excessively high authorizations in the bill which are not designed to meet contemporary needs. The major requirements today are to modernize existing but obsolete hospitals, particularly in the inner cities, and, in the face of skyrocketing medical costs, to expand other types of medical facilities which can serve as more efficient and economic alternatives to hospital care. Given these factors, I proposed in April, 1969, that the medical facilities construction program be redirected-away from emphasis on additional hospital beds through direct Federal grants-in-aid. Instead, I proposed Federal guarantees for loans obtained in the private sector to modernize obsolete hospitals and construct additional hospital beds where population pressures so require. I further proposed a bloc grant to the States to help construct facilities for ambulatory care, long-term care and rehabilitation—alternatives to hospitalization. My proposal clearly faced the need to determine priorities in the use of limited Federal dollars. H.R. 11102 avoids facing up to the choice that has to be made. It would add the new program of guaranteed loans on top of an expanded program of grants for construction and modernization of medical facilities. This bill authorizes grants totalling $402 million in 1971; $422 million in 1972 and $437 million in 1973. The public and the medical care industry interpret authorization levels as an appropriation commitment. Yet it is certain that we shall not be able to appropriate such large sums. The health needs of the nation and the imminent expiration of the existing authorizations make it imperative that the Congress act quickly to correct the shortcomings of this measure. There are many excellent provisions in this bill and I shall be happy to approve a financially responsible bill without delay. Let no one interpret this veto as in any way lowering the high priority that this Administration has placed on the very important field of health. Health outlays for 1971 will be almost 28 percent higher than in 1969. We have proposed: A new program concept of Family Health Insurance which will benefit more than four million poor families as part of the family assistance program. Substantial increases in high priority areas of biomedical research; such as heart and cancer. Revision of Medicare to enable the aged to take advantage of the more comprehensive and efficient operation of pre-paid group practice arrangements. Significant expansion of programs to alleviate the major national problems of alcoholism and drug abuse. Expansion of family planning programs to provide counselling and assistance to millions of women who want but cannot afford such services. Major increases in funds to curb air pollution. In these times there is no room in this massive program-or in any other program-for the kind of needless and misdirected spending represented in H.R. 11102. I again call upon the Congress to join me in holding down government spending to avoid a large budget deficit in Fiscal Year 1971. THE WHITE HOUSE, June 22, 1970. [Excerpts from H.R. 11102] RICHARD NIXON. NINETY-FIRST CONGRESS OF THE UNITED STATES OF AMERICA, AT THE SECOND SESSION, BEGUN AND HELD AT THE CITY OF WASHINGTON ON MONDAY, THE NINETEENTH DAY OF JANUARY, ONE THOUSAND NINE HUNDRED AND SEVENTY AN ACT To amend the Public Health Service Act to revise. extend, and improve the program established by title VI of such Act, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled. SHORT TITLE; DEFINITION SECTION 1. (a) This Act may be cited as the "Medical Facilities Construction and Modernization Amendments of 1970". (b) As used in the amendments made by this Act, the term "Secretary”, unless the context otherwise requires, means the Secretary of Health, Education, and Welfare. TITLE VI-AVAILABILITY OF APPROPRIATIONS SEC. 601. Notwithstanding any other provision of law, unless enacted after the enactment of this Act expressly in limitation of the provisions of this section, funds appropriated for any fiscal year ending prior to July 1, 1973, to carry out any program for which appropriations are authorized by the Public Health Service Act (Public Law 410, Seventy-eighth Congress, as amended) or the Mental Retardation Facilities and Community Mental Health Centers Construction Act of 1963 (Public Law 88-164, as amended) shall remain available for obligation and expenditure until the end of such fiscal year. NEA NEWS SERVICE, NATIONAL EDUCATION ASSOCIATION, DIVISION OF PRESS, RADIO, AND TELEVISION RELATIONS, (NIXON'S $12 BILLION FREEZE INCLUDES ED FUNDS) Washington, D.C. (NEA News Service)—President Nixon has impounded more than $12 billion in Federal funds, including education funds, according to Sen. Sam Ervin (D-NC), Chairman of the Senate Judiciary Subcommittee on the Separation of Powers. While the major amount involves money for highways ($6 billion), urban construction, and public works projects, Ervin charged that money for the following education programs approved by Congress has not been released: $13 million for higher education, $8 million for community education, and $10 million for impact-aid programs. Ervin told NEA News Service that he considers the freeze on education funds "disturbing" and ranks restoration of hospital and health care funds first and education funds second in his priorities since "highways could wait." Ervin's information comes from February 23 and March 1 reports. The subcommittee has requested more information from the Office of Management and Budget. Stated Ervin, “by impounding appropriated funds, the President is able to modify, reshape or nullify completely laws passed by the Congress, thus making policy through executive power, an exercise which . . . flies directly in the face of constitutional principles." Ervin is now drafting a bill to require the President to notify Congress before funds are impounded, allowing Congress to veto that action. Nixon's action has reportedly angered some of the most powerful senior Democrats in Congress whose support is necessary to win passage of administration programs. They suggest that the President is deliberately thwarting the will of Congress on the ordering of national priorities and may be exceeding his constitutional authority to freeze funds. According to the administration, funds were withheld to combat inflation and to meet a $200 billion spending limit imposed by Congress for the fiscal year. While this practice has been used by several presidents since World War II, the amount currently being withheld is considered unprecedented. The Washington Post today reports that some critics hint that the administration is holding back money as bait for congressional enactment of revenue sharing or as a slush fund to pump up the economy in 1972 and help re-elect Nixon on a wave of full employment. [Excerpts from "A Conversation with the President", on live television and radio with Howard K. Smith, March 22, 1971, 9:30 p.m.] Mr. SMITH. The kind of thing I am concerned about is I see-this is a prediction-the next two years being dominated by this political theme: The age old conflict between the Executive and Congress, but in sharper form than ever. Resolutions are being prepared in the Senate to try and require your aides to testify and resolutions limiting your powers as Commander-in-Chief. There is another assault coming from another quarter and I don't know whether you are aware of it. But tomorrow morning Senator Ervin begins hearings on the impounding of funds by you which had been appropriated by Con gress. It is said that several billions of dollars that Congress is appropriating for things like dams and so on you have refused to spend, that this violates the Constitution and deprives Congress of its main power, the power of the purse. The PRESIDENT. Mr. Smith, when I was a Senator and a Congressman, particularly when I was a Senator and a Congressman with a President in the other party in the White House, I played all of those games, too, with very little success. These games are going to be played. The efforts will be made, it is true, by Members of the Senate, Members of the House, and some of them with the very best of intentions to hamstring the Executive, the President. When it is the proper thing to do, it will be done. But I think, generally speaking, you will find that in these great battles that have occurred through the years, between the President and the Congress, that sometimes the Congress wins, sometimes the President wins. But where the President's responsibility as Commander-in-Chief of the Armed Forces is concerned, and where the lives of American men are involved, usually the President wins and for good reason. You can have only one Commander-inChief. [Excerpt from transcript of meeting of Subcommittee on Reprogramming of Funds, Apr. 6, 1971] SENATE COMMITTEE ON ARMED SERVICES Senator STENNIS. I have a very brief opening statement. This is our second meeting of our Subcommittee on Reprogramming following one of a week ago when Navy matters were before us. Although reprogramming actions have been handled in the past in a rather informal way, we recently learned that the requested reprogramming for the Department of Defense had reached the sum of over a billion dollars. I felt that a subcommittee was necessary to consider these reprogrammings but because each reprogramming is actually the using of money appropriated by the Congress for another purpose, each one requires a second look and a rerun. We go over and over these items many times when the laws are originally passed; we go through debate and conference and the whole thing and then the reprogramming requests require that we come back and go through them again. I frankly do not know how far we can go in giving a great deal of attention to this; it is just more than the Committee can do. Fifteen prior approval reprogramming actions have been received by the Committee so far. Four have been approved, two prior to the formation of this Subcommittee, two have been withdrawn, one is awaiting final disposition, and three have not been acted on by the House Committee. This leaves five, and I hope we can get all of them today. [From The Washington Post, Aug. 1, 1968] LBJ FREEZES 'IMPACTED AREAS' FUNDS (By J. W. Anderson) President Johnson said yesterday that he will not spend $69 million of the "impacted areas" school aid money that Congress appropriated last month. His decision ends months of campaigning by school officials throughout the country, and their Congressmen, to force the money out of the Administration. The President's refusal presents severe and immediate budget trouble to schools in Washington and Prince George's County, this area's two largest systems. The money is aid to school districts that enroll large numbers of children of Federal employees. Congress appropriated enough last April to pay local school systems about 80 per cent of the amounts that they expected under the existing law. In July, pressed by school officials, Congress passed a supplemental appropriation of $91 million to bring the payments up to 100 per cent. ། TITLE VI-AVAILABILITY OF APPROPRIATIONS SEC. 601. Notwithstanding any other provision of law, unless enacted after the enactment of this Act expressly in limitation of the provisions of this section, funds appropriated for any fiscal year ending prior to July 1, 1973, to carry out any program for which appropriations are authorized by the Public Health Service Act (Public Law 410, Seventy-eighth Congress, as amended) or the Mental Retardation Facilities and Community Mental Health Centers Construction Act of 1963 (Public Law 88-164, as amended) shall remain available for obligation and expenditure until the end of such fiscal year. NEA NEWS SERVICE, NATIONAL EDUCATION ASSOCIATION, DIVISION OF PRESS, RADIO, AND TELEVISION RELATIONS, (NIXON'S $12 BILLION FREEZE INCLUDES ED FUNDS) Washington, D.C. (NEA News Service)-President Nixon has impounded more than $12 billion in Federal funds, including education funds, according to Sen. Sam Ervin (D-NC), Chairman of the Senate Judiciary Subcommittee on the Separation of Powers. While the major amount involves money for highways ($6 billion), urban construction, and public works projects, Ervin charged that money for the following education programs approved by Congress has not been released: $13 million for higher education, $8 million for community education, and $10 million for impact-aid programs. Ervin told NEA News Service that he considers the freeze on education funds "disturbing" and ranks restoration of hospital and health care funds first and education funds second in his priorities since "highways could wait." Ervin's information comes from February 23 and March 1 reports. The subcommittee has requested more information from the Office of Management and Budget. i Stated Ervin, "by impounding appropriated funds, the President is able to modify, reshape or nullify completely laws passed by the Congress, thus making policy through executive power, an exercise which . . . flies directly in the face of constitutional principles.” Ervin is now drafting a bill to require the President to notify Congress before funds are impounded, allowing Congress to veto that action. Nixon's action has reportedly angered some of the most powerful senior Democrats in Congress whose support is necessary to win passage of administration programs. They suggest that the President is deliberately thwarting the will of Congress on the ordering of national priorities and may be exceeding his constitutional authority to freeze funds. According to the administration, funds were withheld to combat inflation and to meet a $200 billion spending limit imposed by Congress for the fiscal year. While this practice has been used by several presidents since World War II, the amount currently being withheld is considered unprecedented. The Washington Post today reports that some critics hint that the administration is holding back money as bait for congressional enactment of revenue sharing or as a slush fund to pump up the economy in 1972 and help re-elect Nixon on a wave of full employment. [Excerpts from "A Conversation with the President", on live television and radio with Howard K. Smith, March 22, 1971, 9:30 p.m.] Mr. SMITH. The kind of thing I am concerned about is I see-this is a prediction-the next two years being dominated by this political theme: The age old conflict between the Executive and Congress, but in sharper form than ever. Resolutions are being prepared in the Senate to try and require your aides to testify and resolutions limiting your powers as Commander-in-Chief. There is another assault coming from another quarter and I don't know whether you are aware of it. But tomorrow morning Senator Ervin begins hearings on the impounding of funds by you which had been appropriated by Con gress. It is said that several billions of dollars that Congress is appropriating for things like dams and so on you have refused to spend, that this violates the Constitution and deprives Congress of its main power, the power of the purse. The PRESIDENT. Mr. Smith, when I was a Senator and a Congressman, particularly when I was a Senator and a Congressman with a President in the other party in the White House, I played all of those games, too, with very little Buccess. These games are going to be played. The efforts will be made, it is true. by Members of the Senate, Members of the House, and some of them with the very best of intentions to hamstring the Executive, the President. When it is the proper thing to do, it will be done. But I think, generally speaking, you will find that in these great battles that have occurred through the years, between the President and the Congress. that sometimes the Congress wins, sometimes the President wins. But where the President's responsibility as Commander-in-Chief of the Armed Forces is concerned, and where the lives of American men are involved, usually the President wins and for good reason. You can have only one Commander-inChief. [Excerpt from transcript of meeting of Subcommittee on Reprogramming of Funds. Apr. 6, 1971] SENATE COMMITTEE ON ARMED SERVICES Senator STENNIS. I have a very brief opening statement. This is our second meeting of our Subcommittee on Reprogramming following one of a week ago when Navy matters were before us. Although reprogramming actions have been handled in the past in a rather informal way, we recently learned that the requested reprogramming for the Department of Defense had reached the sum of over a billion dollars. I felt that a subcommittee was necessary to consider these reprogrammings but because each reprogramming is actually the using of money appropriated by the Congress for another purpose, each one requires a second look and a rerun. We go over and over these items many times when the laws are originally passed: we go through debate and conference and the whole thing and then the reprogramming requests require that we come back and go through them again. I frankly do not know how far we can go in giving a great deal of attention to this; it is just more than the Committee can do. Fifteen prior approval reprogramming actions have been received by the Committee so far. Four have been approved, two prior to the formation of this Subcommittee, two have been withdrawn, one is awaiting final disposition, and three have not been acted on by the House Committee. This leaves five, and I hope we can get all of them today. [From The Washington Post, Aug. 1, 1968] LBJ FREEZES 'IMPACTED AREAS' FUNDS (By J. W. Anderson) President Johnson said yesterday that he will not spend $69 million of the "impacted areas" school aid money that Congress appropriated last month. His decision ends months of campaigning by school officials throughout the country, and their Congressmen, to force the money out of the Administration. The President's refusal presents severe and immediate budget trouble to schools in Washington and Prince George's County, this area's two largest systems. The money is aid to school districts that enroll large numbers of children of Federal employees. Congress appropriated enough last April to pay local school systems about 80 per cent of the amounts that they expected under the existing law. In Ju's. pressed by school officials, Congress passed a supplemental appropriation of $91 million to bring the payments up to 100 per cent. |