8/4/78-8/6/78 president's trip to north carolina and virginia
TRANSCRIPT
[8/4/78-8/6/78] President’s Trip to North Carolina & Virginia
Folder Citation: Collection: Office of Staff Secretary; Series: Presidential Files; Folder: [8/4/78-8/4/78] President’s Trip to North Carolina & Virgina; Container 87
To See Complete Finding Aid: http://www.jimmycarterlibrary.gov/library/findingaids/Staff_Secretary.pdf
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8:00
9:05
THE PRESIDENT'S SCHEDULE
Saturday - Augus.t 5, 1978
Dr. Zbigniew Brze.zinski - The Oval Office.
Depart South Grounds via Helicopter en route Norfolk, Virginia and Wilson,
North Carolina.
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. I • 4•�•· .. • .
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9:50
10:00
11:00
THE. PRESIDENT'S SCHEDULE
Sunday - August 6, 1978
Depart South Grounds via Motorcade en route First Baptist Church.
Sunday School ..
Morning Worship Service.
J .
' '
AFTER SO MANY YEARS ,
WHEN I WAS IN TME NAVY, I WAS STATIONED HERE IN NoRFOLK, SERVING . - -oN USS M I SSISS I PP I .
'I HE EX-'BAliTLESH I P ·WAS CQ,NVERTED INTO AN· EXPERIMENTAL GUNNERY AND
RADAR SH I P, ON' WHICH WE TRIED OUT MANY N:EW NAVAL TECHNIQl!JES, ..5-''..Jf../
THEY WERE ·NOr AS E�CIH NG AS THE N:EW DEVELOPMENTS lN TODAY' S NAVY, - -
BUT AFTER WoRLD WAR I I THEY STARTED US ON THE ROAD TO I.NNOVAT I ON AND
FLEXIBILITY THAT HAS KEPT OUR NAVY STRO·NG,
_(--OVER--)_(� T Is A PLEASURE "Fq SHARE •••• I )
2
IT IS A P�A�URE TO' �RE THIS OCCASION W·ITH RE,PRESENTATIVES OF --
THE PEOPLE OF MISSISSIPP'I. -I AM VERY GLAD TO SEE HERE MISSISSIPPI'S GOVERNOR CLif'F 'FINCH:,
AND His DAUGHTER, JANET,. wHo Is uss M I SS I SS I PPI's sPoNsoH. -
I'M ALSO GLAD THAT MARINE CORPS COMMANDANT GENERAL LEWIS WILSON,
ANOTHER SON O·F M'I SS ISS I PP I WHO HAS DEVOTED HIS L l PE TO OtiR NATION'S
SERVICE, COULD BE WITH US FOR THIS CEREMONJ,
NosT OF ALL, I AM HONORED TO SHARE THE DAIS. WITH SENA"fOR JAMES .. · .
EASTLAND AND SENATOR JoHN STENNIS , E�;;;A/P- �er /feo /E� _
(!,;M Tu.Jy . SENATOR STENN'IS HAS WORKED LONG AND HARD, AS CHAIRMAN OF THE - -
SENATE ARMED SERVICES COMMITTEE, TO PROMOTE OUR NATIONAL SECURITY,
_< --�, PA�E--) < lT' s, YE.W( fiJTlN� THAT,_,,, l
,, �ea,·• .. ,.,. ........ ! ...........
3
IT'S VERY FITTING "FHAT THIS NEW GUIDED MISS I.LE CRUISER BE NAMED FOR
THE HOME STATE OF A MAN WHO HAS DONE SO :.MUCH TO KEEP OUR NATION SAFE AND
STRONG,
IN Tl-fiS CEREMONY TODAY1 WE ARE COMMEMORATING THE. SOWRCES OF OUR
NAn oN's sTRENGTH� •• .• HONO RING THE MEN AND woMEN wHo DEF:END IT I • • • AND
REDEDICATING OURS.ELVES TO THE PRINCIPLE THAT OUR NATIONAL DEFENSE IS THE
SUREST PROTECTOR OF OUR L.IBERTY,
EXACTLY TWO HUNDRED YEARS AG01 EARLY IN OUR W·AR FOR I NDEPENDENCE1
THAT PRINCIPLE LED US 'fO COMPLgjE· OUR FIRST ALLIANCE1 WITH THE GOVERNMENT --
OF FR�NCE. -
( --OVE1R--) <FIFTEEN HUNDREB M:I LES FROM WHERE I I I I I ) -
4
F I:FTEEN HUN,JDRED ·MILES FROM WHERE WE STAND1 IN THE TOWN OF PASCAGOULA1 -
M.ISSISSIPPI1 THE AMBASS'ADOR OF FRANCE IS TODAY COMMlSSION.JNG A NEW -
AMERICAN DESTROYER1 THE "KOHMT DUH GRAHS", (Comte de Grasse) •
---
THESE TWIN CEREMONIES WNDERSCORE OUR UNITY WITH THE GREAT DEMOCRAC.IES -
OF TH.E WORLD IN DEFENDI'NG F'REEDOM EVERYWHERE •
-
ifHE VESSEL WE ARE COMMISS IONI NG HERE I·TSELF EMBODIES OUR TRADIHON
OF STRENGTH ;
!!'HIS IS THE FOURTH 'MISSISSIPPI -- THE FOURTH TO �NCE OUR NATION'S
INTERESTS IN PEACE AND ·MAINTAIN OUR SECURI TY IN TIME ·OF WAR, -
HER PREDECESSORS SERVED OUR NATION DURING SOME OF THE MOST CRUCIAL
PERIODS IN OUR HISTORY, --
-
( --NEW CARD--) ( THE FIRST MISSISSIPPI. I II , ) -
5
...
THE FIRST MISSISSIPPI WAS COMMODORE PERRY'S FLAGSHIP ON HIS
HISTORIC VOYAGE TO JAPAN, ___ .....---
THE SECOND SAILED WITH PR,ESIDENT THEODORE RoOSEVELT'S "GREAT
�hHTE FLEET/' SERVING NOTICE OF AM:RICA'S EMERGENCE AS A NAVAL POWER, -
AND THE BATTLESHIP MISSISSIPPI EARNED EIGHT BATTLE STARS IN
HoRLD WAR lL PARTICIPATING IN MANY OF THE WAR'S MOST IMPORTANT PACIFIC
ENGAG'i:MENTS,
f AM. PROUD· TO HAVE SERVED AS A YOUNG OFFICER ON THAT LAST
MISSJ:SSlPPl. I AM EQUALLY PROUD TO B·E HERE TODAY AS THIS NEW MlS.SlSSIPPI ASSUMES
THIS GREAT HERHAG'E_,· AND THESE GREAT RESPONSIBILITIES,· �K€ ���FE;te_
T#/c �- Z ;t?-M/rc. 7 - 5�% ·(--OVER--)(JHIS IS AGAIN AN IMPORTANT, ,, ,, )
. -
.;
THIS IS AGAIN AN IMPORTANT TIME IN OUR NATION's HIStORY,
6
{N RECENT YEARS,� WE SAW CONFIDENCE IN OUR GOVERNMENli AND OU.R NATION FALTER_, AND BEt. I EF IN OUR NATIONAL S'FRENGTH' AND CHARACTER CALL Eli)· INTO
QI!JESTION,
Bur OUR COUNlRY HA:s RESPONDED TO THIS CHALLE:NGE_, AS WE HAVE RESPONi lED __,.
TO ALL CHALLENGES 1N OUR HISTORY,
WE HAVE NOT -- AND WE W·ILL NOT --
BECOME A SECOND-RAJE POWER, . -
'W!E MAINTAIN THE GREATES"Ji ARSE·NAL ON EARTH_, TO PROTECT AND· PRESERVE
OUR FREEDOM AND LIBERTY,
WE POSSESS JHE FINEST SERVICEMEN AND � IN THE WORLD --
PEOPLE OF DEDICATION_, CONVICTION1 AND COURAGE, �
.
(--NEW CARD--) <W.E HAVE PUT OUR NATIONAL. I I I,) -
.. � Cepf'Made . fGr.IPISIIMIIIofi:PiaiW
7
\�E HAVE Pl!l'T OUR NATIONAL REPUTATION FORWA:RD., AND ARE KNOWN ONCE -
AGAIN AS THE DEFE,NDER OF BASIC AND INALlE1NABLE HUMAN RIGHTS ACRQSS THE -
GLOBE,
AND WE HAVE RESTORED THROUGHOUT OUR COUNTRY THE CONFIDENCE THAT
THE WNITED StATES STANDS STRONGEST AMONG NATIONS., AND ALSO STANDS FOR
WHAT IS RIGHT, -
r-o cS'
W:E. ARE RESPECTED BY ouR Fot/Es FoR oUR sTRENGT:H o F ARMs; • • • ------
·
W E ARE RESPECTED BY OUR FRI1ENDS FOR OUR STRENGTH Of CONVICTION,
WE ARE MEETING THE CHALILENGE OF THIS GREAT AGE., AND WE WILL
CONTINUE TO 'MEET THE ·CHALLENGES OF THIS AND FUTURE ERAS, ___.),. -
(�-ovER--){1 HAVE PLEDGED AS PRESIDENT --,,,,) -·
8
I HAVE PLEDGED AS .PRES IDEN·T AND AS A NAVY MAN THAT. THE
UN I TEO. STATES WI Lt. MA lNTA IN MILITARY .I I I •• A-ND NAVAL. I I .I FORGES SECOND -
tO NONE, -
WiE WILL CONTINUE liHE DEVELOPMENT AND MODERNIZATION o;F THE
SUBMARINE-LAUNCHED BALLISTIC MISSILE COMPONENT OF OUR STRATEGIC NUCLEAR -
lRIAD.,,,,,TO ENSURE THAT NO POTENTIAL ADVERSARY WOULD DARE THREATEN OUR -
SECURITY,
WE WILL E!lli,M!CE AND S!:!E£9RT OI!.IR STRATEGI C CAPABILITIES WlTH
CONVENT! ON·AL WEAP0NS SUCH AS THIS NEW. CRUISER, -
SHIPS LIKE liHE MISSISSIPPI ALSO PI;.AY A VITAL ROLE IN OUR AlR DEFENSES - - ·--
AND I Ni 't:JPGRADI NG OUR ANl:I'-AIR-WARFARE ABJLI TIES I -
_(--NE� CARD--? 5WE W I.LL CONTINUE Tq, , , , , >.
... �ecw•• . . ............ ... �···
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WE WILL CONTINUE TO DlSPATCJ;J OUR NAVAL FORCES TO PATROL THE -- -- -
WATERS OF ntE WORLD·, AND KEEP THEM SAFE :FOR OURSELVES AND OUR ALLI ES1 '� ' ·• -
.OuR NAVY, WITH SHIPS SUJCH AS THE M'ISSISS:fPPL WILL ALWAYS REMA.IN
A STRONG REMINDER TO OUR FOES, AND A SOURCE OF REASSURANCE TO OUR FRI'ENHS1 ----.....
THIS GREAT ·NEW' FIGHTING S'HH? ·l:.INDERS.CORES OUR COMMITMENT TO THE ;....-- .
sec uRI TV OF ouR ow.N PEOPUE ANn lHOsE OF ouR ALU Es., I I I I ouR EJE•DI CATIoN --- -
TO DEV,ISING ANEl DEiPLOYING TM'E FINEST FORCES ON EARTH, I I I .AND OUR SPIRIT -- --
OF FAITH' IN �OUR N·ATI-ON AND DEVOTION TO THE CAUSES WHICH HAVE MADE IT -· -
GREAT.
(--OVER--) <THIS S:PIRili OF FAITH AND DEVOTION. I I,) -
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lfHIS SPIRIT OF FAITH AND DEVO_!}ON IS EVIDENCED NOWHERE BETTER THA1N' - -
IN Y0.U -- THE MEN NND W.OMEN OF OU.R ARMED FORCES,
I KNOW THAT ALL AM:ERICANS S.MARE W'ITH ME A :DEEP APPRECIATION F0R
-YOUR ·-
You ARE THE MOST I'MPORTANT ELEMEN'T OF OUR. NATION 1 S DE!FENSE A'ND -
I AM DETERM!],ED THAT ALL 'O·UR SERVICE PERSONS RECElV:E THE RE·COGNITl:ON
YOl!J DESiERVE I
ON THIS OCCASION, AS WE REAFF:JRIM OUR DEDICATION TO KEEPING THOSE - -- -
DEFE,NSIES STR0NG, WE MU.ST PROCEED --- IN THE WQ.FDS OF JHlS �p 1 S t1Q!TO, -- ---
. . II v , . A"' il AND iliHE STATE MOJTO OF M:ISSISSI,PPI ER-TOO.,.TAY ET RE-MEECE :
-
"WITH VIRTUE, AND WITH ARMS," (Virtute Et Atrnd.s)
____.,. ---
(--NEW cARD--) <OuR STRENGTH wILL NOT FALTER, • • • ) -
.. �Ceprllla . . ............ ........
> •-• 0 o"O ,_ ,._,:. � · ·' o•,-•0: 0 ' . , . ;.. . .......... A�,--, , - ' _._ ••• - • • ·• •--•-
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:(i)uR STRE1NGTH W·I LL NOT FALliERJ NOR WILL 10UR DEDICATION. TO THE
I DE ALS WHICH HAVE GUtDED O·UR 'NAiJilON S I NCE ITS 'INCEPT:ION, - -
WE Wli.JL RE·MA ·IN A NATION FOUNDEB lN F:REEDOM,
WE WlLL MA I NTAIN Ot.IR FREEDOM GROUNDED IN STRENGTH,
# # #
�-- ·----........
THE WHITE HOUSE
WASHINGTON
Mr. President:
8/5/78.
1. John Ingram wants· to announce
the Sept. 15 fundraiser
after your visit today.
2. Ingram is·not inclined to
invest in a poll. Caddell
gave me an estimate of
Jf l2, 000 for a good indepth poll
which could be ready by Labor
day. You might want to pu'sh
Ingram on this. All the pols
in N.C. feel he· rieeds one.
Phil
··"
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Wilson, North Carolina John Ip.g�cml/:a.g,l.ly Saturday, August 5, 1978
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8/4/78
THE WHITE HOUSE
WASHINGTON
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( THE WHITE HOUSE I'
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memos, etc., r,e saturday trip ... which president has seen.
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THE WHITE HOUSE
WASHINGTON
August 3, 1978
MEMORANDUM FOR THE PRESIDENT
ADIVliNISTRATIVEl Y CONFIDENT�Al
FROM:
SUBJECT:
Frank Moo:e �� Les :Francl.�
/��
L. H. Fountain
As you know, Supplementary Fiscal Assistance was voted gown on Wednesday, August 2, in Fountain's subcommittee of Government Operations. We lost by one vote (7-6).
L. H. Fountain not only opposed Supplemental Fiscal Assistance, he went to great ends to embarrass the Administration.
Throughout th� weeks leading up to Wednesday's committee activity he was almost entirely unreceptive to Administration efforts to c.ommunicate with him. He made numerous requests of Treasury for data but rarely gave us any substantive feedback -- in the last few weeks he refused even to return phone calls from Stu and Deputy Secretary Carswell.
During Wednesday's session, Fountain permitted almost no discussion and railroaded his amendment to postpone consideration even though Les Aspin had indicated a desire to offer a number of amendments to make the bill more acceptable to some of its critics. At one point, Fountain limited Aspin to five seconds in which to speak.
In short, Fountain refused to cooperate even to the extent of permitting a fair discussion of the merits of the highest priority component of the Urban Policy.
• Recommendation: That you make Fountain aware of your displeasure while in the presence of his colleagues.
;• Suggested Time: Immediately before the Democratic Unity Luncheon in Wilson, North Carolina .
• Talking Points: See Attached.
Fountain's overall level of support for Administration-backed programs has been 32.6%. He ranks 258 out of 288 Democrats.
TALKING POINTS
ADMINISTRAT�VELY
CON Fl DENTIAL
1. Your highly negative approa·ch with both Administration officials and Members of your subcommittee on the issue of Supplemental Fiscal Assistance has severely damaged the Administration's chances to enact the highest priority component of the Urban Policy.
2. You obviously oppose our approach to providing fiscal assistance to areas in need; translating that opposition into a public embarrassment for the Administration was unnecessary .
Democratic Unity Luncheon Wilson, North Carolina Saturday, A ugust 5, 1978
Subject: L. H. Fountain
IDeolr&)Utdo Ccw ·
. ........ ��-
THE VICE PRESIDENT
WAS·H'I NGTON
A u.g u s t 1 ' 1 9 7 8
M,E M 0 RAN D U.M F Q.R HI E PRE S IDE NT
FROM:
SUBJECT:
THE VICE PRESIDE�T
YOUR fRI P T 0 •N'OR FOLK , R G ·I N I A , AUGUST 5 : NEWPORT N!EWS SHIPBUILDING'S ATTEMPT TO REViERSE THE NAVY'S DECISION! TO MODERNIZE THE CARRIER SARATO·GA I·N PHILADELPHIA
La s t A p r·il t h e N a V'Y a:n n .o u n c e d t h a t t h e Sa r a tog a w o u 1 d be transferred to the Philadelphia Naval Yard in lt81 as t�e first of fo,ur. Forrest.al class ·ca�ri·ers to be refurbished· trn•der the Se.rvice life Extensio·n Program ( SLEP) .
Th.e Newport News Shipbuilding Company which expected to get the Saratoga, its corporate parent Tennaco, Southeast Virginia community and business leaders and Virgi.nia politicians are und�rtating a well finan�ed public relations, lobbying an·d le·gal caimp·aign to reverse the Navy's decisio:n. The camp·ai'gn is part of an effort by Newport News to p.reven t t h e 1- o s s o f 5 - 6 0:0 0 j o b s a s a r e s ·u 1 t of c ut b a c k s i n bot h co·mmercial and Navy new ship construction. \{hile the Saratoga and other Forrestal carriers are not related to this job loss� securing the SLE,P business has become a major symbol in what will be portrayed as a fight for the survival of Virginia's 1 argres t emp 1 oyer.
Consequently, you can expect p�ess questibns, certainly in Virginia and perh.aps in Nort·h Carolin·a where about 5000 of the 24,000· Newport News Shipbuildi'ng employees live.
Attached are background materials (Tab A) and possible questions and s·uggested answers ·( Tab B). i
BACKGROUND BRIEFING ON THE SARATOGA CONTROVERSY
On April 14, 1978 the Navy announced that the carrier Saratoga ( will be transferred to Philadelphia as the first of four Forrestal class carriers to be refurbished under the carrier Service Life Extension Program (SLEP). While work will not begin on the Saratoga until fiscal year 1981, there will be a gradual buildup of new civilian employees resulting in the creation of approximately 2600 new jobs at the Philadelphia Naval Yard. The Vice President joined in the Navy's announcement saying that he was pleased that the decision would hel� alleviate the adverse effects of the Frankford Arsenal closing.
Following the Navy's announcement, the House and Senate Armed Services Committees, at the request of Paul Trible (R�Va.) of Newport News and Senator Harry Byrd, amended the Defense Procurement Authorization bill to prohibit the Navy from implementing its decision until 60 days after the submission of a "least cost study" on the use of public as opposed to private ship yards for the carrier and guided missile destroyer modernization programs.
on·June 7, Secretary Claytor submitted a cost comparison study on the SLEP program to the Senate and House Appropriations and Armed Services Committees. While this report indicated that it might cost approximately $30 million more to refurbish the carriers at Philadelphia than at Newport News, the report sited other public policy and shipyard work load factors as justification for the Navy's decision. Thus, in the Navy's judgment, Navy and commercial new construction w�rk at Newport News would make it impossible for Newport News to have sufficient dry dock capacity to accommodate the SLEP carriers.
On June 22, Newport News Shipbuilding wrote Secretary Claytor formally requesting that all the SLEP carriers be sent to Newport News. Newport News stated that it would now make available its North Yard facility which it had previously told the Navy was reserved for commercial ship construction. It also stated that it would now accept approximately 1500
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BACKGROUND BRIEFING ON THE SARATOGA CONTROVERSY
On April 14, 1978 the Navy announced that the carrier Saratoga ( will be transferred to Philadelphia as the first of four Forrestal class carriers to be refurbished under the carrier Service Life Extension Program (SLEP). While work will not begin on the Saratoga until fiscal year 1981, there will be a gradual buildup of new civilian employees resulting in the creation of approximately 2600 new jobs at the Philadelphia Naval Yard. The Vice President joined in the Navy•s announcement saying that he was pleased that the decision would hel� alleviate the adverse effects of the Frankford Arsenal closing.
Following the Navy•s announcement, the House and Senate Armed Services Committees, at the request of Paul Trible (R�Va.) of Newport News and Senator Harry Byrd, amended the Defense Procurement Authorization bill to prohibit the Navy from implementing its decision until 60 days after the submission of a 11least cost study .. on the use of public as opposed to private ship yards for the carrier and guided missile destroyer modernization programs.
On June 7, Secretary Claytor submitted a cost comparison study on the SLEP program to the Senate and House Appropriations and Armed Services Committees. While this report indicated that it might cost approximately $30 million more to refurbish the carriers at Philadelphia than at Newport News, the report sited other public policy and shipyard work load factors as justification for the Navy•s decision. Thus, in the Navy•s judgment, Navy and commercial new construction work at Newport News would make it impossible for Newport News to have sufficient dry dock capacity to accommodate the SLEP carriers.
On June 22, Newport News Shipbuilding wrote Secretary Claytor formally requesting that all the SLEP carriers be sent to Newport News. Newport News stated that it would now make available its North Yard facility which it had previously told the Navy was reserved for commercial ship construction. It also stated that it would now accept approximately 1500
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members of the carrier•s crew to supplement its own work force, the same number which the Navy had planned to use at the Philadelphia yard.
On July 17, Lieutenant Governor Chuck Robb informed the Vice President•s office that he had agreed t� become chairman of a group of Newport News community and business leaders who are planning a major public relations/political campaign to reverse the Saratoga decision. Accordin� to Robb, the campaign, finance� with Tennaco money. will involve a nationwide media campaign, hearings before Congressional committees and a law suit alleging that the Navy failed to follow proper statutory and administrative procedures. The campaign will include allegations, supported by a GAO study now in process and cost studies by national accounting firms, that ship modernization work costs 30 to 40 percent more in public yards and that the SLEP program will cost $100 million more at Philadelphia than at Newport News.
On July 27, the Vice President met with Charles Duncan to discuss these developments. In Duncan•s view, Navy work at Newport News is expected to remain fairly level through 1979 and into 1980, accounting for about 15,000 total employment out of approximately 24,000 total work force. However, Newport News•s commercial work is expected to wind down over the next year-and-a-half resulting in a reduction of about 5000 employees. These layoffs are, in part at least, the result of the loss of a major commercial liquified natural gas tanker shipbuilding contract to General Dynamics. The job loss is thus unrelated to Saratoga-SLEP. The Saratoga is nevertheless the symbol which i� being used by Tennaco and the Chuck Robb committee in a major effort to redress Newport News•s expected serious employment problems.
In D�ncan•s view, Newport News has not provided the Navy with consistent information regarding the availability or suitability of its North Yard facilities, heretofore reserved for commercial ship.ping, for Navy work. The Navy beleives that ther·e may be physical problems entailed in the use of the North Yard for carrier work. In addition, Duncan reports, Tennaco may well go ahead and build four liq.uified natural gas carriers starting in 1980 which would make difficult, if not preclude, the use of the North Yard as Newport News has offered.
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On July 28 the Vice President met privately with Lieutenant Governor Chuck Robb at Robb's request. Robb indicated he had, thus far successfully, persuaded Tennacb and the committee which he chairs to hold back its pbulic relations/legal campaign pending his efforts to work with the Vice President and the Administration. He neverthele.ss said that they were ready to go and have what he views as "an unbeatable p:R case" which would take advantage of the perception, albeit errone.ous, that the Navy's decision to send the Saratoga to Philadelphia was politically motivated and made at the request of the Vice President. He said his group was determined even though he admitted that if Newport News were successful in securing SLEP carriers that would nbt allevi�te Kewport News's near term employment problems.
The Vice President told Robb that the kind of public confrontation plann�d by Tennaco and his committee could only be counter-productive in �e long run and urged him �o meet with Claytor in a goo� faith effort to discuss Newport News's problems.
Later the same day Robb met with Claytor who indicated that the Navy was awaiting additional information from Newport News Shipbuilding up.on receipt of which it would conduct its own independent evaluation of Newport News's problems and its present and future dry dock capacity.
Robb sought to assure Claytor that he would try to keep the situation in Virginia on a rational level but he did not promise that he would try or �e able to keep the lid on Tennaco or his committee's public campaign to reverse the Philadelphia decision.
Attached is a Richmond Times Dispatch article which summarizes Newport News Shipbuilding and Dry Dock Company's present and prospective problems.
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the nat ion's shipbuilding. industry, and Newport · : . · there is on-the horizon,'' he explained,� 'we must con-·
News Shipbuilding and Dry.Dock to� •. the- world's • . � �rol:our costs, and we imisf be a leaner; more ef-, . biggest shipyard and Virginia's largest private _ _
_ - ficient organization."The alter:riative is to lose our· employer, has already laid off l,OOO.workers and is--, .: cQmpetitive position, and we do not want this to hap-bracing for further setbacks.·_. • ' · · .. _: -. · - · . pen." · · - · ·. - ·
· -
· · - · · -
· ·-· - . · Specuiati(m about other inajor layoffs have cir• ··· culated throughouf Newport News In subsequent weeks, although the f'hipyard hns remained otrlcially ·
The y2rd's construction pace has slowed, and the silent on its plans. future appears dim. The.giant yard, rising from the .. . Shipyard sources, however, will not argue private· banks of the James Riv_er, is getting,11o orders. for , _
ly with estimates that as many as 5,000 workers will ships. .
. .
. · .. · ·"' be
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There is a surplus of commerdal vessels e·1mpac o sue a s ow own cou e rama 1c, wJ�idv!ideand theCarteradmirifstrationhaspropos- - not just for Newport News workers; but for the city; ed cuts in Navy construction, thebreadandbiltt¢r:for. ··which is largely built aroimd the yard, and for the en-
. · · · · ·
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·• ·, :tlrePeriins'ula; which depends heavily upon the yard the yard. ·
· ·· ·.·. ' '
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· for jobs and business: -
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� 'm ' : '· t:· . ( -' •: ._; .•. ' YEARLY; THE YARD ·PAYS mor� tha�- $430 QJ;_' imtf) _ _ ·'.WI_i_�_-�U_ .•.. _· ____ ·._C_
-_IJ .
·
·
·.
··· . . millionin�wages �d benefits. It buys $7 1:million . . T , .
·· ' � . worth ofgoOdsand.servfcesfromoth�rVirginiacoin--
-
.R-
· Ca·
_.·d·-- e·r·s·-·p.- ··e··· · · C_
·-1._--8.·· -�·. -- •· panies; most of them in ttie Hainpton Roads area. I t . .. pays more than $p million in local taxes and sends to
the state $12.5 million in income taxes fromworkers·
Employmenrat the 42-�ajorU.S.shipyards i�ex- ·. ·
pee ted to drop about 25 percent as �he shipbuilding slump worsens over the next few years. .
·
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Loss of 40,000 to 50,000. jobs from the nationwide. yard pool of 170,000 was predicted byEd:wlnM: HOO<I, president of the Shipbuilders' Collncil of American in Washington. "You really have as much. as a three- ·
_
year lead time involved in ·the building-of new ships .. � .·· So this depression will continue in 'the early 1980s/' ·
he said . , . . ·. ·
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•
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•
Newport News Shipbuilding's 24;000 employees already have found t hat their jobsare on the)ine ..
. . . ON jUNE 23. the shiniT�rd,laid off 1,000 workers;
wages.: . . __ ., _ . . .. .. . ---�.: :, . . Much of the money is spen rand re-spentln the state and weighs heavily in the econorilic health� of ·southeastern Vii'glnia·.
· < ·
.• · .. · · .·
·· · ' As a result, every job lost at the yard probably means a job lost somewhere else iri the area, ac- . cording to AlbertW.- Schlim, Newpor'tNews dir�tor, of commerce. . · ·
"If you lose a job, in !ittle bits and pieces up·and . down the liJ1e, you'lllose another person's job. You'll see the sales level drop, .and yc)u will se� the pro,fit level drop.'' · . -
.
On the grounds of the 470-acre shipbuilding com-
Continued 011 P�ge 1 ;!, Cnl. l
' 'i
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., .� ..
. �-··-· .,_ .. ,, · ·. ' ,_, -,_ - ___ ·:- .. -- -.-.--c._.,. _.,_,,i"-:.";;c-·-c,�'"-- ·----- --�-- ·;·· .- - -- - ,:;--·- '7:-- - �---c'- - - ··:-y·_,_., ... _ - --- -�---t:?tJ·A�12-Ri�hms;,ndTi m�M�"'��J:I•·2?·�i . .. m�·-0) _ __ , ·· •· · · .· · · . · . · ��, � " a:y·.·� .oiu - -· '�iii' - '
. ' \ ·: .. �. .
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t;.�hiP:��r!:.��-:1.!��!.�� .... (- Continued From Fzr.qf_Page :; ,,,;yard . began to-dJVers1fy to· ·;t· fo_r example,· has comp�ted _ r -- - .. -. '· ,,: : -; - - · ; - _-: _ - ,·: .· k le�sen lts dependence on Navy :;: With a government-subsldtzed ; .1ple�� WOfk ISt�per,tng Of_f. -- -:· : �- contracts, _- . ; , -_ - - · - :. , :Japanese firm tha� has SUJ>-: !!;
__ .j:i-'"f�e-
_ yard
-
_ ha._s
_
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_
ur · contt:act� :_1 :'�/I�t ����� ·� __ -new ·co. m-
mercia! '::t_:··01
_
· itted bi�sJower than lhe cos�:·-; _.!o:bulld commercial _ships ,...,... .; .":shtpbutldtng yard (but a.s .. one -�1.: qf materials, just to �e_ep L�--�two_tqbe c�mpl�ted _brth�_�nd _!. �:';'officiaLhas•stnce noted, �e _;:_,workers on the job, Grtfflth l;:.(of diisyear;one m.�hesppng of;_:) .. :;diversified ·fnto-·a-,collapsmg · '!--said. t':_·r_979_anJ or\e_in J
_ate 1979, __ a_c_ <i_ f_
:�_c·market"); it exl'�nded its sub- _: ,: WITH s1JCH coM-. '<cording co sppke!!man To�·.: rrsidlary; Newport. News In-,.::·,
PETITION, u:s. yards. need �)Oids. . . , . -:·: '·: · •: · • · .• ?· dustrial Corp .• t" assume more more government help, he .J :-> . Ori July 7, th�"yard-agreed to · L::: of a· financiatrole·in,_the com- · - -.. \iterminate' a contracl_\\'it� .�he l�-pany; and most f!!CeritJy ithas , _. ar����ins also has criticized : ; :-Zapata Corp. for a $_150 m1Jhon _ • :begun a pushform?recom!ll�r- .; federal inacrion on proposed li-: _'-tanker . The worldWide surplus ·· ·; ·cia! repair work,_.adver_tlsmg_ :. : quefied riatural gas imports, · . of tankers forced Zapata -to·) l_->: for: repairjobs foi-thefirst time . -. which would require construe-_ · _ .withdraw from. th�l97� ligr�� ,; <:in years. - ·
· .. · ' .• : , · . · . _ _ , -tiori of dozens of LNG tankers . . -• , -: ment or abso�b·maJOr fmanc1al - /: ·-· As a result, the yard ·has m- The De;;:1rtment of En��rgy . _,.losses, the shipyard said.,·. -� : ' . creased . its non-government has established a study group to · The iead tinie on commercial -._sales from 8 percent of its salf::' . look into the proposed imports, ship constructio�- that is, the in 1972 to 35 percent last year, and the group· )las condu�ted time from the signing of a con-_ · without sacrificing Navy jobs, hearingafterhearingwith little · tract until c_opstr:uction can · -Griffith said.-. . · · ·• h1dication that it plans to take ' .--begin·.:_ is six to 18 moJ!ths, ,. . But outside forces have •
. any action soon, said A_lvin 0. dep�nding upon c;omplexity of . :_·:-begun to play havoc with the · W i n a l l , New p o r t News designs, �Ids said. So if t�e >.groundwork the company has shipyard's manager of co_m- · shipyard IS to keep all of Its _, '-''laid. mercia! sales an_ d marketmg commerciill yard workers busy ., :::: .· ·.
building ships, it must .land .-;-. THE MOST DAMAGING -manager; some new contracts �n. . . ;_-;: FO,RCE, accordin!J_t� shipyard ,., If the administration would . �·we:ve been lookang- for- :'-.>offiCials has been the federal . ·approve the imports, Wi�al' work," -said -James Griffith, ;y:.govein�ent and its action;.or. ·said; the shipyard could expect public relations director .. "But . {->' inaction, involVing America's · a contractlo construct as many
-.. in the commercial -businf?ss�·- :\'']shipyards. : - ·· · · . as four ships for its parent com-there's nothing on the horizon.': - : � . The company maintains that pany, 'Tenneco, and possibly · ·. - · · · · \�/whil� · the shipyards . have more ships for other· com-
AS FOR NAYY BUSIN�Ss, >·sought help from the �o�ern-. _ panies. . _ the yard has n.me submarmes,. -. · , .ment the.current admm1stra� · · . . -- Three LNG import plans are '·-an aircraft'.¢arrler and a
::�· tionhas in5tead followed a dis- . ready toget under.wl'!yif thead-1 cruiser under contract, Olds'- ·_:;: couraglng �urse: . . . . ·__ . ministration will approve said . . · _ · . _ _ .. :·;;:: Cousins haslald much of the ; them, and those planswouldre. · Much of the Navy, .work Is :'�-�_blame for theshipyatd's recent quire about 26 tankers, Winall ' sche�uled ·ro_r completion by: '·-�_:_layoffs on the doorstep of the , said. ··-'·the end of.l980, although some· :·;-;-federal bureaucracy. • "Th·at w o ul d g i v e t h e .. of the work will continue Into : , :;-· He has criticized Congress , shipyards i n_ this countr!'
··_1984, Grjffitl;t said. __ . - - _,;::·for falling to adopt a national ·. _ somethingtodo,"hesaid. "And , There is an ev�n_cha�ce the :,�-cargo bllWthatwould prom�te : they need it badly: , yard may get another aJrcraft : ''the use ofAmei-ican-built shlps· i ·"There.simpl y are not
: · _carrier contract, -according to • '.· - and that would save tens of i ·enough ships being authoriz�d ' its.officials, andsome chance it t·housarids of job s held. by �to keep all the private yards m · might get another guided mis- . i American shipbuilders." . business," he said .
. . sile cruiser contract. But th� .' : suchltgislatioil,whichwould . • . _ Navy construction budgetis un" ·: ... .'have required'American co.m- THE CARTER-· AD-certain. _ / . ·; ··.- ·panies to ship a larger portion ··MINISTRATIOJI,lhas cut deep- · _ -AndNavy shipsrequire even· J. of their cargoes onAmerkan- ·ly ·ilit o t h e Fo r d a d -1. moreJead time than commer- :_::built ships, died i n �ongress . ministration's shipbuilding 1 · cia! ships - f:om 18 to 24 <·.last year. American shipyards, �plans, reducing from 157 to 70 . months, Olds sa1d. . _ . : · which are having trouble com- : the.number ofNavy ships to be. _ The shipyardhasnotwa.tched . -:.·: peting with the forei�� yards '. builtover the next five years, its market evaporate Without, ... that are heavily SUbSidized by accordtng to the ship�u�t_S,: trying to do something, i�s of- t< their -governmen�s. were dis- · \ council president, 1ft::od_'- ' · •· ficials stress. . ___ _ ,: · ; .; .
�ay_E!d by the actlon ..
TheEl Pasosouthern launch· .( 'IN't6sf�"ovERRUNS, th�·,; �::�:ir:�t;� �cs�Hs. ar�-c�rtlfled, j ed last year was the first non· h'Navy arid
.the shipyard share ' t:the new union has· promised to ·I •
Navy ship the Newport N�ws , 'fadded costs up to a set ce)ling,_. 1-seek higher wag�s and. �tter -I yard has built in almost etght !after which the shipyard must , l:ben_efits for the workers. It Is J
'th the new · · · J.generaHybelieved that,.the · 1 years. Even now. wt . : bear_an the additional costs. . . !·shipyard's mcmagem'ent. can commercial yard, three�._! ··In the disputed contracts, the•; .. · fourths of theshipyard's;.icosts'surpassed jhoseceiling•i ¥,ex'pect a tough fight·ar the.i backlog involves Navy co�� / figtJr��·''-� .-:. . · . ... -·· - :_ .. ·. -· 1j :.'··_._:
b_. _�:
a.·:_M�geaairin
i_nwghtl�l
bele,_i·t.;h_': e� ','_:_-y3;_a}.;r�.:�;_ s· _-_._i tracts. . .. ·. · ., :1:• .. But· the sht�yard con�ends -, " .,._ Cousins ha_s !(!she� outat!he J.thaLtbe; NaVL'f!lade design.: t;desigrier:s, wh�.llffUiat� ,.ith ; - Carter admm1stratto": .�or.Jts ,· changes that required the ad·: dhe. Steelwof'kers-· before: the : handling of a multtbtllton- )ditional' costs. and therefore:} Lstiipyard's production workers i 'dollar. contract for the_renova- .. )i5liould:be reswnsible for partj ['did,. remain out ori strike 15 : t ion .of s everal atrcraft: /of· the overruns, Grlfflth.said. �- :_•jll'loL_� _-!1_�.-�.-.. �---�.:_�-f--��- r_'!' __ .. _-_a __ ;_,-!.,
k_�:_.:n __ ,_g.
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.',.'.f' . . r.c_-_'._t __ ,h. _ _._e.l_t_ _,.:_ l carriers. • . :,· ·: . •·, '!i(\r ·the _rriatter could i!lkE! years-� ..., .. - - . --The administration announc• -.,.·to decide, while the shipyard ', ·<.rAnd the'NLRB bas foundttbe : ed about three months ago that ·,·needs the money--now, its of- �ihiJ)Y:11rci:guiity of �nfalr:_la'l;loi: : . it . was sending th.e ai�craft� I Jiclals say. - , . .., .t . . :.�::· . - ·:). �practices In its dealings with : carrier Sara tog�. t�e. fmt of :1� �,;-f.�t i' ·· - · ,,-, ,- · 'd R ·berf.i:;:". ,!Jled�signers, meaning that the<' four to eight earners to be (,:· as yea!.' .sat . 0 :; · ·'1 . yard-inust rehire all replaced ·
renovated, to the Philadelphia:_:!; Hart�OC.�· :vtce .• p�esJdent for:;! deSigners if it reaches 'a: con· · Naval Shipyard rather th�n the · the shtpyard -� -cor�o��te,�rtra�t agree_ment; with. the1 Newport New� yard for a half· .?,�velopmeednt -�tn, .. mar
,.-
e-11!1.82• ::•. _designers� umon, _: _:.-_ - .. ' .•. · · : b .1-d. · b - . . _ we earn re urns o on Y · , . - N . t. . t' 1 g 'billion-dollar re ut mg JO . - :·· ..• • • · .. · r · . d2 5 · t · i> . . egot�a Ions are con mu n · Vice President Walter Mon- ... percent o!l sa es
dan
h t. · percen
�·:: in the strike, but there __ is no e,�� . dale announced that the �o,ve _ _ on assets :-::an . . t �-5�as ��- � '\:ifi !light:· · · · <' -_ .. !
fulfilled a campaign·promtse. :--yearofrec<?rdproft.� . . . i --· . · . . : .· ;
: But Newport News officials :<�:::•XWithout the_.�afktog��Te��Jft:·IN ·_-ANOTHER ,MATTER . · rried foul, sa1:.gthey could·.d.� �- neco,: we. certam Y COli n
d- , relattng to the !'lavy cost ! the work "che;;pe(HJld better. I hav� obtamed the casr need� ! ()Verruns, the Justtce Depart· i ; :•+" ! dunng thepast severa.Y�?rs o�;:ment 'is investigating the T u E pH I LADE L PH I A ': keel> o�r doors open. � � • · · Jl claims to determine whether YARD would have tQ hire and.\ Bestd�s. t h e s e · lllajo�� �the yard committed fraud. · ... 'train 2,600 to 2,800workers for -��proble��wtththegmre�nment:\ L The yard , denies a�y Jhe renovations, and it would Ctl"le_ shipyard. als.o. bas .�x � �wrongdoing. . : : .• ·.···· ·. h'ave 'to complete, about $25 - :-. �nenced lnter�_al_�_on�_ern.s. ; j:� The shipyard also has been million in construction to . its L. I It has' suffered losses tn�t. &C•. ..cited for several. Occupational , facilities to handle the work, : cording to· -some estimates;-. iSafety and Health Administr:a,Griffnh said. . . · i approach Sloo_ D?illion on three !.iion violat ions: involving · Newport News Shlpbutldlng . LNG tankers 1t I S constructing :asbestos.· -\.would handle the renovations :·for the El Paso Natural Gas Co.• f_ -OSHA fined. the yard $1,530 · :with Its present force and with a .: The iosses are -th�res�lt oUix�. �ior failing to properly instruct �minimal �.ountof re�ova�ons. i ed_ pri�e contract!! it si�ned in-. i wo_r�ers .• :on . th,e �se of Jo its facthttes, Griffith satd. - � · � ·the early i970.s; w1 thout f resptrators and for fatllng to ; · (Since that as�ignment to the . provisions .for the steep, in- ! provide: all required -·medical ,Philadelphia yard, Rep. PaulS. .creases in rna terials costs, the ! examinations for workers exTrible Jr.,. R-1st, and Sen. � shipyard has said. _ · · ·· _ · . posed to the carcinogEmic Harry •F. Byrd Jr., Ind-Va;,, ; The yard has also beccim�in· ; fibers .... · . . · . .. . · .. ·.·"··· ! have fought - the mov
. e, .an.d . .. • volved
.in. union battles. . • . The shipy
·a· rd h�s �aid it will i ;Congress has p assed -_a : _ · . . · · . :- .appeal OSHA's cttattons. . -l "Saratoga amendment" re- - · The United Steelworkers of· With a'll_,_the external quirlng studies of the relative , America �on a representation,· problems ·wit}\, the federal . costs-at the two yards before it , election at the yard earlier this ' government, compounded by ·
appropriates the r:enovation ·, year ·over the Peninsula Ship� ' such internal problems as the money.)� . . - .• . ) builders' Associatiop, con-;· cost overruns, the shipyard�s-.. The N a vy has. �I ready 'sidered.by many a "company,, future Is uncertain, Griffith i -acknowledged that the work union." · · . . ·. >.acknowl�ged; _ . _· .-.· ··· I ·would cost about � million;:( Theshlpyardandthea5socia-( • " If you co_uld tell me how ! :m�re p � r· carrier . a t 'luon have chall!'!nged the V9tJ=!;j many contracts we'd have in Ph1ladelph1a. Newpor� News ibut the Nat ional Labo r1 · two years, I could tell you how officials. bel_iev� �he ftgure is -Relations Board�s- regi�nal; _ many peQple we� II employ," he closer to $100 mtlhon. _ . director has ·recommended';. :&aid. : . In another batt!� be�w�n , that the board certify the elec�· ( · "Youcana)wayslookfornew Newport News Shlpbuiidmg -� tion>That decision is sti!J'j>eih1 �:�u·e�� _to_· use yo�� people and and the feder�Lgov�nment, 1 ding. ..·- . . _. . _1 •. fac1httes. ' . · - · . >.- , the .shipyard .1s seekmg $346 · · · · " ·.··· -- ·· � · - - i. · '.'But the work that Is most million from the Navy for cost ��labor-intensive- construction overruns of $742 !l"�llioil_ on . · of ships -:- depends ori the Navy contracts, Gnfftth satd. · ' government now. · · ·..
· ··
· ·"So. I just can't tell you how
:_man�.people we'll have here. in I l981. ·-· ' . . . . . . .. . ..
QUESTIONS AND ANSWERS ON THE NEWPORT NEWS SHIPBUILDING AND DRY DOCK COMPANY
AND THE SARATOGA DECISION
Q. Mr. President, last month the Newport News Shipbuilding and Dry Dock Company layed off a thousand production workers. Another 5000, and perhaps as many as 10,000, will be laid off if new contracts are not obtained. Newport News Shipbuilding is Virginia•s largest employer. If it does not get more business there may be a severe economic depression in the Tidewater area. Will you try to direct more Navy business to Newport News Shipbuilding? _
Will you see that your Administration approves the rconstruction of more liquified natural gas tankers? And specifically will you help this area by sending 1
the carrier Saratoga to Newport News?
A. I am extremely concerned about your employment problems here in the Tidewater area and I will certainly ask the Defense, Energy and other departments and agencies to look into the specific situation at the Newport News Shipyard. I am not familiar with the specific circumstances at the Newport News Shipbuilding Company but the Secretary of the Navy expects the Navy's shipbuilding and overhaul work, which now accounts for about 15,000 total Newport News Shipbuilding employment, to remain at about its present level for the next year or two.
I want to do everything we can to prevent the kind of future layoffs that you mention and to continue to help provide jobs in the Tidewater area. The employment situation here has brightened considerably in the last year.
During the 15-month period from January 1977 through May of this year employment, statewide, in Virginia has increased by 165,000, and the unemployment rate has dropped from 6.3 percent to 4.5 percent. In the Newport News-Hampton area, in the same period, employment is up 14,100 and the unemployment rate has dropped from 6.9 percent to 5 percent. In the N�rfolk area there are 23,400 more persons employed and the unemployment rate has dropped from 6.8 percent to 5.1 percent.
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With respect to the carrier Saratoga, as you know, the Navy announced last April its decision to send that ship to the Philadelphia Naval Yard for refurbishing as the first of four Forrestal class carriers to be modernized under the Service Life Extension Program. I am not familiar with all the reason.s that went into the Navy•s decision, but I do want to point out that there are many factors which enter into that kind of decision, for example, the availability and adequacy of dry dock facilities, present and future Navy shipbuilding and overhaul needs, relative costs among shipyards with adequate facilities and other economic and defense related factors.
I know that New�ort News Shipbuilding has lost some important commercial contracts recently and I understand that it has now communicated to the Secretary of the Navy its interest in contracting for the carrier Service Life Extension Program work. The Secretary is assessing the situation at Newport News in light of the circumstances which you mentioned and the Navy•s overall needs.
We will do everything we can, consistent with our defense needs and budgetary constraints, to help prevent the economic dislocations and to alleviate employment problems in the Tidewater area.
Q. Mr. President, Newport News Shipbuilding has agreed to make its North Yard facility available for the Saratoga and other 11SLEP11 carriers. It says it has the capacity, the trained production workers and it is willing to supplement its work force with 1500 members of the Saratoga crew. Philadelphia, on the other hand, will have to train 2600 workers and the Navy has admitted it will cost $30 million more to overhaul the Saratoga in Philadelphia. In light of these facts, why did the Navy opt for Philadelphia?
A. Secretary Claytor is reviewing the present situation at Newport News Shipbuilding and has asked for more detailed information on the North Yard facility which Newport News Shipbuilding had previously reserved for commercial ship construction. We will, of course, review the Newport News situation on a continuing basis. As I stated earlier, there are many economic and defense related
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factors which must be taken into accnunt in weighing the advantages and disadvantages among cnmpeting facilities for the type of overhaul work involved in the SLEP program.
Q. Mr. President, wasn1t the decision to send the Saratoga to Philadelphia made at the direction of the Vice President as a sort of payoff or � £.!:..Q_ .9....!!Q.. for the closing of the Frankford Arsenal?
A. No. The Navy decided that the Philadelphia Navy Yard was the most appropriate facility for work on the Saratoga. The Vice President did not in any way enter into that judgment.
Q. But the Vice President announced the decision in Philadelphia.
A. I know that the Vice President said he was pleased that Philadelphia would benefit from the 2600 jobs increase at the Philadelphia Navy Yard but he was not in any way involved in the decision itself. The judgment was made by the Navy and by the Secretary of Defense based on the many kinds of factors that I have mentioned.
THE WHITE HOUSE
WASHINGTON
August 3, 1978
Memorandum for the President
/'
From Jim Fallows i]C......:
Subject: Tobacco Warehouse Speech
I am in a distinct minority in this viewpoint, but I think you will be doing yourself unnecessary harm if you fail to make even a veiled and moderate reference to the drawbacks of tobacco in your appearance at the warehouse.
The speech we have drafted emphasizes the value of the tobacco crop to North Carolina and is quite explicit about the virtues of the small-farm tradition. That approach would be sufficient if Joe Califano's policy were not already so well known, especially in North Carolina. Unless you decide to reverse the policy,· you shouldn't act as if it doesn't exist. One of our major political difficulties is the perception that our policies are inconsistent, that there is no follow-through, that we are talkin g out of both sides of our mouth. If you say nothing at all about a well-known policy you have previ6usly endorsed, you will only aggravate that problem.
I think you can make the best of the situation be adding a paragraph like this befbre the last paragraph· on page three:
"We all agree that the public should be well and objectively educated about tobacco and smoking. Those who are reponsible for protecting our nation's health have a duty to investigate all threats to health--and I support them fully.
"But I am also concerned about the independent farm family . . • "
That's not exactly what the crowd in Wilson wants to hear, but the rest of the nation will be listening.
�· �'M - J rfA � � �.r wk._ � Ct �. JJdMd � � (;(_ � �-ctu'*"�� � � �� � .&. . ,..._ a.uo '4#- .� J � 6,. � ry ?t �::r-� �
'•
THE WHITE HOUSE
WASHINGTON
August 4, 1978
MEMORANDUM FOR THE PRESIDENT
FROM: JIM FALLOwsJ�
SUBJECT: Tobacco Warehouse Speech
Another way to approach the smoking question, if you are reluctant to use the language I suggested before, is simply to say, "I'm not going to discuss any of the health issues of smoking today. What I want to talk about is the role tobacco plays in supporting a strong farm economy."
As a matter of practical politics, it is essential to touch this base -- just as it was essential to mention the words "human rights" when you landed in Brazil. The people in North Carolina know what the policy is; not saying anything about it will not make it go away. · All that will happen if you fail to include a mention is that you will provide the fuel for another round of stories about inconsistent pol;icies. The attached editorial from the Charlotte Observer (July 30, 1978)
illustrates the state's realization that federal policy is not going to change.
Remarks of Admiral H. G. Rickover, U. S� Navy
at the Commissioning of the USS MISSISSIPPI (CGN 40)
at Norfolk, Virginia Saturday, 5 August 1978
I am happy that our Commander in Chief is here today.
c t'J�y
It is not generally !mown that in 1953, while he was in the Navy's
nuclear prqgram, a radiation incident occurred at the Canadian nuclear
plant in Chalk River, ontario. To obtain exiJerience, I asked the
Canadians for permission to send a group of naval personnel to help.
Lieutenant Carter was in this group. He did an outstanding job. In the
process, he learned much about the practical aspects of nuclear .power.
As one might expect, I am interested' in 'his Presidency. That
office today is .the most difficult one in our history; the ones succeeding
it wilt be even more difficult. rt is not merely an administrative office,
it is .predaminantly· a:· place for moral teaching. This is now difficult.
We can nolonger·look'toth�·legal·profession for help. It has become a . .
large powerful gr,.oup who�e·.··nu1jor;object is money, n<?t. justice. The • J • • •• • • •
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medical profession is ;catchirig·up· with the lawyers. Hence President
Carter's hospital cost-control bill to protect the public. Large business
is using financial and lobbying power ta influence legislation.
· Many government officials come from business. Some of them
forget that they must serve all of our people; that the welfare of the
people who pay them does not always coincide with the welfare of business
and of lawyers. Some of these officials then depart for lucrative jobs in
industry. •
I ·
,.
The .only shared moral consensus we have today is religion. The
Bible is replete with wisdom that comes from human experience. Among
its precepts are: "The love of money is the root of all evil, " and ''For
where your treasure is, there will your heart be also. " Regardless of
this age-old wisdom, many of the rich act as if shrouds· have pockets.
The public is more critical of those in high office than it has ever
been. It is easier to· point out the flaws and fallacies of. a great man than
· to be one. Simple and sweeping views are useful only to those who have
no responsibility. '·
I am sure the President is often reminded of what Czar Nichalas I
said: "Not I but 10, 000 clerks rule Russia.'' Further, that he is merely
the senior one of a committee of Czars.
Deep within President Carter is the knowledge that·struggle is the
law of growth; character is built in the storm and stress of the world;
and a man reaches his full height only through compulsions,. responsibilities,
and suffering. With the winds of circumstances blowing in so 111any
directions, he knows that the only sure way is to act on principle. He
does what his conscience tells him is best for our people and our couritry.
He exemplifies what Polonius said to Laertes:
This above all: to thine own self be true,
And it must follow, as the night the day,
Thou canst not then be false to any .man.
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Dccause of his outstanding work in the nuclear pr�gram, I have
written him that, if at any time in the future he decides to leave his
present employment, I will welcome him back into the Naval Reactors
Program - subject, of course, to being interviewed once again to .
determine his qualifications. This is the highe·st honor I can bestow
on anyone.
Mr. President,. I will now present you with your recor d at the
Canadian plant.
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