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Mr. HORAN. But you are reviewing all of these? I am not sure that those two cover all of our activities in the direction of a two-price system. I think probably since these hearings are useful to quite a number of people in agriculture, when we have the appropriate divisions of the Department up here that we may be able to spread on the record our every activity in that direction. Four years under the International Wheat Agreement I think is going to cost at least $600 million and of course we commit section 32 funds and Sugar Act funds and/or things which amount to a two-price system. I personally would like to have that all spread on the record because, Mr. Chairman, it does not make much sense to me if we merely build up surpluses and then do not put equal emphasis on getting rid of those surpluses. Personally, there was a lot of talk about the Russian gift of a quarter million dollars to England yesterday. I think probably the gift of some of our corn to them would be far more appreciated over there. So I am going to look forward to some very interesting record when we get to this because I think it is vital.

TRANSMISSION OF VESICULAR EXANTHEMA DISEASE

One other very practical question that has disturbed the Director of Agriculture for the State of Washington-I think it is fitting and appropriate that I inquire as to what we are doing with this vesicular exanthema disease when it apparently has an outbreak in interstate shipment. Mr. Svere Omdahl, a very able young man who is our director of agriculture, protests that hogs loaded in the Midwest are cleared by the Department of Agriculture at the point of loading but that apparently when they reach the State of Washington they have contracted the disease. Our packers out there particularly, not the farmers as I understand it, are unable to collect indemnity or to have any recourse. That does appear to me to be something that ought to be seriously considered. I might say that the letter from Mr. Omdahl went down to Dr. Simms, in the BAI. I assume that he may have had discussions with some of you in the Secretary's office.

Mr. BENSON. Yes, it was mentioned to me by a group that came in only for a very brief period who were going to confer together with Dr. Simms over in BAI. We are studying the problem very carefully. We have consulted with the industry on it, as you know, and it presents a very serious problem for the hog industry. There is no question about it. There are some hogs that have left the point of shipping considered to be free of it and then have the disease show up later after they have reached their destination. It is going to take more study before we get to the bottom of it.

LEGISLATION REQUIRED FOR

INTERSTATE

DISEASE

CONTROL

Mr. HORAN. I assume, in the absence of any further knowledge, that it would require legislation to correct the present procedure?

Mr. BENSON. I do not believe so.

Mr. Roberts. I might say, Mr. Secretary, that BAI, working with some of the State-control people, are developing a program they hope can be carried out without additional legislation which will make the present eradication program more effective. We have been working now for months on it, as you know. We thought we were making pretty good progress up until about December. But now we are pretty much at a standstill, if we are not losing ground. The objective of the new program is to have more effective, although severe, quaran

tine regulations. I am sure that by the time the Bureau of Animal Industry appears before this committee they will have the new program formulated and will be able to tell you about it, perhaps also with some indication of what its costs may be, because it is very apparent now that this program is going to go well into 1954 if not throughout the entire year.

Mr. MORSE. May I supplement that by saying that probably State legislation, rather than Federal is what will be needed. Some of the Siates have been taking action and when this matter was under discussion, plans were made to go out to Chicago and hold these meetings to which the Secretary referred, to lay the problem before the representatives of the industries and States and so on, and ask their guidance on what should be done so that they would help to pick up the responsibility on it as much as possible.

Mr. HORAN. That is all, Mr. Chairman. Mr. ANDERSEN. Now, Mr. Secretary, I will ask Mr. Whitten, if he will, to take part in this discussion at this time. I am sure that he has questions to ask of you. I want to say this of Mr. Whitten-I do not think there are many Members of Congress who have done as much for agriculture through the years as he has during the past 10 years on this subcommittee during which time I served with him.

REGROUPING OF DEPARTMENTAL AGENCIES Mr. WHITTEN. Thank you, Mr. Chairman. I do have some questions.

First, I appreciate the statement that my friend has made with reference to my service here. We are fortunate to have Carl Andersen as chairman of this subcommittee. He knows his subject and has rendered fine service for years. This subcommittee has through the Vears worked rather hard for what they conceive to be the best interests of agriculture and the Nation, too. I presume and I am not trying to stir up too many things unless it may bring to the surface that which might improve the situation a little bit—we have been almost united in this committee. In fact, the only increases under this bill that went on the floor were those that my Republican colleagues added. And yet, Mr. Secretary, I do notice that when you arrived in Washington, your first press release was that the Department of Agriculture was the prime example of expanded governmental bureaucracy. What were your exact words in that instance?

Mr. BENSON. I never used the word “bureaucracy"; I do not know that I have ever used it, Mr. Congressman. It did appear in the press, but through some inadvertence or something. I presume it must have come from somewhere in the Department, but I did not use the words.

Mr. Whitten. What was the press release? Do you recall?

Mr. Benson. The emphasis, of course, was on this regrouping of agencies as a means of making the administration of the Department more effective, and, we thought, more economical in the long run.

Mr. WHITTEN. Could we insert in the record at this point, that pertinent part of the press release?

Mr. ANDERSEN. We will insert in the record at this point a copy of Secretary Benson's memorandum announcing the grouping of agencies of the Department, together with the pertinent part of the press release requested by Mr. Whitten.

(The material referred to is as follows:)

UNITED STATES DEPARTMENT OF AGRICULTURE,

OFFICE OF THE SECRETARY,

Washington 25, D. C., January 21, 1959.

MEMORANDUM No. 1320 ADMINISTRATIVE GROUPING OF DEPARTMENT AGENCIES To All Employees:

To me it is a great, although unexpected, honor to have been asked by President Dwight D. Eisenhower to serve as Secretary of Agriculture. I approach the task humbly, realizing the grave and far-reaching responsibilities I have assumed. I assure you I am fully aware of the important contribution the employees of this great Department have made to its accomplishments, and to the service it has rendered to agriculture and to the entire Nation. It is a pleasure to be associated with the many hard-working, conscientious employees in the Department who over many years have built up a tradition for effective public service. I am looking forward to meeting as many of you as I possibly can in the months ahead.

We can all be proud of the men who have been asked to assume positions of leadership on the Department's staff. They are men of competence, with years of successful experience. Most of them are serving at great financial sacrifice because they have a deep sense of public duty and a desire to be of service to agriculture.

As public servants, we must recognize the duty and responsibility we have to serve the public efficiently and well. The people of this country have a right to expect that everyone of us will give a full day's work for a day's pay. They have a right to expect that we will find more effective and economical ways of doing our job. In these times of unprecedented public debt and continued high Federal expenditures, the public rightfully expects us to put forth even greater effort to effect savings in Government operations and to reduce public expenses. Fulfillment of this responsibility will require the undivided loyalty and support of every agency head and employee in the Department. We must work as a team if we are to meet the problems that lie ahead and render the greatest possible service to the farmers of America, the entire agricultural industry, and to this great and good country we love so much.

A very careful study of the organization and activities of the Department indicates the need for better and more effective coordination of the various functions and activities. With this in mind, and as an initial step toward improved coordination in departmental direction and management, agencies and functions of the Department shall be grouped as indicated below, effective immediately. Commodity marketing and adjustment (agencies listed report through Mr. John H. Davis):

Commodity Credit Corporation
Commodity Exchange Authority
Federal Crop Insurance Corporation
Production and Marketing Administration, except the Agricultural Con-

servation Programs Branch which is hereby transferred from that Admin

istration to research, extension, and land use
Agricultural credit (agencies listed report through Mr. R. E. Short):

Farm Credit Administration
Farmers Home Administration

Rural Electrification Administration
Research, extension, and land use i (agencies listed report through the Assistant
Secretary):

Agricultural Research Administration
Bureau of Agricultural Economics
Extension Service
Forest Service
Office of Foreign Agricultural Relations
Soil Conservation Service

Agricultural Conservation Programs Branch 2 (transferred from PMA) Departmental administration (agencies listed report through Mr. Richard D. Aplin):

Hearing examiners
Library
Office of Budget and Finance
Office of Information
Office of Personnel

Office of Plant and Operations 1 Including flood prevention and land and water utilization. 2 For an interim period this Branch will use facilities and field services of the Production and Marketing Administration in carrying out the agricultural conservation program.

Agency and office heads within each group will report to their respective group head. Group heads and the Solicitor will report on all functional and operating matters to the United Secretary.

The Secretary and the Under Secretary meeting jointly with the major group heads and the Solicitor will consider matters of policy determination and longrange planning. Periodically, and as special circumstances indicate a need, all agency as well as group heads will meet to discuss subjects of general interest.

This organizational arrangement will make possible closer coordination of related activities, and will centralize responsibility for consideration and determination of operating problems and other matters requiring departmental attention within each group.

Except as modified by the provisions of this memorandum, existing Secretary's memoranda, the Department regulations, and other related documents will, unless and until changed by the Secretary, continue in effect.

I know that I can count on strict adherence by agency heads to the lines of authority prescribed herein. A chart of the organizational arrangement is attached.

Ezra T. BENSON, Secretary.

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A press statement on the above announcement carried the following heading: "The United States Department of Agriculture, Largest of All the Nation's Civilian Agencies, Swollen Into a Huge Bureaucracy of 20 Agencies and Bureaus in the Last 20 Years, Is Getting a Major Overhauling. However, there was no such expression in the Secretary's memorandum to the officers and employees of the Department of Agriculture.

COMPARATIVE SUMMARY OF APPROPRIATIONS AND PERSONNEL, AGRI

CULTURE AND OTHER DEPARTMENTS, 1940–53 Mr. WHITTEN. Also, I would like to ask, Mr. Chairman, that we put in the record at this point a comparison of the personnel and appropriations of the Department of Agriculture since 1940 with those of other departments of the Government. I believe this information

. and comparison would be of interest to all.

Mr. ANDERSEN. You mean you would like a résumé comparing the Department of Agriculture through the years?

Mr. WHITTEN. Yes, a comparison since 1940 with the other departments and agencies of Government. As we all know that comparison

. is very favorable to the Department. We had the figures last year, but I would like to have them brought down to date.

(The information is as follows:) Comparison of appropriations and employment of Department of Agriculture with

other civilian departments (regular annual appropriations)

Fiscal year 1940

Fiscal year 1953

Percentage increase (+)

or decrease (-)

Department

Appropria- Employ.
tions

ment

Appropria-| Employ- Appropria- Employ.
tions
ment
tions

ment

Agriculture
Coin merce
Interior
Justice
Labor
Post Office
State
Treasury.

Total above agencies

(excluding Agricul.
ture).

Mil, dol.
1, 054.9

54 2
191.2
52.6
34. S
794.0

21.0
215.9

91, 370
26, 699
46, 547
14, 720

3, 484
303, 654

6, 302 59, 256

Mil, dol.

733. S
797. 2
545.5
184.4

222.5
2, 793.8

261. 7
655. 5

57, 935
65, 172
60, 677
32, 194

7, 815 523, 779 31, 302 89, 460

-30.4
+1, 370.8

+185. 3
+250.6
+543.0

+251.8
+1, 146. 1

+207.6

-38.7 +144.1

+30.3 +118.7 +124.3

+72.4 +396. 7 +50.9

1, 363.5

460, 662

5, 460.6

810, 399

+300.5

+75.9

NOTE.-Employment figures of all departments other than Agriculture taken from Civil Service Com mission reports for June 30, 1940, and June 30, 1952.

[graphic]

Appropriations and REA and FHA loan authorizations, fiscal years 1940 to 1953; and comparable employment data

(NOTE.-This table excludes amounts for agencies and programs transferred from the Department in 1940 and subsequent years. It includes amounts for programs transferred to

the Department during this period. Adjustments have also been made to reflect in prior years transfers of functions within the Department occurring in this period, so that the

amounts for prior years are comparable with the appropriation structure in the 1954 budget.)

(Millions of dollars]

Item

1940

1941

1942

1943

1944

1945

1946

1947

1948

1949

1950

1951

1952

1953

ANNUAL APPROPRIATIONS FOR REGULAR

ACTIVITIES

Items for which appropriations were made in

1940 and in 1953:

Crop and livestock research, and disease,

insect, and pest control (exclusive of

Agricultural Marketing Act (RMA,

title II).

Payments to States for experiment sta-

tions and extension service

Control of forest pests.

Forestry

Flood prevention

Soil-conservation service programs

Agricultural conservation-payment and

acreage-adjustment programs.

Sugar Act program

Marketing services, exelusive of Agri-

cultural Marketing Act (RMA, title

II)

Federal Crop Insurance Corporation,

operating and administrative expenses.

Rural Electrification Administration,

salaries and expenses.

Farmers' Home Administration, salaries

and expenses

Farm Credit Administration, salaries

and expenses.

Other items.

Total

Items for which appropriations were made in

1940 but not in 1953:

Forest Service:

New England hurricane damage.

Hurricane damage repair, White

Mountain National Forest

Repair of roads, California national

forests.

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