Recent actuarial projections included in the annual report indicate that, barring any large unanticipated declines in rail employment, the railroad retirement system will not experience short-term cash-flow problems. Board actuaries estimate that, based on Employee Retirement Income Security Act standards, the system has a $32 billion unfunded liability.

The long-term solvency of the railroad retirement system remains highly volatile. Refinancing legislation enacted in 1946, 1951, 1974, 1981, 1983, and 1987 serves as a reminder of this volatility. More recently, the Railroad Unemployment Insurance and Retirement Improvement Act of 1988 was enacted to ensure repayment of the unemployment insurance debt to the rail industry pension fund.

The Congress sought advice and created the Commission on Railroad Retirement Reform to examine issues relating to the long-term financing of the railroad retirement system. The Congress directed the advisory Commission to consider a range of financing alternatives that do not include general fund subsidies. Yet, as part of their fiscal year 1990 reconciliation bill, the Congress is once again considering extending general fund subsidies to the rail industry pension fund. Since 1983, over $1.2 billion in subsidies, in the form of diverted income taxes on rail industry pensions, have been given to the pension fund. Income tax on all other private pensions goes to the general fund. Under current law, this general fund subsidy provision will expire at the end of fiscal year 1989. Extending general fund subsidies establishes an undesirable precedent. I urge the Commission, in accordance with the congressional directive, not to recommend general fund subsidies in any form. In the long run, railroad retirees and employees will be best served by a financially stable system that relies solely on rail sector funding.

The White House, September 29, 1989.

George Bush

Proclamation 6030—To Provide for the Tariff Treatment of Goods From the Freely Associated States, To Implement Tariff Reductions on Certain Tropical Products, and for Other Purposes September 29, 1989

By the President of the United States of America

A Proclamation

1. Section 242 of the Compact of Free Association (the Compact) entered into by the Government of the United States and the Governments of the Marshall Islands and of the Federated States of Micronesia (the freely associated states), as given effect by section 401(a) of the Compact of Free Association Act of 1985 (the Association Act) (Public Law No. 99-239, 99 Stat. 1770), provides that upon implementation of the Compact the President shall proclaim dutyfree treatment for most products of the freely associated states, subject to the limitations provided in sections 503(b) and 504(c) of the Trade Act of 1974, as amended (the 1974 Act) (19 U.S.C. 2463(b) and 2464(c)).

2. Section 243 of the Compact, as given effect by section 401(b) of the Association Act, provides that certain articles imported from the freely associated states are to be excluded from the duty-free treatment proclaimed by the President and are to receive most-favored-nation treatment. In addition, section 401(a) of the Association Act sets restrictions on the aggregate quantity of canned tuna that may be entered free of duty in any calendar year. The foregoing exclusions and restrictions were set forth in terms of the former Tariff Schedules of the United States (TSUS) (19 U.S.C. 1202). The United States converted the TSUS to the Harmonized Tariff Schedule of the United States (HTS) effective January 1, 1989. Accordingly, the exclusions and restrictions set out in section 401 of the Association Act must be incorporated into the HTS. Further, certain technical rectifications to particular HTS provisions are necessary in order to designate such provisions correctly.

3. In accordance with section 401 of the Association Act, I have determined that the existing preferential tariff treatment provid

ed under the Generalized System of Preferences (GSP), pursuant to Title V of the 1974 Act, to products of the freely associated states should be terminated and that certain modifications and rectifications to the HTS are necessary in order to reflect the appropriate treatment of such articles under the Compact.

4. Pursuant to section 1102(a) of the Omnibus Trade and Competitiveness Act of 1988 (the 1988 Act) (19 U.S.C. 2902(a)), I have determined that one or more existing duties or other import restrictions of the United States are unduly burdening and restricting the foreign trade of the United States and that the purposes, policies, and objectives of Title I of the 1988 Act, (19 U.S.C. 2901 et seq.) will be promoted by entering into a trade agreement providing for the reduction of rates of duty applicable to imports of certain tropical products.

5. The requirements set forth in sections 125, 126(a), 131–135, and 161(b) of the 1974 Act (19 U.S.C. 2135, 2136(a), 2151-2155, and 2211(b)) have been complied with.

6. Pursuant to section 1102(a) of the 1988 Act, the President, through his duly empowered representative, on December 5, 1988, entered into a trade agreement with other contracting parties to the General Agreement on Tariffs and Trade (GATT) (61 Stat. (pts. 5 and 6)), as amended, consisting of a statement of negotiating results and schedules of concessions agreed upon by parties thereto, and implementing on a provisional basis tariff reductions on enumerated tropical products. A copy of the agreement and the attached schedule of United States concessions on such products is annexed to this Proclamation as part (b) of

Annex II.

7. Pursuant to the 1988 Act, I hereby determine that the modification or continuance of existing duties hereinafter proclaimed is required or appropriate to carry out the trade agreement on tropical products. Pending the successful conclusion of the Uruguay Round of Multilateral Trade Negotiations, I have decided to implement the United States tropical products concessions on a temporary basis.

8. Section 201(a) of the United StatesCanada Free-Trade Agreement Implementation Act of 1988 (the Implementation Act) (Public Law No. 100-449, 102 Stat. 1851)

authorizes the President to proclaim such modifications or continuance of any existing duty, such continuance of existing duty-free or excise treatment, or such additional duties, as the President determines to be necessary or appropriate to carry out Article 401 of the United States-Canada FreeTrade Agreement and the schedule of duty reductions with respect to goods originating in the territory of Canada set forth in Annexes 401.2 and 401.7 to the Agreement.

9. Pursuant to section 201(a) of the Implementation Act, I have determined that it is necessary to provide for the staged reduction in duties on certain plywood and certain motor vehicle equipment originating in the territory of Canada, and to correct an omission in Proclamation 5978 of May 12, 1989, of the staged reduction in duties on certain puzzles originating in the territory of Canada.

10. Section 1204(b) of the 1988 Act (19 U.S.C. 3004(b)) directs the President to proclaim such modifications to the HTS as are necessary or appropriate to implement the applicable provisions of executive actions taken after January 1, 1988, and before the effective date of the HTS, and such technical rectifications as the President considers necessary. Pursuant to the terms of section 1204(b)(1) of the 1988 Act (19 U.S.C. 3004(b)(1)), I have determined that certain technical rectifications to the HTS are necessary.

11. Section 604 of the 1974 Act (19 U.S.C. 2483) authorizes the President to embody in the HTS the substance of the provisions of that Act, and of other Acts affecting import treatment, and actions thereunder.

Now, Therefore, I, George Bush, President of the United States of America, acting under the authority vested in me by the Constitution and the statutes of the United States, including but not limited to section 401 of the Association Act, section 201 of the Implementation Act, sections 1102 and 1204(b) of the 1988 Act, and Title V and section 604 of the 1974 Act, do proclaim that:

(1) In order to provide for the tariff treatment of goods from the freely associated states, general note 3 to the HTS is modified as set forth in Annex I to this Proclamation.

(2) In order to implement the agreement on tropical products on a provisional basis, chapter 99 of the HTS is modified as set forth in Annex II(a) to this Proclamation.

(3) In order to implement the duty treatment provided by the United States-Canada Free-Trade Agreement for certain motor vehicle equipment, certain plywood, and certain puzzles originating in the territory of Canada, the HTS is modified as provided in Annex III to this Proclamation.

(4) In order to make technical rectifications in particular provisions, the HTS is modified as set forth in Annex IV to this Proclamation.

(5) Any provisions of previous proclamations and Executive orders inconsistent with the provisions of this Proclamation are hereby superseded to the extent of such inconsistency.

(6)(a) The amendments made by Annex I and IV(b) of this Proclamation shall be effective with respect to articles entered, or withdrawn from warehouse for consumption, on or after the date that is 15 days after the publication of this Proclamation in the Federal Register.

(b) The amendments made by Annex II(a) of this Proclamation shall be effective with respect to articles entered, or withdrawn from warehouse for consumption, on or after the dates specified in such Annex.

(c) The amendments made by Annex III of this Proclamation shall be effective with respect to goods originating in the territory of Canada which are entered, or withdrawn from warehouse for consumption, on or after the dates specified in such Annex.

(d) The amendments made by Annex IV(a) of this Proclamation shall be effective with respect to articles entered, or withdrawn from warehouse for consumption, on or after January 1, 1989.

In Witness Whereof, I have hereunto set my hand this twenty-eighth day of September, in the year of our Lord nineteen hundred and eighty-nine, and of the Independ

ence of the United States of America the two hundred and fourteenth.

George Bush

[Filed with the Office of the Federal Register, 4:29 p.m., September 29, 1989]

Proclamation 6031-National Quality Month, 1989

September 29, 1989

By the President of the United States of America

A Proclamation

Producing quality goods and services is crucial not only to the continued economic growth of the United States, but also to our national security and the well-being of each American family. Our Nation has long been recognized for its leadership in producing quality products. However, in recent years, the position of the United States as quality leader has been challenged by foreign competition in domestic and overseas markets.

Reasserting our leadership position will require a firm commitment to total quality management and the principle of continuous quality improvement. The United States can, and must, excel in this area, setting new standards for world-class quality and competing vigorously in international markets.

Improving quality takes time and resources and can only be achieved through a combination of factors. It takes a long-term commitment by management that involves working with suppliers to improve performance; educating, training, and motivating workers; developing accurate and responsive information systems; and establishing targets for quality improvement.

Quality improvement principles apply to small companies as well as large corporations, to service industries as well as manufacturing, and to the public sector as well as private enterprise. Improving the quality of goods and services goes hand in hand with improving productivity and lowering costs. It is also essential to enhancing worker fulfillment and customer satisfaction.

Private sector organizations and government institutions across the country are joining forces to promote a national commitment to excellence. At the national, regional, and local level, business executives and public officials are working together to develop the skills and techniques needed for producing quality goods and services.

As part of this important effort, the Federal Government is promoting quality

through such programs as the Malcolm Baldrige National Quality Award of the Department of Commerce, the Federal Quality Institute, the President's Council on Management Improvement, the Productivity Improvement Plan of the Department of Defense, and the NASA Excellence Award for Quality and Productivity.

The American Society for Quality Control-together with other national professional organizations, businesses, industries, government agencies, and academic institutions-is sponsoring activities in observance of "National Quality Month." These activities, focused on the theme of "Quality First," are designed to promote awareness of the importance of quality to production. and services throughout the United States. The Congress, by House Joint Resolution 204, has designated October as "National Quality Month" and has authorized and requested the President to issue a proclama

tion in observance of this month.

Now, Therefore, I, George Bush, President of the United States of America, do hereby proclaim October 1989 as National Quality Month. I call upon the people of the United States to observe this occasion with appropriate ceremonies and activities.

In Witness Whereof, I have hereunto set my hand this twenty-ninth day of September, in the year of our Lord nineteen hundred and eighty-nine, and of the Independence of the United States of America the two hundred and fourteenth.

George Bush

[Filed with the Office of the Federal Register, 10:53 a.m., October 2, 1989]

Proclamation 6032-Mental Illness
Awareness Week, 1989
September 29, 1989

By the President of the United States of America

A Proclamation

The 20th Century has been marked by major advances in medical research and technology. Today, we can easily prevent or cure many diseases that once proved to be

debilitating or even deadly. Because this remarkable scientific progress has included the study of mental illness, scientists and health care professionals now have a much greater understanding of such afflictions as depression, schizophrenia, phobias, and anxiety disorders.

During the past 10 years alone, our knowledge of mental illness has increased dramatically. Indeed, our ever-expanding knowledge of the brain might well be considered one of the most profound accomplishments of our time. That is why continued failure to diagnose or treat mental illness-and to accept and understand those who suffer from it-is so needless and so regrettable. Far too many mentally ill Americans are also victims of fear, prejudice, and distrust. Mental illness not only inhibits their ability to function normally in society, but also inflicts untold personal anguish upon them and their loved ones.

Frequently the result of biological or chemical disorders in the brain, mental illness can affect anyone-regardless of age, gender, race, or economic status. For a child or adolescent, a mental illness left untreated can mean years of torment, as well as lost opportunities to learn and grow. Adults who suffer from mental illness may not only lose their independence and ability to contribute, but also become strangers to their families and friends. Elderly victims can enjoy neither the comforts of retirement nor the well-earned respect and dignity rightfully afforded to our senior citizens. Tragically, the confusion, alienation, and loss of hope felt by some victims of mental illness-young and old alike-have even led them to take their own lives.

We can and we must-help the victims of mental illness. Of the millions of Americans who suffer from depression, well over half could benefit from proper treatment. Scientific research has produced treatments that can alleviate the hallucinations and delusions that haunt victims of schizophrenia. There are also treatments, including medications and various forms of psychotherapy, to allay crippling panic and anxiety disorders and to help patients overcome dysfunctional behavior patterns. Today, improved methods of diagnosis and care can

This week, we salute the dedicated scientists, health care professionals, and volunteers who are working hard to help solve the mysteries of mental illness and alleviate the suffering of its victims. In academic institutions, hospitals, and community-based mental health programs across the country, they are helping to destroy the myths and fears that prevent too many victims of mental illness from obtaining the help and compassion they need. All of us can assist their efforts by learning more about mental illness and by supporting continued research and effective treatment programs. Most important, however, we can help victims of mental illness and their families by giving them our encouragement and understanding.

In recognition of the importance of informing the public about mental illness and the needs of those who suffer from it, the Congress, by Senate Joint Resolution 55, has designated the week beginning October 1, 1989, as "Mental Illness Awareness Week" and has authorized and requested the President to issue a proclamation in observance of this event.

Now, Therefore, I, George Bush, President of the United States of America, do hereby proclaim the week of October 1 through October 7, 1989, as Mental Illness Awareness Week. I call upon all citizens of the United States to observe this week with appropriate ceremonies and activities designed to promote greater understanding of mental illness and its victims' need for effective treatment and rehabilitation.

In Witness Whereof, I have hereunto set my hand this twenty-ninth day of September, in the year of our Lord nineteen hundred and eighty-nine, and of the Independence of the United States of America the two hundred and fourteenth.

George Bush

[Filed with the Office of the Federal Register, 10:54 a.m., October 2, 1989]

September 29, 1989

By the President of the United States of America

A Proclamation

In this most fortunate of nations, millions of us can look with pride and gratitude upon happy, healthy children and grandchildren-children who are able to enjoy all the wonderful opportunities life offers. However, we cannot afford to forget that each year tens of thousands of children in this country die before reaching their first birthday.

Our hearts ache over this country's high rate of infant mortality, a rate that is all the more tragic because it occurs in a Nation that boasts one of the highest standards of living in the world. The statistics cannot reveal the suffering of bereaved parents, for their anguish is immeasurable. Nor can numbers reflect the costs incurred by our entire country. When the life of a child is destroyed, so, too, is the promise that he or she holds for our Nation's future. A society that fails to protect its most vulnerable members from harm suffers untold losses itself.

The failure of pregnant women to obtain adequate prenatal care is a major factor in our Nation's high infant mortality rate. While the government must not usurp the role of the family-and while it cannot fulfill parents' responsibilities in caring for their children—public officials at the Federal and State level are examining ways to help improve child health in the United States. Together with health care providers, insurers, and other concerned Americans, government officials have been working to develop ways to encourage more pregnant women to protect the lives of their unborn children through proper nutrition and prenatal care.

Already, advances in technology have enabled us to save the lives of babies who are born prematurely, or who develop dangerous illnesses and conditions while still in the womb. Scientific discoveries have helped us to reduce the incidence of some debilitating and life-threatening childhood diseases, and even eliminate others. Thanks to effective