September 10, 1975

Sec Kissinger has assured Israel privately, as part of new Egyptian-Israeli Sinai agreement, that US, within limits, will make every effort to be 'fully responsive' to Israel's defense, energy and econ needs; but actual language of US commitments seem less binding than Israel has sought; informant says many of key provisions of unpublished assurances and undertakings were qualified by references to need for Cong approval and limits on US resources; Kissinger illus (M)

US Govt officials rept that Fed officials responsible for integrity of US grain standards frequently have yielded to indus pressures and ordered unjustified upgrading of quality ratings for export shipments; pattern of actions by Fed aides favoring indus has emerged from ints with number of Agr Dept Grain Div officials; such a pattern previously had been ascribed publicly only to private inspectors licensed by dept; such inspectors have been among target of spreading investigation into alleged corruption in grain export trade; reptd actions by Fed officials, each involving large quantities of grain, resulted in substantial monetary benefits to shippers involved and victimized buyers; Grain Div officials Dir David R Galliart, former official W T Wisbeck, former Dir Howard H Woodworth, former official Bradley T Skeels, field office supervisor D G Dempewolf, regional supervisor John W Marshall and former official Murray Bell comment (L)

A teachers' strike crippled the city school system on the second day of the new term yesterday, forcing at least 260 schools to shut down and keeping nearly all of the 1.1 million pupils out of classes.

HR, 379-41, on Sept 9 overrides Pres Ford's veto of $7.9-billion educ appropriations bill; educ bill, along with health care bill passed over Ford's veto in July, is politically popular because of broad constituent support; will provide funds for all Fed aid for elementary, secondary and higher educ, plus programs in bilingual and voc educ, and student loans for yr ending June 30, plus advance funding of various educ programs to be paid in '76-77 fiscal yr (M)

NY-Albany-Buffalo rail corridor is getting 7 new French-designed turbine-powered trains capable of speed up to 125 mph, with 1st trains to be operating in summer of '76; new trains will make NYS a high-speed passenger service comparable to that in NY-Wash corridor; major upgrading of track and signal system will be necessary before new trains can operate; NYS's track improvement program now under way, using funds from '74 rail-preservation bond issue, noted; NYS Transportation Comr Raymond T Schuler to tell Amtrak pres Paul H Reistrup that millions more in Fed funds will be needed to achieve high-speed goals (M)