It is typical of the activities of this Office that every dollar spent by it produces a return in terms of the value of useful overseas information projects initiated by private American groups and organizations far in excess of the cost to the Government. The House Appropriations Committee recommended that only $170,000 be allowed for the Office of Private Cooperation for fiscal year 1956. This is $4,200 less than the amount budgeted for the office for the current fiscal year and $104,200 less than the amount requested by the Agency for fiscal year 1956. The House Appropriations Committee recommendation would require a reduction in personal services of $23,000, involving elimination of 3 positions out of the proposed staff of 23 and elimination of the planned use of occasional consultant services; it would also require elimination of $81,000 of the $99,000 requested for "seed" funds (funds to initiate and give impetus to private overseas information projects) and for how-to-do-it materials. In brief, the result would be to prevent any expansion of private cooperation activities. In particular, the following new activities would be crippled: 1. The program initiated in fiscal year 1955 under which American universities are asked to develop long-range affiliations with foreign universities for the purpose of exchanging materials. In fiscal year 1955, several universities agreed to form committees of students and faculty members to participate in this activity through the development of various projects in which American students would communicate directly with foreign students and would exchange student newspapers, newsletters, and other information. It was hoped that this activity could be expanded in fiscal year 1956 to include many more universities-but without token assistance to these institutions ("seed money") this will not be possible, since many American colleges and institutions do not have the resources to undertake such programs unaided. 2. The Agency's endeavor to develop a sizable community-participation program in which American towns and cities will exchange information with foreign towns and cities will be seriously hampered, unless the Agency is in a position to give necessary financial assistance to the participating communities from time to time. OFFICE OF GENERAL COUNSEL I think we also covered the Office of General Counsel, and the Public Information Staff is a matter of carrying on at about the same level, with $9,000 more, I believe, than the existing level. I would like at this point to insert a statement on the Public Information Staff. (The statement referred to follows:) PUBLIC INFORMATION STAFF The primary effort of this office is directed toward satisfying demands of representatives of the press, radio, television, and the general public for information about the United States Information Agency's activities. To facilitate meeting these requests, the Public Information Staff prepares and issues releases about the Agency's overseas information programs. These releases and other information furnished by the office are always factual in nature and in no sense whatsoever represent an attempt to "propagandize" the American public. This office has its counterpart in almost every other Government department and agency. The amount requested for the Public Information Staff for fiscal year 1956 ($172,300) amounts to only one-fifth of 1 percent of the Agency's total appropriation requests, and expenditure of a portion of these funds to keep the American public informed about the operations of the Agency is felt to be fully justified, on the basis that the public is continuously interested in the activities of the Agency and is entitled to know directly how and for what purposes the Agency is spending its funds. In addition to providing information about the Agency's operations to meet the requests of the American press, radio, and general public, 2 members of the staff handle requests for information and assistance from nearly 200 foreign correspondents whose stories appear in many influential publications abroad. The Public Information Staff is also responsible for preparing, coordinating, and editing the semiannual reports of the Agency to Congress required by Public Law 402, 80th Congress, and for preparing the Agency newspaper, the USIA News. The amount ($87,500) recommended by the House Appropriations Committee for the Public Information Staff for fiscal year 1956 is $75,800 less than the current budget ($163,400) and $84,800 less than the amount requested by the Agency for the fiscal year 1956 ($172,300). This recommendation would require almost a 50 percent reduction in the staff (from the 21 proposed to a total of not more than 12), together with a comparable reduction in program expenses. Among the specific activities which would have to be eliminated are the following: 1. The New York office, which serves the more than 200 foreign correspondents located in New York City, representing publications in 42 different countries, would have to be eliminated. This office operates primarily to assist foreign journalists in obtaining a better understanding of the United States, to provide accurate information about United States Government operations and policies as well as background news about current events in this country. Visiting foreign journalists are assisted in planning to travel while in the United States and receive help in meeting public officials and business and professional leaders in areas they intend to visit. Reports, documents, research, and special publications material are regularly provided to the foreign journalists at their request. The return from this activity, in terms of foreign news stories favorable to the United States, is substantial. 2. The Agency's newspaper, which is distributed to all employees, both Americans and foreign nationals, located throughout the world, would have to be discontinued. This newspaper has become recognized as an effective media for maintaining good morale among Agency employees stationed far from home. More important, it has become a channel through which distant posts exchange ideas for successful information projects and promotions. JUSTIFICATION FOR LANGUAGE AMENDMENTS REQUESTED The administration expense, while a substantial restoration in the amount of $111,000, is proportionate to the rest of the restoration, as is the administrative support to the Department of State. Those two items together are proportionate to the total amount requested to be restored. Senator KILGORE. Do you have anything further on the language? Mr. STREIBERT. On language, I have 2 or 3 items, if I may, that were not previously covered. They are minor in nature: One authority that we had in 1954 we requested in 1955 and it was denied, and the House report has again denied it. It is important to our operations and we do not really understand what there is against it. It is authority to pay travel expenses for dependents of alien employees. This is necessary for the Voice of America operations where, particularly in the Far East, we have to bring people over and we find we are not able to get the kind of people we want unless we are able to pay for the transportation of their dependents as well. It is a perfectly normal thing and we always used to do it. It is a little more important now because with the move of the Voice to Washington, we are unable to move some of these language specialists from New York, and we are going to have to get some 24 or 25 native language specialists from the Far East. It just makes it much more difficult if not impossible to get them unless we are able to pay transportation of their dependents. This sum would not exceed $30,000. It might run that high but would not exceed it. Senator GREEN. May I ask a question? Senator KILGORE. Yes. Senator GREEN. What do you mean by dependents? Suppose they have a dozen children of assorted ages. Mr. STREIBERT. Yes; just as if we send one of our people abroad. We pay for the transportation of their dependents even though they have large families. Senator GREEN. With no limit? Mr. STREIBERT. No limit. We average this estimate on the basis of two dependents. There is another item that is exceedingly minor but bothersome. In connection with attendance at official international conferences, I am glad to say we have been getting a more and more important role to play through cooperation with the State Department in official international conferences. Those conferences frequently have very forceful propaganda overtones and values and are certainly used by other nations for that purpose. We, therefore, wish to be well represented. It is customary in this field to permit the payment of travel expense to the individuals attending such conferences without limiting their expenses to standard per diem amounts. The per diem does not do much good in an atmosphere of an international conference, where you stay at big hotels and are around in that kind of expense problem. It, in fact, means that it costs our good people too much to assign them to an international conference. The total amount involved is $1,500 estimated, but it is just as important that we can have the kind of people representing us at these conferences that we should have and need. They are our own staff people. Senator KILGORE. Your estimate would only amount to $1,500? Mr. STREIBERT. That is right. We wish to have that authority to pay the travel expenses rather than have it limited to the standard per diem amount. Senator MUNDT. You mean the whole amount is $1,500? Mr. STREIBERT. That is additional cost over the standard per diem. Then, finally, the words "if possible" used in connection with the requirement to use not less than $8 million of foreign currencies. This is consistent with the same provision in the State Department appropriation, where the requirement to use foreign currencies contains the "if possible" qualification. We would like to have that "if possible" used. This is something that is governed primarily by the Treasury, but if it is a mandate that not less than $8 million of foreign currency must be used and there is no flexibility, it may limit our use of the appropriation to certain areas where we have the currencies and have to spend up to $8 million, and reduce the expenditures in other areas where we do not have the cur rency. Senator KILGORE. It might run up the expenditures where we have counterpart funds to the detriment of areas where we do not. Mr. STREIBERT. That is right. We use them wherever possible. Senator GREEN. Does that language do it? Mr. STREIBERT. Yes, the Budget Bureau passed it; just simply the insertion of the words "if possible.' Senator GREEN. To what does the "if possible" relate? Mr. STREIBERT. It is a requirement to use not less than $8 million to purchase foreign currencies or credits owed to or owned by the United States. Senator GREEN. What is the limitation, if you say "if possible," on the amount? Mr. STREIBERT. No, the limitation is on the requirement to use not less than $8 million to purchase foreign currencies. Senator GREEN. Where does the "if possible" go in? You made it very vague. Mr. STREIBERT. After $8,000,000. Use not less than $8 million "if possible" to purchase foreign currencies. Senator MUNDT. Should not the "if possible" be after the word "currencies"? Mr. STREIBERT. No, the Budget Bureau passed it this way. $88,500,000 of which not less than $8,000,000 shall be used to purchase foreign currencies," and we had the insertion "shall, if possible, be used." Senator GREEN. You said after the "eight million" dollars. That is the wrong place for it. Mr. STREIBERT. The "shall” should be in it. Senator KILGORE. You asked for the same language changes last year and did not receive it. Did you encounter any difficulties as a result? Mr. STREIBERT. We were able to operate within the limitation, but these foreign currency supplies change and I do not know that we could this coming year. ACQUISITION AND CONSTRUCTION OF RADIO FACILITIES There is one other matter to mention, merely that the Agency still has some balance of unspent funds from no-year appropriations for the acquisition and construction of radio facilities. There is no request for additional funds for this purpose. The entire unobligated balance, which amounted to $5 million at the beginning of the current fiscal year, is required for the completion of projects already begun, plus $1,000,335 to be used to improve our facilities in the Philippines and at Tangier. JUSTIFICATION I would like to suggest that the material appearing on pages 300 through 304 of our justifications be inserted so that the current status of these radio construction funds could be made clear to the Congress. It is set forth in that justification. (The information referred to follows:) ACQUISITION AND CONSTRUCTION OF RADIO FACILITIES GENERAL STATEMENT This section of the budget summarizes the status of the radio construction program. No request for additional appropriations is included at this time. A total of $61,296,939 has been appropriated, to be available until expended, for the acquisition and construction of radio broadcasting facilities. A summary of appropriations and balances is as follows: |