Department estimates and budget allowances, 1965—Continued Department estimates and budget allowances, 1965-Continued 1 Includes estimates of amounts to be transferred to the Office of the Inspector General and the Office of Management Services. 2 Decreases include transfers to OIG and OMS. Apparent increase only due to no estimates for OIG and OMS at Department stage. End-of-year employment as of June 30, 1965-Department estimates and budget allowances Subsequently, the following requests were received by the Department: BUREAU OF THE BUDGET, Memorandum for heads of Departments and Agencies: The President has asked me to transmit to you the attached directive concerning control of Federal employment. You will note that the President asks for prompt and personal action on your part, and that he plans to review each response personally. The initial action required is an identification of new end-of-year employment targets for fiscal years 1964 and 1965 below those allowed your agency by the President's decisions on the 1965 budget. If you have not yet been notified of that allowance, you will be advised immediately. As guides to the preparation of your report to the President, I would suggest the following: 1. That the new targets for large agencies be broken down into subtargets for each of the major constituent parts of the agency. 2. That the targets differentiate between permanent and other employees. 3. That the new targets be achieved by methods which produce meaningful Government economies, rather than by devices of a merely statistical nature. 4. That this report be submitted to the President no later than January 10, 1964. The form and content of the quarterly progress reports also required by the President will be the subject of a future memorandum. KERMIT GORDON, Director. THE WHITE HOUSE, Washington, December 24, 1963. Memorandum for the heads of departments and agencies. The budget which I will send to the Congress next month will not only halt the growth in Federal employment, but will actually make a small reduction from this year's level. Even though nothing like this has happened in the last decade, I am still unconvinced that we are getting the maximum possible output per employee. I believe we can do better. The Budget Director will shortly notify you of the yearend maximum employment levels which result from my final budget decisions for both fiscal years 1964 and 1965. Let me make it clear that these end-of-year figures are ceilings, not goals. As soon as these figures reach you, I want you personally to reexamine your employment situations and to establish new end-of-year targets below these maximums. I want you to report these targets to me promptly. I will review them personally. When I approve new targets for your agency, you will put them into effect and make strenuous efforts to achieve them through tighter management, redeployment of personnel, simplification of procedures, and stripping work to essentials. I will expect you to make quarterly reports to me, beginning April 1, 1964, on what you have accomplished under this effort. Finally, once I have given my approval to your new targets, they are not to be exceeded without my explicit approval. LYNDON B. JOHNSON. Following this review the Department submitted the following to the President on January 10, 1964: THE PRESIDENT, Washington, D.C. JANUARY 10, 1964. DEAR MR. PRESIDENT: As requested in your memorandum of December 24, I have personally reviewed again the employment situation in this Department to establish new end-of-year targets for 1964 and 1965 below the figures resulting from final decisions on the 1965 budget. I had already made substantial reductions in our employment targets in the process of arriving at final budget decisions. These included not only reductions based on curtailing or eliminating lower priority work but also sizable decreases in estimated employment resulting from increased employee productivity, improved procedures and organization, and other administrative actions which will be accomplished in the months ahead. These reductions, and those now proposed, may be summarized, as follows: Total, based on 1965 estimates submitted by agencies of the Department to Total, based on the Department's 1965 estimates as submitted to the Budget Revised targets.. In all, the employment targets for the Department have been reduced, from those based on the estimates submitted initially by the agencies of the Department, by 8 percent in 1964 and 20.5 percent in 1965. We will continue to look for every possible opportunity to reduce employment and achieve economies. feel, however, that further reductions below those indicated cannot be projected at this time. I I should emphasize that the above targets are based on the present outlook for the Department's programs and the current projections of funds which will be available in 1964 and 1965. Within the totals for the Department, it may be necessary to make some shifts in order to make the most effective use of our manpower. If additional responsibilities are assigned to the Department or programs are increased above the current projections, it may be necessary to request your approval for a revision in the employment targets. The enclosed table shows the revised targets, identifying permanent and other employees, and indicating separately the figures for the larger components of the Department. Respectfully yours, ORVILLE L. FREEMAN, Secretary. In considering the apportionment of the 1964 appropriations, based on the 1964 Agricultural Appropriation Act, approved December 30, 1963, the Budget Bureau tentatively established reserves totaling $3,547,000 pending further review in light of the requirements of section 603 of the 1964 Foreign Aid and Related Agencies Appropriation Act. Shortly thereafter the Department was informally requested by the Bureau of the Budget to propose reserves in 1964 and budget amendments in 1965 which would achieve the total employment reductions indicated in the above letter of January 10, 1964. The Department's response to this request was submitted on February 18, 1964. Based on further review and discussions with the Budget Bureau, final determinations on these items resulted in the following: Budget reserves, 1964, to achieve reductions in June 30, 1964, employment of approximately 743 below the total shown in the 1965 budget 1 In addition, the pending supplemental estimate of $590,000 for meat inspection will be revised to provide for transfer of this amount from plant and animal disease and pest control funds initially placed in reserve by the Budget Bureau in lieu of an additional appropriation. Budget amendments, 1965, to achieve reductions in June 30, 1965, employment below the total shown in the 1965 budget EFFECT OF PROPOSED LEGISLATION ON 1965 ESTIMATES Mr. WHITTEN. How much of this reduction in the budget request is contingent upon passage of new legislation? Can we have those itemized? And how much saving do you contemplate by getting the Congress to pass laws? |