nation, customs policy and administration; administration of agricultural projects, a Masters' Degree in agricultural development, and planning in integrated rural development, public agricultural administration, forestry, and marketing; and in administration of public enterprises, and methods of organizational analysis. The IDB also has under consideration in early March, 1977, two other Brazil projects to fund (a) studies of ways to reduce the vulnerability to price fluctuations and to provide supervised credit for low income food crop farmers in northeast Brazil; and (b) a study of agricultural services, feeder roads, and health programs in Maranhao State. Under discussion with Argentina are projects including several studies for development of such institutions as a national health laboratory and a regional animal health laboratory, and for rural development of specific provinces and arid zone agricultural productivity. An agricultural development investment program is under consideration for one province. There are also proposals for training programs in water resource planning and control and in public administration. These training programs would allow for training of nationals from poorer, neighboring countries. At least one non-profit organization is being considered for project administration. The Chilean program has not been worked out in any detail. The Inter-American Foundation (IAF) has under consideration some new project proposals which it might administer in that country. As for the IDB's direct programming, possibilities under preliminary consideration include a program for food rationing and distribution for children of lower income families; project preparation for a small farmer cooperative development program and, through a university, for a rural development program for Mapuche natives; and establishment of a fund to guarantee investment projects in lower income rural areas. For Peru, Bank Management is considering projects to provide services to small farmers in the production of strategic crops, and for training Peruvians and others in health and environmental sciences, cattle handling and pasturage in high elevations, irrigation, project administration, and virus-free seed production. Proposals for SPTF financing of projects in Colombia are still expected. Projects will be approved under the normal procedures of the IDB Board of Directors. The U.S. Government will act upon them through instructions to the U.S. Director. He has a veto on SPTF financing, and his veto is protected under the arrangements made for admission of new non-regional member nations to the IDB and for the current replenishment of the Bank. (The replenishment will take effect only if the U.S. vote does not fall below 34.5 percent. A two-thirds vote is required for approval of SPTF projects.) RESTATEMENT OF SOME CONGRESSIONAL CONCERNS Senator SCHWEIKER. One of the problems that I see developing here is that when you talk about these proportionate increases in international financial institutions, you are really getting to another problem and that is how much help is multilateral aid in promoting U.S. ideals and interests. That was the point I was getting at regarding India. We all know of the decrease in freedom that has happened in India. Recently we had some of our news people kicked out for providing what we feel is legitimate coverage. So here through the sort of facade of IDA, we are turning around with the equivalent of a $470 million loan to India, assuming the prevailing allocation formula continues. That would surely sink of its own weight if you are going to approach things on that basis. I think the larger you go with figures in these multilateral aid programs, the more of these kinds of questions are going to be asked. I think, Mr. Secretary, you are beginning to put the whole thing in very great jeopardy when we get into these levels because more and more of my colleagues on the Senate floor are surely going to raise issues like this and the bigger the figures become the more opposition we are going to get; so I think we really should be aware that we can carry multilateral aid requests beyond the point of breaking, and the whole structure may fall down just because the figures get so big and the actual aid to one country gets so big. I think this one taxpayer burden is going to be very difficult to support on the floor and no doubt is going to provide ammunition for an attack against the multilateral concept. I think you bring into question the whole multilateral concept which I believe does have merit within reasonable bounds. So I would like to advise some of your colleagues and people that work on these programs that you are going to kill the goose that lays the golden egg when you come up with figures like this. This is just one Senator's honest opinion as to where this program is heading and the trouble it is going to face in the Senate. Chairman INOUYE. Mr. Secretary, thank you very much. I would like to say in closing that I think most of us are convinced that not only for humanitarian reasons but for our own selfish reasons it would be in our best interest to help the less developed countries. I think we can serve as the administration's advocates. However, our job would be made much, much easier, sir, if we could count upon you to convince some of the officers of the international institutions to keep down their cost of operations. It becomes galling to some of the Members of Congress when they know they cannot go on an SST. However, those people who we are subsidizing have taken 577 trips. We have caught unmitigated hell for giving ourselves a pay raise, as though it is an evil and sinful thing for Members of Congress to get a pay raise. We then see what the situation is in the financial institutions where we have been subsidizing anywhere from 22 percent to 100 percent. So if this message can be put across to these officials it would make our job easier. After all, this Government is not run by computers. It is run by politicians who have to be sensitive to the needs and demands of their constituencies. That being the case, at times we may make crazy decisions. I hope one of those crazy ones will not affect the international financial institutions. Mr. Secretary, as I said earlier, I thank you very much for the spirit of cooperation you have shown from the moment you have stepped into your position. We look forward to working with you, sir, and I think this is the beginning of a nice era. Secretary BLUMENTHAL. Thank you very much, Mr. Chairman. I appreciate those words and look forward to working with you and your colleagues. SUBCOMMITTEE RECESS Senator INOUYE. The subcommittee will stand in recess until Tuesday, March 8, 1977. At 10 in the morning officials from the Department of State will appear to justify their budget request for fiscal year 1978 for Migration and Refugee Assistance and the U.S. Emergency Refugee and Migration Assistance Fund. In the afternoon, at 2 p.m., State Department officials will present testimony on International Narcotics Control and will be followed by officials from the Agency for International Development who will justify the budget request for International Disaster Assistance and American Schools. [Whereupon, at 11:45 a.m., Wednesday, March 2, the subcommittee was recessed to reconvene at 10 a.m., Tuesday, March 8.] FOREIGN ASSISTANCE AND RELATED PROGRAMS APPROPRIATIONS FOR FISCAL YEAR 1978 TUESDAY, MARCH 8, 1977 U. S. SENATE, SUBCOMMITTEE OF THE COMMITTEE ON APPROPRIATIONS, Washington, D.C. The subcommittee met at 10 a.m. in room S-126, the Capitol, Hon. Daniel K. Inouye (chairman) presiding. Present: Senators Inouye and Schweiker DEPARTMENT OF STATE REFUGEE AND MIGRATION AFFAIRS STATEMENT OF JAMES L. CARLIN, DEPUTY COORDINATOR FOR REFUGEE AND MIGRATION AFFAIRS ACCOMPANIED BY: E. AVERY ADAMS, JR., EXECUTIVE DIRECTOR, OFFICE OF THE SHEPARD C. LOWMAN, DIRECTOR, PROGRAM AND ASYLUM DI- Senator INOUYE. The subcommittee will please come to order. Our first witness is Mr. James L. Carlin, Deputy Coordinator for Human Rights and Humanitarian Affairs, Department of State. This morning, Mr. Carlin will offer justification for the administration's fiscal year 1978 request of $30,054,000 for migration and refugee assistance. Mr. Carlin will also offer justification for the $15 million request for an addition to the U.S. Emergency Refugee and Migration Assistance Fund. TABLE ON JUSTIFICATIONS Without objection, the table reflecting these requests will be inserted in the record at this point. [The table follows:] (321) Migration and refugee assistance Fiscal year 1977 appropriation_. Fiscal year 1977 supplemental-Soviets not resettling in Israel... Fiscal 1977 supplemental-Indochinese assistance_-. Total Fiscal year 1978 budget request. $10,000,000 8,325,000 31,000 7,400,000 25,756,000 24,554,000 Fiscal year 1978 budget amendment-Indochinese refugee assistance-- 5,500,000 Total 30,054,000 Emergency refugee and migration assistance fund Unobligated balance available, September 30, 1976---. $ 8,640,000 6,360,000 Total 15,000,000 Fiscal year 1978 budget estimate-----. PREPARED STATEMENTS 15,000,000 Senator INOUYE. Mr. Carlin, as you know, we have received your prepared statements and I have read them with much interest. So, without objection, they will be inserted in the record in toto at this point and if you care to summarize, you are welcome to do so. [The statements follow:] |