HEARINGS BEFORE THE THE UNIVERSITY JUN 2 1065 MAIN READING ROOM COMMITTEE ON FOREIGN AFFAIRS EIGHTY-NINTH CONGRESS SECOND SESSION ON H.R. 12449 A BILL TO AMEND FURTHER THE FOREIGN ASSISTANCE AND H.R. 12450 A BILL TO PROMOTE THE FOREIGN POLICY, SECURITY, 60-929 APRIL 6, 7, 19 AND 20, 1966 PART III Printed for the use of the Committee on Foreign Affairs U.S. GOVERNMENT PRINTING OFFICE WASHINGTON : 1966 DEPOSITED BY THE UNITED STATES OF AMER A COMMITTEE ON FOREIGN AFFAIRS THOMAS E. MORGAN, Pennsylvania, Chairman CLEMENT J. ZABLOCKI, Wisconsin ARMISTEAD I. SELDEN, JR., Alabama L. H. FOUNTAIN, North Carolina ROY H. McVICKER, Colorado FRANCES P. BOLTON, Ohio E. ROSS ADAIR, Indiana WILLIAM S. MAILLIARD, California E. Y. BERRY, South Dakota BOYD CRAWFORD, Staff Administrator HELEN L. HASHAGEN, Staff Assistant DORIS B. MCCRACKEN, Staff Assistant ROBERT J. BOWEN, Clerical Assistant Adams, Gen. Paul D., Commander in Chief, U.S. Strike Command; and U.S. Commander in Chief, Middle East, Africa South of the Forman, Benjamin, Assistant General Counsel for International Af- fairs, Office of the Secretary of Defense...- Kuss, Hon. Henry J., Jr., Deputy Assistant Secretary of Defense (ISA) Hoagland, Hon. Donald W., Assistant Administrator for Develop- ment Finance and Private Enterprise, Agency for International Memorandum submitted for the record on the Havana Tricontinental Conference and Soviet support of Conference resolutions Memorandum supplied for the record on the Latin American Solidarity Memorandum supplied by the Department of Defense on representation allowance for the military missions to Peru and Chile.. Memorandum submitted by Department of Defense on long-range plan- Memorandum supplied by Department of Defense on ratio of civilian to Memorandum submitted by Defense Department on Administrative cost of Office of International Logistics negotiations, fiscal year 1966. Memorandum submitted by Department of Defense on International Logistics Negotiations relationship with U.S. and foreign government Memorandum submitted by AID on the International Executive Service Corps and other nonprofit organizations providing technical assistance Page to industry in the less developed countries. Memorandum supplied by AID concerning specific risk guarantees, status Memorandum submitted by AID on the Cooley loan program___ Memorandum supplied by AID on consultants to AID's Office of Develop- ment Finance and Private Enterprise_-_. Memorandum submitted by AID on processing time-Specific risk guar- Memorandum supplied by AID on proposed amendment to section 620(1)__ Memorandum supplied by AID on claims under DLF guarantees issued under Mutual Security Act of 1954 which was repealed by Foreign Memorandum submitted by AID on AID program loans and Eximbank Memorandum supplied by AID on dollar and local currency loans to FOREIGN ASSISTANCE ACT OF 1966 WEDNESDAY, APRIL 6, 1966 HOUSE OF REPRESENTATIVES, Washington, D.C. The committee met in executive session at 10:15 a.m., in room 2172, Rayburn Building, Hon. Thomas E. Morgan (chairman) presiding. Chairman MORGAN. The committee will come to order. The committee meets this morning in executive session in a continuation of the foreign aid hearings for fiscal year 1967. The bills before us are H.R. 12449 and H.R. 12450. Our witness this morning is Gen. Robert W. Porter, Jr., U.S. Army, Commander in Chief, U.S. Southern Command. General, you have two statements here. In my discussion with you this morning I think we agreed that you would put the unclassified statement in the record and we will hear your secret statement. STATEMENT OF GEN. ROBERT W. PORTER, JR., U.S. ARMY, COMMANDER IN CHIEF, U.S. SOUTHERN COMMAND General PORTER. All right. Chairman MORGAN. You may proceed, sir. General PORTER. Mr. Chairman and members of the committee, it is a privilege to appear before this committee and report on what the military assistance program is accomplishing within the framework of the Alliance for Progress. Since my assumption of command slightly over a year ago, I have traveled over 120,000 miles throughout the area, studying military assistance on the ground. Without question, military assistance has contributed much to the attainment of U.S. objectives in Latin America. The situations in individual Latin American countries are changing rapidly. Therefore it is difficult to generalize. However, in the interest of brevity, I shall endeavor to do so. The strategic importance of Latin America to the United States stems primarily from the fact that, militarily, it protects our southern flank. We have historically recognized the interdependence of security interest in the hemisphere. Because of this, the continuing proU.S. attitude of Latin American Governments and armed forces is of the most vital concern to us. In addition, Latin America's cooperation in and support for the United Nations and other international organizations is important to the effectiveness of these groups. Economically, Latin America is of no less importance. It is the source of key raw materials, and is a major market for U.S. products. Next to Canada, and possibly Western Europe, more U.S. private |