I think I can demonstrate in another way the justification for placing in the Commissioner's hands $65,000,000 for use in the first year without regard to the formula. The FWA survey in the State of Washington was well done. The State of Washington being my own State, I am most familiar with that. The Agency had the full cooperation of the State department of public instruction and the school districts involved. There are 34 schools in the State seriously affected by activities of the Federal Government. Collectively these districts need additional facilities at an estimated cost of $48,562,000. Taking into account State matching funds, special levies, and additional bonding capacity, these districts could raise $38,254,000. This leaves a balance of over $10,000,000 required from the Federal Government. This sum does not cover the full Federal responsibility as estimated by FWA, but it does represent the difference, to the school districts involved, between going ahead with needed construction or continuing present wholly inadequate arrangements. If the formula contained in S. 287 were applied to the total funds authorized in the bill, our allotment would be roughly $2,500,000. My amendment will enable the Commissioner of Education to dip into the $65,000,000 exempted from the formula, to the extent he determines necessary to make up the difference- or to meet the Federal responsibility in these districts. Before I close I would like to present to the committee a few examples which demonstrate the problem which activities of the Federal Government have created in certain school districts. I think I can best do this by quoting from a few of the letters I have received from school districts in Washington State. I quote first from a letter written by Mr. E. S. Black, superintendent of Kennewick Public Schools. Kennewick is a city in Washington, located about 10 miles from the Atomic Energy Commission's town of Richland.. Mr. Black states: While Kennewick was enjoying a normal growth of approximately 5 percent a year, the influx of atomic workers has brought into the community a surplus student load of 546 students whose parents are primarily doing service or concessionaire work for the Atomic Energy Commission's employees, plus 1,637 students whose parents are on the Hanford pay roll. Our enrollment in 1943 was 772. The normal growth from 1943-49 would have added 240 students, for a total of 1,012. Enrollment in 1949 is 3,195. The difference-2,183-represents the increase we have experienced as a direct result of Federal activity in and adjacent to our district. I have next an excerpt from a letter written by Ralph J. Werthmann, principal, Whitstran School District No. 36, Benton County, Wash. This is what he says: We have a serious educational problem here. In fact, the situation has become so extreme it is just a question of time as to how long we can continue school. In 1909 our present school was built, a two-room school that has been adequate, with the emergency measures we could manage, until the present time. Up until 1942 the school was sufficient. The population continued growing, an annex was added. Population continued normally until 1944. That year the Hanford expansion began showing in our school. All that year population increased abnormally. In 1945 Hanford practically doubled and our attendance jumped from 40 pupils in 1942 to 90 in 1945. We were crowded at that time, but supposed as did everyone else, that the extreme increase had ceased with the termination of hostilities. In 1946, however, production started again at Hanford, with the result that when school started in 1947 we opened doors to 92 students in spite of the fact that the seventh and eighth grades were sent to Prosser. Fortunately, that summer we had erected two quonset huts. Immediately they were bisected, an extra teacher was hired. Even that wasn't sufficient, another teacher had to be hired. The situation was once again under control. This past summer we couldn't do anything, we had no funds. September came and we opened our doors to 150 pupils, and there seems to be no relief from increase in the years to come. This is a small school district. Its resources are limited. Without Federal aid commensurate with the additional load thrown upon it, the school board and citizens cannot hope to provide even semiadequate facilities for the children they serve. And I could go on with each one of these 35 schools involving particularly the activities of the Federal Government in our so-called reclamation and power areas, and in the big Hanford Atomic Energy Plant. In considering the question of Federal aid to school districts, the question is inevitably and appropriately asked: "What effort are the local people themselves making to meet the problem?" I assume the members of this committee, the schools I am talking about are doing everything within legal limits to raise funds for needed construction. Typical of this effort is the statement by Mr. D. W. Buchanan, superintendent of Bainbridge Island public schools at Winslow, Wash. He says: Just as a reminder of the effort being put forth by the local district, we are bonded to the legal limit, had a special building fund levy of 20 mills in 1948, 28 mills in 1949, and have already voted a 28-mill levy for 1950. This means that we have had a total tax levy in 1948 for school purposes of 33 mills, and 41 mills for 1949, and millage already voted which will make a total levy of 41 mills for 1950. Let me give you just one more example to illustrate the deep concern of a community itself over this problem of school facilities and its. willingness to put forth extraordinary effort to finance a minimum program. I refer now to a letter from Mr. Carl G. Johnson, superintendent of consolidated schools at Battle Ground, Wash. He says: Ours is perhaps a typical rather than an extreme case of war and defense disrupted school districts. Though our total valuation is only slightly over $2,000,000, we have had to absorb a war-incurred enrollment increase of from 990 to over 1,700. Federal assistance for maintenance and operation, which you have consistently supported, has made it possible for us to keep the schools in operation, but the question of providing added facilities for this increased enrollment has proved a serious one, a burden that has fallen heavily upon the small farms and businesses that comprise this district. Twice within the last 4 years the voters have bonded themselves to the legal limit in addition to recently voting a 30-mill special levy in an effort to provide additional classrooms and educational facilities for the children that have been brought into the district because of the war-born influx of defense workers. It is reasonable to conclude that the residents of the district have shown a willingness to do their share; but it is also reasonable to assume that we have about reached the limit of local financing. Meantime, our most serious concern is to house nearly 1,000 junior and senior high school students who are being jammed into a building intended for only 500. I have in my files information on each of the 34 schools in the State of Washington where Federal activity is heavy. I think examples I have given you, however, illustrate the problem. The Federal Government will be derelict in its responsibility if it fails to shoulder its fair share of this load. Generally speaking, Federal responsibility arises from two separate types of Federal activity in or near a school district: In the first instance, additional population is brought into the area with a resultant drastic increase in enrollment. In the second, the Federal Government either holds, or has recently acquired title to, a substantial part of the taxable wealth of the district. Atomic energy, for instance, in Kennewick and the district around Kennewick and Pasco have taken over title to approximately, I would say, almost 70 percent of the lands. And even if we would raise the legal limit there is no way to tax them. I have in mind a case where the total property valuation in a Washington school district is approximately $7,000,000. During the war the Federal Government acquired and now holds on a tax-free basis property amounting to almost $5,000,000. Through this activity, the Government itself has removed from the rolls over two-thirds of this school district's tax base. It is true that some new wealth may have been created as a result of the Government's presence in the district. In the main, however, the ability of the District to finance the additional school facilities needed has been seriously impaired. Later, your committee will hear from school men themselves on this problem. In my judgment, you will not be able to hear their testimony without coming to the conclusion that financial aid from the Federal Government is imperative, and that, as a matter of simple justice to the school children affected, it should be immediately forthcoming for these particularly aggravated areas and these special cases. S. 287 and my amendment will establish a sound, uniform Federal policy concerning extension of financial aid to States and districts for school construction. At the present time, there is no uniformity, no well-established policy on this important subject. Some Federal agencies like the Atomic Energy Commission, the Navy, the Corps of Engineers, and the Bureau of Reclamation have authority to enter into cooperative agreements with school districts to provide both operating and construction aid. Among these agencies, however, there is a wide diversity of practice and legislative authority. Other agencies of the Federal Government have no statutory basis for extending aid. I will not go into this phase of the subject in detail-rather I refer the committee to a study made by Charles A. Quattlebaum, educational analyst for the Library of Congress. In his analysis, entitled "Education of Children Living on Federal Reservations and in Localities Particularly Affected by Federal Activities," he outlines the confusion, nonuniformity, and, in certain instances, the downright disregard of Federal responsibility which now obtains. In summary, may I reiterate, S. 287 and the amendment I have discussed represent sound legislation in this field. Together they provide assistance to the States in making a Nation-wide inventory of construction needs. They insure that Federal responsibility to school districts seriously affected will be met and they establish a pattern of aid to the States which is in conformity with accepted constitutional and educational philosophy concerning the relationship of the Federal Government to the States is the field of education. I hope, Mr. Chairman, that the committee can take early action on these two bills, of course after careful analysis of the other bills before you. But in any event whether in this session we go into a longrange, definite educational policy, which I think we should in view of this report-it is just amazing what a lack of policy and uniformity there is—in any event, there are school districts that are in such bad shape that there should be set aside a certain amount of funds that they can go ahead. Otherwise in some of these areas, the three-hundred-some-odd areas that have been adequately surveyed by the FWA, some schools must close their doors and surely the children who are in attendance will not receive an education even approaching our normal American standards. Senator HUMPHREY. The bill then, Senator, that you are primarily interested in is S. 287 which, as amended on May 6, includes the provisions of S. 834. Is that correct? Senator MAGNUSON. That is correct. And also, of course, it could include my amendment which would deal with these specific problems for the coming year. Senator HUMPHREY. Yes. Senator MAGNUSON. It has been worked out very carefully with all those interested in S. 287, and I think the two of them will provide for the immediate need and the right kind of long-range program. I appreciate proposals like Senator Robertson makes, but after all, when you get down to it, you can take the money from the RFC, or take it out of the Treasury, or pay it back, it is all from the same pocket anyway. It is all Federal Government money. But surely in these districts where the increase has been so great due to Federal activity, there should be some help because the districts are up to their legal limits. The population has gone far beyond the normal school population. There is no way in which they can participate in school construction any more than they have. They will do everything they can, but they need some help. Thank you, Mr. Chairman. Senator HUMPHREY. Senator Capehart, we are very glad to have you with us and would like to hear your presentation. What is your bill? STATEMENT OF HON. HOMER E. CAPEHART, A UNITED STATES SENATOR FROM THE STATE OF INDIANA Senator CAPEHART. I do not have a bill. Senator HUMPHREY. You do not have a bill but you are interested in the general field of Federal assistance? Senator CAPEHART. I shall be as brief as possible, Mr. Chairman. Here is a concrete definite problem and a situation which, if I explain it to you, will probably help you in arriving at some decision here as to what should be done in respect to either one or all of these bills. We have in Indiana at Charlestown, a little town on the Ohio River just east of Jeffersonville, a town that prior to the war had a student enrollment of about 400. During the war the Federal Government condemned about one-third of the land in the respective township in which this city is located and constructed a powder plant, and likewise constructed a housing project. I do not know how many dozens, but many dozens, possibly a few hundred houses were constructed for employees of this powder plant to live in. Now the powder plant has for all practical purposes been closed. At least there are very few employees there. Now this township which includes this little city of about 1,400 finds itself with 1,500 students, where, prior to the war they had 400. It is estimated they may have as many as 1,700 this next September. And the reason is that this little town is only about 10 or 12 miles from New Albany and Jeffersonville and Lewisville, and workers in New Albany and Jeffersonville and Lewisville have in many instances purchased homes in this town which were built by the Government for the workers during the war. And I presume in many instances they rent them. In any event, each of the houses there is now filled with families where the parents work in other cities. The result is about 1,500 children of school age there with facilities for only about 400, and with a third of the taxable property off the tax rolls as a result of the Government acquiring the land. Now up to this time they have been getting along all right for the reason that they have rented from the War Department what was known as the administration building, or the office building, for this plant. They converted it into a school. They have used this under a lease arrangement with the Government which was, in my personal opinion, very unsatisfactory because the lease was quite expensive and cost some $75,000 a year, which includes the maintenance. However, if the Government would permit this school district— and in Indiana it is known as a township-to continue to use the building, they of course, would be all right. However, and I would like to place in the record at this point the telegram, the Army has canceled the lease effective immediately. I would like to place that wire of cancellation in the record. Senator HUMPHREY. It will be placed in the record at this point. (The telegram referred to is as follows:) K. L. TAFF, Trustee, Charlestown School Township, Charlestown, Ind.: MAY 20, 1949. Take notice that lease granted you on September 19, 1947, of administration area, Indiana Arsenal, Charlestown, Ind., for term of 5 years beginning September 1, 1947, and ending August 31, 1952, contract No. W-15-029-ENG-3009 is hereby revoked May 20, 1949, in accordance with condition No. 16 of said lease. You are hereby notified to remove your property from said premises within 120 days after receipt of this notice and restore said premises as required by that condition. The revocation of this lease does not release you from the obligation to pay any rent due the United States therefor. This notice of revocation of your lease is given this 19th day of May 1949 by order of Secretary of the Army ending 123190 VLRM. J. L. PERSON, Senator CAPEHART. And then at this point I would like to place in the record a survey made by Colonel Person who canceled the lease in behalf of the War Department. And I am not criticizing the War Department for doing this because under the terms of the lease the school district has not lived up to the terms of the lease because they simply have not had the money to do it. But I asked Colonel Person to go up to Charlestown personally and make a survey of the other facilities to see if it was possible for the school authorities up there to lease other buildings, and determine what was available next September to house some 1,600 or 1,700 |