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The increase of estimates for 1936 over total funds availabe for 1935, amounting to $116,571, is occasioned by the following items:

1. Designation of beneficiary and statistical work.

2. Retirement fund evaluation.......

3. Lapses (continuation of examination program)
4. Replacement of equipment and contingent items_

Total..

$16, 291 36, 280 49,000

15, 000

116, 571

Salaries. Under the provisions of Public, No. 448, Seventy-third Congress, act of June 22, 1934, which became effective upon the transfer of civil-service retirement functions from the Veterans' Administration to the Civil Service Commission on September 1, 1934, employees subject to the Civil Service Retirement Act, and annuitants under the provisions of the act, were permitted to designate beneficiaries to receive any amounts due such employees and annuitants. This act was approved after the Commission's regular annual appropriation and its deficiency appropriation for the current fiscal year had been made.

In view of the fact that a considerable amount of work in connection with this legislation is required to be done during the current fiscal year it has been necessary for the Commission to make certain adjustments in its program of work to accommodate this unanticipated demand. More than 416,000 employees and 44,000 annuitants are members of the civil-service retirement system, and the Commission must maintain the files showing their beneficiaries.

The compiling of statistical information relating to personnel and total compensation paid in the District of Columbia is now an essential part of the Commission's work, and and funds for the same are estimated for in connection with the foregoing items.

Section 16 of the Civil Service Retirement Act provides that the Board of Actuaries shall make an evaluation of the fund at intervals of 5 years. The next evaluation is required to be made as of June 30, 1935, and must take place during the fiscal year 1936. It is estimated that a total of $36,280 will be required for this work. The total amount previously appropriated for the evaluation as of June 30, 1930, was $150,000 which was distributed among the departments and the Commission. By maintaining currently much of the information compiled for the 1930 evaluation, the Commission has been able to effect a saving of the greater portion of this reduction.

The Commission experienced considerable delay in the procuring of Presidential authority for the filling of vacancies and for the increasing of its staff to carry on its examination program. Because of this delay many of the appointments were deferred until October 1934. In order to maintain this staff of employees during the fiscal year 1936 there has been included $49,000 to be expended for the compensation of the same employees at the same rates of pay. While no additional funds are being requested in these estimates, attention is invited to the fact that the Commission is being called upon to perform much additional work in the the setting up of a classification of salaries for emergency agencies and for those executive departments and independent establishments which receive funds from emergency agencies. The President has recognized the value of the classification system by his Executive orders of November 18, 1933, January 10, 1934, March 1, 1934, and by his order of June 21, 1934, which supersedes the three preceding orders. It should be noted that this order requires the executive departments and independent establishments which receive any emergency funds to allocate the positions of employees paid from such funds under the provisions of the Classification Act of 1923, as amended. This means that the Commission must do the work since the administration of that statute is now in its hands.

Another item of work for which the Commission is estimating for no additional funds is the increase in the number of appeals for reallocation which will be submitted to it if the ban on such reallocations is not renewed by the Congress for the fiscal year 1936.

Contingent and miscellaneous expenses.-A large number of the Commission's typewriters, adding machines, and other labor-saving devices are rapidly approaching the point where they are of no further practical service. Good business administration requires that such equipment in constant use should be replaced every 3 years. A great many of the Commission's machines are much more than 3 years old and it is only the oldest of these that can be replaced with the $15,000 included in these estimates.

Travel expenses.-The Commission is estimating for no increase in funds for travel expenses. However, during the fiscal year 1936 it will be necessary to

perform considerably more character investigation work than was required during the fiscal year 1934.

Appropriation: Printing and binding, Civil Service Commission, 1936

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The funds available in each of the 3 fiscal years include $933 for civil-service retirement activities transferred to the Commission from the Veterans' Administration. While the work in connection with the retirement evaluation will require approximately $1,000 for printing, and the statistical work will require another $1,000, no increase in the appropriation for “Printing and binding" is being proposed. While the printing of examination questions, announcements, and supplemental forms, will be very heavy during the fiscal year 1936, the Commission will nevertheless endeavor to absorb this additional cost in connection with the retirement fund evaluation and the statistical work.

Appropriation: Civil service retirement and disability appropriated fund, 1936 Actual appropriations or estimates:

Estimated 1936__

Appropriated 1935.

Appropriated 1934.

$40, 000, 000

20, 850, 000 20, 850, 000

In the Thirteenth Annual Report of the Board of Actuaries of the Civil Service Retirement and Disability Fund, it is recommended that the annual appropriation of the Government in support of this fund be $52,053,664 per annum. It is stated that this amount is necessary to meet the Government's current liability and to amortize its accrued liability. In view of all the circumstances, it is believed that a minimum of $40,000,000 should be appropriated for the fiscal year 1936 and the estimate is accordingly submitted in this amount.

Appropriation: Canal Zone retirement and disability appropriated fund, 1936 Actual appropriations or estimates:

Estimated...
Appropriated 1935.
Appropriated 1934.

$500,000

Since the creation of this fund by the act of March 2, 1931, there has been no amount appropriated by the Government for credit to the fund. In view of this fact and in order to provide sufficient funds to meet expenditures which may be required during the fiscal year 1936, and pending an actuarial evaluation of the fund, the Commission is estimating for an appropriation of $500,000. It is believed that this is the minimum amount which should be appropriated at this time.

EXPLANATION OF CENTRAL OFFICE AND FIELD EXAMINATIONS

Mr. WOODRUM. Will you make a distinction between the central office and the field examinations?

Mr. MITCHELL. You mean how they are held?

Mr. WOODRUM. What is a central-office examination and what is a field examination? What is the difference?

Mr. MITCHELL. The central-office examination embraces all of those that cover the entire Nation. A district examination embraces those positions which apply to a particular locality, which will be filled from a particular locality, such as post-office carriers, or other positions where the appointments are made from the particular locality.

Mr. WOODRUM. What determines whether appointments are made from a particular local register or from the national field register?

Mr. MITCHELL. The Commission by its rules has determined that. Mr. VIPOND. If, for instance, the examination is for a position in a department at Washington it falls within the apportioned service, and therefore has to be held throughout the country.

If it is an examination for an appointment in a particular locality, as Mr. Mitchell has stated, for a position such as clerk or carrier, or for an employee in a custodial position, or for a position in a navy yard, the examination is localized in the general vicinity of the place where the vacancy occurs.

INCREASE IN WORK OF COMMISSION

Mr. MITCHELL. We have a statement which we will insert in the record showing the increased work of the Commission during the last year, and the continually growing work of the Commission.

Despite the fact that for the year 1936 we are only asking for $40,000 more than we had in 1932, you will see by the table which we submit that the work has doubled.

Mr. VIPOND. In some features of the work it has doubled.

Mr. MITCHELL. There is great necessity for continuing that examination work. On all of our registers, including the central office and the field, there are now 9,341 over 3 years old, and only 2,634 less than 3 years old. It is our plan to replace those old registers as fast as we possibly can, always keeping in mind that we do not want to hold an examination unless there is a possibility of there being positions to be filled by the applicants.

(The statement above referred to is as follows:)

Items of work, United States Civil Service Commission, by fiscal years

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STATUS OF ELIGIBLE REGISTERS, SEPTEMBER 1, 1934

The following shows the status of the registers of eligibles of the Commission as of September 1, 1934:

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Permanent or emergency

Department or office

NUMBER OF OFFICERS AND EMPLOYEES IN EACH BRANCH OF THE CIVIL SERVICE

Number of civil officers and employees in the executive branch of the Federal Government, with additions and separations for the month of October

1934

In District of Columbia

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Separations

Net gain or

loss

Total ending month

Total

Grand total

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