Document 6wqRJnw39ogak8n46GM2DLRd

AGENDA MEETING OF THE MCA BOARD OF DIRECTORS 11:00 a.m. (EDT), Tuesday, May 11, 1971 Union Club, New York City I. II. III. t IV. V. VI. VII. MINUTES OF APRIL 6, 1971, MEETING. REPORT OF THE SECRETARY-TREASURER. Financial Report for Eleven Months Ending April 30, 1971. BOARD OF DIRECTORS. (a) Budget and Financing for Fiscal 1971-72. (b) Nominating Committee. Officers and Directors for 1971-72. (c) Report of Pension Committee. (d) Report of Appointment of Ad Hoc Committee on Chemicals Regulation and Proposed Terms of Reference. (e) Proposed Research Program on Mercury in the Environment. (f) Annual Report for Fiscal 1970-71. COMMITTEE APPOINTMENTS. STAFF REPORT. COMMITTEE REPORT. Occupational Health Committee - E. M. Dixon, M. D. , Chairman ADJOURNMENT. (Enclosure) (Enclosure) (Enclosure) (Enclosure) fp'l i Next Regular Directors' Meeting -- Reception at 6:00 p.m. (EDT), Wednesday, June 9, 1971, in the Tyler Room, The Greenbrier, White Sulphur Springs, West Virginia, followed by dinner meeting at 7:00 p.m, in the Fillmore and Van Buren Rooms. CMA 069592 1308 MINUTES of the two hundred fourth meeting of the Directors of the Manufac turing Chemists' Association, Inc. , held at the Union Club, New York City, Tuesday, May 11, 1971, at 11:00 a.m. There were present : Clifford D. Siverd Chairman L. G. Bliss Leonard Hynes Edward J. Bock Earl T. McBee John T. Connor Harry D. McNeeley Herschel H. Cudd Charles S. Munson Lee Y. Dauler L. John Polite, Jr. David H. Dawson Luther S. Roehm William P. Drake Jack B. St. Clair William J. Driver Harold E. Thayer Robert D. Goodall Harry B. Warner Ralph K. Gottshall Robert J. Whitesell William B. Graham F. Perry Wilson T. G. Hughes James R. Carnes Alternates: Stanley H. Anonsen (for Harold E. Thayer) Robert M. Coquillette (for Robert D. Goodall) J. P. Cunningham (for Jack B. St. Clair) P. B. Dalton (for Jesse Werner) Douglas Grymes, Jr. (for F. L. Byrom) Edward R. Kane (for David H. Dawson) James E. Magoffin (for Harry D. McNeeley) H. Barclay Morley (for Roger W. Gunder) Thomas B. Nantz (for Harry B. Warner) Earl C. Ray (for Robert A. Lucht) George W. Russell (for Clifford D. Siverd) William S. Sneath (for F. Perry Wilson) General Counsel: Lloyd Symington Present by invitation: E. M. Dixon, M. D. , Celanese Corporation N. V. Hendricks, Standard Oil Company (New Jersey) I. MINUTES OF APRIL 6, 1971, MEETING. The Minutes of the April 6, 1971, meeting of the Board of Directors were duly approved as submitted to the members. II. REPORT OF THE SECRETARY-TREASURER. The financial report for the eleven months ended April 30, 1971, was summarized by the Secretary-Treasurer. ON MOTION, duly made and seconded, it was, VOTED: That the report be accepted and placed on file. CMA 069593 1309 III. BOARD OF DIRECTORS. (a) Proposal to Publish Revised Edition of Food Additives W h a t They A re/How They Are Used. Mr. Driver reported that the Executive Committee at its meeting earlier in the day had agreed to recommend to the Board of Directors that the budget for the current year be increased by $30, 000 to fund the printing and distribution of a revision of the 1961 edition of Food Additives -- What They Are/How They Are Used. The proposal of the Food, Drug, and Cosmetic Chemicals Committee, supported by the Public Relations Committee, not distributed to Directors in advance, is enclosed as Exhibit A. Following discussion, and ON MOTION, duly made and seconded, it was, VOTED: That the budget for fiscal year 1970-71 be increased in the amount of $30, 000 for the publica tion and distribution of a revised edition of Food Additives -- What They Are/How They Are Used and that the funds so provided be carried forward for expenditure in the next fiscal year. (b) Budget and Financing for Fiscal 1971-72. The SecretaryTreasurer, on April 13, transmitted to Directors a detailed documentation of the proposed budget and financing for fiscal 1971-72 as recommended by the Executive and Finance Committees. At the request of the Chairman, the proposed budget was summarized by Mr. Driver. a ON MOTION, duly made and seconded, it was, VOTED: (1) That a budget for the forthcoming fiscal year in the amount of $1, 902, 260 be approved for pre sentation to the membership, this consisting of an operating expense budget of $1,643,010 and a project budget of $259, 250; the fundto be raised from membership fees utiliz ing the current scales fee classification plus income from the, sale of publica tions, investments, and general meet ings and from reserve funds to the extent of any deficiency of income to cover the authorized expenses. I I kv CMA 069594 1310 (2) That there may be carried forward for future expenditure a portion or all of the unexpended year-end balances of ten project accounts, including the one author ized in subparagraph 111(a) above, in a total amount not exceeding $90,300. (3) That a Plastics Activity Budget for the forth coming fiscal year in the amount of $72, 000 also be approved, the funds to be raised from assess ments on member plastics materials producers. Copies of the budget and financing proposals, together with the tentative agenda of the 99th Annual Business Meeting on June 10 will be sent to the Executive Contacts on May 21. (c) Proposed Nominations of Officers and Directors for 1971-72. Chairman Warner of the Nominating Committee presented the following slate of Officers and Directors for submission to and action by the membership at the 99th Annual Business Session on June 10. Chairman of the Board -- Max A. Minnig, President and Chief Executive Officer, Witco Chemical Corporation Chairman of the Executive Committee -- David H. Dawson, Vice President, E. I. du Pont de Nemours &i Company President -- William J. Driver J Vice Presidents -- Herschel H. Cudd, President, Amoco Chemicals Corporation T. G. Hughes, Chairman of the Board, Chevron Chemical Company Secretary-Treasurer -- James R. Carnes Directors: (Term Expires May 31, 1974) 0 John W. Brooks, Chairman of the Board and President, Celanese Corporation Werner C. Brown, President and Chief Executive Officer, Hercules Incorporated C. C. Candee, President, Chemicals Group, Chemetron Corporation William G. Ferguson, President, Ashland Chemical Company, Division of Ashland Oil, Inc. John M. Henske, Group Vice President-Chemicals, Olin Corporation William W. Huisking, President, Glyco Chemicals, Inc. L. G. Lillico, President, Electric Reduction Company of Canada, Ltd. , Industrial Chemicals Division CMA 069595 1311 A. R. Marusi, Chairman of the Board, President, and Chief Executive Officer, Borden, Inc. Peter C. Reilly, President, Reilly Tar & Chemical Corporation George W. Russell, Executive Vice President, American Cyanamid Company Donald G. Stevens, President, Vistron Corporation, Subsidiary of The Standard Oil Company (Ohio) (Term Expires May 31, 1972) Carl A. Gerstacker, Chairman of the Board, The Dow Chemical Company (d) Report of Pension Committee. Chairman Gottshall of the Pension Committee presented a report, copy appended as Exhibit B, on the financial status of the Association's Pension Plan, the review of the Plan carried out by the Committee with the conclusions reached, and the Committee's recommendation that such future studies be assisted by a technical subcom mittee of experts from the firms of Pension Committee members, this recom mendation to be passed on to future Pension Committees by the Association's staff. ON MOTION, duly made and seconded, it was, VOTED: That the report of the Pension Committee be accepted and the recom mendation therein referred to the staff for implementation. (e) Report of Appointment of Ad Hoc Committee on Chemicals Regulation and Proposed Terms of Reference. Sent to Directors in advance of the meeting and summarized by Mr. Driver was a report of appointment by the Chairman of the Board of an Ad Hoc Committee on Chemicals Regulation and of the proposed Terms of Reference for the Committee, copy appended as Exhibit C. In the discussion which followed, the view was expressed that the urgency of the Committee's task required a report at the June meeting of the Board of Directors as to the recommended MCA position on the proposed Toxic Substances Control Act of 1971. ON MOTION, duly made and seconded, it was, VOTED: To ratify the appointments to the Ad Hoc Committee on Chemicals Regulation made by the Chairman of the Board and to approve the proposed Terms of Reference; further, that the Committee be requested to develop a draft MCA position on the proposed Toxic Substances Control Act of 1971 for consideration at the June 1971 meeting of the Board of Directors. CMA 069596 1312 (f) Proposed Research Program on Mercury in the Environment. Sent to Directors in advance of the meeting and summarized by Mr. Driver was a proposal for a research program on mercury in the environment, copy appended as Exhibit D, at a cost of $200, 000 over a period of two years to be funded by subscriptions of interested companies and organizations. General Counsel had been requested by the Executive Committee to render a formal opinion as to the legality of the proposed research effort with reference to possible antitrust implications and, subject to the pending opinion of General Counsel, the Executive Committee recommended approval by the Board of Directors. ON MOTION, duly made and seconded, it was, VOTED: That the proposed research program on mercury in the environment as set forth in Exhibit D be approved, subject to a favorable opinion by General Counsel. (g) Annual Report for Fiscal 1 970-71. Mr. Carnes reported that the draft of the 99th Annual Report of the Association was being mailed to Directors on May 13 for their review and any suggestions as to revisions which they would like to make by May 26. Adherence to this schedule will permit printing and distribution of the report to the Executive Contacts of member companies prior to July 1. IV. COMMITTEE APPOINTMENTS. The following committee appointments were approved. (a) Ad Hoc Committee on Chemicals Regulation. Phocion S. Park, III, Monsanto Company -- As Chairman (b) Air Quality Committee. E. Dean Demon, United States Borax & Chemical Corporation (c) Chemical Packaging Committee. S. W. Beckstead, Kerr-McGee Chemical Corporation E. W. Schmidt, Mallinckrodt Chemical Works J. S. Taylor, GAF Corporation A. P. Wolff, Uniroyal Chemical, Division of UNIROYAL, Inc. (d) Education Activities Committee. Henry C,, Chitwood, Union Carbide Corporation -- As Chairman Robert W. Schiessler, Mobil Chemical Company, A Division of Mobil Oil Corporation -- As Vice Chairman J. Richard White, Merck & Co. , Inc. (e) Food, Drug, and Cosmetic Chemicals Committee. Robert S. Bryant, Stauffer Chemical Company George W. Ingle, Monsanto Company CMA 069597 1313 (f) Industrial Relations Advisory Committee. John Oliver, E. I. du Pont de Nemours & Company -- As Chairman H. R. Sampson, National Starch and Chemical Corporation -As Vice Chairman (g) International Trade Committee. R. E. Black, Chevron Chemical Company Burton L. How, Jr. , Allied Chemical Corporation W. F. Luckenbach, Foote Mineral Company (h) Occupational Health Committee. Lee B. Grant, M. D. , PPG Industries, Inc. James E, Long, Minnesota Mining and Manufacturing Company (i) Patent and Trademark Committee. Olin E. Williams, Koppers Company, Inc. -- As Chairman Ernest H. Beck, E. I. du Pont de Nemours & Company -As Vice Chairman (j) Transportation Equipment Committee. D. M. Long, Pennwalt Corporation -- As Chairman S. L. Watts, Hooker Chemical Corporation -- As Vice Chairman *R. M. Graziano, Bureau of Explosives, Association of American Railroads ^Vincent Grey, Truck Trailer Manufacturers Association *G. W. Rousseau, Office of Hazardous Materials, Department of Transportation V. STAFF REPORT. Mr. Driver reported upon recent legislative and other govern mental developments and Association activities, copy of his written report forwarded to Directors in advance of the meeting, being appended as Exhibit E. Mr. Siverd urged the Directors to insure that all members of their delegations at the Annual Meeting attend the Business Session on June 10, emphasizing the importance of full attendance and the ample opportunities provided for recreational activities at other times. VI. COMMITTEE REPORT. Chairman E. M. Dixon of the Occupational Health Committee reported on the projects and activities of that committee) copy appended as Exhibit F. ft --------------------------------------------------------------------------------------------------------------------------------------" ^Associate membership (non-voting status) subject to review and confirmation annually. CMA 069598 1314 There being no further business to come before the meeting, it was unanimously resolved to adjourn. i 1 < Certified Correct: Cli^oraT).7 Siverd Chairman of the Board 'James R, Carnes Secretary-Treasurer CMA 069599 'tin* EXHIBIT A Proposal to Publish a Revised Edition of the 1961 Booklet, "FOOD ADDITIVES -- What They Are/How They Are Used. " The Food, Drug, and Cosmetic Chemicals Committee, supported by the Public Relations Committee, strongly urges immediate publication of the subject booklet for the following reasons: 1. It has been very helpful to food editors, home economists, and government agencies in explaining the role of food additives to the public. The Public Relations Department reports receipt of persistent requests for the revised edition. The 1961 edition is badly out of date and the supply is exhausted. 120, 000 copies were distributed. 2. Food additives are under increasing attack, as evidenced by current House and Senate food chemicals hearings and articles in the press. The revised edition would be a valuable source of background information to counter these attacks. 3. The booklet has been an extremely important tool for the MCA Consumer Information Program. It is believed that this is the only publication on food additives which serves as a basic and comprehensive reference for the layman, 4. At the request of the Public Relations Department, the Food, Drug, and Cosmetic Chemicals Committee and staff have devoted several hundred manhours to preparing the text for the revised edition. Recommendation: It is recommended that authorization be granted for the expenditure of $30, 000 to cover the costs of publishing and distributing 75, 000 copies of the subject booklet. Planned distribution would include appropriate Federal, state and local government officials: home economists and science teachers; food editors and science writers; editorial writers and other media repre sentatives whose assignment encompasses coverage of the subject from a legislative, regulatory or judicial standpoint; major organizations such as the League of Women Voters, General Federation of Women's Clubs, and the Grocery Manufacturers Association. It is also contemplated that concerned Member Companies would make distribution to audiences of particular importance to themselves. CMA 069600 EXHIBIT B May 11, 1971 BOARD OF DIRECTORS - MANUFACTURING CHEMISTS ASSOCIATION To give you a quick background of the financial status of the MCA Pension Plan, the following facts as of November 30, 1970, are in order. Present Value Accrued Benefits $427,889.27 Amount funded (Deposit Account and Special Investment Account) 351,350.08 Unfunded Liabilities 76,539.19 Percent of Unfunded Liabilities 17-9% During the past year the Pension Committee has made an extensive study of the MCA Pension Plan. In our study we developed that the MCA Plan is comparable to the best of the career average plans in the chemical industry. Therefore, there are no compelling reasons to change the MCA Plan at this time. This is the recommendation of the Pension Committee. Discussions with Bill Driver indicate he is in agreement with this decision. The Committee also wishes to make a supplementary suggestion. Pension plans and their benefits are very technical but at the same' time very costly. We would like to recommend that future pension committees appoint a technical subcommittee from within their companies to review any major change in the MCA Staff Pension Plan. We suggest that this recommendation be referred to the permanent staff of MCA to pass on to the future Pension Committees. Pension Committee RKG:jsj C. C. Garvin, Jr. Jesse Werner CMA 069601 EXHIBIT C REPORT OF APPOINTMENT OF AD HOC COMMITTEE ON CHEMICALS REGULATION AND PROPOSED TERMS OF REFERENCE Up to the present time. Federal regulation of chemical products -apart from safety in transportation -- has been directed primarily to certain uses, e. g., in food, drugs, pesticides. Over recent past years, however, interest has been increasing in regulation of chemicals broadly in respect to environmental impact. That interest was reflected in President Nixon's February 8 message on the environment which included a recommendation for control of toxic substances, with an implementing legislative proposal, "Toxic Substances Control Act of 1971", subsequently introduced. The scope of this and related measures having the same objective ranges over several existing MCA committees but extends beyond their collective purview. Accordingly, in order to proceed expeditiously on a matter of evident importance to the chemical industry, the Board of Direc tors on April 6, 1971, authorized the Chairman of the Board, in consultation with the President, to appoint an ad hoc committee to develop an Association position with respect to the legislation and to recommend such other action as might be deemed necessary to protect the interests of the industry. In accordance with the foregoing authorization, the Chairman of the Board appointed an Ad Hoc Committee on Chemicals Regulation which has been requested to proceed with consideration and development of recommen dations concerning legislative and regulatory control of chemicals in refer ence to environmental protection, particularly as it may relate to the use and ultimate disposal of products as contrasted with their manufacture and transportation. The following individuals were appointed to the Ad Hoc Committee by the Chairman of the Board: Dr. Myron V. Anthony, Stauffer Chemical Company Taylor W. Hanavan, Esq. , E. I. du Pont de Nemours & Company Mr. Ernest C. Ladd, FMC Corporation Mr. George E. Lynn, The Dow Chemical Company Phocion S. Park, III, Esq. , Monsanto Company Dr. C. B. Shaffer, American Cyanamid Company W. L. Sutton, M. D. , Eastman Kodak Company CMA 069602 The Ad Hoc Committee is authorized to elect its own officers, sub ject to Board of Directors' approval, and required to function in accord with the "General Principles Applicable to the Structure and Operations of Committees. " A member of the staff has been designated as staff repre sentative and secretary. It is not intended that this Ad Hoc Committee displace the function of any existing MCA committee with regard to its specific field of interest. I MCA - 5/11/71 4 !<! CMA 069603 Proposed Research Program on Mercury in the Environment EXHIBIT D PURPOSE The purpose of this program, to be collectively funded by voluntary subscriptions from interested companies and or ganizations, is to provide technical information on mercury in the environment. At the outset, the only project being undertaken is directed to determining the occurrence of transformation of metallic or other inorganic forms of mercury to organic mer cury, especially methyl mercury, by biological action or otherwise under natural conditions in the water environment. If such transformation occurs, it will be useful to understand its mechanism and its controlling factors. Such understanding is desired to aid intelligent approaches to any problems asso ciated particularly with mercury accumulations in bottom sediments. INITIAL PROJECT As recommended by an Ad Hoc Planning Group, composed of representatives of eight interested MCA member companies, the immediate project is that defined under the title of "Studies on the Biomethylation of Mercury" in a formal proposal dated January 29, 1971 by Midwest Research Institute. This project would cost $200,000, extend over a period of two years, and be conducted under a contract between MRI and MCA. SUPERVISION This research is to be supervised on MCA's behalf by a Technical Task Force composed of one technical representative from each subscribing company and organization plus an as signed MCA staff representative who shall serve as secretary. Dr. Robert J. Moolenaar of The Dow Chemical Company is available to serve as chairman of the Task Force, with his travel expenses for special travel in this connection to be reimbursable from project funds. Organizationally within MCA, the Task Force will func tion under the jurisdiction of the Technical Subcommittee of the Water Resources Committee. CMA 069604 FUNDING It is preferred that subscribing companies and organiza tions share equally in financial support, but exceptions may be made if circumstances warrant. Support funds will be subject to advance collection by MCA in accord with prior commitments. Disbursements will be subject to MCA staff clearance and approval. STIPULATIONS The scientific information developed from this program is to be fully disclosed without restriction. For purposes of consistency and control, however, all releases are to be made through MCA only, normally based on Task Force recommen dations as to nature and timing. This requirement is not to preclude private scientific interchange of non-competitive information which will be useful, nor relevant private com munication among subscribing companies and organizations; the staff representative to be informed of all such interchanges and communications. OPERATION The Task Force will be governed by MCA's "General Principles Applicable to the Structure and Operations of Committees" and the Rules of Organization and Procedure of the Water Resources Committee. * "V tjp MCA - 5/11/71 -2- 069605 EXHIBIT E STAFF REPORT May 1971 by William J. Driver LIBERALIZED DEPRECIATION RULES... ...recently proposed by the Administration have been strong ly supported by the Association. A statement, sent to the Com missioner of the Internal Revenue on April 20, urged early adop tion of the "Asset Depreciation Range (ADR) System." We pointed out that it: Should encourage investment in new machinery and equipment, and Place U. S. manufacturers in a better competitive position with other industrial nations. ADR proposals would: Allow a 20 percent faster write-off on investments in new machinery and equipment than under existing regulations, and Cut business taxes by $3 billion in the fiscal year beginning July 1, and by an estimated $36 billion over the next 10 years. Industry support for the System is important in view of opposition by some members of the Congress and other groups. For instance: Senator Edmund Muskie (D.-Me.) has introduced legislation to block the Administration proposal. His bill, S. 1530, would pro hibit the Treasury Department from liberalizing the write-off rules through the period ending June 1, 1972. The Senator and other opponents contend that liberalization of depreciation guidelines by administrative action usurps the power of the Congress. They also argue that the ADR proposal would be ineffectual in stimulating the economy because consequential benefits would not be felt for at least 18 months to two years. Those advocating adoption contend that liberalized rules are needed to expand capital goods spending. They also maintain that a faster write-off will contribute to modernization, and improve the competitive position of U. S. manufacturers in world markets. In the absence of opposition from the two major tax-writing committees -- House Ways and Means and Senate Finance -- the Treasury Department is expected to proceed with revision of the depreciation rules. CMA 069606 REINSTATEMENT OF THE INVESTMENT TAX CREDIT... 2 ...continues to be discussed on Capitol Hill as a means of stimulating the economy and increasing employment. If economic indicators continue to reflect sluggish growth and persistent un employment in the second quarter, Rep. Wilbur D. Mills (D.-Ark.), Chairman of the House Ways and Means Committee, has indicated privately that such action will be considered in June. This, and acceleration of personal income tax exemptions are considered the most likely measures, even though there are several other alterna tives. In addition. Senator Vance Hartke (D.-Ind.), a member of the Senate Finance Committee, and Rep. Richard Fulton (D.-Tenn.) of the House Ways and Means Committee, are seeking industry backing of their recently-introduced bills to reinstate the investment tax credit. And, Senator Muskie may introduce a similar bill. He it would exert a more meaningful stimulus to employment and economic growth than the liberalized guidelines proposed by Administration. feels the ,, PATENT LEGISLATION... ...draws the attention of the Senate Judiciary Subcommittee on Patents, Trademarks, and Copyrights on May 11-13. Hearings will be held on amendments proposed by Senator Hugh Scott (R.-Pa.) concerning patent licensing and non-preemption of the right of courts to decide issues concerning contractual rights to intel lectual property. We submitted letters a year ago (May 1970) to members of the Subcommittee urging support for the proposed amendments. That support will be renewed at the forthcoming hearings in a written statement to the Subcommittee. THE EQUAL EMPLOYMENT OPPORTUNITY COMMISSION (EEOC)... ...could be endowed with "cease and desist" enforcement powers through H. R. 1746, a bill introduced by Rep. Augustus Hawkins (D.-Cal.). The legislation has been cleared by the General Labor Subcommittee of the House Education and Labor Committee. F. Business is supporting an alternative approach -- H. R. introduced by Rep. John N. Erlenborn (R.-Ill.), which would authorize EEOC attorneys to take cases to the Federal District Courts. This bill does not, however, have active White House backing. 6760, CMA 069607 MINIMUM WAGE... 3 ..hearings have begun in the House General Labor Subcommittee. Under consideration is H. R. 7130, introduced by Rep. John H. Dent (D.-Pa.). The proposed legislation would boost the minimum wage to $1.80 in 1972 and to $2.00 in 1973. Chairman Mills, House Ways and Means Chairman, is introducing a bill to achieve the $2.00 level on February 1, 1972. A more far-reaching bill is anticipated from Senator Harrison Williams (D.-N.J.), Chairman of the Senate Committee on Labor and Public Welfare. ON THE STATE LEGISLATIVE vR0NT... ...Indiana has imposed strict limits on the use of phosphates in detergents, and ...Maryland law-makers have approved stringent restrictions on the use of lead additives in gasoline. The bill has been sent to Governor Mandel for his approval or veto. ON MAY 14... ...members of the Water Resources Committee will appear before the panel on Environmental Sciences and Technology of the Subcommittee on Air and Water Pollution, Senate Committee on Public Works. The panel is evaluating the state-of-the-art of: industrial waste-water treatment technology, waste reduction through process change, closed cycle, water reuse systems, and the like. TESTIMONY ON OCEAN DISPOSAL LEGISLATION... ...was presented on April 28 by James H. Rook, American Cyanamid Company, on behalf of MCA before the Senate Subcommittee on Oceans and Atmosphere. Principal thrust of our testimony was that ocean dumping, within limits, will continue to be needed as an ultimate disposal method but should be subject to strict regulatory control. THE ENVIRONMENTAL PROTECTION AGENCY... ...granted our request, and that of other organizations, for an extension of the time allowed under the Clean Air Amend ments of 1970 to submit comments on proposed regulations govern ing state implementation plans for air pollution control. Chemical industry specialists felt the regulations, as proposed, needed careful study with reference to both the statutory basis and ad ministrative procedures involved. Other aspects of concern are: The economic and technological feasibility of control measures being urged upon the states, and Failure to relate such requirements to regional air Dollution control needs. CMA 069608 SECRETARY OF LABOR... 4 ...James D. Hodgson, addressed the Chemical Forum Luncheon in Washington on April 21. In outlining the Administration's labor policies, he indicated that President Nixon is committed to collective bargaining; plans minimal interference in labor wage settlements; and has rejected wage and price controls except for the most selective use as an anti-inflation measure. The Secretary also indicated tho Administration will press for legislation to prevent national emergency strikes. He declined to assess prospects for any definite enactment, noting that labor legislation develops very slowly. ENFORCEMENT.., ...of the Occupational Health and Safety Act of 1970 is still some three to four months away. Secretary of Labor Hodgson, whose department will administer the law, said in a statement on April 28 (the effective date of the legislation) that a 90-day "familiarization period" will be observed following publication of the initial standards in the Federal Register which, we are told, will be "sometime in May." Beyond that, our information indicates that the law will be implemented slowly and deliberately. A "worst first" policy is in the offing, with priorities expected to center on high-accident industries such as: lumber and wood; contract construction; stone, clay and glass; fabricated metal, rubber and plastic; and paper and allied products. The Labor Department plans to issue a field manual this ft month which will set guidelines for inspections. It will cover the handling of complaints, citations, penalty notices, participa tion of both employer and employee representatives in inspections, imminent danger situations and accident inspections. VINYL CHLORIDE PRODUCERS... ...are considering the need of further investigation of the cancer-inducing potential of vinyl chloride monomer. This consideration led to a conference with Dr. P. L. Viola, of the Regina Elena Institute for Cancer Research, Rome, Italy, who had reported on the development of tumors in experimental animals following exposure to monomer vapor. Dr. Viola accepted our invitation to discuss his findings with the Occupational Health Committee early this month. CMA 069609 5 THE RESULTS OF YOUR ACTION... ...on November 24, 1969, which authorized the Safety and Fire Protection Committee to organize a Task Group on Vinyl Chloride Monomer Transportation Safety, are now complete. The task group has examined the products of combustion of vinyl chloride and has determined that phosgene is not a significant constituent. The group has also prepared a list of recommended pro cedures for the safe handling of transportation emergencies involving release of the material. It will be included in a revised edition of the Chemical Safety Data Sheet on this chemical. The task group has now been discharged. HAZARDOUS SUBSTANCES LEGISLATION... ...continues to interest the Congress. Both Houses have bills before them dealing with this sensitive area, although jurisdictional disputes tend to complicate the issue. House jurisdiction is fairly simple -- it belongs to the Interstate and Foreign Commerce Committee under the chairmanship of Rep. Harley Staggers (D.-W.Va.). The situation in the Senate is considerably more complex. 1) The Senate Commerce Committee, Warren G. Magnuson (D.-Wash.) Chairman, appears to have primary responsibility. Summer hearings are planned. 2) The Subcommittee on Air and Water Pollution of the Senate Public Works Committee, chaired by Senator Muskie, plans future hearings on the subject, including the Senator's own bill, S. 573. 3) The Subcommittee on Executive Reorganization of the Senate Com mittee on Government Operations, Senator Abraham Ribicoff (D.-Conn.) Chairman, held hearings in Aoril on the broad question of "Chemicals in the Environment." Touched on were such issues as: Reorganization of the U. S. Department of Agriculture and the Food and Drug Administration. Establishment of a separate consumer agency, and Expanded application of the Delaney Clause, which proscribes use of a material as a food additive if it induces cancer in laboratory animals under any conditions of testing. Senator Magnuson wrote Senator Ribicoff asserting the juris dictional rights of the Commerce Committee in the area of hazard ous substances legislation. Whether for this, or other reasons, the Ribicoff subcommittee has indefinitely postponed continuation of its hearings. They had been set for late April. 3 CMA 069610 6 IN RESPONSE TO ADVANCE NOTICE... ...the Association generally endorsed a proposal of the Department of Transportation (DOT) regarding the classification of hazardous materials on the basis of their detriment to health. At the same time, we offered suggestions aimed at clarifying the proposed regulation. THE NATIONAL TRANSPORTATION SAFETY BOARD... ...recently released a special accident prevention study entitled "Risk Concepts in Dangerous Goods Transportation Regulations." It recommended formation of a government-industry program to revise DOT's hazardous materials regulations within a "risk-based framework." ON APRIL 13... ...L. S. Truslow, Union Carbide Corporation, appeared on behalf of the Association before an Eastern regional rail group protesting a proposed surcharge of $10 per car on shipments originating or terminating in Indiana, Ohio, and New York because of excess crew laws in those states. We pointed out that both the basis and magnitude of the charges were not substantiated, suggesting that the railroads undertake steps to have unrealistic state laws repealed. I WINNERS... ...of the Association's College Teacher Awards were chosen by the judges on April 14, although public notice is being withheld until the Annual Meeting. Recipients are: Mr. James H. Edgar, Navarro Junior College (Corsicana, Texas). Dr. Jay A. Young, Auburn University (Alabama). Dr. Robert C. Brasted, University of Minnesota. Dr. George C. Pimentel, University of California. Mr. Edgar and Dr. Brasted will receive their awards at The Greenbrier on June 10. The latter will deliver the customary talk during the business session. Drs. Young and Pimentel will accept their awards during commencement exercises at their respective universities. 90 CMA 069611 DR. ROBERT E. VARNERIN... 7 ...Manager of Education, was one of 26 delegates representing Business and Industry at the White House Conference for Youth at Estes Park, Colorado, April 18-22. A NEW 1971-72 EDITION... ...of "Sources of Career Information in Scientific Fields" has been published. "WHAT'S YOUR SIGN"... ...is the title of a new Consumer Information booklet soon to be published. Based on the zodiac, it will be available to club women, home economists and women's television "talk" shows. "OUR THROW AWAY SOCIETY"... ...the topic of our most recent "Good Living" radio broad- cast, emphasized that there is no quick, easy way to solve solid waste pollution problems. Discussion focused on incinerators--old ones, and those which generate heat and power or turn refuse into marketable products. "FOR WOMEN ONLY"... ...WNBC, New York's Monday through Friday 9-9:30 a.m. television program, is focusing on food additives the week of May 10-14. We were invited to recommend participants. Of three suggested, Dr. Bernard Oser, Chairman of the Board and Scientific Director of Food and Drug Research Laboratories, Inc., was selected. The program was videotaped in advance on May 6. DR. OSER'S... ...comments at the annual food editors conference in San Francisco last October--arranged by the Association--continue to be used. The latest is by the "Arizona Republic" in Phoenix. THE GENERAL FEDERATION OF WOMEN'S CLUBS (GFWC)... ...National Conservation Chairman, Mrs. Maxine Scarbro, requested that the Association provide materials to., those clubs entering the GFWC-Shell Oil Environmental Responsibility Program. We have complied, and over 1000 clubs have entered to date. Our donated Environmental Health materials are accompanied by a memo from Mrs. Peggy Walton, Manager of Consumer Information, inviting GFWC members to visit our booth, which will be on display at the Federation's Annual Convention in Pittsburgh, Pennsylvania, June 7-10. CMA 069612 EXHIBIT F m OCCUPATIONAL HEALTH COMMITTEE REPORT The Occupational Health Committee (OHC) is an outgrowth of the original Medical Advisory Committee which consisted of physicians only. Several years ago it became evident that other environmental health specialists, including toxicologists and industrial hygienists, were needed to provide the committee with the full complement of interdisciplinary expertise needed to meet the complex occupational health technology of today and tomorrow. Accordingly, the OHC was expanded to include representation by all three groups ----physicians, toxicologists and industrial hygienists. Unlike many MCA committees, even with expansion, the OHC remains at a constant level of 16 members with each member normally serving a specified year term of membership. Membership may extend for a longer term in the event one is an officer or,if upon expiration of his normal term, there is no new member proposed by a member company. We have felt that by keeping the committee reasonably small and by having the membership on a changing basis, the committee will function in a smooth, fresh and vital manner. The principal function of the OHC is to serve the MCA and its member com panies by providing information and counsel in matters relating to occupational health. Each of the disciplines serves as a subcommittee,and ad hoc committees either within a subcommittee or from the whole committee may be appointed to deal with whatever special problems arise. The OHC is continually studying how it may best serve member companies and in the coming time will give special attention to new services appropriate to developments under the new Occupational 0- " Safety & Health Law. 1 CWIA 069613 2 Among the functions and services of the OHC during recent years have been the following: 1. Preparation and editorial review of Medical Management and First Aid Sections of Chemical Safety Data Sheets. 2. OHC workshops covering medical, toxicological and industrial hygiene problems as they relate to the chemical industry. 3. Technical supervision of an epidemiological study of the manufacturers of polyvinyl chloride resins being conducted by the University of Michigan for some members of the Plastics Committee of MCA. This study is financed by contributions of partici pating companies. 4. Review of the need by fluorocarbon manufacturers for more extensive toxicity data on their products, parti cularly in reference to "sniffing" the gas from cock tail glass chillers by youngsters in search of a thrill. 5. Preparing replies to specific inquiries from member companies and others relating to problems within the expertise of the committee. 6. Acting as the "experts" in support of other MCA com mittee activities or in the interest of MCA; for example, in preparation and presentation of testimony before Congress in regard to the Occupational Safety & Health Bill. CMA 069614 -3 - 7. Continuing contact with various agencies as they relate to efforts to: a. influence the setting of Threshold Limit Values for chemicals. b. development of a central repository for toxicology information. We envision a considerable increase in our work load over the next several years in large measure due to new demands that will be imposed by the Occupational Safety & Health Bill plus other developments in the regu latory field. All members of the committee wish to express appreciation'and gratitude to our past (Mr. F. G. Stephenson) and present (Dr. K. D. Johnson) Staff Representatives and Secretaries for their invaluable assistance in helping us to meet our objectives. Ernest M. Dixon, M. D. Chairman, Occupational Health Committee i \ CMA069615