Document z7KMo6q9d1Dr9RxBL1NnrYy0

(l024) MINUTES of the one hundred fifty-fifth meeting of the Directors of the Manufacturing Chemists' Association, Inc., held at Del Monte Lodge, Pebble Beach, alifornia, on Wednesday, March 9, 1966, at 10 a.m. (PST). There were present; Chester M. Brown Herschel H. Cudd David H. Dawson George H. Decker J. Robert Fisher Carl A. Gerstacker John L. Gillis T. G. Hughes Thomas C. Jones Alexander Lewis, Jr. John O. Logan A. R. Marusi M. A. Minnig Joseph E. Rich W. T. D. Ross Kenneth Rush Robert B, Semple Hans Stauffer Joseph R. Stevens Harold E. Thayer Henry A. Thouron O. V. Tracy Harry B. Warner John E. Wood, III M. F. Crass, Jr. Alternates: A. E. Albright (for Hans Stauffer) S. H. Anonsen (for Harold E. Thayer) D. G. Braithwaite (for Thomas C. Jones) A. B. Clow (for Robert C. Swain) Bert Cremers (for Robert B. Semple) C. O. Davidson (for E. B. Brooks) David L. Eynon, Jr. (for F. L. Byrom) Leonard Hynes (for W. T. D. Ross) J. W. Kent (for T. G. Hughes) Felix E. Larkin (for O. V. Tracy) Paul Mayfield (for Henry A. Thouron) General Counsel: Lloyd Symington - Fowler, Leva, Hawes &. Symington Present by Invitation: Attached to these Minutes as Exhibit A is a list of registrants for the over-all three-day, program. In calling the meeting to order at 10 a. m. , Chairman Semple welcomed the Directors, alternates, and guests to this sixth West Coast Regional Meeting and Conference of the Western Members of the Association. He invited them to take an active part in the discussion and called upon each one to rise and state his name and company affiliation. A resolution of appreciation to the Stauffer Chemical Company was offered for the reception and dinner accorded those present in San Francisco on the evening of March 7. This was unanimously voted. A second resolution was introduced and unanimously voted expressing aPpreciation to the Arrangements Committee, under the chairmanship of Ernest Jtert, and to the Information Committee consisting of A. H* Campbell and William CMA 068510 V ( 1025) E- Dawson. Appreciation was also expressed to Chevron Chemical Company, FMC Corporation, American Potash & Chemical Corporation, The Dow Chemical Company, Hercules Powder Company, Inc. , and Monsanto Company for acting as hosts at the two scheduled receptions. I. MEETING ANNOUNCEMENTS AND PROGRAM. On behalf of the Arrangements Committee, Mr. Hart outlined all scheduled events for the entire meeting period. Printed programs and attendance lists had been previously furnished to all registrants. II. MINUTES OF FEBRUARY 8, 1966, MEETING. The Minutes of this meeting were duly approved as submitted to the members. III. REPORT OF THE SECRETARY-TREASURER. Financial Report -- June-February 1966. The financial report for the nine months ending February 28, 1966, was summarized by the Secretary-Treasurer. ON MOTION duly made and seconded, it was VOTED: That the report be accepted and placed on file. IV. BOARD OF DIRECTORS. (a) Tenure of Ammonium Nitrate Technical Committee (Ad Hoc). Sent to Directors in advance of the meeting was a formal recommendation from the Ammonium Nitrate Technical Committee (Ad Hoc) that its authorized tenure be con tinued for at least one more year. The Committee tenure expires March 15. It was originally set up in 1947 following the Texas City Disaster to prepare warning labels, a manual, and recommended methods of handling, storing, and packaging -- such work later being supplemented by the preparation of uniform regulations in conjunction with the Interstate Commerce Commission and the U. S. Coast Guard -- and research in collaboration with the U. S. Bureau of Mines and the National Research Council. Its authorized tenure has been extended several times in past years. At an earlier meeting, the Executive Committee considered the recommendation and agreed to recommend to the Board that the Ad Hoc Committee's authorized tenure be extended for a period of six months and that during this time the Committee formulate for Board consideration a plan of orderly transfer of its uncompleted work to other standing technical Committees. ON MOTION duly made and seconded, it was VOTED: That the recommendation of the Executive Committee for a six months' extension be approved. CMA 068511 (1026) (b) April 18-19, 1966, Directors' Meeting in Washington. Arrangements for this meeting were explained by the President. On Monday, April 18, at 12 noon members of the Executive and Finance Committees will meet at The Madison for luncheon. Following conclusion of luncheon, the group will discuss budget and financing for the fiscal year beginning June 1, 1966, It is expected that full recom mendations will be ready for Board consideration at the May 10 meeting in New York City. At 6 p. m. the Directors' reception for Members of Congress and government officials will be held at the Army-Navy Town Club. The invitation list for this reception was discussed briefly, and members urged to follow-up staff invitations in appropriate cases. On Tuesday, April 19, at 8:30 a. m. , members of the Board of Directors will assemble for a breakfast meeting at The Madison. (c) 94th Annual Meeting of the Association. The Secretary-Treasurer reported that formal notice of the Association's 94th Annual Meeting, to be held at The Greenbrier, White Sulphur Springs, W. Va. , on June 9-11, 1966, had been sent to the Executive Contacts on March 1. Accompanying the notice were reservation forms, transportation information, and details relating to program and supplemental events. It is expected that the Program Committee's selection of outside speakers will be announced shortly. Because of the limited facilities of The Greenbrier and the growth of the Association during the past year, those present were urged to hold their delegations to a size preferably smaller but no larger than their 1965 contingents. (d) Economic Incentives for Construction of Pollution Abatement Facilities. Considered at the Executive Committee meeting held earlier during the day were a series of recommendations of the Tax Policy Committee relating to tax incentives for air and water pollution abatement expenditures. The Tax Policy Committee report centered on the types of tax incentive measures which would be most instrumental in stimulating investment in such facilities which are non-profit in nature and benefit not only the industry but the public generally. The Committee urged MCA to encourage Congress to enact legislation to provide the following incentives: (1) A 7% investment tax credit for the cost represented by property and land use. (2) A current deduction of 100% of all capital costs in the year incurred (rapid write-off). The Committee report also recommended that support be given to alternate incentives both at the state and federal levels and discussed the matter of effluent or deterrent charges. At its earlier meeting, the Executive Committee considered the matter and agreed to recommend to the Board that endorsement be given to the recommendations incorporating incentives but that the Tax Policy Com mittee take under further advisement the question of effluent or deterrent charges. ON MOTION duly made and seconded, it was VOTED: That the foregoing recommendations of the Executive Committee be approved. CMA 068512 (1027) V. COMMITTEE APPOINTMENTS. The following committee appointments were approved: (a) Mechanical Technical Committee. A. G. Linder, Diamond Alkali Company, replacing B. Scott Liston. (b) Tax Policy Committee. F. T. Barbour, Rohm and Haas Company, replacing Ralph W. Raven. John F. Mooney, Union Carbide Corporation, replacing William E. Pardoe. VI. STAFF REPORT. General Decker presented a report of developments in the Association's program of projects and activities since the last meeting. Copy of this report is appended to these Minutes as Exhibit B. VII. WEST COAST CIC ACTIVITIES. At the March 1964 Directors' Meeting at Pebble Beach, Ernest, Hart, Chairman of the Ad Hoc West Coast CIC Committee, presented a report with respect to the reorganization and revitalization of CIC activities on the Coast. As a result of the work of the Ad Hoc Committee, three groups were organized and have become active during the past two years. On behalf of all of the West Coast CICs, Donald G. Ellis, Chairman of the Chemical Industry Council of Northern California, presented a report on activities and accomplishments during the past two years which was well received. Copy of Mr. Ellis' presentation is appended to these Minutes as Exhibit C. There being no further business to come before the meeting, it was unanimously resolved to adjourn. M. F. Crass, Jr. Secretary-Treasurer MINUTES SUBJECT TO APPROVAL Atta c hme nt s Classified ASW Briefing. Through invitation of the United States Navy, ^5 MCA Directors, alternates, and member executives attended the Classified Anti-Submarine Warfare Briefing at the San Diego, Cal. , Naval Training Center 0n March 3, 4, and 5. CMA 068513 EXHIBIT A Registrants for MCA Board of Directors Meeting and Related Events Del Monte Lodge, Pebble Beach, California -- March 8 - 10, 1966 Reduction Company, Inc. Hill. John a! MacCorkle, E. W. Allied Chemical Corporation grown, Chester M, American Cyanamid Company Clow, Allan B. American Potash & Chemical Corp. Colefax, Peter Francis, Wm, J. F. Amoco Chemicals Corporation Cudd, Herschel H. Atlas Chemical Industries, Inc. Gottshall, Ralph K. J. T. Baker Chemical Company Stevens, Joseph R. The Borden Chemical Company Marusi, A. R. Canadian Industries Limited Allen, Peter C. Braide, D. I. W. Hynes, Leonard Ross, W . T. D. Chevron Chemical Company Dawson, William E. Hughes, T. G. Kent, James W. Parkhurst, George L. Welton, T. M. Chipman Chemical Company, Inc. Moyer, Warren H. Collier Carbon and Chemical Corp. Henderson, T. C. pierson, L. S. Columbian Carbon Company Davidson, C. O. Diamond Alkali Company Catterson, Donald S. Evans, Raymond F. Hughes, James A. Post, Alexis E. The Dow Chemical Company Doan, Leland A. Gerstacker, Carl A. E. I. du Pont de Nemours fc Co. Dawson, David H. Ethyl Corporation Gill, James M. Fisher Chemical Company, Inc. Fisher, J. Robert FMC Corporation Campbell, Albert H. Carter, B. C. Hait, James M. Hart, Ernest Oskin, Donald C. Williams, William N. Fowler, Leva, Hawes fo Symington Symington, Lloyd Frontier Chemical Company Wood, John E. , III B. F. Goodrich Chemical Company Warner, Harry B. Webber, A. R. W. R. Grace &; Co. Larkin, Felix E. Tracy, O. V. Gulf Oil Corporation Lewis, Alexander, Jr. CMA 068514 (OVER) 2- - Hercules Powder Company, Inc. Fulenwider, J. J. B. Mayfield, Paul Skov, Robert L. Thouron, Henry A. Kaiser Chemicals Davi s, G. C. Sims, W. Norman Koppers Company, Inc. Eynon, David L. The Lubrizol Corporation. McGrew, M. M. Neville Chemical Company Clark, David N. Dauler, Lee V. Olin Mathieson Chemical Corporation Logan, John O. Chas. Pfizer & Co- , Inc. Dugger, James M. Elwood, Walter L. Knoebel, Robert D. Phillips Petroleum Company Cubbage, Thomas L. Houchin, John M. M&cT Chemicals Inc._ Hirschland, H. E. Waalkes, P. A. Mallinckrodt Chemical Works Anonsen, S. H. Fistere, Joseph Thayer, Harold E. Pittsburgh Plate Glass Company Huff, Donald A. Neubauer, Joseph A. Sherburne, H. R. Productol Chemical Company Chipman, Ernest E. Phinney, Donald C. Manufacturing Chemists' Association, Inc. Crass, Maurice F. , Jr. Decker, George H. Marny Company, Inc. Marvin, Theodore Mobil Chemical Company Fennebresque, John D. Monsanto Company Brandenburger, Roy L. Gillis, John L. Morton Chemical Company Rich, Joseph E. The Mountain Copper Co. , Ltd. Matzinger, C. Parkes Nalco Chemical Company Braithwaite, David G. Jones, Thomas C. Reichhold Chemicals, Inc. Reece, M. W. Richfield Oil Corporation Day, C. A. Stauffer Chemical Company Albright, A. E. Ellis, D. G. Gunder, Roger W. Stauffer, Hans de Guigne, Christian Texaco Inc. Granville, M. F. Union Carbide Corporation Hearn, Norman J. Rush, Kenneth United States Borax & Chemical Corpj Anton, George L. Fletcher, John E. Witco Chemical Company, Inc. Minnig, Rf. A. Wyandotte Chemicals Corporation Cremers, Bert Semple, Robert B. CMA 068515 EXHIBIT B STAFF REPORT March 9, 1966 Presented by General G. H. Decker Federal Matters On February 23 the President sent Congress a message containing extensive anti-pollution and conservation proposals. The message was given wide coverage and editorial endorsement by news media, further indicating to us that the subject will constitute a major problem for the industry during the years ahead. The message included a plan to transfer Federal water pollution control ac tivities from the Department of Health, Education, and Welfare to the Department of the Interior. Also proposed was a Clean Rivers Demonstration Program to unite into a permanent organization, representing communities and cities and-working closely with the Federal Government, all water pollution control activities with in a single river basin. The President requested $50 million in the next fiscal year to begin this program and $150 million to carry on the existing Federal pro gram of grants for construction of local waste treatment facilities. The President recommended legislation substantially strengthening, acceler ating, and extending Federal enforcement authority. The detailed provisions are presented in the Association's Federal Legislative Bulletin. On February 18, prior to the President's message, Senator Muskie introduced S. 2947, a bill to carry out the legislative recommendations of his Subcommittee on Air and Water Pollution, as reported at the Board's February meeting. The ma jor appropriation provides for $6 billion in Federal grants for sewage treatment construction through 1972, escalating from the $150 million requested by the President for Fiscal 1967 to $1.5 billion for Fiscal 1972. At his press conference on February 26 the President announced that he has appointed Mr. James M. Quigley to be Commissioner, Federal Water Pollution Control Administration. At the same conference he stated that he is sending a fact-finding mission to the Federal Republic of Germany to study natural resource management. Secretary of the Interior Udall will head the mission and will be accompanied by high ranking officials from State and HEW. On February 23 the House passed by a vote of 246 to 146 H. R. 12752, which contains the President's tax package, including acceleration of corporate tax pay ments, graduated withholding for individuals, and reimposition of automobile and phone excises. The only House change was to provide relief from higher withholding rates for individuals having estimated deductions exceeding certain percentages of their estimated income. The Senate Finance Committee started hearings on the measure on February 25 and reported it favorably on March 1 after defeating Senator Gore's ammendment to suspend the investment credit for two years in lieu of re imposing automobile and telephone excises. Senator Gore then offered his amendment on the floor on Monday. It was rejected yesterday by a vote of 74 - 10. As you know, on February 16th the Association sent a letter to MCA Executive Contacts, together with a position paper on H. R. 8282, a bill to amend the Un employment Compensation Law. Members were urged to advise their Representatives of their opposition to the bill's objectionable features. MCA plans to write Chairman Mills and members of the House Ways and Means Committee, explaining its position, in advance of their Executive Sessions, expected to start this month. Last October, Representative Willis, Chairman of a Special Judiciary Sub committee on Interstate Taxation, introduced H, R. 11798, a bill to establish uni form requirements for taxation of interstate commerce. The Association's Tax Policy Committee has reviewed the bill and recommends that it be opposed and suggests that legislation on the subject be merely a modification of present jurisdictional rules. Hearings on the bill already are under way. Most state authorities and large state manufacturing groups oppose it, while representatives of smaller groups favor it. Mr. M. S. Pans ini of Hooker has been selected as the MCA spokesman, and he and Mr. Ray Sherfy, Special Tax Counsel, are tentatively scheduled to appear March 24. State Legislative Developments At the request of the Air Quality Committee a telegram was sent by MCA on February 9 to chairmen of the Colorado House and Senate committees considering air pollution legislation. The Association urged the Legislature to reject the prin ciple of writing air pollution control standards into law, emphasizing there is more flexibility if standards are set by administrative action. As finally passed by both Houses, the measure did contain a standards section, although it was less severe than that originally proposed. MCA has been assured there will be provision for variances. Briefings for Industry As reported in our General Bulletin, the Department of Defense and the Nation al Security Industrial Association have announced a new series of unclassified re gional Advanced Planning Briefings for Industry in Boston, Atlanta, St. Louis, San Francisco, and Washington, D. C., during March and April. Similar in purpose and scope to the 1965 briefings, the sessions will provide an up-to-date picture of long-range defense development needs and assist industry in seeking defense con tracts. Advance registrations are being handled by the National Security Industrial Association's Washington headquarters. Transportation The Interstate Commerce Commission issued Order No. 69 under ICC Docket No. 3666 dealing with exterior markings for motor vehicles containing explosives and other dangerous articles. Many MCA views and recommendations concerning the proposed ex terior markings were adopted by the Commission. Placards will be required September 1, 1966; permanent markings on vehicles must be repainted by January 1, 1967 On February 23 MCA filed its exceptions to the ICC Examiner's Recommended Re port and Order issued December 23, 1965, re tank car mileage. Principal exception was to the recommendation to reduce freight rates and eliminate mileage allowances. This alternate solution contradicts the very principles the Examiner recognized as essential to a fair method of tank car compensation; it also would complicate pric ing policies and disrupt marketing relationships of individual chemical producers. Other important points to which MCA took exception were (1) failure of the examiner to prescribe, upon the present record, specific allowances to become effective upon issuance of the Commission's final order, and (2) that he erred in finding a $25,000 ceiling on car values to be reasonable. CMA 068517 3 The second short course on Explosion Problems in the Chemical Industry was held at the Bureau of Mines, Pittsburgh, Pa., during the week of March 7. Water Resources Announcements have been distributed for the next Technical Seminar on Water Pollution Control in the Chemical Industry to be held at Manhattan College, New York City, April 11-16. Nearly half of the subscription quota for this Semi nar has already been filled. Accordingly, the Water Resources Committee is arrang ing for the program's continuation with four or five regionally located seminars during the coming fiscal year. The first is planned at the University of Texas in early fall. MCA member company plants in Pennsylvania, Delaware and New Jersey have been notified of the Delaware River Basin Water Quality Workshop in Philadelphia, Pa., on March 31. This is MCA's 20th workshop on water pollution control, arranged in this instance jointly with the Chemical Industry Council of Eastern Pennsylvania and co-sponsored by Pennsylvania Manufacturers' Association, Pennsylvania State Chamber of Commerce, and Water Resources Association of the Delaware River Basin. In the planning stage is a May 26 workshop at Hartford, Conn., being developed in cooperation with the Chemical Industry Council of Connecticut. Along with other major trade associations, MCA is supporting a joint effort of NAM and the Chamber of Commerce of the United States in planning seven regional meetings in late March and April to marshal and coordinate support from the business community in the various states in order to establish water quality standards under the Federal Water Quality Act of 1965. Media Relations Media support for MCA technical activities, particularly water pollution control, has been quite good. For example, a press conference was held in Atlanta in connec tion with the MCA-sponsored water pollution seminar conducted at Georgia Tech the week of February 14. Local newspapers and TV stations covered the press conference. In news stories and TV news films, the chemical industry's efforts to cooperate with state officials in water pollution control were emphasized. CIC Activities Concern has been expressed by several Members of the Association over certain inequities inherent in the present method of CIC financing. The CIC Advisory Com mittee has this matter under advisement and will probably develop a recommendation at its March 17 meeting for consideration by the Board. Education As in past years, MCA is offering its assistance to instructors of chemistry at summer institutes sponsored by the National Science Foundation. The Association is sending 126 directors of those institutes samples of its aid-to-education materials and is inviting requests for quantities sufficient to supply all teachers in attend ance. In this fashion MCA not only serves aspiring instructors in the field but also makes its services better known throughout the country. CMA 068518 4 The continuing demand from schools, colleges and industry has necessitated a second printing of the chemical laboratory safety posters. The initial printing of 5,000 sets is now exhausted and income from sales has put the project on a selfliquidating basis. CMA 068519 Exhibit C Report to the Board of Directors of the Manufacturing Chemists' Association, Inc. By D. G. Ellis, Chairman Chemical Industry Council of Northern California March 9, 1966 Two years ago the Ad Hoc committee set up by the MCA Directors for that purpose held a kick-off luncheon in San Francisco to announce its firm decision to establish CIC activities in the West. Chairmen and officers, constituting steering committees, were selected, and speakers familiar with CIC's elsewhere defined objectives for the new councils. Early meetings of these steering committees, including several joint sessions attended by all three groups (Pacific Northwest, Southern California and Northern California) were primarily concerned with a more detailed definition of purposes and objectives, and with the development of a program aimed at the fulfillment of these objectives. If the need for CIC was based on the need for improvement in the public image of the chemical industry, it was apparent that the results of a poor image were recognizable in certain specific ways -- 1) unsympathetic and fictional reporting in the public press leading to the popular mis conception that we are smelly, mysterious concocters of dangerous and poisonous potions with which we pollute the atmosphere and streams and, in the transportation of which, present a menacing hazard to the public; and 2) an almost complete lack of interest on the part of our young men and women in seeking a career in our industry. All three Western CIC's proceeded to develop programs of action de signed to attack these two problem areas in a positive way. Typical of these programs, the one for Northern California included formation of a speakers bureau, an education committee, a public relations committee and retention of professional public relations counsel. The speakers bureau has expanded to number about twenty active speakers, and current requests from service clubs, luncheon groups, trade associations, chambers of commerce, etc. average four to five per month and will hit a record of better than fifteen in the next thirty-day period. The education committee staged dinners in four counties last year for high school science teachers and counselors, with attendance averaging better than 100 at each dinner. A speaker and panelists presented the industry story and its desire to stimulate interest in careers in science. The response was enthusiastic and the teachers had many suggestions. Based on what was learned, a program has been activated for this year consisting of panels of three or four from CIC prepared with demonstrations and a stimulating presenta tion who spend a full day in each high school visiting with each chemistry class. We are also participating in vocational guidance centers organized by the school depart ments in two counties and in the MCA high school science teacher award, CIC in the PNW is running concurrent teacher award programs in Oregon and Washington and will present the Oregon award at the annual dinner of the Oregon Museum of Science and Industry. The East Contra Costa County CIC, in existence since early in the 1950's and supported actively by the seven major com panies with operations in the Sacramento-San Joaquin Delta area, has staged a highly CMA 068520 2 successful science project contest in the intermediate and high schools of the area for many years and is also participating in the science teacher award program. In Southern California CIC has worked actively with the Los Angeles City Science Project Center program, with the Industrial Trade Fair, and is participating in the science teacher award program. Chemical Week was celebrated in Southern California with a public luncheon at which Wm. C. Foster, Director, U. S. Arms Control and Disarma ment Agency was speaker, and in Northern California similarly with Dr. Glenn Seaborg, Chairman, Atomic Energy Commission, as speaker. Both were outstand ingly successful and luncheons will be held again this year. Feature articles in the press and participation in TV and radio panels will also highlight the week. Working with MCA, Water Pollution Control Workshops were held in Los Angeles, San Francisco and Seattle in December and were all remarkably successful, with attendance of approximately 150 at each. Press coverage was sympathetic to the industry's efforts in pollution control and to its courage in sponsoring the workshops and accepting its responsibilities. In the PNW, a full time Air and Water Resources Committee has been formed to work with legislative and control agencies, and has been approached by the University of Washington relative to staging a water pollution seminar there. I have not attempted to cover all of the details of the programs in any of the three western areas, but hope the above is sufficient to acquaint you with the level of activity that has been achieved. Membership of 45-50 companies has supplied the many volunteers needed to carry on a program of this nature willingly and enthusiastically. Our decision that professional public relations counsel was a necessary part of the program has been verified -- we have estab lished thereby an identity with the press and other information media which will have continuity and will serve as a clearing house and contact point; the firms involved provide the great amount of clerical support and leg work necessary to keep a program moving, and give professional guidance to publicity releases which play such a vital part in achieving full effect from each activity. Budget-wise, there are problems but we have managed to keep head-above water. Northern California CIC has established a budget of $10, 000 for 1966, with a dues schedule (approximately $2.00 per employee) designed to achieve an income of approximately $12, 000. Southern California's budget is slightly less, and the FNW, operating without counsel because of the different nature of its area and program, has no budgetary problems. Major companies have questioned the burden imposed by paying CIC dues at several locations and if the CIC concept grows this problem will be aggravated. However, if w e want to do this job we must not be a pebble splashing in the ocean. Public and political acceptance of our industry is of vital importance and I am confident CIC as a concept can make great contributions at the community level towards this goal. Similarly, CIC appears to be a fine tool with which to work on the great shortage of technical graduates from our universities by exerting stimulating influence on youngsters in high school. With continued financial and manpower support the CIC's in the West should be able to build on the foundations now established into organizations of great effectiveness. CMA 068521