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A change of emphasis and perspective the Department and use its personnel organizations and on a reimbursable of this kind which would place what has facilities to the maximum extent prac- basis by other Government agencies. been a fringe activity into the center of ticable.

The Agency for International DevelopAID's policy is not easy to achieve. It Another example is the Department of ment itself must become less of a line would probably require some drastic the Interior, which has specialists in agency and more of a staff agency if the changes of organization and above all of many fields related to the economic de

many fields related to the economic de- foreign aid program is going to become procedures. Perhaps what is needed in velopment of the less-developed coun a more effective expression of American the first instance is a committee com- tries, such as erosion control, reclama- ideals and goals, and a better vehicle for posed chiefly of officers of AID, but in tion, and irrigation.

applying American skills and knowledge cluding some outsiders from some of the The U.S. Public Health Service is an- to the problems faced by the less-develother Government agencies in Washing- other example. It has the confidence of oped countries. ton as well as from both private business the American medical profession, and This has been a long and difficult deand other nongovernmental organiza long experience with medical fields of bate. It has produced mixed results, in tions such as some of the foundations to importance to the less-developed coun my opinion, but I hope the final result consider what changes of organization tries. Under my amendment the foreign will be a better foreign aid program. and procedure would help to increase aid agency was directed to utilize the There has been a great deal of critirapidly the effective encouragement Public Health Service, including the Na- cism during the past 3 weeks. By and which AID can give both to the employ tional Institutes of Health, in carrying large this has been useful and construcment of United States and international out vital programs in the international tive, as I am sure it was meant to be. nongovernmental institutions and enter

health field, which is so closely related I know that it will be received in a conprises for foreign aid on a large and in to the goals of our foreign policy and of structive manner by those responsible for creasing scale, as well as to the develop our foreign aid program.

administering the program. ment and creation of such institutions In offering the amendment I did not But debate in the Senate is something and enterprises among people abroad re intend to reduce the foreign aid agency like a family argument—it may give a ceiving foreign aid.

to the status of a contracting office. misleading impression about the true It may not be necessary, Mr. Presi The foreign aid program has to be op- state of affairs. Listening to the debates dent, to establish another committee. erated under the direction of the Secre one might wonder how committed the One of the problems is that we already tary of State and under the direct ad Senate is, not just to the present forhave too many committees, and that we ministration of the Administrator of eign aid program, but to the whole contake too long to do what needs to be AID. Nor was I proposing the establish- cept of foreign aid. For this reason, I done. But the proposal itself, and others ment of separate foreign aid offices by think it is important to end our deliberalike it, is worth considering.

any of the other departments or agen tions with a clear affirmation. It should be clear by now to all con cies of Government. My proposal was Let it be made clear to all the world cerned that some basic changes are going made with the recognition that all for

made with the recognition that all for- that the United States does not intend to to have to be made in the foreign aid eign aid activities of other Government

eign aid activities of other Government abandon its foreign aid program. program in the very near future. One agencies and departments should be con

The United States is deeply commitof the changes most urgently needed is ducted under the supervision and direc- ted to the development of a free and the increased use of non-Government tion of the Department of State and the

prosperous community of nations. agencies, together with greater use by Agency for International Development.

The United States has supported forAID of other Government agencies and In short, Mr. President, the Humphrey eign aid for 15 years as a vital instrudepartments.

amendment of 1961 was designed to ment for bringing into being this free This was the purpose of the Humphrey strengthen AID both by enabling the

strengthen AID both by enabling the community of nations. amendment to the new Foreign Assist Agency to maintain as small a staff as

Let there also be no misunderstandance Act of 1961, which was adopted and possible, and to provide maximum re

ing of the meaning of this debate in the became part of section 621 of the act. sources for the foreign assistance pro- Senate. My amendment, which I called the gram by making use of all available

The Senate wants the foreign aid protechnical-services-for-peace amend talent and facilities in the Government ment read as follows: and throughout the country.

gram to be improved, to be sharpened, to

Section 621 has now been amended by is not turning its back on the foreign aid In providing technical assistance under

be made more effective; but the Senate this act in the field of education, health,

the Senate to read as follows: housing, or agriculture the head of any such

program. The Senate is attempting to

In providing technical assistance under agency or such officer shall utilize, to the

criticize constructively, not for the purthis Act, the head of any such agency or such fullest extent practicable, the facilities and officer shall utilize, to the fullest extent pose of tearing down, but in order to resources of the Federal agency or agencies practicable, goods and professional and other build a program which will better serve with primary responsibilities for domestic services from private enterprise on a contract the great principles of freedom and progprograms in such field.

basis. In such fields as education, health, ress for which it stands. The Humphrey amendment called housing, or agriculture, the facilities and

This, the building of a better foreign resources of other Federal agencies shall be upon AID to utilize other agencies to the

aid program, is the task before us as utilized when such facilities are particularly "fullest extent practicable" in carry

we turn from the mistakes and the or uniquely suitable for technical assistance, ing out the foreign aid program. My ob are not competitive with private enterprise, achievements of the past to the challenge jective, as I said at the time, was to en and can be made available without interfer- of the future. The critics have had their list the best personnel and the finest ing unduly with domestic programs.

day. Now let us, critics and all, reaffirm facilities available, not just in the U.S.

I supported this additional language our support for foreign aid, and unite in Government itself, but in the entire

to my amendment of 1961 in order to our determination to make it work. country, in effectuating the purposes of make it crystal clear that Congress wants

Mr. President, I have a memorandum the foreign aid program.

the foreign aid agency to make greater from the acting chief of staff of the ForRather than enlisting new personnel use of other Government agencies and eign Relations Committee setting forth and building up a large new body of pub of all available U.S. public groups and the major amendments to the foreign aid lic servants, the foreign aid agency un organizations in carrying out the foreign bill—S. 1276—which were adopted by the der my amendment, was directed to rely aid program.

Committee on Foreign Relations. as much as possible on the expertise and As changes and improvements in the In addition to these amendments made staffs of the existing departments and foreign aid program are considered, Mr. by the committee, of course, other agencies of the Government which had President, ways of implementing the de- amendments have been adopted during already developed competence in par sire of Congress to have greater use made debate on the floor. ticular fields. For example, the Depart of the full resources of the Government The memorandum provides ample eviment of Agriculture has more compe and of the great public organizations dence of the great amount of care and tence in the field of conservation, land and private groups of this country must attention given the foreign aid bill by reform, and certain areas of agricultural be given top priority.

the Committee on Foreign Relations. It redevelopment than any group of peo It is essential for more of the foreign also is a useful compendium of the action ple that we could bring quickly into the aid program to be carried out on con- taken by the committee on policy quesagency. Therefore we should call upon tract with public and private groups and tions affecting the foreign aid program.

I ask unanimous consent that the petence, the capacity of a country to main through the forcible overthrow of a prior memorandum be printed at this point in tain a reasonable balance between popula- government which has been chosen in free the RECORD.

tion and resources is a vital factor in its and democratic elections unless the President There being no objection, the memo

prospects for successful economic develop- determines that withholding such assistrandum was ordered to be printed in the less-developed countries rapid population

ment. It is a well-known fact that in many ance would be contrary to the national inRECORD, as follows:

growth has substantially or entirely negated The committee's comments on this amendMEMORANDUM TO SENATOR HUMPHREY FROM

the benefits of U.S. economic assistance. ment (pp. 17–18) are as follows: PAT HOLT Even in some countries where economic “The committee has been gravely con

cerned over the number of elected governSet forth below are the major amendments growth has been impressive, per capita into the administration's foreign aid bill

come levels have remained virtually stag ments in Latin America which have been (S. 1276) which were adopted by the Com

nant as a result of mushrooming increases overthrown by force in recent months. mittee on Foreign Relations. in population.

“The forcible overthrow of duly elected 1. The following new paragraph was added

"Substantial progress has been made in governments is a step entirely out of harto the statement of policy:

recent years in defining the preconditions of mony with the principles of the inter-Ameri"It is the sense of the Congress that as

economic growth. To a great extent our can system and of the Alliance for Progress. sistance authorized by this act should be ex

economic assistance has been refocused on It is difficult to see how the economic and tended to or withheld from the Government those countries which have largely fulfilled social goals of the Alliance can be achieved of South Vietnam, in the discretion of the

these preconditions. The one vital criterion in the face of such political instability. President, to further the objectives of victory

of successful development which has been Thus, assistance furnished to irregular govin the war against communism and the re neglected is that of population control. The ernments is unlikely to accomplish the purturn to their homeland of Americans in purpose of the committee's amendment to poses of the Alliance for Progress. volved in that struggle."

title V of the act is to encourage research "Furthermore, such assistance may very The committee report states (p. 8):

into appropriate measures to correct this well encourage ambitious militaristic forces "This new paragraph reflects the commitomission."

elsewhere in the hemisphere to believe that tee's conviction that stabilization of the po 4. With regard to your amendment relat they too can carry out coups d'etat with litical situation in Vietnam is of the utmost ing to aid to Latin American cooperatives, impunity and continue to receive American importance for winning the war against the

the committee report (p. 17) states as aid and otherwise to participate in the AlCommunist guerrillas. The committee takes follows:

liance for Progress. It is important that note of the fact that there is still pending “The committee has long been impressed vigorous steps be taken to dispel this danbefore it Senate Resolution 196 calling for with the constructive role which cooperatives gerous delusion. The Alliance for Progress discontinuance of aid to South Vietnam can play, not only in promoting economic is threatened from both left and right in unless the Vietnamese Government puts growth, but also in contributing to the

Latin America. The United States has gone needed reforms into effect. If the political democratic development contemplated by the to considerable lengths to protect the Allisituation in South Vietnam deteriorates Alliance for Progress. In order to give spe ance from the threat from the left reprefurther to the detriment of the war effort, cial emphasis to the importance which the

sented by Castroite subversion and infiltrathe committee will be disposed to give committee assigns to the role of cooperatives,

tion. It is equally important that the further consideration to the more drastic special provision is made in this bill for the Alliance be protected from the threat from steps called for by Senate Resolution 196.” use of certain foreign currencies available to the right represented by the forces of the 2. A new subsection was added to section the United States in Latin America to assist

ultraconservative traditional oligarchies. 201, relating to the Development Loan Fund, the cooperative movement.

"Finally, there is at stake here the crediwhich reads as follows:

"First, a new subsection is added to sec

bility of the United States, whose ambassa"No assistance shall be furnished under tion 251 of the act, which contains the gen

dors, speaking for this Government, have this title unless the President determines eral authority for the Alliance for Progress. repeatedly warned Latin American military that the project for which such assistance is This new subsection provides that the Presi

leaders that the United States would look requested is taken into account in the eco dent 'shall, when appropriate, assist in pro

with disapproval on the overthrow of constinomic development of the requesting coun moting the organization, implementation

tutional governments. If our word is to be try, including an analysis of current human and growth of the cooperative movement in

believed in the future, we must follow and material resources, together with a pro Latin America as a fundamental measure

through on these warnings by concrete steps jection of the ultimate objectives of the toward the strengthening of democratic in to express disapproval.” country, and specifically provides for appro stitutions and practices and economic and

“For these reasons, the committee has priate participation by private enterprise.” social development under the Alliance for adopted an amendment which prohibits any According to the committee report (p. 8): Progress.'

assistance under the Foreign Assistance Act "The amendment is designed to insure "Second, a new provision is inserted in to any country in the Alliance for Progress that the projects for which development section 253 of the act, which relates to Al 'in which the government has come to power loans are made are directly relevant to eco liance for Progress fiscal provisions, to make through the forcible overthrow of a prior nomic development, and especially that such foreign currencies available for this pur government which has been chosen in free projects can be supported by the borrowing pose. The foreign currencies involved are and democratic elections. There is an excountry's available human and material re those which have accrued as a result of loans ception to this prohibition in cases in which sources. The committee hopes through which are repayable in foreign currencies. the President determines that withholding this amendment to avoid situations in which Most of these loans were made by the de assistance would be contrary to the national loans are made for projects beyond the tech- velopment loan fund between 1958 and 1961. interest. This exception is included because nical and managerial capacities of the bor Since the latter date, all development loans the committee believes that the President rowing country.

have been repayable in dollars. However, as should have flexibility in utilizing the foreign "It is also the intention of this amendment a result of earlier development loans, the aid program as an instrument of American to encourage the greatest feasible participa- United States now has about $7 million in foreign policy. It is also included because, tion of private enterprise in such projects, Latin American currencies. This amount is although the committee strongly disapproves where appropriate."

expected to increase, as a result of repay of the overthrow of constitutional govern3. A new subsection (b) was added to sec ments, to about $60 million over the next ments, the committee does not consider itself tion 241, relating to development research,

5 years.

The President is authorized to re wise enough to foresee clearly every situawhich reads as follows:

serve up to $25 million of these currencies tion which may arise in the future.” "Funds made available to carry out this in any fiscal year for loans to cooperatives. 6. The committee reduced from $57.5 to section may be used to conduct research in These funds will be available for this pur $50 million the limitation in the existing law to the problems of controlling population pose without regard to section 612 of the (sec. 511(a)) on the total value of grant growth and to provide technical and other act, or of any other act which makes foreign programs of defense articles for the Ameriassistance to cooperating countries in car currencies available only as specified in ap can Republics. In addition, the committee rying out programs of population control.” propriation acts.

bill authorizes the use of $25 million to this The committee report (p. 14) states:

“The foreign currencies to which this amount for assistance to an international “Because of the profound impact of popu- amendment applies can be used not only for military force under the control of the Orlation growth on economic development, loans to individual cooperatives but also to ganization of American States. the committee considers it appropriate to provide seed capital, should that prove de The committee report states: provide explicit authority for the conduct sirable, to a central inter-American coopera “Both of these changes are a reflection of of research and technical assistance activi tive finance institution for relending." the committee's growing concern over the ties in this field. It is the view of the 5. A new section 254 was added to title scope and nature of the military assistance committee that population growth must VI, relating to the Alliance for Progress, program in Latin America. In the past, the be regarded as a critical factor in the devel which reads as follows:

committee has sought to encourage the foropment prospects of countries which receive "RESTRICTIONS ON ASSISTANCE.- None of the mation of an OAS military force which could development assistance from the United funds made available under authority of perform peacekeeping functions in the hemStates."

this Act may be used to furnish assistance isphere. The committee is aware of the “No less than general education and tech to any country covered by this title in problems involved in the organization of nical, administrative, and managerial com which the government has come to power such a force, but it is disappointed that the

officials with responsibility in this area have cance, the shipment of which is embargoed graphs fails to provide 'equitable and speedy not shown as much ingenuity in finding ways to the Communist bloc under title I of the compensation for such property in conto bring such a force into being as they have Battle Act.

vertible foreign exchange.' This is changed in finding reasons why the proposal is im “Assistance is also prohibited if the coun so as to require 'speedy compensation for practical."

try concerned, through failure to take ap such property in convertible foreign ex7. The committee adopted an amendment propriate steps, permits the carriage of any change, equivalent to the full value thereof.' to section 601, relating to the encouragement other equipment, materials, or commodities “The bill also adds a provision which auof free enterprise and private participation, to or from Cuba, unless the President deter thorizes the Foreign Claims Settlement Comwhich directs the President to take appro- mines that the furnishing of assistance is mission, upon request of the President, to priate steps to discourage nationalization, important to the security of the United evaluate property which has been exproprietc., of private investment and discrimina States and reports such determination to the ated or subjected to other discriminatory tory or other actions which might impair Foreign Relations and Appropriations Com

actions and to make an advisory report to the climate for new private investment. mittees of the Senate and the Speaker of the the President. The Commission is to act The committee report (p. 27) states as House.

within 90 days of the President's request. follows:

“Countries receiving assistance have 60 Its advisory report is to be made available to "The main point involved here is that, days after the enactment of the Foreign As the owner of the property, but is not to be aside from legal problems and questions of sistance Act of 1963 to take appropriate steps. otherwise published unless authorized by compensation, nationalization is unwise The prohibition applies so long as Cuba is the President. Appropriations, as may be from a purely economic point of view if it governed by the Castro regime or any other necessary, are authorized to enable the Comdiverts resources from other more produc Communist regime, and the prohibitions may mission to carry out this new function. tive purposes and if it results in discourage not be waived pursuant to any other author "In view of the injection of the Commisment of new private investment. The ques ity or law. In the case of nonstrategic mate sion into the process, the provisions of the tion of compensation for nationalized prop rials, the prohibition does not apply with present law relating to the deadline for erty is not directly related to this limited respect to the fulfillment of firm commit suspension of assistance are amended. The point and is dealt with in section 620(e) of ments made by the United States prior to the deadline is now 6 months after the exprothe act.

date this bill becomes law. Neither does the priation or other discriminatory action. “The law already contains many provi- prohibition apply to military sales which are The bill retains this deadline, but provides sions emphasizing that the foreign assist made by the United States under the Foreign that, in case the matter is referred to the ance program should be administered as Assistance Act. These sales, mainly to West Foreign Claims Settlement Commission, the far as possible through normal commercial ern Europe, amount to about $1 billion a year, deadline is to be 20 days after the report of channels of trade and through private facili and are an important plus factor in the the Commission is received. If the Presities. This is not only in keeping with tra U.S. balance of payments.

dent does refer the matter to the Commission, ditional American methods, but as a gen “The committee regards this amendment he must do so soon enough so that the eral rule is both cheaper and more efficient. as another step to isolate further the Castro matter can be settled within the overall 6Particularly in the field of major engineer- regime in Cuba. Substantial progress has month time limit. ing services, the committee hopes that AID been made in this direction, but the com Finally, the existing law provides only will avail itself more of the services of pri- mittee is disappointed that a few countries for the termination of assistance furnished vate firms and will not try to build up its continue to receive assistance from the under the Foreign Assistance Act of 1961, own engineering staff to the degree that United States while their ships continue to as amended. The committee bill provides would be required if all of AID's engineer carry goods to and from Cuba, thereby light also for the termination of assistance under ing work were done by AID personnel.” ening the burden which Cuba represents to any other act, in the circumstances de

8. The committee amended section 612, the Soviet Union and contributing to the scribed by section 620(e). This would exwhich relates to the use of foreign curren sustenance of the Castro regime.”

tend the sanctions of the section to such cies, to make these currencies available, in 10. The committee made several changes activities and agencies as Public Law 480, certain cases, for sale to U.S. citizens for in the Hickenlooper amendment (sec. 620 the Export-Import Bank, and the Peace travel or other purposes.

(e)) which requires suspension of assist- Corps. The committee report (p. 28) explains this ance in cases where American property has “The committee has been gratified by the amendment as follows:

been expropriated without prompt and ade experience under section 620(e) since it was “Foreign currencies accruing under Pub quate compensation.

made a part of the law last year. At least lic Law 480 are already available for sale

The committe report (pp. 29-30) explains one major expropriation case has been setto American tourists under the provisions of these changes as follows:

tled which, in the committee's judgment, section 104(s) of that law in appropriate "The existing law covers not only national probably would not have been settled in the circumstances. The amendment in this bill

ization, expropriation, and seizure of owner absence of section 620(e). Several other to section 612 of the Foreign Assistance Act ship or control, but also discriminatory taxes, expropriations or discriminatory actions have will also make available foreign currencies

other exactions, and 'restrictive maintenance been avoided. In only one case has the secaccruing as a result of the foreign aid pro

or operational conditions, which have the ef tion operated to suspend assistance. gram. These foreign assistance currencies

fect of' nationalization, expropriation, or “The revisions which the committee now will be available, not only for tourists, but seizure of control. This is broadened to in

proposes tighten the existing law somewhat, for other uses by U.S. citizens.

clude 'other actions' having the same ef broaden its provisions, and provide the Pres

fect. "The amendment applies only to those

ident, in his discretion, with the resources foreign currencies which are in excess of the

“The committee has added the phrase and experience of the Foreign Claims Settle

'other actions' because it has been concerned needs of the U.S. Government and which

ment Commission.” are not prohibited from sale to U.S. citizens over recurring reports of actions which cer

11. The committee added a new subsection or committed to other uses by prior agreetain governments are either proposing or

to section 620 which provides: ments with the other country concerned. initiating and which can perhaps best be de

“No assistance shall be furnished on a The dollars received from the sale of these

scribed as creeping expropriation. These currencies will be deposited in the Treasury ly high taxes which are perhaps not disother actions include, for example, unusual

grant basis under this Act to any economi

cally developed nation capable of sustaining as miscellaneous receipts.

its own defense burden and economic growth, "To the extent that excess foreign cur

criminatory in a technical sense but which
are tantamount to confiscation or which at

except (1) to fulfill firm commitments made rencies can be sold to U.S. citizens for dolleast raise a serious question of their con

prior to July 1, 1963, or (2) additional orienlars, to pay for the foreign travel or other

tation and training expenses under paragraph fiscatory effect. The committee intends for activities of those citizens, the balance-ofconfiscation to be construed broadly and not

II hereof during fiscal year 1964 in an amount payments position of the United States will

not to exceed $1,000,000.” in a narrow technical sense. be improved. This is the purpose of this “The committee has also been concerned

The committee report (p. 30) states as amendment." about the attitude which certain foreign

follows: 9. The committee approved an amendgovernments have taken toward existing con

“Grant assistance to developed countries ment to section 620(a) which prohibits astracts with American companies, even

has been substantially reduced and in many sistance to the present Government of Cuba though these contracts may have been nego

cases eliminated, but the process has not gone and to any country furnishing assistance to tiated several years ago in good faith by an

as fast as the committee thinks it should. that Government.

eariler regime. To meet this problem the The committee recognizes, however, that The committee report (pp. 28–29) explains committee has added a new subparagraph there are some cases of prior commitments, the new language as follows:

which brings section 620(e) into play when- mainly in regard to military assistance, which “The main purpose of the bill's amend ever a foreign government- 'has taken steps have not yet been entirely fulfilled. These ment to section 620(a) is to deal with the to repudiate or nullify existing contracts or include, among others, a military assistance problem of free world shipping in the Cuban agreements with any United States citizen or cost-sharing agreement with Norway. trade. The bill prohibits assistance (except any corporation, partnership, or association “The committee also recognizes the value under sec. 214) to any country which, by not less than 50 per centum beneficially of limited military orientation and training failing to take such steps as are appropriate, owned by the United States citizens'.” programs for officers of developed countries. permits ships or aircraft under its registry "Under the existing law, assistance is sus These programs are an important factor in to carry to or from Cuba any military person pended when a country which has taken sales of military equipment amounting to nel, or any items of primary strategic signifi- the actions described in the preceding para- approximately $1 billion a year, and are in

reality a business expense' of the Defense of disbursement, and repayment on an The committee report (p. 41) reads as Department. The amendment makes an amortized basis will be required within 30 follows: exception for programs of this nature. Fur years after the grace period. Loans which “The committee adopted an amendment ther, it will not preclude financing of mili may be made to the International Develop to section 106 of Public Law 480 (the Agritary training and orientation courses by the ment Association under authority of section cultural Trade Development and Assistance Defense Department under other appropria- 205 are exempt from these new terms. Act of 1954) to make it possible to include tions if considered desirable and possible.

"Although the amendment adopted by the fish in the food-for-peace program upon a "The question arises as to what is an 'eco committee represents a substantial harden finding by the Secretary of the Interior that nomically developed nation capable of sus ing of loan terms compared to current U.S. a domestically produced fishery product is in taining its own defense burden and eco practice, the terms required by the committee excess of domestic requirements, adequate nomic growth. The committee believes this amendment are still substantially softer carryover, and anticipated exports for dolto be a matter of reasonable judgment. The than those offered by any other free world lars. The amendment applies only to titles amendment is intended to cover the coun capital exporting country. This was one of I and IV of Public Law 480, and will theretries of Western Europe, among others.

the reasons which led the committee to adopt fore not make fish available for grant pro"In view of the specific U.S. base rights in the amendment. The committee is encour grams under title II. For purposes of title Spain and Portugal the committee does not aged by recent moves on the part of some I, which authorizes sales for foreign curintend this amendment to apply to these two Western European countries, particularly rencies, the amendment will become effective countries. However, the committee the United Kingdom, to reduce interest rates January 1, 1965. strongly of the view that the United States and lengthen maturity. The executive "There have been occasions when foreign has been generous in its grants-in-aid to branch should take every opportunity to governments have asked for canned fish Spain and Portugal and that in the future urge our European friends to do even more products under the food-for-peace program these programs should be progressively rein this respect.

to supply protein deficiencies. This amendduced with a view toward termination.

"Another reason the committee adopted ment will make it possible to meet these re"Neither does the committee intend the this amendment is that it felt it could no

quests to the extent that fishery products amendment to apply to NATO cooperative longer justify three-fourths of 1 percent, 40 may be in surplus. The amendment will put enterprises involving the furnishing of mili- year loans in view of the U.S. budgetary and fish on the same basis as frozen beef, canned tary and technological information, licenses balance-of-payments position. The higher pork, canned hams, variety meats, and fruit. of Government owned or controlled inven- interest rates and shorter maturity required “The effective date for purposes of title I tions, and liaison by members of the Armed by this amendment will serve to reduce the is postponed until January 1, 1965, because Forces.”

long-term cost of the foreign aid program to the present authority under title I extends 12. The committee also added a new sub the United States.

through December 31, 1964, and was insection to section 620 which provides:

"It should be made clear that the terms tended to include only surplus agricultural “No assistance under this Act shall be fur fixed in this amendment are minimum products at the time it was enacted.” nished for projects establishing or otherwise terms. In cases in which the borrowing assisting Government-owned manufacturing, country's capacity to repay permits, loan

The PRESIDING OFFICER. The utility, merchandising, or processing enter terms should be more realistic and should

bill having been read the third time, the prises in any country or area, except where it more nearly reflect, insofar as possible, the question is, Shall it pass? On this quesclearly appears that goods or services of the actual cost of the loan to the United States. tion the yeas and nays have been ordered, same general class are not or cannot be ade Furthermore, the committee expects the and the clerk will call the roll. quately provided by private businesses lo executive branch to include renegotiation cated within such country or area.”

The legislative clerk proceeded to call provisions in loan agreements so that in

the roll. The committee report (pp. 31–32) states terest rates may be raised as the economy that the committee agrees with the con of the borrowing country improves.

Mr. CARLSON (when his name was clusion of the Clay Committee that the "Historically, U.S. aid policy has evolved called). I have a live pair with the United States should not aid a free govern from a program of almost all grants through senior Senator from Nebraska [Mr. ment in establishing government-owned in

a program of soft loans repayable in for HRUSKA). If he were present and dustrial and commercial enterprises which eign currencies into a program of dollar re voting, he would vote “nay.” If I were compete wtih existing private endeavors.

payable loans. The amendment made by The committee report adds:

at liberty to vote, I would vote "yea.” I this section will carry this evolution a step “At the same time, the committee realizes

therefore withhold my vote. further." that there are instances in which needed

Mr. JOHNSTON (when his name was

14. The committee approved an amendgoods or services either are not or cannot be ment to section 635, relating to general au

called). On this vote I have a pair with adequately provided by private businesses. thorities, which provides:

the Senator from South Dakota [Mr. In such instances, it may be appropriate to assist in the establishment of government

(1) No loan or grant in excess of $100, McGOVERN). If he were present and owned enterprises. The question of what is

000,000, and no agreement obligating or voting, he would vote "yea." If I were

committing the United States to make a loan 'adequate' is a matter of judgment and will

at liberty to vote, I would vote “nay." I have to be determined in individual cases by financing of any particular project shall be or grant in excess of $100,000,000, for the

withhold my vote. the responsible officials of the executive

Mr. LONG of Missouri (when his name made or entered into under part I unless branch. The committee intends the word

such loan, grant or commitment shall have was called). On this vote I have a pair to be construed so as to promote the most

been specifically submitted to the Congress with the Senator from Louisiana (Mr. efficient use of limited resources for invest

and specifically approved by Congress." LONG]. If he were present and voting, ment in projects designed to contribute to economic growth. The committee notes in

The committee report (p. 36) states:

he would vote “nay." If I were at libaddition that relatively little assistance has

“This amendment is designed to assure erty to vote, I would vote "yea." I within fact been extended by AID to government advance congressional review of these large

hold my vote. owned enterprises competing with private projects.

Mr. TALMADGE (when his name was firms, but the committee felt it desirable to

"There are not, in fact, many individual

called). On this vote I have a pair with make certain as nearly as possible that this projects of this magnitude. Where one is does not occur in the future.” seriously proposed, its magnitude alone would

the senior Senator from West Virginia 13. The committee adopted an amendindicate the most careful review in which

[Mr. RANDOLPH]. If he were present and ment relating to interest rates on loans Congress should specifically participate. voting, he would vote "yea.” If I were which is explained in the report (pp. 34-35) “It should be emphasized that the amend at liberty to vote, I would vote "nay." I as follows:

ment applies only to individual projects. It therefore withhold my vote. “The committee bill contains an amend does not apply to programs. The distinction Mr. WALTERS (when his name was ment which fixes minimum terms for loans is that the program in a country might em

called). On this vote I have a pair with made under part I, which deals with eco brace a number of individual projects, each

the Senator from Louisiana [Mr. ELnomic assistance. The existing law leaves of which would be less than $100 million al

LENDER). If he were present and voting, the question of these terms to the discre- though collectively they might total subtion of the President, and under current stantially in excess of that amount.

he would vote “nay.” If I were at liberty practice the softest terms are three-fourths "Neither would the amendment apply to

to vote, I would vote "yea." I therefore of 1 percent interest and a maximum matur- individual projects which are financed by an withhold my vote. ity of 40 years, with a grace period of 10 years international consortium if the U.S. share of Mr. YOUNG of North Dakota (when as to repayment of principal.

the financing is less than $100 million, even his name was called). I have a pair with "Under the terms of the amendment though the total cost of the project is in the junior Senator from Washington adopted by the committee the minimum in excess of that."

[Mr. JACKSON). If he were present and terest rate will be three-fourths of 1 percent 15. The committee adopted an amendfor the first 5 years and 2 percent thereafter. ment to include fish products within the

voting, he would vote "yea." If I were “The grace period on repayment of princi definition of a “surplus agricultural com

at liberty to vote, I would vote “nay." I pal will be reduced to 5 years from the date modity."

withhold my vote.

Mr. HUMPHREY. I announce that Mr. FULBRIGHT. Mr. President, I quence, except for the first two menthe Senator from New Mexico (Mr. move to reconsider the vote by which tioned. ANDERSON), the Senator from Louisiana the bill was passed.

There will be no further votes today. [Mr. ELLENDER), the Senator from Wash Mr. HUMPHREY. Mr. President, I There is one little bill to be considered. ington (Mr. JACKSON], the Senator from move to lay that motion on the table. That is about it. Louisiana (Mr. LONG], the Senator from The motion to lay on the table was Washington [Mr. MAGNUSON], the Sen agreed to. ator from South Dakota [Mr. McGov Mr. FULBRIGHT. Mr. President, I COMMITTEE MEETING DURING THE ERN), the Senator from Utah [Mr. ask unanimous consent that the Secre SESSIONS OF THE SENATE NEXT Moss), and the Senator from Mississippi tary of the Senate be authorized, in the WEEK [Mr. STENNIS) are absent on official busi engrossment of the Senate amendment

Mr. MANSFIELD. Mr. President, in ness.

to H.R. 7885, to make certain technical view of the unusual procedure underI also announce that the Senator from changes, correct any grammatical er- taken by the Senate this afternoon, and California [Mr. ENGLE] is absent be rors, and make changes in section num

with the full concurrence of the minorcause of illness. bers.

ity leader, I ask unanimous consent that I further announce that the Senator The PRESIDING OFFICER. With

the Committee on Banking and Curfrom West Virginia [Mr. RANDOLPH] is out objection, it is so ordered.

rency be authorized to hold hearings on necessarily absent.

Mr. FULBRIGHT. Mr. President, I the Mundt bill during the sessions of the On this vote, the Senator from Utah ask unanimous consent that the bill be

Senate next week. [Mr. Moss] is paired with the Senator printed showing the Senate amendment.

The PRESIDING OFFICER. Withfrom Mississippi (Mr. STENNIS). If pres The PRESIDING OFFICER. With

out objection, it is so ordered. ent and voting, the Senator from Utah out objection, it is so ordered. would vote “yea,” and the Senator from Mr. FULBRIGHT. Mr. President, I Mississippi would vote “nay." move that the Senate insist on its

THE MEXICAN FARM LABOR I further announce that, if present amendment and request a conference

PROGRAM and voting, the Senator from California

with the House of Representatives there[Mr. ENGLE] and the Senator from on, and that the Chair appoint the con

Mr. MCCARTHY. Mr. President, on Washington (Mr. MAGNUSON] would each

October 31, the House approved a 1-year ferees on the part of the Senate. vote "yea.”

The motion was agreed to; and the extension of the Mexican farm labor Mr. KUCHEL. I announce that the Presiding Officer appointed Mr. FUL

bill. The House version eliminates the Senators from Nebraska (Mr. CURTIS and BRIGHT, Mr. SPARKMAN, Mr. HUMPHREY,

language which was adopted when the Mr. HRUSKA) are absent on official busiMr. HICKENLOOPER, and Mr. AIKEN con

Senate passed on this legislation on ness. ferees on the part of the Senate.

August 15. The bill which passed the The Senator from Kentucky [Mr.

Senate provided minimal protection for MORTON] and the Senator from Dela

American migrant workers. It is my ware (Mr. WILLIAMS] are necessarily


understanding that Senators who opabsent.

posed the reforms which were included

Mr. The pair of the Senator from Nebraska

DIRKSEN. Mr. President, I in the Senate bill will move to bypass [Mr. HRUSKA) has been previously an

should like to ask the majority leader taking this measure to conference, and

about the schedule for the remainder of plan to move to have the Senate concur nounced. On this vote, the Senator from Kenthe day, and also for next week.

with the House language when that bill tucky [Mr. MORTON] is paired with the ORDER FOR RECESS TO MONDAY NEXT is brought up before the Senate on Senator from Nebraska (Mr. CURTIS]. Mr. MANSFIELD. Mr. President, in Monday. If present and voting, the Senator from response to the question raised by my It is my opinion that the bill should Kentucky would vote "yea," and the Sen distinguished friend, the minority lead- go to conference. In the course of the ator from Nebraska would vote "nay." er, I ask unanimous consent that when consideration of the proposed legislation

The result was announced-yeas 63, the Senate recesses today, it recess to in August, 2 or 3 days were spent in nays 17, as follows:

meet at 12 o'clock noon, Monday next. debate. Three or four yea-and-nay [No. 239 Leg.]

The PRESIDING OFFICER. With- votes were held on the question of YEAS—63 out objection, it is so ordered.

whether American migrant workers were Aiken Fulbright Metcalf

Mr. MANSFIELD. Mr. President, I to receive the same protection under the Allott Gore Miller

ask unanimous consent that Calendar law that the Mexican farm laborers are Bartlett

Gruening Monroney No. 621, S. 1561, be laid before the Sen- afforded. The Senate, by a single vote, Bayh Hart Muskie

ate and made the pending business. It after long debate and a series of yeaBeall Hartke


is anticipated that it will pass very short- and-nay votes, determined that these Brewster Hickenlooper Pastore

ly. I understand there is no objection protections should be written into the Burdick Hill Pearson to it.

law. Byrd, W. Va. Holland

Humphrey Prouty

Then we shall take up Calendar No. It will be argued, of course, that be-

609, H.R. 7431, the District of Columbia cause the majority was a simple one of Church Javits Ribicoff

appropriations bill, which will be the Clark Keating Saltonstall

one vote, it is more or less meaningless, Cooper Kennedy Scott

pending business, to be considered on and, secondly, that we should surrender Cotton Kuchel Smathers Monday.

to the House of Representatives, I asDirksen Lausche

Mansfield Sparkman

There will be no further votes today. sume, if we do have a conference, even Dominick McCarthy Symington

So far as the remainder of the sched- before the conferees reach the rotunda. Douglas McGee

Williams, N.J. ule is concerned, on Monday it is ex At least this would have been a test by Edmondson McIntyre Yarborough McNamara Young, Ohio

pected that the District of Columbia way of representing the Senate's position NAYS17

appropriation bill will be followed by in a contest with the House. Bennett Jordan, N.C. Robertson

Calendar No. 614, H.R. 6001, the Wauke The proposal will be made that we Bible Jordan, Idaho Russell

gan bill; Calendar No. 617, S. 298, and not even go to conference and attempt Byrd, Va. McClellan Simpson

Calendar No. 618, S. 1309, the small some kind of accommodation or reconEastland Mechem Thurmond Ervin Morse

business bills; also the braceros bill; the ciliation. In my opinion, the appropri

Tower Goldwater Mundt

conference report on the legislative ap- ate procedure in handling this measure, NOT VOTING-20

propriations bill; H.R. 8747, the inde- involving a significant difference beAnderson Johnston Randolph pendent offices appropriation bill; and tween the House and Senate versions, Carlson Long, Mo. Stennis

the air pollution bills H.R. 6001 and is to hold a conference. Curtis Long, La. Talmadge

S. 432. Ellender

In the course of the debate on the Magnuson Walters Engle McGovern Williams, Del.

S. 2265, the library service bill will foreign aid authorization bill and other Hruska Morton Young, N. Dak. also be brought up next week.

measures which have recently been beJackson Moss

Those bills will be brought up next fore the Senate, the argument has been So the bill (H.R. 7885) was passed. week, but not necessarily in that se- strongly made that the House position


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