Bill Reported: One report was filed as follows: S. 1309, to amend the Small Business Act to increase the revolving fund and broaden disaster loan authority (H. Rept. 1097). Page 590 Calendar Wednesday: Agreed to dispense with Calendar Wednesday business of January 22. Baker Eulogies: Numerous Members spoke in tribute to the life, character, and public service of the late Representative Howard H. Baker, of the Second Congressional District of Tennessee, who passed away on January 7, 1964.

Adjournment: Adjourned at 1:11 p.m.

Committee Meetings

MILITARY REPROGRAMING ACTIONS

Page 575

Pages 576-589

Committee on Armed Services: Met in executive session and approved several Army, Navy, and Air Force reprograming actions. Also considered the Navy Wherry Housing Rehabilitation Project.

U.S. IDEOLOGICAL EFFORT

Committee on Foreign Affairs: Subcommittee on International Organizations and Movements met in executive session to continue consideration of "The U.S. Ideological Effort: Government Agencies and Program." Testimony was given by Frank K. Sloan, Deputy Assistant Secretary for Regional Affairs; E. L. Katzenbach, Jr., Deputy Assistant Secretary for Manpower; John C. Broger, Director, Armed Forces Information and Education; William G. McNamara, Special Assistant for Community Relations, Public Affairs, all from the Department of Defense, and Col. W. M. Higgins, Deputy Director for Counter-Insurgency and Special Activities, Joint Chiefs of Staff.

INDONESIA-VIETNAM

Committee on Foreign Affairs: Subcommittee on the Far East and the Pacific met in executive session regarding the situation in Indonesia and Vietnam. Heard testimony from Roger Hilsman, Assistant Secretary of State for Far Eastern Affairs.

COMMITTEE BUSINESS

Committee on the Judiciary: Subcommittee No. 3 met in executive session on pending legislation.

CANAL ZONE

Committee on Merchant Marine and Fisheries: Subcommittee on Panama Canal heard testimony from the Secretary of the Panama Canal Company on H.R. 8362, regarding exploration in the Canal Zone; H.R. 8865, to correct and improve the Canal Zone Code; and H.R. 9122, regarding transfer of certain Canal Zone prisoners to the custody of the Attorney General.

CIVIL RIGHTS

Committee on Rules: Continued hearings on H.R. 7152, the civil rights bill, and heard testimony from Representative Willis.

Joint Committee Meetings

PRIVATE INVESTMENT IN LATIN AMERICA Joint Economic Committee: Subcommittee on InterAmerican Economic Relationships concluded its series of hearings on the role of private investment in the concept and success of the Alliance for Progress, after receiving testimony from Francis Grimes, area executive, Latin America, Chase Manhattan Bank, New York City; Sperry Lea, Canadian-American Committee, National Planning Association; and William L. Clayton, board of directors, Anderson, Clayton & Co., and former Under Secretary of State for Economic Affairs.

It was announced that hearings on the President's Economic Report would begin on Thursday, January 23, before the full committee.

HIGHLIGHTS

Monday January 20, 1964

Chamber Action

Routine Proceedings, pages 620–654

International Development Association: By 38 yeas to 31 nays (motion to reconsider tabled), Senate passed S. 2214, authorizing the U.S. to participate in an increase in the resources of the International Development Association, after adopting Dirksen amendment providing that any funds authorized to be appropriated shall be out of funds supplied by the Nation's taxpayers or out of funds borrowed on their credit; and rejected, by 31 yeas to 37 nays (motion to reconsider tabled), Morse motion to recommit the bill to Committee on Foreign Relations.

Pages 654-682

Committee Meetings

ST. LAWRENCE SEAWAY

Committee on Commerce: On Friday, January 17, special subcommittee met in executive session to discuss a tentative agenda for field hearings in connection with its study of transportation on the Great Lakes-St. Lawrence Seaway. Subcommittee announced that it expects to hold hearings beginning in the latter part of February in cities in Ohio and Michigan, and in Baltimore. TAXATION

Committee on Finance: Committee continued its executive consideration of H.R. 8363, proposed Revenue Act of 1964, taking the following additional tentative actions thereon:

(1) Reconsidered and again rejected Dirksen amendment No. 337, treatment by regulatory agencies in the case of a consolidated group;

(2) Approved Dirksen amendment changing effective date of stock option provisions from June 11, 1963, to January 1, 1964;

(3) Rejected Dirksen amendment No. 380, repealing retailers' excise taxes;

(4) Approved Fulbright amendment exempting from excise tax admissions to legitimate living theater;

(5) Modified amendment No. 361 (qualified plan coverage for U.S. citizens employed abroad), approved December 19, 1963, to include "profit-sharing plans";

(6) Rejected Dirksen amendment No. 359, increase in amount of ordinary income which may be offset by capital losses;

(7) Rejected Dirksen amendment relating to 4percent dividend credit with a $1,000 maximum;

(8) Adopted Smathers amendment No. 354, relating to corporate reorganizations;

(9) Adopted the provisions of H.R. 6995, relating to notices to shareholders by regulated investment companies;

(10) Adopted Bennett amendment relating to life insurance dividends;

(11) Adopted Gore amendment restoring group term life insurance provisions, setting limit of $50,000; and

(12) Adopted Dirksen amendment relating to pension and profit-sharing plans of foreign and domestic subsidiaries.

On Friday, January 17, committee took the following tentative actions on this bill:

(1) Struck from the bill Section 219-Capital Gains and Losses;

(2) Rejected amendment No. 337, treatment by regulatory agencies in the case of a consolidated group;

(3) Adopted Section 223-Reduction of Surtax Exemption in Case of Certain Controlled Corporations; (4) Adopted an amendment relating to Section 207 of the bill dealing with the deduction for certain State and local taxes;

(5) Adopted Long (Louisiana) amendment No. 347, market discount-capital gains;

(6) Adopted Hartke amendment No. 275, installment sales treatment for revolving credit; and

(7) Considered, but did not agree to, Long (Louisiana) amendment No. 332, depletion of physical strength of professional athletes.

Committee will meet again tomorrow.

INVESTIGATION-SENATE EMPLOYEES

Committee on Rules and Administration: On Friday, January 17, committee continued, in executive session, its hearings in connection with the financial and business activities of Senate employees and former Senate employees, receiving further testimony from Donald B. Reynolds, of the Reynolds Insurance Co., Inc., Silver Spring, Md.

Hearings were recessed subject to call.

Chamber Action

Sent to the Senate without amendment: AF officers' relief: H.R. 8507, to provide for the relief of certain medical and dental officers of the Air Force; Retired officers' relief: H.R. 8937, to provide for the relief of certain retired officers of the Army, Navy, and Air Force;

Medals: H.R. 9076, to provide for the striking of medals in commemoration of the 200th anniversary of the founding of St. Louis, Mo.; and

Judicial procedures: H.R. 9435, to improve judicial procedures for serving documents, obtaining evidence, and proving documents in litigation with international aspects.

Sent to the Senate, amended:

Morristown Historical Park: H.R. 3396, to authorize the addition of lands to Morristown National Historical Park in the State of New Jersey.

Eligible bills not considered: Passed over without prejudice: S. 102, 254, 741, 1828, S.J. Res. 17, H.R. 4018, and 5838. Objected to: H.R. 1096.

Pages 594-598

Chamber Action

The Senate was not in session today. Its next meeting will be held on Wednesday, January 22, at 12 o'clock

noon.

Committee Meetings

TAXATION

Committee on Finance: Committee continued its executive consideration of H.R. 8363, proposed Revenue Act of 1964, taking additional tentative actions thereon as follows:

(1) Adopted a modified version of the text of H.R. 4040, relating to deduction for taxes;

(2) Approved a modified version of amendment No. 309-expenses related to tax-exempt income;

(3) Approved an amendment relating to certain mutualization distributions by life insurance companies; (4) Approved a modified version of amendment No. 333-expropriation losses (text of S. 2058);

(5) Adopted the text of H.R. 8798, to permit corporations to be small business corporations while owning the stock of certain inactive subsidiary corporations; and

(6) Rejected the following proposals: (a) amendment No. 378-investment credit (text of S. 2312); (b) amendment No. 350-regulatory agencies-depreciation; (c) the text of H.R. 7503, relating to gain from dispositions of depreciable property on the sale of a business or farm; (d) a provision re sick pay exclusion contribution payments; (e) manufacturers' excise tax on pens and pencils; (f) amendment No. 336-air and water pollution control; (g) amendment re intangible drilling and development costs; (h) amendment No. 381-retirement income; (i) amendment No. 329-education expenses; and (j) motion to move effective date of personal holding company provisions up to December 31, 1964.

Committee will meet again tomorrow.

COMMITTEE BUSINESS

Committee on Foreign Relations: Committee, in executive session, ordered favorably reported the nominations of Edwin M. Martin, to be Ambassador to Argentina; Ellsworth Bunker, of Vermont, to be Ambassador to the OAS; and C. Burke Elbrick, of Kentucky, to be Ambassador to Yugoslavia.

Committee also approved Protocol amending the interim convention on conservation of North Pacific fur seals (Ex. O, 88th Cong., 1st sess.); and Protocol for the prolongation of the International Sugar Agreement of 1958 (Ex. R, 88th Cong., 1st sess.).

Committee also ordered favorably reported an original resolution requesting $150,000 for committee expenses for this session of Congress.

Prior to this action, committee heard testimony from William C. Herrington, Special Assistant to the Secretary of State for Fisheries and Wildlife, who directed his remarks to Executive O; Philip H. Trezise, Deputy Assistant Secretary of State for Economic Affairs, who discussed Executive R; and Joseph F. Friedkin, Commissioner, International Boundary and Water Commission, U.S. and Mexico, who testified in connection with S. 2394, proposed American-Mexican Chamizal Convention Act of 1964.

COMMITTEE BUSINESS

Committee on Government Operations: Committee, in executive session, ordered favorably reported original resolutions requesting funds for its subcommittees as follows:

(1) Permanent Subcommittee on Investigations$450,000;

(2) Subcommittee on Reorganization and International Organizations-$135,000;

(3) Subcommittee on National Security Staffing and Operations-$90,000; and

(4) Subcommittee on Intergovernmental Relations$129,000.

Committee also approved the following bills: H.R. 1959, authorizing the transportation of private automobiles of Government employees assigned to duty in Alaska; H.R. 3368, a private bill; H.R. 4801, authorizing the GSA Administrator to make administrative determinations on the basis of records transferred to him; S. 1233, authorizing the GSA to enter into 5-year contracts for the maintenance of fixed equipment in Federal buildings; S. 1833, authorizing Federal agencies to provide quarters and subsistence for civilian employees where conditions of employment required same; S. 1928, authorizing the GSA to sell about 50 acres of land in the former Cheli Air Force Station to Chanslor-Western Oil & Development Co.; and S. 855, to encourage better coordinated local review of State and local applications for certain Federal grants (with amendment).

Committee referred to a special subcommittee, consisting of Senators Humphrey, Brewster, and Mundt, the bill S. 1896, authorizing payment of travel expenses for individuals who are invited by a Department to visit it for purposes of future employment.

COMMITTEE BUSINESS

Committee on Post Office and Civil Service: Committee, in executive session, ordered favorably reported the nomination of Tyler Abell, to be an Assistant Postmaster General; an original resolution continuing the services of one additional clerical assistant to the committee staff; and an original resolution requesting $75,000 for studies pertaining to postal and civil service matters.

Prior to this action, in open session, testimony in behalf of Mr. Abell was received from Frederick C. Belen, Assistant Postmaster General, and Sidney W. Bishop, Deputy Postmaster General. Mr. Abell was present to testify and answer questions on his own behalf.