happy to join in sponsoring this legislation, and hope that Congress will give it prompt and favorable consideration.

CONCLUSION

Mr. CURTIS. Mr. Speaker, I wish to conclude this special presentation by thanking the 43 Republican Members of the House who have joined me in introducing this legislation, and especially the 35 Members who have contributed so much to the success of this presentation with their remarks today.

On behalf of all the House sponsors, I also wish to express my appreciation for the very helpful cooperation many of us have received from Republican Senator WINSTON L. PROUTY, of Vermont, who conceived legislation to apply the tax-credit principle toward the expenses of job training by private industry.

Mr. Speaker, I have rarely seen so much instantaneous enthusiasm among my colleagues for a new concept in legislation as that which has attended the Human Investment Act. This measure is an important initiative toward finding new solutions to one of our most critical problems. I commend it to Members of Congress, and sincerely hope that the appropriate committees invest a good deal of time and interest in evaluating what I believe to be its very great potentialities.

Mr. ANDERSON of Illinois. Mr. Speaker, I am pleased to associate myself with the efforts that have been announced here on the floor of the House today to provide an incentive to American business to invest in the improvement of the Nation's human resources by hiring, training, and employing presently unemployed workers lacking needed job skills, and by upgrading the job skills of and providing new job opportunities for workers presently employed.

I have joined in cosponsoring the Human Investment Act. It would provide for a 7-percent tax credit to an employer toward certain of his employee training expenses. Among the expenses specifically named are those relating to apprenticeship training, on-the-job training under the Manpower Development and Training Act, cooperative workstudy programs, and tuition refund and organized group instruction payments by employers.

Just as the 7-percent Investment Credit Act contributed to the economic expansion in the private sector of our Nation's economy, this 7-percent tax credit which we propose in our Human Investment Act will give important recognition to the fact that America's greatest natural resource is "human capital." Our proposal will provide an impetus to the efforts that are being made to try and close the gap between the technological and manpower needs of the Nation. Indeed, what we propose would go a long way to encourage private business, both large and small, to invest in upgrading the job skills of the Nation's labor force. It would also place the responsibility for increased job training where it belongs; namely, on the Nation's greatest job trainer, our private enterprise system.

Certainly with the enactment of such a proposal, I think we can foresee such benefits as advancement of individuals to better jobs through more training. Also, those now unemployed because of inadequate skills, could be hired to take their place. The Human Investment Act offers new hope, too, to workers whose jobs are threatened by automation or by

economic dislocations.

Mr. Speaker, because this bill would use the tatx-credit approach, it would result in a temporary loss of general revenues to the Federal Government but this loss would be diminished as a result of the increased earning capacity of the individual and greater economic growth. Rather than see a lot of spending of dubious value by the Federal Government, I would prefer to see such a meritorious program of tax credits enacted into law. Authoritative sources predict that the gross national product of the United States would advance to $870 billion by 1970. If those predictions materialize, then such a gross national product would mean Federal revenues of some $165 billion with tax rates at their present levels. This is about $50 billion above that for fiscal year 1965, just ended.

In conclusion, I want to urge my colleagues on the Committee on Ways and Means to give early and favorable consideration to a proposal as meritorious as this, which can reasonably be expected to play such a vital role in spurring our Nation's economy on to new heights.

Mr. REINECKE. Mr. Speaker, it gives me great pleasure to be able to join with so many of my Republican colleagues in introducing this important legislation, the Human Investment Act of 1965.

Charles Hanna, who is chief of the division of apprentice standards for the California Department of Industrial Relations, has aptly written:

The relationship between training and employment is of special concern to the State of California, where in spite of unprecedented economic growth unemployment has held stubbornly at near 6 percent, California's industrial base is becoming increasingly technical. More and more of our industry is directed to defense, to electronics, and aerospace research and development. California needs and will continue to need more and more skilled workers. The question is whether through training we can mesh the needs of industry with those of the new labor market entrant and the worker displaced by technological advance. It can be said without any hesitation that the challenge will not be met unless we are willing to triple our present efforts in developing apprenticeship and other on-the-job training opportunities.

Mr. Speaker, the Human Investment Act is directed specifically to meeting California's pressing needs, and I am

happy to be a sponsor of it.

Some of the firms in my district and in other areas of California have been pioneers in business efforts to upgrade the job skills of their employees along a broad front. I insert at this point in the RECORD an article from the American Management Association Bulletin, No. 45, 1964, describing how North American Aviation, Inc., meets its job training problems. The article is by Frank G. Rizzardi, one of North American's man

power experts, and it is entitled "Continuing Education: A Means for Combating Skills Obsolescence." The article follows:

CONTINUING EDUCATION: A MEANS FOR COMBATING SKILLS OBSOLESCENCE

(By Frank G. Rizzardi)

The prominence given to company-sponsored educational assistance programs is proof of management's concern over the effect this age of rapidly changing technology is continuing to have on the currency of its engineers and scientists in their chosen fields of specialty. Such emphasis on these programs also verifies the importance of continuing education to both the employee of long standing and the recent graduate who desires to maintain his currency.

We have witnessed a great change in the profile of one of our major industries, the airframe industry, since 1949. This change became necessary when its management accepted the challenge to fulfill a new role in the rapidly developing space age. Appropriately, this evolving industry began to be referred to by management and workers as the areospace industry.

Accompanying the arrival of the space age was the age of fluid technology. Unlike any other major industry, the survival and progress of aerospace companies was to be based on the ability of these companies to build on a dynamic technology. Unfortunately, however, far too many managers were too busy concentrating their efforts on the multitude of money and facilities problems to become alert to the rapidly changing technology within their industry and

markets.

In this period of revolutionary advances in the aerospace sciences, the industry wisely continues to emphasize needed research and development. To expand research and development programs, whether external or within the areospace industry, requires the continued and coordinated expansion of three basic elements:

1. More people must be educated and trained on a sustained basis in order to be used to their fullest capacity.

2. More tools and facilities must be provided the scientists and engineers in order that they be able to apply their knowledge in an environment that will assure their effective utilization.

3. More new materials must be developed to meet the space-age needs.

Because many of these demands are being met through the same fluid technology that has contributed to the rapid obsolescence of equipment, techniques, and manpower, it is essential that management not only maintain an adequate staff of trained engineers and scientists but also provide means by which these key personnel can continue their education and training on a sustained basis.

World leadership in the design and manufacture of advanced systems depends upon prompt application of the latest scientific knowledge before it becomes obsolete. Although America has no monopoly on either the knowledge or the skills and technical faculties necessary for its prompt application, it does have a highly developed educational system which industry must use more intensively in helping to keep the Nation ahead in the armament and space race. TABLE 1.-Growth in sales

SOME COMPANY BACKGROUND

North American Aviation represents a unique fusion of science and industry. It is an organization that has proved its ability to shorten the time lag between discovery and application and that is contributing to technical progress and putting it on the production line for the common defense and everyday uses of the community.

The company has personnel with many different aptitudes and skills-from the craftsmanship of the manual worker to the creative ingenuity of the engineer, scientist, and manager. The organization includes specialists in hundreds of different sciences, subsciences, trades, and professions. The development of this flexible, dynamic organization is the result of the efforts of the firm's farsighted management in planning for the future. J. H. Kindelberger, former chairman of the company's board of directors, said in 1948:

"The job ahead will not be easy. The revolutionary advances in systems performance toward which we are now striving are having a profound effect on almost every phase of systems design and manufacture. While maintaining the initiative, loyalty, and teamwork which built the organization, we must concentrate on constantly improving our skills to meet the challenge of tomorrow."

Aircraft:

F-86

FJ-1

F-82

B-45

F-93A T-28

1948

As an indication of the growing complexity of weapons systems brought on by the age of extraordinary technological progress, the company found it necessary to establish training programs. These programs were designed to acquaint many of the employees with the latest techniques in specialized fields such as electronics and hydraulics. As technology progressed further, these programs were modified or expanded, to meet Experimental missiles new problems so that the R. & D. organization and its service adjuncts might continue to be properly equipped to meet their rapidly changing technical responsibilities.

To understand fully the problems accompanying the conversion of the "tin benders" (as employees in the airframe industry were called), one must visualize the many changes that have taken place and are continuing to take place within the industry. This insight can probably best be accomplished by taking a look at the growth and a few of the material changes that took place within North American Aviation between 1948 and 1963 to meet the requirements of the aerospace era.

During this 15-year period, sales of the company's products increased by almost 2,000 percent (see table 1). Although the largest increase in sales occurred in the 1958-63 period, a significant increase can be noted between 1948 and 1953. It was during this latter period that company management began to grasp the full significance of the age of extraordinary technological progress, its great potentials, and the effect it would have on the company's future business activities. In this period, North American achieved significant gains in a variety of advanced technical and scientific fields so that the company's capabilities continued to be broadened and strengthened.

It was not until about 1954 that the technological advances of the late 1940's and the early 1950's were to become visible in the form of new products and a more greatly diversified company. The resultant diversification can be measured by the growing proportion of the company's business in fields other than aircraft-missiles, electronics, electromechanical equipment, rocket engines, and atomics (see table 2). In 1955 these new fields accounted for 20 percent of the company's business, with aircraft sales accounting for 80 percent. By 1959, they represented 43 percent of the total.

Further progress was achieved through a continuing effort in executing important national programs that contributed to the rap

AJ-1

ployed in the aerospace industry would be engineers and scientists. A pending shortage of scientists and engineers, brought about by the growing needs of the infant aerospace industry, was indicated as early as 1948 in a North American personnel report which stated: "Recruitment of semiskilled and unskilled workers presented few problems during the year, but an increasing amount of difficulty was encountered in recruiting experienced engineers and certain types of skilled craftsmen." The engineering manpower shortage would become more acute because of the accelerated obsolescence of certain types of engineers caused by technological changes which became more frequent and more extensive. This shortage was further aggravated as more industries changed goals in order to participate in the expanding space business; the concurrent decreasing enrollment in engineering schools was another factor contributing to the shortage. Employment activity and the seriousness of the continuing shortage of graduate engineers is depicted in table 4 which summarizes the results of surveys made by the engineering manpower commission of the Engineers Joint Council.

Year

Total manpower

Engineering and scientific manpower

Percentage of engineering and scientific

manpower
to total
manpower

1943.

90,000

3,000

3.33

12.73

16.98

16.67

1958. 1963.

16. 51

Aircraft:
T-39, T-2

RA-5 series

XB-70

X-15

1963

time) and at a minimum cost to themselves. The objectives are to:

1. Provide employees with a means for improving themselves by sharing in their development costs.

2. Decrease the employee's rate of technological obsolescence by providing him with a means for continuing his education on a sustained basis.

3. Influence engineering and scientific graduates to select the company as their future employer.

One of the more important results of the program, however, is its contribution to employee job performance, thereby enhancing employee advancement opportunities within the company and adding to overall company effectiveness. The first reimbursement program attempted by the company was basically nondegree oriented. Reimbursement was based on the employee's enrollment in approved individual courses rather than in an ap1.8 proved degree program. However, a degree objective was permissible under the program's provisions.

Deficiency in employment goals (percent)

The basic requirements of the first reimbursement program apply today. The employee is required to have the course and the school at which he plans to enroll approved by a divisional program administrator This approval determines the employee's ellgibility for a two-thirds reimbursement on tuition and fees after satisfactory completion of the course. The course must be related to North American's primary operations but not necessarily to the employee's present job.

Schools accredited by a regional accrediting association or by the National Home Study Council are automatically approved for enrollment by the participating employee. Those not so accredited are usually investigated and evaluated by a team of appropriate company personnel selected to determine

whether these schools meet certain standards necessary for approval under the program. This evaluation of a nonaccredited school ordinarily does not take place unless a number of employees indicate an interest in the school. From 1950 to 1964, some 60 local schools were evaluated, with about 40 being approved under the reimbursement program.

An employee can be removed from the program if he does not maintain a satisfactory job attendance or a good work record. This requirement is felt to be necessary to insure that participation in the program does not adversely affect the employee's performance of his regular work assignment. Company records, however, show that no employees were ever removed from the program for failure to meet this requirement. Apparently, the presence of this requirement causes many employees to evaluate carefully their ability to carry a large academic course load while working a full 40-hour week. Each divisional program administrator also serves as a control point by questioning the number of courses for which an employee is seeking reimbursement.

When the employee completes the approved course and receives a passing grade (at least a grade of C is required), the company reimburses him for two-thirds of the tuition and fees, including certain nonrefundable laboratory fees. Costs for books and breakage fees are not allowable items of expense, except in correspondence courses where the cost of the books is usually inseparable from the cost of the course. If equipment is included as part of a course, the employee must pay the full portion of the equipment cost.

Another requirement is that the employee must be employed by the company full time (40 hours or more per week). Time spent on courses taken under the program is on a voluntary basis and is not considered as time worked for the company.

As shown in table 5, the problem of updating company personnel during the 195056 period was partially alleviated by the educational reimbursement program. During this period, an average of over 1,900 employees per year attended various colleges and schools. These employees completed a total of 15,876 courses. It is estimated that over 70 percent of the program participants were engineers and scientists, with the remainder coming from other functional areas within the company.

its

A company forecast of engineering and scientific manpower needs for the 1957-63 period revealed that there would have to be almost a 100-percent increase in head count if we were to have the manpower required to meet the anticipated accelerated growth in company business. This predicted growth was soon to be duplicated by the whole aerospace industry, bringing greater pressure to bear on the already deficient supply of engineering manpower in the United States.

TABLE 5.-Educational reimbursement program activity

Table 4 shows that although the percentage of deficiencies in employment goals established by those firms surveyed indicates a decrease, the number of engineers represented by these deficiencies was actually increasing during this period. The growing seriousness of this problem to management was to be further demonstrated by an insufficient growth in the number of engineering degrees to be conferred by recognized schools and colleges in the United States during the 1948-61 period. As shown in table 6, the number of bachelor's degrees conferred in this period dropped from 45,200 in 1949 to 35,860 in 1961. In contrast, the number of master's degrees rose from 4,798 to 8,177, and doctor's degrees rose from 417 to 943.

To supplement the large but still insufficient number of qualified employees recruited from among the current graduates, North American amended the 1950 educational reimbursement program in 1957 to provide assistance to qualified employees who desired to secure a degree while employed. As expected, this amended program began to play a still greater role in helping to meet the company's long-range technical manpower requirements.

Table 7, which summarizes 1957-63 educational reimbursement activity, shows that North American's employees completed a total of 57,447 courses during this period. More than 600 employees received bachelor's degrees, 340 earned master's degrees, and 17 obtained doctor's degrees. Each succeeding year saw increased use of the program by all employees. As in the 1950-56 period, over 70 percent of the program participants were employees classified as scientists and engineers. In addition to those who secured their degrees under this amended program, many employees still eligible for educational benefits under the GI bill secured their degrees while under a company-sponsored educational leave of absence, returning to work at North American.

The amended educational reimbursement program provides the employee with a greater incentive to continue his educational program until he receives a degree. Under this extended program, the employee who secures a bachelor's, master's, or doctor's degree in an approved field becomes eligible to receive,

1957.

1958.

1959.

1960

in addition to the two-thirds reimbursement of his tuition and fees upon course completion, the reimbursement of the remaining one-third. Moreover, each participant receiving a master's or doctor's degree may be reimbursed up to $100 for graduate fees and expenses incurred in the preparation of his thesis, such as for typing, binding, and publishing.

EDUCATIONAL LEAVES OF ABSENCE

Unlike the 1950-56 program which made no provision for part-time employment, under the amended program an employee studying for an advanced degree becomes eligible for a part-time work schedule of no fewer than 20 hours a week from date of hire. He can also apply for an educational leave of absence, without pay, provided he meets certain conditions. One of the basic requirements is that he must have completed prior to each leave, at least 1 year of continuous full-time employment. An employee may be considered for an educational leave even though he may be participating in scholarship, fellowship, or educational assistance programs from some other source.

The length of the educational leave varies with the employee's degree objective. An employee in the first 2 years of his undergraduate program may be granted a leave not to exceed 11 months. An employee in the last 2 years of his bachelor's program may be granted a leave not to exceed 21 months. A doctoral candidate, on the other hand, may be granted an educational leave not to exceed 36 months. The employee on a leave of 21 months or more is required to return to work in the summer, unless he is in residence at his school during that time. A doctoral candidate may take his leave with intermittent periods of school and work, or his months of leave may be taken consecutively.

Each year the company has about 350 employees attending school on educational leave. While a majority attend colleges near their place of employment, a large number travel to distant colleges, including some in Europe.

Past experience has proved that the company not only benefits greatly from the knowledge gained by its employees while on educational leave but also from the publicity which these employees give the company while on the campus. Each divisional program administrator normally provides his division's employees on leave with copies of the weekly employee newspaper, the quarterly magazine (describing the technological areas related to company activities), and other sources of company-related information which other students on campus may find to be of interest.

It has been found that on some campuses the employee on educational leave is a more effective recruiter than the professional recruiter sent from the division's employment office. In other instances, the employee on leave was found to have greatly facilitated the work of the employment recruiter by

telling others the merits of working for the company.

Aside from the 257 degrees received in 1963, 9,565 employees completed more than 14,000 courses. A further analysis of these statistics reveals that a large number of the recipients of master's degrees in business ad

ministration were members of management in the research and development areas who had the technical and scientific knowledge but found a need for increased knowledge in the area of business management.

Recognizing the R&D manager's need for increased knowledge in business management, the company worked very closely with a nearby State college on the establishment of a master of business administration program for those with a bachelor's degree in mathematics, engineering, or physical science. As a result of this company effort, about 200 employees enrolled in this program. We feel that this program will contribute greatly to the more effective management of North American's operations in all

areas.

PREPAID ADVANCED DEGREE WORK-STUDY

PROGRAM

Because of the growing need for engineers and scientists, the prepaid advanced degree work-study program was established in June 1962. The objective of this program is to increase further the company's supply of engineers, scientists, and mathematicians holding advanced degrees. It is also expected that those employees with bachelor's degrees who have been out of school for some time will be further motivated to update themselves by securing an advanced degree through this program.

The prepaid program gives qualified employees in engineering, scientific, and mathematician job classifications in research and development activities an opportunity to study toward advanced degrees and have their full tuition and certain fees and expenses paid in advance of course completion directly to the school. The participants must be unconditionally accepted by an approved graduate school in an advanced program leading to either a master's or doctor's degree in their field of specialization. They may work part time or full time in their regular company positions. Time spent on such courses, however, is not considered as time worked for the company.

Employees participating in this program must work at least 20 hours a week. If they work 24 hours a week or less, they must enroll for at least 6 credit hours each semester or term. If their work schedules are more than 24 hours a week, they may enroll for less than 6 credit hours. On the other hand, employees who work a full 40-hour week may carry any number of credit hours. Their academic load and grades, however, are closely monitored; and if there is a danger that their company work or academic courses will be adversely affected, they are counseled accordingly by their divisional program administrator.

In 1963, the first full year of operation, some 658 employee participants completed over 1,800 individual graduate level courses. Employees received 47 master's degrees in the fields of engineering, mathematics, and physical science.

SCIENCE-ENGINEERING FELLOWSHIPS

In recognition of North American's key role in contributing to the advancement of the state of the art in scientific fields, its board of directors recently established a number of science-engineering fellowships. This program provides assistance to highly qualified employees who are seeking either master's or doctoral degrees in certain areas within the fields of engineering, science, or mathematics. Provision is made for either part-time or full-time on-campus study for selected candidates. Assistance includes the payment of tuition and fees, reimbursement for required books and supplies, including certain transportation and moving expenses, and a monthly allowance based on the participant's progress toward his degree.

CXI-1467

Once the program has been in operation for 3 or 4 years, it is expected to add about 25 employees with doctoral degrees and 5 with master's degrees to the company's engineering and scientific capabilities each year. Unfortunately, there are not enough fellowships to meet the demand of the large number of qualified applicants. Fortunately, however, many of these applicants can take advantage of the educational reimbursement and prepaid advanced degree work-study programs. As a result, one educational program provides participants for the others.

RECOGNITION FOR PROGRAM PARTICIPATION One of the most serious shortcomings of the educational programs was the failure to provide a means for communicating the participant's academic progress to his management. Nor had any provision been made for a followup on the employee who acquired a degree under one of the programs in order to insure that supervision was making full use of his total skills and knowledge. To correct these shortcomings, two requirements are now part of all company educational programs. First, upon completion of each course taken by the employee under one of the programs, course completion notices are prepared and sent by the divisional program administrator to appropriate company offices. Second, an employee priate company offices. Second, an employee completing his degree requirements under one of the programs is reviewed by his division's employment section in order to insure that his compensation and work assignment are appropriate and in the best interests of the employee and the company.

Under the first requirement, two copies of the course-completion notice are prepared. One copy is sent to the employee's department where the information is recorded on ment where the information is recorded on his progress record. This copy is also forwarded to the employee's immediate supervisor who retains it so that when the need for certain capabilities and educational backgrounds arise within the department, he will have readily available a complete record of the experience and academic background of each employee reporting to him. Since some supervisors give credit toward merit salary supervisors give credit toward merit salary increases for courses taken by the employee, communication of this information is of great value to the employee.

The second copy of the course-completion notice is retained by the employee's divisional central personnel records office for inclusion in the master personnel record, which serves as a primary source of information on him. The importance of this completion notice both to the employee and the company is that the personnel department is requested to provide complete experience and academic information on an employee being considered for transfer within the company. The presence of this readily available complete record of all academic courses taken by the employee since his hire date eliminates the need to write to his colleges for transcripts. This greatly reduces the time required to verify the employee's qualifications for possible transfer or promotion.

The importance of reviewing each degree recipient in order to insure that his compensation and work assignment are appropriate and in the best interests of both the employee and the company has been verified by the repeated occurrence of similar incidents involving program participants.

A typical example concerned an experienced research engineer who had just returned from an educational leave of absence after receiving his M.B.A. degree from Harvard. On return from leave, the engineer's supervisor placed him in his old position, which involved the designing of some electromechanical hardware. No attempt was made by the supervisor to determine the

employee's interests and employment objectives. Within 6 weeks after his return, the employee turned in his resignation because he was being considered for employment as a project engineer by a competitor. This action and related information immediately alerted the employment section to the employee's new interests. On this basis, the company was able to arrange for the employee's transfer to a project office within the company where he would be able to apply both his technical and business knowledge. This resulted in the protection of the company's investment in the employee, as well as in placing the employee in a position in which he would be happy, knowing that he could apply both his experience and education. Furthermore, the vacancy in the project office, harder to fill than that vacancy created by the transfer of the employee, was filled to the complete satisfaction of everyone concerned.

The method by which a review of a recent degree recipient is accomplished can best be explained by the following statement taken from the company's personnel policies and procedures manual:

"The division educational program administrator will provide the division employment section with a synopsis of the about-tograduate employee's educational and experience background.

"The employment section's representative will arrange a meeting with the employee's supervisor and department head and others deemed appropriate for the purpose of determining the employee's qualifications and planning the course of action to be followed regarding the employee. If it is determined that reassignment or transfer of the employee is in the best interests of the employee and the company, the employment section, with the employee's approval, will make every effort to arrange a reassignment or transfer to a position which will be compatible with the employee's experience and education.

"If there is no opening for reassignment or transfer in a degree recipient's division, the division employment section will send the information on the concerned employee's experience and education to the corporate administrator-fellowship and educational programs. The corporate administrator will work with the other divisions in placing the employee where his capabilities will be used more effectively."

Management is finding the above requirement to be an important motivating factor for more engineers, scientists, and other personnel to continue voluntarily their development through additional course work at local schools and colleges.

Normal attrition within the company's divisions creates a sufficient number of va

cancies so that qualified employees covered by this requirement can be readily placed in appropriate positions. appropriate positions. Company divisions whose growth may be leveling off foresee no new personnel problems arising from the application of the policy requirements.

It may be stated that North American management, particularly its research and development management, feels that these educational programs are making a positive contribution to the company and the community by:

1. Helping its engineering and scientific personnel to accept education as being a continuing process.

2. Providing a means by which these personnel may continue their education on a sustained basis.

3. Attracting new graduates to the organization.

4. Increasing the technical skills of its personnel, thereby reducing the possibility of obsolescence because of new technology.

5. Helping to provide a sound foundation of highly skilled personnel upon which to build for the future.

The reaction of employees has been highly favorable. They have developed a more positive attitude toward the need for continuing education and through their participation have in many instances motivated the local schools and colleges to develop new and more challenging courses and degree programs. To this extent, the community and the whole national effort have greatly benefited.

Looking into the future, North American continues to expand its research and development effort on at least four levels-experimentation needed in the design of products under contract, studies of specialized aerospace problems, applied research aimed at creating new products, and basic research to advance scientific knowledge. To meet these challenges and those of an age of continuing extraordinary technological progress, company's educational programs will continue to be applied with growing effectiveness. New programs will no doubt be developed to assist the engineer, scientist, and management to become more effective in the face of growing shortages of qualified personnel and in dealing with the forces which are threatening the currency of their skills.

Mr. CURTIS. I ask unanimous consent that other Members be permitted to extend their remarks after my remarks, and that the request be extended to all Members of the House.

standing local service airline, North Central Airlines, I can say that I am indeed pleased and impressed with the comments of Stuart G. Tipton, president, of the Air Transport Association, that even better service is on the way. The article follows:

LOCAL LINES UPDATE, BUY NEW PLANES Local service airlines are in the midst of a king-size reequipment program which will more than double their investment in aircraft over the next 3 years.

Thirteen local service airlines have ordered 33 new jets and 36 new turboprop aircraft. In addition, 51 piston-powered planes are being converted to turboprops.

TWO HUNDRED MILLION DOLLAR VALUE These new planes and conversions are valued at about $200 million, or more than 21⁄2 times the present value of all of the aircraft now being used by the local lines. Local service airlines that serve Chicago, include Ozark, North Central, and Lake Central.

Jets on order for delivery between now and 1968 are 4 BAC-111's, 24 Douglas DC-9's, and 5 Boeing 727's. Propjets include 10 Fairchild-Hiller F-27J's, 18 Fairchild-Hiller 227's, and 8 Nord 262's. In addition 51 Convair twin-engine piston planes are being equipped with turboprops.

AIRLINE INITIATIVE

Stuart G. Tipton, president of the Air Transport Association, called the current im

There was no objection.

PERSONAL ANNOUNCEMENT

Mr. CURTIS. Mr. Speaker, I ask unanimous consent that the gentleman from Michigan [Mr. HUTCHINSON] may extend his remarks at this point in the RECORD and include extraneous matter. The SPEAKER. Is there objection to the request of the gentleman from Missouri?

There was no objection.

Mr. HUTCHINSON. Mr. Speaker, on Tuesday, September 7, I was necessarily absent, in order to fill a speaking engagement in my district to which I had been long committed.

In order that my position may be known on the questions resolved on that day by rollcall votes, I would have voted "no" on rollcall No. 262-and "yes" on rollcalls 263, 264, and 265.

history of the local service airlines."

"The local lines have long been plagued by obsolete and uneconomical equipment," Tipton said. "These orders, all sparked by airline initiative, indicate the desire of these smaller airlines to give the public a faster and more comfortable flight, and at the same time, reduce their costs so as to lessen their dependence on Government subsidy.

THE TEACHERS OF THE DISTRICT

OF COLUMBIA QUESTION BENE-
FITS UNDER PROPOSED HOME
RULE BILL

Mr. CURTIS. Mr. Speaker, I ask unanimous consent that the gentleman from Minnesota [Mr. NELSEN] may extend his remarks at this point in the RECORD and include extraneous matter.

The SPEAKER. Is there objection to the request of the gentleman from Missouri?

There was no objection.

PLANES

Mr. CURTIS. Mr. Speaker, I ask unanimous consent that the gentleman from Minnesota [Mr. NELSEN] may extend his remarks at this point in the RECORD and include extraneous matter.

The SPEAKER. Is there objection to the request of the gentleman from Missouri?

There was no objection.

Mr. NELSEN. Mr. Speaker under leave to extend my remarks, I ask to insert in today's RECORD a news article from the Chicago Tribune of September 4, 1964, which describes the current efforts of the Nation's local service airlines to provide improved service by means of a most impressive reequipment program.

Since most of the air service in our part of Minnesota is provided by an out

lumbia Education Association to Subcommittee No. 5 of our House District Committee. The executive secretary, Elizabeth D. Griffith, and the legislative representative, Helen E. Samuel, of the District of Columbia Education Association, expressed concern over the effect that the enactment of H.R. 4644, the proposed home rule bill, from which our committee was recently discharged, would have on the retirement benefits, health benefits and the insurance program of the teachers in the District school system.

I would like to emphasize the following statement from their letter:

The language of the bill does not guarantee to teachers that future benefits from any of their personnel legislation would be equal to those they now receive. It merely states that their personnel legislation "shall

continue to be applicable until such time as the Council shall provide similar or comparable coverage."

This communication from the District

Education Association of course prompts the question as to how the enactment of H.R. 4644 in its present form would affect similar programs in which the policemen and firemen and other employees of the District government participate. The text of the Education Association letter follows:

DISTRICT OF COLUMBIA

EDUCATION ASSOCIATION,
Washington, D.C., August 24, 1965.
SUBCOMMITTEE No. 5 OF THE

DISTRICT OF COLUMBIA COMMITTEE,
House of Representatives,
Washington, D.C.

GENTLEMEN: Our remarks will be addressed to H.R. 4644, a bill "to provide an elected mayor, city council, and nonvoting delegate to the House of Representatives for the District of Columbia, and for other purposes." We are concerned that this bill abolishes the Organic Act of June 20, 1906, which vested control of the public schools of the District of Columbia in a Board of Education.

Our concern arises from the fact that the present functions of the Board of Education would be "transferred to the District Council for exercise in such manner and by such person or persons as the Council may direct." There is no assurance in the bill that control of the public schools would be vested in a Board of Education.

We are concerned, too, because teacher tenure was established by the Organic Act of 1906. If H.R. 4644 is passed in its present

form teacher tenure would be abolished.

The language of the bill does not guarantee to teachers that future benefits from any of their personnel legislation would be equal to those they now receive. It merely states that their personnel legislation "shall continue to be applicable until such time

as the Council shall provide similar or comparable coverage."

What assurance is there that "similar or comparable coverage" will provide to retired teachers annuities equal to those they now receive? What assurance is there that they will receive benefits equal to those they now receive under the Federal Employees Health Benefits Act of 1959 and the Federal Employees Group Life Insurance Act of 1954? It should be pointed out that the District of Columbia teachers retirement law contains a provision which requires the District government to pay its share annually into the teachers' retirement fund. There is no pro

vision in the home rule bill to safeguard this be used solely for the purpose for which provision nor to insure that these funds will they were created.

Teachers in active service are just as disturbed about these matters. In addition, they are disturbed about their tenure rights, leave privileges, salary schedule, etc.

We respectfully request, therefore, that the language of H.R. 4644 be changed to retain the Organic Act of 1906 so we may be cerbe vested in a Board of Education and that tain that control of the public schools will teacher tenure will be safeguarded. Rather than abolish the Organic Act of 1906 it could be amended to give the citizens of the District the privilege of deciding whether the Board of Education should be elected or continue to be appointed as it is at present.

to safeguard the rights, benefits, and privWe request that the bill contain language ileges which teachers receive from personnel legislation in force at the time of the passage of the bill and to keep their retirement fund actuarially sound.

We ask also that favorable consideration be given to our requests in any bill provid