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New Guinea, the Solomon Islands, Tahiti, the Gilbert Islands, which on
July 12, 1979 will be the new nation of Kiribati.

It is vitally important that the PTDF be flexible enough to be able to spend some of its funds in non-American Island areas. In most cases this would be an extension of an ongoing fishery project. Examples could be the sending of a charter vessel within the 200 mile zone of an island to develop information that may be of value to its fishery; assistance in placing aggregation devices; and technical consultation on culturing bait.

PL 95-295 includes "...all appropriate member nations of a South Pacific regional fishery agency if such an agency is formed," as eligible for assistance under the Act. The agency has not as yet been formed and it is recommended that the words, "or any non-American island if deemed in the interest of United States fisheries or an American Island area" be added.

This amendment would also include Palau, Federated States of Micronesia and the Marshalls, which would no longer be eligible for PTDF assistance when the U.N. Trusteeship ends in 1981.

PTDF needs this flexibility in order to cooperatively develop fisheries resources in the Pacific and provide the environment for ready access of U.S. fishing vessels to established 200-mile fishery economic

zones.

plan.

We respectfully request:

1. Continued adequate funding of PTDF as included in our program

2.

The inclusion of PTDF in the Congressional budget.

3. That PL 92-295 be amended to give PTDF clear authority to work

with our foreign island neighbors in the development of fisheries resources in the Pacific.

The Pacific Islands Development Commission (PIDC) consists of

the Chief Executives of the governments of Hawaii, Guam, American Samoa, Trust Territory of the Pacific Islands, and the Commonwealth of the Northern Mariana Islands. Formed in 1970, its main purpose is to stimulate cooperative economic development in the Pacific area for the benefit of their respective peoples. PIDC recognized the considerable potential of the fisheries in diversifying and expanding Island economies and providing needed jobs. As a result, PIDC formed the Pacific Tuna Development Foundation in 1974. The Pacific Tuna Development Foundation is made up of the five American island areas. All of these areas are in dire need of improving their income producing economic base activities and providing employment for their citizens.

Very important projects have been initiated by PTDF. Research includes testing of baitfish, methods of fishing, and testing new fishing areas and equipment. In the past, PTDF funded over $1,000,000 in projects that directly benefitted the island areas. In 1979, over $675,000 will be released for island projects.

More and more now, we recognize that this organization is very necessary in that the Pacific islands are now vibrating with anticipation of economic development. During the later part of 1978, I attended a meeting of the South Pacific Forum which was held in Niue. I recognized then, that the future of the tuna industry depends greatly on how we can work with the Pacific island leaders of foreign countries. As you know, the Governments of Japan, Korea, Taiwan, the Soviet Union and Red China are moving into the Pacific area and establishing bases there. It is our hope that we can develop this great resource so the benefits can be shared by all of us who live in these island areas. This desire was also expressed by Premier Davis of the Cook Islands, Premier Rex of Niue, Prime Minister Fatafehi of Tonga, Prime Minister Lauti of Tuvalu, Minister Ata of Tahiti, and Minister Eikeni of Western Samoa, while attending a meeting of the PIDC which was recently held in American Samoa on January 10-12, 1979. We feel that this can be accomplished by assisting foreign areas in their fishery development and we look at PTDF as a vehicle to accomplish this.

The establishment of 200 mile fishery zones by Island areas threatens the viability of the two major canneries in American Samoa which

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employ some 1,500 people. This is the major economic activity in American Samoa and has a considerable impact on a population of some 30,000.

We believe we must work closely and cooperatively with our nonAmerican sister island areas in order to better assure the supply of fish to our canneries and to jointly develop the fisheries resource. Japan or fishing companies from Japan are making agreements with many island areas to fish in their fisheries zones. The PTDF can be an effective instrument in cooperating with non-American Island areas and we request the authority to be able to spend some funds, with the approval of the National Marine Service, in non-American fisheries development. Such efforts would normally be an extension of projects already underway for American areas and American fishermen.

The PTDF represents a unique blend of cooperation between the U.S. tuna industry and the U.S. related areas of the Pacific. Given the narrow base of our island economies, substantial social, cultural and economic changes can take place if this segment of our economies is developed properly.

In the past, PTDF has been funded through Salstonstall-Kennedy funds. Under this type of funding, PTDF cannot adequately plan and program its efforts without knowing from year to year whether it will be funded. The success of the program has been proven. As President of the Pacific Islands Development Commission and Board member of the Pacific Tuna Development Foundation, we request:

1. That PTDF be included in the Congressional budget.

2. Allow PTDF to assist where, appropriate, foreign island areas

3.

in fishery development projects.

Provide the funding requested for the carrying out of PTDF programs $2,927,148 for FY 80-81 and $3,457,234 for

FY 81-82.

PATENT AND TRADEMARK OFFICE

[The following statement from Mr. Eric P. Schellin, on behalf of the National Small Business Association and National Patent Council, was submitted to the Committee concerning the fiscal year 1980 budget request for the Patent and Trademark Office:]

STATEMENT OF

ERIC P. SCHELLIN

ON BEHALF OF

NATIONAL SMALL BUSINESS ASSOCIATION

AND

NATIONAL PATENT COUNCIL

BEFORE THE

HOUSE APPROPRIATIONS SUBCOMMITTEE ON

THE DEPARTMENTS OF STATE, JUSTICE, AND

COMMERCE, THE JUDICIARY, AND RELATED AGENCIES

Mr. Chairman and Members of the Committee:

My name is Eric Schellin. I am Vice Chairman of the Board of Trustees of the National Small Business Association (NSB),

a multi-industry trade association representing approximately 50,000 small business firms nationwide. I am also Executive

Vice President of the National Patent Council.

Also it is noted that the executive committee of the Small Business Legislative Council (SBLC) agreed on March 13, 1979 to poll its members to determine whether the position to be elucidated in the following should be approved. SBLC is a nationwide umbrella organization having as its membership trade associations and their affiliates which represent 4,000,000 small businesses.

We commend the committee for the opportunity to address the issue of underfunding of the United States Patent and Trademark Office and especially how this affects small business.

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