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PASTOR'S REPORT, May 21, 1979
Page 8
Tour rates will range from $1,039 to $1,119 for economy, depending on point
of departure, or from $1,239 to $1,399 for standard rates. (Low figures
are from New York, N.Y.; high from Los Angeles, Calif.) For a fully
tailed brochure outlining the itinerary, transportation, accommodations
and other pertinent information, all interested parties should consult
their Festival adviser.
--Festival Office
ON THE WORLD SCENE
Time To Count The Costs: "T-Day" -- October 1, 1979 -- will be upon us
soon. That's the day the Canal Zone ceases to exist and the property is
officially turned over (that's what the "T" stands for) to the Repub c of
Panama.
For all practical purposes Panama has been sovereign over the zone and its
canal ever since April 1 of this year when the Panama Canal treaties signed
last year by the president and approved by the U.S. Senate by a two-vote
margin, became law of the land. However, there is an official six-month
waiting period. Hence T-Day is October 1.
During this six-month period, the House of Repr.:�sentatives, charged by the
constitution with the responsibility of disposing of U.S. property, was to
enact "enabling legislation" to implement the treaties and provide the
technical means for setting up new post-treaty procedures--such as trans
ferring U.S. bases and equipment to Panama and establishing a joint U.S.
Panamanian commission to operate the canal between October 1, 1979 and the
end of the century when U.S. responsibility totally ceases.
The House is now proving to be very stubborn and is balking at key elements
of the enabling legislation. Last Thursday, House representatives almost
sidetracked the treaty implementing legislation, causing the bill's pro
ponents to take the bill out of harm's way by temporarily delaying further
action on it.
President Carter was shocked at how close the bill came to being indefini
te
pigeonholed. He told members of Congress that while blocking the
implementing laws cannot invalidate the treaties, such action could close
the canal, cut off vital oil supplies and trade shipments and diminish U.S.
ability to defend the waterway in the post-treaty period. The East Coast
is now dependent upon the canal for delivery of Alaskan oil. And movements
of U.S. farm exports through the canal have been very heavy lately, con
tributing a lot in export earnings to offset the price of imported oil.
What has caused House conservatives to rise up at this late date is the
full realization of just how much the canal turnover will cost U.S. tax
payers.
Projected costs vary but according to one estimate, the dollar breakdown
could be (1) For out-of-pocket Panama Canal transfer costs, $4 billion
(including termination of the $20 million a year interest payments now made
by the canal to the U.S. Treasury);
(2) For Panama treaty con ngency
costs, $2 billion;
(3) For Panama Canal property to be transferred, $20
Billion;
(4) For Panama treaty costs after the year 2000, $200 million per
year.
These projected costs were no� honestly reportej by the administration
before
the
Senate's
c1te L:ist year.
In fact,
the impression
W<,S
given