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7 Comparative transfer from

Salaries and expenses, Bureau of Foreign and Domestic Commerce..
Salaries and expenses, defense production activities, Department of Com-

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PREPARED STATEMENT

Senator SALTONSTALL. Now, Mr. Secretary, the Chair understands that you have a formal statement, and will you please proceed with it. Secretary WEEKS. Mr. Chairman and gentlemen, I have a formal statement which I should like to insert in the record, if I may, and then I have some few comments. I will try to be as brief as possible. Senator SALTONSTALL. The Chair understands that you would like to have this statement in full inserted in the record and that you would just like to touch on the highlights?

Secretary WEEKS. Yes.

Senator SALTONSTALL. Without objection, that will be done. Will you proceed then informally?

(The statement referred to follows:)

STATEMENT OF SECRETARY OF COMMERCE WEEKS BEFORE THE SENATE APPROPRIATIONS SUBCOMMITTEE

Mr. Chairman and gentlemen of the committee, I welcome the opportunity to appear before you to present the budget request of the Department of Commerce for the fiscal year beginning July 1, 1954.

We have approached our task with two clear objectives: (1) To reduce further the cost of Government, and (2) to set a program that contributes to both national security and economic security. The overall business situation and the very nature of the Department established by the Congress to foster, promote, and develop commerce and industry, it seems to me, this year especially, imposes the duty of doing everything feasible to encourage economic growth and stability.

The new administration in the Commerce Department not only has relied on its own experience in the outside world and on the knowledge acquired in conducting the Department, but also has received the benefit of advice from several new evaluating committees of outside experts set up by the Department. These various committees have been examining pclicies and functions. They have made recommendations on improvements.

All of the counsel was of value, and was taken into careful consideration in preparing this budget. Our object is to save money and yet do a better job on a smaller budget.

The total estimate of appropriations requested is $854,220,000. I would like to comment briefly on the general character of this request. $650,115,000, or 76 percent, is for noncontrollable items ($565,115,000 for liquidation of prior contract authority for the Bureau of Public Roads and the National Bureau of Standards, and $85 million for operating-differential subsidies). The remaining $204,105,000, or 24 percent, consists of the controllable items, the regular recurring programs of the Department.

Following is a summary distribution, by bureau, of the approximately $854 million requested appropriation:

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Approximately 93 percent of the Department's current budget is devoted to transportation activities. In this connection, it is appropriate to note that included under its organic act] and amendments thereto in the various reorgan

ization plans, and through specific statutes such as the Civil Aeronautics Act, the Federal Airport Act, the Merchant Marine and Shipping Acts, and the FederalAid Highway Act, the President and the Congress have centered within the Department of Commerce most of the major promotional programs in the field of transportation.

As an essential corollary to the concentration of major transportation programs in the Department of Commerce, the Congress adopted Reorganization Plan No. 21 of 1950, which centralized in the Department executive responsibility for transportation. This action marked a significant expansion in the underlying transportation authority of the Department. In transmitting this plan to the Congress, the President specifically placed in the Secretary of Commerce the responsibility for leadership with respect to transportation problems and for the development and coordination of overall transportation policy within the executive branch.

To assist me in carrying out this broad and complex responsibility, Reorganization Plan No. 21 established an Under Secretary of Commerce for Transportation. Accordingly, I look to the Under Secretary to serve as my principal adviser on all matters concerning the transportation policies of the Government. A small staff of trained transportation specialists has been provided to assist him in his policy responsibilities.

I have also designated the Under Secretary to provide in my behalf overall supervision and policy direction of the Department's transportation agencies.

May I add that it is not the policy of the Department to interfere with the functions of the transport regulatory agencies. Our interests are limited to issues which affect my statutory responsibilities or require the attention of the President and the Congress.

I should call to your attention that there are increases requested for the business program of the Department and the scientific work of the National Bureau of Standards. It would probably enable you to see my viewpoint better if I were to present in advance of more detailed presentations by my associates and assistants, a broad program analysis by Bureau.

BUREAU OF PUBLIC ROADS

The estimates for the Bureau of Public Roads highway programs are determined largely by the current annual authorizations approved by the Congress. The Federal-Aid Highway Act of 1952 provided an authorization of $575 million for the Federal-State cooperative program for each of the fiscal years 1954 and 1955. The budget estimate for Federal-aid highways of $555 million represents funds that will be required to reimburse the States for highway construction initiated under the Federal-aid authorizations and for the administration of the program. The material shortages which have hampered the highway programs in recent years have been largely overcome. Federal restrictions on use of steel have been lifted and the rolling and fabricating steel mills are again producing structural steel in quantity for highway and bridge construction. An ample force of highway contractors is available as evidenced by the keen competition for highway work.

The estimates for forest highways provide funds to be applied to construction on routes approved as part of the forest highway system. Approximately 75 percent of the forest highway system is on the Federal-aid systems and over 800 miles are a part of the interstate highway system.

The estimates of the Bureau of Public Roads also provide for continuation of the survey and construction of the Inter-American Highway and the Rama Road in Nicaragua.

CIVIL AERONAUTICS ADMINISTRATION

With respect to the Civil Aeronautics Administration particular attention is and will continue to be given to examination and re-evaluation of all phases of the agency, keeping in mind that safety in navigation must be peramount. We have taken action to simplify existing practices; eliminate many activities that are no longer essential; and remove the Federal Government from activities that private industry and other governmental agencies can properly perform for themselves. All of these are in line with this administration's objectives and should aid us in reducing the Federal share of expenditures.

The matter of continuing the Federal-aid airport program has been under study for sometime by the Department of Commerce and additional studies have been made by the airport panel of the Transportation Council. This action is in accordance with the wishes of the Congress as expressed from time to time.

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