and overtime for which we had no provision. I have had to dismiss 40 persons, but we still could not make it.

Mr. CANNON. It is a statutory requirement; you have no choice in the matter?

Mr. ANDRETTA. That is right.

Mr. CANNON. When they are separated from the service, they must be paid?

Mr. ANDRETTA. That is right. Again here, if we had the transfer clause, we would have been able to take care of it, but we did not have it this year so we could not do it.

Mr. CANNON. Thank you, Mr. Andretta.

Mr. ANDRETTA. Thank you so much, Mr. Chairman.

THURSDAY, May 23, 1946.

ADMINISTRATIVE OFFICE OF THE UNITED STATES

COURTS

STATEMENTS OF HON. JOHN BIGGS, JR., SENIOR UNITED STATES CIRCUIT JUDGE, THIRD CIRCUIT; HON. JAMES W. MORRIS, ASSOCIATE JUSTICE, UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA; ELMORE WHITEHURST, ASSISTANT DIRECTOR; AND JOHN C. BROWN, BUDGET OFFICER

PROBATION SYSTEM

Mr. CANNON. We have three items here of about $98,500 for the Administrative Office of the United States Courts, which are contained in House Document No. 552.

First is the probation system, United States courts, $20,000. There has been made available heretofore $1,398,000. Why the need for this additional $20,000?

Mr. WHITEHURST. Mr. Chairman, we thought that we could absorb about $50,000 of the cost of the increased pay brought about because of Public Law 106, but we find now that we cannot absorb quite that much. We overestimated it by $20,000.

The reason for that is that the probation officers have been returning from military service much more rapidly than we anticipated. Nearly a third of the probation officers were in the military service. They have come back at increased salaries over those that they were receiving at the time they went into the service, and usually at greater salaries because of their length of service, than those of the officers who replaced them while they were in military service. In addition to that, we have had to pay for the accumulated leave of those who were being replaced by the returning veterans.

Mr. CANNON. And those who were performing their services were promptly dismissed?

Mr. WHITEHURST. In almost every instance.

Mr. CANNON. There is no overlapping of salaries of those who were here and those who have returned?

Mr. WHITEHURST. Almost none.

MISCELLANEOUS SALARIES

Mr. CANNON. Then miscellaneous salaries is the next item. I see that here you also ask for an additional $20,000 over the $1,485,000 provided for this purpose. Why do you need that amount?

Mr. WHITEHURST. The same situation applies with respect to that. We tried to absorb $234,800 of the Pay Act costs which amounted to $319,800, but that was a little more than we could absorb.

Mr. CANNON. What was it that you failed to estimate properly? What item occasioned that failure to absorb the entire $20,000?

Mr. WHITEHURST. One reason has been that the number of law clerks to judges has been very uncertain. Law clerks have been difficult to get. During the war many judges were not able to find law clerks, but since the war they have been appointing them more rapidly.

Mr. CANNON. They have been getting them more quickly than anticipated?

Mr. WHITEHURST. Yes.

NEED FOR DECISION OF COMPTROLLER GENERAL ON TERMINAL LEAVE FOR SECRETARIES AND LAW CLERKS OF JUDGES

Mr. CANNON. I see that $10,000 of this is contingent upon the Comptroller's decision.

Mr. WHITEHURST. That is correct.

Mr. CANNON. Can you not hurry that up? Why the delay? Mr. WHITEHURST. We have done all we can, Mr. Chairman.

I

have telephoned the Comptroller General's office as many times as I felt that it was within propriety to call him.

Mr. CANNON. Why the delay?

Mr. WHITEHURST. I think that they are having difficulty deciding

the question.

Mr. CANNON. When was a decision first applied for?

Mr. WHITEHURST. December 5, 1945.

Mr. CANNON. They have had from December 5, 1945, to May 23, 1946, and yet they have not given you an opinion?

Mr. WHITEHURST. That is correct.

Mr. CANNON. Something is wrong down there.;

Mr. TABER. I would think that the gentleman ought to tell the Comptroller's office that he was requested by this committee to say that we hope they will make a decision right away.

Mr. CANNON. You call them up and tell them that is the request of this committee-that we have a decision up here within 2 days, in order for us to write this bill.

Mr. WHITEHURST. Yes. However, there is this to be considered. Even if they hold that the leave laws are not applicable to secretaries from this time on, it may be that they will hold, that up until the time their decision is rendered, those secretaries and law clerks who have separated from the service are entitled to payment for their leave, in which case we would need the $10,000.

Mr. CANNON. Otherwise you would not need it?

Mr. WHITEHURST. That is right.

Mr. CANNON. You tell them that the committee needs the information and that we would like to have it within 2 days. Mr. WHITEHURST. Yes.

COURT REPORTERS

Mr. CANNON. Now, there is $58,500 for court reporters in 1946, which is a rather large amount. We have already given $700,000. Why so large an amount?

Mr. WHITEHURST. This is the first year in which an appropriation for court reporters has been made. The appropriation became effective July 1, 1945. Our estimate was $815,000, and the Appropriations Committee, on the theory that the appointments would not be made promptly, cut our estimate to $700,000 and made an appropriation of $700,000. Their estimate was off by about $58,000. Mr. CANNON. We thank you gentlemen very much.

THURSDAY, MAY 23, 1946.

FEDERAL WORKS AGENCY

STATEMENTS OF MAJ. GEN. PHILIP B. FLEMING, ADMINISTRATOR, FEDERAL WORKS AGENCY; ERNEST E. HALL, EXECUTIVE OFFICER; D. E. A. CAMERON, BUDGET OFFICER; GEORGE H. FIELD, COMMISSIONER, BUREAU OF COMMUNITY FACILITIES; PERE F. SEWARD, DEPUTY COMMISSIONER FOR ENGINEERING; MRS. MARY G. MOON, DEPUTY COMMISSIONER FOR SERVICE PROJECTS; AND WALTER H. DUNCAN, DEPUTY COMMISSIONER FOR ADMINISTRATION

BUREAU OF COMMUNITY FACILITIES

Mr. CANNON. General Fleming, we have an estimate here in House Document No. 589 for the Bureau of Community Facilities, for an additional $50,000,000 which, with the $30,000,000 already appropriated, would give you $80,000,000.

BASIS FOR ESTIMATES

I note that the grounds on which this additional amount is asked are that it is needed for advance planning and it is provided that it shall remain available until June 30, 1947.

On April 30, 1946-I believe that is the last day on which we had statistics available-all but $33,831 had been apportioned among allottees, and $25,766,393 of advances within apportionments had been approved, leaving $3,336,606 for further advances.

I see that according to your justifications you expect to have that down to $1,551,350 by June 30, 1946, the end of the fiscal year.

That would leave you 2,504 applications unfilled on April 30, 1946, with estimated cost of construction pursuant to advances approved through April 1946, of $1,084,864,000.

The estimated cost of construction in consequence of the pending estimate would be $1,500,000,000.

This is rather a substantial amount, General Fleming, $50,000,000. Will you give us an explanation of just why it is required?

87389-46- -3

General FLEMING. I think I will ask Mr. Field to give you most of the justification, Mr. Chairman. I have been out of the country for a couple of months. At the request of the President, Mr. MacDonald and I went to India to advise the Indian Government on their highway system. While I was there, I acquired some kind of a skin infection. So, for the last 2 weeks, I have been in the hospital and I just came out this morning.

You have stated the situation very adequately.

Mr. Chairman, I have a statement in the form of a letter to you, that I would like to put in the record, if I may.

Mr. CANNON. You may submit that.

General FLEMING. I want to make it clear that these estimates are not to provide for any deficiencies that we have created. They are for funds that we need to carry on in 1947.

Mr. CANNON. It is really a part of your 1947 program?

General FLEMING. That is really what it is, and I would like to have you look at it that way and not as any deficit that we have created by bad management. We have conserved our funds.

Mr. CANNON. It does not indicate any modification in your policy or plans?

General FLEMING. No, sir.

Mr. CANNON. You are merely going ahead with your 1947 plan as heretofore submitted to the committee?

General FLEMING. That is correct, sir. May I put this letter in the record?

Mr. CANNON. It may be included at this point. (The matter referred to is as follows:)

Hon. CLARENCE CANNON,

FEDERAL WORKS AGENCY,

Chairman, House Committee on Appropriations,

Washington 25, D. C.

House of Representatives, Washington 25, D. C.

MY DEAR MR. CANNON: Having in mind the repeated admonition of the House Committee on Appropriations that Federal agencies operate their programs not only within their appropriated funds, but that they operate in such a manner and at such a rate that they will not incur deficits, the several activities of the Federal Works Agency for which funds are customarily provided on an annual basis have been carefully reviewed prior to the start of the fiscal year 1947.

Sound administration requires that such a review be made, as conditions and programs are quite susceptible to change during the long period which elapses from the time that the regular formal estimates on which annual appropriations are based are submitted to the Bureau of the Budget and the start of the fiscal year.

As the result of this review, I recently submitted to the Bureau of the Budget a number of estimates of appropriations reflecting such changes in conditions and programs as had become apparent would cause expenditures or rates of expenditure to exceed those previously provided for during the fiscal year 1947.

The President has sent to the Congress a communication which transmitted several of these supplemental estimates which in turn have been referred to the House Committee on Appropriations for its consideration.

Before taking up each of these estimates in detail, I take this opportunity to point out that none of them are to cover deficiencies for the fiscal year just ending and to emphasize that the objective in presenting them at this time is to avoid deficiencies in meeting the altered requirements which have become apparent since the appropriations were made.

Of the eight estimates which are before you, three are in the nature of regular annual appropriations for the fiscal year 1947, estimates for which have been purposely deferred until the last possible moment so as to reflect the latest conditions on which to base programs and objectives for the fiscal year. These provide for

(1) Continuing the availability of funds for the completion of projects originally undertaken by the now extinct Public Works Administration;

(2) Continuing the program authorized to encourage planning of nonFederal public works under title V of the George Act;

(3) Administrative provision for closing-out the affairs of the communityfacilities program.

Two of the estimates provide for continuation of activities during 1947 for which current appropriations will expire June 30, 1946. These are for:

(1) Continuing the financial assistance to schools under title II of the Lanham Act;

(2) Provision for allowances to veterans under the decentralization program which has previously been financed from the Emergency Fund for the President.

Two of the estimates are to provide additional funds during 1947 for activities previously authorized, appropriations for which have been found to be inadequate to meet 1947 requirements. These are for:

(1) Continuing the construction of the west central heating plant;

(2) Expense during 1947 in connection with the operation of the Denver Federal Center which was established and taken over late in 1946.

One estimate is for a new activity-the continuous survey and control of space occupied by Federal agencies which was directed by the President by memorandum of April 3, 1946.

Of the estimates listed above, the three for the Bureau of Community Facilities are before you for discussion today in connection with the current urgent deficiency bill. The others will be the subject of early discussion in connection with the third deficiency bill.

The fact that further changes in conditions are not unlikely and the further fact that not all of the changed conditions which have been anticipated by the Federal Works Agency have been completely covered in the estimates now before you, prompt me to point out to you that it appears at this time that it will be necessary for me to request further considerations at some time during the fiscal year 1947.

I have with me today members of my staff and the Commissioner of Community Facilities who is prepared to discuss with you the details of the estimates for activities under his immediate direction. I assure you that the funds and programs assigned to the Federal Works Agency, and in turn to our constituent units, will be administered properly, efficiently, and expeditiously.

Sincerely yours,

PHILIP B. FLEMING,
Major General, United States Army,
Administrator.

GENERAL STASEMENT

Mr. CANNON. We shall be glad to hear Mr. Field at this time. Mr. FIELD. We have been before the committee three times on our advance planning program. We started off when the war was still on, with the first appropriation of 121⁄2 million dollars, and then last December we received another 17%1⁄2 million dollars, to make a total of 30 million dollars.

It was wise to start off slowly because of the fact that while the war was still on there was some difficulty in some areas in getting architects and engineers. The program got under way very well, however. There were some people in some of the communities that thought that this was preliminary to grants for construction, and we had a real task, as you know, of dispelling that thought. The law itself says that there is no commitment on the part of Congress to help finance construction. Last December, in the deficiency bill, you emphasized this by providing that no loan shall be made or participated in by any Federal agency for the construction of any public works, plans for which have been wholly or partly financed out of this appropriation, except in pursuance of specific authorization.