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assistance: Afghanistan, Iraq, Jordan, Leba- Honduras, Mexico, Nicaragua, Paraguay, Peru, I further announce that the Senator non, Nepal, UAR, Yeman, Argentina, Bolivia, Uruguay, China, Mali,

Uruguay, China, Mali, Mauritania, Mo- from California [Mr. ENGLE] is absent Chile, Costa Rica, Cuba,1 Dominican Repub rocco, Niger, Yugoslavia, Senegal, Somali, because of illness. lic, Guatemala, Haiti, Honduras, Mexico, Togo, Upper Volta, Austria, Belgium, France, Poland, Nicaragua, Panama, Paraguay, Peru, Poland, Portugal, Spain.

I further announce that, if present Uruguay China, Chad, Guinea, Libya, Mali,

and voting, the Senator from West VirMauritania, Niger, Senegal, Sudan, Togo,

ginia [Mr. BYRD), the Senator from CaliUpper Volta, Belgium, Spain, El Salvador.

TABLE 2

fornia [Mr. ENGLE], the Senator from CONGO AD HOC

Forty-six countries to which we have fur- Michigan [Mr. HART], the Senator from November 1, 1961-June 30, 1962: $25,525,- nished more than $22 billion in economic Arizona (Mr. HAYDEN), the Senator from 980 (54 countries).

assistance from fiscal year 1946 through fiscal Missouri [Mr. LONG], the Senator from January 1 to October 31, 1961: $29,789, year 1963 are delinquent in one or more of Louisiana (Mr. LONG], the Senator from 220.25 (51 countries).

their assessments by the United Nations. Washington [Mr. MAGNUSON), the SenaJuly 14 to December 31, 1960: $16,533,

These arrearages amount to over $42 million. tor from Minnesota [Mr. MCCARTHY], 394.40 (42 countries).

They include: regular budget, $4.4 million;
Forty-two of these countries have pay emergency forces, $9 million; and Congo, WILLIAMS] would each vote “nay.”

and the Senator from New Jersey [Mr. ments due extending back for all periods in- $29.2 million. volved.

Of these 46 countries, 44 received some type

On this vote, the Senator from VirForty-two of these countries have received of economic assistance in fiscal year 1963

ginia (Mr. BYRD) is paired with the Seneconomic assistance from the United States from the United States; and of these 44, ator from Wyoming [Mr. McGEE). If since 1946 and 39 are still receiving assist there are 35 which would have been affected present and voting, the Senator from ance: Afghanistan, Iran, Iraq, Jordan, Leba by the Miller amendment if it had been Virginia would vote "yea," and the Sennon, Nepal, Saudi Arabia, United Arab Re- adopted last year, inasmuch as these counpublic, Yeman, Argentina, Panama, Bolivia, tries have received grants and development

ator from Wyoming would vote "nay." Brazil, Chile, Costa Rica, Cuba,1 Dominican

Mr. KUCHEL. I announce that loans covered by the amendment. These 35 Republic, El Salvador, Guatemala, Haiti, countries include:

the Senator from Maryland [Mr. BEALL), the Senator from Kentucky [Mr. COOP

ER), the Senator from Iowa [Mr. HICKCombined

Arrearages amount, Public Law U.N. total for calendar

ENLOOPER), the Senator from MassachuCountry

grants, loans, 480, fiscal

arrearages year 1961 setts [Mr. SALTONSTALL), and the Senafiscal year

year 1963

for all years and prior 1 1963

tor from Wyoming (Mr. SIMPSON] are de

tained on official business. Afghanistan.. $17,700,000

I also announce that the Senator from

$100,000 $73, 688 $66, 723 Iran...

21, 200,000 34, 200,000

99, 281

75, 413

Arizona [Mr. GOLDWATER) is necessarily Iraq

800,000 100,000 Jordan.

152, 342 139, 948 absent.

7,000,000 16,300,000 Lebanon..

67, 772

62, 267
100,000

None
31, 953

25,064 On this vote, the Senator from Ari.

3,900,000 200,000

8, 729 United Arab Republic.

1,027

zona (Mr. GOLDWATER] is paired with the 38,600,000 140, 100,000 625, 166

529, 959 Argentina..

109, 700,000

None
2, 182, 925 1, 432, 623

Senator from Kentucky [Mr. COOPER). If Bolivia

36,300,000 21,400,000

80, 019

50, 234 Brazil..

present and voting, the Senator from

67, 200,000 61, 600,000 410, 942 287, 990 Chile-

46, 200,000 26,500,000 412, 289 226, 158

Arizona would vote "yea," and the SenCosta Rica

13,000,000 1,600,000 40, 847

26, 105 Dominican Republic..

ator from Kentucky would vote "nay." 12,000,000 12,500,000 52, 354 El Salvador

45, 465 19,600,000 2,600,000 11, 735

On this vote, the Senator from Wyo

6,241 Guatemala

11, 200,000 1,000,000 89, 828 50, 736 ming [Mr. SIMPSON] is paired with the Honduras

10, 400,000 300,000 32, 385 Mexico...

Senator from Massachusetts [Mr. SAL

8, 400,000 15, 500,000 1,129, 359 Nicaragua

1,027, 380
3,700,000
1,400,000 42, 699

21, 430

TONSTALL). If present and voting, the Panama..

8, 200,000 700,000

52, 218

46, 707 Paraguay

Senator from Wyoming would vote 5, 900, 000 3, 400,000

85, 567

43, 943 Peru..

4,500,000 6, 900,000 158, 745 152, 143

"yea," and the Senator from MassachuUruguay.

15, 900, 000 600,000 220, 970 140,183 setts would vote “nay." China.

38, 600,000 41,700,000 12, 592, 384 Guinea

9,356, 629

The result was announced-yeas 20, 6,100,000 3,600,000

8, 219

7, 484 Libya---

1,400,000

None

24, 108 Mali.

23, 373 nays 60, as follows:
3,300,000

None
14, 336

9,527 Morocco

1,100,000 52, 600,000 117, 823

101, 113

[No. 226 Leg.] Niger.

1, 200,000

None
22, 152

14, 798 Senegal

2, 200,000 600,000
8,965

YEAS-20

2,000 Somalia.

7,800,000 1, 200,000

7, 507
2,713 Bennett

Gruening Mundt
Sudan.

6,500,000 4,500,000 71, 118

69, 821
Bible
Hruska

Robertson Togo

800,000 200,000

20, 369
19, 592 Curtis

Johnston Thurmond Poland

2, 800,000 8,000,000 3, 121, 919 2, 677, 929

Dodd Yugoslavia

Jordan, N.C. Tower 100,000 113,400,000 299, 358

253, 980 Eastland Mauritania

Jordan, Idaho Williams, Del. 100,000 100,000 35, 587

3,825 Edmondson McClellan Young, N. Dak. Total.----

Ervin

Miller 42,000,000+

NAYS-60 1 Under Miller amendment, withholding of economic assistance would only occur in the case of those nations

Aiken
Gore

Moss over 1 year delinquent.

Allott
Hartke

Muskie
Sources: United Nations Secretariat, statement on the collection of contributions as at Sept. 30, 1963; U.S. Aid to

Anderson Hill

Nelson Foreign Assistance Act countries, by region and country, obligations and loan authorizations, fiscal year 1963

Bayh

Holland Neuberger preliminary, Statistics and Reports Division, Agency for International Development.

Bartlett Humphrey Pastore
Boggs
Inouye

Pearson
The PRESIDING OFFICER. The Mr. HUMPHREY. I announce that

Brewster Jackson

Pell

Burdick question is on agreeing to the amend the Senator from Virginia [Mr. BYRD],

Javits

Prouty

Keating Proxmire ment of the Senator from Iowa [Mr. the Senator from West Virginia [Mr. Carlson Kennedy Randolph MILLER), to the committee amendment BYRD), the Senator from Michigan [Mr.

Case
Kuchel

Ribicoff
Church

Mansfield Scott in the nature of a substitute, as amend- HART), the Senator from Arizona [Mr.

Clark

McGovern Smathers ed. On this question the yeas and nays HAYDEN), the Senator from Ohio (Mr.

McIntyre Smith
Dirksen

McNamara Sparkman have been ordered, and the clerk will call LAUSCHE), the Senator from Missouri

Dominick Mechem Symington [Mr. LONG), the Senator from Louisiana Douglas the roll.

Metcalf

Talmadge The legislative clerk called the roll.

[Mr. LONG], the Senator from Washing- Ellender Monroney Walters
ton [Mr. MAGNUSON), the Senator from Fong

Morse

Yarborough

Fulbright Morton
Minnesota [Mr. McCARTHY], the Sena-

Young, Ohio 1 Not currently receiving economic assist- tor from Wyoming (Mr. McGEE), the

NOT VOTING-20
ance.
Senator from Georgia [Mr. RUSSELL),

Beall
Hayden

McGee

Byrd, Va. Source: United Nations Secretariat, State- the Senator from Mississippi (Mr. STEN

Hickenlooper Russell

Lausche Saltonstall ment on the Collection of Contributions as NIS], and the Senator from New Jersey Cooper Long, Mo. Simpson of Sept. 30, 1963; Agency for International [Mr. WILLIAMS) are absent on official

Engle

Long, La. Stennis Development reports.

Goldwater Magnuson business.

Williams, N.J. Hart

McCarthy

So Mr. MILLER's amendment to the Mr. MANSFIELD. Because of the The fact that Argentina and Brazil committee amendment in the nature of fact that for the first time in a long time have been able to dip into the contina substitute, as amended, was rejected. there are so many Members of the Sen gency fund and get very large allotments

Mr. FULBRIGHT. I move to recon- ate present, I would hope that the vote from the contingency fund for their sider the vote by which the amendment could be taken tonight, and that the budgetary problems could be a major was rejected.

Senate could start afresh tomorrow.

afresh tomorrow. reason for their failure to submit a plan Mr. HUMPHREY. I move to lay that Many Senators who are now present under the Alliance for Progress, which motion on the table.

have given up engagements, and I be- they are expected to do. The motion to lay on the table was lieve they are entitled to the right to However, it is an interesting coinagreed to. vote tonight.

cidence, at least-and I only express my ORDER OF BUSINESS

Mr. MORSE. ,

Mr. President, I ask for personal view—that as long as Argentina Mr. DIRKSEN. Mr. President, I the yeas and nays.

and Brazil can continue to get heavy should like to ask the distinguished ma The PRESIDING OFFICER. The dosages of Presidential contingency fund jority leader whether he can ascertain amendment has not yet been offered. money to help them out with their budgwhat amendments are likely to be offered Mr. MORSE. I offer the amendment. etary support programs and their monethis evening and how long the discus- First I would explain that I have modi- tary programs, they are not going to be sion on them will last, as well as what fied the amendment. It is amendment the least bit moved to meet the plans Senators can expect, because of commit- No. 254. I wish Senators would look at called for under the Alliance for Progments and arrangements heretofore it. In line 9 of the amendment I strike ress program. made.

out the words "in the form of” and sub Those countries ought to submit their Mr. MANSFIELD. Responding to the stitute the word “for.”

plans for cooperation under the Alliance question raised by the distinguished mi In line 9 I strike out the word “loans.” for Progress program. They agreed to nority leader, it will be recalled that In line 10 I strike out the period and the Act of Punta del Este. Under the earlier today the leadership indicated add the word "purposes.”

Act of Punta del Este, they committed that it would like to continue in session I send the modified amendment to the themselves to self-help. All we ask is until around 10 o'clock this evening, pro- desk and ask that it be reported. that they help themselves, along with our vided amendments and votes were in the

The

PRESIDING OFFICER. The willingness to cooperate and help them. offing. It is my understanding that the clerk will state the amendment.

I am greatly disturbed about the news distinguished senior Senator from Ore The LEGISLATIVE CLERK. On page 39, of today in regard to Argentina's attitude gon [Mr. MORSE] has an amendment to line 10, after the section heading insert toward the entire Alliance for Progress offer. If he offers the amendment, I “(a)”.

program. I cannot quite understand assume there will be a little debate on On page 39, strike out the quotation what Argentina is up to. it. I would hope that the Senate would marks at the end of line 17.

Also, we are getting statements from be able to vote on that amendment this On page 39, between lines 17 and 18, high positions in Brazil to the effect that evening and then take a recess until insert the following:

Brazil does not know whether the Alli12 o'clock noon tomorrow.

(b) None of the funds made available ance for Progress program is to her ecoMr. MORSE. That is satisfactory to under authority of this Act may be used to nomic advantage or not. That comes me. This has been a rather good day. furnish assistance to any country covered from a beneficiary to whom we have We have made some progress. We have by this title for balance-of-payment or

given many millions of dollars. It is worked out some negotiated settlements, budget support purposes.

perfectly obvious what Brazil is up to and have agreed to several amendments, Mr. MORSE. Mr. President, I ask for and Argentina, too. Apparently, they and have had votes on other amend- the yeas and nays.

are seeking to scuttle the Conference at ments also.

The yeas and nays were ordered.

Sao Paulo, because the Conference at I shall offer my amendment now. If Mr. MORSE. Mr. President, my Sao Paulo is, in particular, designed to Senators wish to go to dinner, they have amendment No. 254 is designed to halt try to have our Latin American assotime now to go to dinner.

aid to Latin American countries for ciates act more responsibly in the impleMr. MANSFIELD. Does the Senator budget support and for balance-of-pay- menting and administering of the Allimean downstairs? ment purposes.

ance for Progress program. Apparently, Mr. MORSE. Downstairs. When the I have modified it slightly in order to Brazil and Argentina do not want to have discussion of the amendment is conclud- make its purpose a little clearer. I have any multilateral administration of the ed, the Senate can vote. I do not ex- explained those provisions. I have al- Alliance for Progress program. That pect to take more than 30 minutes, and ready spoken on the results of using the

causes me to suspect that perhaps one probably not more than 20 minutes. contingency fund for Latin American reason why they do not is that they have There will probably be about 20 minutes aid. Those results have increased the done so well by getting what they want for reply, and then there will be a little resistance of applicants to the condi- from the contingency fund. Why should rebuttal. I do not believe that it will tions that they must meet under the Al- they agree to any commitments? The take more than about an hour. liance for Progress.

representatives of Brazil can come to Mr. DIRKSEN. I understand that the In our debate the other day on the Washington, plead a sorry tale, and point amendment which the distinguished contingency fund, we pointed out that out how inflation is running away with Senator from Oregon has in mind deals several Latin American countries have Brazil. Before I finish with this speech, with certain restrictions upon the use of been the recipients of millions of dol- I shall show how far inflation has run assistance funds for budgetary purposes, lars of contingency fund money, not for away with Brazil, and why she is weepparticularly in Latin American countries. any emergency affecting the United ing such international crocodile tears to Mr. MORSE. It is the Alliance for States, but for their own monetary

but for their own monetary get more and more millions out of the Progress amendment. The heart of it emergencies, their own inflation emer Presidential contingency fund. is that none of the funds now available gencies, and their own balance-of-pay

I speak most respectfully, but I do not under authority of this act may be used ment emergencies.

believe the contingency fund should be to furnish assistance to any country I expressed the view that that was a

used for that purpose. I do not know covered by this title for balance of pay- misuse of the contingency fund, and I about other Senators, but certainly the ment or support purposes. hold to that point of view.

senior Senator from Oregon never had Mr. DIRKSEN. I had hoped that However, I point out what I call atafter an hour or an hour and a half of tention to in the last sentence in the

any idea, when he agreed heretofore to discussion this evening, the vote on the portion of my manuscript that I have providing a contingency fund, that he amendment might go over until tomor- just read; namely, that those results

was authorizing the President to use conrow, when the Senate could resume the have been to increase the resistance of tingency money for any other purpose discussion of the bill.

applicants to the conditions that they than a U.S. emergency-not a BraMr. MORSE. That is satisfactory to must meet under the Alliance for Prog- zilian monetary emergency, not an me. ress.

Argentine monetary emergency, but a

U.S. monetary emergency. The con- amount by $200 million. Although I re I wish to stress that point. American tingency fund should be used only be- ceived some support in the committee, taxpayers' money has been made availcause of a time element. The President I did not have a majority. I finally of able to Latin American countries to help ought to have some money available to fered a $150 million compromise. As I them pay their creditors. Many of their act on the spur of the moment in the remember, I joined with the Senator creditors are citizens of countries of national interest, on the theory that from South Dakota [Mr. MUNDT] in Western Europe, but some of them are time is not available to come to Congress proposing a $150 million compromise. American businessmen.

American businessmen. I am satisfied and lay the problem before Congress. Then it was suggested that there be an that if the American people knew that

I cannot imagine an emergency SO agreement to provide $175 million. I re the Presidential contingency fund was great that the President would need more fused to vote for $175 million; I thought being used to provide balance-of-paythan $100 million for any immediate ex- $150 million was as far as we should go. ments support and budget support and to penditure, biding the time it took to come But tonight I seek only to place some make payments to help Latin American to Congress, lay the facts before it, and controls on the use of the contingency countries pay their creditors, the Amerimake a formal request for emergency fund by the restrictions set forth in my can people would be shocked. They money. amendment.

would say, "That is not cricket.” Mr. Earlier today, in connection with an The contingency fund is not the only President, such procedure runs against other amendment, I said that at the time source of nonproject grants and loans. the grain of fair dealing with the taxof the Berlin crisis the President came The supporting assistance category is payers of the United States. before Congress and received $3 billion another source; and tomorrow I shall Mr. ROBERTSON. Mr. President, in additional defense appropriations. He offer an amendment reducing the whole will the Senator from Oregon yield? had no trouble in that instance, for it supporting assistance category. I care The PRESIDING OFFICER (Mr. was a serious American emergency. not whether this form of aid is in the BREWSTER in the chair). Does the Sen

Administration witnesses testified be- nature of a grant or a loan; it is un ator from Oregon yield to the Senator fore the Committee on Foreign Relations sound everywhere in the world. But in from Virginia ? that in connection with the Cuban crisis Latin America, it cannot even be justi Mr. MORSE. I yield. a little more than a year ago–October fied on the ground that the recipient Mr. ROBERTSON. I have listened 1962—no contingency fund money was lives in the shadow of the Communist with interest to the statement of the used. Yet that was as serious a national bloc and hence must maintain an over Senator from Oregon. Last October, crisis as we have had in a long time. sized military establishment, the cost of when I was in Rio de Janeiro, a group

We shall be dealing with a basic policy which the United States helps to meet. of American businessmen told me that question that will strengthen the hand Every year for 10 years and more I in recent years Brazil had been paying of the President, if we adopt this amend- have been urging a foreign aid program one-half of the expenses of the Brazilian ment. The President needs to be put that will seek to extend capital for spe Government by printing money. The in a position where he will have to say, cific projects. Budget support is exactly Government of Brazil gives an IO U to and he is not the only President that the opposite of that concept. Budget the Bank of Brazil, and the Bank of has done this; it has happened in pre- support merely goes into the pot of some Brazil then furnishes the money-after ceding administrations, too—“I am sorry government to balance its domestic getting a firm in the United States to but Congress has limited the use of the budget. I feel that the United States print the money. I was told that onecontingency fund, and has stopped pay- has deficit problems of its own with half of the Brazil deficit has been paid ments from the contingency fund to which no nation in the world is going to by using our money. So we have been Latin American countries for certain help us, and which we should not worsen furnishing Brazil the money with which purposes."

merely to enable another country to to pay the operating expenses of the It is interesting to note that up until escape the same problem.

Government of Brazil—including the the latest information I received from When money is taken out of the con interest on her foreign loans. the State Department-unless something tingency fund—which is made up of Mr. MORSE. That is correct. I has changed within the last several days, money which belongs to the taxpayers thank the Senator from Virginia for his it is still true-only eight countries have of the United States—and is given to statement. There is no question about submitted plans under the Alliance for Brazil, the Argentine, Ecuador, or any what he has said. The record is crystal Progress program. The program calls other Latin American country, to help clear that that is what we have been for their submitting plans as to what that country balance its budget, that doing. But we should stop it; and that they are willing to do and what their makes the U.S. budget that much worse. is why I have offered this amendment. procedures are for reform, before they We can be sure that other countries will Mr. PELL. Mr. President, will the will be eligible for Alliance for Progress not help us balance our budget. So I am Senator from Oregon yield? money in any great amount. If we want at a loss to understand the process of Mr. MORSE. I am glad to yield to to speed up those plans, we had better reasoning behind the practice of using the Senator from Rhode Island. close the door to money from the con the U.S. taxpayers' money-without con Mr. PELL. I thank the Senator from tingency fund and from supporting as gressional authority-in instance after Oregon for yielding to me. sistance, as well.

instance to balance the budget of Brazil Mr. President, more than a year ago, But I want to talk about the theoret- or the budget of Argentina or the budget when we were considering the foreign ical soundness of my proposal. The of Ecuador or the budget of any other aid bill and the authorization of funds amendment has a very sound theory in country. As I have said, we have our for the Alliance for Progress, I drew the connection with our form of govern- own deficit and budget problems, and we

attention of this body to the use-or ment. We should be strict about ever should not worsen them by making the what might be better characterized the giving unchecked discretion to any officer U.S. taxpayers' money available to other “maluse”-of funds for balance-ofof the government, including the Pres- countries, to help them balance their payments financing or budget-support ident. I speak not of an individual, but budgets, at a time when we cannot bal- purposes. I did not then support an of an office. The Office of the President

amendment to limit expenditures of Alshould never be allowed to exercise un

ance our own budget. checked discretion over the expenditure

Much the same is true of American liance for Progress funds, or, in fact, any

AID funds, to specific development projof too much money. Particularly in the money extended to balance the interna- ects, because I hoped that in the interfield of foreign relations, the expenditure tional payments of another country. vening period of more than 15 months of money without its being spent under What we really do with these

balance-of- there would be a marked reduction in a checking system can very well cause payments loans or grants is make it pos- the percentage of Alliance for Progress serious international complications.

sible for the recipient country to pay off funds used for balance-of-payments or In committee, I fought rather vigor- its foreign creditors. Most of these credi- budget-support purposes. ously against a $300 million contingency tors are in Western Europe. Some are At this time, I ask unanimous confund. I moved that we reduce the American businessmen.

sent to have printed in the RECORD a

comparison of AID assistance in the There being no objection, the table fund did not contain that much money, fiscal years 1959–63. This includes both was ordered to be printed in the RECORD, they sought to put it on other grounds. pre-Alliance and Alliance assistance. as follows:

So during that 1 year, that is, from

January through October, whether we A comparison of AID assistance in fiscal years 1959-63

think the results were right or wrong, [Dollars in millions]

we committed ourselves to the expendi

ture of $110 million for that particular Fiscal year Fiscal year Fiscal year Fiscal year Fiscal year

purpose.
1959
1960
1961
1962
1963

Then we did the same thing at Punta

del Este. Secretary Dillon went to (1) Development project loans and grants..

$103.5 $87.2 $210.6 $300.0 $381.6 Punta del Este and, as he subsequently Percent of total

(84)
(83)
(83)
(63)

explained to the Appropriations Com(2) Development program loans.

1 $95.0 Percent of total.

(17) mittee, committed himself for only $14 (3) Balance of payment financing

$7.3
$8.4 $11.6 $154.7

2 $70.8 million, but as the news went out to the Percent of total

(6)
(8)
(5)
(33)

(12) (4) Budget support loans and grants.

$12.2
$9.5 $31.5 $19.5 $17.4

world, for a total of $20 billion over a Percent of total.

(10)
(9)
(12)
(4) (3) 10-year period.

I happen to agree with the Senator 1 $60,000,000 to Colombia and $35,000,000 to Chile.

in one respect and perhaps disagree in 2 Including $23,750,000 grant to Dominican Republic.

another. If the people of our country Mr. PELL. Mr. President, from these mitted by some country which wishes to elect a President, we must repose some figures, we can see that there has been obtain American taxpayers' money for confidence in him. We should have a a fairly significant drop in the percent- balance-of-payments purposes, budget- contingency fund, and that fund should age of funds used for balance-of-pay- support purposes, or similar uses. I do be large enough so that the President ments financing—from 33 percent in fis- not think that issue should be decided by

can take care of any emergencies or cal 1962, to 12 percent in fiscal 1963. the executive branch of our Government. contingencies that might arise. But in While I think this is commendable prog- It should be authorized, approved, af- those two instances particularly I am ress, I still believe more of our assist firmed, and granted by means of 'con- faced irrevocably with the thought that ance_presently 68 percent—should go gressional action, including appropria- there was no excuse for the State Deinto direct development projects.

tions. In that way, the constitutional partment or the President not to come We have something of a problem with check is observed. As I stated earlier to the Senate, the House, or to either terminology. For instance, category (2) today, that is what the Constitution calls of the Appropriations Committees—and refers to development program loans. for. There is no question that I am from the testimony on record they did This has been explained to me as assist- fighting for preservation of this consti- not

even to state what was in their ance to encourage the importation of tutional right; that is my purpose in minds about those two circumstances. capital goods. It is distinguishable from connection with all these amendments.

What does the Senator from Oregon balance-of-payments financing insofar That is why I differ with the views stated

think about that as it is before the fact assistance, whereas by the Secretary of State at his press

Mr. MORSE. I completely agree with balance-of-payments funds—or, as the conference of the other day. I respect

the observation of the Senator from Senator from Oregon has perhaps more fully suggest that he should refer to the Colorado. What he has said bears out properly called them, "bailout funds” Constitution, for it provides Congress the thesis of my argument. are after the fact assistance. Neverthe- with this checking power; congressional

Congress must be given that informaless, program loans do have the effect, authority must be obtained, and funds tion as a condition before the fact and although this is not their purpose, of cannot be paid out except when appro

not as a condition after the fact. The helping a country in reducing its balance priated by Congress by law.

authority of Congress must be obtained of payments.

But what has happened is that general for the specific use to which the GovernWithout laboring the point, let me authorization is obtained for an un

ment seeks to put the money. The Senagain state that while some progress is checked exercise of discretion; and once

ator may disagree with me in that he being made, we should direct our ener- that power is granted, we do not know

thinks the President ought to have gies more toward assistance for develop- what happens. So I am seeking to take enough money in the contingency fund ment projects and less toward assistance back that power. As I have said, what

to meet an emergency. We may disagree in the form of balance-of-payments fi- Congress can give, it can later take back;

as to how much that amount of money nancing or budget-support assistance. or it can change or restrict. At the very

should be. I believe that $100 million is I believe the distinguished Senator least, we should provide for the kind of enough. The committee brought in a from Oregon [Mr. MORSE] has done all checks my amendment provides.

report requesting authority for $175 milof us a very real service by raising this

Mr. ALLOTT. Mr. President, will the

lion. The adoption of the Humphreyquestion in connection with his amend- Senator from Oregon yield?

Morse compromise amendment the other ment (No. 254). This subject needs ven

day on the Alliance for Progress and the tilation, and I congratulate the Senator the Senator from Colorado.

Mr. MORSE. I am glad to yield to contingency fund left the figure at $175 from Oregon for raising it. Mr. MORSE. I thank the Senator two instances which have gone far be- the Foreign Relations Committee after I

million. I would have preferred $150

Mr. ALLOTT. I am concerned with million, which is what I finally urged in from Rhode Island both for his valuable yond the argument_the Senator from statement and for the table he has subOregon has made. The first is the sit- million fund.

was beaten on my proposal for a $100 mitted for the RECORD. The table speaks

uation in which we

we committed our more effectively than any words of mine, selves to an expense of $10 million a

But our difference becomes a question for it shows us exactly what the problem month for the Congo operation. I have President should have enough money to

only of degree and not of objective. The is. I realize one of the problems which I had been in the position of the Presistated many times that if at that time

meet a U.S. national emergency. I find confronts me when I offer an amendment dent, no doubt I would have done that.

it difficult to conceive of any emergency of this kind. Some will be inclined to Yet 5 months later, when representatives give the President all that he needed for

so serious that $100 million would not think I am seeking to restrict the Presi

of the State Department came before the short period of time that it would dent. But my amendment has nothing to do with the President as such.

the Senate Appropriations Committee take for him to act on that emergency,

Instead, I am seeking to stop a policy that

and sought to justify that, they sought and then lay his request before the Conshould be stopped, no matter who is to shift their ground three or four times.

gress for whatever additional amount of serving as President of the United States. First, they said they would take the

money he might need. He did so at the I seek to protect a very precious right of money from the President's contingency time of the Berlin crisis. He then reCongress-namely, the right to pass fund. But when it was demonstrated ceived $3 billion. He never had any troujudgment on any specific proposal sub- to them that the President's contingency ble in obtaining that money. He never

would have any trouble in obtaining the that prevented the expenditure of that Mr. ALLOTT. I have not explored necessary money quickly for any U.S. na amount of time. A few more days, it the parliamentary situation, but perhaps tional emergency.

seems to me, would be reasonable to ex we have gone too far. Perhaps we should A part of the burden of my argument pect any President of the United States not give the President any contingency involves the use of the money for pur- to spend in asking for congressional au- fund at all, but let him come to Congress poses that do not involve U.S. national thority for whatever amount of money for everything he needs. The way I am emergencies, such as balance-of-budget he would like to recommend that Brazil thinking at the moment, it occurs to me problems in Brazil and Argentina which should get for budget support purposes, the amendment would restrict, in a way, would not possibly fall under the defini- and have the Congress approve it. If he the President's contingency fund. tive terms of a U.S. national emergency. has a good case, why should he fear it? I am willing to restrict every other They would be Brazilian emergencies What worries me is the question as to fund that is given under this act, but and Argentine emergencies, but not U.S. whether the President should be given surely we must allow someone the latiemergencies.

all that money on the assumption that tude to act. After the past 2 weeks of Mr. ALLOTT. I understand the Sen. U.S. national emergency problems should debate, no one can be mistaken about ator's point of view. More than any- be met with it, and then find that a part the sentiment of the Senate; that is to thing else, it is a question of degree, in of the contingency fund is being used to say, no one can be mistaken about the which I am inclined to differ with him. help out with a budgetary problem in sentiment of the American people about Under certain circumstances a Berlin Brazil without the specific approval of foreign aid. I believe “discretion is the emergency could very well be a U.S. the Congress for that specific expendi- better part of valor,” that we should emergency. I understand the Senator's ture of the funds.

make such an exception in this instance. position with respect to the Humphrey Mr. ALLOTT. Mr. President, will the I appreciate the Seriator's yielding to amendment, which was before the Senate Senator indulge me further?

me and permitting me to discuss this the other day. He would have preferred Mr. MORSE. I yield.

question with him. I believe it involves a lesser figure. We did provide $175 mil Mr. ALLOTT. I agree that in most a very serious problem. lion on that particular portion of the instances what the Senator has said is Mr. MORSE. I am indebted to the program. It occurs to me that even if true. The Senator from Colorado has Senator from Colorado, because he has we should get to the place where the little sympathy with the national poli- helped point out the issue I wanted to Congress would return to some sense of cies of Brazil, as he has seen them de- point out. rationality and adjourn early in the fall velop over the last 2 or 3 years. As I I do not believe it is conceivable that in accordance with the rules of the Sen- said on the floor of the Senate last week, a budgetary problem in Brazil

, or Ecuaate and the House, the President could I saw Brazil try to thwart in many in- dor, or in Argentina, or in any other always call back the Congress, and, at stances at the U.N. last year basic ques- Latin American country-and my the expense of a few thousand dollars, tions of freedom, economic rights, and amendment deals with Alliance for allow it to pass on these important ques

economic opportunity that the United Progress countries—could create such a tions, which involve hundreds of millions States was trying to promulgate. I have U.S. emergency as to make it not feasible of dollars.

seen them pursue an economic policy for the President to call Congress back I have been reading the amendment of which none of us could condone unless into session, if the situation were that the Senator from Oregon. I have we happened to support the present ad- serious, for the quick action which he checked it at the desk to see the man- ministration 100 percent, which the Sen- would get. He could bring Congress back ner in which he has modified it. I ask ator from Colorado does not. But seri- into session in a matter of hours. the Senator if he really believes that ously, I say that Congress might find But the point that we differ on, as I under the bill none of the funds, under itself in a position in which, for example, understand the Senator from Colorado, any circumstances, or at any time or it would be in recess, and it would be a is the question of what is a U.S. national any place, might be used to furnish as- question of acting not within a week or emergency. I do not believe the consistance to a country in the form of bal- 10 days, which we could do in an emer- tingency fund as we established it in ance-of-payment loans or budget sup gency between the House and the Senate, the first instance contemplated that a port. I see that the Senator has changed but of acting in a few hours. For this President of the United States could use the amendment slightly. Does the Sena reason, although I would be the first to the money, by way of exercise of untor wish to apply that principle to the join the distinguished Senator from Ore- checked discretion, unless the operative President's contingency fund? No Sena- gon in his general sentiments about some facts of the emergency involved our nator has been as critical of the President of the uses for which this fund has been tional emergency. in his conduct of foreign affairs as has used, at some time we must repose a Certainly a balance-of-payments probthe senior Senator from Colorado. I

little confidence in our President, even lem or a budget-support problem in have taken the floor of the Senate in- though he is not from my party. He Brazil or in Argentina would probably numerable times to voice my opinions, should have a little more latitude than be discussed for weeks in those two counparticularly with respect to the actions the strict language of the amendment of tries anyway, and discussed probably for of the President concerning Cuba. But the Senator from Oregon.

quite some time in the presentation to does the Senator really think that the I would follow the Senator in the gen- our Government of a request for conoverall statement of the amendment eral context, but if we create a contin- tingency funds. With the elapse of that should include the President's contin- gency fund it seems to me we should pro- amount of time, all I am suggesting is gency fund? I feel that if we are going vide a little

more latitude, even granting that when the request is made, the Presito have a contingency fund for the Pres- that this President—and perhaps the dent should lay it before Congress. He ident, perhaps it should have more lati- President before him, and the President should be put in a position of saying to tude than it would have with the restric- before that—used the contingency fund them, “I am sorry, but I am under a tions which the amendment of the Sena- in a way we did not quite approve. At congressional prohibition. I am protor would place upon it.

least we should recognize the necessity hibited from using funds for balance of Mr. MORSE. My answer is that that of a contingency fund and the purpose payments or budget-support purposes.” is exactly the restriction I mean to im- for which it was created.

Mr. ALLOTT. The distinguished senpose. I do not believe that the President I know the Senator has very strong ior Senator from Oregon is subcommittee should have any discretionary power feelings, but I wonder if he would not chairman of the American Republics Afwhatsoever about using the American consider an exception such as “excepting fairs Subcommittee of the Foreign Relataxpayers' dollars for budget support contingency funds provided herein for tions Committee, and he knows, I am purposes or for balance-of-payment pur- the President of the United States.” sure, as well as or perhaps better than poses in Latin America. He ought to Otherwise we may very well be killing I-even though the rest of us try to inhave specific authority for such purposes. our own goose in the situation.

form ourselves the volatile situation I point out that some months ago the Mr. MORSE. Let me say, most re- which now exists in Latin America. We Finance Minister of Brazil came to spectfully, that I do not believe we are could easily find ourselves in a situation Washington and spent several days killing the goose at all, but giving some in Latin America in which the Presinegotiating in regard to Brazil's financial assurance that it will keep on laying dent's contingency fund would be complight. There was no such emergency eggs.

pletely ineffective to do any one of 2

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