Mr. MCNIECE. Then I assume that in answering any question it would be permissible to clarify it by reading a particular section. Mr. HAYS. Surely. Mr. KоCH. The question now is whether you members would like to ask any questions with respect to any part of that report, or whether you would like to study it and ask some at a future time. Mr. GOODWIN. Mr. Hays. Mr. HAYS. I will surprise you by saying I have no questions. Mr. KOCH. Then you are excused for today. Mr. GOODWIN. Thank you very much for your presentation. Mr. WORMSER. Mr. Chairman, Miss Casey has been sworn, and I think probaby her oath can be considered to be continued. Mr. GOODWIN. I would say so. Mr. KOCH. Miss Casey, you have prepared a report. What is the title of that? TESTIMONY OF KATHRYN CASEY, LEGAL ANALYST, SPECIAL COMMITTEE TO INVESTIGATE TAX-EXEMPT FOUNDATIONS Miss CASEY. It is called Summary of Activities of Carnegie Corporation of New York, Carnegie Foundation for the Advancement of Teaching, the Rockefeller Foundation, the Rockefeller General Education Board. Mr. KOCH. That is a rather long document, and I understand unless the gentlemen wish, you have no desire to read that entire document, but there were certain paragraphs you felt you would like to read. Is that it? Miss CASEY. Yes. I don't have any intention of reading this entire document. I thought I might highlight some parts of it to give the members of the committee a background. I would like to say first of all that the object of this summary was to enable the committee to have the benefit of the research done and give them the facts taken from the foundations reports. Mr. KocH. First of all, may that report be considered in the record? Mr. GOODWIN. In the absence of objection, the report will be ordered inserted in the record. Mr. HAYS. Reserving the right to object, and I shall not object, I would just like to point out here that perhaps when some of the people representing the foundations come before us, they may have long prepared statements, and I hope there will be no objection to using the same procedure on them, unless some member of the committee wants it read. In other words, the thing I am interested in is that it is rather voluminous, and we have run to quite a few pages. I hope there will be no inclination to keep something out of the record when the minority has entered no objection to putting anything in the record that anyone thought was pertinent. Mr. GOODWIN. That certainly would be the idea of the present occupant of the Chair. I assume that it is the opinion of the staff that this material should be in the record. Mr. KоCH. Oh, yes. Mr. WORMSER. Mr. Hays, the only comment I would like to make on that is that I am asking these various foundations to give us copies sufficiently in advance so that we can at least know the material that they are going to bring up. If you have talked to any of them, I wish you would ask them to please do that. In some cases it is going to be a rather short job for them. In other cases, they have quite a lot of time. Mr. HAYS. Suppose they want to bring somebody in as the four professors were brought in, and they wanted to speak as they did, without any preparation? Mr. KOCH. Then they certainly should have the right to do that. There is no doubt about it. Mr. HAYS. I am concurring with you. Whenever they are going to have a prepared statement, they should be submitted in advance. I have no objection to that. Mr. GOODWIN. The Chairman assumes there will be no controversy over any question of this sort. (The statement Summary of Activities of Carnegie Corporation of New York, Carnegie Foundation for Advancement of Teaching, the Rockefeller Foundation, the Rockefeller General Education Board is as follows:) 49720-54-pt. 1—48 INTRODUCTION One of the objectives of the staff, as mentioned in Mr. Dodd's report, was to determine whether there was a common denominator, as it were, in relation to foundation purposes. A collateral objective was to determine, if possible, whether the activities of foundations might fall into certain definite classifications. 2 Upon examination of the material available in the Cox committee files it was apparent that it was insufficient to support a firm conclusion on this point; as were the various reference books available on foundations and their activities. After further study and discussion as to both the quickest and the most efficient method of securing sufficient information, it was decided to examine the activities of the first major foundations, to determine whether their activities could be classified, on the theory that such an examination would also serve the dual purpose of providing a guide for study of other foundations. With size of endowment and date organized as criteria, the selection of the agencies created by Andrew Carnegie and John D. Rockefeller were quite obvious choices, as will be seen by a glance at the following chronological list: Carnegie Institute (of Pittsburgh), 1896. Rockefeller Institute for Medical Research, 1901. Carnegie Institution of Washington, 1902. Rockefeller General Education Board, 1903. Carnegie Hero Fund Commission, 1904. Carnegie Foundation for the Advancement of Teaching, 1905. Carnegie Corporation of New York, 1911. The Rockefeller Foundation, 1918. The Laura Spelman Rockefeller Memorial, 1918. As a practical matter, the Carnegie Institute of Pittsburgh, the Carnegie Institution of Washington and the Carnegie Hero Fund Commission were eliminated as objects of study in relation to their fields of activity, because their purposes were so clearly specified and their activities confined thereto. On the theory that the document itself is the best evidence, the logical source of the best information was the records of the foundations themselves, as contained in their annual reports and similar publication. When it proved difficult to obtain these reports from the Library of Congress recourse was had to the foundations themselves. In the case of the two Rockefeller agencies-the foundation and the General Education Board-the president, Mr. Dean Rusk, upon request responded immediately and loaned to the committee copies of the annual reports of each of these organizations. In the case of the Carnegie Endowment for International Peace a request was made to permit studies of their records from the date of organization, to which Dr. Johnson, the president, agreed without hesitation, and every cooperation was extended in placing the records, minutes of meetings, and confidential reports at the committee's disposal. In the time available, it was not possible to cover in detail all the material available for those years, but extensive notes were made 1 Not only as to details, but also because it covered only the years 1936-51, inclusive. 2 In point of time. 3 In size of assets. Its activities were merged with those of the Rockefeller Foundation, 1928. Since only 1 copy was available for circulation, the other being for reference. and verbatim quotations extracted; Mr. Perkins, of the Carnegie Corporation had equally cooperated but, subsequently on special request, the Library of Congress permitted the reference copies of the yearbooks of the Corporation, the foundation and the endowment to be withdrawn from the Library for use at the committee's offices. In addition to these reports, the books and articles, including biographical material, available on both Mr. Rockefeller and Mr. Carnegie and their foundations, were consulted and studied." Based on these studies, and according to the records of the foundations themselves, it was concluded that their activities had been carried on in a handful of major areas, namely: I. Education. II. International affairs, including international law. III. Politics (in the sense that politics is the science of civil government.) V. Propaganda. VI. Economics. While some of these fields overlapped to a certain degree, that fact does not affect the validity of the technique of analysis, nor the statement of summation. I. EDUCATION GENERAL PURPOSE Part I of this summary is devoted to answering three questions: 1. Have these foundations carried on activities in the field of education? (a) At elementary level? (b) At secondary level? (c) At college and university level? 2. What have these activities been (at each of the levels noted)? 3. Did such activities have any evident or traceable effects in the educational field? Secondly, once the answers to these questions are determined, what is their relationship (if any) to education, in the light of the constitutional and historic attitudes with regard to it in this country? The activities relating to questions 1 and 2 will be summarized separately by foundation, for the entire period of its existence, in section 1. However, since the activities of all these organizations are parallel-at least in part-the effects of all in the educational field, and their relationship (if any) to the constitutional and historic viewpoint will be summarized and compared in section 2. GENERAL INFORMATION Of the Carnegie and Rockefeller organizations only one-the General Education Board of Rockefeller from its outset has operated exclusively in the field of education, in the sense of a relationship to institutions of learning, teaching, and so forth. In the sense that all Bibliography: Life of Andrew Carnegie (2 vols.), V. J. Hendrick: Forty years of Carnegie Giving, R. M. Lester; 30 Year Catalogue of Grants, R. M. Lester; Fruit of an Impulse, Howard J. Savage; Philanthropic Foundations and Higher Education, Ernest Victor Hollis The Story of the Rockefeller Foundation, Raymond Fosdick; History of the Standard Oil Co., Tarbell; American Foundations-Their Fields. 20th Century Fund; Philanthrophy and Learning, Frederick P. Keppel; Public Benefactions of Andrew Carnegie, Carnegie Corp.; The Foundation, Frederick P. Keppel. 1 Terminated operations at end of 1953. |