.2196, An act to authorize the elimi- aation of lands from the Flathead Indtan irrigation project, Montana; H. P, 2264. An act for the relief of C. H. Bolling: H.R. 2462. An act for the relief of Miju Iser! Tsuda; H. R. 2535. An act for the relief of Samuel J. D. Marshall; H.R 2688. An act to confirm title in V. LeBlanc and C. Riccard to certain lands in West Baton Rouge Parish, La: H R 2753. An act to amend section 2 of the act of April 28, 1904 (33 Stat. 527; 43 U. &. C., sec. 213), relating to additional homestead entrics; H R.28v8, An act for the relief of Grace G. Walker; H R. 2851. An act for the relief of Carl L. Sexauer; H.R.3169. An act granting permanent residence to certain Spanish physicians re- siding in Puerto Rico; H R 8284. An act to authorize grantees of recreational demonstration project lands to make land exchanges relating to such properties, and for other purposes; H R 330€. An act for the relief of the estate of Joee Salgado Santos; H.R. 3316. An act for the relief of the estate of the late Francisco J. Cordova; H.R. 3330. An act for the relief of Therese Hohman; H.R 3535, A: act for the relief of William A. Cross; H.R 3906. An act to amend the Federal Aid to Wildlife Restoration Act, as amended; H.R. 3994. An act for the relief of John D. Lange: H.R 4041 An act for the relief of Parish Bros ; H..° 4141 An act for the relief of Edwin F Shockley; H R 4309 An act for the relief of Mrs. Nellie K. Marlowe; H.R. 4343. An act for the relief of J. P. Acker; H.R 4364. An act for the relief of Mrs. Ruth B. Moore; John Robert Lusk III; John R Lusk, Sr.; Mrs Minnie P. Pruitt; and Mrs, Binie John Bickle; H R. 4386. An act to amend section 2 (a) and section 7 of the Foreign Agents Regis- tration Act of 1938, as amended, to make fatlure of registration a continuing offense, and to continue the obligation of officers, directors, and persons acting as such, to com- ply with the act despite dissolution of a foreign agent; H.R. 4601. An act for the relief of Jean- netto Passayanni-Capodistria; H.R. 5003. An act to provide for the ex- change between the United States and the State of New York of certain lands and in- terests in lands at Manhattan Beach, Kings County, N. Y,; . H.R. 5110. An act for the relief of Janos (John) Treber and Mrs. Katalin (Katherine) Treber; H.R. 5221. An act for the relief of Mrs. Maria Grazia Riccio DiPietro; H.R. 6252. An act for the relief of W. M. Tindal; H.R 5470. An act for the relief of Joseph A. Haddad; H. E.. 5526. An act to authorize the Presi- dent to provide for the performance of cer- tain functions of the President by other officers of the Government, and for other purposes; H.R. 5628. An act to direct the Secretary of the Army to convey certain land to the State of Rhode Island; H.R 5799. An act for the rellef of the Acme Finance Co.; H.R. 5849. An act for the relief of Samuel M Kornegay; H. R. 6947. An act for the relief of Alfio Batelli; H.R. 5990. An act to provide for the con- struction, development, administration, and maintenance of the Baltimore-Washington CONGRESSIONAL RECORD—HOUSE Parkway in the State of Maryland and its extension into the District of Columbia as @ part of the park system of the District of Columbia and its environs by the Secretary of the Interior, and for other purposes; H.R 6013. An act to amend an act fixing the price of copies of records furnished by the Department of the Interior; H.R. 6018. An act for the relief of Lubo- mir Mikulik and Villam Krajcirovic; H.R 6198. An act for the relief of the First National Bank tn Richmond, Calif.; H.R. 6247. An act authorizing transfer of land and improvements thereon by the Sec- retary of the Interior to New Mexico State Fair; H R 6270. An act to authorize the sale of certain allotted inherited land on the Winne- bago Indian Reservation, Nebr.; H.R. 6292. An act to provide that pay- ments to States under the Oil Land Leasing Act of 1920 shall be made biannually; H.R 6482. An act for the relief of Antonio Artolozaga Euscola; H R 6644 An act for the relief of Edwin F, Rounds; H R. 6697. An act authorizing the issu- ance of a patent in fee to Howard H. Moran; H R.6699. An act to authorize tho sale of certain land on the Rosebud Indian Res- ervaticn, S. Dak, allotted to Susan Eagle Dog: H.R 6703. An act to authorize the sale of certain allotted inherited Innd on the Rosebud Indian Reservation, 8. Dak; H.R 6709. An act for the reltef of Ed Howard Russell; H R. 6°39, An act for the rellef of Ralph E. Brown, H R. 6971. An act to authorize the trans- fer of funds allocated for expenditure in cooperation with the New Jersev State High- way Department on State Highway Route No 100 to Stute Parkway Route No. 4; H R. 6094. An act for the relief of Karen R. McAndrews; : H.R. 7016, An act for the relief of Mrs. Margaret O’Donnell and Mrs. Arlene R. Shannon; H R.7(46. An act for the relief of C. W. Jacobs; H.R. 7072. An act for the relief of Mrs. Young Ja Kim; H R 7074. An act for the relief of Hiroko Fujiwara Matsuoks and Mimtyo Matsuoka; H.R. 7078. An act for the relief of Mrs. Eiko Yamada Nagatoshi, Edward Takeo Naga- toshi, and Frances Yoko Nagatoshi; H.R. 7079. An act for the relicf of Mrs. Gin Shibasaki Okafuji; H.R. 7204. An act for the relief of Maria Cristina D’Angelo; H.R.7219. An act to authorize acquisi- tion by the Administrator of General Services of certain land and the improvements thereon in the District of Columbia; H.R. 7260. An act to provide for the hold- ing of court and the furnishing of quarters at Rock Isiand for the United States District Court for the Southern District, Northern division, of Tlincis; H.R. 7314. An act for the relief of Yukie Nishimura Okubo; H.R. 7339. An act to abolish the Holy Cross National Monument, in the State of Colorado, and to provide for the admtinistra- tion of the lands contained therein as a part of the national forest within which such na- tional monument is situated, and for other purposes; H.R. 7392. An act for the relief of Colum- bus Finley; H.R. 7414. An act for the relief of Teresa Gentile and Galliano Gentile; H.R. 7428. An act to admit Mrs. Erna Tvedt to the United States for permanent residence; H.R. 7564. An act for the relief of Maria Margareta Ries and Konrad Horst Wilhelm Ries; H.R. 7608. An act for the relief of Mitsuko Morita; JULY 31 H.R. 7629. An act for the relief of Fumiko Arekawa and her child, Rie; H.R. 7667.An act directing the transfer to the Department of the Interior by the General Services Administration of certain property in Boise Barracks, Boise, Idaho; H. R. 7675, An act to authorize the addi- tion of certain land to Chickamauga and Chattanooga National Military Park, In the State of Tennessee; H.R. 7706. An act for the relief of Ayako Kurihara; H.R. 7779. An act for the relief of Mrs. Stamatia Lymberopoulos and Leonidas Stav- rou Limperopoulos; H.R. 7788. An act for the relief of Mrs. Donald Rafter; H.R. 7810. An act for the relief of M. 8. Davis; H.R. 7815. An act for the relief of John Yee Horn; H.R. 7820. An act for the relief of Keiko Uchida Doane and her minor child; H.R 7899 An act for the relief of Mrs. Michiko Nogami Cotter and Katsumi Cotter; H.R. 7916. An act to authorize and direct the Secretary of the Interior to execute an oil and gas lease on a certain tract of land in Park County, Wyo.; H R 7944. An act for the relief of Mr. and Mrs. Albert Chandler; H R. 7961. An act for the relief of Chiyoko Yano; H.R 7970. An act for the relief of Mrs. Regina Anderson and her minor child; H R 7977. An act to authorize the city of Buflalo, Wyo., to make additional uses of certain lands, and for other purposes, H.R. 7982. An act to abolish the Wheeler National Monument, in the State of Colo- rado, and to provide for the administration of the lands contained therein as a@ part of the National forest within which such na- tional monument is situated, and for other purposes; H.R. 8055 An act relating to the collec- tion, payment, and dishonor of demand items, and to the revocation of credit for, and payment of, such items, by banks in the District of Columbia; H.R. 8067, An act for the relief of Mrs, Yup Boon (Joan) Kim Skanes; H.R 8098. An act for the relief of Teruko Ishikawa: H.R, 8119 An act for the rellef of Midori Ohta (also known as Mary Stephen): H.R 8125. An act for the relief of Mra. Hisae Kawauchi Kelly; H.R, 8155. An act for the relief of Chiyo Furumura Yoshida; H.R. 8180. An act for the relief of Parue EK. Tsugami; H.R. 8183. An act for the relief of Asako Tsuchida; H.R. 8287. An act to authorize the Secre- tary of the Interior to issue duplicate of William Gerard's script certificate No. 2, subs Aivision 13, to Lucy P. Crowell; H.R, 8289. An act for the relief of Yee Balche Yee; H.R 8361. An act for the reltef of Toshiko Murat; H.R. 6381. An act for the relief of Mrs. Joseph G. Grant; H.R. 8382 An act for the relief of Mrs. Misao Hatanaka Deskins; H.R. 8451. An act for the relief of Yoshie Nozawa; H. R. 8500. An act for the relief of Hatsuko Tortkal; H.R, 8514. An act to amend the Tariff Act of 1930 to provide for exemption from duty of certain sound recordings imported by the Department of State, and for other pul poses; H.R.8519. An act for the relief of the estate of Archer C. Gunter; H.R. 8581. An act for the relief of Yasuko Higuchi Thomson; H.R. 8588. An act for the relief of Hisako Shimizu; H.R. 8600. An act for the relief of Yuriko Aoyama;
1950 FLR. 8604. An act to provide for the con- veyance of the Percy Jones General Hospital Gull Lake Annex, Gull Lake, Mich., to the W. K. Kellogg Foundation, Battle Creek, Mich.; H.R. 8617. An act to amend title 14, United States Code entitled “Coast Guard”; H.R. 8709, An act to change the designa- tions of Health Officer and Assistant Health Officer of the District of Columbia, respec~- tively, to Director of Public Health and As- sistant Director of Public Health; H.R. 8722. An act for the relief of Jun Hin Lum; H.R 8958. An act relating to the policing of the buildings and grounds of the Library of Congress; H. J. Res. 461. Joint resolution to provide that South Parkersburg, W. Va., shall for the purposes of the seventeenth decennial census be treated as a part of Parkersburg, W. Va.; and H J Res. 512. Joint resolution making fur- ther temporary appropriations for the fiscal year 1951, and for other purposes. The SPEAKER. The Chair desires to announce that pursuant to the author- ity granted him on July 27, 1950, he did on July 28, 1950, sign the following en- rolled bills and joint resolutions of the House: H.R 702. An act for the relief of Mrs. Ethel N. Plunkett; H.R 1022. An act conferring jurisdiction upon the United States District Court tor the District of Delaware to hear, determine, and render judgment upon the claim of Alvin Smith, of New Castile, Del, arising out of the damage sustained by him as a result of the construction and maintenance of the New Castle United States Army Air Base, New Castle, Del.; H R.1095. An act for the relie? of Pitts- burgh DuBois Co.; H.R. 1626. An act for the relief of Mrs. A H. Hill; H.R. 1697. An act for the relief of Mildred Smith Butler; H.R. 1854. An act for the relief of Ken- neth Everard Hadfeld; H.R. 2196. An act to authorize the elimi- nation of lands from the Flathead Indian irrigation project, Montana; H R 2264. An act for the relief of C. H. Bolling; H.R. 2462. An act for the rellef of Miju Iseri Tsuda; H.R. 2535. An act for the relief of Samuel J.D, Marshall; H.R. 2588. An act to confirm title in V. Le- Blanc and C. Riccard to certain lands in West Baton Rouge Parish, La.; H.R 2753. An act to amend section 2 of the act of April 28, 1904 (33 Stat. 527; 43 U. 8. C., sec. 213), relating to additional homestead entries; H.R. 2808. An act for the relief of Grace G, Walker; H.R. 2851. An act for the relief of Carl L. Bexauer; H.R.3169. An act granting permanent residence to certain Spanish physicians re- siding in Puerto Rico; H.R. 3204. An act to authorize grantees of recreational demonstration project lands to make land exchanges relating to such prop- erties, and for other purposes; H.R 3305. An act for the relief of the estate of Jose Salgado Santos; H.R.3316. An act for the relief of the estate of the late Francisco J. Cordova; H.R. 3380. An act for the relief of Therese Hohman; H.R. 3535. An act for the relief of William A. Cross; H.R. 3906. An act to amend the Federal Aid to Wildlife Restoration Act, as amended; H.R. 3004. An act for the relief of John D. Lange; CONGRESSIONAL RECORD—HOUSE B H.R. 4041. An act for the relief of Parish TrOs.; H.R. 4141. An act for the relief of Edwin F. Shockley; H.R. 4309. An act for the relief of Mrs, Nellie K. Marlowe; H.R. 4343, An act for the relief of J. P. Acker; H.R. 4364. An act for the relief of Mrs. Ruth B. Moore; John Robert Lusk III; John R. Lusk, Sr.; Mrs. Minnie P. Pruitt; and Mrs. Billie John Bickle; H.R. 4386. An act to amend section 2 (a) and section 7 of the Foreign Agents Regis- tration Act of 1938, as amended, to make failure of registration a continuing offense, and to continue the obligation of officers, directors, and persons acting as such, to comply with the act despite dissolution of @ foreign agent; H R. 4601. An act for the relief of Jean- nette Passayanni-Capodistria; H.R.5003. An act to proyide for the ex- change between the United States and the State of New York of certain lands and in- terests in lands at Manhattan Beach, Kings County, N. Y; H R 5110. An act for the rellef of Janos (John) Treber and Mrs. Katalin (Katherine) Treber; H.R. 5221, An act for the relief of Mrs. Maria Grazia Riccio DiPiotro; H R 5252. An act for the relief of W. M. Tindal; H.R 5470 An act for the relief of Joseph A. Haddad; H.R.5526 An act to authorize the Presi- dent to provide for the performance of cer- tain functions of the President by other officers of the Government, and for other purposes; H.R. 5628. An act to direct the Secretary of the Army to convey certain land to the State of Rhode Island; H R.5799. An act for the relief of the Acme Finance Co, H R. 5849, An act for the relief of Samuel M. Kornegay; H R. 50947. An act for the relief of Alfio Batellt; H R. 5990. An act to provide for the con- struction, development, administration, and maintenance of the Baltimore-Washington Parkway in the State of Maryland and its extension into the District of Columbia os a part of the park system of the District of Columbia and its environs by the Secretary of the Interior, and for other purposes; H R 6013. An act to amend an act fixing the price of copies of records furnished by the Department of the Interior; H.R.6018 An act for the relief of Lubomir Mikulik and Viliam Krajctrovic; H.R. 6198. An act for the relief of the First National Bank in Richmond, Calif.; H. R. 6247. An act authorizing transfer of land and improvements thereon by the Sec- retary of the Interior to New Mexico State Fatr; H. R. 6270. An act to authorize the sale of certain allotted inherited Jand on the Win- nebago Indian Reservation, Nebr.; H.R. 6292. An act to provide that pay- ments to States under the Oil Land Leasing Act of 1920 shall be made biannually; H. R. 6482. An act for the relief of Antonio Artolozaga Euscola; H.R. 6644 An act for the rellef of Edwin F. Rounds; H.R. 6697, An act authorizing the Issuance of a patent in fee to Howard H. Moran; H. R, 6699. An act to authorize the sale of certain land on the Rosebud Indian Reserva- tion, 8. Dak., allotted to Susan Eagle Dog; H.R. 6708. An act to authorize the sale of certain allotted inherited land on the Rose- bud Indian Reservation, 8. Dak.; H.R. 6709. An act for the rellef of Ed Howard Russell; H. R. 6969, An act for the relief of Ralph E, Brown; 11379 H.R. 6971. An act to authorize the transa- fer of funds allocated for expenditure in cooperation with the New Jersey State High- way Department on State Highway Route No. 100 to State Parkway Route No. 4; H. R. 6994. An act for the relief of Karen R. McAndrews; H.R. 7016. An act for the relief of Mrs. Margaret O'Donnell and Mrs. Arlene R. Shannon; H.R. 7046. An act for the relief of C. W. Jacobs; H.R. 7072. An act for the relief of Mra. Young Ja Kim; H.R. 7074. An act for the relief of Hiroko Fujiwara Matsuoka and Mimiyo Matsuoka; H.R. 7078. An act for the relief of Mrs. Eiko Yamada Nagatoshi, Edward Takeo Nagatoshi, and Frances Yoko Nagatoshi; H.R. 7079. An act for the relief of Mrs. Gin Shibasaki Okafuji; H.R 7204. An act for the relief of Maria Cristina D'Angelo; H.R. 7219. An act to authorize acquisition by the Administrator of General Services of certain land and the improvements thereon in the District of Columbia; H.R. 7260. An act to provide for the hold- ing of court and the furnishing of quarters at Rock Island for the United States District Court for the Southern District, northern division, of Illinois; H.R. 7314. An act for the relicf of Yukte Nishimura Okubo; H.R. 7339 An act to abolish the Holy Cross National Monument, in the State of Colorado, and to provide for the administration of the lands contained therein as a part of the na- tional forest within which such national monument is situated, and for other pur- poses; H.R 7392. An act for the relief of Co- lumbus Finley; H.R. 7414. An act for the relief of Teresa Gentile and Galliano Gentile; H.R. 7428 An act to admit Mrs. Erna Tvedt to the United States for permanent resi- dence; H.R. 7564. An act for the relief of Maria Margareta Ries and Konrad Horst Wilhelm Ries; H.R. 7608. An act for the relief of Mitsuko Morita; H. R. 7629. An act for the relief of Fumiko Arakawa and her child, Rie; H.R. 7667. An act directing the transfer to the Department of the Interior by the General Services Administration of certain property in Boise Barracks, Boise, Idabo; H.R. 7675. An act to authorize the addi- tion of certain land to Chickamauga and Chattanooga National Military Park, in the State of Tennessee; H R. 17706, An act for the relief of Ayako Kurihara; H.R.7779. An act for the relief of Mrs. Stamatia Lymberopoulos and Leonidas Stavrou Limperopoulos; H.R. 7783. An act for the relief of Mrs. Donald Rafter; H.R. 7810. An act for the rellef of M. S. Davis; H.R. 7815. An act for the relief of John Yee Horn; H.R.7820 An act for the relief of Keito Uchida Doane and her minor child; H.R. 7899. An act for the relief of Mrs. Michiko Nogami Cotter and Katsumi Cotter; H.R. 7916. An act to authorize and direct the Secretary of the Interior to execute an oll and gas lease on a certain tract of Innd in Park County, Wyo.; H.R. 7944. An act for the relief of Mr. and Mrs. Albert Chandler; H.R. 7961. An act for the relief of Chiyoko Yano; H.R. 7970. An act for the relief of Mrs. Regina Anderson and her minor child; H.R, 7977, An act to authorize the city of Buffalo, Wyo, to make ‘additional uses of certain lands, and for other purposes;
11386 H.R. 7082. An act to abolish the Wheeler National Monument, in the State of Colo- rado, and to provide for the administration of the lands contained therein as a part of the national forest within which such na- tional monument is situated, and for other purposes; H R. 8058. An act relating to the collec- tion, payment, and dishonor of demand items, and to the revocation of credit for, and payment of, such items, by banks in the District of Columbia; H.R. 8067. An act for the relief of Mrs. Yup Boon (Joun) Kim Skanes; H R 8098. An act for the relief of Teruko Ishikawa; H R 8119. An act for the relief of Midori Ohta (also known as Mary Stephen); H R 8125 An act for the relief of Mrs. Hisac Kawauchi Kelly; H R 8155 An act for the relief of Chiyo Furumura Yoshida; H.R.8180 An act for the relief of Parue K. Tsugam!; H.R 8183. An act for the relief of Asako Tsuchida; H R 8287. An act to authorize the Secre- tary of the Interior to issue duplicate of William Gerard's script certificate No. 2, sub- division 18, to Lucy P. Crowell; H R 8280. An act for the relief of Yee Balche Yee; H.R 8361. An act for the relief of Toshiko Murat; H R. 8881 An act for the relief of Mrs. Joseph G Grant; H.R 8382. An act for the relief of Mrs. Misao Hatanaka Deskins; H R. 8451. An act for the relief of Yoshie Nozawa; H R 8500. An act for the relief of Hat- suko Torikal; H R 8514. An act to amend the Tariff Act of 1930 to provide for exemption from duty of certain sound recordings imported by the Department of State, and for other purposes; H AR. 8619. An act for the relief of the estate of Archer C. Gunter; H.R. 8581. An act for the rellef of Yasuko Higuchi Thomson; H R 8583, An act for the relief of Hisako Bhimizu; H WR. 8600. An act for the relief of Yuriko Aoyama; H R. 8604. An act to provide for the con- veyance of the Percy Jones General Hospital Gull Lake Annex, Gull Lake, Mich., to the W K Kellogg Foundation, Battle Creek, Mich.; H.R. 8617. An act to amend title 14, United States Code, entitled “Coast Guard"; H.R. 8709, An act to change the designa- tions of Health Officer and Assistant Health Officer, spectively, to Director of Public Health and Agsistant Director of Public Health; H.R. 8722, An act for the relief of Jun Hin Lum; H R. 8968. An act relating to the policing of the buildings and grounds of the Library of Congress; H. J. Rea. 461, Joint resolution to provide that South Parkersburg, W. Va., shall for the purposes of the seventeenth decennial cen- sus be treated as a part of Parkersburg, W Va; and H.J Res. 612. Joint resolution making further temporary appropriations for the fiscal year 1951, and for other purposes, And an enrolled bill of the Senate as follows: 8.3859. An act to authorize the President to control the anchorage and movement of foreign-flag vessels in waters of the United States when the national security of the United States is endangered, and for other purposes, MESSAGE FROM THE PRESIDENT A message in writing from the Presi- dent of the United States was communi- of the District of Columbia, re- CONGRESSIONAL RECORD—HOUSE cated to the House by Mr. Miller, one of his secretaries, who also informed the House that on the following dates the President approved and signed bills and a joint resolution of the House of the following titles: On July 26, 1950: H.R 5866 An act to adjust and define the boundary between Great Smoky Mountains National Park and the Cherokee-Pisgah- Nantahala National Forests, and for other purposes; and H.R. 7477. An act providing for the con- veyance to the town of Nahant, Mass., of the Fort Ruckman Military Reservation. On July 28, 1950: H.R. 36506. An act for the relief of Louis P. Murphy, United States immigrant inspec~ tor, El Paso, Tex.; and H.J Res. 513. Joint resolution to author- ize the burial in the National Cemetery at Nashville, Tenn. of the bodies of members of the Tennessee Air National Guard killed in &@ plane crash near Myrtle Beach, 5. C., July 23, 1950. On July 31, 1950: H.R. 940. An act to authorize construc- tion of the Eklutna project, hydroelectric generating plant and transmission facilities in connection therewith, and for other purposes; and H. J. Res. 612. Joint resolution making fur- ther temporary appropriations for the fiscal year 1951, and for other purposes. RESTRICTIONS ON THE AUTHORIZED PERSONNEL STRENGTH OF THE ARMED FORC Mr. VINSON, Mr. Speaker, I ask unanimous consent to take from the Speaker's desk the bill (H. R. 9178) to suspend restrictions on the authorized personnel strength of the Armed Forces, and for other purposes, with a Senate amendment thereto, and concur in the Senate amendment. The Clerk read the title of the bill. The Clerk read the Senate amendment as follows: Line 9, after “suspended” insert “until July 81, 1954.” The SPEAKER. Is there objection to the request of the gentleman from Georgia? Mr. MARTIN of Massachusetts. Mr. Speaker, reserving the right to object, will the gentleman explain this amend- ment? Mr. VINSON. Mr. Speaker, unier the House bill there was no limit. Under the Senate amendment it provides that the suspension shall exist until the date stated in the amendment, in 1954. Asa matter of fact, the whole subject has got to be considered in July 1951, the date of the expiration of the Draft Act. Mr. MARTIN of Massachusetts. This is agreeable to Members on both sides of the aisle? Mr. VINSON. It is. Mr. COLE of New York. Mr. Speaker, will the gentleman yield? Mr. MARTIN of Massachusetts. I yield to the gentleman from New York, Mr. COLE of New York. Mr. Speaker, in connection with the statement made by the gentleman from Georgia, at the time the bill was before the House the gentleman assured the House this qu tion would come under scrutiny by the Congress in July 1951, Mr. VINSON. That is correct, JULY 31 Mr. COLE of New York. The gentle- man reiterates that as being his posi- tion in spite of the fact that the pro- posed amendment places the time limit in 1954? Mr. VINSON. The act expires on July 1, 1951, and notwithstanding this amendment this whole subject must be reconsidered at that time. Mr. RICH. Mr. Speaker, will the gen- tleman yield? Mr. MARTIN of Massachusetts. I yield to the gentleman from Pennsyl- vania, Mr. RICH. If this expires in 1951, why do you have the date 1954? Mr. VINSON. I am agreeing to the Senate amendment because it has been put in there by the Senate. It does not make any difference whether it is in or out. Itis just a question of going ahead and agreeing to the amendment. It is all right. There would not be any harm if it were not in there at all and it cannot make any difference one way or the other. Mr. MARTIN of Massachusetts. The gentleman is going to see that the whole business is reviewed next year? Mr. VINSON. We have to review it under the law anyway. The SPEAKER. Is there objection to the request of the gentleman from Georgia? There was no objection. The Senate amendment was con- curred in. A motion to reconsider was laid on the table. CONSTRUCTION OF MODERN NAVAL VESSELS Mr. VINSON. Mr. Speaker, I ask unanimous consent to take from the Speaker’s desk the bill (H. R. 7764) to authorize the construction of modern naval vessels, and for other purposes, with Senate amendments thereto, and concur in the Senate amendments. The Clerk read the title of the bill. The Clerk read the Senate amend- ments as follows: Page 1, line 4, strike out “and directed.” Page 1, line 10, strike out “and directed.” Page 2, line 7, preceding “Sums”, insert: “Construction authorized by this section shall be chargeable against tonnages author- ized by existing law.” Page 2, lino 13, after “appropriated”, in- sert: “not to exceed.” The SPEAKER. Is there objection to the request of the gentleman from Geor- gia? Mr. MARTIN of Massachusetts. Mr. Speaker, reserving the right to object, will the gentleman explain these amend- ments? Mr. VINSON. Mr. Speaker, one Sen- ate amendment strikes out the words “and directed.”” When the House passed the bill we used the language: ‘The Pres- ident is authorized and directed.” The Senate did not like the word “direct.” The words “authorization” and “author- jze” and “direct” are practically the same thing. So we ask that the amend- ment of the Senate be agreed to. The other amendment relates to tonnage on the books. This tonnage is charged against the tonnage that was authorized in 1938. Instead of additional tonnage
1950 it is just charged against the tonnage of 1938, There is still left on the books about a million or two tons of naval con- struction; that is merely just charged against it. Mr. MARTIN of Massachusetts, And there is no new construction authorized at all? . Mr. VINSON. Oh, yes; there is a good deal of new construction. Mr. MARTIN of Massachusetts. I mean, additional construction to what has already been authorized. Mr, VINSON. This is authorizing two-hundred-and-some-odd ships, and this amendment was not to make it against the tonnage authorized, but against the tonnage previously author- ed. Mr. MARTIN of Massachusetts, And that is agreeable to both sides of the Committee on Armed Services? Mr. VINSON. Yes The SPEAKER. Is there objection to the request of the gentleman from Georgia? There was no objection. The Senate amendments were con- curred in. A motion to reconsider was laid on the table. UNITED STATES MARINE BAND Mr. VINSON. Mr. Speaker, I ask unanimous consent to take from the Speaker’s desk the bill (H. R. 8139) to authorize the attendance of the United States Marine Band at the annual re- union of the United Confederate Veter- ans to be held in Biloxi, Miss , Septem- ber 27 through September 30, 1950, with Senate amendments thereto, and concur in the Senate amendments. The Clerk read the title of the bill. The Clerk read the Senate amend- ments, as follows: Page 1, line 4, strike out “Marine Corps” and insert “Navy.” Page 2, line 2, strike out “Marine Band” and insert “Navy Band” Amend the title so a5 to read: “An act to authorize the attendance of the United States Navy Band at the annual reunion of the United Confederate Veterans to be held in Biloxi, Miss, September 27 through Sep- tember 30, 1950” The SPEAKER. Is there objection to the request of the gentleman from Georgia? Mr. MARTIN of Massachusetts. Mr. Speaker, reserving the right to object, will the gentleman please explain the Senate amendments? Mr. VINSON. As the bill passed the House, it authorized the Marine Band to go to this reunion, and this substitutes the Navy Band Mr. MARTIN of Massachusetts. I certainly have no objection to that, Mr. Speaker. The SPEAKER. Is there objection to the request of the gentleman from Georgia? There was no objection. The Senate amendments were con- curred in. A motion to reconsider was laid on the table. CIVIL GOVERNMENT FOR GUAM Mr. PETERSON. Mr. Speaker, I ack unanimous consent to take from the CONGRESSIONAL RECORD—HOUSE Speaker's table the bill (H. R. 7273) to provide a civil government for Guam, and for other purposes, with Senate amendments there, and concur in the Senate amendments. The Clerk read the title of the bill. The Clerk read the Senate amend- ments, as follows: Page 2, line 5, after “and” where it appears the second time insert “its relations with the Federal Government.” Page 2, line 6, after ‘‘the’’ where it appears the first time insert “general administrative.” Page 2, line 13, strike out “207” and insert 206 ” Page 8, line 11, after “States” insert “: Pro- vided, That in the case of any person born before the date of enactment of this section, he has taken no affirmative steps to preserve or acquire foreign nationality.” Page 4, line 8, strike out “(6)” and insert (5) ” Page 6, line 5, strike out ‘‘sex,”. Page 6, line 6, strike out all after “dented” down to and including “authority” tn line 11. Page 7, lines 1 and 2, strike out “, in a school approved by the Governor of Guam " Page 7, line 3, strike out “political or” Page 7, line 3, strike out all after “test” down to and including “Guam” tin line 5. Page 7, line 6, after “shall” insert “ever.” Page 7, after line 7, insert. ‘(t) No person who advocates, or who aids or belongs to any party, organization, or association which advocates, the overthrow by force or violence of the government of Guam or of the United States shall be qualified to hold any public office of trust or profit under the govern- ment of Guam" Page 7, lines 17 and 18, strike out “, unless sooner removed by the President for cause.” Page 8, line 25, strike out “or ordinance” Page 9, lines 7 and 8, strike out “Lieuten- ant Governor for” and insert “secretary of.” Page 9, lines 20 and 21, strike out “, unless sooner removed by the President for cause.” Page 10, lines 3 and 4, strike out “Lieuten- ant Governor” and insert ‘‘secretary " Page 10, line 9, strike out “house of coun- cil” and insert “legislature.” Page 10, line 10, strike out all after “and” down to and including “ancestry” in line 14 and insert “instrumentalities, In mak- ing appointments and promotions, prefer- ence shall be given to qualified persons of Guamanian ancestry.” Page 10, line 17, after “ancestry ” insert “The legislature shall establish a merit sys- tem and, as far as practicable, appointments and promotions shall be made in accordance with such merit system.” Page 11, strike out lines 4 to 7, inclusive. ; ae 11, line 8, strike out “e”’ and insert Hd) .” Page 11, line 13, strike out all after “10.” down to and including “house.” in line 16 and insert “The legislative power of Guam, except as Otherwise provided in this act, shall be vested in a legislature which shall consist of a single house of not to exceed 21 mem- bers to be elected at large. General elec- tions to the legislature shall be held on the Tuesday next after the first Monday in No- vember, biennially in even-numbered years." Page 11, line 21, strike out “shall be con- stituted and.” Page 12, line 4, strike out “and” where it appears the first time and Insert “sales,”. Page 12, line 4, strike out “fees” and insert “fees,”, Page 12, line 6, after “be”, insert “uni- formly.” Page 12, line 18, after “exempt”, insert “as to principal and interest,”. Page 12, line 24, after “choose”, insert “from ite members.” Page 14, line 11, strike out all after “18.” down to and including “following.” in line 13 and insert “Regular sessions of the legis- lature shail be held annually for a period or 11381 periods not to exceed in the aggregate 60 calendar days, as the legislature may deter- mine. Such sessions shall convene in Agana on the second Monday in January.” Page 15, lines 10 and 11, strike out “two- thirds of each house (if there be two houses) or." Page 15, line 12, strike out “(if there be only one house) ” Page 17, strike out all after line 8 over to and including line 9 on page 19 and insert: “Bec, 22 (a) There is hereby created a court of record to be designated the “Dis- trict Court of Guam", and the judicial au- thority of Guam shall be vested in the Dis- trict Court of Guam and in such court or courts as may have been or may hereafter be established by the laws of Guam, The District Court of Guam shall have, In all causes arising under the laws of the United States, the jurisdiction of a district court of the United States as such court is defined in section 461 of title 28, United States Code, and shall have original jurisdiction in all other causes in Guam, jurisdiction over which has not been transferred by the leg- islature to other court or courts established by it, and shall have such appellate jurts- diction as the legislature may determine. The jurisdiction of and the procedure in the courts of Guam other than the District Court of Guam shall be prescribed by the laws of Guam, “(b) The rules heretofore or hereafter pro- mulgated and made effective by the Supreme Court of the United States pursuant to sec- tion 2072 of title 28, United States Code, in civil cases, section 2078 of title 28, United States Code, in admiralty cases; sections 8771 and 3772 of title 18, United States Code, in criminal cases; and section 30 of the Bank- ruptcy Act of July 1, 1898, as amended (title 11, U. S C., sec 63), in bankruptcy cases; shall apply to the District Court of Guam and to appeals therefrom. “Src. 23. (a) The United States Court of Appeals for the Ninth Circuit shall have jurisdiction of appeals from all final deci- sions of the District Court of Guam in all cases involving the Constitution, laws, or treaties of the United States or any authority exercised thereunder, in all habeas corpus proceedings, and in all other civil cases where the value in controversy exceeds $5,000, ex- clusive of interest and costs. “(b) Any party may appeal to the Supreme Court cf the United States from an inter- locutory or final Judgment, or order of the District Court of Guam, holding an act of Congress unconstitutional in any civil action, suit, or proceeding to which the United States or any of its agencies or any officer or employee thereof, as such officer or em- ployee, is a party. A party who has received notice of appeal under this section shall take any subsequent appeal or cross appeal to the Supreme Court. All appeals or cross appeals taken to other courts prior to such notice shall be treated as taken directly to the Supreme Court. “Bec 24 (a) The President shall, by and with the advice and consent of the Senate, appoint a judge for the District Court of Guam who shall hold office for the term of 4 years and until his successor is chosen and qualified unless sooner removed by the Presi- dent for cause, The Judge shail receive a sal- ary payable by the United States which shall be the same as the salary of the Governor of Guam as provided by section 28 (a) of this act, and shall be entitled to the benefits of retiremer:t provided in section 373 of title 28, United States Code. The Chief Justice of the United States may, with the consent of the judge so assigned, assign any United States circuit or district judge to serve as & judge in the District Court of Guam when- ever it 1s made to appear that such an as- signment is necessary for the proper dispatch of the business of the court. “(b) The President shall appoint, by and with the advice and consent of the Senate,
11382 @ United States attorney and United States marshal for Guam to whose offices the provi- sions of chapters 31 and 33 of title 28, United States Code, respectively, shall apply. “(c) The provisions of chapters 21, 41, 43, 49, and 57 of title 28, United States Code, shall apply to the District Court of Guam.” Page 20, line 8, strike out “of $16,000” and insert “at the rate provided for governors of Territories and possessions in the Executive Pay Act of 1949, but not to exceed $13,125.” Page 20, line 12, strike out “@16,000" and insert “the equivalent of the compensation for a civillan governor.” Page 20, strike out lines 13, 14, and 15 and insert “(b) The secretary of Guam Shall re- celve an annual salary to be paid by the United States at a rate established in ac- cordance with the standards provided in the Classification Act of 1949.” Page 21, line 13, after “States”, insert “at established rentals.” Page 22, line 14, after “property”, insert “, real and personal,”. Page 22, line 22, after “property”, insert “, real and personal,”. Page 23, line 5, after “property”, insert “, real and personal,”. Page 23, lines 15 and 16, strike out “advan- tageous to the Government of the United States” and insert “in the public interest.” Page 28, line 16, after “property”, insert “real and personal,”. ‘ Page 24, line 6, strike out “collected in” and insert “derived from.” Page 25, line 4, strike out “The” and insert “Upon the 21st day of July 1950, the anniversary of the liberation of the island of Guam by the Armed Forces of the United States in World War IT, the.” Page 25, line 5, strike out “immediately upon enactment.” The SPEAKER. Is there objection to the request of the gentleman from Florida? Mr. CRAWFORD. Mr. Speaker, re- serving the right to object, may I ask the chairman of the Committee on Pub- lic Lands a question? As I understand, this is a bill which gives a civilian form ot government to American Guam which has been under a military administra- tion for about 50 years? Mr. PETERSON. That is correct. Mr. CRAWFORD. And wherein the President by Executive order last Sep- tember established a civilian governor, who has been in charge since that date, pending the enactment of this bill? Mr. PETERSON. That is correct. The amendments are more or less pro- cedural. In other words, as to the gov- ernor’s salary, the Senate bill is less than the House bill, and it provides for a sec- retary of Guam instead of a lieutenant governor, and instead of a supreme court it provides for a district court, doing away with two judges. As far as the bill is concerned, the Senate bill {s more eco- nomical than the House bill. Mr. CRAWFORD. I agree with the gentleman on that. I withdraw my res- ervation of objection, Mr. Speaker. The SPEAKER. Is there objection to the request of the gentleman from Florida? There was no objection. The Senate amendments were con- curred in, A motion to reconsider was laid on the table. COMMITTEE OF ESCORT The SPEAKER. The Chair appoints as a committee to escort our distin- guished guests into the House the gen- CONGRESSIONAL RECORD—HOUSE tleman from Massachusetts [Mr. Mc- Cormack] and the gentleman from Mas- sachusetts [Mr. MARTIN], RECESS The SPEAKER. The Chair declares the House in recess at this time subject to the call of the Chair, Accordingly (at 12 o’clock and 15 min- utes p. m.) the House stood in recess, subject to the call of the Chair. RECEPTION OF MEMBERS OF THE JAPANESE DIET During the recess the following pro- ceedings occurred: The members of the Japanese Diet entered the Hall of the House of Repre- sentatives at 12 o’clock and 18 minutes p. m., and were escorted by the commit- tee appointed for that purpose to the places reserved for them. The SPEAKER. Members of the House of Representatives, it is my high privilege and great pleasure to welcome on this floor today and in the gallery distinguished citizens from Japan. To say that they are welcome here in the United States of America and that we are glad to have them is putting it only mildly, We are glad that you are here representing the country you do. For many, many years peace and amity reigned between the United States and Japan. In recent years that has been disturbed. We trust that your visit here is an evidence that your gov- ernment is a friendly one. It gives us the opportunity of showing you that in the future we want to be your friends. We want to live in peace with you, that you and we in a democratic way may carry on and make the world in which we live a better place. The Chair recognizes the gentleman from Massachusetts [Mr. Martin]. Mr. MARTIN of Massachusetts. Mr. Speaker, I am delighted to join with our distinguished Speaker in this cordial wel- come to our distinguished guests from across the sea. We are living in a tur- bulent period, a period when all that is dear and precious to mankind is at stake. In these critical days, we are delighted to have this genuine gesture of friend- ship, and we welcome you to a country which is ready and anxious to establish firmly the bonds of friendship. The United States at the present mo- ment is trying to aid in the rebuilding and rehabilitation of your native land. We want to make Japan one of the great countries of the world, a country that will join with us and the other forces that will fight for freedom and for better days for peoples everywhere. It is in this spirit we welcome you here today. We believe the generous gesture of your visit to us will bear good fruit in the days that are tocome. We want you to realize that the people of the United States have no desire either for domina- tion of other countries or of empire, We are only trying to build a more peaceful world, a world where we may achieve a better life for the average man and woman, whether they live in the United States, Japan, or any other country. The people of the world are begging for peace. They seek peace, but at the same time, they want freedom and op- JULY 31 portunity. People who believe in peace and freedom must be rallied together in one great common cause. We hope that this visit will cement better relations between two great peo- ples, two peoples, who, working in full cooperation, can rescue the world from war and destruction. I repeat, 1 am happy to join with our distinguished Speaker and to welcome you to the United States. I hope your visit will be happy and profitable. Iam sure that it will help to give you a better understanding of what can come from people who live in freedom, where pri- vate initiative has the opportunity to work its wondrous results. We want you to take back to Japan the most kindly feelings toward the people of the United States. I believe the peoples of our two great countries working together can be a positive force—a positive force for bet- ter things for all the people of the world. Let us work together. With full con- fidence and trust in each other, we can rescue mankind from the threat of those who would put out the lights of freedom and usher in an era of oppression and perhaps slavery. The SPEAKER. The Chair will ask the spokesman for the members of the Japanese Diet to come to the Speaker's rostrum, that he may be presented. Delegate Kitamura stood at the Speaker’s rostrum, to the right of the Speaker. The SPEAKER. The Chair takes great pleasure in presenting to the Mem- bers of the House of Representatives a leader of the Democratic Party in the Japanese Diet, Member for Nagasaki, and former Minister of Finance, Dele- gate Tokutaro Kitamura, representing the members of the Diet of Japan. Delegate KITAMURA. On behalf of the Japanese delegates who have been permitted to come into this great place, I should like to be allowed to express sev- eral things in my reply. I wish to express our very deepest gratitude for this great honor which has been extended to us, to be permitted to come here, and especially to be permitted to come to this great place of honor here on the stand to express our message of gratitude. This is something which words cannot express. - As a representative of the Japanese people, I should like to express our deep- est regret for the tragic trouble that we have caused to the people of the United States, the peoples of the European na- tions, the people of of China, and also the people of the Australian nation, representatives of whom I believe are in the gallery today. [Applause.] The third point to which I should like to refer is the very deep gratitude the Japanese people have for the material assistance in the form of food and other aid which has been given to Japan for her rehabilitation after the war. This is a gesture which indicates the great for- giveness which the United States has, and gives to your aid a moral and spirit- ual by which we, the Japa- nese people, are deeply moved and for which we are deeply grateful. [Ap- plause.) Unfortunately, a very serious situa- tion has arisen in the Far East in this
1950 most historic moment. I wish to ex- press also our very deepest appreciation for the quick and effective action that the United States has taken in line with the action taken by the United Nations to forestall the aggressors against peace, the aggressors that are threatening the freedom, the justice, and the liberty of nations 1n the Far East and elsewhere in the world. We realize that the precious blood of the sons of America is now being shed to protect the freedom of the world and the Far East, and if we might be per- mitted, as Japanese, to bow our heads in deepest and humble gratitude and ap- preciation for this great sacrifice that the United States is making, 1t will be indeed an honor and a privilege for us Although Japan 1s not yet a free mem- ber of the family of nations, still we, the Japanese people, would like to do every- thing 1n our own present power to sup- port the action now being taken to pro- tect the Far East. Following the devas- tation of the war, Japan is now trying to rehabilitate herself and is doing every- thing that she possibly can to bring order out of great confusion, a confusion which is typified by the loss of 4,000,000 homes. Every effort that she can possibly put forth is being exerted to bring herself up economically out of the destruction that has taken place in Japan. We had thought that the first step that we must take was an economic and ma- terial rehabilitation in our nation, but we have discovered that the far greater and far more basic rehabilitation is the es- tablishment of a true moral order in the Far East and in our nation. Only on the basis of this moral order can a true eco- nomic order be established. [Applause ] It was with this in mind that many of the leaders representing all phases of life in Japan went to the assembly at Caux, Switzerland, and discovered there that the four basic standards set forth by the program for moral rearmament can be the real basis on which a true rehabilita- tion and reconstruction can be carried out in our nation. [Applause. | Especially in view of the great forces of communism that are now penetrating the Far East, we, the Japanese people, feel extremely responsible for finding a true answer to that great ideology, an answer that will be a better ideology, an answer that will give a true constructive basis on which inspired democracy can be established in the Far East, This is the great question and the great subject to which we, the Japanese people, must find the answer and carry it out. [Ap- plause. 1] The 80,000,000 citizens of Japan are now trying to work themselves into a truly democratic and truly peaceful na- tion for readjustment and freedom in the world. To bring this about in a real sense in our nation is the best way in which we can express specifically our deep gratitude to the United States for the assistance she has given us. [Ap- plause | In closing I should like once again to express my very deepest gratitude for this great honor and most historic op- portunity that has been accorded me to address the Members of the House of Representatives and to express my grat- CONGRESSIONAL RECORD—HOUSE itude to you and to the Speaker of this House. [{Applause, the Members rising.] At 12 o’clock and 38 minutes p. m., the members of the Japanese Diet retired from the Hall of the House of Repre- sentatives, AFTER RECESS The recess having expired, at 12 o’clock and 40 minutes p. m. the House was called to order by the Speaker. THIRTY-FIRST REPORT TO CONGRESS ON LEND-LEASE OPERATIONS—MESSAGE FROM THE PRESIDENT OF THE UNITED STATES (H. DOC. NO. 666) The SPEAKER laid before the House the following message from the Presi- dent of the United States, which was read, and, with the accompanying papers, referred to the Committee on Foreign Affairs and ordered to be printed: To the Congress of the United States’ This is the Thirty-first Report to Con- gress on Lend-Lease Operations, for the period ending March 31, 1950, furnished in accordance with section 5, subsection (b) of the act of March 11, 1941 (55 Stat. 32; 22U S.C, sec 414 (b)), The Government of Chile, in February 1950, arranged to pay the entire balance on its lend-lease accounts, thus providing for settlement in full of its lend-lease obligations. Efforts have been continued to complete the negotiation of settle- ments with the few countries which have not entered into final agreements for Jend-lease, and to dispose of various claims, accounts, and other residual problems. Harry S. TRUMAN. THe Wuite Hovse, July 28, 1950. SENECA NATION OF INDIANS OF NEW YORK Mr. MORRIS Mr. Speaker, I ask unanimous consent to take from the Speaker's desk the bill (H. R 4942) to 1egulate the collection and disbursement of moneys realized from leases made by the Seneca Nation of Indians of New York, and for other purposes, with Sen- ate amendments thereto, and concur in the Senate amendments. The Clerk read the title of the bill The Clerk read the Senate amend- ments, as follows Page 2, line 3, after “leases”, insert “: Provided further, That nothing herein contained shall be construed to authorize the city of Salamanaca to grant new leases, Or to modify, change, or alter existing leases, except with the consent of the Seneca Na- tion and upon terms agreeable to the Seneca Nation, such consent and such agreement to be obtained from such officer or agency of the Seneca Nation as may be duly authorized by the Seneca Nation to give such consent or arrive at such agreement”. Page 2, after line 3, insert: “Sec, 2. Nothing in this act shall be con- strued as waiving the rights or title of the Seneca Nation to the lands referred to in the first section of this act, nor shall such rights or title be abridged except as may be here- after provided by the United States in full consideration of the rights of the Seneca Nation.” Page 2, line 4, strike out “2” and Insert "3." Page 2, line 9, after “basis”, insert ‘The council of the Seneca Nation shall keep com- plete and detailed record of all payments 11383 and disbursements from the sum so set aside, and shall make such records available for inspection by members of the Seneca Na- tion at all reasonable times.” Page 2, line 10, strike out “8” and in- sert ug Ty Page 2, Ine 14, strike out “he” and insert “the treasurer of the Seneca Nation.” Page 2, line 17, after “Act”, insert “, and shall transmit a copy of this report to the councl! of the Seneca Nation and shall make & copy available for inspection by members of the Seneca Nation at all reasonable times.” Page 2, line 18, strike out “4” and in- sert “5" Page 3, strike out lines 5 to 9, inclusive, and insert: “Sec 6 The Secretary of the Interior is directed to give to the State of New York or to any authorized agency thereof or to the proper officials of the several tribes copies of official recorda required by the State, or by any authorized agency thereof or by the officials of the several tribes, to carry out the purposes of this act or other purposes which, in the discretion of the Secretary uf the Interior, are in the inteiests of the wel- fare of the Indians of New York State: Pro- vided, That copies as are given to the Btate of New York or to any authorized agency thereof shall be available for inspection at all reasonable times by duly authorized rep- resentatives of such tribes or of the Six Nations of New York.” Page 3, line 10, strike out “6” and in- sert “7.” The SPEAKER. Is there objection to the request of the gentleman from Okla- homa? There was no objection The Senate amendments were con- curred in. A motion to reconsider was laid on the table. SPECIAL ORDER GRANTED Mr. BARTLETT asked and was given permission to address the House for 30 minutes on Friday next, following the legislative program and any special or- ders heretofore entered. PRINTING OF PROCEEDINGS DURING RECESS Mr. McCORMACK. Mr. Speaker, I ask unanimous consent that the pro- ceedings that took place during the re- cess be made a part of the RrEcorp. The SPEAKER. Is there objection to the request of the gentleman from Massachusetts? There was no objection. IMPORTATION OF DRIED EGGS FROM CHINA Mr. SCUDDER. Mr. Speaker, I ask unanimous consent to extend my re- marks at this point in the Recorp. The SPEAKER. Is there objection to the request of the gentleman from Cal- fornia? There was no objection. Mr. SCUDDER. Mr. Speaker, the State Department is an “Alice in Won- derland” sort of institution inhabited by, among others, our foreign-trade pol- icy makers. In this land of make be- Neve, the fantastic is never unusual or an accident. But, just recently, they have achieved a new high in ridiculous- ness At a time when the American people are threatened with a 20-percent increase in their already staggering tax load to pay for heavy governmental ex- penditures for mobilization—we find
11384 these happy policy makers actually giv- ing the Chinese Communists “cut rates” on tariff duties to be paid on products they are dumping on our American mar- ket. This is even more fantastic when we reajize that, in the view of our Gov- ernment, the Chinese Communists do not even legally exist. There have been repeated protests on the importation of dried eggs from Com- munist China, but the administration re- fuses to act. The rate of imports has greatly increased since the first of the year, and established an all-time record in the month of May. This at a time when the Department of Agriculture was accumulating nearly 110,000,000 pounds of dried eggs, equivalent to nearly 300,- 000,000 dozen shell eggs, under a price- support program. In the first 5 months of this year we have imported dried eggs from Communist China equivalent to nearly five and one-fourth million dozen shell eggs. The duty on dried eggs was set in 1931 at 27 cents a pound following a compre- hensive study by the Tariff Commission. In late 1947, the State Department nego- tiated a new treaty with the Chinese Nationalist Government under the Re- ciprocal Trade Agreements Act in which the duty was reduced to 17 cents a pound on dried eggs. This spring the Chinese Nationalist Government notified our State Department that it was withdraw- ing from the trade agreement as of May 5, 1950. We do not now have a trade agreement with either the Chinese Nationalists or the Chinese Reds. In fact, we do not recognize the Communists as a govern- ment, but apparently they are nice peo- ple to do business with. The State De- partment contends they can do nothing to stop the imports of these dried eggs. Further, that before they can put the duty back to the old level of 27 cents a pound it is necessary to consult with 58 other nations—none of whom sell us dried eggs. Then the President, by proclamation, may restore the previous cut. Facing, as we are, extremely critical times, I believe that we should put a stop to this type of muddle-headed thinking. The cleaning up of a few messes—of which the “case of the dried Red eggs” is a typical example—would, I am sure, be greatly appreciated by that “for- gotten man,” the American taxpayer. DOMESTIC MINING INDUSTRY Mr. BARING. Mr. Speaker, I ask unanimous consent to extend my re- marks at this point in the Recorp. The SPEAKER. Is there objection to the request of the gentleman from Nevada? There was no objection. Mr. BARING. Mr. Speaker, I should like to submit a copy of a telegram which I dispatched to Hon. Oscar L. Chapman on Friday of last week, the contents of which are as follows: Hon. Oscar L. CHAPMAN, Secretary, Department of the Interior, Washington, D. C.: Have just been informed that you have summoned a meeting of the National Min-~ erals Advisory Counctl scheduled to meet Thursday, August 8, to discuss mineral situ- ation and advise the President of the urgent CONGRESSIONAL RECORD—HOUSE need for strategic and critical metals and minerals. I heartily approve of this move whereby many errors of the last war may be eliminated. Inasmuch as industry leaders and Members of the Senate and Congress are interested in production of raw materials, would suggest at some point during the ad- visory committee meeting invitations be ex- tended to myself and other key Members from the Western States to meet with your representatives and members of the National Minerals Advisory Council so that not only the administration will benefit by the ad- vice of these men, but the Members of Con- gross as well. We are the ones who have to supply the administration with the necessary authority to carry out such plans as may be determined, and we should be fully informed. Wartrr 8 BARING, Congressman from Nevada. T should like to add that this body here in Congress has repeatedly turned down legislation dealing with our domestic mining industry, and it is my hope that this meeting with the advisory commit- tee, if granted, will help open the eyes of Congress to the urgency of the imme- diate consideration of our domestic min- ing industry in relation to national de- fense. AMENDMENT OF WAR CLAIMS ACT OF 1948 Mr. BECKWORTH. Mr. Speaker, I ask unanimous consent for the imme- diate consideration of the bill (S. 3644) to amend the War Claims Act of 1948, as amended. Mr. Speaker, this bill, which passed the other body unanimously, grants to the War Claims Commission power to subpena witnesses and documents in con- nection with hearings held by the Com- mission. The House last Thursday passed on the Consent Calendar the bill H. R. 7802, which deals with the same subject. If my unanimous-consent re- quest is granted, it is my intention to offer an amendment striking everything after the enacting clause in the bill 8. 3644 and inserting 1m lieu thereof the provisions of the bill that passed the House. The SPEAKER. Is there objection to the request of the gentleman from Texas? Mr. WOLVERTON. Reserving the right to object, Mr. Speaker, and there is no objection to the bill to which the gentleman has just made reference, may I say that the House bill was reported out of our committee unanimously. It is legislation that is highly necessary, and should have the unanimous consent of the House. Mr, CLEMENTE. Reserving the right to object, Mr. Speaker, what is this bill? Mr. BECKWORTH. This bill simply gives the War Claims Commission the power to subpena certain data with ref- erence to claims of people whose cases it is considering at this time. The House bill was passed the House, and this is merely a substitution of the House bill for the Senate bill, Mr. CLEMENTE. I withdraw my res- ervation of objection, Mr. Speaker. The SPEAKER. Is there objection to the request of the gentleman from Texas? There was no objection. The Clerk read the Senate bill, as follows: Be it enacted, ete., That section 2 of the War Claims Act of 1948 (Public Law 8906, JULY 31 80th Cong. approved July 8, 1948), as amended be further amended by redesig- nating subsection “(d)” thereof as subsection “(g),” and by adding to section 2 three new subsections “(d),” “(e),” and “(f)” to read as follows: “(d) Por the purpose of any hearing or examination under this act, the Commission and those employees designated by the Commission shall have the power to issue subpenas for, and compel the attendance of, witnesses to appear and testify or to appear and produce documents, or both, at any designated place where such hearing, exami. nation, or investigation is being held. The production of a person’s documents at any Place other than his place of business shall not be required, however, in any case in which, prior to the return date specified in the subpena with respect thereto, such per- son either has furnished the issuer of the subpena with a copy of such documents (certified by such person under oath to be a@ true and correct copy) or has entered into a stipulation with the issuer of the subpenea ag to the information contained in such documents. “(e) The Commission may, in case of a failure to comply with any such subpena, employ the aid of any district court, for the district in which such person is found, resides, or transacts business, in requir- ing the attendance and testimony of wit- nesses and the production of documentary evidence. Such court may, in case of a refusal to obey the subpena issued to such person, issue an order requiring that person to appear there to produce records, if 80 ordered, or to give evidence concerning the matter in question. Any faflure to obey such order of the court shall be punishable by such court as a contempt thereof. Witnesses subpoenaed under subsection 2 (d) or (e) shall be paid the same fees and mileage that are allowed and paid witnesses in United States district courts. “(f) The Commission may authorize and empower any of its employees to administer to, or take from, any person an oath, affirma- tion, or affidavit when such instrument is required in the performance of the functions or activities of the Commission.” Mr. BECKWORTH. Mr. Speaker, I offer an amendment. The Clerk read as follows: Amendment offered by Mr. BEcKWORTH’ Strike out all after the enacting clause of the bill 8, 3644 and insert the provisions of the bill H. R. 7802 as passed, as follows: “That section 2 of the War Claims Act of 1948 (Public Law 896, 60th Cong., approved July 3, 1948), as amended, is hereby amended by redesignating subsection ‘(d)’ thereof as subsection ‘(e)’, and by inserting tmmedi- ately after subsection (c) thereof the follow- ing subsection; “(d) (1) For the purpose of any hearing, examination, or investigation under this act, the Commission and those employees desig- nated by the Commission shall have the power to Issue subpenas requiring persons to appear and testify or to appear and produce documents, or both, at any designated place where such hearing, examination, or investi- gation 1s being held. The Commission or eny employee so designated shall, upon applica- tion of a claimant, issue to such claimant subpenas requiring the attendance and testi- mony of witnesses or the production of docu- ments, or both, required by such claimant in hearings upon his claim: Provided, That the claimant making such application pay the witness fees and mileage of any witness or witnesses subpenaed upon his request. The production of a person’s documents at any place other than his place of business shall not be required, however, in any case in which, prior to the return date specified in the subpena with respect thereto, such person either has furnished the issuer of the
1950 subpena with a copy of such documents (certified by such person under oath to be a true and correct copy) or has entered into @ stipulation with the issuer of the subpena as to the information contained in such documents. “*(2) The Commission may, in case of a failure or refusal on the part of any person to comply with any such subpena, invoke the aid of any United States district court within ths jurisdiction of which the hear- ing, examination, or investigation is being conducted, or such person resides or trans- acts business. Such court may issue an order requiring such person to appear at the desig- nated place of hearing, examination, or in- vestigation, there to give or produce testl- mony or documentary evidence concerning the matter in question. Any failure to obey such order of the court shall be punishable by such court as a contempt thereof. All precess in any such case may be served in the judicial district wherein such person resides or transacts business or wherever such per- son may be found. “*(3) Witnesses subpenaed under this sub- section (d) shall be paid the same fees and mileage that are allowed and paid witnesses in United States district courts. “*(4) Any member of the Commission, and any employee of the Commission authorized by the Commission to do so, may administer to, or take from, any person an oath, affirma- tion, or affidavit when such action is neces- sary or appropriate in the performance of the functions or activities of the Commission ’” The amendment was agreed to. The bill was ordered to be read a third time, was read the third time, and passed, and a motion to reconsider was laid on the table. The proceedings whereby a similar House bill (H. R. 7802) was passed were vacated, and the bill was laid on the table. EXTENSION OF REMARKS Mr. BIEMILLER asked and was given permission to extend his remarks. Mr. CROOK asked and was given per- mission to extend his remarks and in- clude an article by Mr. McKenna ap- pearing in the Washington Sunday Star in regard to communism. Mr. O'HARA of Illinois asked and was given permission to extend his remarks and include an article entitled ‘“Tru- man’s Task.” Mr. HAYS of Ohio asked and was given permission to extend his remarks and include an editorial. Mr. MULTER asked and was given permission to extend his remarks in two instances and include extraneous matter, Mr. GORSKI, Mr. DEANE, Mr. JEN- KINS, Mr. MARCANTONIO, and Mr, COLMER asked and were given permis- sion to extend their remarks. Mr. FERNOS-ISERN asked and was given permission to extend his remarks and include a message from the Legis- lature of Puerto Rico. Mr. BATTLE asked and was given per- mission to extend his remarks, Mr. STIGLER asked and was given permission to extend his remarks and include an editorial. Mr. SPENCE asked and was given per- mission to extend his remarks and in- clude an editorial appearing in the Washington Post. Mr. JACKSON of California asked and was given permission to extend his re- marks and include a joint statement by CONGRESSIONAL RECORD—HOUSE 15 Members of the House of Representa- tives on the current situation. Mrs. ROGERS of Massachusetts asked and was given permission to extend her remarks and include a newspaper article, Mr. SAYLOR asked and was given per mission to extend his remarks and in- clude an address by Commander Harold Russell, of the AMVETS, Mr. JUDD asked and was given per- mission to extend his remarks in two in- stances and in each to include extrane- ous material. Mr. DAVIS of Wisconsin asked and was given permission to extend his remarks and include a short editorial. Mr. COLE of New York asked and was given permission to extend his remarks and include an editorial. Mr. GOODWIN asked and was given permission to extend his remarks and in- clude a newspaper article. Mrs. ST. GEORGE (at the request of Mr. AUCHINCLOSS) was given permission to extend her remarks and include news- paper clippings. Mr. HESELTON asked and was given permission to extend his remarks in three instances and include extraneous matter. Mr. CHIPERFIELD asked and was given permission to extend his remarks and include an editorial. Mr. HERTER asked and was given per- mission to extend his remarks and in- clude an article. Mr. BROOKS asked and was given permission to extend his remarks in two instances and include extraneous matter. Mr. WILSON of Oklahoma asked and was given permission to extend his re- marks and include extraneous matter. Mr. WALSH asked and was given per- mission to extend his remarks and in- clude an editorial by Arthur Krock. Mr. BRYSON asked and was given permission to extend his remarks and in- clude an address by Hon. Cliff Wood- rum. Mr. McCORMACK asked and was giv- en permission to extend his remarks and include an editorial. Mr. HOPE asked and was given per- mission to include a letter in the re- marks he expects to make later today in Committee of the Whole. Mr, RANKIN asked and was given per- mission to extend his remarks and in- clude a bill introduced by him today to outlaw subversive activities in the United States. COTTON ACREAGE ALLOTMENTS AND MARKETING QUOTAS Mr. COOLEY. Mr. Speaker, I move that the House resolve itself into the Committee of the Whole House on the State of the Union for the further con- sideration of the bill (H. R, 9109) to amend the Agricultural Adjustment Act of 1938, as amended; the Soil Conserva- tion and Domestic Allotment Act; Pub- lic Law 74, Seventy-seventh Congress; the Agricultural Act of 1949; and for other purposes. The motion was agreed to. Accordingly the House resolved itself into the Committee of the Whole House on the State of the Union for the fur- 11385 ther consideration of the bill H. R. 9109, with Mr. Rooney in the chair. The Clerk read the title of the bill. The CHAIRMAN. When the Com- mittee rose on Thursday, July 27, the Clerk had read section 1 of the bill. Mr, WHITE of California. Mr. Chair- man, I offer an amendment. The Clerk read as follows: Amendment offered by Mr. Warrr of Calli- fornia: Strike out all of section 1 and re- number the remaining sections accordingly. Mr. WHITE of California. Mr, Chair- man, 1n view of the importance of this amendment, I ask unanimous consent to proceed for an additional 5 minutes. The CHAIRMAN. Is there objection to the request of the gentleman from California? There was no objection. Mr. WHITE of California. Mr. Chair- man, the purpose of this amendment is to remove from the bill that provision which would make the proclamation of cotton quotas practically certain for the next 2 years. This is the amendment about which many of the Members, cs- pecially those from Western States, have received telegrams requesting support of it. While this bill does not make any direct provisior, for the distribution of cotton acreage between the States, this section 1, which my amendment would eliminate, would have the practical ef- fect of slowing down the movement of cotton acreage from the Southeastern States to the Southwestern and Western States, It will be noted from the pop- ulation figures released by the Census Bureau recently that the population of California has increased about 50 per- cent in the last 10 years, and other Western States also increased by a large percentage. Most of those new people in California, Arizona, New Mexico, and west Texas, came from Oklahoma, east Texas, Arkansas, and other Southern and Southeastern States. Many of those people who have moved out West were cotton farmers, But, when they moved, they could not bring their cotton allotments with them because the Fed- eral law provides that the cotton allot- ment goes to the farm and not to the farmer, As a result, the western cotton States have wound up with a great many cotton farmers whose cotton allotments are still in Oklahoma, Arkansas, or some other cotton-growing States. The present law provides that cotton quotas are not to be proclaimed by the Secretary of Agriculture when the sup- ply of cotton falls below normal. With the very short cotton crop which is now being produced it now appears certain that the supply of cotton will be below normal at the end of the current crop year, and therefore no quotas will be invoked next year. But now that the cotton supply has reached normal and the West is to be free to plant the cot- ton it needs to support its people, what have our southern friends done in the pending bill? Why, they are attempting to change the definition of the term “normal supply of cotton” to keep the West, and even their own farmers under restricted cotton plantings when it would not be done under the present law.
11386 In other words, the definition of ‘nor- mal supply of cotton” was fine until it has given the West a chance to expand its cotton acreage. Now our southern friends want to change it. They want to remove the “plus 30 percent” from the definition of “normal supply,” and that is what section 1 of the pending bill would do. If my amendment prevails so that the present law ts left undisturbed, it would mean that some of the Nation’s cotton acreage can move to the West to take care of the people who have moved out there. I remember very well the dozens of Congressmen from the South who ap- peared before the Committee on Agricul- ture a few months ago pleading with us to do something about the county to farm allotments on cotton. They told us in effect that many of their cotton farmers were about ready to lynch them because of the gross inequities of the then exist- ing cotton allotment law as it pertained to the distribution of the county allot- ment to the farms. It will be remem- bered that the Cooley resolution rectified that situation for this year only. The pending bill would rectify that county to farm allotment situation on a perma- nent basis. Therefore, I say to you gen- tlemen from the South that if you leave in the pending bill this section 1 which my amendment would eliminate, you are going to kill this whole bill and bring down on your necks that swarm of hor- nets which you must have thought you were in a few months ago when we passed the Cooley resolution in an effort to get them off temporarily. I say this because the effect of section 1 of the pending bill would be to make that unfortunate situation almost certain to prevail for the next 2 years by changing the statistics upon which the quota proclamation is based while if my amendment js adopted it would leave the present law on cotton quotas undisturbed and the natural law of supply and demand would be permit- ted to work thereby allowing these new people in the West to raise some cotton to meet the demands of the wartime econ- omy. There are members of another body in the Congress who are in key positions to kill the bill and who have openly declared that if this section 1, which my amendment would eliminate, remains in this bill, the bill will never become law. I hope you gentlemen from the South will please bear in mind that the influence in a particular committee of another body of Congress has recently shifted because of the recent election in Oklahoma, and therefore, if a certain in- dividual in the other body says section 1 of this bill must come out if it is to become law, then it is a pretty safe bet that it must come out, That makes the issue on my amendment very simple. No amendment, no bill, no bill, no relief for the thousands of your cotton farmer con- stituents who will be on your neck de- manding to know why you did not vote to give them relief from the county to farm-allotment situation about which they complained so vigorously to you a few months ago and which the Cooley resolution relieved for this year only. The choice is up to you, my friends. For the sake of your constituents and CONGRESSIONAL RECORD—HOUSE mine I beg you to vote “aye” on my amendment to strike section 1 from this bill, Thank you. Mr. TAURIELLO, Mr. Chairman, will the gentleman yield? Mr. WHITE of California, I yield. Mr. TAURIELLO. Can the gentleman tell me if the Department of Agriculture has recommended this legislation? Mr. WHITE of California. I cannot answer the gentleman’s question. I suggest he refer that to the committee, Mr. Chairman, I yield back the re- mainder of my time. Mr. JONES of Missouri. Mr. Chair- man, I rise in opposition to the amend- ment. Mr. Chairman, I regret that the gen- tleman from California has seen fit to make this a sectional matter and inti- mates that someone is trying to take some cotton away from California or, rather, to prevent California from re- ceiving the cotton which it should have, As he states, this amendment that was put in the bill was recommended among others by the Missouri Cotton Producers Association. Missouri, for the benefit of those who may not be acquainted with that section of the State which produces cotton, does produce it in rather large quantities. We have high yields there. We also have a large acreage which is adaptable to the growing of cotton; and if we are to be turned loose again in another race, Missouri can take care of itself, and we can increase in proportion along with any other section of the country. My support of this bill is brought about because I would say that unless we do give the Secretary authority to proclaim marketing quotas during 1951 and 1952 we are going to bring about a condition that will make the confusion that we had in the latter part of last year and the early part of this one seem very mild. Unless section 1 remains in the bill, we are going to bring about the aban- donment of the PMA organizations with the records that they have, and we would not have any measurement of the crop during that year. We recognized last year that with the acreage turned loose that we could not use 1949 figures as a basis for either allotments or yields or any other statistics in our cotton .pro- gram, Unless we do grant authority to the Secretary to impose controls dur- ing next year, I am afraid we are going to have a recurrence of that situation. The gentleman speaks about the fact that this bill would not pass the other body unless we took this amendment out and adopted his amendment. I do not feel that the Members of the House care to be intimidated by statements which are made by Members of the other body in an effort to bring about a bill that they would like to have. I think that we want to pass the bill here which we feel will bring about the greatest amount of benefit not only to the people in the cot- ton-producing sections, but throughout the Nation. I have heard some Members in their conversations say that they were not wanting to pass any cotton bill to help all of the cotton farmers, This bill would not do that alone. I think that this bill as it is written now is not going to bring about any increase in the na- JULY 31 tional cotton acreage; it is not going to cost the Government any more money, We are merely trying to allocate this acreage on a fair and equitable basis and to preserve the program which we have had and which has not cost the tax- payers any money. Fortunately, as has been pointed out many times on the floor, this cotton program has taken care of itself; and although it has taken us a long time to work it out, it has not cost what other programs have, Let me say in closing that the reason I am opposing the amendment offered by the gentleman from California is the fact that we would, by his amendment, take off all the controls and, as the gentleman from Georgia [Mr. Pace] said here the other day, the race would be on and we would have a duplication of what hap- pened in 1937 when we had some 30,- 000,000 acres of cotton planted. Mr. Chairman, I ask unanimous con- sent to proceed for one additional min- ute. The CHAIRMAN. Is there objection to the request of the gentleman from Missouri? There was no objection. Mr. JONES of Missouri. Mr. Chair- man, we would have the same situation that occurred in 1937. I do not think any of us, whether we are in the cotton business or any other business, would want to see that happen again. Under the provisions of this bill as presently written the Secretary of Agri- culture, if there is a demand for more cotton, would have authority to allo- cate or make larger national allotments to take care of all of the cotton that is needed. As I read the bill, it does not impose any limitation on the number of acres that he could allocate, or limit him in setting up marketing quotas to meet any demands we may have. For the reasons given, this amend- ment should be defeated. Mr. WHITTINGTON. Mr. Chairman, I rise in opposition to the amendment of the gentleman from California [Mr. Wurre! to strike out section 1. Mr. Chairman, stripped of its verbiage, the argument of the gentleman from California [Mr. WuIrE) on behalf of his amendment to strike out section 1 means that if followed to its logical conclusion, if it has any logical conclusion, the cot- ton program would be utterly destroyed. He states that his purpose is to con- tinue the California trend and to pro- vide that cotton may be grown in Cal- ifornia iristead of in the South and the Southeast. He is rather frank about the matter. He says that he wants to return to the law of supply and demand. There is nothing about supply and demand in section 1, or in the amendment, for under the amendment the remaining sections of the bill continue, What the gentleman wants to do js absolutely unsound. He wants the Gov- ernment, the taxpayers of the United States, to continue a reasonable support price with an unlimited production. In order to provide for that unlimited pro- duction, not satisfied with the generous treatment accorded the far West includ- ing the State of California in the exist- ing law, he now asks that all curbs
1950 against production be eliminated, for the next 2 years. I lay down as fundamental the fact that if we are to repeal existing law for marketing quotas and return to supply and demand we return to 5-cent cotton that we had in the early 1930’s. Price supports are dependent upon one thing and one thing alone and that is there must be control of production. Advo- cating continuation of price supports, the gentleman from California [Mr. WuitE!] would destroy that upon which they are based; to wit, marketing quotas. That argument is unsound. Whether he knows it or not, under the guise of providing for a temporary ex- pansion in California, he 1s rendering a disservice to the Cotton Belt and to the cotton growers of this country because I repeat and emphasize that there can be no reasonable price supports unless there is authority for marketing quotas. Authority for quota is one thing. The exercise of that authority is another. But authority is absolutely fundamental if the price-support program is to con- tinue to function It must be kept in mind that by elimi- nating section 1 the other provisions of this bill remain They are intended to continue the allotments among the States on the basis of 1950 and they are intended to prevent inequities between one country and another and between one farmer and another which obtains by providing amendments that will en- able the State committees and that will enable the ccunty committees to adjust these inequities. Moreover, this bill is important be- cause it extends for 2 years the Soil Con- servation Benefits Act that has been greatly beneficial to the farmers of the Nation, including the cotton growers. It expires with the current year. So, I say with respect to the pending amendment under the guise of helping that section of our country that was aided more than any other by taking acreage from Mississippi, Louisiana, Arkansas, and other States, and by the use of gadgets giving it to California and other western States, because of the cotton trend there, that a distinct dis- service is being rendered to agriculture in general and to the Cotton Belt in particular, because we would destroy at one fell swoop that which is necessary to agriculture, which provides for price supports, and this would allow unlimited production, letting down the bars. That happened in 1949, and we had a produc- tion that was almost unprecedented. We had it in 1937 because of the de- claring of the Adjustment Act void, and we had a production of 19,000,000 bales, with an unjustifiable and unprecedented surplus. Cotton growers are interested in a pro- gram that is fair to them, to the con- sumers, and to the public. The most beneficial provision of the program has been reasonable price supports. The Public Treasury, therefore, is to be con- sidered. The Cotton Belt is glad that under the Agricultural Adjustment Act of 1938 and under the support of prices with Government loans thus far the Treasury has made on cotton a profit of something like $200,000,000. The cotton CONGRESSIONAL RECORD—HOUSE growers thus prospered without burden- ing the Treasury. It is essential for this program to be maintained. The adop- tion of the pending amendment would strike at the very vitals of that which is fundamental to a sound program. It would provide unlimited production, This can only mean the end of reason- able price supports. Section 1 contemplates mandatory marketing quotas for the years 1951 and 1952, but under the terms of the pend- ing bill and the existing law, if more cotton is needed, the quotas can be ad- justed by the Secretary of Agriculture The allotments among the States will remain, but will be adjusted proportion- ately up or down with respect to quotas. There have been injustices and in- equities. It is the fault largely of the State and county committees The fault has been in administration. Among the purposes of the bill is to provide for the elimination of discriminations. The apportionment among the States will remain. Provision is made, how- ever, for adjustments within the States, within the counties, and among growers. The allotment for 1950 is the basis except in Texas, and there is a clarifying amendment to make that which was intended to be the basis in 1950 the basis for 1951. Under the terms of the bill, beginning with 1953 allotments will be determined upon the basis of history. Both dangers and difficulties would arise if there is no authority for market- ing quotas in 1951 and 1952. I urge that the amendment be rejected. Mr. WERDEL. Mr. Chairman, I move to strike out the last word and ask unani- mous consent to proceed for five addi- tional minutes, if necessary, to answer questions. The CHAIRMAN. Is there objection to the request of the gentleman from California? There was no objection. Mr. WERDEL. Mr. Chairman, I heard the remarks of the gentleman who just preceded me. Again I want to say that anytime that we put a statute on the books of this Legislature or any other Legislature interfering with the free competitive economy of agriculture or business, then we have set up a situation that in itself demands that we be lashed round and round a vicious circle of oc- casional argument and temporary expe- diency. Now it is not a question of party pohtics at all. Mr ALBERT. Mr. Chairman, will the gentleman yield? Mr. WERDEL. I yield to the gentle- man from Oklahoma. Mr. ALBERT. If the gentleman is opposed to any kind of controls on agri- culture, why did he come before the House committee and urge the passage of Public Law 272 last year? Mr. WERDEL. Well, now, I do not take it that in my remarks so far I have said that I am opposed to controis on agriculture. What I said is that if in the confines of the Committee on Agri- culture they conceive a law and put it on the statute books that interferes with the economy of this country, by putting every type of problem into that law that will satisfy the members of the Agricul« 11387 ture Committee year after year, and come out here with a bill, then they have created a situation that of itself demands that we will be lashed round and round a circle of occasional argument and tem- porary expediency. As long as the basic law is on the books, this Congress and every succeeding Congress is going to be required to consider something equitable by way of amendment to the law on the books. Mr. COOLEY. Mr. Chairman, will the gentleman yield? Mr. WERDEL. I yield to the gentle- man from North Carolina. Mr. COOLEY. The provision now in the bill provides for the full production of domestic needs, plus estimated export needs. Mr. WERDEL, Right. Mr. COOLEY. If that is authorized, before we can have any control, the sum and substance of what the gentleman is advocating is to permit California to grow all the cotton it wants to produce and sell it to the Government. Mr. WERDEL. No. Mr. COOLEY. Why should we pro- duce any more than our needs for do- mestic and export uses? Mr. WERDEL. With Government support, we should not. Mr COOLEY. Then, without Gov- ernment support, the gentleman knows, and I know that last year’s cotton would have been selling for about 8 cents a pound. In 1937 the cotton farmers al- most went into bankruptcy because of the 19,000,000-bale crop. Mr. WERDEL A year ago in the first session of this Congress we were consid- ering the equities of the cotton-grow- ing areas of this country. The people from the West, the people from those States who created, financed, built, and prepared during a war, in free, competi- tive enterprise, cotton gins, cotton com- presses, and the oi] production plants, came here knowing that there was a statute on the books from 1938 that cut them back so that the men working in that industry in their States could not possibly succeed if they were cut back to the point where they were when the act was effective and prior to forced competition in the industry. They came out here, and after consultation in Memphis, agreed to accept a figure that would permit that industry still to exist in those States, believing at the same time that there would be no mandatory controls if the supply did not exceed do- mestic consumption plus exports plus 30 percent; in other words, with that 30 per- cent margin there was a possibility for all of this equipment, all of this develop- ment, to work in the field of cotton and in the interest not only of the commu- nity but of the Nation. In reviewing the figures of what hap- pened during competitive enterprise during the 5 years preceding 7945 as compared with the 1930 figures of pro- duction in 11 Cotton States, there were 7,000,060 acres of cotton that went out of production in those States. They went out of production because they could make more money in something else during those years. If this amendment is not adopted, the ratio as it now exists between States and
11388 set up in the act last year will be pro- jected in future acreage. I say again the war effort demands that we again do what we had to do in the last war effort, produce the most cotton that we can produce on the least amount of acres. In other words, this bill says that so far as this war effort is concerned, for every acre of the 300,000 forced out of produc- tion last year in California by virtue of the amended act. for every acre that will grow cotton again in the war effort of 1951 and 1952, we will have to produce 27 acres of what was proved to be marginal Jand in the last war effort. That is what this language means, that so far as our Nation is concerned, to me the situation demands that it be taken out of H. R. 7309. The statement that this Congress is going to find itself in a condition where it is going to have to consider this subject again next year or 2 years from now is entirely beside the point, because there never will be a year when the equi- ties of this subject will not have to be considered by the Committee on Agricul- ture and this Congress as long as the basic act is on the books. I am speaking in the interest of my State, to be sure. I am speaking in the interest of the men who were here this year when this bill was being considered and who went home and then found this Janguage put into a newly drafted bill, and reported out of committee without any notice to them or to me or to any- one else I know of. That bill is now being considered on the floor of this House setting the pattern, if you please, for mandatory controls in cotton for 1951 and 1952—setting the pattern for man- datory controls at all times, not only in cotton but in all the basic agricultural commodities. The pattern is now here. I submit to you if you read the new lan- guage which provides that controls are mandatory, whenever the available cot- ton exceeds domestic consumption plus exports, then you know if we ever have a surplus at any particular time in any particular production year, that there must be controls year after year. So when this bill is passed, there is nothing but mandatory controls for cotton for 2 years and the pattern is here for all of our basic commodities in the future. Let us keep this in mind, too. When I said the language of this act requires 27 acres of marginal land in the South to be produced in the war effort to one in the States that have proven that they can better produce cotton in the imme- diate past, there is no discretion in the Secretary of Agriculture in this regard. That is a mandate. I pointed out last Thursday in general debate that some of these States which are supporting this provision had produced only half of the ground and are making three times the money out of the cotton industry that they did in 1930. Mr. RICH. Mr. Chairman, I move to strike out the last word. Mr. Chairman, if you get mandatory controls in this legislation I just wonder how many of your farmers in the cotton States are interested tn such controls. Are the farmers of the cotton States, as the Secretary of Agriculture states, if they can plant 2 acres or 22 acres of cot- ton, do they want the Secretary of Agri- CONGRESSIONAL RECORD—HOUSE culture to tell them they can get 20 cents per pound or are they willing to take 30 cents per pound if they can get that price for cotton? Your interest is in subsidies and controls. I sometimes think you have these con- trols to the point where the people in this country are subject only to the rules and regulations laid down by the Secretary of Agriculture. I have been thinking this morning also of the fact that we are in a war and sometimes I wonder wheth- er we know just where we are going, and what the next step is in the process of winning this war. I remember during the last World War you built two great pipelines, the Big Inch and the Little Inch, to furnish oil from the Texas oil fields, and bring it up into the State of Pennsylvania and the eastern seaboard in order that we might get gasoline and oil to produce the things that were necessary and also to be able to run your automobiles. The Government, at great expense, built those two big pipelines. After the war they had no furthcr use for them be- cause they found they could get oi] from the Texas fields by boat cheaper than they could get it through these oi] lines. Then the War Assets Administration sold the Big Inch and the Little Inch to the Texas Eastern Transmission Corp. They made a contract that if at any time an emergency existed the Secretary of War could take back these Big Inch lines under certain conditions, if they met those conditions, They had a 20- year recapture clause whereby they could take them over for a 5-year period with two renewals, or take it for a sec- ond 5-year period. It requires a study to be made of these contracts in order that the Secretary of War, if he wishes to take these lines over in case of emer- gency at any time, there is a 90-day clause whereby it is necessary for them to have proper information in order to do that. It seems to me that since the President of the United States has started us into this third world war, we ought to refer this matter to the proper committee of the House in order that the 90-day period would not have to de- lay the process in case of an emergency. I hope that the proper committee of the Government will make a study of the capture clause that there is in this Big Inch and Little Inch line contract, and then, if the Secretary of War finds it is expedient to do so, he may take over those lines. That is the principal reason I wanted to get this before the House now, so that that study might be- gin, and time will not have to be wasted in case of dire need. Now, let us get back to this cotton and peanut regulation. I do not know who is to gain by this regulation except the southern cotton farmers, at the ex- pense of the American taxpayers. If you will look at your financial state- ment and find out that you went into the red about three and a half billon last year and that you will go into the red many billions more this year, and talk about prosecuting the war success- fully, I wonder how far you can go by creating a deficit each and every year and getting this country into greater financial difficulties, so that eventually JULY 31 we may find ourselves in such financial difficulty that we will go bankrupt. You are headed for it sure as the world. Be American——be wise and economize. The CHAIRMAN. The time of the gentleman from Pennsylvania {[Mr. Ric] has expired. Mr. MANSFIELD. Mr. Chairman, I move to strike out the last word. Mr. COOLEY. Will the gentleman yield for a unanimous-consent request, Mr. Chairman? Mr. MANSFIELD. 1 yield. Mr. COOLEY. Mr. Chairman, I ask unanimous consent that all debate on this amendment and all amendments thereto close in 15 minutes, 5 minutes to be reserved to the committee to be used by the gentleman from Georgia (Mr. Paces]. The CHAIRMAN. Is there objection to the request of the gentleman from North Carolina? There was no objection. Mr. MANSFIELD. Mr. Chairman, I ask unanimous consent to speak out of order. The CEAIRMAN. Is there objection to the request of the gentleman from Montana? There was no objection. Mr, MANSFIELD. Mr. Chairman, in view of the emergency which faces our country at this time, I feel it is incum- bent upon me to state that it is the duty of this Congress now to enact legislation to meet the crisis which confronts us. I believe we should do the following: First. Restore regulation W to the Government to limit consumer credit and instaliment buying. It is my under- standing that consumer credit buying has reached the astounding total of $19,000,000,000 at the present time. Second. Enact tax legislation to carry on the full cost of the conflict in Korea, and to insure our own national security. Third. Enact legislation to tax all profits over and above ordinary peace- time profits on all industries engaged mn the war effort. This will take the profits out of war and insure more funds to pay for the cost of the conflict and help to balance the budget. Fourth. Prices on all commodities should be rolled back to June 25, the day before the Korean conflict started. Fifth. Nonessential Government ex- penditures must be reduced. It is up to this Congress, Mr. Chair- man, to do something about high prices, hoarding, and irresponsible profiteering. These practices are dangerous to our own security; they hinder our war effort; they create undue burdens on our econ- omy and lead to inflation. They are unpatriotic and dangerous, and they fall hardest on the people who can least af- ford to pay the ultimate costs. There is no ecoromic basis for price rises, hoarding, and war profiteering. The Bureau of Labor Statistics has stated that prices have risen 10 percent in its index of 28 key commodities since June 25. These include such articles as rubber, tin, wool, wheat, copper, zinc, lead, bread, cotton, and so forth. Cot- ton has Jumped 5 or 6 cents a pound; and woolen and worsted fabrics have in- creased from 12% to 17% cents a yard for men's and women’s clothing; coffee from
1950 4 cents to 5 cents a pound; cotton has in- creased 4 to 5 cents per yard; wool has increased 5 cents a pound; wheat is up 2% cents per bushel; lard is up 60 cents a@ hundred; rubber is up 17 percent; print cloth is up 15 percent; and bread, as a personal illustration, is in certain sec- tions of the State of Montane, up 3 cents a loaf. In the past month the price of hogs has risen 20 percent, resin 14 per- cent, cocoa 13 percent, coffee 12 percent, tin 16 percent, and pepper 18 percent. ‘These figures which I have compiled over the week end are out of date already, but they do give us a picture of what has happened in just 1 month and should serve as a warning of what will happen if we do not take remedial action now. All the estimates of the Bureau of Agricultural Economics indicates that there is no shortage of foodstuffs in this country. Food production today is about the same as it was in 1949. Stocks of food are substantial; average con- sumption is high; meat will be as plenti- ful as last year; wheat and corn will be plentiful, and fruits are abundant. Profits are at a record high, as the fol- lowing figures which I will insert at this point will show, when we go back into the House: First 6 months of— $37, 700, 000 Republic Steel... General Electric. | 77, 400, 000 “United Frnit._.... 84, 200, 000 Atlantic Refining C 17, €00, 000 Johns-Manville ___ 2... 5, 700, 800 | 10, 100, 000 Libbey-Owens-Ford Glags.-.-{ 9,100,000 7 15, 000, 000 Admiral Television --...--..-. 3, 100, 000 8, 500, 000 The above figures, and they represent only a few of the many corporations whose profits have increased tremen- dously, speak for themselves. President Truman has acted with speed and courage to provide the in- creased military needs of the times. He has offered an anti-inflationary program which I do not think goes far enough. While wages have not gone up, as yet they are bound to unless prices are con- trolled. The cost of our military pro- gram plus the additional expenditures which will be needed for our increased program will amount to approximately $30,000,000,000 this fiseal year. This means an increase of $15,000,000,060 over the present military budget and an in- crease of the total budget by one-third; $60,000,000,000 will be necded this year compared with the present $45,000,000,- 000 for fiscal year 1851. If we are courageous enough to tax ourselves sufficiently to meet our needs the less it will be necessary to set up controls, because taxation, if gone into honestly and deeply enough will make controls unnecessary. If prices continue to rise, it will be hard to bring them Gown; and the longer this situation con- tinues, the more difficult it will be to find a solution. Voluntary controls and ap- peals to patriotism will in themselves not work; they have never stopped inflation before; there is no reason to believe they will now. This fs no ordinary political year; we cannot continue either business or politics as usual. The American peo- xCVI-——717 CONGRESSIONAL RECORD—HOUSE ple are awake to the dangers of the times and they are looking to us for leadership. Our future as a free nation may well be at stake. Are we prepared to face up to our responsibilities, pay the costs, and take the consequences? Mr. Chairman, under unanimous con- sent, I am inserting at this point in my remarks, copies of letters and telegrams from people in Montana relative to the present price rise and hoarding situation in that State. I am also inserting a short news item from today’s Washing- ton News. HeELENa, Mont., July 27, 1950. Hon. Harry 8. TRUMAN, President of the United States, Washington, D.C. My Drax PREsipent TaumMAN: The price of bread went up 8 cents overnight in this locality, and an imvestigation proves that there {s no reason for such a price boost-~ someone is just taking advantage of the situation. We, the undersigned, protest this 15-per- cent raise tn bread, and urgently petition your honor to do something about it to stop such sudden tnflation of essential items, such as bread, the staff of life. The rerson for this price boost was given in the local newspaper, clipping of which is enclosed, and you can read between the lines that this baker, who declined to be quoted by name, has just a selfish, greedy interest at heart. PETER AND JOSEPHINE M. JasMIN. Frank aNb Maky ZORICR. ANN CRIMMINS. Mary STOKAN. ANNA aND Mary Dracoryr. Mary G. BIScicisa. Garrat Fauxs, Monr., July 28, 1950. Mr. Mrxe MANSFIELD, Washington, D.C. DEAR MR. MANSFIELD: A group of us house~ wives feel that something should be done about the way many civilians are buying up things they don't need. You can’t buy a bed sheet in this town, together with a short- age of other things, even foodstuffs. We know there is no real shortage but there are too many people who don't realize thts crisis ia a responstbility of every American as well as the boys fighting on the front lines. We want an all-out effort such as the Baruch plan. We think a full-scale mobi- lization for this war is necessary. While there is a crisis there should be ceilings on everything, but when it's over, they should be removed. We don’t want a socialized economy permanently, but if it’s necessary temporarily, we are for it, and we think it’s necessary now. Yours sincerely, Mrs. Deva Lex TaYior, nemmaead Missouta, Momr., July 26, 1950. Hon. Mux MAnNsFix.p, Washington, D.C. Dear Mn. Masrermiyp: My reason for writ- ing you {is to see tf you can do anything about the increase in price of certain foods. Bread has gone up from 19 to 22 cents a loaf. When I called # bakery about tt, I was told that flour had gone up 81.50 per 100 pounds, that lard and milk also had raised. If this were necessary, E would be the last to protest, but from the reports coming from Washington, this is not necessary. Someone ia making a big profit and I wish it could be stopped. If you can do anything about this, T am spre many would appreciate it. I am sincerely glad of the primary election returns and feel sure we shall bave you in Congress again. We appreciate your efforts for Montana, and also for the veterans’ cause. Very truly, Mra. L. C. GoroatH. 11389 HELENA, Mont., July 25, 1950, Hon. MIKE MANSFIELD, House of Representattues, Washington, D.C. Dear Mr, MANsvIELD: Thia letter is to ade vise you today the wholesale bakeries in Helena raised their price of bakery goods and the retail merchants followed suit. Alt bakery goods took a jump, but an example is 1 pound of bread (white) 15 cents raised to 17 cents and 114 pound was 20 cents and now 23 cents. The wholesalers advised they raised 1 cent per pound s0 the retailers fol- lowed suit by 2 cents or better. I do believe some action ts necessary to stop this kind of doing because this is definitely what the President recently asked people not to do. They should realize that this will just bring back price controls and rationing which they all were against, 80 mayhe you might be able to put some good sense into their minds if you can, Sincerely yours, W. E Revrwoups, HeLena, Monr., July 27, $956, Hon MIKe MANSFIELD, Representative of Montana, Washington, D.C. Dear Str‘ Enclosed is an article clipped from our local newspaper which shows just one of the reasons my hushand and myself would like to see price control.go into effect immediately, and prices, primarily food, re- vert back to those of about 2 months ago. Gur highest meat bill for 1 month for a family of four in this past year was 620, and that in Christmas month. This month our meat bill is already 826.65 and the month not yet over, This includes a menu of ham- burger twice a week and hot dogs once a week. The grocery bill got so out of hand we had the grocer close our books for this month on July 34. Will have to make up for those extra days tn the month of August. So many of the raises seem to revert back to the farmers, which ts fine for them, but puts the average white-collar worker on the spot. We need other things as well as food. We may eat to live but don’t hive just to cat. Since price control seems to be the only answer, this letter is just to let you know our family is for it. Sincerely, Mrs. ANTHONY M. VrazuH. Breap Price ApvaNces Hert WirH OTHER Propucrs ALSO HIGHER Bread and other bakery products took a sharp advance here today, the 1%4-pound loaf that formerly sold for 20 cents Jump- ing to 23 cents on retail counters, grocers reported today. The t-pownd loaf formerly selling for 15 cents will now be 17 cents. Doughnuts and sweet rolls went up 6 cents each a half dozen. A package of doughnuts now costs 25 cents instead of 20 cents and sweet roils will retaft for 80 cents instead of 25 cents. A baker, who declined to be quoted by name, said, “we're entitled to a raise.” Myrssouts, Mont., July 25, £950. Mixer MANSFIELD, Member of Congress, Washington, D. C. Dean Mucz: Bread ts up 3 cents per loaf (2% pounds) this morning was 19 cents nuw 22 cents 15% percent. Looks itke the re- taller 1s the first hoarder and forcing the consumer to do Hxewise. Wheat is not up, flour ts mot up, labor has not suddenly brought om this condition. How about this? Yours truly, Frank L, Buscu, Sr. Remaouns, Momwr., July 28, 1950. Representative Mraz MarartzLp, Congress of the United States, Washington, D. C. Dean Ma. Mansrixtp: I am writing this letter to express the opinions of myself and
11390 my family concerning an important, current issue. That {issue is whether or not this country should adopt price control and ra- tioning. I don't think it can be disputed that we are in one hell of a fight and that if we come out of this Korea thing without many losses and much damage we will be very lucky. I think we should face the fact that we are in a battle for our existence, or are at least entering into the preliminaries of such @ battle. All of my remarks are based on that premise. Let us assume that is true, at least for the sake of argument. Then ts it not necessary for us to gird ourselves for such a battle? I think one of the most important things the country can do to keep itself in shape for a fight Is to keep its economy healthy. This cannot be done if we allow tn- flation to go unchecked. No one of conse- quence benefits from inflation—many are hurt—a few profiteers make a profit. I hardly need express these things to you, for you are more aware of them than I am. I will, however, point out one instance, which I believe to be typical of thousands, or millions. My father died 5 years ago. At the time of his death he was adequately in- sured so that my mother need have no worry concerning her own welfare. But since then the value of the dollar has been re- duced to somewhere near half of its value then. My mother is getting on in years. It is too late for her to strike out in a new profession, She is dependent upon that insurance, yet each day it becomes less and less useful to her. The Korean War and the wars that are likely to ensue will put much worse infla- tionary pressures on the economy. What will happen to widows, all types of Govern- ment workers, white collar employces? And what will happen to labor? These groups can only lose by inflation. Even assuming that the war of itself will not strain the economy, there are secondary reactions that will strain it. Thousands of merchants all over our country for some reason place the gain of dollars ahead of all other pursuits of life and hence use a sit- uation like we are in today to their own advantage and raise prices on their goods, whether warranted or not, knowing full well that the public will buy, or, rather, knowing full well that the public will heard. No doubt this is reprehensible on the parts of both merchant and buying public, and it is @ voluntary thing. But voluntary measures will not prevent it. Prices on many items have begun to go up right here in Missoula. In the lest few weeks I have seen and heard many ads using the war-scare psychology to stimulate buy- ing. They are heard over the radio and they are seen in the paper. I select one and en- close it as a typical example of what is taking place here, The value of our dollar has declined far enough. I personally don’t want to see it go any further. Many people believe that rationing and price control mean dictatorship. Perhaps in a certain sense they do. But these are emergency times, and to my way of think- ing it is far better to have a regulated con- trol lawfully enacted by a democratic Con- gress than an unregulated economic havoc, Well, I think I have made my sentiments and those of my family and friends clear enough to you. I hope you will forgive this long exposition of my thoughts, but I feel very strongly on the subject. Yours truly, Bruce It. Tooux. ‘ MISSOULA, MONT., July 27, 1950. Representative Mike MANSFIELD, Washington, D.C, DeaR CONGRESSMAN MANSFIELD: IT am an instructor at Montana State University, liv- ing in the university’s housing project, among many students, CONGRESSIONAL RECORD—HOUSE There is one thing that we all have in common, and that is making our incomes meet the rising costs of living, particularly food prices. Two items, in particular, that we all use to help balance the food budget are bread and hamburger. Two days ago bread went up 3 cents a loaf, and hamburger has in- creased 12 cents per pound in the past month. Why wait longer for price control? Yours very truly, Davip P. Coe. BozeMan, Mont., July 27, 1950. Repreecentative Mixr MANSFIELD, House of Representatives, Washington, D.C. We are all for increased taxes. But can’t something be done about price increases. Meats and bread already advanced notice. ably in last few days. ETHELYN C. HARRISON, Butte, Mont., July 24, 1950. Mr. MixE MANSFIELD, Representative, Montana State, House of Representatives, Washington, D.C. Dear Mk. MANSFIELD: It is very essential to us that you do not ignore this letter. You have been to Butte, so you Know how large our Federal housing project is. It is in be- half of all these folks and little children ving in the project that I am writing this letter. The war scare here is just awful. Sheets and sugar have practically disappeared. One store today was selling sheets at the stagger- ing price of $425 each sheet. These sheets are actually worth about $2.79 each. Bread, coffee, sugar, lard, meat, and cotton goods have gone up as much as 6 to 10 por- cent in the last week. The crowning point was today when bread and other bakery goods went up in price to the tune of 5 percent, To us here in the project, these profiteers are helping Russia in their war effort. They are doing (along with the hoarders) exactly what Russia wants them to do. Hoarding and higher prices go hand-in- hand and something will have to be done. We claim your immediate attention to these matters. It looks to us like price control js needed right now. We sincerely hope you can do something about this dreadful war scare, Thanking you for your attention, we remain, Sincerely yours, Mrs. Everett F. Beacher (two children), Mrs D. J. Larkin (two children), Mrs. L. McClung (two children), Mrs. A. McCloskey (two children), Mrs @G. Blewett (four children), Mrs. Ted May (four children), Mrs. D. Badovince (five children), Mrs. F. Resch (three children), Mrs. Vesta Lawney (one child), Henry Gardner (two children), Mrs. Jack Schulte (two children), Mrs. Rance Edden (two children), Mrs. Griffin L. Smith, Mrs. Gene Dufresne, Mrs, Adelia Hackman, Mrs. Mary De- laney (one girl), E. A. Sheehan (four girls), Mrs. Robert Leeson (three chil- dren), Mrs. W. V. Lanning (one boy), Mrs. Antonielti (four children), Mrs, William Honka (three girls), Mrs. Charles Hollahan (two girls), Miss Eve- lyn Sampson, Mrs. Virgil L, Hills (one child), Mrs. Olivia Menard (four chil- dren), Sang Howard, Mrs. Sang How- ard (one child), Mrs. Dale Kittel (two children), Mrs. Albert Cutler (six children), Mrs. Florence Campbell (two children), Mrs, A. Albright (two children), Mrs. John T. O’Donnell (one child), Mrs. Herbert J. Malone (two children), Mrs. H, L. Edwards (two children). JULY 31 The signatures on this letter represent about 250 families living in Silver Bow homes, with an average of three children to each family. Sincerely, Mrs. Jack SHULTE. Bozeman, Mont,, July 25, 1950. Hon. Mike MANSFIELD, House of Representatives, Washington, D. C.: Profiteering bakeries in Bozeman raised bread prices 3 cents per loaf today. Ap- parently we need controls at once. L. R. DaEms. Great Fats MILi AND SMELTER- MEN's UNION No. 16, Great Falls, Mont., July 12, 1950. Hon. MIKE MANSFIELD, House Office Building, Washington, D.C. DreaR MR MANSFIELD: The members of the Great Falls Mine, Mill, and Smelterworkers are very concerned over the recent increase in the cost of living and what may happen in the future due to the war hysteria caused by the conflict in Korea, As you probably know, price boosts have already been reported in a wide variety of foodstuffs, especially meats. They are also worried on what may hap- pen to rent control, especially if this war should expand. Now, this practice of appealing to busi- nessmen and retailers to hold the line on prices is just another way of fooling the buy- ing public. Therefore, we believe and recommend to you that you immediately do all in your power to invoke price control over foodstuff and rents, until this conflict 1s over, Very truly yours, WILLIAM H. GraHAM, Financial Secretary. MONTANA STATE UNIVERSITY, ScHOOL OF JOURNALISM, Missoula, July 18, 1950, Hon. MIKE MANSFIELD, ° House of Represcntatives, Washington, D. C. Dear MIKE: I want to urge that you sup- port the placing of controls on prices, wages, profits, and other elements of the economy. We are definitely in a wartime period and the necessary wartime controls should be imposed. I hope you will urge the President that profiteering and gouging on the pre- tense of scarcity already have started and we cannot act too soon to protect the ordi- nary citizen. Thanks and best regards. Cordially yours, James L. C. Forp. (From the Washington Daily News of July 31, 1950] Miu.K Gores Up Milk went up 1 cent a quart in Indian- apolis today, and butter and other dairy products followed suit. Washington's milk price went up a half-cent. The Royal Typewriter Co.’s standard mod- els will rise about 7 percent tomorrow, A 7 percent boost in the wholesale price of Proc- ter & Gamble’s Crisco and household soaps was expected to reach corner markets this week. Effective tomorrow, the Brown Shoe Co. is raising its prices an average of 15 to 25 cents @ pair, STEAK UP A DIME Round steak went up an average of about 10 cents a pound across the nation from June 23 to today. But there were wide fluctua- tions. One Indianapolis shcp said its price remained unchanged at 99 cents a pound,
1950 while one Cleveland butcher increased the price from 69 cents to $1.09. Bread was up 1 cent a loaf in most ctties, including Washington, and sugar was up one-half to one cent a pound. The CHAIRMAN. The Chair recog- nizes the gentleman from Minnesota (Mr. MARSHALL]. Mr. MARSHALL. Mr. Chairman, an agricultural problem would be a very sim- ple one if people were not involved. I wonder if those of us here realize the problem that some of us have in connec- tion with the people. I think if we would fully realize the problem that we have in supporting the people and the types of enterprise they are engaged in that we would be in a better position to deal with the problems. Mr, Chairman, I dislike to disagree with my good friend, the gentleman from California {Mr. Wire]. California is not totally dependent upon cotton as far as its economy is concerned. ‘There are many things that may be grown in Cali- fornia. There are many things that we in the House are going to pass in the form of legislation to help develop that western country, and we are going to be glad to do that sort of thing. It will enlarge our taxable base. We are going to be happy to put into effect reclamation projects which will bring into production land that is vitally needed for the welfare of that entire country. Weare going to do that, but, at the same time, we do not want to put an unfair burden upon other sections of the country. There are many people whose only possible business or opportu- nity is the growing of cotton. They are getting an income from cotton because there is a support price on it. ‘That is the only reason for a support price in a free enterprise system. If it were not in ef- fect, certainly the price of cotton would be so low that the folks in California and the other States who want to expand, would not engage in the growing of cot- ton. That is the whole reason for it. In Minnesota we have a problem, for example, in connection with dairy pro- duction. Dairy production is going away from our area, and being drawn from it unfairly I think to places where consum- ers are being compelled to pay more for dairy products with the restrictions that are put into effect. That is free enter- prise in reverse. I know what this means to our people, I know what it means to the small family sized farms, I know what it means when an industry in which they have been engaged for many years is shifted away from them. If this continues we will have people in our State who are going to have a most difficult time making a living. Why? Be- cause the trade areas are restricted by charging the consumers more in a par- ticular area. That means, as far as they are concerned, that certain un- fair competition has been developed. Why? Because of marketing agree- ments that support prices in those areas that made production profitable by dis- criminating against areas of more eff- eient production. We in Minnesota do not have an allot- ment system that will keep that sort of CONGRESSIONAL RECORD—HOUSE ° thing from happening. So it is going to create a hardship. It is going to cre- ate a hardship for these people in areas where they cannot be expected to grow much cotton. Iam opposed to the White amendment for the reason stated. I am interested in farmer control of any agricultural program. I think a farmer-administered agricultural pro- gram is the backbone of our agricultural economy. I wish some of the people in the cotton areas were more inclined to have farm control of their programs Many of the counties turn over the ad- ministration of these programs to so- called executive secretarics, some person who has a brilliant clerical or political mind but who has not the practical con- ception of farming who can sit in an office and give all the answers to the farmers In my opinion, the farmer ought to have more to say about his program in a particular area. There would be a better understanding of the whole problem. The people in my area would be much happier over an agri- cultural program if they could be as- sured of it being administered by the farmers themselves. We are interested in the welfare of the people all over the country. When one segment of our agricultural society, when one segment of our agricultural economy, goes to pieces, it affects the whole country agri- culturally. We cannot afford to have that sort of thing happen. We must have a strong agriculture. The stronger agriculiure is in Minnesota, the stronger agriculture will be in the country as a whole. Minnesota is not going to grow a bale of cotton The stronger the agri- cultural economy is, whether it be in Georgia, Mississippi, or California, the better off we will be in Minnesota. The CHAIRMAN. The Chair recog- nizes the gentleman from Georgia [Mr, Pace}. Mr. PACE. Mr. Chairman, the com- mittee respectfully urges you to vote down the pending amendment. The purpose of the amendment, if it was adopted, is to make {it possible to have no controls whatever on cotton next year, As I told you last Friday, we had that exeperience once when the Supreme Court, in 1936, knocked out the old Triple-A Act, and in 1937 they produced 19,000,000 bales of cotton. If you think your Government can stand that next year, then you might support the amendment, but I think it might endanger the whole price-support pro- gram. If we should produce something like 19,000,000 or 20,000,000 bales of cotton it would mean that 8,000,000 or 10,000,000 bales would probably have to go under the loan, which means that the Commodity Credit Corporation would probably have to come back over here and ask authority to ban another billion or two billion, and I think that would be most unfortunate. Now, I am discouraged sometimes. It seems to me that a trade ts a trade. Last year there was a division among the representatives in Congress of the States as to how much cotton each one should have, and as chairman of the subcommittee I went to the cotton grow- 11392 ers of all the States. I said, “We are having a controversy. Why do you growers not get together and reach some agreement?” The cotton growers from every cotton-growing State met and they themselves made an agreement as to how this acreage would be distrib- uted, and we put it in the law and it is there now. The statement was made here just now on behalf of one of the gentlemen from California that during the war they built some gins and some com- presses for their cotton production, and now they cannot get the cotton. Well, now, let us see In 1943, California pro- duced only 291,000 acres of cotton; in 1944 only 303,000, and in 1945, 319,000. You understand, 319,000 is the highest acreage they planted during the war, and they say they built gins and com- presses during that period. But, what have we done for California? We told Cahfornia we were not going to put the general rule on them, The general rule ls that every State gets its cotton quota on the basis it planted to cotton in the 4 years, 1945, 1946, 1947, and 1948. That is the way every onc of thse States took theirs, every one of them. In the case of Arkansas, Arkansas does not favor this amendment. In the case of Missouri, Missouri does not favor this amendment. In the case of those States we said, “You have had a sudden in- crease lately on cotion, and we will give you special credit for that increase In- stead of putting you on the 4-year rule we will let you use either the last ycar, 1948, or the 2 years, 1947 and 1948 ’ Now, if you do not think our commit- tee has done fairly to California, you vote for this amendment. Here is what we did for California. In 1945 they had only 319,000 acres in cot- ton; in 1946, 359,000 acres; in 1947, 536,- 000 acres; and in 1948 they jumped up to 810,000. Now their 4-year average is only 506,000 acres, and then they would be cut from that, But do you know what we gave them this year and what they will have next year? Six hundred and forty-two thousand acres in coiton, which is more cotton than they have grown tn any 1 of the 4 years except the last year, 1948. We have given them, if you please, more than three-fourths of the highest year. As I said, their 4-year average would have been 506,000, and under the general rule they probably would have gotten about 450,000, but at their request, agreed upon not only by us but by the cotton representatives of the United States, meeting at my re- quest as chairman of the subcommittee, they deliberated, and they figured it out, and they came back and laid it on the table of the subcommiitee, and they said, “Here is the agreement of California, of New Mexico, of Arizona, of Georgia, of Missisippi, of Missouri,” and by all the others. “Here is what we have agrecd upon, and we ask you to put it into the law.” And we put it into the law. They have it this year, they will get it next year, and all of this, it seems to me, gen- tlemen, amounts to this: I do not want to be unfair to anybody; but if an agree- ment is an agreement, if they have got- ten all this extra cotton this year, shall
11394 such State, and such additional acreage shall be apportioned among the farms in such States producing such type of peanuts: Provided further, That the additional acre- age required to provide the increases in al- lotments authorized under the foregoing provisos of this subsection shall be in addi- tion to the national acreage allotment and the production from such acreage shall be in addition to the national marketing quota, but the increase in acreage allotted shall not be considered in the establishment of future National and State acreage allot- ments and marketing quotas: And provided further, That the national acreage allotment for the crop year 1951 shall not exceed 2,000,000 acres.” 2. Add a new subsection (e) at the end of section 358 of such act reading as follows: “(o) Any part of the acreage allotted to individual farms in any county under the provisions of this section which will not be planted to peanuts and which is voluntarily surrendered to the county committee shall be deducted from the allotments to such farms and may be reapportioned by the county committee to other farms in the same ccunty to the extent necessary to provide such farms with fair and reasonable allot- ments on the basis of land, labor, equipment, crop rotation practices, and the soil and other physical factors affecting the production of peanuts.” 3. Amend subsection (g) of section 359 of such act by striking out after the word “That” where it first appears in the proviso in such section the following words: “for the 18£0 crop.” Sec. 10. The provisions of sections 1, 2, 3,. and 9 of this act shall become effective with respect to the 1951 cotton and peanut crops and nothing therein shall be deemed to mod- ify or amend existing law relating to acreage allotments and marketing quotas for the 1960 cotton and peanut crops: Provided, That the provisions of section 3 of this act shall be effective for the 1960 crop for the purposes of section 4 of this act. All other provisions of this act shall become effective upon enact- ment, Mr. COOLEY (interrupting the read- ing of the bill). Mr. Chairman, I ask unanimous consent that the remainder of the bill be considered as read and that amendments be in order at any point in the bill. The CHAIRMAN. Is there objection to the request of the gentleman from North Carolina? There was no objection. The CHAIRMAN. Are there any amendments to section 2? Mr. COMBS. Mr. Chairman, I offer an amendment. The Clerk read as follows: Amendment offered by Mr. Comss: Amend section (e) (1), (2), and (3) of the bill by adding the following to page 4, line 6, page 5, line 2, and page 5, line 21: “Provided fur- ther, That the State committee may set aside not more than 1 percent of the State acreage allotment to be apportioned to counties on the basis of requirements for the county committee to adjust cotton acreage allot- ments for farms operated by persons who were regularly engaged in the production of cotton as owner-operators, tenant-operators, share-venants, or members of families so en- gaged during the 8-year period immediately prior to 1942 on the basis of land, labor, and equipment available for the production of cotton, crop-rotation practices, and the cot- ton allotments for other similar farms in the community.” Mr. PACE. Mr. Chairman, will the gentleman yield? Mr. COMBS, I yield for a question, CONGRESSIONAL RECORD—HOUSE Mr. PACE. Does the gentleman object to confining his amendment to his own State? Mr. COMBS. I would, of course, have no objection to confining it to my own State. The purpose of my amendment is to meet a situation which perhaps does not exist anywhere else, but I did not want to offer it as a State or sectional amendment. Mr. Chairman, I hope the committee will accept this amendment. I want to call attention briefly to what it will do, and the situation which it is designed to meet. It does not affect in any way the total cotton acreage provided under this bill, It would not affect in any way any Policy contained in the bill. What it does is to give a broader discretion to the State and county committees to make allotments of acreage to meet a peculiar situation which exists in some sections particularly in the eastern part of my own State and in my own congressional district. I want to explain to you what that sit- uation is. The east Texas region is a region of small farms. The people there have farmed cotton since before the Civil War. In recent years they have been getting away from cotton farming to a more diversified form of agriculture which we are glad to see, But during the war period, beginning in about 1940 or 1941, a large number of the boys from the farms went either into the armed services or the farmers went into the war plants of the region and the cotton acreage was reduced in many counties as much as 75 percent to 90 percent. Since the war the boys have returned from the armed services and from the shipyards and war plants and have been getting married and buying farms and settling down. What has happened is this: One of these soldier boys wants to farm a lit- tle cotton, They have to have a cash crop to get started with diversified agri- culture. But they cannot get an acre of cotton allotment for the simple reason that they were not engaged in cotton farming in 1946, 1947, 1948, and so on. Then again we will have the situation where tenants have been displaced by reductions in cotton acreages. They have never done anything but farm cot- ton and the law does not let them have any acreage. This is intended simply to set up an acreage allotment which the county and State committee can use to meet these cases which are deserving and need to be met. Under the present law the situation is too rigid and too re- stricted. I hope the committee will accept the amendment. Mr, PACE. Mr. Chairman, will the gentleman yield? Mr. COMBS. I yield. My. PACE. Is it the intention of the gentleman's amendment that the 1 per- cent should come out of the 10 percent of the State reserves or that it shall be in addition to the 10 percent State re- serve? That is not made clear by the gentleman’s amendment. Mr. COMBS. I do not care which it comes out of, Just as long as we get it, sir. Mr. PACE. But we need to know. JULY 31 Mr. COMBS. May I ask the commit- tee this question. Which do you think it should come out of? I want to get this allocable acreage allotment so that it can be used in making these adjust- ments, That is all I want to do. Mr. COOLEY. Mr. Chairman, the gentleman yield? Mr. COMBS. I yield. Mr. COOLEY. The gentleman of course realizes you have a 10-percent res- ervation of acreage at the State level. Mr. COMBS. I understand that. Mr. COOLEY. And you have a 15 per- cent reservation at the county level. Mr. COMBS. Yes, sir; but it has not been used down there to meet this situa- tion. Mr. COOLEY. It has not been used because the State committees and the county committees have not exercised the discretion which Congress intended that they should exercise in making these adjustments. Mr. COMBS. I know that that is the chairman’s view, and I know that he knows this bill. The committees down there tell me that they are not allowed any leeway. I do not know who is right. But if you put this into the law, it tells them to do so and that is the point I make. Mr. COOLEY. The law now being considered provides that the reservation Shall be made at the State level and at the county level for the purposes enu- merated in the law. Mr. COMBS. Yes, Mr. Chairman, but I want to point out that they still have to go back to 1947 and 1948 on this acre- age proposition. It is not mandatory, as I understand. Mr. BECKWORTH. And it is not in the bill, either. Mr. COOLEY. If the gentleman will look at the proviso on page 5, line 9, he will note the following language: Provided, That the State committee shall reserve an adequate acreage not exceeding 10 percent of the State acreage allotment which shall be used— And so forth. . Mr. COMBS. The point is, Mr. Chair- man, that this little region I am talking about of a few counties, including the districts of my colleagues, the gen- tlemen from Texas {Mr. Patman, Mr. PIcKETT, and Mr. BrecKwortH], as well as my own district in eastern Texas, have been getting the go-around, and we have been trying for 2 years to get this mat- ter corrected. It has not been done. I hope as a matter of fairness that this amendment will be adopted. It does not affect the bill in any other way and it will put the needed discretion in the hands of these people to meet the situa- tion. Mr. COOLEY. Mr. Chairman, I rise in opposition to the amendment. Mr. Chairman, if I understand the gentleman's amendment correctly, it is incompatible with the very philosophy of this law and all of the other control programs, for the reason that the gentle- man is advocating by his amendment giving special consideration to individ- uals who have, on former occasions, been engaged in the production of cotton. will
1950 Mr. COMBS. Mr. Chairman, will the gentleman yield? Mr. COOLEY. In just 1 minute; as soon as I finish my sentence. Whereas, under the control program, acreages al- lotted are allotted on the basis of the history of the farm rather than the his~ tory of the farmer, and the acreage is allotted to the owner of the farm rather than to the tenant on the farm. Mr. COMBS. Will the gentleman yield? Mr. COOLEY. Yes. Mr. COMBS. Let me point out that it does just exactly that with respect to this small group of people. Here is a bunch of ex-soldiers going out buying new farmland and they have to have some cotton acreage and they cannot get it under your bill, Mr. COOLEY. The gentleman is en- tirely wrong. Last year in Texas when you had an opportunity to have reserved 10 percent of the acreage at the State level, my recollection is that they re- served only about 3 percent. This bill provides that the State and the county shall reserve this acreage for the pur- poses mentioned in the bill. Mr. COMBS. Will the gentleman yield again? Mr. COOLEY. Yes. Mr. COMBS. I have just finished a tour of my district. I had a little busi- ness down there. I talked to those farm- ers and to those committeemen, and they tell me they cannot do anything. Per- haps under the law they could. I want a@ measure that they say will do the job. Mr COOLEY. The gentleman did not want it in there any more than the com- mittee wanted it in, because we put the word in there that makes it mandatory, that they shall reserve the acreage. Mr. BECKWORTH. Mr, Chairman, will the gentleman yield? Mr. COOLEY. I yield. Mr. BECKWORTH. You say it makes it mandatory that they shall reserve the acreage. Is it not a fact that they may not reserve any percent under it or that only 1 percent or 2 percent will be re- served, depending on what they say is adequate? Myr. COOLEY. That is right. Mr. BECKWORTH. That is exactly true. Mr. COOLEY. Now, let me answer that. People came before our commit- tee and complained that we had left too much authority in the bureaucrats in Washington; that we should decentral- ize this program and vest it in the com- mitteemen back in the counties and the States. Is the gentleman advocating that we vest this authority here in Wash- ington? Mr. BECKWORTH. I will tell you what the gentleman is advocating. Mr. COOLEY. I wish you would. Mr. BECKWORTH. The gentleman has a county, for example, that had 600 applicants, and we got 400 acres; seven- tenths of an acre each. It threw out 360 people. The gentleman is advocating that the Congress assume the responsi- bility right here and now, as this amend- ment would do, in order to prevent that, irrespective of what anybody might say. Mr. COOLEY. Very well. Then you are advocating, tn effect, that we take the CONGRESSIONAL RECORD—HOUSE authority of this law and vest it in the Capital City of Washington and in the hands of bureaucrats far removed from Texas, Mr, BECKWORTH. Let the author of the amendment comment on that, be- cause it does not do that. Mr. COOLEY. Iam asking you to an- swer it. Mr. BECKWORTH. I have read the amendment, quite a while ago, and in my opinion it does not do that. Mr. COOLEY. It js exactly what I thought the author of the amendment sald. Mr. COMBS. It puts it in the State and county committees and not in Wash- ington. Mr. COOLEY. That is exactly where it 1s in this bill. We direct in this bill that they shall reserve acreage in ade- quate quantities to take care of the situa. tuon, Mr. COMBS. It has not resulted that way in the past. Mr. COOLEY. No, it has not, and your trouble is back in Texas. I do not think you should advocate vesting au- thority in Washington. Do you advocate that? Mr.COMBS. No,sir. My amendment puts it in Texas, and if your bill already does it the amendment cannot hurt any- thing, Mr, COOLEY. Very well. Then, I say further, that it is contrary to the philosophy of this bill, and it would be a desperately bad precedent for us to set, If we are going to provide this acreage to be allotted to tenant farmers who can work on your farm this year and on some other farm next year and move about with the acreage in his own pocket, then we are putting a premium on the tenant who might be induced to move from place to place, even from one county or State to another county or State. Mr. COMBS. It will give the tenant a little freedom; is that it? Mr. COOLEY. Jt will give him too much frecdom. The CHAIRMAN. The time of the gentleman from North Carolina [Mr. Coa.sy] has expired. Mr COOLEY. Mr. Chairman, I ask unanimous consent to proceed for two additional minutes. The CHAIRMAN. Is there objection? Mr. ABERNETHY. Mr. Chairman, will the gentleman yield? Mr, COOLEY. I yield. Mr, ABERNETHY. It is entirely pos- sible that the gentleman’s amendment would be a limitation on the present law; that is, on this bill. This bill provides that as much as 10 percent at the State level can be reserved for that purpose, and as much as 15 per- cent at the county level; whereas, if the gentleman’s amendment is adopted it will limit that particular type of farmer to 1 percent. Mr. COOLEY. I think the gentleman is correct. Mr. COMBS. If the gentleman will yield, my amendment does not limit a thing in the bill; it adds something to it. Mr. COOLEY. The gentleman from Georgia [Mr. Pacr] asked you a moment ago the question whether it was to be 11395 taken from 10 percent or added to the 10 percent; and you asked the committee to answer. Mr. COMBS. The committee mem- bers have been telling us it would be 1 percent of the State allotment. Mr. COOLEY. It would be taken from the 10 percent. Mr. Chairman, it does not make any difference where it is taken from; in my judgment it would set a bad precedent. Mr. POAGE. Mr. Chairman, will the gentieman yield? Mr. COOLEY. I yield. Mr. POAGE For the information of the committee it could be done under ex- isting law; it would be possible to make these allocations although, admittedly, the power has not been exercised. I will read from existing law, that is, Public Law No 272, which reads. The State committee may reserve not to exceed 10 percent of its State allotment. Section 3 reads: The county committee may reserve not tn excess of 15 peicent of the county allotment which, In addition to the acrenge made avail- able under the proviso in subsection (e) shall be used for establishing allotments of all farms on which cotton was not planted (or recorded as planted under Public Law 12, th Cong.) during any of the three calendar years immediately preceding the year for which the allotment is made, on the basis of land, labor, and equipment available for the production of cotton, crop rotation practices, and soil and other physical facili- ties affecting the production of cotton and making adjustments of the farm acreage al- lotments estabiished under paragraphs 1 and 2 of this subsection so as to establish al- lotments which are fair and reasonable in Telation to the factors set forth in this para- graph and abnormal conditions of produc- tion on such farms. The law says it can be done. While it is true some of these committees did not use this power, it is perfectly clear they have the power to do it and have had it all along; so it will not hurt any- thing to have this amendment in the bill. The CHAIRMAN. The time of the gentleman from North Carolina has ex- pired. Mr. CRAWFORD. Mr. Chairman, I ask unanimous consent that the gentle- man from North Carolina may proceed for two additional minutes. The CHAIRMAN. Is there objection to the request of the gentleman from Michigan? There was no objection. Mr. CRAWFORD. Mr. Chairman, will the gentleman yield? Mr. COOLEY. I yield. Mr. CRAWFORD. If I understood the chairman of the committee correctly a while ago, the State may reserve up to 10 percent of the total State allotment for adjustment purposes. Mr. COOLEY. Between the counties. Mr. CRAWFORD, Then when it gets down to the county, the county author- ity may reserve up to 15 percent. That fwnat the bill provides at the present e, Mr. COOLEY. That is right. Mr. CRAWFORD. The gentleman's amendment, as I understand it, makes it mandatory for 1 percent to be dealt with in what manner?