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Mr. DIEHL. I would say that the work is divided. There are certain projects that we are set up to handle particularly well. The Tariff Commission, in turn, is particularly well equipped to handle other phases of the problem. The practice has been to divide the work and eliminate any overlapping in order to do the best possible job.

Mr. CASE. If the entire Guidance and Reference Division were eliminated, would not your Motion Picture and Radio Division and your Administration Division be able to obtain all the information from the Press and Radio Division that you need?

Mr. HARRISON. No, sir, not at all. We have a great quantity of daily information going out. There must be quick access to current information, and I think we have probably the best library of information and the best source of information of any agency in the Government on Latin American affairs, which has been built up over the last 4 years.

Mr. CASE. There are 10 positions carried in the 'press department, and so many of that type of functions that it looks like your press department was pretty well equipped to give guidance and reference.

Mr. JAMIESON. I might point out that we have a great supply of incoming information in the Press Department. The Guidance and Reference Division is set up for the purpose of guidance, and is necessary for that purpose, as well as the analysis and sifting work which it does.

Mr. CASE. In the Press Department, according to your statement. you provide news, news commentaries, and round-ups of the war and world-wide news especially interpreted as it affects the Western Hemisphere, for short-wave broadcast to the other Americas. Special articles and features are supplied regularly to newspapers, magazines, and radio stations, as well as to established commercial feature syndicates which serve clients in the other Americas. I notice that you have economic writers, a director of Economic News Division, and you have analysts, practically the same categories as in the Guidance and Reference Division.

DISTINCTION BETWEEN GUIDANCE AND NEWS

Mr. JAMIESON. We make the clear distinction that the Press Department information is largely information for public distribution, whereas the information gathered by the Guidance and Reference Division is largely confidential and over-all information.

Mr. CASE. A sort of "brain trust"?

Mr. JAMIESON. No, I would not call it that.

For example, the Guidance Division gets material each day from our embassies in the other republics, which does not come in to the members of the staffs of the other divisions. It must then become responsible for guidance based on that information.

SOURCES OF GUIDANCE

Mr. CASE. Does your guidance come to you from military sources, from the Army and the Navy, or do you supply it to them?

Mr. DIEHL. It comes from them.

Mr. HARRISON. May I give you a little more detail about the operations?

Mr. CASE. Suppose you put a little statement in the record about that.

Mr. HARRISON. Yes; I will be glad to do that. (The statement referred to is as follows:)

GUIDANCE AND REFERENCE DIVISION

The Guidance and Reference Division provides direction and material for the operating divisions of the Office and to the coordination committees in Latin America. The effectiveness of action programs is dependent on the accuracy and completeness of the information on which these programs are based. Interpretation is equally important. This should not be confused with technique of presentation to the public, an area in which the operating divisions are specialists. Liaison with other Government agencies and departments is maintained to keep fully informed on our national policy on matters pertaining to Latin America. Information on economic, social, and political developments from a wide variety of sources in the Western Hemisphere is analyzed and summarized. Specifically, the Division.

1. Provides daily, weekly, and long-term guidance, suggesting subject matter, its priority and treatment for the operating divisions of the Office, both here and abroad.

2. Prepares reports on political, social, and economic problems on request and in anticipation of the needs of the operating divisions.

3. Represents the Office on a number of interdepartmental committees dealing with hemisphere problems.

4. Maintains a library on inter-American affairs and reports for the use of the Office and other interested agencies.

Each separate information group, whether in this country or in the field, could not physically make the necessary contacts to gather for itself the guidance and reference it requires. This Division, by assuming for the operating sections the functions described above, eliminates duplication, and insures unity of purpose and action.

EDUCATION DIVISION

Mr. RABAUT. We will proceed now to the consideration of the Education Division.

CAPITALIZATION OF INTER-AMERICAN FOUNDATION, INC.

You have created a corporation known as the Inter-American Educational Foundation, Inc., under authority carried in the previous acts.

What is the total capitalization of this corporation, and how much cash have you advanced to that fund?

Mr. HISLE. That is shown on page 7 of our justifications. The total capitalization of the Inter-American Educational Foundation is $5,088,275, and the cash grants received by the Foundation to date amount to $2,588,275. The other two and one-half million was provided from contract authority -given the Office of Inter-American Affairs in fiscal year 1945.

Mr. RABAUT. Without objection, we will insert in the record the table on page 7 of the justifications.

(The table referred to is as follows:)

Education Division

Total capitalization of Inter-American Educational Foundation, Inc. $5, 088, 275
Less capitalization provided under 1945 contract authority.

Cash grants received by Inter-American Educational Founda-
tion, Inc..

Estimated cash disbursements through June 30, 1945

Estimated cash balance June 30, 1945

Estimated cash disbursements, fiscal year 1946..
Estimated cash balance, June 30, 1945 (above)-

1946 cash appropriation required for partial liquidation of
1945 contract authorization of $2,500,000---

CONTRIBUTIONS OF THE OTHER AMERICAN REPUBLICS

2, 500, 000

2, 588, 275

1, 365, 209

1, 223, 066

1, 524, 489

1, 223, 066

301, 423

Mr. RABAUT. What other sources of funds are available to the corporation?

Mr. HOLLAND. The amount to be paid to the corporation in the next fiscal year is shown in the above table.

We have a contribution statement, also, which we will be glad to put in the record.

Mr. RABAUT. You may put that table in the record. (The statement referred to is as follows:)

EDUCATION DIVISION

Inter-American Educational Foundation, Inc.-Relative participation of United States and foreign governments in cooperative educational programs

[blocks in formation]

Mr. RABAUT. Where are those from?

Mr. HOLLAND. This lists all the various countries.

Mr. RABAUT. Are they from individuals, or from the governments?

Mr. HISLE. From the local governments.

Mr. RABAUT. What is the life of the corporation?

Mr. HOLLAND. Its present commitments under cooperative agreements will run through the fiscal year 1948.

Mr. RABAUT. Is that according to its charter?

Mr. LEVY. No, it is according to commitments which at present carry through 1948.

OBJECTIVES AND OPERATIONS

Mr. RABAUT. What are the proposed accomplishments of this corporation?

Mr. HOLLAND. The objectives and operations are set forth on pages 2 to 6 of the justifications, which I would like to submit for the record at this point:

EDUCATION DIVISION

Objectives. The objective of the Education Division's program is the development of cooperative educational programs in the other American Republics with emphasis on general education in the elementary, secondary, and normal schools; health and vocational education, particularly in rural areas; and the teaching of the English language. The program is being carried out through bilateral agreements providing for (1) the interchange of educators, and (2) the preparation and interchange of teaching materials, such as visual aids, textbooks, and pamphlets. The objectives are:

1. To cement inter-American relations upon a basis of the fullest mutual understanding among all the peoples of the hemisphere, Inter-American educational programs, founded on cooperative agreements which respond both to the aspirations of the nations involved and to their educational attainments and needs, constitute an important factor in hemispheric unity and understanding.

2. To aid in the improvement of the economic and physical conditions of the national populations. Such cooperative action is of importance to the immediate war effort and also to the long-range development of the hemisphere. A rising standard of living in the Western Hemisphere is essential to the permanent and mutually beneficial economic and commercial relations among the Americas. This cooperative approach has already helped provide common standards of health, knowledge, and vocational proficiency.

3. To implement the recommendations of the Pan American Scientific Congresses, the Inter-American Conferences on Agriculture, and other inter-American conferences, at which government officials and educators alike have recommended the adoption of cooperative measures to develop and improve the educational systems of the Americas. Toward that end, the Ministers and Directors of Education of the American republics, meeting at Panama City from September 27 to October 4, 1943, resolved:

"A. To recommend that the governments of the American republics take individually, or by complementary agreements between two or more of them, appropriate steps to improve education, by providing, insofar as possible, materials, services, and funds;

"B. To recommend that to these ends there be utilized the technical aid and advice of public and private agencies in the field of education."

It is the feeling of this Office that the forces of education must be further united to support the program of inter-American collaboration. Such a program makes known to educators in the other American republics the personnel and methods of our public and private educational institutions. At the same time, our educators become acquainted with the educational achievements of the other Americas. Through this reciprocal educational process, enduring relationships are established.

Operations. During the fiscal years 1944 and 1945, in negotiating agreements, certain definite procedures have been evolved for carrying out this program. First, an agreement is reached between this Office and the Department of State on the countries where the program can be developed. Second, the background of all facts regarding the educational, economic, social, and political conditions in these countries is carefully studied. Third, staff members go to the individual countries and develop tentative plans with the members of the staff of the United States Embassy and with educational leaders of the country. Fourth, detailed

plans are worked out in Washington, and after approval of the Department of state, notes are exchanged between this country and the individual country. Fifth, the field party is then selected and sent to the other country to effectuate the plans which have been developed.

The care which has been taken in setting up the agreements with these countries with respect to educational needs, and funds required to meet the problems, has provided fairly accurate criteria by which to estimate allocations for the entire program. The funds allocated to particular countries have been estimated with regard to the country's needs: for assistance in training industrial manpower; its population; the degree of literacy in the country; its own national educational budget; and other factors.

Actual experience in the other American republics where arrangements for cooperative educational programs have been compelted, and discussions with educators in all of them, indicate two important trends:

First, a general recognition of the fact that if the other Americas are to achieve their desired social and economic progress in raising their living standards, and through this to become better markets for their own and for our products, cooperative educational programs, especially in the fields of general literacy, health education, and vocational training. must be undertaken.

Second, that the educational system of the United States and the methods and teaching techniques that we have developed are of great interest to educators of the other Americas who have had the opportunity to become familiar with them; also, that these educators are anxious to have educational advice and assistance on a reciprocal basis from the United States.

The cooperative agreements normally provide for the following types of activity: (a) Furnishing of a field staff of educational specialists requested by the local government (Ministry of Education) for service in the country in carrying out the cooperative educational program;

(b) Grants to permit educators of the country to go to the United States for specialized training, to lecture, to teach, and to interchange ideas and experience with United States educators;

(c) Exploration and survey in the country of local educational needs and resources for carrying out training projects in the normal schools in the field of teacher training for rural, primary, and secondary schools, and in the fields of vocational and technical training, health education, English teaching, literacy, etc. (d) Development, adaptation, and exchange of suitable teaching materials for teachers on the primary and secondary levels.

(e) Local projects needed to implement the program.

Program expense-Inter-American Educational Foundation, Inc. Estimated obligations:

1945.
1946.

$2, 500, 000 0

The Inter-American Educational Foundation, Inc., was created under the laws of the State of Delaware on September 25, 1943, pursuant to authority contained in the National War Agencies Appropriation Act, 1944 (Public Law 139, 78th Cong., approved July 12, 1943). This Corporation is a Government-controlled nonprofit membership corporation.

The purposes of this Corporation are the development of cooperative educational programs in the other American republics with emphasis on general education in the elementary, secondary, and normal schools; health and vocational education, particularly in rural areas; and the teaching of the English language. The program is carried out principally through bilateral agreements providing for (1) the interchange of educators; and (2) the preparation and interchange of teaching materials, such as visual aids, textbooks, and pamphlets.

Funds for carrying out the program of the Corporation are made available to it by grants from this Office.

During the fiscal year 1944 the Office granted to the corporation the sum of $2,588,275. In the fiscal year 1945, the Office received contract authorization of $2,500,000 for the further capitalization of this corporation. In the fiscal year 1946 cash requirements for the partial liquidation of the 1945 contract authorization will be $301,423.

Mr. HOLLAND. I have here a letter from the American Chamber of Commerce in Brazil which gives us very strong support. With your permission. I would like to read that letter. It says:

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