REPORTS OF THE PANEL CHAIRMEN 661 



interstate ABC system be so regulated as to bar the presence of auto 

 junkyards. 



We think, too, that there are other special points of Federal interest 

 in which the disbursement of public funds justifies exclusionary reg- 

 ulation. Washington, B.C. is one of these as part of its compre- 

 hensive program for beautification and, again, so are the approaches 

 to national parks and national monuments. At such points drastic 

 action is called for, including the payment of sums under eminent 

 domain. 



Federal grants should also be made available to civic groups and 

 industry associations for the purpose of a cleanup campaign and a 

 tree-planting campaign with specific reference to those plantings 

 necessary for wrecker yards. 



We think, too, that in view of the payoff that thus far has been 

 attained, an expanded program of combined government-industry 

 research should be undertaken. Technology can provide many of 

 the answers to the problems it raises. 



We recommend, also, that the Interstate Commerce Commission 

 examine into the rate structure to determine whether there is dis- 

 crimination against the shipping of scrap as opposed to iron ore, 

 which is its chief competitor in the steel mills. 



Turning to the recycling process and with emphasis on industry's 

 own efforts to accomplish the task of eliminating the unsightly junk- 

 yards and the abandoned cars in the streets, we recommend that pri- 

 vate industry should be given added impetus through tax credits and 

 other incentives to invest in new equipment and technology such as 

 the shredders, flatteners, and the like, which are making this scrap 

 more consumable by the steel mills. Our calculations indicate that 

 only a small subsidy is required by way of a variable disposal fee per 

 ton on car scrap. Specifically, as an initial phase, we recommend 

 that the Small Business Administration should authorize and set aside 

 a special fund allowance of $25 million for companies unable to 

 finance this purchase through their normal sources of funds. 



Finally, there is the incidence of the cost of the program on the 

 different components of the automobile industry, from production 

 to dismantling to its final obsolescence. It was generally thought 

 although this depends upon which member of which industry was 

 talking that the junkyard was a problem that should be related 

 directly to the automobile and to the automobile user. This is part 

 of the price of an automobile society. It seems appropriate that these 



