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Stationery, office supplies, drafting supplies, etc.
Materials (lumber, paint, etc.)
Streetcar fares.
Western Union time service.
Rental of statistical tabulating machines.
Repairs and alterations (consisting principally of work done by superin-

tendent of building on reimbursable basis) Laundry service...

$50, 465

50 505 1, 174 237

48 15, 630

1, 174


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File cases.
Adding, computing, mimeograph, addressograph, and other similar ma.

Other furniture and furnishings.
Repairs to typewriters.
Repairs to machines other than typewriters.
Repairs to and refinishing of furniture.

Total furniture, furnishings, and fixtures.
Books for department library.

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122, 125


Mr. UMSTEAD. I believe that the Secretary's office makes a.ments of this appropriation to the several bureaus and offices of Navy Department.

Mr. BERGMAN. Yes, sir.

Mr. UMSTEAD. And you prepare your estimate from the allotme for the current year? * Mr. BERGMAN. Yes, sir; from the allotment's as made to : bureaus and offices for 1938 are deducted nonrecurring items : needed in 1939, thus arriving at a base for 1939. To this base is a additional items required in 1939, and that becomes our 1939 estins'

Mr. UMSTEAD. You are asking for an increase of $17,125, which accounted for by proposed modified allotments which you may is cate by bureaus and offices.


Mr. BERGMAN. Yes, sir.

By activities

Plus ad1938 bu- Minus

ditional reau al- nonrecur- 1939 base amounts lotments ring items

required for 1939

$200 5, 485 1,500

$1,450 2.850 3, 555


Secretary's Office.
Judge Advocate General.
Chief of Naval Operations.
Director of Naval Communications
Office of Naval Intelligence.
Naval records and library.
Bureau of Aeronautics.
Bureau of Construction and Repair
Bureau of Engineering.
Bureau of Medicine and Surgery
Bureau of Navigation..
Bureau of Ordnance
Bureau of Supplies and Accounts.
Bureau of Yards and Docks.
Hydrographic Office
Lump sum to cover cost of items issued to bureaus on
allowance basis....



1,825 3, 150 9, 075 2,865 4, 070 2, 260 1, 900 2,000 4, 500 10, 050

1,850 26, 225 1,200 1,000

80 200


1,825 2,950 3,590 1, 365 4,070 2, 260 1, 900 1, 920 4,300 10, 050

1,850 26, 225 1, 200 1,000 23,000

1, 450 1. 200


23, 000 105,000

7, 465

97, 535


INCREASES REQUESTED FOR 1939 Mr. UMSTEAD. Mr. Bergman, you may proceed now to explain the red for the additional allotments just indicated.


Mr. BERGMAN. Taking them up in order, the first increase requested for the Office of Chief of Naval Operations, as follows: ) Two time-lock safes....

$800 ) One calculating machine

350 1 Universal drafting machine.

300 Total.---

1, 450 (1) The safes are required in the War Plans Division and the secret le room for the proper security of war plans and other confidential latter.

(2) One calculating machine is required in the Fleet Training Vivision for replacement of an unsuitable machine.

(3) The Universal drafting machine is required in the Fleet Training ivision for gunnery practice diagrams and plotting fall of shot bservations.


The next increase is for the office of Director of Naval Communicaons as follows: 1) Chart and map paper for special confidential projects.-

$1, 500 2) Two (2) electric bookkeeping machines..

1, 350 Total...

2, 850 (1) The chart and map paper is required for the production of pecial codes, ciphers, and other secret items to be produced by multith equipment, which equipment was authorized under the approriation for last year.

(2) The two electric bookkeeping machines are required to replace wo machines which have been in constant use for nearly 8 years. 'hese machines are of an obsolete type and difficulty is encountered 1 obtaining parts to replace worn out parts. They have been repaired om time to time at considerable expense. These machines are used ) make up bills covering commercial radio traffic handled by naval adio stations and during the past 8 years there has been turned in

the Treasury as miscellaneous receipts, approximately $40,000 per ear, covering this traffic.

The office of Naval Intelligence requests increases as follows:
D) Two time-lock safes...

$3, 000 ! One mimeograph machine.

555 Total...

3, 555 (1) These safes are necessary for the foreign-information desks to eplace safes which are too small and which do not possess class A ecurity. Six safes were requested in the 1938 estimates; however, Il but one ($1,500) were eliminated.

(2) The mimeograph machine, with slip-card attachment, is ner to replace a machine which is 20 years old. This machine car. operated only at slow speed, and much time is thereby wasted.


The Bureau of Aeronautics requests increases as follows: (1) Furniture and furnishings(2) Typewriters. (3) Dictograph (4) One mimeograph machine

Total.-(1) Additional desks and chairs to replace old, worn-out pieces au for use of new personnel and much needed file cases in which to : current correspondence and reports.

(2) Typewriters for replacement of worn-out machines.

(3) Two dictograph handsets are needed to complete the interc municating system from the chief's office to divisions.

(4) To replace practically worn-out mimeograph machine.


The following increases are requested by the Bureau of Engineeri(1) Stationery and office supplies, drafting supplies, etc. (2) Typewriters.(3) Furniture and furnishings. (4) One calculating machine.

Total.. (1) The Bureau was able to hold expenditures under this item $971 during 1937 only because of supplies that were on hand at : beginning of the year. Because of the smaller quantity of suppia on hand at the beginning of 1938, it will be difficult to operate wi. the same amount of money for this year, and by 1939 an increase be essential.

(2) Only two typewriters were replaced during 1937 and funds a allowed for the same number under the 1938 allocation. Due to tage and condition of typewriters in use in the Bureau, a total of : should be replaced in 1939.

(3) The increase requested under this item is required for additiofurniture such as desks, bookcases, etc., and for the replacement chairs and other worn out furniture.

(4) A calculating machine is very badly needed to replace a machithat is not dependable due to age and condition.


The Bureau of Medicine and Surgery requests increases as follos: (1) Stationery and office supplies (2) 1 desk. (3) 1 typewriter. (4) 2 calculating machines (5) 1 bookkeeping machine.


(1) This small increase is to provide for the higher cost of supplies n general.

(2) To replace old and worn out equipment.
(3) For use of additional personnel estimated for 1939.

(4) To replace old and worn out machines, which are continually 'equiring to be repaired. One of these machines is actually out of order and not being used, necessitating constant transfer of available nachines between offices to keep the work up.

(5) To replace an Elliott-Fisher machine used for numbering and abeling manila health-record jackets, which cannot be done by ypewriter. This machine is about 20 years old, has been in constant use and is so worn out the manufacturers state they cannot keep it n running order, owing to the fact that repairs parts are no longer available at the factory for this discontinued model.


The Bureau of Supplies and Accounts requests increases as follows: (1) Stationery and office supplies, etc.

$600 (2) Increased rental of statistical tabulating machines

660 (3) File cases (24.5 percent of normal annual replacement requirement)- 480 (4) Typewriters (40 percent of normal annual replacement requirement). 1,435 (5) Adding, computing, duplicating, addressing and other similar ma

chines (45.5 percent of normal annual replacement requirements)-- 8,665 (6) Other furniture and furnishings (24 percent of normal annual replacement requirement).

315 (7) Additional visible system loose leaf binders

215 (8) Replacement of worn out ledger binders ..

230 Total...

12,600 (1) The increased requirement for stationery and office supplies is necessary due to estimated increase in cost of materials purchased, and increosed use of office forms and form letters.

(2) When leasing 90-column tabulating machine equipment for 1938 a statistical card interpreter was omitted because of lack of funds, even though its omission materially reduces production and increases errors. This machine is essential to operate efficiently and complete jobs accurately without undve delay.

(3) (6) For many years there have been insufficient funds for replacement of file cases and furniture. The worn out dilapidated condition causes constant complaints from employees and supervisors. It is often necessary that a messenger be called to aid women employees open broken file-case drawers. Many desks and chairs are literally falling to pieces and are beyond economical repair. The Department's carpenter regularly refuses to attempt to repair furniture due to its condition. Attempts to obtain bids to repair file cases and cabinets have failed as contractors state repair costs would in many cases exceed the cost of new equipment. See table below.

Inventory Average

replace economical
ment value life, years



Normal re-
placement | 1939 esti.
require- mate

File cases and cabinets..
Other furniture...


$48, 996
26, 025


$1, 960

1. 301

$980 1,060

75, 021

3, 261


(4) (5) Experience has shown that in order to gain the objective of keeping operating costs to a minimum consistent with efficiency it is essential that all labor-saving devices be maintained in a condition that will not interfere with the orderly carrying on of the work, will give the highest possible production in the least possible time, produce accurate, high-quality results, and eliminate frequent repairs.

It is a proven fact that where typewriting, adding, computing, duplicating, and addressing machines are in an obsolescent and wornout condition pay rolls increase, errors occur and work is slowed down resulting in inefficient, uneconomical operation. It also cannot be disputed that machines do wear out and must be replaced. And yet, amounts included in previous estimates for conservative replacements of labor-saving devices have not been appropriated. This condition cannot continue if the bureau is to be fully prepared to handle the multitudinous details of supplying the fleet in a national emergency.

Amounts included in the final estimates for labor-saving devices are extremely conservative for several reasons. First, $40,056 (100 percent) for much needed deferred replacements, and $11,609 (52 percent of the annual requirements for 1939, were deleted from the original estimates. Second, the reduction in the estimates below the amount required for essential deferred and annual replacements will necessitate attempting to use old, worn, labor-saving devices after their economical life has ended. Third, the constant, hard usage given a large majority of the machines and equipment in the Bureau of Supplies and Accounts demands that replacements be made on the average life as shown below in order to avoid highly excessive repair costs and much loss of time of the personnel:

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The Bureau's normal annual requirement for replacements of labor. saving devices is $22,504. The $10,895 included in the estimate is only 48 percent of this amount, and considering the funds needed for deferred replacements, only 17 percent of the actual total require ments. The following tables, more graphically demonstrated by the attached chart, shows the vital necessity of obtaining funds for replacement of labor-saving devices.

Expenditures under "Contingent expenses, Navy Department for adding, computing,

duplicating, addressing, and similar machines 1927. $1,857 | 1931.. $1,418 | 1935.--

$809 1928.-1,182 1932.. - 1,056 | 1936 --

340 1929.. 2,187 1933.. 1,857 | 1937.--.

5N6 1930.. 1,519 | 1934.

- 2,756 1938 (estimated). 795


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