Finally, the Commission has responded to this Committee's concerns not only in the enforcement area but in other areas as well. Last year, this Committee questioned the infrequency of open meetings at the Commission. In response to this criticism, the Commission increased its use of the open conference and oral hearing. Specifically, in calendar year 1984, the Commission held 10 open conferences and 6 oral arguments. The Commission's public votes taken in the open conferences were in addition to the notation votes cast in 1,921 Commission proceedings during calendar year 1984. Moreover, the Commission has focused on a number of substantive issues of concern to this Committee in such proceedings as Ex Parte No. 456 and Ex Parte No. 347 (Sub-No. 1). Thus, the Commission has made and will continue to make every effort to respond to the issues raised in Congressional hearings. Directed Rail Service Thank you for inviting me here today to discuss the Interstate Commerce Commission's FY 1986 budget request for directed rail service payments. The only payments made recently from this account were to the Kansas City Terminal Railway Co. for directed service performed over the lines of the Chicago, Rock Island, and Pacific Railway Co. between October 15, 1979, and March 23, 1980. Accounting operations relative to the Kansas City Terminal Railway Company's directed service were concluded on December 31, 1983. At the beginning of FY 1985, the Commission had approximately $2.3 million in directed service funds remaining from the FY 1982 supplemental appropriation of $8 million. At this time, the Commission has pending before it a request for additional compensation from the Kansas City Terminal Railway Co. Commission anticipates that this claim will be decided by the The second quarter of 1985. Thereafter, we anticipate no significant obligations of funds for directed service over the Rock Island lines. We do not anticipate any new directed service during FY 1985 or FY 1986, and as a result, we have not requested an appropriation of additional funds for this purpose. I would be happy now to answer any questions you may have. STATEMENT OF HEATHER J. GRADISON MY DECISION TO SUPPORT THE COMMISSION'S SUPPLEMENTAL BUDGET REQUEST WAS A DIFFICULT ONE. PRIOR TO THE PASSAGE OF THE CONTINUING RESOLUTION, I HAD SUPPORTED, ALONG WITH A MAJORITY OF THE COMMISSION, THE PRESIDENT'S FY'85 BUDGET REQUEST FOR THE ICC. IN THE CONTINUING RESOLUTION, BOTH HOUSES OF CONGRESS EXPRESSED DISAGREEMENT WITH THE STAFFING LEVELS OF CERTAIN COMMISSION OFFICES IN THE PRESIDENT'S BUDGET, AND THE CONGRESS CUT BOTH THE STAFFING (TO 949) AND FUNDING LEVELS (TO $48 MILLION) OF THE AGENCY OVERALL. WE WERE ADVISED BY MANAGING DIRECTOR FOLEY THAT $48 MILLION WOULD ONLY FUND 860 TOTAL STAFF YEARS IN FY'85, WHICH MEANT THAT THERE WOULD HAVE TO BE A REDUCTION OF AT LEAST 162 POSITIONS (OR ALMOST 16 PERCENT OF THE WORK FORCE) FROM THE LEVEL PROPOSED IN THE PRESIDENT'S BUDGET. BY THIS TIME, THE FISCAL YEAR HAD ALREADY BEGUN. IT IS MY UNDERSTANDING THAT BECAUSE OF THE WAY THE RIF PROCESS WORKS AND THE TIMING OF OUR APPROVED FUNDING, THE AGENCY WOULD HAVE HAD TO ELIMINATE MORE THAN TWICE THE 162 POSITIONS IN ORDER TO COMPLY WITH THE OVERALL ANNUAL FUNDING MADE AVAILABLE TO THE COMMISSION. I GAVE SERIOUS THOUGHT TO THE QUESTION OF WHETHER THE COMMISSION OUGHT TO SEEK SUPPLEMENTAL APPROPRIATIONS AT ALL. I BECAME CONVINCED, HOWEVER, AT LEAST IN PART BECAUSE OF MANAGING DIRECTOR FOLEY'S ADVISORY MEMORANDUM IN OCTOBER 1984, THAT THE $48 MILLION FIGURE FOR FY'85 WOULD INVOLVE SERIOUS AND EXTEN SIVE ADVERSE EFFECTS ON THE ICC'S EMPLOYEES AND ON THE ICC's ABILITY TO MEET ITS STATUTORY RESPONSIBILITIES. THEREFORE, DESPITE SOME RELUCTANCE TO SEEK ADDITIONAL FUNDING, THE UNCERTAINTY OF THE OUTCOME AND THE RESULTANT LINGERING UNCERTAINTY FOR EMPLOYEES AS TO THEIR JOBS, I DECIDED TO SUPPORT A UNITED COMMISSION EFFORT TO SEEK SUPPLEMENTAL APPROPRIATIONS. IN DECIDING ON THE LEVEL OF ADDITIONAL FUNDING NEFDED, I HAVE SUPPORTED A LEVEL OF STAFFING WHICH WOULD ALLOW THE COMMISSION TO BE RESPONSIVE TO CONGRESSIONAL CONCERNS AND TO OUR OWN STATED OBJECTIVES DURING THE FISCAL YEAR. TRATED EFFORTS TO COMPLY WITH THE FUNDING YOU PROVIDE TO OBTAIN THE MOST EFFICIENT USE OF OUR RESOURCES. STATEMENT OF J. J. SIMMONS, III INITIALLY, I WOULD LIKE TO EXPRESS MY APPRECIATION FOR THE OPPORTUNITY TO APPEAR BEFORE THE SUBCOMMITTEE. I AM HERE TO SUPPORT BOTH THE COMMISSION'S REQUEST FOR SUPPLEMENTAL FUNDING IN THE CURRENT FISCAL YEAR. I AM FORTUNATE ENOUGH TO HAVE BEEN NOMINATED AND CONFIRMED FOR A SECOND TERM ON THE COMMISSION, AND, SINCE SEPTEMBER OF 1984, THE COMMISSION HAS BEEN FUNCTIONING WITH A FULL COMPLEMENT OF SEVEN COMMISSIONERS. I BELIEVE THE CURRENT COMMISSIONERS SHARE AN INCREASED COMMITMENT TO WORK TOGETHER IN HARMONY AS WE PERFORM OUR STATUTORY DUTIES WHILE SEEKING TO PROMOTE THE PUBLIC INTEREST TO THE BEST OF OUR INDIVIDUAL UNDERSTANDINGS. TO ACCOMPLISH THESE GOALS, WE COMMISSIONERS NEED THE WHOLEHEARTED COOPERATION OF EACH AND EVERY COMMISSION EMPLOYEE. UNFORTUNATELY, REDUCTIONS IN PERSONNEL OVER THE LAST THREE YEARS AND THE POSSIBILITY OF FURTHER REDUCTIONS OR FURLOUGHS IN FISCAL YEAR 1985 HAVE HAD A DEVASTATING EFFECT ON THE MORALE OF MANY EMPLOYEES. CHAIRMAN TAYLOR HAS EXPLAINED WHY THE COMMISSION FEELS THAT SUPPLEMENTAL FUNDING IS NECESSARY TO PERMIT US TO MEET OUR STATUTORILY MANDATED RESPONSIBILITIES. I WOULD LIKE TO HIGHLIGHT SOME OF THE HUMAN RELATIONS ASPECTS OF THE PROPOSED FURLOUGHS AND 20 PERCENT CUT IN PAY ON OUR EMPLOYEES. THE INEVITABLE IMPACT OF THESE ACTIONS WILL BE AN EVEN FURTHER LOWERING OF MORALE AND A REDUCTION IN THE PRODUCTIVITY OF INDIVIDUAL EMPLOYEES. MANY OF THE MOST TALENTED WILL SEEK EMPLOYMENT OPPORTUNITIES ELSEWHERE, AND THE DECREASE IN MORALE OF THOSE THAT REMAIN WILL MAKE PERFORMANCE OF THEIR DUTIES MORE DIFFICULT. THE FINANCIAL IMPACT OF THE PAY CUT OF COURSE WILL VARY FROM EMPLOYEE TO EMPLOYEE. I |