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Kwajalein, is the off loading point for all food supplies for the Nike X facility in the entire atoll and all perishable foods require temporary refrigerated storage prior to transhipping to the other islands. This is a very necessary project. Senator INoUYE. Do you have any humidity control supply centers in Kwajalein? General SHULER. No, sir. We don't have any such facilities there. The ones we are requesting are in Europe, of course, in connection with tactical equipment Senator INoUYE. There is no need for that here. General SHULER. No, sir; I don’t believe there is. The length of time involved is different. Senator INoUYE. Please proceed, sir. General SHULER. On page 382 is a repair project for the cargo ier. The pier in its present condition cannot accommodate the heavy oading required during the stevedoring operations. The use of cribbing or shoring with heavy timbers to support the heavy loads of construction materials and equipment is expensive and time consuming. The loading is now limited to 400 pounds per square foot and the requirement is for loading capability of up to 800 pounds per Square foot with single lift loads up to 50 tons. This would make the pier completely operable in handling our heavy lifts of the equipment we have to ship in and out. Senator INoUYE. Any question? Please proceed. General SHULER. Page 383 is air-conditioning of the barracks. This will provide 140 tons of air conditioning in the living area assigned to skilled workmen who are employed in construction of the technical and support facilities. Adequate living quarters are mandatory in order to recruit and maintain these craftsmen in this location. We have a very hot, humid condition here, sir, which makes it almost mandatory. Senator INoUYE. Please proceed. General SHULER, Mr. Chairman, we have completed the items that are unclassified and the remaining items are all in the classified cate'OI’leS. 9. Senator INoUYE. General, in about 3 minutes we will be called on the floor to cast our vote. General SHULER. Yes, sir; that will be fine. (Whereupon, at 3 p.m. a recess was taken. At 3:45 p.m. the committee proceeded into executive session, and recessed at 4:30 p.m., to reconvene on Thursday, May 20, at 2 p.m.)

MILITARY CONSTRUCTION AUTHORIZATION, FISCAL YEAR 1966

THURSDAY, MAY 20, 1965

U.S. SENATE, COMMITTEE ON ARMED SERVICEs,
AND SUBCOMMITTEE ON MILITARY CONSTRUCTION
OF THE COMMITTEE ON APPROPRIATIONS,
Washington, D.C.

The Committee on Armed Services and the Subcommittee on Military Construction of the Committee on Appropriations met jointly, pursuant to recess, at 2 p.m., in room 212, Old Senate Office Building. Present: Senators Byrd of West Virginia (presiding), Yarborough, Cannon, Young, Inouye, Smith, and Tower. Also present: Senator Bartlett of Alaska. Gordon A. Nease, professional staff member; Charles B. Kirbow, chief clerk; and Herbert S. Atkinson, assistant chief clerk. Senator BYRD. The committee hearings will resume. The hearing this afternoon is a continuation of the hearings on the military construction authorization bill for fiscal year 1966, but it is called specifically to consider fuel conversion projects at the Elmendorf Air Force Base and Fort Richardson, Alaska, where it is proposed to convert from coal to natural gas. We have with us both interested parties from Alaska as well as the Defense witnesses. I am going to ask a former member of this Committee on Armed Services, Senator Bartlett, to sit at the table here with us. Senator Bartlett is a member of the Committee on Appropriations and both the Senate Committee on Armed Services and the Senate Subcommittee on Appropriations for military construction have been sitting jointly for these hearings. We are very pleased to have Senator Bartlett sit at the table. Senator BARTLETT. Thank you. Senator BYRD. Also present this afternoon is Representative Ralph Rivers of Alaska, and realizing that Mr. Rivers’ time may be very limited, I shall ask him to also sit at the table. Won’t you come here. Representative RIVERs. Thank you, Senator. Senator BYRD. Now, in a moment, Representative Rivers, I shall ask that you present your statement. This is at the request of Senator Bartlett that you proceed first, but before you present your statement, I should like to call on Senator Smith of Maine who is a member of the Armed Services Committee and of the Appropriations Committee of the Senate to present a statement which she would like to have included in the record and inasmuch as she must leave for another engagement, I shall ask Senator Smith if she will proceed now.

STATEMENT BY SENATOR MARGARET CHASE SMITH 0N BEHALF OF SENATOR JACK MILLER OF IOWA

Senator SMITH. Thank you very much, Mr. Chairman.

I have a statement handed to me by the ranking member, Senator Saltonstall, on behalf of Senator Miller, which I would like to read into the record and ask that a statement in reply to it be made at the proper place by the proper officials or persons.

Senator ByRD. Very well.

Senator SMITH (reading):

MEMORANDUM

Re item in 1966 military construction budget to convert boilers at the powerplants at Fort Richardson and Elmendorf Air Force Base, Alaska, from coal to natural gas and/or oil firing.

To: Senator Saltonstall. From : Senator Miller. Date: May 18, 1965. On Thursday, May 20, at 2 p.m., there will be an open hearing of the Senate Armed Services Committee at which the above-mentioned subject will be presented. I understand that departmental witnesses will be present. I have been informed that a bid to supply gas on a 5-year contract has been made and that the savings over coal will amount to around one-half million a year ($500,000); that an objection has been raised to the effect that some 60 coal miners would be put out of work. However, I am advised that these coal miners are bulldozer operators engaged in strip mining, so that they are not typical miners as we normally understand them, and, with their bulldozing skill, would likely have little difficulty in finding employment. I am scheduled to be at the testimonial dinner for Senator Curtis Thursday night, and, therefore, cannot attend this hearing, but I would appreciate it if you would see that these points are covered if you are present (or, if not present, if you could see that someone on the committee does cover them). JACK MILLER. Senator ByRD. All right, Senator Smith, this will be included in the record and we will see that witnesses respond to the questions that have been presented in Senator Miller's correspondence. Senator SMITH. Thank you very much. Senator BYRD. Thank you very, very much. Now, Representative Rivers, if you will please proceed.

STATEMENT OF HON, RALPH. J. RIVERS, REPRESENTATIVE IN CONGRESS FROM THE STATE OF ALASKA

Representative RIVERs. Mr. Chairman and members, it is my privilege to appear before you and for which I wish to thank you for the opportunity to so do.

ll of us in the Alaska delegation are opposed to the conversion

of the Fort Richardson and Elmendorf Air Base powerplants from coal to natural gas, which would be authorized under the bill now pending before you. I understand the specific dollar amount totals $1,560,000–$900,000 for Elmendorf Air Force Base and $660,000 for Fort Richardson.

We are hopeful that the committee will see fit to eliminate these items from the bill, thus saving the funds or freeing them for other requirements. After a brief outline of facts and general background. I will state my reasons for opposing these items.

Coal mining started in the Matanuska Valley in 1923, and the bases of Elmendorf and Fort Richardson, both adjacent to Anchorage, Alaska, have, since their construction about 25 years ago, fueled their respective powerplants with coal for the generating of needed electricity, and steam for central heating of all their buildings. This has worked satisfactorily and efficiently all these years. The coal, mined about 40 miles away, has been hauled to the bases over the Government's Alaska Railroad. The areas of Palmer and Jonesville make up the mining community. There are about 5,000 people all told in the valley and adjacent area. The two basic industries of the Matanuska Valley are agriculture and coal mining, and both have undergone severe economic struggles to Survive and gradually grow. Both are essential to the economic life and health of Palmer as a community and the valley as a whole. During 1957, oil and gas were struck on the Kenai Peninsula, between 80 and 100 miles from Anchorage. Thus, Anchorage and environs is one of the few places in the United States where the three fossil fuels—coal, oil, and natural gas—are all present in great quantities. The gas was piped to Anchorage in 1961. The Alaska Pipeline Co. which now brings gas to Anchorage turns it over for distribu3. § that city to its wholly owned subsidiary, the Anchorage Natural as UOrp. With this background in mind, please hear now my reasons for opposing the proposed authorization to convert the base powerplants from coal to gas. In the first place, the annual coal requirements of the two bases, totaling about 250,000 tons, make up about 90 percent of the coal market in the area, so that if these bases are converted to gas, coal mining would be wiped out. As the result, some 80 skilled employees with close to 300 dependents would be out of work. These families are not newcomers to Alaska— they have an average residence there of over 16 years. In addition, at least 40 other jobs connected with coal handling would be lost at the Railroad and at the military bases themselves. The payroll of the coal mine, which exceeded $1 million in 1964 would be gone, as would the additional $1 million expended by the mine in that year for the purchase of supplies and services in the area. Gas has had a good and expanding market since it commenced business in Anchorage in 1961, and this Congress should not go out of its way to help it pirate the military business, and kill an industry and wreck the economy of the Matanuska Valley. Mr. Chairman, the devastating effect of the closedown of coal mining in the Matanuska Valley is tellingly shown in a statement by Mr. Mason LaZelle, general manager of the Matanuska Electric Association, an REA co-op, which discusses the local economy in the way that only a local publicly owned utility can know it. I understand that the mine is the co-op’s largest single customer and Mr. LaZelle's statement shows that 11 percent of MEA’s revenue would be lost if the mine is shut down. Mr. LaZelle's statement contains many other vital points showing the importance of coal mining to the area, and I ask that it be incorporated at the end of my remarks. Senator BYRD. Without objection it will be incorporated as requested at an appropriate point in the record.

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