M MARRIAGES Plural, prohibited, § 3 MUNICIPAL COUNCILS Transfer of functions, property, etc., to legislature, § 10 MUNICIPAL COURTS Jursidiction, § 23 Powers of, source, § 21 Disposition of, generally, § 28 R Government, certification of by Government comptroller, § 17 RULES OF CIVIL PROCEDURE; FEDERAL District court, § 25 Mr. BURTON. The distinguished gentleman from Pennsylvania, our ranking minority member of the full committee is here, and I at this time recognize Congressman Saylor. Mr. SAYLOR. At this point I yield to my colleague from Alaska, Mr. Begich. He has been here from the beginning. Mr. BEGICH. Thank you for yielding, Mr. Chairman. I have a feeling one of the ways to become a ranking member of this committee is to stay until the end, and then you become the ranking member. I just have a couple of very quick questions. I am interested, Mr. Chairman, in the relationship that one of the gentlemen spoke about, regarding the Virgin Islands local funding. This is a new lesson that we've learned in regard to the Bulova Watch Co. 1 Can the record provide the details of the new standards for hiring local people, with the Bulova Watch Co., for example? 1 Mr. LOESCH. Yes, we can do that, Mr. Congressman. Mr. BURTON. What is your next question, Mr. Begich? Mr. BEGICH. My next question is, is there any way we can influence the local hiring policy with the Harvey Co. in the Virgin Islands and change that 8 to 1 to 400 relationship? Mr. LOESCH. Well, I can't answer that, but I can furnish it for the record. 1 See letter dated May 11, 1971 on p. 47. I can say without a doubt that a contract has been entered into in good faith by both parties. I question if it will be open for renegotiation at this time, but I will furnish for the record an answer to that question. (Information for the record follows:) U.S. DEPARTMENT OF THE INTERIOR, OFFICE OF THE SECRETARY, Washington, D.C., May 11, 1971. Hon. PHILLIP BURTON, House of Representatives, Washington, D.C. DEAR MR. BURTON: During the April 20, 1971, briefing session on territorial matters before the Interior and Insular Affairs Subcommittee on Territories, we were requested to furnish the following information regarding the agreement between Harvey Alumina Virgin Islands, Inc. and the Virgin Islands Government (copy of agreement dated January 1, 1962, attached): (1) What provisions are in the agreement requiring the hiring of Virgin Islands residents? (2) What action could be taken by the Department of the Interior to enforce these provisions? In response to the first question, Section 6, page 22, of the agreement sets out the requirement that 75% of Harvey Alumina employees shall be legal residents of the Virgin Islands. In addition, Section 6 of the agreement contains a clause allowing Harvey Alumina to reduce the percentage of Virgin Islands legal residents it must employ by certifying that legal residents of the Virgin Islands with the necessary ability to perform the services required, and in sufficient numbers, are not available within the Virgin Islands for employment. The Government of the Virgin Islands has the authority to review and, if deemed necessary, disapprove such certification. In response to the second question, since the agreement is between the Virgin Islands Government and Harvey Alumina, the responsibility for the enforcement of the agreement's provisions rests with the Virgin Islands Government. However, we plan to urge the Governor that he require strict compliance with the provisions of the agreement. Sincerely yours, HARRISON LOESCH, Assistant Secretary of the Interior. THIS AGREEMENT between the GOVERNMENT OF THE VIRGIN ISLANDS, herein called "the Government", and HARVEY ALUMINA VIRGIN ISLANDS, INC., a corporation, herein called "Harvey", existing under the laws of the Virgin Islands and wholly owned by HARVEY ALUMINUM (INCORPORATED), a corporation existing under the laws of California, herein called "Harvey Aluminum", WITNESSETH: WHEREAS, it is the policy of the Government to alleviate underemployment in the Virgin Islands, to improve the quality of employment through the offering of employment involving higher skills, to have established in the Virgin Islands self-sustaining business enterprises and to encourage the investment of capital in the Virgin Islands, all to the end that the economy of the Virgin Islands may rest on a broader base; and WHEREAS, Harvey and Harvey Aluminum desire to acquire and operate processing and other facilities for the production of alumina and related products in the Caribbean area which Harvey anticipates will require the expenditure of $25,000,000, more or less, and (as reflected in the project information previously submitted by Harvey to the Government and referred to below) provide employment to approximately 400 persons; and 1962 REGULAR SESSION Act No. 814 WHEREAS, Harvey and Harvey Aluminum are willing to locate such facilities in the Virgin Islands, but only at the request and with the authorization of the Government and in accordance with other terms and provisions, all as set forth below; and WHEREAS, the Government considers that such facilities, if established, would promote the public interest by assisting in the economic development of the Virgin Islands; and WHEREAS, the Government after due investigation and consideration has determined that the construction and operation of such facilities would not be prejudicial to the health or welfare of the inhabitants of the Virgin Islands or to local property owners; and WHEREAS, as an inducement to Harvey and Harvey Aluminum to locate such facilities in the Virgin Islands, the Government is prepared to provide certain properties and a deep-water access channel in the vicinity of the Krause Lagoon area of St. Croix where it is presently contemplated that such facilities will be located, to grant certain tax exemptions and subsidies, and to comply with the other terms and provisions set forth below in order to authorize, facilitate and promote the establishment and operation of such facilities in the Virgin Islands; NOW, THEREFORE, the parties hereto mutually covenant and agree as follows: Alumina Development Site; Access Channel; 1. Alumina Development Site (A) To encourage and promote the investment of private capital in an alumina plant development on the Island of St. Croix in the Virgin Islands, the Government shall, subject to the approval of the Federal Aviation Agency of the United States Government, convey or cause to be conveyed to such designee or designees as may be specified by Harvey from among Harvey and its Affiliates (which shall include for the purposes of this Agreement Harvey Aluminum, Harvey and any person, firm or corporation, a majority of the voting rights or equity interest in which is owned directly or indirectly by either or both of them) certain properties (herein collectively called "the Government Properties") described in Annex A hereto. Such specification shall be made in writing by Harvey 63-584 O-71 - 10 |