Mr. KLUCZYNSKI. And you understand the situation this morning. I am sorry that we do not have a good attendance here this morning. We are all interested in that great agency, the Tennessee Valley Authority. And we are very, very happy to have you before the committee. We have many questions that we would like to ask you, but we cannot do it this morning. So we will appreciate it if you will answer our questions for the record. Mr. WAGNER. You will give us questions and ask that we submit the answers in writing? Mr. KLUCZYNSKI. Yes. Is there anything you want to say to the subcommittee? Mr. WAGNER. I want to say that we do appreciate the opportunity to appear before you. And this is certainly a very important series of hearings that you are embarked on. We know of your interest in the area. And we recall the visits that you have made to the Tennessee Valley and your interest in the rural development activities that are taking place there. I think the only thing that I might say is that in the Tennessee Valley, somewhat different than the rest of the Nation, our greatest population growth is taking place in the smaller towns and the rural communities, largely based on the fact that there are a great many citizen organizations there which are looking at the resources that they have to work with, and they are attracting industry to their areas, and as a result, jobs and economic growth that are suited to their particular circumstances. And the details of this and some examples are given in my prepared statement. Mr. KLUCZYNSKI. Thank you. I have been there several times. And I always got that southern hospitality. And I have always been happy and proud of the Tennessee Valley Authority. Gentlemen, you understand the situation this morning. I am very sorry, but we just cannot go on. I don't want to call the witness back tomorrow. So, we will let him go back and take care of the TVA. Mr. WAGNER. Thank you. Mr. KLUCZYNSKI. As I said before, we will send you the questions, hoping to have the answers for the record. Mr. WAGNER. Thank you. (The questions and answers follow:) Hon. AUBREY J. WAGNER, SELECT COMMITTEE ON SMALL BUSINESS, Chairman, Tennessee Valley Authority, DEAR MR. CHAIRMAN: This is in reference to the recent hearings by our Subcommittee on the future of small town and rural America. As you know, I indicated that we would appreciate your answering some questions for the record. I am sorry that we were not able to complete the hearings as scheduled. The Subcommittee understands that during the current fiscal year, the Tennessee Valley Authority has expanded its Agricultural Projects "program planning and analysis" to include "indepth studies of rural-urban migration and the development of plans to improve rural resources development". 1. How are these studies being conducted? 2. How many personnel are being utilized for this purpose? 3. What is the status of these studies? 4. When will they be made public and published? Your early attention to the above will be most appreciated. Sincerely yours, JOHN C. KLUCZYNSKI, Chairman, Subcommittee on Small Business Problems in Smaller Towns and Urban Areas. TENNESSEE VALLEY AUTHORITY, Knoxville, Tenn., June 13, 1972. Hon. JOHN C. KLUCZYNSKI, DEAR MR. KLUCZYNSKI: This is in response to your letter of May 30 requesting information about studies of rural-urban migration conducted in connection with our Agricultural Projects "program planning and analysis." This activity is conducted primarily to improve data for planning TVA's regional agricultural resource development programs. For these and other development programs, we have for many years studied various aspects of rural-urban migration. We recognize that the materials TVA uses for internal planning are often useful to others, and in some instances the results are published or prepared in written form suitable for distribution to agencies and individuals outside TVA. Our labor mobility studies are based on the 1-percent sample of the "Old Age and Survivors Disability Insurance" (OASDI) data file from the Social Security Administration's Continuous Work History Sample. The file consists of data for states and counties for the years 1957 through 1968 on an annual basis and includes both the employee-empioyer file and the self-employed file. TVA has merged these two data files for the entire United States. In this respect our data file is unique. As a result, the movement of workers and self-employed persons and their classification by industry of employment, geographic location of employment, age, sex, race, and income can be traced. We have recently received data for the first quarter of 1970. This information, along with data for the first quarter of other years, is being used in a study that examines the growth of the labor force by age, sex, race, income, industry of employment, and location of employment for the Tennessee Valley region and the Southeast for the periods 1960-1965 and 1965– 1970. Results from the study will be presented later this month at a symposium entitled "The Labor Force: Migration, Earnings, and Growth," which is being cosponsored by TVA and the Social Security Administration (SSA). We plan to publish the proceedings of this symposium. In 1972, 2.8 man-years of time were budgeted to the entire activity-"program planning and analysis." Within this program category, one-half man-year of professional and one-half man-year of clerical time were devoted to social security data studies in the Division of Agricultural Development. In addition, other TVA staffs provided limited assistance in the form of supplemental data, review, and analysis. Several sutdies have resulted from this activity. The completed studies include four that have been published and three papers that were presented by their authors at meetings of regional scientists and similar professional organizations. One of these will be published in the 1972 proceedings of the Southern Regional Science Association. Mention has already been made of the study, nearing completion, that will be presented at the TVA-SSA-sponsored symposium. Other studies related to rural-urban migration are planned. A list of the migration studies we have undertaken is enclosed. Copies of completed studies are made available to interested organizations or individuals upon request. To date, several hundred copies of the published reports and papers have been distributed. In addition, our computer processing and programing of the data have enabled us to provide computer programs and data on magnetic tapes to meet the research needs of such organizations as regional planning commissions, university research bureaus, and others. Sincerely yours, AUBREY J. WAGNER, Chairman. Published Studies LABOR MOBILITY STUDIES BY TVA Movement of Labor Between Farm and Nonfarm Sectors and Multiple-Jobholding by Farm Operators in the Tennessee Valley, Bulletin T67–4AE Mobility of the Tennessee Valley Labor Force, 1957-1963, Bulletin Y-23 Contribution of Farm Labor to the Nonfarm Labor Force in the Tennessee Valley, 1960-1965, Bulletin Y-24 1 Metropolitan Labor Force Migration in the Southeast, 1960-1965, Bulletin Y-39 Other Studies Completed Movement of Labor Between Farm and Nonfarm Sectors of the Tennessee Valley The Mobility of the Tennessee Valley Employed Labor Force Some Policy Implications of Labor Mobility in the South With Special Reference to the Tennessee Valley Region Study in Progress 1 Reflections on the Future Growth of the Southeast Mr. KLUCZYNSKI. The hearing is adjourned until tomorrow morning at 10 o'clock. (Whereupon, at 10:15 a.m., the hearing was recessed, to reconvene at 10 a.m., Thursday, May 4, 1972.) 1 Completed or scheduled to be completed in fiscal year 1972. THE FUTURE OF SMALLTOWN AND RURAL AMERICA: THE IMPACT ON SMALL BUSINESS THURSDAY, MAY 4, 1972 HOUSE OF REPRESENTATIVES, SUBCOMMITTEE ON SMALL BUSINESS PROBLEMS Washington, D.C. The subcommittee met, pursuant to recess, at 10 a.m., in room 2357, Rayburn House Office Building, Hon. John C. Kluczynski (chairman of the subcommittee) presiding. Present: Representative Kluczynski. Also present: Representatives Bergland and Lujan of the full committee; Donald B. Roe, subcommittee counsel; John M. Finn, minority counsel; and Myrtle Ruth Foutch, clerk. Mr. KLUCZYNSKI. The hearing will come to order. Today we continue with our hearings on the future of smalltown and rural America. Witnesses this morning will include the Honorable Robert Podesta, Assistant Secretary for Economic Development, Department of Commerce; the Honorable Samuel Jackson, Assistant Secretary of HUD; and Mr. Alvin Jones Arnett, Executive Director, Appalachian Regional Commission. Before calling our first witness I would like to announce that we were unable to complete our schedule of witnesses yesterday. This was due to circumstances beyond our control. However, the hearings may be resumed within the next few weeks in order to complete the testimony. And as you know, we were supposed to have the Secretary of Agriculture yesterday morning, and we had to postpone that until a future date. The committee will be very happy to hear the testimony of the Secretary. And now our first witness, the Honorable Robert Podesta, Assistant Secretary of EDA. Bob, you have the floor now. It is up to you, and you may do it in your own fashion. You have been a very good friend of mine for many years. You are doing a wonderful job, and I hope you will continue. It is nice to have you here before this committee. TESTIMONY OF ROBERT A. PODESTA, ASSISTANT SECRETARY FOR ECONOMIC DEVELOPMENT, DEPARTMENT OF COMMERCE, ACCOMPANIED BY JERRY CONROY, GENERAL COUNSEL Mr. PODESTA. Thank you, Mr. Chairman. Maybe I had better quit while I am ahead. (91) |