APPENDIX IV APPENDIX IV Page 33 If, under terms of the Compacts, the Micronesians will accrue greater benefits, it appears unlikely then that there will be a massive influx of immigrants to Guam and the other territories. Chapter 5 Page 37 The use of the word "rebates", on the sixth line, may be confusing, in light of the Northern Marianas' laws (which were effectively repealed by the U.S. Congress) providing that once the Federal income tax law is in effect there, almost all local taxpayers would receive a 100 percent “rebate” of all of the - taxes they had paid. To avoid this problem, you may wish to delete “rebates” and insert “payments to the territorial treasuries." Page 38 In Table 2, -- Two references for footnote "a" appear. “American Samoa" should be deleted. Probably that following -- In the “Total" column, the figure shown for Puerto Rico in 1981 appears _to be in error. -- In the footnote, the problem discussed above concerning the use of the word "rebated" occurs again. Perhaps there might be substituted for it the words “retained by the territories or covered into territorial treasuries". , Page 39 and 40 While there may appear to be no overall federal strategy for encouraging economic development in a comprehensive and consistent fashion, it must be noted that all territories have popularly elected representatives, both in the territories and in the nation's capital, and the federal government ought not to dictate such strategy in consonance with the concept of selfdetermination. It should be pointed out also that the needs and problems of individual territories are not necessarily the same. This administration continues to encourage elected territorial leaders to develop their individual priorities and to work with the Department of Interior, through OTIA, in achieving them. It is presumed that territorial delegates to Congress are in the best posture to identify laws inimical to territorial interests, and to: seek congressional exemption to their application. Page 47 In the second paragraph, the "1950" appearing in the first sentence should be changed to "1950 and 1954", and at the end of the sentence there should be added, “respectively.” 69 eure S00021b~

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