Cuba "shall not be construed as authorizing an appropriation or as any intention to authorize an appropriation for the purpose of paying such claims." REASON FOR REQUEST FOR EXTENSION OF TIME Section 510 of title V directs the Foreign Claims Settlement Commission to complete its affairs in connection with the Cuban claims program 3 years following the final date set for the filing of claims or following the date of enactment of legislation making appropriations to the Commission for the payment of its administrative expenses in carrying out its functions with respect to the program. Pursuant to these provisions, the present date set for completion of the Cuban claims program is May 1, 1970. According to the Foreign Claims Settlement Commission, however, insufficient funds were appropriated for its administrative expenses in fiscal year 1969, and as a result the Commission was forced to reduce its staff by approximately 60 percent. Such being the case, the Commission requested an additional 2%1⁄2 years to complete its affairs in connection with the Cuban program. As approved by House, H.R. 11711 authorizes the Commission an additional 26 months (until July 6, 1972) within which to complete its affairs under the Cuban claims program. COMMITTEE ACTION The committee received a letter from Mr. Andrew T. McGuire, General Counsel, Foreign Claims Settlement Commission, stating that H.R. 11711, as passed by the House of Representatives, is acceptable to the Commission. Accordingly, on December 12, 1969, the Committee on Foreign Relations considered the bill in executive session and ordered it reported favorably to the Senate. The full text of Mr. McGuire's letter, which contains further details relating to the Cuban claims program, is reprinted below. Chairman, Committee on Foreign Relations, DEAR MR. CHAIRMAN: Reference is made to the bill S. 1796, a bill to amend section 510, title V of the International Claims Settlement Act of 1949, as amended, to provide for the extension of time within which the Foreign Claims Settlement Commission shall complete its affairs in connection with the settlement of claims against the Government of Cuba, which is pending before your committee. The proposed legislation would extend the present Cuban claims program for a period of 21⁄2 years. The Commission presently administers this under the provisions of title V of the International Claims Settlement Act. Our proposal was forwarded to the Congress in draft bill form by the Commission on behalf of the executive branch on January 14, 1969 after its clearance by the preceding administration. The proposal was S. Rept. 91-606 again cleared for presentation to the Congress by the present administration on March 18, 1969. Your committee was advised of this clearance on March 21, 1969. Title V was added to the International Claims Settlement Act under Public Law 88-666, approved October 16, 1964. It directed the Commission, among other things, to receive and determine the amount and validity of claims of nationals of the United States against the Government of Cuba arising since January 1, 1959. These claims are based on losses resulting from the nationalization, expropriation, intervention, or other taking of property owned by nationals of the United States. Also covered under the statute are claims for disability or death of nationals of the United States resulting from actions taken by or under the authority of the present Government of Cuba which constitute violations of international law by such Government. These claims now total $3,339,911,428.07. The Cuban claims program commenced on September 2, 1965 and the period for filing claims was open until May 1, 1967, in accordance with the time limitation provided by the statute. An aggregate of 8,444 claims were received by the Commission during the filing period. This included several hundred claims which the Commission has held open for American citizens still in Cuba. Section 510 of title V of the act provides that the Commission complete its affairs in connection with the settlement of these claims not later than 3 years following the final date for filing claims. The date thus established is May 1, 1970. At the commencement of the 3-year settlement period, our annual personnel requirements with respect to the program were projected over this three year period in order to insure that the Commission would meet the deadline. Due to severe appropriations cuts, however, by the Congress in fiscal year 1969 the Commission's budget for operating expenses was substantially reduced and it was necessary for the Commission to cut back its staff approximately 60 percent last September. As a result of this reduction, the Cuban claims program cannot be completed by the present required settlement date of May 1, 1970. It is now estimated that it will require another 21⁄2 years beyond May 1, 1970 with a reduced staff to complete the work, As of September 12, 1969, the Commission had issued proposed decisions on 3,998 claims of which 3,754 have been finalized. An additional 537 claims have been withdrawn or dismissed leaving 3,919 claims, including 493 claims of American citizens still in Cuba. In order to complete the work on the remaining 3,919 claims, the program must be extended for the proposed period of 21⁄2 years or the Commission would have to have even more personnel than now requested. The extension of time can only be accomplished by an amendment to the statute. Section 510 of the act as originally enacted applied only to the settlement period of claims against Cuba. By reason of an amendment under Public Law 89-780, however, this section was extended to provide for an identical settlement period of 3 years with respect to similar claims against the Chinese Communist regime. The filing period for claims in the China program terminated on July 6, 1969 and in accordance with section 510 of the act, the program is scheduled for completion 3 years after that date, viz., on July 6, 1972. Although, the S. Rept. 91-606 proposed legislation would not affect the present 3-year settlement period with respect to the claims against Communist China, it is to be noted that the companion bill in the House, H.R. 11711 was reported out of the Committee on Foreign Affairs on September 15, 1969 (Rept. No. 91-488). The bill as reported contained an amendment to extend the Cuban program until July 6, 1972, the completion date of the China program. There is no objection on the part of the Commission to this amendment. I respectfully urge early and favorable action be taken on the proposed legislation providing for an extension of the Cuban program. The Bureau of the Budget advised previously on March 18, 1969 that there would be no objection to the Commission's support of the proposed legislation from the standpoint of the administration's program. Sincerely yours, ANDREW T. MCGUIRE, о S. Rept. 91-606 Mr. RUSSELL, from the Committee on Appropriations, REPORT [To accompany H.R. 15090] The Committee on Appropriations, to which was referred the bill H.R. 15090 making appropriations for the Department of Defense for the fiscal year ending June 30, 1970, and for other purposes, reports the same to the Senate with various amendments and presents herewith information relative to the changes made: Amount of bill as passed House (new obligational authority). Amount of decrease by Senate committee_ Total of bill as reported to Senate. Amount of original 1970 budget estimate (new Amount of revised 1970 budget estimate (new Under the revised budget estimates, 1970. $69, 960, 048, 000 -627, 392, 000 69, 332, 656, 000 77, 740, 200, 000 75, 278, 200, 000 74, 402, 249, 427 5, 945, 544, 000 8, 407, 544, 000 5, 069, 593, 427 1 January 1969 budget, as amended in H. Doc. 91-100. Air Force Defense agencies/OSD. $21, 649, 200, 000 2,735, 000, 000 21, 941, 000, 000 23, 240, 900, 000 8, 174, 100, 000 77,740, 200.000 24,867, 000, 000 23, 367,400,000 24,986,934, 000 4,518, 866, 000 77,740, 200, 000 $21, 641, 900, 000 2,735, 000, 000 21,792, 100, 000 20,886, 800, 000 8,222,400,000 75, 278, 200, 000 00 23,955, 300,000 22, 804, 000, 000 23,959, 434,000 4,559,466,000 75, 278,200,000 $21, 057, 200, 000 2,735, 000, 000 20,878, 100, 000 18, 092, 148, 000 7, 197, 600, 000 69,960, 048, 000 69, 22, 348, 000, 000 20, 809, 548, 000 22, 359, 634,000 4,442, 866, 000 69,960, 048, 000 20, 831, 300, 000 2,735, 000, 000 20,920, 441, 000 17,464, 818, 000 7,381,097, 000 69, 332,656, 000 22, 119, 361, 000 20, 535, 469, 000 22, 244, 160, 000 4, 433, 666, 000 69, 332,656,000 -595,803, 427 -168, 731, 000 -5,069, 593, 427 -2, 353, 847, 223 -162, 994, 204 2 Includes amounts warranted by Treasury Department pursuant to Public Law 91-31. |