COOPERATION WITH CHAMBERS OF COMMERCE

Mr. STEFAN. Mr. Hayward, with reference to the chambers of commerce, you say that you have about 60 set-ups like that, where they are supplementing a lot of your work?

Mr. HAYWARD. That is correct.

Mr. STEFAN. And you are getting more of them? Are you getting more cooperation all the time?

Mr. HAYWARD. Yes; we are getting more offices, but every once in a while we are letting some out, because they are not active enough. Mr. STEFAN. Here is what I was driving at. There has been so much criticism that we are probably duplicating the work of some of the chambers of commerce, that they could take off of our hands most of the work that you are doing.

Mr. HAYWARD. I think that was true when we had 77 offices; we were duplicating in some few instances. But that has all been wiped out. I do not think you are getting any complaints like that now.

ACCOMPLISHMENTS OF THE SERVICE

Mr. STEFAN. What have been your greatest accomplishments in the last year?

Mr. HAYWARD. I think probably one of the greatest accomplishments we have made is that with considerably fewer people than we had a few years ago we are handling practically the same work load.

Mr. STEFAN. I do not mean with reference to employees or the budget. I mean, what have you really done for the public that has been outstanding?

Mr. HAYWARD. I think one of the outstanding things has been probably the census of manufactures which is coming out, and which we give to the public and interpret to them.

DISSEMINATION OF INFORMATION TO BUSINESS

Mr. STEFAN. Are you getting more requests from people who want to go into business and want you to help them out? Are you getting more telephone calls for information; or visitors coming to your field offices?

Mr. HAYWARD. I would say that the number of visitors is about the same as it was the year before. We are getting more requests for information on how to do business through ECĂ. I would say the requests for information on going into business are probably less than they were the year before.

Mr. STEFAN. But we have a set-up in the Department of Commerce that is going to do that now. How do you work with that organization?

Mr. HAYWARD. We get their information and disseminate it through the field.

Mr. STEFAN. You are not doing the same work?
Mr. HAYWARD. I do not think so.

Mr. STEFAN. Do you not have one or two illustrations of what you have done for the public that have been outstanding for the last year? Mr. HAYWARD. I think probably, as I said, one of the main things is the matter of ECA information that we have gotten out to them, and the information on export control, plus the information we are getting across to them on census material, interpreting the census material. We are getting that before groups, not individuals.

Mr. STEFAN. Is your service being demanded more by the public than it was before?

Mr. HAYWARD. Yes. Our inquiries are on the rise.

Mr. STEFAN. I can say, from my information, when the matter of ECA first came up, and even previous to that, businessmen wanted to know how to do business with their Government. They did not know, for instance, how to go about getting war contracts, and I believe your organization out in the field was able to explain to them how to go about that. They were able to send out some of these questionnaires and gather in information and provide short cuts to getting information to businessmen, and the comments that I have had were very complimentary to your office. I think you did a splendid job, a remarkable job there in showing chambers of commerce and businessmen how to do business with their Government. had been so disturbed over the number of questionnaires and the complex procedures that had to be gone through. I think you did a mighty good job in that field, and I have had a lot of letters commending your organization for that.

They

Now, ECA is a 4-year program, and it will be very important for those businessmen to get that information. I was wondering if we had a set-up in the Department of Commerce to do that and whether you were not going to be duplicating that very same work.

Mr. HAYWARD. Here is our set-up on that. We have an individual over at ECA with whom we deal exclusively on all questions that our field cannot answer.

Mr. STEFAN. They are requesting certain sums for the Office of Small Business to disseminate information to small-businessmen on how to get some of this ECA business. Are you familiar with that? Mr. HAYWARD. You are referring to money that they are requesting? Mr. STEFAN. Mr. Cawley, can you answer that?

Mr. CAWLEY. The request for small business is for a job to be done here in Washington. They do not have, in that proposal, an additional field organization.

Mr. STEFAN. But it is based on information that they are going to give businessmen in the country on how to get business from the ECA. Their justification says so.

Mr. CAWLEY. That is true, but their programs will be developed here in Washington and disseminated to the public through Mr. Hayward's field offices. No additional funds are requested for field staff on the small-business activity. We do have a liaison man with the ECA in Washington now, a man who is over there full time, who advises us on information that is useful in our various programs. They reimburse us fully for his salary.

Mr. STEFAN. This is what they say in their justifications.

The Small Business Division is the small man's home in government. It is the focal point through which all services of the Department and other groups cooperate with the Department in this activity which are directed to the needs of three and a half million small business establishments in the Nation. It is charged with the responsibility of providing these services and ideas which will best help small business to solve its own problems of continued existence and growth in a highly competititve free-enterprise economy.

Mr. CAWLEY. That is correct.

8846549- -45

Mr. STEFAN. And they are asking for $237,000, and throughout these justifications the ordinary layman is led to believe that they are duplicating the work of our field offices.

Mr. HAYWARD. I do not think so, Mr. Congressman. What they are doing is working up the information here in Washington which we will later disseminate to the small-business man through our field offices.

Mr. STEFAN. You are the sole disseminator of the information that the Small Business Division picks up here in Washington?

Mr. HAYWARD. That is correct.

Mr. STEFAN. I have no other questions.

Mr. ROONEY. If there are no further questions, that concludes this item; thank you, gentlemen.

WEDNESDAY, MARCH 9, 1949.

OFFICE OF THE SECRETARY

OFFICE OF TECHNICAL SERVICE

SUPPLEMENTAL ESTIMATES, 1950

Mr. ROONEY. Mr. Green, since your previous testimony before the committee, we are in receipt of House Document No. 97, wherein there is requested an additional sum of $80,000 for the subdivision of the Office of the Secretary known as Technical and Scientific Services, of which you are the head. This increase would raise the appropriation from $175,000 to $255,000.

BREAK-DOWN OF THE ESTIMATE BY PROJECTS AND OBJECTS

We shall insert at this point in the record the pages designated as 2 and 3 of the supplemental justifications.

(The matter referred to is as follows:)

Estimates of appropriation, fiscal year 1950, Amendment (H. Doc. No. 97), Technical and Scientific Services, Office of Secretary of Commerce

Estimates of appropriation, fiscal year 1950, Amendment (H. Doc. No. 97), Technical and Scientific Services, Office of Secretary of Commerce-Continued

Mr. ROONEY. This is another item in addition to the one, on which we have already heard testimony, to strengthen the service which the Department of Commerce renders to small business; is that correct? Mr. GREEN. Yes, sir; that is correct.

Mr. ROONEY. Do you have a statement to make with regard to this?

Mr. GREEN. No, sir; but I would be happy to make one.

GENERAL STATEMENT

Mr. ROONEY. Suppose you make a general statement concerning this request for additional money.

Mr. GREEN. In the fiscal year 1948 this office had $790,000.

Mr. ROONEY. You were doing quite a different job at that time, were you not?

Mr. GREEN. In the fiscal year 1949 we requested $500,000, which the Bureau of the Budget approved, and we were allocated $200,000.

Consistent with the budget cut, we have endeavored to tailor all our service to the skeleton force. We have found, with the omission of descriptive abstracting and the inadequate reference and analysis, the staff does not provide adequate service to small business.

Recently the Secretary made a survey of the business aids of the Department of Commerce to see if small business was receiving adequate attention. He felt that in our area a modest strengthening would be in order and recommended and approved a supplementary budget. This figure of $80,000 was subsequently approved by the Bureau of the Budget and will give us a gross of $255,000, which is roughly one-half of the fiscal year 1949 request.

Mr. ROONEY. This, then, would be for the purpose of making available to small business the technical advice and reference service of your division?

Mr. GREEN. That is right, sir.

DETAILS OF APPROPRIATION

Mr. ROONEY. Now, will you direct your attention to the details of this appropriation and describe them to us?

Mr. GREEN. Which page specifically, Mr. Chairman?

OFFICE OF THE DIRECTOR

Mr. ROONEY. Well, start off with page 2, the Office of the Director, $4.360.

Mr. GREEN. On page 7, sir

Mr. ROONEY. Do not refer to any page other than page 2.

Mr. GREEN. On page 2 we find obligations by activities. There is contemplated a supplemental request of $4,360 for the Office of the

Director.

Mr. ROONEY. For what purpose do you need this money?

Mr. GREEN. $2,660 of this is for personal services, one additional position, and $1,700 is for other objects.

Mr. ROONEY. What sort of a position?

Mr. GREEN. That is for a clerk-stenographer to relieve the present insufficiency of clerical assistance.

Mr. ROONEY. What is the break-down of the $1,700 "Other objects"?

Mr. GREEN. "Other objects, $1,700," encompasses miscellaneous items: Travel, transportation, communication services, printing and binding, and so forth.

Mr. ROONEY. That is a general statement. I want to know why in the Office of the Director you need $1,700 under "Other objects. Mr. GREEN. With the 19 additional positions which are visualized in strengthening the force we anticipate that there will be a modest increase in travel in the Office of the Director.

Mr. ROONEY. Is the clerk-stenographer going to travel?

Mr. GREEN. No, sir; but it is hoped that with the additional personnel, the Office of the Director will have a modest opportunity for travel.

Mr. ROONEY. There are no additional personnel in the Office of the Director.

Mr. GREEN. It is hoped that I will get a vay more.

Mr. ROONEY. You are going to do a lot of travel on $1,700.

Mr. GREEN. That figures includes also supplies, materials, and equipment for the additional post.

Mr. STEFAN. For what?

Mr. GREEN. For the additional clerk-stenographer, who will have to have a desk, typewriter, and so forth.

Mr. ROONEY. What is the break-down of that $1,700?

Mr. GREEN. May I furnish it for the record?

Mr. ROONEY. Then we cannot question you on it.

Mr. CAWLEY. In the haste of getting these up we estimated the other objects in total. Would the committee care to go through personal services by divisions and then consider each item of other objects in detail pursuant to the schedule shown here in the latter part of the justifications?

Mr. ROONEY. I guess that is all we can do.

ANALYSIS DIVISION

What about this request for $32,068 for the Analysis Division? Mr. GREEN. In the Analysis Division we hope to increase the force by one technologist, P-6; four technologists, P-3; two clerk-typists, CAF-3; and one file clerk, CAF-2.