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have a much sounder bill. But I have my desk and inspect the list I have pre- even if they are on the periphery of the
There is no reason 10 years for Latin America. We have have figures below the House figures, at why the American taxpayer should not entered into two agreements with Latin least for consideration.
be informed of these figures. I can put American countries, the Act of Bogotá Be that as it may, I had hoped that in the RECORD, and I shall, the figures for and the Act of Punta del Este. They some understanding could be reached on fiscal 1963, 1962, 1961, and 1960, and from are signed agreements, in which commitan additional $40 million cut. It would the beginning of the support assistance ments were made by our Latin American bring the total cut in the Senate to $500 program, but we must not disclose to the friends that they would submit plans, million. It stands at $460 million now. American people the figures for 1964. which were to be submitted in advance Although we could save more money, so Such a procedure cannot be justified. I of approval for Alliance for Progress far as I am concerned that would be a wonder why
wonder why we cannot disclose the funds. Such plans would outline the pretty workable figure to take to confer- figures. All the reasons given are fal- program of economic reform and other ence. It would save much time because, lacious. It is argued that if we disclose reforms essential in those countries if unless we can arrive at what we think is this information, some of the countries there is to be any hope of their becoming a workable figure, we shall have to con- that do not receive as much as others will stable economies. tinue to try to cut the authorizations in request more, on the ground that they Only eight countries have submitted the bill amendment by amendment, are being discriminated against. That is plans, and many of those plans need which will involve a list of amendments more nonsense.
drastic revision, because the mere subproviding for cuts country by country. It is argued that we should not dis- mission of a plan which is not sound
I have said that I do not believe that close information that would be of use to and feasible does not entitle the par-
pose to engage in any improper course change for our proffer to cooperate with
I put into the RECORD yesterday the in connection with supporting assistance. All my present amendment proposes article written by Tad Szulc of the New
Supporting assistance is the payroll on to do is to make a cut of $50 million. York Times at São Paulo, Brazil, showwhich we put nations all over the world That is long overdue. I hope that the ing the stagnation in the economies of that are unwilling to put their economic Senate will adopt the amendment. None one Latin American country after anhouses in order and unwilling to live of the reasons given justifies our giving other, and pointing out that, instead of within their means.
supporting assistance. That is why I the situation improving, it is growing We offer to make up the difference be- invite Senators to inspect the list I have worse. We do not have enough money tween the scale on which they want to prepared of major recipients of aid in this country. We could pour all the live and the scale on which they can around the borders of the Communist wealth of the United States into Latin afford to live, and we do it with support- bloc, which shows how much supporting America and it would all go into a sinking assistance, at the expense of the assistance they are scheduled to receive hole, and not stabilize those countries. American taxpayer.
in fiscal 1964. The figures show a total The leaders of those countries and the Supporting assistance goes into a na
far under the $350 million I am propos- people of those countries must be willing tion's budget and is forever lost to the ing. One of the arguments of the State to reform their economic and political sight of the American taxpayers whose Department is, “We must give this sup- systems.
The President can say all he wants to money it was. Wherever there is a coun- porting assistance to countries on the try in the world receiving supporting as- periphery of the Communist bloc.” The say in New York City about the rich sistance, there is a country that wants a
total indicates that many countries helping the poor. Having only 6 permilitary machine that it cannot support, which are not on the periphery of the cent of the world's population, the
Communist bloc are to receive millions United States cannot solve the problems or maintains inefficient socialized indus- of dollars of support assistance. That of poverty throughout the world. tries that are really used to give jobs to is why I say that the figures show a Furthermore, we had better take a the unemployed, or a country that is total far under the $350 million that I look at some of our own domestic needs. simply thought to be important to us for am proposing in my amendment so far The President makes a nice sounding, political reasons.
as countries on the periphery of the plausible, emotional argument when he In my opinion, none of these reasons Communist bloc are concerned.
talks about this program being a moral justifies our giving them supporting as Even so, the supporting assistance to issue. Some basic moral issues are insistance. I invite Senators to come to many countries should be drastically cut, volved in the fight over the foreign aid
bill. One of them is that it is about country, are refusing to adopt the eco we should say to the borrower, “These time this Government started treating nomic changes that are essential if they are the terms and conditions on which the American taxpayers fairly and are to have a stable, growing, expanding the loan will be made. You will have to stopped sinking millions of American economy, instead of a stagnating, de- undertake certain obligations to obtain taxpayers' dollars into sinkholes on the generating one.
the loan. You will have to pay an inbasis of some political slogan to the Ever since the closing years of the terest rate that will cover the cost of the effect that the rich must help the poor. Eisenhower administration, we have been use of the money to the American tax
When countries in which millions of told that American foreign aid is now payers. You will pay for the service poverty-stricken people live are willing to more than 60 percent loan and less than rendered." reform themselves, we will then go in on 40 percent grant. That figure relates Then the borrowers will pay some atthe basis of sound economic projects and only to economic aid; if it took into ac tention to their investment of that be of assistance to them. But the rich count military aid, which is all grant, money, and will put it into economic of Brazil, the rich of the Argentine, the the percentages would be reversed. The projects which will do economic good for rich of Ecuador, and the rich of every statistics of the State Department are the mass of the people. They will be other Latin American country must stop inaccurate, in the sense that what they projects which will pay out. That is making huge profits out of the American include as loans do not meet the defini- what I call exporting economic freedom, foreign aid program in Latin America, tion of loans in the terminology of the and that is what we should be exporting, and depositing such profits in New York American taxpayer. A loan at three because until there are established in and Swiss banks, while American tax fourths percent interest, with from 40 to those countries systems of economic freepayers, through their Government, 50 years to pay and a 10-year grace pe dom based upon sound fiscal policies, the through their support of the assistance riod in which not a cent has to be paid, people of those countries never will be program, and through the Presidential is not a loan.
saved from poverty and degeneration. contingency fund, pour millions upon Furthermore, I ask Senators to put it It is interesting to note that the Formillions more of American taxpayer dol down in their memory, for future recol- eign Relations Committee in its unsigned lars into Latin America.
lection, that the largest percentage of report made a good many criticisms I yield to no other Senator in my ca those loans will never be repaid. It will similar to mine, but the committee pacity as chairman of the Subcommit be only a few years until speeches will “passed the buck” to the administration; tee on American Republics Affairs, in my be made on the floor of the Senate the committee slapped the administradesire to make the Alliance for Prog urging the forgiveness of those loans be
tion on the wrist, and said, “Next year, ress work. Together with many others, cause the countries have not made a bring us a program which will take into I worked hard to help bring the pro move to repay them. It will be argued account some of these criticisms.” But gram into being in the first place. But that we must not play the part of Shy- the committee cannot “pass the buck” some of the fiscal policies being followed lock. It will be argued that the failure insofar as its responsibility to the Amerby our Government may defeat the Alto repay is creating friction, misunder
ican people is concerned, for if all the liance for Progress, and this is one of standing, and problems; and that there- things the committee has said all along them. We cannot justify a dollar of fore, in our great generosity, we ought are wrong with the program are wrong supporting assistance to Brazil, Argen to forgive those loans. That is the way with it and there are also many other tina, or Ecuador, so long as those coun this game is played.
things about it that are wrong—the tries' governments take the position, It is time to write a new rulebook for committee had an obligation in writing which they have taken to date, of not the State Department, and to say, “You the bill to proceed to correct all the fulfilling their commitments under the
must play from now on in accordance wrongs it knew about in the program. Alliance for Progress.
with the rules of this rulebook. You If the committee had done that, we Yesterday the United States was the will no longer have the opportunity to would not have had to turn the Senate subject of an insulting speech by the filch from and milk the taxpayers of this into a Committee of the Whole to proPresident of Brazil, who raised the ques country in a program that is so eco ceed to rewrite the bill paragraph by tion as to whether American aid is really nomically unsound as the program in
nomically unsound as the program in- paragraph, section by section. But the of any value to Brazil. That is grati- volving, for example, supporting assist
volving, for example, supporting assist- committee gave us no alternative, if the tude. How long shall we take it? How ance.”
opponents to the bill are to carry out our long will this administration take it? Mr. DOMINICK. Mr. President, will commitments to our constituents. How many more millions of dollars will the Senator from Oregon yield?
It matters not to me how inconvenient the President, through his contingency Mr. MORSE. I yield to the Senator that process may be to certain Senators. fund, pour into Latin America? I have from Colorado.
They were elected to serve in this body, tried to give the Senate an opportunity Mr. DOMINICK. In connection with and they should adjust their convenience to check it. I gave it that opportunity the Senator's point as to whether loans to their job. last night. I shall figure out other par will be repaid, an interesting table ap
I have done my best to try to reach a liamentary ways of giving the Senate anpears on page 712 of the hearings, to
fair negotiated settlement of our difother opportunity before the debate is which I referred yesterday. As to the ferences, and it still is possible to do so. concluded, for that hole must be plugged. repayment of loans, the table shows that But until such a settlement is reached, The Senate cannot justify allowing for Alliance for Progress loans, which
for Alliance for Progress loans, which I shall continue to offer amendment after millions of dollars of supporting assist have been in effect for only a few years, amendment and, with each amendment, ance funds be spent in this manner. $13,858,789.97 has been disbursed. Un
to make a record for future reference as Funds spent this way defeat some of the der the heading "unrepaid balance,” the to what is wrong with the parts of the most precious objectives of the Amer identical amount is shown. There has
program to which my amendments are ican foreign policy. One of them is the not been a single instance of repayment addressed. objective of a workable Alliance for of such a loan.
When the administration claims that Progress. That is why I have said in Secondly, as to the overall loan dis- the foreign aid bill is now 60 percent this speech that, in my judgment, all bursements, the table shows that we loans and less than 40 percent grants, supporting assistance to Latin America have disbursed over a long period of 1 point out that those statistics are probably should be stopped, and the years $6,517,974,743.06, while $5,728,Latin American countries told that we 534,659.28 is still owed to us. In other “phony.” In the first place, they deal have a program to help them, the Alli- words, about 90 percent of the total only with the economic side; in the secance for Progress, but that, of course, amount that has been loaned in the pro- about the nature of the loans, which in
ond place, they do not tell the true story it creates obligations upon them to do gram through the years is still owed to something to help themselves. They
effect are in large measure grants conus. must reform the system that has brought Mr. MORSE. It is my opinion that at cealed by a veil of semantics; but if we them into the stagnation that Tad Szulc least 50 percent of the money will never take a long look, we can see through the reported in the previously mentioned be repaid under this kind of unsound veil.
veil. Thus it is that I say that if the article. fiscal policy.
administration's own statistics took into The main reason why the Latin Mr. DOMINICK. I agree.
account military aid, which is grant American economy is stagnate is that our Mr. MORSE. To devise a loan pro- money, the percentages would be reLatin American friends, in country after gram that is actually a loan program, versed.
Moreover, the economic aid program and at high salaries, too; and the Ameri than the cost to the United States of proitself has remained rather stationary at can taxpayers are paying the bill.
can taxpayers are paying the bill. But viding military men from among its citithe proportion of roughly 65 percent loan if anyone believes Chiang Kai-shek's zens. to 35 percent grant. That proportion army is worth a tinker's dam to the In round figures, for every military should become one of 90 percent loan United States, in connection with the man that we in the United States can and 10 percent grant for economic aid. defense of the Pacific, I point out that
defense of the Pacific, I point out that provide at a cost of $3,948, the Republic Supporting assistance is the major road- that is far from the fact. If an attempt
that is far from the fact. If an attempt of China can provide 23 military men, block to attainment of that objective. It ever were made to land that army on because the cost of maintaining a milibears no relationship to any given proj the mainland of China, I am of the tary man in Taiwan is only $177 per ect or program. It is extended, not on opinion-on the basis of many reports I man. The Republic of Korea can prothe basis of the sound financial under- have ever seen in regard to the military
have ever seen in regard to the military vide about 15 men for every 1 that we takings of the recipient, but on a political efficiency or lack of efficiency of that provide. basis.
army—that it would trample itself to I am not making an argument one way The $400 million proposed by the For death in the process of retreat.
or the other. I am merely stating the eign Relations Committee for this cate I repeat that neither Taiwan nor South figures. I could not wait until the Sengory of aid is only $35 million less than Korea is of support to the American de ator from Oregon had concluded his the amount carried in the original bill. fenses in the Pacific. The support of questions. I submitted written quesIf Congress is going to steer the admin- American defenses in the Pacific depends tions. I feel that the questions and istration down the path of true and upon thousands of American troops who answers are deserving of reading and meaningful reform in foreign aid, we are stationed throughout the Pacific study. must reduce further this huge source of area, on the 7th Fleet, and in the U.S. I have the following issue to decide in nonproject grant money, as provided in Air Force.
my own mind: Would we profit by remy amendment. We can do it by reduc Mr. President, we are spending too ducing the number of Korean military ing supporting assistance to $350 mil- much money in South Korea, in Taiwan,
men and the number of military men in lion, as provided in the amendment. and elsewhere in that area, in supporting Taiwan, with the probable consequence
Congress has tried over the years to assistance; and I am asking that it be that we would have to increase the numreduce this category of aid. Our effort cut back $50 million.
ber of our own military men? I should has not been notable for the cooperation Mr. LAUSCHE. Mr. President, will
like to hear what the Senator from Oreit has received from from the executive the Senator from Oregon yield?
gon has to say on that question. branch, which is another reason for my Mr. MORSE. I yield.
Mr. MORSE. I am delighted to reply. loss of faith in the ability of the execu Mr. LAUSCHE. In the Foreign Rela
What the Senator has stated is typical tive branch to recast its anachronistic tions Committee the subject of the
Pentagon fallacious propaganda. Its foreign aid structure.
amount of money which should be allo- major premise is erroneous. . Its major My colleagues know that we on the cated for supporting assistance was dis
premise is that maintaining a Chinese Foreign Relations Committee have made cussed, and it was stated that probably
Army in the large number Chiang has many attempts to compel the executive a cut could be made.
on Taiwan is some help to the defense of branch to recast the foreign aid program
the United States.
I submitted written questions to Secinto a manageable one, with specific goals retary McNamara in an endeavor to find
Mr. LAUSCHE. That is the argument
made. and objectives. We have tried to pro
out how many troops were in the Armies mote an examination of a basic philo
Mr. MORSE. It is not a valid arguof Vietnam, Thailand, the Republic of sophical premises about foreign aid, and, China, Korea, Greece, Turkey, Iran, and indeed, to find out whether such fun- Pakistan. I desired to know how many what would stop it. It would not be China, Korea, Greece, Turkey, Iran, and ment. If there is to be an invasion of
Formosa, the Senator from Ohio knows damental tenets actually exist. Prom troops might be available in those forinent among such efforts has been the eign countries if we became involved in can 7th Fleet and the American air
Chiang's army. It would be the Ameri"Mansfield amendment." trouble. If Senators will look at page 217
armada. Mr. President, before I discuss the of the hearings before the Committee on
What the Senator has been told is Mansfield amendment, I note the Foreign Relations of the Senate during
merely a house of cards that McNamara presence in the Chamber of the Senator June and July of 1963, they will find the
has built up in order to justify pouring from Ohio [Mr. LAUSCHE], a member of answers to the several questions which the Foreign Relations Committee. I am I asked. The answer to the particular
out wasteful support assistance. perfectly willing to submit him as a wit- question which I have described was as
Let us consider South Korea. Does
the Senator know what ought to be done ness to the statement I now make, and follows:
with most of the members of the army then let him deny it if it is not true.
Answer. The total number of troops mainAgain this year in the committee discus
in South Korea? We ought to be put tained by the 8 nations mentioned is 2,793,sion in regard to supporting assistance,
them to work building roads. We ought which goes into supporting the military
to put them to work on irrigation proj
My recollection is that the answer also forces of a good many other countries, it identified the number in each of those civilian jobs, because South Korea will
ects. We ought to put them to work in was alleged that they are not able to sup- nations, but the number was deleted be not be defended by that army. South port by themselves military forces of the
cause supposedly the information was Korea should have an army, but its size size we seek to have them maintain, and
classified. there was discussion about countries such
should be greatly reduced to the point at as South Korea. In the course of that tain a military man in the U.S. Army
I then asked how much it cost to main which the economy of the country could discussion, several Senators expressed
tain a military man in the U.S. Army support it. South Korea knows that if perplexity and a lack of understanding as countries identified on page 218 of the
and how much it cost in the respective Red China should make a move toward to why we should continue to pour so
South Korea, again we shall go into ac
tion with the 7th Fleet. We will not be much money into South Korea, and they hearings. Senators will note that in 1962 asked whether that was one place where it cost $3,948 to maintain a man in the wasting the lives of free American boys
on the basis of thinking that we can win some money could be saved. Mr. Presi- U.S. Army, not including paraphernalia
a conventional war against the Red Chident, my amendment would do that to and equipment. The cost in the other
nese with South Korea's army. the extent of at least giving the admin- countries is listed. In Belgium the cost istration an opportunity to cut back our Germany $1,689, and Italy $878. is $1,571, Denmark $2,107, France $1,966, (At this point Mr. INOUYE took the
chair as Presiding Officer.) supporting assistance in Korea.
I shall not mention each nation indiTaiwan is another example.
Mr. MORSE. We know that we could vidually, but the cost to maintain a miliThe American people are maintaining tary man in Korea is $247; in the
not whip them in that manner. We there the army of Chiang Kai-shek; and, Republic of China-Taiwan-$177. I
could greatly reduce their numbers.
The argument is made by the Pentagon as I have said before in this debate, desired that information for the purpose that we could go around the periphery Chiang Kai-shek maintains more gener- of determing whether financially we of the Communist bloc and maintain the als than the total number of generals in were not better off by having those native armies for less money than we the entire U.S. Military Establishment, nations provide military men at less cost can maintain the American army.
The point is that we would not have the Near East. They are Vietnam, Thailand, (See table below.) to substitute an equal number of Ameri- the Republic of China, Korea, Greece,
ANNUAL PER CAPITA MILITARY PERSONNEL COSTS can boys for that army, because we would Turkey, Iran, and Pakistan. Is that correct?
Cost estimates for countries receiving milnot be fighting that kind of war if we had to fight a war over there.
Answer. That is correct; 62 percent to be itary assistance shown below are confined to exact.
pay, allowances, subsistence and individual We ought to be demobilizing a great Question. Can you supply for the record, clothing. They do not include operation many of the soldiers in those indigenous if such information is not classified, the re
and maintenance expenditures, as no meanpopulations and putting them to work spective number of troops that are main- ingful comparisons could be made due to
differing weapons systems and technologies. rehabilitating the country, serving clear tained by these eight nations? notice that we would not weaken their Answer. The total number of troops main
For comparative purposes, figures are indefenses and would not encourage any
tained by the eight nations mentioned is cluded for 1961. Principal reasons for 2,793,623.
changes, where available, are indicated. invasion of Formosa. The Red Chinese
Changes are primarily due to either new exknow the 7th Fleet and the air
Question. What is the present cost per change rates, increased pay and allowances, armada are present. The Red Chinese year of maintaining each military man in the or the proportion of personnel in the lower have heard the announcement of the field in the United States?
pay grades. United States, for it is known to all the Communist world, "You make an attack
Cost to maintain a soldier on an ally of freedom and you have had it." That is the only check we have
Net change against war, and not Chiang Kai-shek's
1961 1962 1962 versus
Remarks overaged army.
1961 Has the Senator seen the statistics on the military efficiency of the South United States..
$4,014 $3, 948 --$66 Korean Army? They could be whipped
1,571 1, 571 Denmark.
+457 Increase due mainly to higher pay and with Boy Scout troops.
bonuses. Mr. LAUSCHE. Mr. President, will France.--..
+178 Increase due to higher pay and allow
ances. the Senator yield?
1,689 Mr. MORSE. I yield.
-82 Mr. LAUSCHE. The record shows also Netherlands
1,486 1, 486
-61 that our Government has been insisting Norway
1,706 1, 985 +279 Increases in all services.
837 upon the utilization of the troops in those
+402 Increase due to higher pay and allow
ances. countries in the very projects that the Spain.
2, 332 2, 495 +163 Increase due to higher pay and reduced
numbers in lower grades. I agree with him entirely.
375 483 +108 Increase due to increase in number of Mr. MORSE. TO a minutia degree
students attending schools CONUS they pay lipservice to the program.
and promotions in higher ranks. 385 389
+4 They say, “We have this little project Iran.
564 +63 Increase due to greater number of junior going. We have that little project go
officers and increase in Government
retirement contribution, ing.” What they ought to have is an Libya.--
670 overall program of putting the armies
404 427 to work on a civilian basis in keeping
+23 Increase due to higher pay and allow
ances. with the great record of the U.S. Army
+28 Different exchange rate and small Corps of Engineers.
pay increases for noncommissioned
officers. Mr. LAUSCHE. Mr. President, will Mr. President, will Cambodia.--
829 842 +13 Increase due to promotions, longevity, the Senator yield?
and a slight strength increase. Thailand...
+9 Mr. MORSE. I yield.
1, 049 651 -398 Decrease due to more realistic exchange Mr. LAUSCHE. I should like to have Republic of China
+3 printed in the RECORD a transcription Philippines
527 -215 | Decrease due to decontrol of peso. of the questions which I asked and the Japan.-
+32 answers given. They appear on pages 217, 218, and 219 of the hearings before the Committee on Foreign Relations on is your belief that the military assistance Congressional Committee on Atomic Energy,
Question. It is my understanding that it primarily as a result of a report by the Joint the bill, S. 1276, in June and July 1963. program should be continued because in Mr. MORSE. I am delighted to have addition to other advantages to the United
entitled “The Study of U.S. and NATO Nu
clear Weapons Arrangements," dated Februthem in the RECORD,
States, the program insures "our continuing ary 11, 1961. Secretary McNamara testified Mr. LAUSCHE. Mr. President, I ask access to oversea bases and installations at length on this report, and subsequent unanimous consent to have printed at which are still essential to full deployment actions relative to Jupiter missiles, in Februthis point in the RECORD the portion of of our military strength." If we must still ary and March of this year before the Senthe hearings to which I have referred. have continuing access to oversea bases and ate Committee on Armed Forces. AppropriThere being no objection, the excerpts 22 give up the Turkish base?
installations, why did we after last October ate passages of this testimony appear in the were ordered to be printed in the RECORD,
published record of hearings on military pro
Answer. Recent actions involving replace curement authorizations, fiscal year 1964 as follows:
ment of Jupiter missile squadrons in Turkey (pp. 7, 8, 147, 312, 313, 314, 349, and 350). The CHAIRMAN. I wish to submit, Mr. Sec (and Italy) did not result in any significant Question. What direct payment do we retary, or to your aid, some written ques- change in existing U.S. base rights. Thus, make respectively to Spain and Portugal for tions that Senator LAUSCHE asked me to submit to you. He had to go to another meet
access to oversea bases and facilities required the bases which we have there?
to support U.S. oversea deployments was not Answer. We do not make any direct paying.
affected by the Jupiter replacement action. Secretary MCNAMARA. Surely. I will be
ment, in the sense of rental, to Spain for the
Utilization of oversea bases and facilities very pleased to answer them, Mr. Chairman.
bases jointly used with the Spanish. We by the United States and allied forces is subThe CHAIRMAN. Please answer them in
have provided military and economic assistject to almost constant change as new weap- ance to Spain in accordance with bilateral writing. Senator LAUSCHE had to attend the ons systems enter the operational inventories military assistance and economic assistance Committee on Interstate and Foreign Com of these forces and as the overall strategic merce this morning.
agreements. situation varies. One such change, involv
We do not make any direct payment, in ing modernization of NATO forces, was reQUESTIONS AND ANSWERS ON MILITARY ASSIST placement of the Jupiter missiles. These
the sense of rental, to Portugal for our use ANCE PROGRAM missiles, originally provided under the mili
of the base facilities in the Azores. We have The following questions were submitted tary assistance program, were replaced by provided military assistance to Portugal in in writing by Senator LAUSCHE with answers U.S. manned Polaris submarines. The sub
accordance with a bilateral military assistto be provided as inserts for the record: marines are now operating in the Mediter- ance agreement.
Question. It is my understanding that ranean and are assigned to SACEUR, as were Question. It is my understanding that in over 60 percent of the total military assist the Jupiter squadrons they replaced.
addition to the direct payments for the right ance program will be allocated to eight key Replacement of Jupiter missiles was ini- to have the bases, we grant other military countries in south Asia, the Far East, and tially taken under consideration in 1961, and economic aid?
Answer. As mentioned in the answer to the maintain them completely, by an addi- that specific plans be worked out for previous question, we do not make any direct tional war subsidy to them. That might ending supporting grants. payments, in the sense of rental, to either
turn out to be a real disadvantage to Spain or Portugal.
In a blaze of honesty, the unclassified In the 1953 defense agreement between the United States. It is much better to report of 1960 revealed that AID had no the United States and Spain, the United have them maintain the arms that their real intention of eliminating the defense States agreed to support Spanish defense economy will support and have us, under support aid to the five countries which efforts for agreed purposes by providing mili- a foreign aid program, come to their received about 75 percent of that aid in tary end-item assistance to Spain during a assistance in the economic field, to help 1960. It comes as something of a shock, period of several years to contribute to the strengthen their economy, so that their therefore, to discover that two of the five effective air defense of Spain and to improve
economy will expand, and in that way are not receiving supporting assistance the equipment of its military and naval forces.
put them in a better position to protect today. But there are many other cateIn the same agreement, Spain authorized themselves.
gories of assistance, and our two friends the United States to develop, maintain, and Mr. President, I shall now discuss the together are scheduled to receive a total utilize for military purposes, jointly with Mansfield amendment of several years approaching half a billion dollars in the the Government of Spain, such areas and ago, because the subject matter covered coming fiscal year, not including the facilities in territory under Spanish juris- in the amendment has been under Public Law 480 program. diction as may be agreed upon.
discussion in the Foreign Relations After virtually excluding 75 percent of [Deleted.]
Committee for a number of years. Since 1953 the United States has provided
the economic grant program from seriSpain a total of approximately $500 mil
In 1959 the distinguished senior Sen ous consideration, the executive branch lion in military assistance and a total of ator from Montana took the fine initi- report of 1960 grudgingly saw a possibil$1.4 billion economic aid in the form of ative of securing the acceptance of sec- ity of ending grant aid over a 5-year defense support, technical asistance, Public tion 503(c) in the Mutual Security Act period in 10 countries receiving someLaw 480, and Export-Import Bank and de of 1954, as amended. This section di- thing over half the remaining 25 percent. velopment loan funds.
rected the executive branch to present Here there has been some progress: Nine In the 1951 Defense Agreement on the
concrete plans for reducing and termiuse of facilities in the Azores, as specified nating bilateral grants of economic aid this year only four are getting these
were on the list for this aid in fiscal 1962; by the Defense Agreement of 1957, Portugal granted the United States certain rights in in the defense support and special assist- grants. I think there is some reason the Azores. We also have a Mutual Defense ance categories.
gratefully to ascribe this progress to the Assistance Agreement with Portugal. Since For those who have lost their way in change of administrations downtown. 1950 Portugal has received $328 million in our decade-long game of semantics, I Next, we turn to the list of eight military assistance to assist in maintaining should note that these categories have countries which the executive branch forces to meet NATO commitments. Portugal has not requested or received any U.S.
since joined together under the title of considered as being subject to reductions. economic asistance since fiscal year 1951, supporting assistance; when the latter
supporting assistance; when the latter We find that five of the eight are still except surplus agricultural products under is combined with military aid the two firmly entrenched in the supporting asPublic Law 180. are entitled strategic assistance.
sistance category. In short, we were not [Deleted.]
The greatest phrasemakers imagina- promised much in 1960, and we have not Mr. LAUSCHE. Finally, I feel a bit of
ble are in the State Department and the gotten much reduction today.
Pentagon. To a greater extent than comfort in the knowledge that in those
The executive branch scarcely bothcountries there are 2.8 million men in any other group I have ever met, they ered to think about specific reductions military uniform. I cannot vouch for can coin new phrases to disguise mean- in small grant programs. Despite its their efficiency, but I feel much better ing and conceal programs not in the unwillingness to contemplate change,
changes did occur, and six of nine listed to know that they are there than I would public interest. feel if I knew they were not there.
Now just where do we stand, 4 years
areas are not now on the supporting Mr. MORSE. I would have them after the notable initiative of our re assistance list. On the other hand, new working for the rehabilitation of the spected majority leader? I fear the an candidates have appeared to vitiate the economies of their countries, rather than swer is: In pretty much the same old meaning of this development. Indeed, sitting around in Army uniforms on place.
the executive branch unclassified report American payrolls. I am satisfied that
CHANGES SINCE 1960
forecast this in noting: they would not be of any effective assist
Both reports delivered in response to
Moreover, new needs for grant aid are ance in time of war.
section 503(c) are depressing reading, likely to arise. The grant method of ecoMr. President, the statistics deal with and I shall spare my colleagues the pain and I shall spare my colleagues the pain instrument of foreign policy and, in an un
nomic assistant * * * has been an essential the amount of money required to main and boredom of having to hear lengthy
and boredom of having to hear lengthy certain world, promises to remain so. tain some of the foreign soldiers in quotations from the unclassified version. Taiwan, South Korea, and elsewhere. In Suffice it to say that much of the latter is We were thus told that foreign aid addition to the arguments that I have devoted to a pedestrian defense of grant administrators expect to give grant aid already made against supplying support- aid—although the Mansfield amend
aid-although the Mansfield amend- as long as the world situation remains ing assistance, I stress the point that ment contemplated no such evasion in uncertain. Under such circumstances, those countries cannot support such directing that a specific plan be made
directing that a specific plan be made the American taxpayer might start lookarmaments. Their economies will not for ending that aid in recipient coun
for ending that aid in recipient coun- ing to the Almighty for relief, since he support them. We are supporting them. tries.
tries. That is what the Senator from would be unlikely to get it on this earth. It is better for the defense of the Montana was after, an ending of it, not
I do not want to minimize the imporUnited States and of those countries that a reshufiling and a continuation of it tance of the Mansfield amendment. they support armaments only large under a new semantic label of "support
under a new semantic label of "support. Without it I daresay we would have made enough to be supported by their own ing assistance.'
no progress at all. And we have made economies, and that we help them build Thus we read, for example, that:
some small progress. up their economies so that they in turn Against this background, the overall pur; duced the total of that assistance quite
On the face of it, we seem to have recan build up their defenses. We should poses of the defense support and special make loans to them for economic assistance programs are sound. * * To re- substantially. In fiscal year 1960, the projects.
duce or end the requirements for grant aid actual appropriations for defense support By maintaining these arms with sup
by altering or abandoning the goals of such and special assistance totaled $940 milporting assistance we are putting their
aid is a conceivable but not an acceptable lion. In contrast, the appropriation for whole economy on the American dole. approach.
supporting assistance in fiscal year 1963 It is degenerating and dissipating, and In other words, it is all right for the amounted to $395 million. That looks it has not encouraged them to build Congress to have conceptions, but the like real, if slow, progress. themselves up, but, rather, as a type of executive branch in its majesty and wis
CONGRESS MUST GO FURTHER international beggar, really, made them dom does not have to pay particular But stop a moment and consider the rely upon us. Furthermore, I point out attention to them.
end result. By the time the executive that in time of war they would be of The mistake we made in the Mansfield branch completed its normal mystificalittle help to us, because in addition to amendment was putting in the words tions—including recoveries, carryovers, our own war effort, we would have to “insofar as practicable” when we asked transfers, and uses of contingency