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Mr. Chairman, others have given equally lucid comment, much of which you have heard, on various aspects of the Nation's need, and the locus of education in any system of solution.

Our responsibility in the Congress is clear. Perhaps our course is less clear. Many would decry the actions we take, projecting on the screen of their future a multitude of fanciful evils- usurpation of State prerogatives, bureaucratic expansion, merciless Federal controls. Yet the programs we have devised in the past have been noted for the language which precludes such evils.

I think those safeguards were necessary. I would propose to continue them in this legislation. They have assured the discretion of State educational administrators. And I believe that no Senator would wish to change that.

Still the criticism comes. The need is ignored for fear the procedure is inherently bad. We must respond to the demand of the present and the future.

SUPPORT OF S. 415; NEVADA SITUATION

My own interest has been in preserving and extending that which has proven workable, while seeking sensible innovations to meet existing and new exigencies. This session I have sponsored a bill, which is before the Finance Committee, to provide a tax incentive to the parents of university students. I have cosponsored an expansion of the GI benefits to include the veterans of the cold war. S. 415, to extend the impacted areas aid, includes my name as a sponsor, and may I say, parenthetically, that I hope the committee will not delay action on this aspect of the total package so as to disrupt the planning of those school districts which receive this aid.

By way of illustration, I would point out that Nevada received over $3 million in fiscal year 1962 under the combined impacted area programs. Even if the student registration were to remain static so that no expanded demands were necessitated, it would be virtually impossible for the State treasury to absorb the loss of the Federal funds. The potential difficulty is telescoped to alarming proportions by the realism of our rate of student influx. In Las Vegas alone, which incidentally receives a large part of the Federal payment, the building demand calls for construction of two new classrooms each week.

Mr. Chairman, I think that is a record high throughout the country today for any area of comparable population. Think of that. Two new classrooms a week in an area of that size to keep up with current rate of growth.

The required financing is hopefully expected to come from a 1-percent increase in sales tax which the State legislature is submitting to the voters in referendum June 11. And I point this out to show that we are not trying to look solely to the Federal Government for help but we are trying to solve at least part of the problem ourselves. Certainly the imposition of taxes is something that is not a pleasant method to look forward to by any of us, and I find myself in a rather enviable position this year in that we are talking about reducing taxes at the Federal level, where at the State level now, as I previously ated, we are talking about the imposition of a tax.

As a matter of fact, I even see that the chamber of commerce, which notoriously is opposed to the increase of taxation, is now advocating the imposition of a sales tax in my hometown today to try to solve this ever-expanding need brought about by the school situation.

The catastrophic effect of the failure by Congress to extend Public Laws 815 and 874 is obvious. And I am certain that the Nevada situation is depictive of many other States.

CORRELATION OF EFFORT

Mr. Chairman, there is no single approach which will solve our problem by itself. Various efforts must be correlated, each of which is designed to deal with a different aspect of our education needs. I firmly believe that all children desire to compete as adults on an equal basis with their fellows. I believe, too, that every parent desires to give his child that opportunity.

Yet, many of the country's youth are being denied this advantage and, as a consequence, our whole country suffers. That suffering becomes increasingly acute in the light of our high rate of unemployment and the continuing trend toward automation.

We must devise those programs which will eliminate educational inadequacies, provide intellectual opportunities, and, at the same time, give security to the freedoms which this Nation enjoys.

Mr. Chairman, the President in his special message to the Congress on education began by saying, "Education is the keystone in the arch of freedom and progress."

I believe that the facts which this subcommittee will develop will give literal credence to that phrase and that eventually all citizens of this Nation will recognize that the best security for freedom lies in a citizenry which has had full opportunity to develop its intellectual capability.

I thank the chairman of the subcommittee for this opportunity to appear to present my views.

Senator YARBOROUGH. Senator Cannon, I congratulate you on the continued activity you have shown in the Senate in support of greater educational efforts for this country, and I congratulate you on your broad language in this, that you don't tie yourself to any one single solution, but different bills, different approaches, and I agree with you on that.

I cosponsored a good many educational bills but I would not try to put the particular form I think best; I would not try to impress it upon other Senators or Congress as a whole. This problem is so broad and very vast that there are many different approaches, and I hope some of these approaches can be carried through.

G.I. BILL

I particularly want to thank you and congratulate you on your cosponsorship of the cold war GI bill. Now, in many phases of this educational effort we are not falling behind what we have done in the past. Our failure is that we are not moving forward fast enough, but in the education of veterans we are falling_woefully behind. We did not educate the veterans of World War I, the

so-called apple-picking days, and the consequences of our procedure in Congress at this time we all know. We just had never done that. The people in the world as a whole hadn't done it. Then men of vision wrote bills for the veterans of World War II and under that bill 7.800,000 veterans went to school, to the great benefit of this Nation.

In the Korean conflict, about 434 million veterans, some 46 percent of those went to school under the Korean GI bill. We are now cutting veterans of the cold war adrift and like the veterans of World War I, they have to go out untrained, and unemployed, and unemplovable largely until they can retrain themselves.

This is not a bonus bill, but a veteran's readjustment bill. I want to commend you for your reiteration of your support for it in this statement. You have stressed in this, Senator Cannon, that the great need is in the field of science and engineering. The most recent report that our Government has made on that is covered in one of the President's messages to the Congress this year, that the Soviet Union is graduating from her universities and colleges three times as many scientists and engineers each year and 22 times as many physicians as we are per

year.

I think we have learned from the past that men in service who worked with some electronic equipment or radar, as a group, a larger percentage of those take science and engineering than any other group of students in college.

I think the GI bill would do more than any other single measure to get more students in college studying these critical categories. This where the different advisory boards, the President's educators, and all point that there has been a lag in connection with what we will need in the future.

I think that Admiral Rickover and also Dr. Teller have pointed out the great need in sciences and the great need for stepped-up emphasis on that in other places, that we must increase the number of men training in fields of science and engineering. If we don't, we will fall behind within not more than two decades, and one of them thanks within a decade in the field of science and engineering. Thank you a lot.

Senator Goldwater?

Senator GOLDWATER. I have just one comment to make. We in Arizona are very proud of this product of Arizona's higher educational system. Senator Cannon graduated from our university.

SALES TAX IN NEVADA

I was very happy, Senator, to see that the legislature has submitted to the people of Nevada the proposal for a 1-percent addition to your sales tax. We tried that in Arizona and up to now it has very adequately taken care of our school needs. I don't mean by this that we don't have impacted areas. We do. But it has taken care of our education needs in a very fine way.

I don't think it will forever, but I think Nevada will be pleased with the results if she will enact this into law.

Senator CANNON. Mr. Chairman, we enacted a 2-percent sales tax veral years ago solely because we could not keep up with the school

problem at that time, and this was quite a boon to us. As you know, we boast in the State of Nevada of very few taxes. We have no income tax. We have no inheritance tax, no estate tax, no corporation tax. But we did enact the 2-percent sales tax so that we could devote more effort toward our school problem, but the school problem has, like Topsy, just "growed," and it has "growed" at a very very fast rate.

If I remember my figures correctly now, I think we have better than 20,000 students on double time basis in our State today. The southern part of the State is hit worse than the northern part. But the school people in the north advise me that this coming year they will have substantial numbers on double time basis in the schools.

We just can't keep up, and when you keep, as I commented here, building two new classrooms a week to take care of one school district's demands based on present rates, that is certainly a tremendous burden. and we are certainly happy to try to keep up and I firmly support myself the increase of the sales tax from 2 to 3 percent in my State because it will make about $10 million in the biennium additional available for us, the bulk of which will actually go into the school program.

A little of that will go into some other areas, but the bulk of the money will go into the school program.

Senator GOLDWATER. I think one thing that sometimes we on this subcommittee overlook is the great job that is being done by the Western States where we own so little of our land. I think Nevada runs 86 percent under some governmental control. In Arizona we can only tax 12 percent of our land.

Now, we have been very proud of our ability to more or less carry our own, but unless we are able in some way down the line to get some of this land back so that we can either tax it for school purposes, or rent it for school purposes, we are going to be increasingly in a greater bind.

I will be very interested to see what our sister State, one of which county was created from my territory, is able to do with this 1 percent.

Senator CANNON. I thank the chairman and the subcommittee for the opportunity to appear. I certainly want to commend the chairman. He has been a leader in the field of education of war veterans for many, many years, probably the most knowledgeable man in the Senate on that particular point, and I commend him for his efforts and I am happy to join with him in the cosponsorship of the GI cold war bill this year.

Senator YARBOROUGH. Thank you, Senator. I have one question off the record.

(Discussion off the record.)

Senator YARBOROUGH. Back on the record. Thank you, Senator Cannon, for a very fine presentation here.

Senator CANNON. Thank you.

Senator YARBOROUGH. Gentlemen, ladies, we have a list of witnesses and a panel. Due to the fact that Senator Goldwater is forced to go to another committee hearing on defense and critical matters and he has a constituent here from his State, a distinguished educator from

California, bearing in mind his request to accommodate the other committee, Senator Goldwater, at this time we will call Dr. Freeman. Senator GOLDWATER. Thank you very much.

Senator YARBOROUGH. Senator Goldwater, will you present Dr. Freeman to the subcommittee.

Senator GOLDWATER. Mr. Chairman, Dr. Freeman for many years prior to his new engagement with the Hoover Institution on War, Revolution, and Peace, was actively engaged in the field of research on Federal aid to education, its impacts, its needs, and I think I can say this without qualification, that he is probably more learned in this field than any student of it in the country. I am very happy and proud to present him to the subcommittee even though he is not a constituent of mine. He has been raised partly on our water, I might say.

Senator YARBOROUGH. I realized, Senator Goldwater, that I enlarged your jurisdiction slightly.

Senator GOLDWATER. I would like to have it.

Senator YARBOROUGH. Although my residence is in El Paso, Tex., I realize from the water standpoint Arizona was modest in saying it is furnishing water for California.

Thank you, Dr. Freeman. Proceed in your own way.

STATEMENT OF ROGER A. FREEMAN, SENIOR STAFF MEMBER, HOOVER INSTITUTION ON WAR, REVOLUTION, AND PEACE, STANFORD UNIVERSITY, STANFORD, CALIF.

Dr. FREEMAN. Thank you, Mr. Chairman. My name is Roger A. Freeman. I am senior staff member of the Hoover Institution on War, Revolution, and Peace, Stanford University, Stanford, Calif.

For the information of your subcommittee I would like to mention that I directed the research for the Education Committee of the U.S. Commission on Intergovernmental Relations in 1954-55, was a consultant on school finance to the White House Conference on Education in 1955, and subsequently served on the White House staff.

Previously I had been assistant to the Governor of the State of Washington.

Opinions I may express are my own and do not necessarily reflect the views of any of the organizations with which I am or was connected. I appreciate the invitation of your subcommittee to testify on pending proposals for Federal aid to education, and have prepared a statement which focuses primarily on aid to construction of academic facilities in institutions of higher learning which I have submitted for the record and with your permission, Mr. Chairman, I would like to Summarize the statement orally, except for the introduction.

The President in his message on education of January 29, 1963, emphasized the paramount importance of education to the well-being and security of the Nation and described the precarious situation which many of our schools, colleges, and universities face in adequately financing their activities. Since the end of World War II educational enrollment has jumped from 28 to 50 million, an increase of 76 percent. This was accompanied by a growth in funds from $4 to $29 billion which, when adjusted for the simultaneous loss in the value of the dol

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