Office of the Historian

56. Memorandum for the Record, by the President’s Deputy Assistant (Persons)1

Washington, February 2, 1956.

SUBJECT

  • OTC (President’s Conference with Congressman Jere Cooper, Chairman, House Ways and Means Committee, 10:00–10:30 am, Thursday, February 2, 1956)

Mr. Cooper advised the President that he was very strong for the OTC legislation and that he felt it was very much in the interest of the country to get it on the books. On the other hand, he wanted the President to know that the situation is tougher than it was when the House passed H. R. 1 by seven votes. At that time approximately two thirds of the Republicans and one-third of the Democrats voted against passage of this legislation (H.R.1). Mr. Cooper expressed the opinion that he would not be able to hold two thirds of the Democrats on the OTC bill; consequently, it was necessary to get more than one third of the Republicans. He reported that Mr. Rayburn and Mr. McCormack agreed with him that the Democrats [Page 169] would give OTC a good majority but that they could not hold as many as two thirds on their side of the aisle.

Mr. Cooper reported that he felt that he could report the bill from his Committee by a good majority but pointed out that H.R. 1 was reported out by a vote of twenty to five and still had extremely difficult sledding on the Floor of the House and that in his opinion OTC would have even more difficulty on the Floor of the House. He pointed out that the situation had been made worse by the drive of the textile and oil people against the proposal.

Mr. Cooper expressed his grave concern about the possible effect on the world situation of beginning efforts to pass OTC and failing in these efforts. He indicated that, in his opinion, it was a very high policy decision which must be made only by the President. The President replied that he had given this matter careful consideration and had concluded that we should go ahead and make every effort to enact OTC into law even though our efforts might result in failure. He stated that he thought our position before the world under these circumstances would be better than the circumstances of not having made an effort.

The President brought up the Weeks memorandum2 and it was agreed that it set forth the position for OTC in an excellent manner. Mr. Cooper, however, pointed out that in the matter of tariffs many of the members of the House had been “protectionists” for years and that it was extremely difficult to get them to look at the logic of a situation when the matter of tariffs came up.

Then ensued a discussion of the handling of the Hearings. The President stated that it was his opinion that if comprehensive hearings were held the facts brought out by the hearings should have a material influence on the Floor action. The President further advised Mr. Cooper that he personally would do everything that he could do, consistent with his position, to further the acceptance of the proposed legislation.

After some discussion, the following was agreed on:

(1)
Hearings would start the latter part of this month.
(2)
Practically all members of the President’s Cabinet would appear on behalf of the bill. In this connection it is realized that some Cabinet members would have only very brief statements. Mr. Dulles would lead off the Administration’s presentation.
(3)
Mr. Joseph Dodge would be asked to testify.
(4)
Efforts would be made to find two or more people from outside of the Government to testify in behalf of the bill.
(5)
The President indicated consideration would also be given to the possibility of having Mr. Herbert Hoover, Jr. testify.
(6)
It was agreed that as soon as the Administration’s program was worked up Mr. Cooper would be contacted and a specific date arranged for the beginning of hearings.

Wilton B. Persons3
  1. Source: Eisenhower Library, Whitman File, Eisenhower Diaries.↩
  2. The undated memorandum to the Cabinet by Secretary of Commerce Weeks entitled “Facts about the OTC” contained background information on the OTC and specific reasons why its enactment would benefit the United States. (Department of State, International Trade Files: Lot 57 D 284, OTC)↩
  3. Printed from a copy which bears this typed signature.↩