DEPARTMENTS OF STATE, JUSTICE, AND COMMERCE AND THE UNITED STATES INFORMATION AGENCY APPROPRIATIONS, FOR 1955 TUESDAY, APRIL 6, 1954 UNITED STATES SENATE, SUBCOMMITTEE OF THE COMMITTEE ON APPROPRIATIONS, Washington, D. C. The subcommittee met, at 10 a. m., pursuant to recess, in room F-37, the Capitol, Hon. Styles Bridges (chairman) presiding. Present: Chairman Bridges, Senators Saltonstall and Dirksen. DEPARTMENT OF COMMERCE OFFICE OF THE SECRETARY STATEMENTS OF JAMES C. WORTHY, ASSISTANT SECRETARY FOR ADMINISTRATION; CHARLES L. DEARING, DEPUTY UNDER SECRETARY FOR TRANSPORTATION; HAROLD B. CORWIN, DEPUTY GENERAL COUNSEL; AND OSCAR H. NIELSON, DEPARTMENTAL BUDGET OFFICER HOUSE ALLOWANCE Chairman BRIDGES. The committee will come to order. The first matter under consideration will be the matter of the Office of the Secretary. For this item the House allowed $2 million, a cut of $200,000 below the budget request, and a decrease of $21,000 below the 1954 adjusted figure. I understand the Department asks restoration of the $200,000; is that right, Mr. Worthy? Mr. WORTHY. That is correct. Chairman BRIDGES. We will now insert in the record the amendments requested and the appropriation summary statement. (The information referred to follows:) Appropriation, 1954. Summary of requirements $1,750,000 Comparative transfer from "Salaries and expenses, defense production activities, Commerce".. 271, 000 1 Adjusted to exclude 41 positions abolished during the period July 1 to Sept. 30 due to budgetary limitations and 24 reimbursable positions. Excludes 26 reimbursable positions. +15, 500 -1,400 +450,000 111, 000 2, 117, 900 2, 311, 000 +193, 100 271,000 -271, 000 100,000 11,000 2,200,000 +500 +177, 300 +1,700 +179,000 +14, 100 45431-54-pt. 1--23 1 Includes comparative transfer of $271,000 from "Salaries and expenses, defense production activities." SALARIES AND EXPENSES, OFFICE OF THE SECRETARY (House bill, p. 25) (House hearings, pp. 36-64) Estimate.. 1954 act (including comparative transfer). House allowance (a reduction of $200,000 in the estimate) AMENDMENT REQUESTED The Department requests the following amendment: Page 25, line 14, strike out "$2,000,000" and insert "$2,200,000," the estimate, or an increase of $200,000. EXTRACT FROM HOUSE REPORT "The committee recommends $2 million for 'Salaries and expenses' of this office, a reduction of $200,000 in the budget estimate. The amount appropriated for this item for the current fiscal year was $2,150,000 of which $400,000 was for terminal leave. In addition to the direct appropriation there was a comparative transfer from 'Salaries and expenses, defense production activities' of $271,000, making the amount available for the current fiscal year, exclusive of terminal-leave funds $2,021,000. The amount provided in this bill is therefore actually $21,000 less than the comparable amount available for the current fiscal year." JUSTIFICATION The requested restoration will enable the Office of the Secretary to provide the staff and administrative services necessary to support the expanded activity of the business area of the Department. The House allowance makes no provision for the additional positions requested, and in fact will require a position reduction below the 1954 level. The recent reorganization that established the Business and Defense Services Administration provided that the Office of the Secretary shall furnish certain staff and administrative services to the BDSA which otherwise would have to be provided in the appropriation requested for BDSA. These are in addition to the services supplied by the Office of the Secretary to the Bureau of Foreign Commerce and the Office of Business Economics. Centralizing these services in the Office of the Secretary results in operating efficiency and economy. The additional position requested for the Office of the Assistant Secretary for Domestic Affairs to assist in administering the programs and activities in the business area of the Department cannot be provided within the House allowance. Additional staff must be provided to insure adequate coverage in this important segment of the Department. The estimate makes provision for additional positions in the Office of Security Control to carry out the provisions of Executive Order 10450. Under the House allowance this Office will be unable to accomplish its current workload in the field of personnel security and the backlog which has accumulated over the past year will continue to grow. Provision must also be made for an adequate staff so that this Office might fulfill its responsibilities in the field of physical security. The Office of the General Counsel has been reorganized so as to assume and perform the legal functions previously performed within the Department and the additional legal responsibilities continuing under the Defense Production Act, the additional responsibilities in the field of business law imposed by setting up the Business and Defense Services Administration, and a more effective legislative liaison service to both the executive and legislative branches of the Government. The House allowance will not permit the additional positions required to strengthen this important staff arm of the Secretary. The House allowance will not permit the additional positions requested for the Office of Budget and Management to provide full-time analysts for the Bureau of Public Roads and the National Bureau of Standards. This Office is responsible for budget programing and management, financial programing and management, organizational programing and management, administrative management and operations audit. Accomplishments of this Office in the past year have resulted in savings far in excess of the total cost of the Office. The amount recommended by the House does not provide for the two additional positions requested for the Office of Publications Management. These positions are necessary to handle the distribution of a greater volume of publications, including distribution to approximately 800 cooperative field offices. |