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there was some question about the State meeting its current financial obligations.

I believe that there is no greater need to be met than finding ways to reduce our high rate of unemployment and get our economy moving again while reducing our welfare rolls and performing vitally needed jobs.

I note from the papers that the President appears to be moving from his position of opposition to the concept of public service jobs to one of guarded support. I believe that a strong showing by the House in support of this measure would have a great affect on the President's decision to publicly support this concept.

My colleague, Congressman Claude Pepper, chairman of the House Select Committee on Crime, in testimony in the 91st Congress said:

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One of the major benefits to be reaped from an effective. public service employment policy will be a reduction in the crime rate. To me after chairing hearings of the Crime Committee across the Nation it is clear that there is a profound correlation between unemployment and crime.

I agree with the conclusions as outlined in the report of this committee in the 91st Congress on the manpower bill which indicated that people have been trained for jobs that do not exist and that the private sector has not created sufficient jobs to meet the need and to have a significant impact on the economy. I believe this can only be done by the Federal Government by bringing together the jobs available with the people who need jobs. Testimony before the Education and Labor Committee indicates that many persons are shuttled from one job training program to another because of lack of employment opportunities when the training was completed. I believe that public service jobs will meet this need and I am pleased that this concept has been supported by many Governors and mayors as well as the National League of Cities, U.S. Conference of Mayors, Urban Coalition, and the AFL-CIO.

I noted also that Mayor Bliley of Richmond, Va., speaking on behalf of the National League of Cities, the U.S. Conference of Mayors, the Virginia Urban Twelve, and the Virginia Municipal League. He indicated that:

We have people available to engage in productive activity, people who have skills and talents which the public sector could use, but the localities are financially unable to obtain these needed services through lack of available funds. I point out that we are not suggesting that such activities would be "make work" or WPA-type activities, but instead would be needed increments to present programs.

I hope that the committee will promptly report out a bill to accomplish the objectives which I have outlined. I wish to congratulate the committee on holding hearings early in this Congress and I believe that this will be a very positive factor in enactment of this legislation which is so vital to improving our economy and getting this country on the road to recovery again.

STATEMENT OF HON. PETER W. RODINO, JR., A REPRESENTATIVE IN CONGRESS FROM THE STATE OF NEW JERSEY

Mr. RODINO. Mr. Chairman, it is a privilege to have the opportunity to testify in support of H.R. 103, the McFall-Randolph Accelerated Public Works bill, which I have joined in cosponsoring.

The present unemployment crisis which faces this country is one that deserves the immediate attention of the Federal Government. I feel that a most commendable effort has been made by Congressman McFall and Senator Randolph to try to curb the spiraling unemployment problem.

The vast scope of urban problems has been well researched and documented. Copious volumes of expert analyses of the deterioration of the cities of America indicate a sense of national awareness of the problem.

However, these studies do not place even one person in a decent job. America's priorities must be directed toward the problems of our urban centers. Human resources are our greatest asset, yet presently in one of these cities-Newark, N.J., in my congressional districtone out of every two persons desiring work cannot find employment.

Let us take a look at the unemployment situation in this largest city of the State of New Jersey. When Mayor Kenneth Gibson, mayor of the city of Newark, testified before the Joint Economic Committee earlier this year, he set out in detail the exact nature of the city's unemployment situation.

The problem of Newark, Mayor Gibson effectively stated, represents to a large extent the problems of all cities in the United States. When we speak of Newark's problems we speak not only of this one city, but also we speak of the sense of urgency which is present in all cities in this country. In this connection I would like to quote from Mayor Gibson's testimony:

Current statistics reveal that 15,000 people, or over 11 percent of the resident labor force, are presently unemployed. Another 35,000 people are employed either full time or part time at a rate of under $3,000 per annum. Still another 17,000 are being underutilized. Hard statistics reflects a human tragedy. . . . It is difficult to conceive of a more drastic situation that what has just been described, yet it should be pointed out that youths aged 16-22 make up 30 percent of those without adequate employment. Further, unemployment for youths of that age is at an alarming 34 percent.

I have recently received a copy of a letter which Mayor Gibson has sent to Mr. Robert Podesta, Assistant Secretary of Commerce for Economic Development, informing him of the fact that the unemployment rate in the city has risen to 11.1 percent, thus making the city eligible for an increase in its EDA grant from 60 to 70 percent. The mayor has urged certification of this new rate by the Department of Labor so that Newark may take advantage of the increased grant rate.

Mr. Chairman, the accelerated public works bill is of urgent importance to the city of Newark, as well as to all urban areas, for the funds to be supplied under this measure would aid thousands of persons presently unemployed in the country. The bill would indeed aid all areas in which the unemployment problem has reached a critical point. The measure would put jobless people back to work, enable counties to proceed with long-delayed public work projects, and also stimulate our economy.

I thus hope the subcommittee will take my comments into serious consideration, and I strongly urge early action on H.R. 103.

STATEMENT OF HON. CHARLES 0. GUBSER, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF CALIFORNIA

Mr. GUBSER. Gentlemen, it is a pleasure to be here today before the Special Subcommittee on Economic Development Programs of the House Public Works Committee. I wish to testify in behalf of H.R. 107, which I am cosponsoring. I might add that I was among the original sponsors of this legislation in the 91st Congress. As you know, this measure would amend the Accelerated Public Works Act of 1962 so as to make it again useful in light of today's critical unemployment problem. The legislation would amend eligibility criteria and authorize the spending of $950 million on public works construction in areas which in the last year experienced 3 consecutive months of unemployment at rates 150 times the national unemployment rate of the previous calendar year. In 1969 the national unemployment rate was 3.5 per cent. The latest figures for 1971 show a January national unemployment rate of 5.8 percent. In many major labor market areas the rate is considerably above 5.8 percent.

In the 10th Congressional District of California, which I represent, the Department of Labor has classified the city of Hollister as an area of persistent unemployment. The city of San Jose had a December 1970 unemployment rate of 7 percent. Other areas in my district have a similar problem.

These stark figures make the need for H.R. 107 abundantly clear. It would provide the funds to build needed public works in communities where so many people are out of work. These construction projects. would create jobs for those who want to work but who simply cannot find employment. The jobs will bring more money into the community and help prime the economy so it can recover faster.

I am convinced that the temporary employment provided by H.R. 107 will be extremely valuable. It will provide jobs and aid in the building of needed community facilities. The roads, parks, and public buildings which are to be constructed under H.R. 107 would serve for years to come. They would make the communities better places in which to live, as well as provide jobs.

The seriousness of the need for H.R. 107 should not be underestimated. The man out of work cannot eat the experts' predictions of economic recovery later in 1971. He needs work now. H.R. 107 will provide employment for many of those who are now jobless. I believe this legislation is one important element in the overall effort to get our economy back on its feet. I therefore urge favorable consideration of the measure before the subcommittee today.

STATEMENT OF HON. THOMAS P. O'NEILL, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF MASSACHUSETTS

Mr. O'NEILL. Mr. Chairman. I am proud to have this opportunity to speak in support of H.R. 4400, of which I am a sponsor. As unemployment continues to plague our Nation, there is great need for a comprehensive and substantial program of public works. This bill provides funds to communities that already have definite and complete

plans for badly needed public facilities. I believe it is a realistic and progressive approach to the severe dilemma created by unemployment. The implementation of the Randolph-McFall bill will not only serve the needs of the unemployed, but will contribute greatly to the community and national welfare as well.

As the original authors of this bill have mentioned, this measure would bring work to the laborer who has the skill and desire to work at his trade, but who finds himself unemployed due to economic and fiscal factors beyond his control. The essential feature of this bill is the opportunity it gives to the men in the building trades to use their abilities for the good of the entire community. Furthermore, it is proof of the genuine concern, on the part of the elected representatives of this country, for the emotional and financial well-being of the citizenry.

Public works have always played an integral part in the economic development of this country since the early days of the Republic. The first Congress, in its very first session, appropriated funds for lighthouses and other navigational aids. In 1806, Congress allocated funds for the construction of the National Road from Cumberland, Md., west to the Ohio River. The Congress continued to support public works by granting Federal lands to both railroad and canal companies to assist them in creating a national transportation network. As the new country expanded in all directions, the need for Federal public works programs also grew. The Federal Government began granting land to the Western States for the development of irrigation systems as early as 1902 under the Federal Reclamation Act of 1092. Through 1960, Federal appropriations to the Corps of Engineers for construction and maintenance of navigation, flood control and multipurpose projects totaled about $13 billion. The point is simple. Public works programs have always been part and parcel of the American way of life. Where the needs of the people of this country have grown over the years, the Congress has discerned the need and provided for it in the form of public works projects. Contrary to popular belief, public works is not a product of the Great Depression. It was already an American institution for well over 100 years by the time the great projects of the Depression were begun.

Other critics have attempted to disparage the motives behind public works by claiming that "pork barrel" considerations were directly responsible for their passage. There is no truth in this claim; for if one looks at the history of public works, one finds a consistent pattern whereby the areas most in need of assistance receive the benefits of public works, rather than those areas having the largest representation in Congress. The prime purpose of public works has been the development of the country as new needs have arisen through population growth and technological progress. Whether it has been in the area of highway construction, atomic energy or foreign commerce, the Federal Government has consistently exhibited an interest in the new needs of the Nation, and a willingness to fulfill that need.

Once again the Congress has been called on to meet the need. Past experience has demonstrated that Federal expenditures for public works have generated even greater amounts of non-Federal money. Public works have enhanced the productivity of our Nation by increasing income and revenues and strengthening national welfare, security

and defense. Public works is at least partially responsible for giving the American people the high standard of living that we enjoy today.

The Randolph-McFall bill follows in the same tradition of public works that I have mentioned. Consistent with our past and with every consideration for the future, the bill will strengthen our economy and rejuvenate the morale of our work force.

I urge the passage of the Randolph-McFall bill and a favorable report of the bill by this committee. It represents an opportunity not only to assist areas of the Nation hardest hit by unemployment, but a chance to build or refurbish water and sewer facilities in response to the growing concern over the protection of our environment. If we are really so concerned about the problem of pollution of our air and water, we will seize this chance to actually do something about it. Again, I urge the passage of this bill and thank the chairman for the opportunity to appear before the committee on behalf of the RandolphMcFall accelerated public works bill.

STATEMENT OF HON. THOMAS M. PELLY, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF WASHINGTON

Mr. Chairman, I am grateful for this opportunity to discuss H.R. 100, the Public Works Acceleration Act and in particular to emphasize its relevancy to the State of Washington.

I cosponsored the same legislation in the last session of Congress because of the then-growing unemployment rate in Washington, and I again joined the gentleman from California when he reintroduced it in this session because all our worst predictions of an increasing unemployment roll have come to pass. Presently, unemployment in Washington State's two largest manufacturing sectors, which are included in my congressional district, exceeds 12 percent; the highest in history, and all indications are that it will continue to rise for the remainder of this year unless some positive action is taken.

Admittedly, the Public Works Acceleration Act is no panacea for the economic problems facing my district and the Puget Sound area. Our principal export is commercial airplanes, and while our foreign orders are being maintained, domestic orders for commercial jets are down. Only requests for 747's are keeping the lines going, and many airlines have either canceled their orders or deferred deliveries.

Our lumber business still is severly suffering because of the longdepressed homebuilding market, our shipyards are facing idleness, and so goes the story. The result is that unemployment has soared to record levels.

Mr. Chairman, please permit me to cite some statistics to verify our economic plight. In the last year alone, the aerospace industry in just the Seattle region has dropped 41.7 percent. Building permits for residences are off 24.7 percent in the last year, and building permits for public construction have dropped 70.3 percent in the last 12 months. The total construction industry in the Seattle area is off 20.2 percent since this time last year.

And, this brings us to the purpose of this legislation we are discussing today. While it isn't the total answer to our problems, at least it would provide a stop to the flow of unemployment that is increasing in volume daily.

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