(13) Aided or abetted a licensed or an unlicensed person to evade the provisions of this chapter, combined or conspired with such a licensed or unlicensed person to evade the provisions of this chapter, or allowed one's license to be used by an unlicensed person;

(14) Made false or misleading statements during or after an inspection concerning any infestation or infection of pests found on land; or

(15) Impersonated any state, county, or city inspector or official.

Section 13. Surety Bond or Insurance Required of Pesticide Applicator Licensee. The shall not issue a pesticide applicator's license until the applicant has furnished evidence of financial responsibility with the consisting of either a surety bond; or a liability insurance policy or certification thereof, protecting persons who may suffer legal damages as a result of the operations of the applicant: Provided, That such surety bond or liability insurance policy need not apply to damages or injury to agricultural crops, plants or land being worked upon by the applicant.

(A) Amount of Bond or Insurance Required-Notice of Reduction or Cancellation by Surety or Insurer. The amount of the surety bond or liability insurance as provided for in this section shall be not less than $ for property damage and public liability insurance, each separately, and including loss or damage arising out of the actual use of any pesticide. Such surety bond or liability insurance shall be maintained at not less than that sum at all times during the licensed period. The shall be notified ten days prior to any reduction at the request of the applicant or cancellation of such surety bond or liability insurance by the surety or insurer: Provided, That the total and aggregate of the surety and insurer for all claims shall be limited to the face of the bond or liability insurance policy: Provided, further, That the may accept a liability insurance policy or surety bond in the proper sum which has a deductible clause in an amount not exceeding $ for aerial applicators and $ for all other applicators for the total amount of liability insurance or surety bond required herein: And provided further, That if the applicant has not satisfied the requirement of the deductible amount in any prior legal claim such deductible clause shall not be accepted by the unless such applicant furnishes the

with a surety bond or liability insurance which shall satisfy the amount of the deductible as to all claims that may arise in his application of pesticides. (B) Cancellation of License when Bond or Insurance Reduced Below Minimum Requirements.

Should the surety furnished become unsatisfactory, said applicant shall upon notice execute a new bond or insurance and shall he fail to do so, the shall cancel his license and give him notice of said fact and it shall be unlawful thereafter for such person to engage in said business of applying pesticides until the bond or insurance is brought into compliance with the requirements of Section 13 (A) and his license is reinstated by the

(C) Personal Liability for Damage. Nothing in this Act shall be construed to relieve any person from liability for any damage to the person or lands of another caused by the use of pesticides even though such use conforms to the rules and regulations of the

Section 14. Damaged Person Must File Report of Loss-Contents-Time for Filing-Effect of Failure to File. The person claiming damages from pesticide application shall have filed with the a written statement claiming that he has within sixty (60) days after

been damaged, on a form prescribed by the the date that damages occurred, or prior to the time that twenty-five (25) percent of a crop damaged shall have been harvested. Such statement shall contain, but shall not be limited thereto, the name of the person responsible for the application of said pesticide, the name of the owner or lessee of the land on which the crop is grown and for which damages are claimed and the date on which it is alleged that the damage occurred. The shall prepare a form to be furnished to persons to be used in such cases and such form shall contain such other requirements as the may deem proper. The shall, upon receipt of such statement, notify the licensee and the owner or lessee of the land or other person who may be charged with the responsibility, for damages claimed, and furnish copies of such statements as may be requested. The filing of such report or the failure to file such a report need not be alleged in any complaint which might be filed in a court of law, and the failure to file the report shall not be considered any bar to the maintenance of any criminal or civil action. The failure to file such a report shall not be a violation of this Act. However, if the person failing to file such report is the only one injured from such use or application of a pesticide by others, the may,

when in the public interest, refuse to hold a hearing for the denial, suspension, or revocation of a license or permit issued under this Act until such report is filed. Where damage is alleged to have been done, the claimant shall permit the licensee and his representatives, such as bondsman or insurer to observe within reasonable hours the lands or non-target organism alleged to have been damaged in order that such damage may be examined. Failure of the claimant to permit such observation and examination of the damaged lands shall automatically bar the claim against the licensee.

Section 15. Licenses to Keep Records-Duration-Submission to

The shall require licensees to maintain records with respect to applications of pesticides. Such relevant information as the may deem necessary may be specified by regulation. Such records shall be kept for a period of 2 years from the date of the application of the pesticide to which such records refer, and the shall, upon request in writing, be furnished with a copy of such records forthwith by the licensee. Section 16. Inspection of Equipment. The of any equipment used for application of pesticides and may require repairs or other changes before its further use for pesticide application. A list of requirements that equipment shall meet may be adopted by regulation.

may provide for inspection

Option Section 17. License Plates for Equipment. All licensed equipment shall be identified by a license plate or decal furnished by the at no cost to the licensee, which plate shall be affixed in a location and manner upon such equipment as prescribed by the

Option Section 18. Reciprocal Agreement. The may issue a license on a reciprocal basis with other states without examination to a non-resident who is licensed in another state substantially in accordance with the provisions of this Act; Provided, That financial security as provided for in Section 13 of this Act is met.

Section 19. Exemptions.

Option (A) Farmer Exemption. The provisions of this Act relating to licenses and requirements for their issuance shall not apply to any farmer owner of ground equipment applying pesticides for himself or his farmer neighbors; Provided, That

1. He operates farm property and operates and maintains pesticide application equipment primarily for his own use.

2. He is not regularly engaged in the business of applying pesticides for hire amounting to a principal or regular occupation and that he shall not publicly hold himself out as a pesticide applicator.

3. He operates his pesticide application equipment only in the vicinity of his own property and for the accommodation of his neighbors. Option (B) Landscape Gardener Exemption. The provisions of this Act shall not apply to any person using hand-powered equipment, devices, or contriv ances to apply pesticides to lawns, or to ornamental shrubs and trees not in excess of twelve feet high, as an incidental part of his business of taking care of household laws and yards for renumeration: Provided, That such person shall not publicly hold himself out as being in the business of applying pesticides. Option (C) PCO Exemption. (Note: The following exemption should be used only if another statute regulates this classification.) This Act shall not apply to persons applying pesticides only to prevent, destroy, repel, or mitigate insects or fungi within or under buildings or within vehicles, ships, aircraft, or other means of transporting persons or property by land, water, or air.

Option (D) Research Exemption. This Act shall not apply to bona fide research on pesticides conducted by state, federal, or private institutions and organizations. Personnel engaged in such research, and those working under their direct supervision, shall not be required to comply with any licensing provisions of this Act with respect to such research.

Section 20. Discarding and Storing of Pesticides and Pesticide Containers. No person shall discard or store any pesticide or pesticide containers in such a manner as to cause injury to humans, vegetation, crops, livestock, wildlife pollinating insects or to pollute any waterway in a way harmful to any wildlife therein. The may promulgate rules and regulations governing the discarding and storing of such pesticides or pesticide containers.

Option Section 21. Pesticide Advisory Board-Composition, Terms. There is hereby created a pesticide advisory board consisting of three licensed pesticide applicators residing in the state, one shall be licensed to operate ground equipment, one shall be licensed to operate aerial equipment, and one shall be

state

licensed for structural pest control; one entomologist in public service; one environmental health specialist from the state department of health; one toxicologist in public service; one plant pathologist in public service; one member from the agricultural chemical industry; one member from the food processing industry; two producers of agricultural crops or products on which pesticides are applied or which may be affected by the application of pesticides; one representative of the state department of agriculture; and one representative of the agency responsible for the protection of fish and wildlife. Such members shall be appointed by the governor for terms of four years and may be appointed for successive four year terms at the discretion of the governor. The governor may remove any member of the board prior to the expiration of his term of appointment for cause: Provided, That at the inception of this chapter the governor shall appoint four members which shall not include two members from any one representative group for a period of two years; four members for a period of three years which shall not include two members from any one representative group; and five members for a period of four years which shall not include two members from any one representative group. All subsequent terms for appointments to such board shall be for a period of four years.

(A) Vacancies. Upon the death, resignation, or removal for cause of any member of the board, the governor shall fill such vacancy, within thirty days of its creation, for the remainder of its term in the manner herein prescribed for appointment to the board.

(B) General Powers and Duties. The board shall advise the

on any or all problems relating to the use and application of pesticides in the state. (C) Officers-Meetings. The board shall elect one of its members chairman. The members of the board shall meet at such time and at such place as shall be specified by the call of the chairman, or a majority of the board. Section 22. Legal Recourse. Any person aggrieved by any action of the may obtain a review thereof by filing in the court within thirty (30) days of notice of the action a written petition praying that the action of the be set aside. A copy of such petition shall forthwith be delivered to the and within days thereafter the shall certify and file in the court a transcript of any record pertaining thereto, including a transcript of evidence received, whereupon the court shall have jurisdiction to affirm, set aside or modify the action of the except that the findings of the as to the facts, if supported by substantial evidence, shall be conclusive. Section 23. Information. The may, in cooperation with the Land Grant College (University) publish information and conduct short courses of instruction in the safe use and application of pesticides.

Section 24. Penalty. Any person violating the provisions of this Act or the Regulations issued hereunder shall be guilty of a misdemeanor. (The amount of the fine or term of imprisonment per penalty will depend on the situation in the state concerned.)

Section 25. Subpoenas. The may issue subpoenas to compel the attendance of witnesses and/or production of books, documents, and records anywhere in the state in any hearing under section 12 [affecting the authority or privilege granted by] a license or permit issued under the provisions of this Act. Section 26. Enforcement. For the purpose of carrying out the provisions of this Act the may enter upon any public or private premises at reasonable

times, in order: (1) To have access for the purpose of inspecting any equipment subject to this Act and such premises on which such equipment is kept or stored; or (2) To inspect lands actually or reported to be exposed to pesticides; or (3) To inspect storage or disposal areas; or

(4) To inspect or investigate complaints of injury to humans or land; or (5) To sample pesticides being applied or to be applied.

Should the

be denied access to any land where such access was sought for the purposes set forth in this Act, he may apply to any court of competent jurisdiction for a search warrant authorizing access to such land for said purposes. The court may issue the search warrant for the purposes requested upon showing of proper cause.

The -, with or without the aid and advice of the County or District Attorney, is charged with the duty of enforcing the requirements of this Act and

any rules or regulations issued hereunder. In the event a County or District Attorney refused to act on behalf of the the Attorney General shall so act.

by this

The may bring an action to enjoin the violation or threatened violation of any provision of this Act or any rule made pursuant to this Act in the superior court of the county in which such violation occurs or is about to occur. Section 27. Delegation of Duties. The functions vested in the Act may be delegated by him to such employees of the department or agents as the may from time to time designate for such purposes. Section 28. Cooperation. The may cooperate or enter into formal agreements with any other agency or educational institution of this state or its subdivisions or with any agency of any other state or of the federal government for the purpose of carrying out the provisions of this Act and of securing uniformity of Regulations.

Section 29. Separability. If any provision of this Act is declared unconstitutional, or the applicability thereof to any person or circumstances is held invalid, by a court of competent jurisdiction, the constitutionality of the remainder of the Act and the applicability thereof to other persons and circumstances shall not be affected thereby.

Section 30. Repeal. All Acts and parts of Acts inconsistent with this Act are hereby expressly repealed.

Section 31. Effective Date. This Act shall become effective

Senator ALLEN. Mr. Jack Copeland who was to testify tomorrow is our next witness.

We will take you now, Mr. Copeland.
Go ahead, sir.

STATEMENT OF J. G. COPELAND, JR., GENERAL MANAGER, SYNTHETICS DEPARTMENT, HERCULES, INC., WILMINGTON, DEL.

Mr. COPELAND. Thank you, sir, I sure appreciate it. It's been a long day for you and we appreciate your letting us come now to testify.

I have three associates here to help me answer questions, Mr. Kenneth Givens, Mr. John Kuniholm, and Mr. Charles Dunn. They will try to help me answer questions if we get too technical. I am not an entomologist.

Senator ALLEN. I doubt if we are going to have any lengthy questioning.

Mr. COPELAND. If you would like to ask questions of us as we go through our presentation, this will be perfectly all right, Senator. If it would expedite things we will be glad to answer them as we go through our statement, Mr. Chairman.

Senator ALLEN. Thank you.

Mr. COPELAND. My name is Jack G. Copeland, Jr. I am a member of the board of directors of Hercules Inc. of Wilmington, Del., and general manager of the department of Hercules responsible for the company's agricultural chemicals products, which include a variety of pesticides and nitrogen-based fertilizers.

I am also a director of the National Agricultural Chemical Association.

I have brought with me today, Mr. John G. Kuniholm, Sr., counsel; Mr. Charles L. Dunn, manager of ecological research, and Mr. Kenneth T. Givens, manager of market development for agricultural chemicals.

All of them have been employed by Hercules for many years, particularly as their employment pertains to agriculture, and I am sure we can answer most anything you would like to ask us.

Hercules has been involved with pesticides for 31 years, and total sales of all our agricultural products in 1970 were about $40 million. While this is something less than 5 percent of our company's total sales, we consider Hercules a leader in this industry, judged by the quality of our products and their acceptance by the farmers.

Hercules supports the intelligent regulation of the pesticide industry. Because farmers have looked to Hercules for products, that they can depend on, for many years, I think it is our responsibility to them to appear before you today.

If you take certain magazines, newspapers, and TV reports at face value, chemical companies are enriching themselves while poisoning the environment for the opportunity of making lots of money. The truth is, gentlemen, that if all chemical companies dropped their agricultural lines, only a few would have an appreciable loss in earnings. Most companies do have at least one winner in their line. In our case, it is toxaphene, chlorinated camphene, technically a chlorinated hydrocarbon insecticide, that would be outlawed if S. 232 becomes law. Senator ALLEN. Now, as I suggested to Mr. Conner, Mr. Ruckelshaus is not even proposing enactment of S. 232.

Mr. COPELAND. We are delighted to hear that.

Senator ALLEN. He feels that that would be contingent on the adoption of S. 745 because he feels that that would give him enough power to regulate the pesticides covered by S. 232.

Mr. COPELAND. Yes, sir. We have a number of comments about S. 745 very shortly.

Senator ALLEN. Yes, sir.

Mr. COPELAND. The profits from that one winning product support the research and development that has produced other productsperhaps not spectacular ones-but materials that do a variety of worthwhile jobs-jobs that would involve back-breaking labor or that just might never get done. Some of these utility products make a modest profit; many are marginal; but, they keep the industry going. No company has several winners in its catalog, and the odds against any company developing several winners are astronomical. Why, then, you have asked, with management lukewarm, with conservationists militant, and the public apprehensive, do the companies stay in this thankless business. The real answer lies in the potential of agriculture. If you agree the population will soon outstrip the present ability of agriculture to feed and clothe them, then agriculture faces the biggest challenge this planet ever dreamed of. It is this potential that businessmen cannot turn their backs on.

Who knows, perhaps the miracle pesticide is just around the corner. Perhaps it will control all the bad pests, leave no harmful residues, even actually improve the environment. The odds against this are staggering. In the meantime, we will have to use the concept of "benefit versus risk" in seeing to it that a proper balance is reached between the benefits accruing from agricultural chemicals and the risk of damaging the environment.

Senator ALLEN. You say "we will have to use that concept." Mr. COPELAND. I mean we the people of the United States. Senator ALLEN. And, of course, specifically the agency itself, the one that is charged with the duty of enforcing whatever law is or the statute books.