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Satu (When a fiere -- There are herebr established, in the Department, the Opis fill Surgeon General of the Public Health Service, (2) Commissioner of Niti 102 and 137 Commissioner of Social Security. The Surgeon General shall be the head of the Public Health Service and shall perform such other duties conOerung health & trav be required by law or as the Secretary may prescribe purning to all The Commissioner of Education shall be the head of the Office o diucation and shall perform such other duties concerning education as may be required by law or as the Secretary may prescribe pursuant to law. The remissioner of Social Security shall be the head of the Social Security AdminisMton and shall perform such other duties concerning social security and public Weitert ses may be required by law or as the Secretary may prescribe pursuant to

There are hereby transferred to the Surgeon General and to the Commistoner of kiducation, provided for in this section, all of the functions of the heretovorni plisting Surgeon General of the Public Health Service and all of the functhens of the heretofore existing Commissioner of Education, respectively. The surgen Cieneral, the Commissioner of Education, and the Commissioner of Social Security shall each report directly to the Secretary; have professional qualitiektions, experience, and training appropriate to the duties of his office; be appointed by the President, by and with the advice and consent of the Senate;

le lorop in the case of a Surgeon General who is a member of the commisstoned legular Corps of the Public Health Service) receive compensation at the

$18,000 per annum. The Surgeon General shall hold office for a term of for lewis, The Surgeon General may be appointed from the commissioned Pular torps of the Public Health Service, and if so appointed (1) he shall not Cew to be member of such corps by reason of his appointment as Surgeon Ceneral, aud (2) provisions of law applicable to the heretofore existing office of Nurgeon General of the Public Health Service, including those with respect to pay

I allowances, shall be applicable to him. No Idministrative services.-In the interest of economy and efficiency the

ntary may from time to time establish central administrative services in the felds of procurement, budgeting, accounting, library, legal, and other services He activities oommon to the several agencies of the Department; and the Secre

PN must etteot such transfers within the Department of the personnel employed, the property and records used or held, and the funds available for use in connection With mich administrative service activities as he may deem necessary for the Adduct of any services so established: Provided, however, That nothing conturment in this section shall be deemed to authorize the Secretary to transfer or Inuove from the control of the Surgeon General, the Commissioner of Education,

the Commissioner of Social Security any professional or substantive functions inted in them respectively under the provisions of this reorganization plan or of law herefter enacted.

Nk: 7 Abolitions.—There are hereby abolished (1) the Federal Security Agency fewmusive of the agencies transferred by the provisions of section 1 (b) of this Plantion plan), (2) the office of Federal Security Administrator, (3) the office w mistant Federal Security Administrator, (4) the two offices of assistant heads of the Federal Security Agency provided for in section 5 of Reorganization Plan No of 1946 (60 Stat. 1095), (5) the heretofore existing office of Surgeon General of the Public Health Service, and (6) the heretofore existing office of Commissioner In Hiducation.

Sne8. Interim officers.—The President may designate and empower any perw who is an officer of the Federal Security Agency immediately prior to the taking piloot of the provisions of this reorganization plan to perform for a period not predling 60 days the functions of any office provided for by sections 2, 3, 4, or

of this reorganization plan pending the appointment of the first person appointed O mich office. While so performing said functions any person designated hereMendor shall have the title of the office concerned, with the prefix “Acting,” and, if the President so directs, receive the compensation of such office. Hinnated under this section shall by reason of such designation forfeit his rights with respect to his office held immediately prior to the taking effect of the provisions of this reorganization plan.

)

No person

(s. Res. 302, 81st Cong. 2d sess.)

RESOLUTION

Tirsolved, That the Senate does not favor the Reorganization Plan Numbered 27 1950 transmitted to Congress by the President on May 31, 1950.

SENATE COMMITTEE ON EXPENDITURES IN THE EXECUTIVE DEPARTMENTS,

June 3, 1950. Staff Memorandum No. 81-2-62 Subject: Reorganization Plan No. 27 of 1950—To establish a Department of

Health, Education, and Security.

The President on May 31, 1950, submitted to the Congress Reorganization Plan No. 27 of 1950 which provides for the establishment of a new department of Government to be known as the Department of Health, Education, and Security

PROVISIONS OF PLAN NO. 27

To the Department would be transferred all components of the present Federal Security Agency, which would be abolished. Two of the three present major components of FSA, the Public Health Service and the Office of Education, would retain their independent statutory authority within the new department. Their relationship to the Secretary of Health, Education and Security would be the same as that to the Federal Security Administrator at the present time. Functions of the third major component, the Social Security Administration, now vested in the Federal Security Administrator, would be lodged in the new Secretary. No new functions or programs, other than those presently incorporated in the Federal Security Agency, are provided for by the plan.

In addition to the Secretary, the plan provides for an Under Secretary, an Assistant Secretary, an Administrative Assistant Secretary, the Office of Surgeon General, Commissioner of Education, and Commissioner of Social Security, all of whom would be appointed by the President subject to approval by the Senate, except the Administrative Assistant Secretary who would be appointed by the Secretary from the classified civil service, subject to the President's approval. The plan provides that the Surgeon General, Commissioner of Education, and Commissioner of Social Security shall have professional qualifications, experience, and training appropriate to their duties.

All present functions of the Federal Security Administrator are transferred to the Secretary. The plan provides that the Surgeon General shall be the head of the Public Health Service, the Commissioner of Education shall be head of the Office of Education, and the Commissioner of Social Security shall be head of the Social Security Administration. Each officer shall perform such other duties concerning his respective field as may be required by law or as the Secretary may prescribe pursuant to law. All functions of the heretofore existing Surgeon General are transferred to the new Surgeon General and all functions of the heretofore existing Commissioner of Education to the new Commissioner of Education. No transfer of functions of the heretofore existing Commissioner of Social Security is made since it appears that they would be lodged directly in the Secretary himself, on the same basis as they are in the Federal Security Agency Administrator at present. The Secretary is given authority to redelegate functions vested directly in him to any department agency, officer, or employee.

The Secretary is authorized to establish central administrative services for procurement, budgeting, accounting, and other activities common to the Department's several components, provided, however, that such authority does not permit of the transfer from the Surgeon General, the Commissioner of Education, or the Commissioner of Social Security professional or substantive functions vested in them by statute.

The President is authorized to designate any person who was an officer of the Federal Security Agency immediately prior to the taking effect of Reorganization Plan No. 27 to perform the functions of any office provided for by section 2, 3, 4, or 5 of the plan for 60 days, pending the appointment of the first person to be appointed to such office.

COMPARISON WITH REORGANIZATION PLAN NO. 1 OF 1949—TO ESTABLISH A DEPART

MENT OF WELFARE

The major difference between Reorganization Plan No. 1 of 1949 (creating a Department of Welfare), and Reorganization Plan No. 27 of 1950 is that the original plan centered all statutory authority for the proposed Department in the Secretary, while Reorganization Plan No. 27 of 1950 vests statutory authority in the Secretary for only those functions presently vested in the Federal Security Administrator, and retains the independent statutory authority of the Public Health Service and of the Office of Education.

de rest for the appointment of three Assistant Secre

He leite le 27 of 1950 provides for an Under Secretary, Sint Wirninistrative Assistant Secretary, the latter to

svih vrlo kommended by the Commission on Organization Tendent Ciuvernment in its report on Social Security, mint les Plan No. 27 of 1950 also prescribes professional

Larissioner of Education and the Commissioner of * livil tournent was not contained in plan No. 1 of 1949. W WE RECOUMENDATIONS OF THE HOOVER COMMISSION

Roma in general to the Hoover Commission recommendations piletitteiti cabinet department to administer welfare functions

deviations: The Hoover Commission recommended that Sa luministration, the Office of Education, and the Bureau

The Department of Interior) be incorporated in a new

Mini Strurity and Education; and, (b) the Public Health Service VaRin Wash all other major Government medical activities, in a

en la cal Administration, an independent agency which the **** Kami Test be created. Although legislation has been introduced

alutext Medical Administration, no action has been taken on

by the Committee on Labor and Public Welfare, to which it And Commission also recommended that the Secretary be given full

and for the department he would head. Other major recommendadimienthe Hoover Commission, such as the transfer of the Bureau of in vnita Suki the Bureau of Unemployment Compensation and the

URRATtion Appeals Board from the Federal Security Agency to **2288 labor have been effectuated by the Congress. (Reorganizalvo 1949 and Reorganization Plan No. 19 of 1950, respectively.)

CONCLUSION

* * 23 24 2018 Man No. 27 of 1950, as the President pointed out in his ac

Nettewwage is designed to meet the major objections to Reorganization lin 1919. disapproved by the Senate. It adheres generally to the in naturporated in S. 140 (the Taft-Fulbright bill), reported favorably by this Butrint the Eightieth Congress, which provided Under Secretaries for Health, it Welfare with independent statutory authority, and prescribed the

imati pemination of these separate bureaus, including transfer of applicable ****** thereto, with the functions thereof vested in the appropriate Under

In its report to the Senate on this bill (S. 140), on June 6, 1947, the
piletittee on Expenditures in the Executive Departments commented in
N N No. 242, 80th Cong.), as follows:
Apple furry purpose of the legislation is to elevate the existing health,

448ad public-welfare agencies into a departmental status. In order that SAIRAN be made clear and to insure that no additional authority is granted

y department under the provisions of the act, the bill was amended to Con that it does not give the new department any functions other than those

248 24 by previous legislation affecting the Federal Security Agency or any of Herents thereof.

****fore, it should be cearly understood that the purpose of the bill reported Ang Att no way adds authority or contemplates additional appropriations in the yeront of services and facilities in the fields of activity as outlined." *** No. 27, in the opinion of the staff, adheres to these major purposes, and populiaustive hearings were conducted by the committee on S. 140 in the

Th Congress, and Reorganization Plan No. 1 of 1949, each of which had as *r objective the establishment of a department for Federal health, educa1 Wild welfare activities, further hearings would be repetitious and unnecessary, Wher or not a resolution of disapproval is filed.

Miles Scull, Jr.,

Professional Staff Member. roved.

WALTER L. REYNOLDS,

Staff Director.

ܙܙ

STAFF MEMORANDUM No. 81-2–67, SENATE COMMITTEE ON EXPENDITURES IN

THE EXECUTIVE DEPARTMENTS, JUNE 23, 1950 Comparison of (A) Reorganization Plan No. 1 of 1949, to establish a Department of

Welfare; 1 (B) Reorganization Plan No. 27 of 1950, to establish a Department of Health, Education, and Security; ? (C) S. 2060 (substitute) (81 st Cong., 1st sess.), to establish a Department of Health, Education, and Security 3

2

Plan No. 1 of 1949

Plan No. 27 of 1950

S. 2060

Sec. 1: Elevates the Federal Security Agency to the status of an executive department of Government to be known as Department of Welfare.

Sec. 2: (a) Creates a Secretary of Welfare to be appointed by the President subject to confirmation by the

at compensation of $15,000 per annum, or prevailing compensation for Cabinet members;

(b) Consolidates all functions of the Department, of all constituent agencies thereof and of the Federal Security Administrator in the Secretary of Welfare;

(c) Authorizes Secretary to delegate to any officer, employee or bureau of Department any function except that of promulgating regulations which may be delegated

only to Secretary or Assistant Secretary.

Sec. 3: Creates Under Secretary and 3 Assistant Secretaries to be appointed by the President subject to confirmation by the Senate, each of whom shall perform such duties as Secretary shall direct.

Sec. 1: (a) Establishes a De- Sec. 1: Establishes a Departpartment of Health, Education, ment of Health, Education, and and Security as an executive de- Security, to be administered by partment;

a Secretary appointed by the (b) Transfers all agencies, President subject to confirmafunctions, appropriations, per- tion by the Senate at a salary of sonnel, property, records, etc., $15,000 per year. of the present Federal Security Agency to the Department.

Sec. 2: (a) Creates a Secretary Sec. 2: Creates 3 Under Secreof Health, Education, and Se- taries (for Health, Education, curity to be appointed by the and Public Welfare) to be apPresident with the onsent of pointed by the President with the Senate at the prevailing com- consent of Senate at compensapensation for Cabinet members; tion of $12,000 per annum. Each

(b) Transfers all functions of officer shall perform such duties the Federal Security Adminis- concerning his respective field as trator to the Secretary;

may be prescribed by the Secre(c) Authorizes Secretary to tary or required by law. delegate to any officer, employ. Sec. 4: Provides that no powers, ee or agency any function vested functions, or duties shall be conin him.

ferred upon the Department in
addition to those vested in the
Federal Security Agency and/or
its constituent units upon the

effective date of the act.
Sec. 3: Creates an Under Sec-
retary and an Assistant Secre-
tary, each of whom shall be ap-
pointed by the President with
the consent of the Senate at pre-
vailing compensation for such
executive positions.

Sec. 4: Creates an Adminis-
trative Assistant Secretary to be
appointed by the Secretary with
the approval of the President
from the classified civil service
at compensation of $14,000 per
annum.

Sec, 5: Establishes the offices Sec. 5: (a) Establishes within of (1) Surgeon General of Public the Department (1) a Bureau of Health Service; (2) Commission- Health; (2) a Bureau of Educaer of Education; (3) Commis- tion; and (3) Bureau of Public sioner of Social Security. Pro- Welfare, each of which, under the vides that Surgeon General shall immediate supervision of the be head of Public Health Ser- respective Under Secretaries, shall vice, Commissioner of Educa- have charge of the indicated tion, head Office of Education, function. and Commissioner of 80- (c) Authorizes Secretary to apcial Security, head of Social Se- point advisory Committees of curity Administration, and that qualified persons not otherwise each officer shall perform such employed by the Government to other duties concerning his res- consult upon major policies in the pective field as may be required fields of health, education and by law or as the Secretary may public welfare. prescribe

Sec. 4: Abolishes Office of Federal Security Administrator, Assistant Federal Security Administrator, and 2 assistant heads of Federal Security Agency.

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pursuant to law. (d) Authorizes Secretary to Transfers to the Surgeon Gen- delegate to any officer, board, or eral all functions of heretofore employee any functions vested in existing Surgeon General, and to him except that promulgation of the Commissioner of Education regulations may be delegated to all functions of the heretofore an Under Secretary only. existing Commissioner of Edu- Sec. 6: (a) Transfers the Office cation. The Surgeon General, of Federal Security AdminisCommissioner of Education, trator and the Federal Security and Commissioner of Social Se- Agency and its constituent units curity shall (1) report directly to to the Department the functions the Secretary, (2) possess appro- of which shall be allocated, dispriate professional qualifica- tributed and administered by the tions, experience and training, Secretary subject to sec. 5 above and (3) be appointed by the and subsecs. (b) and (c) which President with the consent of follow: the Senate and except for the (b) The following agencies Surgeon General receives com- shall be transferred as indicated:

See footnotes at end of table, p. 8.

Comparison of (A) Reorganization Plan No. 1 of 1949, to establish a Department of

Welfare; ' (B) Reorganization Plan No. 27 of 1950, to establish a Department of Ilealth, Education, and Security; ? (C) S. 2060 (substitute) (81st Cong., 1st sess.), to establish a Department of Health, Education, and Security 3—Continued

2

Plan No. 1 of 1949

Plan No. 27 of 1950

S. 2060

pensation at $14,000 per annum. To the Bureau of Health; Public The Surgeon General shall hold Health Service, Food and Drug office for 4 years; may be ap- Administration, Freedmen's pointed from the Public Health Hospital, and St. Elizabeths Service Commissioned Corps, | Hospital; to the Bureau of Eduand if so appointed shall not cation; the U. S. Office of Educacease to be a member of such tion; to the Bureau of Public corps and shall be compensated Welfare; Social Security Adminby applicable law.

istration. Sec. 6: Authorizes Secretary to (c) Federal Security Adminisestablish central supply, budget. | tration functions relating to ading, accounting, etc., services ministration of Howard Univereflecting such departmental sity, American Printing House transfers deemed necessary, pro- for the Blind, and the Columbia viding he neither transfers nor Institute for the Deaf, are transremoves from the Surgeon Gen- ferred to the Bureau of Educaeral, Commissioner of Educa- tion. tion, or Commissioner of Social Sec. 11: The act shall take effect Security, any professional func- 90 days after date of its enacttions vested directly in them. ment.

Sec. 7: Abolishes Federal Security Agency, Federal Security administrator, Assistant Federal Security Administrator, 2 assistant heads of Federal Security Agency, heretofore existing Office of Surgeon General, and heretofore existing Commis

sioner of Education.
Mer, 2; (d) Present Federal Secu- Sec. 8: Authorizes President to
rity Administrator to serve as Acting designate any officer of Federal
Necretary of Welfare for not more Security Agency to head any of-
than 60 days pending initial appoint- | fice provided for by secs. 2, 3, 4,
ment of Hecretary.

and 5 above for 60 days pending
initial appointment to such of-
fices.

MILES SCULL, Jr., Professional Staff Member. Approved,

WALTER L. REYNOLDS, Staff Director. ! Rejected by the Senate Aug. 16, 1949 (S. Rept. No. 851). H, Res. 302" (Tast, et al.) disapproving Reorganization Plan No. 27 of 1950, filed June 22, 1950.

Identical to S. 140, 80th Cong., 1st sess. Reported favorably by Senate Committee on Expenditures in the Executive Departments (S. Rept. No. 242).

The CHAIRMAN. Some week or 10 days ago, as chairman of the committee, I called these hearings and announced that we would hold public hearings for 2 days, today and tomorrow. We are going to undertake to conclude hearings tomorrow.

So far there are 24 and possibly 25 witnesses who desire to testify on this resolution and reorganization plan. I want to give the spon

. sors of the resolution and the representatives of the executive departments who actually are interested in this and are involved in this proposed plan, ample time to thoroughly state their position, either in support of or in opposition to the plan. Thereafter I am going to ask witnesses to try to confine their testimony to 10 minutes. There is no use rehashing a lot of history about this. The history is a matter of record here, and we are pretty well familiar with it, and we are going to ask the witnesses, then, to just state categorically why they are for and why they are against, and let us confine this to the issue and try to expedite these hearings.

Senator Taft, we are very glad to have you with us this morning, and since you are the author of the resolution of disapproval, the com mittee will be glad to hear you in support of your resolution.

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