1. Representative Stewart L. Uds11 (D. , Ariz.), on behalf
of as informal committee of congressmen, asked the Director and
Mr. C. Douglas Dillon, Under Secretary of State for Economic
Affairs, to most with a group of freshmen congressmen who were
being informally briefed in various aspects of the Government's
foreign affairs. The subject of this particular seminar was foreign
aid. Also attending were Mr. William D. Macomber, Jr., Assistant
Secretary of State for Congressional Relational Mr. Philander P.
Claxton. Mr. Macomber's Deputy Assistant Secretary (Mutual
Security Affairs); and the undersigned.
2. The meeting was extremely informal and started with
a filmed TV show cubed "The Ruble War," which is a documentary
of Russian economic moves in various parts of the world and
stressing the threat to our economy. This was followed by dilater,
during which Representative James G. Fulton (R.. Pa.) introduced
the guests to the assembled congressmen. Mr. Dillon gave a short
talk an the current foreign aid program. The Director then made
some remarks concerning the international Comp munist threat and
emphasising that is the economic competition field the situation is
not as one sided as the TV program seemed to indicate. but that
the United States had considerable assets and aqwkbilities if we
had the energy, foresight. and will to use them properly.
3. Representative Frank M. Coffin (D.. Me.) then acted
as moderator for questions, which continued from about $:OO p. in.
until almost 11:00 p.m. In his opening remarks, fir. Coffin stated
he had always found the Director most candid cad willing to inform
s
gECUTIVE ~ .: - , .~~. 4 ' r if
25X1
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19 MAY 1959
OGC Has Reviewed
MEMORANDUM VCR THfr RSCt .D
SUBJLCT: Meeting with Freshmen Congressmen
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in Southeast Asia particularly would be catastrophic. He pointed
out that the I ATO nations had been very skeptical if not opposed
to our Quemoy program a year ago, but at the recent meeting of
foreign ministers in the Philippines. which was strongly influenced
by the Tibetan situation, the support for the American policy on
Quemoy was 100 per tent.
5. Roparesentative Gerald T. Flynn (D., Wis.) stated that
his constituents wore almost 100 per cent opposed and violently so
to foreign aid, to the Department of State, and to the lack of pro-
tection from foreign competition. He said he would vote for the
foreign aid program but as a result probably would not be returned
to the Congress. He then specified the grenade for his constituents'
objections and asked what he could do about them. Mr. Dillon agreed
with the difficulty at selling the program to people who were firmly
isolationist in their convictions but that ample information was avail-
able on the program to describe it in detail. Mr. Flynn said his
constituents considered the foreign aid appropriation a blank check
since the Department of Spate would not tell where and how they were
SohS to spend it. Mr. Dillon pointed out that there was complete
information an post years' expenditures and there was unclassified
information outlining in fairly specific terms the present proposal,
but that the details and specifics remain classified, both to avoid
raising false hopes in other countries or hard feelings and also
because while the charter was pretty well set forth and would have
to be maintained, changing conditions require adjustment of both
plans and expenditures. Mr. Claxton pointed out the great volume
of material that bad already been provided to five committees of
the Congress and stated his willingness to brief in detail any
congressmen who wisked further information to address their
constituents.
6. Mr. Flynn and others made much of the fact that they
had depressed industries in their areas which were suffering
from foreign competition, principally the importation of German
and Japanese goods. The Director painted out that this was
completely unrelated to foreign aid, as these countries were
receiving nothing except military aid and the economic aid was
going to underdeveloped countries which did not export to any
extent manufactured goods in competition with United Slates'
industries. Mr. Flynn asked why we did not use wheat surpluses
and similar stockpiles more. Mr. Dillon said it was the Depart-
ment of State's policy to do so, but it was very difficult to use these
without doing serious harm and incurring the animosity of good
friends like Canada.
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1r
7. Reproeeatative dohs V. Li*dsay (R. , N. T. ) asked some
current affairs questions to which the Director responded.
S. Representative Ralph Z. Rivers (D.. Alaska) said if the
Russians publicised their grants and loans in foreign aid so loudly
and. therefore, seemed to be doing more than they were, why could
not the United States publicize its foreign aid program better. The
Director pointed out, that some of the Russian publicity was turning
a little sour as the goads used turned out to be inferior, and Mr.
Dillon pointed out that publicity can often got a bad reaction as indicate
fug you were giving the aid purely for selfish reasons rather than to
help the recipient.
9. The atmosphere of the meeting was personally very friendly
and respectful both to Mr. Dillon and the Director and may have had
some beneficial influence an a few of the congressmen in connection
with the foreign aid program.
10. Attached is a list of the congressmen attending the seminar.
LAWRENCE R. HOUSTON
General Counsel
STAT
STAT
STAT
cct EA/DCI
Asst to DCx (Col. Grogan)
As
at to DD/P
Legislative Counsel
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.Q" :r A~ ONLY
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ATTRNDANCR AT FOREIGN A2" FAIRS SEMINAR, T UESDAY, MAY 12. 1954
Frssbmen Representatives
Joseph W. Barr (D. , Ind.)
Jeffery Cohslan (D. , Calif. )
Dominick V. Daniels (D. , N. J.)
Gerald T. Flynn (D. , Wis. )
Newell A. George (D. , Kans. )
Robert N. Giaimo (D. , Conn.)
Randall S. Harmon (D. , Ind.)
Harold T. Johnsen ID.,, Calif.)
Joseph E. Korth (Do, Minn. )
Robert W. Kastwnsier (D. , Wis. )
David S. King JD., Utah)
John V. Lindsay (Do # H. Y. )
Catherine May (R. , Wash.)
William H. Milliken, Jr. (R.. Pa.)
John S. Monagan (D.. Cam.)
William T. Murphy (D. , Ill.)
James 0. O'Hara (D., Mich.)
Alexander Pirnis (R., N. y.)
Ralph J. Rivers (D.. Alaska)
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Freshmen Rsp r+te*statites (COO ued)
Dan Rostenkowski '(D. , $1.
Frank A. itabbldisld (D.. Ky. )
Jessica . Weiss (R., N. Y.)
Other P epresentativss 4tt.*ding
Stewart L. Udall (D.. Art*.
Frank U. Coffin (D.. Maine)
Carl Elliott (D.. Ala.)
James 0. Fulton (R., Pa.)
Peter Frelinghuye*n, Jr. (R., N. J. )
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