Document VJ5aBdORMaV7e1B5m8aN7N43p

AGENDA MEETING OF THE MCA BOARD OF DIRECTORS 11:00 a,m. (EDT), Wednesday, September 9, 1970 Union Club, New York City j, MINUTES OF JUNE 3 AND 4, 1970, MEETINGS. II. REPORT OF THE SECRETARY-TREASURER. (a) Financial Report - June 1 through August 31, 1970, (b) Status of Membership Fee Collections. (c) Resignations and Consolidations. (d) Financial Report - 98th Annual Meeting. III. BOARD OF DIRECTORS. (a) Appointment of Alternates. (b) Regional Meeting: October 19-20, 1970, Ottawa, Canada. (c) Program Committee Report; ZOth Semiannual Meeting, November 24, 1970. (d) Proposed Rules of Organization and Procedure for the Government Liaison Technical Committee. (e) Proposed Rules of Organization and Procedure for the Solid Wastes Management Committee. (f) Proposed Budget Supplement to Finance the Chemical Transportation Emergency Center (CHEMTREC). (g) Report of Centennial Anniversary Committee. IV. COMMITTEE APPOINTMENTS. V. STAFF REPORT. VI. PRESENTATION. Proposed National Laboratory for Environmental Studies. VII. ADJOURNMENT. (Enclosure) (Enclosure) (Enclosure) .(Enclosure) (Enclosure) (Enclosure) (Enclosure) Next Meeting of the Board of Directors will be held at 10:30 a. m. (EDT), Tuesday, October 20, 1970, at the Chateau Laurier, Ottawa/ Canada. CRIA 069348 MINUTES of the one hundred ninety-seventh meeting of the Directors of the Manufacturing Chemists' Association, Inc. , held at the Union Club, New York City, Wednesday, September 9, 1970, at 11:00 a.m. There were present: Alternates Clifford D. Siverd, Chairman Ralph K. Gottshall Edward J, Bock Roger W. Gunder L. L. Bott H. E. Hirschland F. Leonard Bryant T. G. Hughes F. L. Byrom Leonard Hynes John T. Connor Robert A. Lucht Lee V. Dauler Earl T. Me Bee David H. Dawson L.; John Polite, Jr. Herbert D. Doan Luther S. Roehm Edward J. Donley Ha.E*jld E. Thayer William P. Drake Haxry B. Warner William J. Driver Je**e Werner Clifton C. Garvin, Jr. Robert J. Whitesell James R Carnes Wayne T. Barrett (for L. G. Bliss) J. P. Cunningham (for Jack B. St. dsir) Douglas Grymes, Jr. (for F. L. Byewn) Kenneth H. Hannan (for F. Perry Wilaon) James E. Magoffin (for Harry D. McTfeeley) H. Barclay Morley (for Roger W. Gander) Gerald S. Roberts (for Leonard HyneeJ George W. Russell (for Clifford D. Sfcirerd) Donald O. Swan (for Clifton C. Garvin*. Jr. ) General Counsel: Lloyd Symington Present by invitation: Dr. William J. Darby, Jr. , HEW Secretary's Pesticide Advisory Committee Dr. Julius E. Johnson, The Dow Chweerical Company Upon calling the meeting to order, Chairman Siverd requested that those present stand and introduce themselves by giving their names and company affiliations. L MINUTES OF JUNE 3 AND 4, 1970, MEETINGS., The Minutes of the June 3 and 4, 1970, meetings^ at the Board of Directors were approved as submitted to the members. I CMA 069349 1274 II. REPORT OF THE SECRETARY-TREASURER. t (a) Financial Report -- June 1 through August 31, 1970. The financial report for the three months ended August 31, 1970, was summarized by the Secretary-Treasurer, together with the following related items, (b) Status of Membership Fee Collections. All but two member companies have paid their membership fees for the fiscal year in full, and the Secretary-Treasurer recommended that an additional thirty days grace period be allowed these two companies, (c) Resignations and Consolidations. Two resignations have been received since the beginning of the fiscal year. The resigning members were Thiokol Chemical Corporation and Arapahoe Chemicals, Division of Syntex Corpo ration. There was one additional numerical loss through the merger of Avisun Corporation into Amoco Chemicals Corporation, Current membership stands at 180 members, 10 of which are headquartered in Canada. Two applications for membership are pending before the Membership Committee. (d) Financial Report -- 98th Annual Meeting. Income from the Association's 98th Annual Meeting held at The Greenbrier, June 4-6, was $63, 750 with expenses of $14, 209, leaving a net income of $49, 541 which is included in income for the current year as shown in the Income and Expense Statement of August 31. ON MOTION, duly made and seconded, it was, VOTED: That the Secretary-Treasurer's report be accepted and placed on file. III. BOARD OF DIRECTORS. (a) Appointment of Alternates. The Chairman invited attention to the agenda attachment containing a list of Directors and the Alternates they had designated. ON MOTION, duly made and seconded, it was, VOTED: That all designations of Alternates as set forth in Exhibit A,, attached hereto, be approved. (b) Regional Meeting -- October 19-20, 1970, Ottawa, Canada. The Secretary-Treasurer briefly'summarized the information regarding hotel and program arrangements for the Fall Regional Meeting scheduled to be held October 19-20 in Ottawa, Canada. Directors were urged to advise the Washington office of their attendance plans in order to assist General Macdonald of The CMA 069350 1275 Canadian Chemical Producers' Association in completing arrangements for features of the program being sponsored by that Association. Mr. Hynes reported that several Cabinet members and other senior Canadian government officials were expected to attend the Monday evening reception and dinner being sponsored by CCPA and that the scheduled meeting of that Association in Ottawa on October 19 would assure a large attendance by CCPA representatives on Monday evening. (c) Program Committee Report -- 20th Semiannual Meeting, November 24, 1970. On behalf of Chairman Bott of the Program Committee who was unavoidably delayed, the Secretary-Treasurer reported that Mrs. Virginia H, Knauer, the President's Special Assistant for Consumer Affairs, would be the luncheon speaker at the Semiannual Meeting; arrangements for the banquet speaker have not been completed but it was hoped that an early favorable reply would be received from Secretary of Interior Hickel who has been invited to speak. Arrangements for four panel presentations, each of which will be moderated by a member of the Board of Directors, are progressing satisfactorily and it is expected that information regarding the program will be placed in the mail to member company representatives by the latter part of September. (d) Proposed Rules of Organization and Procedure for the Govern ment Liaison Technical Committee. Chairman Siverd invited attention to the proposed Rules of Organization and Procedure for the Government Liaison Technical Committee which had been forwarded to Directors in advance of the meeting and reported that the Executive Committee had considered them and agreed to recom mend to the Board of Directors that they be approved as presented. ON MOTION, duly made and seconded, it was, VOTED: That the proposed Rules of Organization and Procedure, attached hereto as Exhibit B, be approved. (e) Proposed Rules of Organization and Procedure for the Solid Wastes Management Committee. Chairman Siverd invited attention to the proposed Rules of Organization and Procedure for the Solid Wastes Management Committee which had been forwarded to the Directors in advance of the meeting and reported that the Executive Committee had considered the proposed Rules and agreed to recommend that they be approved by the Board of Directors subject to amendment of Section IV to provide that membership shall not exceed thirty-five rather than twenty-five as provided in the proposed Rules forwarded to Directors in advance of the meeting. ON MOTION, duly made and seconded, it was, VOTED: That the proposed Rules of Organization and Procedure revised as recommended by the Executive Committee, copy attached hereto as Exhibit C. be approved. CMA 069351 1276 (f) Proposed Budget Supplement to Finance the Chemical Trans portation Emergency Center (CHEMTREC). Forwarded to Directors in advance of the meeting and summarized by Chairman Siverd was the staff-recommended fiscal 1970-71 budget supplement for establishment and operation of the Chemical Transportation Emergency Center (CHEMTREC) presented pursuant to direction of the Board of Directors when CHEMTREC was authorized at its June meeting. The Executive Committee had considered the proposed budget supplement and recommended that it be approved. ON MOTION, duly made and seconded, it was, VOTED: That the fiscal 1970-71 budget be supplemented in the amount of $93, 370 as set forth in the staff proposal attached hereto as Exhibit D. (g) Report of Centennial .Anniversary Committee. Chairman Dawson of the Centennial Anniversary Committee, referring to the written report of the Committee forwarded to Directors in advance of the meeting, reported that in its consideration of the report earlier in the day the Executive Committee had shown limited enthusiasm for as extensive a program as had been proposed because of the investment of manpower that would be required of member companies, the cost involved, and the unfortunate timing of such a program at a time when the chemical industry is faced with serious problems related to environmental quality. Accordingly, the Executive Committee had deferred final action on the proposal until the October 1970 meeting and, in the meantime, the Centennial Committee would be glad to receive any suggestions regarding the matter which Directors might wish to offer. (h) MCA Position on the Trade Bill. Chairman Siverd reviewed the history of the Association's activities in connection with the Administration's Trade Bill pending in the House of Representatives with particular reference to the position approved by the Board and presented by the Association's spokesman during hearings in June 1970 before the House Ways and Means Committee after which some members defected from the Association's position. It was reported that the Executive Committee upon consideration of these developments recom mended that the Association now abandon the position it had taken and henceforth assume a position of neutrality, neither for nor against the legislation, in any further proceedings thereon. Without further discussion, and ON MOTION, duly made and seconded, it was, VOTED: That the position heretofore taken by the Association in connection with the pending trade legislation be abandoned and that in the future the Association assume a position of neutrality thereon. CMA 069352 1277 (i) Proposed MCA Environmental Statement. At the request of Chairman Siverd, Mr. Doan read an environmental statement which he had proposed for adoption and promulgation by the Association. Mr. Siverd reported that the Executive Committee had approved the statement as read and recommended its adoption by the Board of Directors. Inasmuch, however, as the members of the Board of Directors had not had an opportunity to review the statement in advance of the meeting, Chairman Siverd requested that it be mailed to all Direc tors for their information and any comments they might wish to make thereon. IV. COMMITTEE APPOINTMENTS. The following committee appointments were approved: (a) Air Quality Committee. W. R. Taylor, Diamond Shamrock Chemical Company (b) Education Activities Committee. H. David Russell, The Dow Chemical Company (c) Legal Advisory Committee. J. I. Wyer, American Cyanamid Company (d) Occupational Health Committee. John Hogan, M. D. , Gulf Oil Corporation ! (e) Public Relations Committee. Richard J. Nelson, Kay-Fries Chemicals, Inc. John K. Sparks, Wyandotte Chemicals Corporation (f) Solid Wastes Management Committee. John M. Lindsley, Eastman Kodak Company (g) Water Resources Committee. W. R. Taylor, Diamond Shamrock Chemical Company H. S. Wilson, Esso Chemical Canada V. STAFF REPORT. Mr. Driver reviewed recent developments in connection with,$tan Association's program of projects and activities since the last meeting, referring to the proposed MCA statement regarding the tax on lead additives in gasoline which would be submitted to Directors for comment and reporting on the status of the proposed National Air Quality Standards Act of 1970 pending in the Senate Public Works Committee, copy of his written report, which was furnished bo Directors in advance of the meeting being appended as Exhibit E. VI. PROPOSED NATIONAL LABORATORY FOR ENVIRONMENTAL STUDIES. Introduced by Mr. Doan, Dr. Julius'E. Johnson, Vice Presidenfc nd Director, Corporate Research & Development, The Dow Chemical Company, and Dr. William J. Darby, Jr. , Co-Chairman of the HEW Secretary's Pesticide CMA069353 1278 Advisory Committee, reviewed developments since the enactment of the Delaney Cancer Clause and publication of Rachael Carson's Silent Spring with respect to increasing concern regarding the possibility of long-delayed health hazards from chemicals to which large portions of the populace are exposed. This has demon strated a need for development of far more information concerning these effects than is now available in order that reasonable scientific judgment may be exer cised in connection with the registration for use or the need to require restrictions on use of these chemicals. In seeking a possible solution to this problem, the HEW Secretary's Pesticide Advisory Committee put forward a proposal for a Federally-chartered testing laboratory under the joint direction of representatives of the Federal Government, the American Chemical Society, and MCA. This facility, which as presently conceived might utilize the biological warfare com plex of Pine Bluff Arsenal in Arkansas to be made available by the Department of Defense, would require three to four million dollars financing for the first year, seven to ten million dollars for subsequent years, and would be expected to employ five to six hundred people. Initial funding would probably entail partici pation by industry and subscription by a sufficient number of chemical companies for the testing services of the facility to insure its continuing support. A background statement entitled ''Proposal for a National Facility for Testing for Long-Term Health Effects of Chemicals" with drafts of two proposed legislative measures to implement the proposal were distributed to Directors. Dr. Darby hoped that, after Directors have read the background statement, MCA might see fit to designate representatives to work with representatives of other interested groups on further development of the proposal and expressed the belief that development of this or a similar proposal is essential to survival of an indus trialized society in the present environment of criticism. There being no further business to come before the meeting, it was unanimously resolved to adjourn. Certif: Chairman of the Board ^ames R. Carnes Secretary-Treasurer CM* 069364 EXHIBIT A BOARD OF DIRECTORS. la) Appointment of Alternates. Board Member Alternate and Company L. G. Bliss Edward J. Bock L. L. Bott F. L. Byrom John T. Connor Herschel H. Cudd Lee V, Dauler David H. Dawson Herbert D. Doan William P. Drake Clifton C. Garvin, Jr. Robert D. Goodall Ralph K. Gottshall William B. Graham Roger W. Gunder H. E. Hirschland T. G. Hughes Leonard Hynes Robert A. Lucht Earl T. McBee Harry D. McNeeley Max A. Minnig L. John Polite, Jr. Luther S. Roehm Clifford D. Siverd Jack B. St. Clair Harold E. Thayer Harry B. Warner Jesse Werner Robert J. White sell F. Perry Wilson Wayne T. Barrett, Foote Mineral Company *John L. Gillis, Monsanto Company ^Robert T. Powers, Nalco Chemical Company Douglas Grymes, Jr., Koppers Company, Inc. Frederick L. Bissinger, Allied Chemical Corporation Richard M. Morrow, Amoco Chemicals Corporation David N. Clark, Neville Chemical Company *Edward R. Kane, E. I. du Pont de Nemours & Company Carl A. Gerstacker, The Dow Chemical Company Charles H. Rybolt, Pennwalt Corporation Donald O. Swan, Esso Chemical Company, Inc. R. M. Coquillette, W. R. Grace & Co. Edward J. Goett, Atlas Chemical Industries, Inc. John H. Wiles, Wallerstein Company, Division of Baxter Laboratories, Inc. H. Barclay Morley, Stauffer Chemical Company R. J. Zedler, M&T Chemicals Inc. James W. Kent, Chevron Chemical Company Gerald S. Roberts, Canadian Industries Limited Earl C. Ray, The Harshaw Chemical Company, Division of Kewanee Oil Company Robert M. Thomas, Great Lakes Chemical Corporation James E. Magoffin, Eastman Chemical Products, Inc. William Wishnick, Witco Chemical Corporation Louis Bay, 2nd, Es3ex Chemical Corporation H. N. Fiaccone, Merck & Co., Inc. George W. Russell, American Cyanamid Company J. P. Cunningham, Shell Chemical Company Stanley H. Anonsen, Mallinckrodt Chemical Works Thomas B. Nantz, B. F. Goodrich Chemical Company P. B. Dalton, GAF Corporation C. E. Denoon, Jr. , Rohm and Haas Company Kenneth H. Hannan, Union Carbide Corporation Appo intmeni. previously approved by the Board; listed ior confirmation only. MCA-9/9/70 CMA 069355 EXHIBIT B Proposed Rules of Organization and Procedure Government Liaison Technical Committee On January 13, 1970 the Government Liaison Technical Committee was changed from ad hoc to standing committee status. Subsequently its members reviewed and amended the Committee1s Rules of Organization and Procedure to make this document currently appropriate as well as in conformity with the "General Principles Applicable to the Structure and Operations of Committees". Copy is attached. The Committee voted its adoption at a regular meeting on April 20, subject to Board of Directors' approval. Approval is recommended. 9/9/70 CMA 069356 Manufacturing Chemists Association RULES OF ORGANIZATION AND PROCEDURE GOVERNMENT LIAISON TECHNICAL COMMITTEE 1. PURPOSE To assist the United States Government agencies involved in stockpiling in the writing of regulations to reflect changed conditions and to deal with technological problems; to provide such agencies with technical information on the stability of stockpile commodities; and to develop, subject to approval of the Board of Directors, recommended policies relating to Government disposal of surplus stockpile commodities. 2. GENERAL PRINCIPLES The operations of this Committee and its Subcommittees and Task Groups shall be governed by the "General Principles Applicable to the Structure and Operations of Committees'* as approved by the MCA Board of Directors, March 12, 1963. The rules set forth herein shall be limiting upon the Committee but in no way shall they be interpreted or applied in a manner which shall contravene the above-mentioned MCA "General Principles. . .". 3. OFFICERS The elected officers of the Committee shall consist af a Chairman and a Vice Chairman. The Chairman will be chosen from CMA 069357 the membership and shall preside at meetings and exercise general supervision over all business and functions of the Committee. The term of office of the Chairman shall be limited to one year or until his successor is elected. The Chairman may succeed himself for not more than one term. in the absence of the Chairman, the Vice Chairman is vested with all the powers and duties of the Chairman;. The term of the Vice Chairman shall be limited to one year. The Vice Chairman may succeed himself for not more than one term- The Secretary of the Committee shall be a member of the professional staff appointed by MCA. The Secretary is charged with the general management of the business of the Committee in accordance with the. provisions of the "General Principles. . The Secretary shall give notice in writing of all meetings and agenda therefor and keep the minutes. He shall perform such other duties a are usual to his office, in accord with MCA staff procedures and requirements. 4. MEETINGS Meetings of the committee shall be held at least twice a year. Notice of each Committee meeting shall lie published in the General Bulletin of the Manufacturing Chemists Association. The chairman of the Committee on reasonable notice to the members may call a meeting of the Committee or any Suboammittee whenever S, CMA 069358 in his opinion this is justified. Subcommittee and Task Group meetings shall be arranged by the Subcommittee and Task Group Chairmen with the Secretary. The Chairman and Vice Chairman of the Committee shall be notified of the meeting date and place and the agenda items to be discussed. S. ADMINISTRATION Subjects for consideration may originate with any Committee ' member, member firm, or other responsible source and should be directed to the Chairman and the Secretary. Where appropriate, the Chairman may refer agenda items to Subcommittees or Task Groups for the development of recommendations to the Committee. Subcommittees may be appointed by the Committee Chairman as necessary to prosecute matters of continuing interest within specifically prescribed bounds. Task Groups may be appointed as required by the Committee Chairman, or appropriate Subcom mittee Chairman, for the accomplishment of specific tasks and shall be discharged when the assigned work has been completed. The Chairman, Vice Chairman, and Secretary of the Committee shall be ex officio members of all Subcommittees and Task Groups. As far as possible, Subcommittee and Task Group Chairmen shall be chosen from Committee membership. To utilize available talent to the best advantage, it may be necessary to reach outside CIWA 069359 the Committee. A record shall be made of all actions taken at each Committee, Subcommittee, and Task Group meeting. The proceedings shall be recorded by the Secretary, or in his absence, by a Committee, Subcommittee, or Task Group member designated to take his place in conformance with provisions of subparagraph 5g. of the "General Principles. . .". A majority of Committee members shall constitute a quorum, with each member company entitled to one vote. Except to amend these rules, all matters shall be decided by a simple majority. Where deemed necessary, voting by letter ballot is authorized. The failure of one or more members to reply within the specified time limit shall not prevent a recommendation on the subject based on replies received, provided the affirmative votes of a simple majority of the committee have been obtained. 6. AMENDMENT OF THESE RULES Proposed amendments of these rules may be submitted at any regular meeting and require approval by two-thirds of the Committee membership for acceptance. * MCA - 9/9/70 CMA 069360 EXHIBIT C Proposed Rules of Organization and Procedure SOLID WASTES MANAGEMENT COMMITTEE l The Solid Wastes Management Committee, organized in accord with Terms of Reference approved by the Board of Directors, November 24, 1969, adopted the accompanying Rules of Organization and Procedure at a regular meeting on July 15, 1970. Approval is recommended. i MCA - 9/9/70 CMAG69361 Rules of Organization and Procedure SOLID WASTES MANAGEMENT COMMITTEE of the Manufacturing Chemists Association I. NAME I This committee of the Manufacturing Chemists Association (MCA) shall be named the SOLID WASTES MANAGEMENT COMMITTEE, hereinr after referred to as the Committee. PURPOSES v/. - The Committee will concern itself witte matters of wastes management of import to the chemical industry, incept those matters concerning the treatment of air and water-borne Materials and their impact on the ambient atmosphere and on receiving water bodies. It shall advise the Board of Directors relative tat these matters concerning solid wastes management, and in manners consistent with MCA policies and procedures: A. Encourage chemical manufacturing^ jnactices that minimize the quantity of wastes ?&r disposal, and yield wastes of such character ee to minimize impact on the receptor environmart. B. Foster reuse of waste materials* thus working toward recycling of resources as a desirable objective. C. Identify current and potential wastes disposal problems associated with the practices and products of chemical manufacturing, and provide information helpful to their amatinration. D. Promote liaison and exchange of information con cerning good practices in wastes management within the chemical industry, with other branches of industry, with equipment suppliers, with trade and CMA 069362 2- - professional organizations, and with all levels of government. E. Cooperate in the development and adoption of sound legislation and regulations governing wastes handling, treatment, and disposal. III. PRIMARY REQUIREMENT j These rules are designed to supplement the "General Principles Applicable to the Structure and Operations of Committees" approved by the Board of Directors on March 12, 1963. Nothing in the rules or in any subsequent amendments shall be interpreted or applied in a manner that is in conflict with the "General Principles..." \ I IV. MEMBERSHIP Membership shall not exceed thirty-five. If there are additional qualified applicants, up to five members may be replaced annually. The Chairman, Vice Chairman, and standing subcommittee chairmen shall be exempt from such membership rotation so long as they hold office, and shall be constituted as a Membership Review Board. In this capacity, they shall have authority to approve the Secretary's recommendations as to which members should be replaced. Meeting attendance and current participation in the Committee's program shall be prime factors in the development of such recommendations. Members rotated off the Committee shall become eligible for reappointment after a two-year interval. V. OFFICERS The Committee shall elect its own officers for two-year terms* to coincide with MCA's fiscal-year periods, with election to be held during the last regular meeting preceding April 15 of the year in which the terms of office expire. Officers elected initially will be for terms to end coincident with the end of the MCA fiscal year on May 31, 1971. CMA 069363 A. I B. k C. I CHAIRMAN -3- 1. The Chairman will be chosen from the membership and shall preside at meetings and exercise general supervision over all business and functions of the Committee. 2. The Chairman shall be responsible for full reporting at regular meetings of all Committee activities not previously reported. 3. The Chairman shall familiarize the Vice Chairman with all duties, activities, and responsibilities of the Chairman in order to provide proper functioning of the Committee in the event of the Chairman's absence. 4. if the office becomes vacant, a Chairman may be elected at any meeting of the Committee to complete the unexpired term. VICE CHAIRMAN 1. The Vice Chairman shall be elected at the same time as the Chairman. If the office becomes vacant, a Vice Chairman may be elected at any regular meeting of the Committee to complete the unexpired term. 2. In the absence of the Chairman, the Vice Chairman may act for the Chairman in all Committee matters. SECRETARY The Secretary shall be the MCA staff representative assigned to the Committee, and shall exercise those authorities and responsibilities prescribed by the "General Principles Applicable to the Structure and Operations of Committees". He shall be charged with the preparation and distribution of notice of meetings, agenda, and minutes, and with the custody of the official records of the Committee. CMA 069364 -4VI. MEETINGS 1 ) A. Meetings will be held at the call of the Chairman, but not less than three regular meetings should be held in each fiscal year. B. A majority of the Committee members shall constitute a quorum at any meeting. C. In the event a Committee member is to be absent, on advance written notice to the Secretary he may be represented by a properly qualified alternate who may exercise all the functions of the Committee member at the meeting, including the right to be counted for purposes of determining a quorum. D. Upon reasonable notice to the members, the Chairman may call a special meeting of the Committee or a subcommittee whenever in his opinion such action is justified, or when requested by at least seven Committee members. VIZ - ^ ADMINISTRATION A. GENERAL 1. The Secretary shall issue meeting notices for all meetings of the Committee, its subcommittees or other units thereof, and no meetings may be held in the absence thereof. Meeting places shall be selected by the convening body in conformance with MCA policies. 2. The Secretary shall prepare an agenda of matters to be brought before the Committee, and shall furnish such agenda to the members of the Committee at least ten days prior to the meeting. 3. The minutes of meetings prepared by the Secretary shall be distributed promptly to the members of the Committee following the meeting. Corrections or additions to the minutes will be considered at the next meeting. ) CMA 069365 -5- 4. The Chairman may at any time assign appropriate mattersto a subcommittee or to joint subcommittees for action. 5. Voting (including the election of a Chairman or Vice Chairman) may be conducted by letter ballot when, in the judgment of the Secretary, circumstances warrant. 6. Appearance before an organization or legislative body on MCA's behalf on matters coming within the scope of Committee or other MCA activities will be made only as authorized by the Board of Directors. If a member of the Committee, in appearing before any organization as other than a duly authorized MCA representative, identifies himself with MCA in any way, he must also make clear that he is not representing MCA in such participation. B. SUBCOMMITTEES 1. The establishment of subcommittees, the selection of their membership, and the designation of the duties thereof shall be made by the Chairman subject to the approval of the Committee, and shall be recorded in the minutes of the Committee. The qualifications for Committee membership shall apply to subcommittee membership. Committee membership, however, is not a prerequisite to participation in subcommittee activities. 2. Meetings of the subcommittees are subject to MCA's "General Principles Applicable to the Structure and Operations of Committees". It shall'be the respon sibility of the Chairman of a subcommittee or other Committee unit to submit a timely request to the Secretary for any desired modification of the requirements of subparagraphs (c), (d), or (e) of paragraph (5) under the provision of subparagraph (g) thereof. 3. Within its field of duties, a subcommittee may initiate new matters for consideration by the Committee. 4. All members of the subcommittee shouLd be kept informed by the chairman of all proceedings and activities concerning the work of the subcommittee. CMA 069366 6- - 5. The Chairman and Vice Chairman are ex officio members of all subcommittees and shall receive notices of all meetings. They, as well as the Secretary, shall be furnished reports of all proceedings, and copies of all correspondence pertaining to the activities of such subcommittees. 6. Subcommittee chairmen shall furnish written reports at the regular meetings of the Committee on the progress and recommendations of the subcommittees. Upon acceptance by the Committee, these reports shall be incorporated in the meeting minutes. VIII. AMENDMENT TO THESE RULES These rules may be amended, subject to the Board of Directors' approval, at any regular meeting, by majority action of the Committee. ** *** MCA - 9/9/70 CMA 069367 EXHIBIT D Recommended 1970-71 Budget Supplement for Establishment and Operation of Chemical Transportation Emergency Center (CHEMTREC) At its meeting on June 3, 1970, the Board authorized establish ment by MCA of a Chemical Transportation Emergency Center (CHEMTREC) at a cost for the first year not in excess of $110,000. It was understood that detailed recommendations as to the way in which the fiscal 1970-71 budget should be supplemented for this purpose would be submitted by the staff for approval at the September Board Meeting. Since Board approval for establishing the Center was given in June, additional office space has been leased for it, and Mr. F. H. Carman, former MCA Technical Director, has been engaged as a part-time consultant to assist in its organization. Contacts with the Department of Transportation are being further developed to enlist their support in publicizing the Center's service and encouraging its use when, in fact, it is ready to operate. The nominal target is January 1971, although this is optimistic in view of the time certain to be involved in obtaining the necessary information from member companies about their products. The accompanying tabulation sets forth a proposed CHEMTREC budget of $93,370 for installation and operating costs during the current fiscal year. It is recommended that it be approved by the Board as a supplement to the previously approved 1970-71 budget. MCA - 9/9/70 o CMA 069368 PROPOSED BUDGET Chemical Transportation Emergency Center (CHEMTREC) Fiscal Year 1970-71 Salaries and Related Expense ? 47,400 Retirement Plan Hospital Insurance and Health Plan 350 Legal Fees and Expenses Consultants 9.000 Rent and Premises Expense 10,670 Taxes and Insurance 2.000 Supplies and General Office Expense 1,250 Furniture and Equipment A Printing 4,500 1,750 Telephone and Telegraph 10,000 Postage 150 Travel 3,000 Meeting Expense Periodicals, Books, and Business Services 200 Organizational Memberships 100 OPERATING EXPENSE Special Project Expense (MCA Public Relations Department) GRAND TOTAL $ 90,370 3,000 $ 93,370 CMA 069369 EXHIBIT E STAFF REPORT September 9, 1970 by William J. Driver environment MCA's efforts to remedy objectionable features in the "Clean Air Act Amendments of 1970" (H.R. 17255) are continuing in the Senate Public Works Committee, which took up the bill following its passage by the House. Consultations with the Subcommittee considering the legislation were followed by a letter to Senator Edmund Muskie (D.-Me.) on June 12. The Muskie Bill, as reported out by the Subcommittee, adds new provisions which constitute a major departure from the concepts of the federal function as presently defined by the Congress. They give the National Air Pollution Control Administration a dominant role in setting and enforcing both ambient air and emission standards. When Senator Muskie announced that the full Committee would take final action on the bill on August 27, MCA asked for a delay until after the Labor Day recess. The Committee deferred immediate action, but for how long was uncertain at the time this report was written. Meanwhile, an Association position, drafted by the Joint Subcommittee on Air and Water Pollution Legislation and Regulations, is being finalized for prompt delivery to the Senate Public Works Committee. *** The fifth year of MCA-sponsored research on chemical odors at A. D. Little, Inc. has begun with National Air Pollution Control Administration becoming a co-sponsor of the program. The Federal Agency will bear one-third of the cost and make available to the project substantial government-owned equipment for the measurement of physiological responses to odor. The project goal is to s^udy relationships between the degree of nuisance or annoyance'generated by an odor and its character, intensity and duration. Subjective evaluations by panel members participating in the tests will be supplemented by observation of physiological reactions related to the intensity of emotional response. CMA 069370 Axi agreement lias been reached between tlie Associntion and NAPCA to conduct an in-depth study of the technical and eco nomic problems associated with efforts to control atmospheric emissions from the submerged-arc electric furnace process of the reactive metals industry. The steering committee has developed questionnaires and plapt study protocols for the acquisition of pertinent data. Questionnaires are now being distributed to plants of both MCA member and non-affiliated companies. Plant sampling by a NAPCA-supported contractor team is expected to begin early this fall. *** In Japan, industrial efforts toward a clean environment have lagged. The ferroalloy industry in particular is anxious to get started on antipollution measures, and has appointed a 12-man delegation to obtain information from experts in the United States and in Europe. To assist them in this country, a series of conferences were arranged for September 8, starting at MCA Headquarters in Washington. Staff members will then escort the delegation to meetings with federal authorities at the Federal Water Quality Administration in Arlington, Virginia, and at the National Air Pollution Control Administration in Rockville, Maryland. *** Arrangements have been completed whereby Professor W. W. Eckenfelder, Jr. will continue MCA's program of Technical Seminars on Water Pollution Control;tor Chemical Wastes for the sixth year. Basic seminars are scheduled at Vanderbilt University, October 26-30; Notre Dame University, February 8-12 and Manhattan College, April 12-16. Advanced seminars will be in Nashville, December 14-18 and New Orleans, April 19-23. TRADE AND TAXES The House Ways and Means Committee has reported out the long-awaited trade bill. A number of its key provisions affect our member companies. CMA 069371 3 The legislation authorizes President Nixon to abandon the American Selling Price method of customs valuation. He will be expected to reexamine the Separate Package agreement negotiated in the Kennedy Round to determine whether the United States has received reciprocal trade concessions. If the President ascertains the agreement is not reciprocal, he is expected to negotiate to ensure the United States is "fully compensated" for concessions on ASP. The bill gives the Congress 60 days to reject an announced decision by the President to eliminate ASP. MCA, along with Synthetic Organic Chemical Manufacturers Association and the trade unions, had succeeded in preserving ASP on a 16 to 6 vote in preliminary decisions by the Ways and Means Committee. However, the industry was deeply divided on the issue after the President's threatened veto. The Committee retained the provisions setting import quotas on textiles and shoes, but allowed the President discretionary authority to relax the quotas under given circumstances. The textile quota provision was broadened to include man-made fibers. The Association worked with Executive agencies and on Capitol Hill for inclusion of the DISC proposal (Domestic Inter national Sales Corporations) in the legislation. With certain modifications to tighten possible loopholes, the provision was written into the bill along the general lines we advocated. The DISC rules become applicable for any taxable year beginning with January 1, 1971. The President is required to submit an annual report to the Congress setting forth an analysis of the operation and effect of the DISC provisions. Other sections of the legislation would expedite and reinforce action on antidumping and countervailing duties, liberalize relief criteria for industries injured by imports, and grant the President a 20 percent housekeeping authority to cut tariffs. *** In other House Ways and Means Committee action, Chairman Mills has announced that hearings will begin September 9 on three Administration tax proposals, including one which would impose a tax of $4.25 per pound on lead used as an additive in gasoline. CMA 069372 4 A number of member companies have expressed interest in MCA opposing this proposal. The Tax Policy Committee has been requested to recommend an industry position. *** TRANSPORTATION By a narrow vote, the House rejected the amendment on mixed barge tows which MCA had strongly supported both in testimony and in numerous personal contacts on Capitol Hill. Rep. Ancher Nelsen (R.-Wis.) had proposed the amendment as a substitute for the Water Carrier Mixed Tows Act reported out by the House Interstate and Foreign Commerce Committee. Considerable strength had been organized for the Nelsen amendment which, in effect, would have legalized the longestablished practice of mixed tows of regulated and nonregulated bulk commodities. At the eleventh hour, the railroads withdrew their active opposition. However, the AFL-CIO and the Seamen's International Union mounted a last-minute drive to defeat the amendment, 194 to 181. A switch of seven votes would have reversed the outcome. Proponents of the Nelsen amendment were critical of weak industry support. Only a handful of MCA member companies indicated they had acted to back the bill. The legislation now comes before the Senate Commerce Committee, chaired by Senator Magnuson (D.-Wash.). Prospects for the desired changes are considered less promising there than in the House. *** As mentioned in my June report, the railroads petitioned the Interstate Commerce Commission to declare that the issues involved in a six-level schedule of allowances for tank cars (I & S 8406) are of general transportation importance. The Commission concurred. The railroads contend the Commission does not have the jurisdiction to prescribe specific allowance levels. We maintain the Commission does have jurisdiction, with precedent in previous cases (I & S 8135 and 8406), and that shippers are being inadequately compensated during legal maneuvers prolonging the decision. This may be taken up by CMA 069373 t 5 the full Commission at a later date. In any event, the railroads are expected to carry the matter to the courts. *** The railroads have continued their attempt to recover charges for the past three years for the movement of empty tank cars from the point of first loading (ICC 35130). Shippers, including MCA, contend the interpretation of the tariffs over the past 40 years has been such that these movements have not been billed or charged, hence it is unreasonable now to interpret the tariffs to require charges. *** As you know, ICC granted the railroads a general freight rate increase of 5% (Ex Parte 265) -- not unexpected in view of the Penn-Central reorganization -- but ordered a full investigation of the deficiencies of railroad service. We have pressed for the adoption of improve d service criteria in terms of transit time, and proposed that the railroads not be permitted to retain the increment granted unless those standards are met. In preparing our case it became evident eh the principal offenders in poor service were the Penn-Central and associated eastern railroads. SAFETY Despite intense opposition by industry, the House Committee on Education and Labor reported out the Daniels bill on occupa tional health and safety after Republican efforts to achieve a compromise failed. The bill would grant the Secretary of Labor wideranging powers to set health and safety standards in the work place, to inspect and enforce, and to impose penalties^. It goes beyond the provisions of a bill introduced in the last Congress which the late Senator Dirksen termed "the moat offensive piece of legislation ever sent to Capitol Hill." The Daniels bill has been delayed in the House Rules Committee but is expected to come to the House floor by lat September or October. We have been working for a bipartisan, substitute which would: eliminate or modify the arbitrary1 and excessive powers which would be vested in the Secretary of Labor; ensure due process and reasonable checks'and balances. CMA 069374 Rep. William A. Steiger (R.-Wis.) proposes to introduce the substitute measure and it is considered vitally important that a Democrat co-sponsor be obtained in order to preclude a vote along party lines. The Association has offered to line up a co-sponsor for the substitute bill and is working to effect a coalition of conservative Democrats and Republicans to support it. On this matter, battle lines are shaping up: AFL-CIO and other labor organizations are lobbying intensively for enactment of the Daniels bill. Some 700 trade unionists recently descended on Capitol Hill for a two-day lobbying campaign. In opposition, industry spokesmen are seeking a more reasonable approach wherein standards are set by an independent board of safety experts, and violations tested through the judicial process. Therefore, MCA member companies are urged to contact their Congressmen, expressing opposition to the Daniels bill (H.R. 16785) and calling for support of the Steiger substitute. In the Senate, it appears likely that the Labor Subcom mittee will soon begin executive session consideration of various proposals. Subcommittee Chairman Harrison A. Williams, Jr. has given no indication as to how soon a bill might reach the Senate floor. *** "Guidelines for Risk Evaluation and Loss Prevention in Chemical Plants" has been published as a product of the Safety and Fire Protection Committee. It contains a series of loss prevention check lists and should prove of value to member companies in reducing losses due to fires, explosions, and other causes. *** EDUCATION ACTIVITIES The Industrial Visiting Scientist Program, initiated by the Industrial Research Institute, calls for lectures by industry representatives on invitation from participating universities. Several MCA member companies, 1 7 primarily those represented on the Education Activities Committee, are active participants. Efforts are now under way to expand the scope of the project during 1970-71 by enlisting the cooperation of member companies not yet identified with the project. Your support of my invitation of July 29 to those member companies to participate will be most welcome. * ** The Education Activities Committee accepted an invitation from the American Chemical Society's Committee on Professional Training to assist in revising and updating minimum standards for courses in chemistry taught in U. S. colleges and universi ties. Current standards were established in 1965. To comply, an extensive questionnaire was distributed to knowledgeable personnel in member companies represented on EAC. Responses were excellent and are now being evaluated by the Committee. PUBLIC RELATIONS "What The Teach-Ins Taught Industry", an article by Edward L. Jaffee, Manager of Environmental Quality Information, appeared in the July issue of the Public Relations Journal. *** Dr. Bernard L. Oser, Chairman of the Board of Food and Drug Research Laboratories, Inc., Maspeth, N. Y., and an internationally-known expert on nutrition, has accepted our invitation to speak at the 1970 Newspaper Food Editors Con ference in San Francisco. Some 150 members are expected to attend, about half of the membership. Although few in number, these editors reach and influence millions of readers. Participation in the week-long event, September 20-25, was arranged by Mrs. Peggy Walton, Manager of Consumer Information. Our session is 2:45 - 3:45 p.m., Friday, September 25. Mrs. Walton is preparing a Press Kit and will introduce Dr. Oser. He will discuss the "why" of food additives, the various facets of approval for their use and submit himself to questions from the audience. Notice of our participation and an invitation to attend our session is being extended to West Coast industry leaders through the Chemical Industry Council of Northern California. *** CMA 069376 8 Our new Consumer Information exhibit "Boutique Chimique" will be displayed at the annual meeting of the National Association of Extension Home Economists in Milwaukee, October 26-28. *** Some 750 readers responded to a PILOT readership survey taken in June-July. Over 98 percent were favorable. Basically, the survey showed PILOT to be useful in (a) solving specific problems, (b) keeping readers informed of major, relevant legislative and regulatory developments, (c) keeping them informed on ways in which increasing public concern for the environment is being translated into action, and (d) maintaining a high level of attention to pollution control within the chemical industry. *** The results of a readership survey on CURRENTS, conducted with the May/June issue, indicates a trend in the effectiveness of this external environmental newsletter. Readers were asked to evaluate their opinion of the chemical industry's environmental control efforts before they began receiving CURRENTS and presently. Before getting the newsletter, respondents were 2^ to 1 against the chemical industry. At the time of the survey, however, opinions had changed to 7 to 1 in favor of our efforts in pollution control. More than 100 readers said they had been positively influenced by CURRENTS. The newsletter reaches selected federal and state legislators, mayors, regulatory officials and media personnel. *** The Canadian Chemical Producers' Association will hold an invitation-only workshop entitled "Survival Day -- Public Relations Aspects for Canadian Chemical Industry" September 16 in Toronto. E. L. Jaffee, Manager of Environmental Quality Information, will speak to the group on MCA experience in the U. S. Earth Day teach-ins. The CCPA meeting, to be attended by member-company public relations contacts, is preparatory to the national Canadian "Survival Day" -- a parallel to "Earth Day" -- tentatively set in mid-October. *** CMA 069377