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American Motors Corp. and other local industrial plants to recreate a condition

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GENTLEMEN: May I with all respect but with all possible vehemence protest passage of the S. 964.

What we most need is Government out of private business, not more in it. Report says the Federal Government now operates 700 businesses that should be privately operated. On this operation $10 billion a year has been lost since 1948. Senators, please tell me why?

People who want jobs will go where the jobs are. The taxpayers are not able to carry the jobs to them. This to me is about the most preposterous suggestion of all New Dealism.

There is always talk of doing something for small business. One-third of office expense of my company is in collecting money, keeping records, and making reports to the Government. If you would leave us alone, we would not need any help.

I consider Mr. Eisenhower's budget an absolute reversal of any preelection retrenchment talk. "Our economy." What economy? Where? This budget should be cut 121⁄2 percent right across the board and then it will be above the promise for 1958 by Mr. Eisenhower of $60 billion.

With best wishes for a better Government-about 'arf the size at 'arf the cost, I am,

Very truly yours,

J. W. KELLER.

BLUEFIELD, W. VA., March 12, 1957.

Hon. J. W. FULBRIGHT,

United States Senator,

Senate Banking Committee, Washington, D. C.: According to press reports Senator Neely in testifying before your committee has characterized Mercer County, among others in West Virginia, as depressed to the point of demoralization and eligible for some sort of Federal assistance. I have lived in Mercer County for more than 40 years and know that the distinguished Senator is badly mistaken. Such representations, while undoubtedly made in good faith, are so erroneous as to insult the resourcefulness and sufficiency of our splendid people. I assure you that no Federal assistance is needed or desired in our community.

Hon. J. W. FULBRIGHT,

United States Senator,

GEORGE RICHARDSON, Jr.

BLUEFIELD, W. VA., March 14 1957.

Senate Banking Committee, Washington, D. C.:

I am informed your committee has received reports to the effect Mercer County, W. Va., is depressed and eligible for some kind of Federal assistance. I would suggest investigation survey of actual facts. Conditions reasonably sound and good. Reports to the contrary undoubtedly on misrepresentation and without knowledge of true conditions. I know of no real need for Federal assistance. E. G. OTEY.

Hon. PAUL H. DOUGLAS,
Senate Office Building,

GREATER WILKES-BARRE INDUSTRIAL FUND, INC.,
Wilkes-Barre, Pa., March 6, 1957.

Washington 25, D. C.

DEAR SENATOR DOUGLAS: It was with great interest that we find you have again submitted area redevelopment bill S. 964. I had the pleasure of appearing before your committee in support of this bill last year. While I do not have

anything that would be beyond what I testified to at that time, if you feel that my appearance before your committee would be helpful, I will certainly be happy to appear before such a committee.

You can be assured that you will have our continued support of this legislation and our Congressman, Daniel Flood, knows that it is of the greatest interest to us and to his constituents. I understand that Senator Clark is also a cosponsor of this bill and has assured us of his firm support.

We are also making known to Senator Martin our feelings and are urging his support of this bill.

Sincerely yours,

WILLIAM O. SWORD, President.

[The original copy of this letter, written by Mrs. Edith Warke, 70 Carey Street, Ashley, Pa., is on file in the office of Min Lurye Matheson, manager, Wyoming Valley District, ILGWU, WilkesBarre, Pa.]

DEAR MIN: Maybe this letter will reach you as my phone calls didn't, although I understand that you must be quite busy. I don't think you would ignore anyone on purpose or I don't know Min. We worked so hard with you during the last big strike. I just know you wouldn't disregard anyone when they needed help. Well, here I am needing just that. I just don't know where or how to begin.

At our last meeting you discussed women working, in factories to make a livelihood, which I have been doing for the past 3 years, and I must say it is no picnic to keep a household going. I always thought that was a man's job but these last 3 years proved different. Since my husband was laid off from the mines 3 years ago he just can't seem to hit on a job. Oh, sure he could get a job for 75 cents an hour but with all the new industry that came into this valley don't you think a man should earn at least $1.25 to start with? Everywhere he goes for a job it's "Only experienced wanted." Well, how in the is a man to get experienced if that place won't give a man who only knows how to dig coal and shovel it a chance. Maybe you can help me solve my problem.

He has filled out applications in each new plant that came into the valley. He could go back into the mines now, but some years ago he had rheumatic fever, and I thought this is a good reason for him to stay out of the mines.

You know, Min, not too long ago I read that article in one of the magazines about the city of Wilkes-Barre women working in factories while husbands stay home and wait to collect the pay. It sure makes you feel like a heel; but let's face it, that is the God's honest truth not only in my case but a lot of other women are faced with the same problems.

Why don't we leave this valley like many others have done? Why should we run away from the valley that we were born and reared in and where we have our homes? We love it here but what kind of a future has a person here? I have a son who is just about ready to graduate. What is here for him? The "mines"? My family is all on the west coast now. We could go there too, but I just can't understand why we should.

They are bringing in thousands of refugees from Hungary and placing them in jobs when our own people can't get work. Why, Min? I just can't grasp it. Maybe you have some explanation.

Maybe you think I'm just a crackpot, but I'm for real. I am a presser in one of the shops. Well, Min, if you can help me, call me or drop me a few lines. I'll be waiting either way-I hope you can help me and a lot of other women like myself. I'm not complaining about my employer for he sure is a wonderful boss. I'm just putting some of my thoughts on paper. Maybe they will do some good.

Respectfully,

P. S.-I guess I'm just a tired presser.

STATEMENT BY JOSEPH E. BRADY, DIRECTOR OF LEGISLATION, INTERNATIONAL UNION OF UNITED BREWERY, FLOUR, CEREAL, SOFT DRINK, AND DISTILLERY WORKERS OF AMERICA, AFL-CIO

I welcome the opportunity to present this statement on behalf of the International Union of United Brewery, Flour, Cereal, Soft Drink, and Distillery Workers of America, AFL-CIO, to the committee.

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The problem of acute unemployment in many areas of our country is daily brought to the attention of the officers of our union by the members we represent at the collective bargaining table. Although brewing and bottling establishments are increasingly serving regional, and even national markets, often these enterprises are still basically geared to meeting local needs. Thus, when an area becomes depressed, our members who serve in local breweries and bottling establishments are adversely affected.

Many opponents of legislation to supply Federal funds to redevelop depressed areas callously say, "Let the people in these areas handle their own problems." They then cite examples of a number of communities which have performed miracles of redevelopment. We have nothing but praise for communities which have taken the initiative in the fight for survival, but the "proof of the pudding is in the eating." In spite of their self-help program, not a single community has been able to raise the level of employment up to the previous standards which they enjoyed.

Other opponents of Federal aid simply say, "Let the workers seek employment elsewhere." They really believe that it is "the American way" for industry to pull up stakes, move elsewhere, and leave a community to die.

It is hard to believe that in this enlightened age such thinking still exists. We know that it is impossible for our Nation to allow large sections of workers and their families to pull up stakes, lose homes, savings, etc., to follow where industry calls. What guaranty do they have that they will not be condemned to the life of wanderers, moving again and again at the whim of industry?

Another major problem of the industrially displaced is age. Many of these workers are over 40 years of age and it is a standard practice of many firms to deny employment to this group.

A majority of the workers in these depressed communities have skills acquired through years of training. It is hard to believe that this wealth of experience will continue to be wasted and these workers and their families condemned to a life on relief, a burden rather than an asset to the country.

We are happy that the administration is aware of the great need for redeveloping the depressed areas and has intrdouced a bill, S. 1433, for the purpose of redevelopment. However, we note that the bill provides no funds for public

facility loans and we believe that this is vital to redevelopment.

The Douglas bill, S. 964, provides for $75 million in Federal funds for publicfacility loans and $50 million for grants for this purpose. Many communities need better water supplies, sewage systems, better roads, etc., in order to attract new industry.

The Douglas bill provides for $200 million in Federal loans for industrial and rural development, and loans should equal up to 75 percent of the total project costs. The Administration bill only provides for $50 million for loan purposes, and loans could equal a maximum of 35 percent of project costs.

For these reasons and others, the International Union of United Brewery,. Flour, Cereal, Soft Drink, and Distillery Workers of America, affiliated with the American Federation of Labor and Congress of Industrial Organizations, respectfully requests a favorable report on the Douglas bill, S. 964.

We are all concerned about the economic well-being of all of the people of the United States. Both the Democratic and the Republican Parties are pledged to support legislation to brighten up the darkened areas of our country. We believe that this Congress will take speedy action on this legislation and bring hope to thousands of American families.

RHODE ISLAND STATE FEDERATION OF LABOR,
Providence, R. I., March 12, 1957.

Senator THEODORE FRANCIS GREEN,

321 Senate Office Building Washington, D. C.

DEAR SENATOR GREEN: I note in the local press that Senator Douglas is holding hearings on depressed areas.

Do you feel that an appearance by a spokesman for this federation or a letter or some other action would be advantageous for the relief of such areas as Rhode Island? If you think there is anything we can do which you feel may help this situation, please let us know. Unemployment in Rhode Island is on the increaseand we need some aid.

I am well aware of the work our congressional delegation is doing in trying to have work funeled into this area also the efforts on foreign imports and other matters.

If possible, we would like to help.

Sincerely yours,

EDWIN C. BROWN,

Secretary-Treasurer, Rhode Island State Federation of Labor.

Hon. PAUL H. DOUGLAS,

Washington, D. C.

SOUTHERN ILLINOIS UNIVERSITY,
Carbondale, Ill., March 16, 1957.

Dear Senator: I am in receipt of your congressional bill S. 964 and your kind letter informing us of the hearings held in this regard.

I note by local news items that two of the gentlemen from our area intend to personally testify at the hearings in this regard; therefore, I feel that it would not be necessary for me to repeat their testimony.

I am certain that a recent blow to our industrial efforts will be of interest to you which I feel has a direct connection to your bill. For the past 9 months the industrial section of our department has been working with the Nation's second largest luggage manufacturer to locate him in the community of Cairo, Ill. After the many months of negotiations, the president of this organization decided that Cairo would be the correct location. After moving much of his equipment, sending two of his men from his main plant in Seattle, Wash., and purchasing a home for his superintendent, this manufacturer and his plant were spirited away to another State.

Through the power of dollars the competing community and State of Helena, Ark., were able to offer a building of approximately 30,000 square feet for ap proximately $15,000 and allowed the manufacturer $5,000 for moving costs. This same building would have cost our people in southern Illinois approximately $150,00, an amount which they could not raise immediately. Because of the time element in connection with the manufacturer's product and the ridiculously low cost for such a building in the other State, the president of the company felt he had no alternative but to pick up and move. Had our people in this economically depressed area been armed with the aids of this bill, 500 more people would have been eventually employed, not only relieving the subsidization to such an area but actually developing more dollars in taxes for the Government.

I sincerely hope that you shall be finally successful in your most consistent attempt to aid our southern Illinois communities.

Again offering my services in any way possible, with best wishes.
Sincerely yours,

ROBERT S. HENDERSON,
Industrial Consultant.

GREAT FALLS, MONT., March 4, 1957.

Hon. PAUL DOUGLAS,

United States Senate,

Senate Office Building, Washington, D. C.

DEAR SIR: I wish to express my approval of Senate bill 964 (the Douglas de pressed areas bill). It highlights an increasing American problem that of regions suffering continuous "hard times" alongside of regions of prosperityand it points the way to a solution.

In Montana we are favorably impressed with those provisions which open a way for industrial development among Indian tribes and in Indian areas.

Hill 57, Great Falls' Indian shantytown, has grown in population since we discovered over 300 people living there permanently in 1955. Industrial development on the reservations will provide employment for many Indians who would otherwise be pushed into a shrinking market for unskilled labor in the cities of Montana.

Sincerely yours,

RICHARD A. CHABLES.

Senator PAUL H. DOUGLAS,

Senate Offices, Washington, D. C.

TAOS CHAMBER OF COMMERCE,
Taos, N. Mex., April 1, 1957.

DEAR SENATOR DOUGLAS: Thank you for your letter of February 26, 1957, and enclosures. I have been in Mexico on vacation, so please pardon the delay in replying.

We are very glad to know that you are again introducing the area developmen bill, and want you to know that we are all as much interested in this legislation as we were last year. We promise you that we shall do all that we can to further its passage. The need in Taos County for such legislation is just as urgent as it was last year.

The report I made to your committee on March 28, 1956, is equally applicable to conditions in Taos County today. My statement is covered in the published report, page 994, part II of the Hearings Before the Subcommittee on Labor and Public Welfare, United States Senate, 84th Congress, 2d session, on S. 2663.

I shall review that report and present conditions at an early date, and if there is anything that I can add, I shall forward it to you. Because of our financial condition in the county there seems little chance that I will be able to appear before your committee this year, but we want you to know that we certainly appreciate your efforts in evaluating this much-needed legislation.

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DEAR SENATOR DOUGLAS: We have your letter and the enclosed S. 964. We are vitally concerned with the Pope-Hardin County situation and wish to submit the following information which we feel will be of value in the attempts to assist depressed areas.

In January 1957 we had a very thorough census of our county and at the present time the rural community has 3,309 and Golconda 891. In Hardin County the census of 1954 showed 7,000 people. Both counties are decreasing very rapidly due to unemployment, and the area redevelopment, Senate bill 964, we believe, will help tremendously.

Very truly yours,

CHARLES W. DURFEE, President.

AMERICAN PAPER & PULP ASSOCIATION,
New York, N. Y., April 17, 1957.

Hon. J. W. FULBRIGHT,

Chairman, Banking and Currency Committee,
United States Senate, Washington, D. C.

DEAR SENATOR FULBRIGHT: We are submitting this letter to the Subcommittee on Production and Stabilization and to the full Banking and Currency Committee of the Senate, in lieu of personal appearance before the subcommittee, to express our views in opposition to bills such as S. 964, S. 104, and S. 1433, the so-called area redevelopment bills.

The pulp and paper industry of this country is of the opinion that legislation of this type would result in placing the Federal Government in a position where, for all practical purposes, it would be operating business in competition with private enterprise. Where there is legitimate need for the construction of a plant or factory, private capital is not lacking for the development of economically sound ventures. Our own industry, and indeed all industry today, is embarked upon heavy capital investment programs which are designed to increase production and which have as a corollary the increased employment of workers. Also, the many examples of local community endeavors cooperatively undertaken by industry, labor, and the public, have succeeded in attracting new industry into temporarily depressed areas. This development has been enhanced in many instances through the action of municipal governments which have provided legitimate inducements at the local level.

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