the Attorney General must request the advice in writing of the Secretary of Health, Education, and Welfare and of the Scientific Advisory Committee established by the Act, both of which must render such advice within a reasonable time. Each controlled substance is listed in one of four hierarchal schedules depending on its relative abuse potential, medical usefulness, and dependence-producing liability. Title III provides for the regulation of the manufacture, distribution, and dispensing of controlled substances. All persons must obtain an annual registration from the Attorney General before engaging in the manufacture, distribution, or dispensing of any controlled substance. The Attorney General must establish quotas for the production of Schedule I and II substances sufficient to provide for the country's estimated medical, scientific, and industrial needs for lawful export and for maintenance of reserve stocks. Title IV provides for the monitoring and control of the import and export of controlled substances. The controls are patterned after the presently existing Narcotic Drugs Import and Export Act with alterations sufficient to extend them to other dangerous substances. Title V sets out the bill's offenses and penalties. In general the bill's penalty structure is modeled after existing law, although with respect to some of the specific substances listed in the bill, its penalties are more severe than under existing law. A novel provision of the bill which stems generally from a provision of the 1968 penalty amendments to the Federal Food, Drug, and Cosmetic Act, gives the court discretion, without entering a judgment of guilt and without the defendant's consent, to place on probation anyone who is found guilty of possession of a controlled dangerous substance and who has never previously been convicted under the bill or any other Federal or State law relating to stimulant, depressant, or hallucinogenic drugs. If the conditions of probation are fulfilled, the court must dismiss the proceedings, which in that event are not to count as a conviction, but if the probation terms are violated the court may enter a guilty verdict and impose the allowed penalty. This procedure may be used only once with respect to any person. The final titles contain various administrative provisions, including authority for the Attorney General to carry out educational or research programs necessary for the effective enforcement of the Act and the requirement that he appoint a committee of experts of diversified professional backgrounds, selected from a list drawn by the National Academy of Sciences, to advise him with respect to dangerous substances which may be subject to control. The bill would repeal the Food and Drug Act's special provisions relating to depressant or stimulant drugs. Expressly excluded from the scope of H.R. 13743 are the substances covered by present tax laws (narcotics and marijuana) and for that reason covered by a separate bill, H.R. 13742, which was referred to the Ways and Means Committee. The latter bill excludes depressant or stimulant drugs, which are covered by H.R. 13743. Taken together, the two bills are the equivalent of the original Administration bill (S. 2637) submitted to Congress by the Attorney General on this subject. Since the framework of the two bills is the same and their drug coverage provisions are complementary, and since the division is based on committee jurisdiction, we recommend that the legislation as finally enacted be a single comprehensive law for all dangerous controlled substances, with appropriate distinctions within the comprehensive law. In addition to this unification, we strongly support the present version of the Administration proposal contained in S. 3246 as passed unanimously by the Senate on January 28, 1970. Especially important are the provisions of S. 3246 to make penalties more flexible and more appropriately adapted to various offenses. We note, further, that under S. 3246 selection of the members of the Scientific Advisory Committee (from a list drawn by the National Academy of Sciences) is to be made by the Attorney General after consultation with this Department. We also invite favorable attention to the provisions of section 801 of the Senate bill requiring this Department and the Department of Justice to appoint jointly a Committee to study all available information concerning marijuana and make recommendations with respect to the degree of control to be exercised over marijuana use. Specific comments on the provisions of S. 3246 as well as H.R. 13743 have been presented by Administration witnesses, including representatives of this Department, to the Public Health and Welfare Subcommittee in its hearings of Febru ary 3 and 4, 1970. These are strongly in support of the enactment of comprehensive legislation in the version of S. 3246 as passed by the Senate. We are advised by the Bureau of the Budget that there is no objection to the presentation of this report from the standpoint of the Administration's program. Sincerely, ROBERT H. FINCH, Secretary. Hon. HARLEY O. STAGGERS, DEPARTMENT OF THE TREASURY, Chairman, Interstate and Foreign Commerce Committee, DEAR MR. CHAIRMAN: Reference is made to your request for the views of this Department on H.R. 10342, "To authorize the Secretary of Health, Education, and Welfare to make grants for treatment and rehabilitation centers for drug addicts and drug abusers, and to carry out drug abuse education curriculum programs, and to strengthen the coordination of drug abuse control programs by establishing the National Council on Drug Abuse Control." The proposed legislation would (1) authorize the Secretary of Health, Education, and Welfare to make grants to assist States and nonprofit private organizations in establishing, developing, equipping, and operating drug addict prevention, treatment, and rehabilitation centers, including the training and salaries of personnel necessary to operate such centers; (2) authorize the Secretary to make grants to assist medical schools and institutions of higher learning in developing and carrying out curriculum programs on drug abuse education; and (3) establish in the Executive Office of the President the National Council on Drug Abuse Control to advise and assist the President on drug control education programs and on drug abuse law enforcement activities. It would authorize to be appropriated over the five fiscal years 1970-1974 $350 million to carry out (1) above, and $100 million to carry out (2) above. The Department has no independent knowledge as to the necessity or desirability of the programs proposed by the bill and accordingly has no comment to make with respect to its general merits. The Department has been advised by the Bureau of the Budget that there is no objection from the standpoint of the Administration's program to the submission of this report to your Committee. Sincerely yours, PAUL W. EGGERS, General Counsel. Hon. HARLEY O. STAGGERS, DEPARTMENT OF THE TREASURY, Chairman, Committee on Interstate and Foreign Commerce, DEAR MR. CHAIRMAN: Reference is made to your requests for the views of this Department on H.R. 11701, H.R. 12882, and H.R. 12894, bills relating to narcotic and drug abuse care and control, and H.R. 11697, a bill relating to marihuana. On July 15, 1969, the Attorney General transmitted to the Congress a draft bill, "To protect the public's health and safety by amending the narcotic, depressant, stimulant and hallucinogenic drug laws, and for other purposes.” The Department recommends favorable consideration of the Department of Justice proposed legislation in lieu of further action on H.R. 11701, H.R. 12882, H.R. 12894 and H.R. 11697. The Department has been advised by the Bureau of the Budget that there is no objection from the standpoint of the Administration's program to the submission of this report to your Committee. Sincerely yours, ROY T. ENGLERT, Acting General Counsel. Hon. HARLEY O. STAGGERS, DEPARTMENT OF THE TREASURY, Chairman, Committee on Interstate and Foreign Commerce, DEAR MR. CHAIRMAN: Reference is made to your request for the views of this Department on H.R. 13743, "To protect the public health and safety by amending the depressant, stimulant, and hallucinogenic drug laws, and for other purposes." The Attorney General, on July 15, 1969, forwarded to the House of Representatives the Administration's comprehensive legislative proposal to control narcotic and dangerous drugs. The proposed legislation incorporates the provisions of the Administration's proposal except those relating to the control of narcotic drugs derived from opium and coca and the cannabis-based drugs. Those provisions are incorporated in H.R. 13742 which is pending before the Committee on Ways and Means. The Department recommends the enactment of the Administration's proposal. The Department has been advised by the Bureau of the Budget that there is no objection from the standpoint of the Administration's program to the submission of this report to your Committee. Sincerely yours, ROY T. ENGLERT, Acting General Counsel. OFFICE OF THE ADMINISTRATOR OF VETERANS AFFAIRS, Hon. HARLEY O. STAGGERS, VETERANS ADMINISTRATION, Washington, D.C., October 30, 1969. Chairman, Committee on Interstate and Foreign Commerce, DEAR MR. CHAIRMAN: We are pleased to furnish the following comments in response to your request for a report by the Veterans Administration on H.R. 10408, 91st Congress, "A Bill To amend the Public Health Service Act to authorize the Secretary of Health, Education, and Welfare to provide financial assistance for education and information programs relating to drugs and their abuse, and for other purposes." The bill would authorize the Secretary of Health, Education, and Welfare to assist projects designed to educate the public on problems of drug abuse by making grants to or entering into contracts with public or private nonprofit institutions of higher education or other public or private nonprofit agencies, institutions, or organizations. Such projects would include the development of curriculums on the use and abuse of drugs, the demonstration and testing of the effectiveness of such curriculums, and the dissemination of curricular materials and other information regarding the use and abuse of drugs. Additionally, the bill provides for the establishment of an Advisory Committee on Drug Abuse Education to advise the Secretary concerning the administration and operation of the programs contemplated by the bill, to review and evaluate the implementing programs and projects and to make recommendations with respect thereto. We are, of course, vitally concerned with the problem of drug addiction in connection with our extensive medical programs. While we are in agreement with the purposes and objectives of H.R. 10408, we defer to the views of the Department of Health, Education, and Welfare, which would have overall administrative responsibility for the proposed program, as to whether the approaches employed in this bill are the most effective methods for achieving its aims. We are advised by the Bureau of the Budget that there is no objection to the presentation of this report from the standpoint of the Administration's program. Sincerely, DONALD E. JOHNSON, Administrator. VETERANS ADMINISTRATION, OFFICE OF THE ADMINISTRATION OF VETERANS AFFAIRS, Hon. HARLEY O. STAGGERS, Chairman, Committee on Interstate and Foreign Commerce, DEAR MR. CHAIRMAN: We are pleased to furnish the following comments in response to your request for a report by the Veterans Administration on H.R. 10342, 91st Congress, "A Bill To authorize the Secretary of Health, Education, and Welfare to make grants for treatment and rehabilitation centers for drug addicts and drug abusers, and to carry out drug abuse education curriculum programs, and to strengthen the coordination of drug abuse control programs by establishing the National Council on Drug Abuse Control." The bill is designed to deal with the problems of drug abuse and addiction in several ways. It would provide for grants to assist States and nonprofit private organizations in the establishment, development, and maintenance of prevention, treatment, and rehabilitation centers. It would also provide financial assistance to medical schools and other institutions of higher learning in the development and implementation of drug abuse education curriculum programs. Finally, it would provide for the establishment of a National Council on Drug Abuse Control to coordinate programs conducted by Federal, State, and local public agencies or private organizations. We are, of course, vitally concerned with the problems of drug addiction in connection with our extensive medical programs, and we note that the Administrator is designated as a member of the proposed National Council. The bill does not otherwise appear to impose additional administrative responsibilities upon the Veterans Administration. While we are in sympathy with the objectives of H.R. 10342, we defer to the view of the Department of Health, Education, and Welfare, which would have overall administrative responsibility, as to whether the approaches employed in this bill are the most effective methods for achieving its aims. We are advised by the Bureau of the Budget that there is no objection to the presentation of this report from the standpoint of the Administration's program. Sincerely, DONALD E. JOHNSON, Administrator. Mr. JARMAN. Because our hearing necessarily occurs at the same time as a memorial service for our late colleague, Glenard Lipscomb of California, California members are unable to be present at this time. One of them, our committee colleague, Lionel Van Deerlin, has asked that his testimony on drug legislation be included in the hearing record and it will be included at this point in the record along with the statements of the following California members: Hon. Harold T. (Bizz) Johnson, Hon. James C. Corman, Hon. Charles H. Wilson, and Hon. Glenn M. Anderson. (The statements referred to follow:) STATEMENT OF HON. LIONEL VAN DEERLIN, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF CALIFORNIA Mr. VAN DEERLIN. Mr. Chairman, members of the subcommittee, these hearings could not be timelier. Drug abuse is rampant, especially among the young. Frankly, I'm weary of watching good kids suspended from high schools and even junior high schools-in my district, because Government cannot or will not crack down on the big drug houses. The Government's hands are tied, because the Government has failed to take the obvious first step. I strongly believe that the drug abuse problem could be 90 percent solved by some firm intelligence on the actual medical needs for these substances. We're certainly overproducing these drugs, as arrest and smuggling figures make tragically clear. But if we don't know what we need, how can we effectively control what we have? Our U.S. agencies have the know-how, the proven capability for this kind of research. Take the National Health Survey. It's excellent as far as it goes, but up to now it's shed far more light on such exotic troubles as Plantar warts than it has on pep pills. Until some agency tells us how many Americans really have medical reasons for using these drugs, I'm afraid we'll be legislating in the dark. Among the U.S. offices qualified to undertake such a survey are the Public Health Service, the Food and Drug Administration, and the Bureau of Narcotics and Dangerous Drugs. But until one of them gets cracking, the efforts of all of us are going to continue hobbled by a drug information gap. No one knows for certain what share of our domestic pill production winds up in illicit markets, but it's enormous. Many experts believe that at least half of the annual production of amphetamines and barbiturates-upwards of 9 billion pills a year— are diverted to nonmedical uses. We'll never know the exact extent of the problem until we have the facts on legitimate consumption of these drugs. The study I have in mind would entail some work. I doubt that accurate data could be compiled only from prescription records kept by pharmacists and doctors, since these drugs are often overprescribed, for hypochondriacs and others without a genuine medical need for them. Nevertheless, I am confident that, based on their past performance, the agencies could devise a suitable methodology, perhaps in cooperation with the American Medical Association. Once medical needs can be matched against drug production, the Government would have a logical basis for limiting production, either through regulatory authority or new legislation, if that were necessary. I would also like to mention two bills which I have introduced, and which I believe would help the Government curb the illicit traffic in dangerous drugs. One, H.R. 15500, would require that prescription drugs be distinctively marked and the other, H.R. 15501, would empower the Justice Department to regulate the export of amphetamines and barbiturates. I understand that S. 3246, as approved by the Senate last week, would in fact give the Justice Department new authority to effectively control the shipment abroad of these drugs. For that reason I specifically endorse the relevant title III of the Senate measure and urge that a similar provision be incorporated in the legislation which your subcommittee will write. The Senate bill, however, does not provide for the labeling of individual capsules and tablets, as called for by H.R. 15500. I was prompted to offer this proposal by reports I have received of the difficulties encountered by the Narcotics Bureau in attempting to identify contraband drugs. In the Bureau's testing and research laboratory, drugs of unknown origin are subjected to basically the same kind of ballistics tests as |