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The balance to be sought here is one that would ensure everyone basic access to public recreational facilities at minimal cost. But we must continue to get the job done, whatever the cost may be.

Permit me to take my earlier education analogy one step further in an effort to convey the precept that nature, with its variety of opportunities, is the university of the whole man. It is a paradox that we do so little to enlighten ourselves upon entering this university. We understand so little about appropriate use of our leisure time. We must maintain programs which help us understand the highest and best uses of our leisure time.

But my most important point, Mr. Chairman, concerns stewardship and finance. It's time that we consider establishing a natural assets trust fund created from proceeds derived from the extraction of the Nation's mineral resources, oil from the Outer Continental Shelf, and from the sale of public domain lands. The use of our capital for operating budgets, Mr. Chairman, has got to stop.

I've furnished for your consideration and the record, a proposal for estabishing a natural assets trust fund and a proposal for the development and implementation of a feasibility study and an educational program for a natural assets trust fund.

Recently I asked Casper Weinberger what he thought of the propensity of the Federal Government to spend its capital in the annual operating budgets. He quickly retorted that he was from Maine, and in New England it's against the law to spend your principal. I wish that were true. I wish that were true throughout our society, particularly in the public sector and those agencies charged with the stewardship of the ultimate basis of our wealth: our natural resouces.

Because this Nation is blessed with an abundance of natural resources, we have neglected to establish a long-term reserve to meet future needs. The value of these resources belongs to not just our generation but to our children and grandchildren. Trusts offer us opportunity for more equitable intergenerational distribution. Proceeds from the investment of the proposed trust could be used to help smooth out the ups and downs of recreation funding which run with the economic cycle.

We should have reserves to help accomplish needed projects when the economy is down. The trust could help maintain a constant flow of public sector funding for recreation and park maintenance needs. A natural assets trust is a responsible device for ensuring the integrity of funds derived from the sale of public natural resource capital assets.

I'm suggesting that the trust be in place to receive funds. I am not encouraging more rapid disposal just to create the trust.

I have a friend named Jesus who lived 2,000 years ago and from whom I gained an understanding of love for my neighbor, a neighbor who may live 2,000 miles away or 2,000 years from now. I hope 2,000 years from now my neighbor is able to understand that you and I best expressed our love for him through the way in which we deal with the Earth and its resources.

The ancients learned that famine results when you spend or eat your seed corn. We need to be reminded of that when we eat our natural wealth.

President Theodore Roosevelt said, "It's safe to say that the prosperity of our people depends directly on the energy and intelligence with which our natural resources are used. It is equally clear that these resources are the final basis of national power and perpetuity."

In summary, Mr. Chairman, we have the opportunity today to balance the system through fees, appropriations in the pursuit of a natural assets trust fund, the proceeds of which would be available to Americans in perpetuity as a resource for good times and bad. To quote our President, "If not us, who? If not now, when?" Thank you, Mr. Chairman.

[The prepared statement of Mr. Howell follows:]

TESTIMONY OF CHARLES A. HOWELL, III,

BEFORE THE SUB-COMMITTEE ON PUBLIC LANDS AND

RESERVE WATER, SENATE COMMITTEE ON ENERGY AND NATURAL RESOURCES JUNE 27, 1985

MY NAME IS CHARLES A. HOWELL, III. BY APPOINTMENT OF GOVERNOR LAMAR ALEXANDER OF THE STATE OF TENNESSEE, I SERVE AS THE COMMISSIONER OF THE DEPARTMENT OF CONSERVATION, AS WELL AS TENNESSEE LIAISON OFFICER FOR THE ADMINISTRATION OF THE LAND AND WATER CONSERVATION FUND AND AS STATE HISTORIC PRESERVATION OFFICER. I APPRECIATE VERY MUCH THE OPPORTUNITY TO APPEAR BEFORE THIS SUB-COMMITTEE AS IT DELIBERATES THE ISSUE OF RECREATIONAL FUNDING FOR THE VARIOUS FEDERAL PROGRAMS.

FIRST, WE MUST DETERMINE WHAT IS AN APPROPRIATE SUBSIDY FOR LEISURE OPPORTUNITY? CURRENTLY, LOCAL GOVERNMENTS RECOUP APPROXIMATELY 25 PERCENT OF OPERATIONAL EXPENSES FROM USER FEES, AND STATE AGENCIES RECOVER AN AVERAGE OF 28 PERCENT. (OPERATIONAL EXPENSES DO NOT INCLUDE MAJOR MAINTENANCE ITEMS

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OR THE AMORTIZATION OF DEBT SERVICE.) USER FEES ARE DERIVED
FROM SUCH THINGS AS CHARGES FOR OVERNIGHT ACCOMODATIONS, GOLF
COURSE AND ENTRANCE FEES, AND CHARGES FOR CONSUMABLE GOODS.

DUE TO THE NATURE OF ITS TRADITIONALLY LARGE LAND BASE,
PUBLIC SECTOR LEISURE SERVICES ARE UNLIKELY TO EVER BE COST
EFFECTIVE UNTIL YOU INCLUDE ALL THE ECONOMIC BENEFITS DERIVED.
AN EXCELLENT DISCUSSION OF THIS MATTER CAN BE FOUND IN THE
RECENT PUBLICATION "THE CONTRIBUTION OF OUTDOOR RECREATION
TO STATE ECONOMIC DEVELOPMENT."

RECREATIONAL OPPORTUNITY IS OFTEN PERCEIVED MUCH LIKE EDUCATIONAL OPPORTUNITY. WE EXPECT A BASE TO BE SUPPORTED THROUGH TAXES. PRIVILEGES BEYOND THAT BASE

SUCH AS AN OVERNIGHT

STAY IN A LODGE OR THE USE OF A GOLF COURSE SHOULD BE BORNE
BY THE USER AT A RATE COMPETITIVE WITH THE PRIVATE SECTOR
ENTREPRENEUR OR THE INDEPENDENT SECTOR PROVIDERS.

STUDIES IN TENNESSEE SHOW THAT OUR PEOPLE ARE WILLING TO PAY INCREASED FEES WHEN THAT MONEY GOES BACK INTO THE PARK SYSTEM.

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ADDITIONALLY, FOR GREATER COST EFFECTIVENESS, WE MUST
PROVIDE INCENTIVES FOR OUR PARKS TO ECONOMIZE. REDUCTION
OF THE PARK BUDGET ONE DOLLAR FOR EVERY DOLLAR COLLECTED OR
SAVED IS NOT AN INCENTIVE. I PERSONALLY BELIEVE THAT A
25 PERCENT OPERATING COST RETRIEVAL GOAL CAN BE MET, IF
SOME OF THE MONEY COLLECTED IS ADDED TO, AND NOT DEDUCTED
FROM, THE PARK BUDGET.

THE BALANCE TO BE SOUGHT HERE IS ONE THAT WOULD ENSURE EVERYONE BASIC ACCESS TO PUBLIC RECREATIONAL FACILITIES AT MINIMAL COST.

PERMIT ME TO TAKE MY EARLIER EDUCATION ANALOGY ONE STEP FURTHER IN AN EFFORT TO CONVEY THE PRECEPT THAT NATURE WITH ITS VARIETY OF OPPORTUNITIES IS THE UNIVERSITY OF THE "WHOLE IT IS A PARADOX THAT WE DO SO LITTLE TO ENLIGHTEN OURSELVES UPON ENTERING THIS "UNIVERSITY." WE UNDERSTAND SO LITTLE

MAN.

ABOUT APPROPRIATE USE OF OUR LEISURE TIME.

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