H 1228

CONGRESSIONAL RECORD — HOUSE

the failure of a person to file his or her
claim in a timely manner produce a re-

sult that “shocks the conscience” we

would hope and anticipate that a future

Congress would show compassion for
any such individuals and provide com-

pensation for them through private relief bills or some other methec.

Furthermore, it is our understanding
and intent that by praviding this specific
statute of limitations, the Justice Department will not raise any equitable defenses to the filing of claims within the
limitation period based upen the dila-

toriness of the filing of the claim.
The House version of H.R. 3756 con-

tained language extending for 30 years
the loan guarantee provision for the
Guam Power Aythority (GPA) and

made other changes affecting the GPA.

The Senate, at the request of GPA, has

revised the section to authorize only a
10-year extension and made some other

changes and we concur with these,

In 1974 2 bill to place certain submerged lands within thejurisdiction of

Guam, the Virgin Islands and American
Samoa was enacted into law. A list of

certain lands—11 in all—was excepted
’ from the transfer of title. Included in

tha exceptions were deposits of oil, gas

_and other minerals in the submerged
lands.
At the insistence of Tony Won Pat, we

have agreed to add language to H.R.
3756 (incorporating the essence of his
H.R. 4670)

that would allow titie to

these oil, gas and other mineral de-

posits to be transferred from the US.

Government

to

the

government

of

Guam. And along with Guam, we have

included the Virgin Islands (at the request of Metvin Evans) and American
Samoa,

The Senate, in its version, confirms
the jurisdiction of Puerto Rico over its
submerged lands to 3 marine leagues.
The House has been convinced of the
equity of this proposal for several years
and at the request of our colleague,
Mr. Corraba, we have concurred with the
Senate on this matter.
In title IV, which affects the Virgin

Islands, a number of changes have been

made by the Senate.
First of all, the Senate modified the
House’s language in section 401. The
Senate retained the language that
transferred to the Virgin Islands property acquired from Denmark by the
United States and which was not re-

served or retained by the United States
under Public Law 93-435. It revised,

however, the rest of the section so that

what it now does is to release from a
mortgage covering 230 acres held by

GSA 10 acres needed by the Virgin Is-

lands government in order to build an

armory. The release will take place

when the $125,000 owed for the 10 acres

is paid. We have reluctantly accepted
this change.

Because of Justice Department con-

cerns, the Senate changed the House

language on Water Island to prohibit

army modification of the existinglease on
Water Isiand before 1992 without express
congressional approval. We agree wholeheartedly with this change,

In 1978, the Congress enacted legisla~
tion which included a provision elini-

inating a deduction of the costs of col-

February 25, 1980

cluded, given the amountof controversy
generated in this Congress by the 3-year
authorization, to give way to the Senate
in the matter. In the long run, webelieve
the Virgin Islands people will be better
served by removing this highly controversial provision and redoubling our ef_forts to get full funding for other Virgin
Island projects already authorized.
- We have restored the section extending: the guaranteed borrowiny authority

lecting duties, taxes, and fees from funds
which would otherwise have been paid
directly to the Treasury of the Virgin
Islands.
The purpose of the provision was to
make some additional funds available
to the Virgin Islands government to use
for public purposes. After the legislation
was enacted, it was learned that an ex- granted to the Virgin Islands in Public
isting contract relating to petroleum im- Law 94-392. The Senate had objected ta
ports would significantly frustrate this the proposed 10-year extension. We have
objective. Consequently, we are told, the now modified our original language to.
monies have been withheld under the provide for a 5-year extensionof the law
terms of Public Law 96~38,
and have added a reverter clause, thatis,
The language presented in the amend- our language now would require that all
ment is designed to accomplish the pur- funds borrowed, but not obligated by the
pose of the 1978 act, without becoming * expiration date in 1984, will be returned
entangled in the contractual commit- to the lending institution from which
ment made by the Virgin Islands govern- they were borrowed. We urge the Senate
ment. The amendment provides that the to accept this version.
To the Senate bill, at Representative
United States shall retain the funds attributable to the cost of collecting cus- MELVIN Evans’ request, we have attached
toms, dutics, and fees on petroleum ima new section which would convey title
ports between August 18, 1978 and Janufrom the U.S. Government, without any
ary 1, 1982. After January 1, 1982, there cost, to the Virgin Islands government
will be no deduction for these costs. In within 2 years from the date of enactthe meantime, from August 1, 1978 on, ment of this bill the property known as
“all other deductions withheld are to be the former District Court Building loremitted as intended under the act of cated on Norre Cade. We understand
that date.
o
- that there is a great need for office space
The amendment also“repeals & provi- in the Virgin Islands and we would hope
sion in Public Law 96-386 which was de- the scquisition of this building would
veloped despite the fact that we were

working at the time with the U.S. Customs people to modify our 1978 lan-.
guage. Our 1978 language was effectively
repealed in an appropriations bill without Treasury having the courtesy to notify us before, during|or after such
action.

This action by the Treasury Department is but another in a series of their
refusals to cooperate with this subcommittee. Their earlier refusal to provide
necessary technical expertise on tax collection to the Northern Mariana Islands
is one example of this. Anotherts their
resistance to complying with the intent
of the Congress as it relates to excise
taxes in the Virgin Islands, a view which
was upheld by a Federal district court,
and is what I believe to be a not too subtle effort by Treasury to “squeeze” the
Virgin Islands by dragging that government through a long and costly appellate process.
At some point our subcommittee intends to examine this pattern of indif-

ference, if not outright antagonism, toward insular areas,
At the request of the Virgin Island
government, the Senate added language
that would allow any excise taxes levied
by the Virgin Island legislature to be collected when imported goods are brought

into the Virgin Islands, rather than 30

days after the end of the month in
which they arrive. We have no objection
to this, and therefore have retained this
section.
The Senate, much to our regret, re-

realed that section in the House bill that
authorized.$60 million ($20 million a year

for 3 years) to enable the Virgin Islands
to offset any anticipated deficits they
might have. We reluctantly have con-

solve this problem to everyone's satisfac-

tion. Should the Government Services
Administration, sometime in the next 2
years,. decide it needs this building for
somewhatlonger than the time frame set
forth in this section, it can come to Congress and presentits case to the authorizing committees.
And lastly, at Representative MELVIN
Evans’ request, the Virgin Islands is included in our new section authorizing the
conveyance of title from the U.S. Government to the Virgin Islands government for oi], gas and mineral deposits in
the submerged lands.
The Senate modified our section dealing with title V of Public Law 95-134,
which is the title that authorizes all departments and agencies to consolidate
grants and waive wherever possible
matching funds for insular area govern-

ments. What they ended up with is lan-

guage that requires the Departinent of
Interior to waive matching requirements
on Federal grant programs to the territories. We agree with them on this and
have retained this section. Additionally,

we have added a section that will require
the waiving of all matching requirements, including inkind, under $100,000
that. any departments or agencies may
otherwise require of the governments of

American

Samoa

‘MarianasIslands.

and

the

Northern

Additionally, for American Samoa, the

Senate has agreed with our language to

authorize the Secretary of the Treasury
to administer and enforce the collection
of customs duties in American Samoaif
the Governor requests this of the Secretary. We have also provided language to
enable the Secretary to train residents
of this inswar area to carry out these
responsibilities. In doing this, we urge

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