people, whereas the HEW ceiling standard recommends
4 beds per thousand. We, therefore, cannot support
the authorization contained in Section 202. However,
the Department of Interior in cooperation with HEW
is willing to report to Congress by June 1, 1980,
as to the Northern Mariana hospital needs and costs.
We would not object to having such an endeavor be
required by statute.
Section 302 would forgive the payment of interest by
Guam on all funds borrowed pursuant to the Guam Rehabilitation Act of November 4, 1963, and would apply
interest already paid against principal owed. As of
May 15, 1979, $35.6 million in principal remained
outstanding out of $41.5 million originally borrowed.
Since borrowing the money, Guam has paid $18.1 million
in interest.
If the interest forgiveness provision of
Section 302 becomes law, $17.5 million in principal
would remain to be paid by Guam. The Administration
continues to oppose debt forgiveness for Guam.

Section 601 would require the consolidation of all
Department of the Interior grants-in-aid to a territory
by making certain optional provisions of Section 5 of
Public Law 95-134 mandatory, and would also waive

‘any requirements for local matching funds and for
written applications or reports associated with such
grants.
The Administration opposes this provision
because it believes that the Department of the Interior
should not be singled out in this matter.

The Administration would approve the following sections if
amended:
Section 103 would establish a comprehensive medical

program under the direction of the Secretary of the
interior to ensure medical treatment for the inhabitants of Bikini, Enewetak, Rongelap, and
Utirik who were subjected to radiation damage as
a result of United States nuclear testing in the Pacific.
We strongly believe that the people of the Marshalls
who have been exposed to radioactive hazards resulting
from nuclear testing require regular medical surveillance, and where necessary, treatment.
At present,
the Department of Energy provides such service, and has
conducted radiological surveys of the affected atolls.
The Administration believes that such a program must
continue and has no objection to it being statutorily
required.
We strongly recommend, however, that the
language of Section 103 be amended as requested in our

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