UNITED STATES TARIFF COMMISSION

Studies of specific commodities are an important phase of the activities of the United States Tariff Commission. Probably the best description of the kind of commodity studies for which the Commission is responsible is found in the Tariff Act of 1930.

SECTION 332. INVESTIGATIONS.

(d) Information for President and Congress.-In order that the President and the Congress may secure information and assistance, it shall be the duty of the Commission to

(1) Ascertain conversion costs and costs of production in the principal growing, producing, or manufacturing centers of the United States of articles of the United States, whenever in the opinion of the Commission it is practicable;

(2) Ascertain conversion costs and costs of production in the principal growproducing, or manufacturing centers of foreign countries of articles imported to the United States, whenever in the opinion of the Commission such conrersion costs or costs of production are necessary for comparison with conversion fists or costs of production in the United States and can be reasonably ascertained;

(3) Select and describe articles which are representative of the classes or kinds of articles imported into the United States and which are similar to or parable with articles of the United States; select and describe articles of the United States similar to or comparable with such imported articles; and hain and file samples of articles so selected, whenever the Commission deems it advisable;

(4) Ascertain import costs of such representative articles so selected;

(5) Ascertain the grower's, producer's, or manufacturer's selling prices in the principal growing, producing, or manufacturing centers of the United States the articles of the United States so selected; and

(6) Ascertain all other facts which will show the differences in or which fect competition between articles of the United States and imported articles the principal markets of the United States.

(e) Definitions. When used in this subdivision and in subdivision (d)— 1) the term "article" includes any commodity, whether grown, produced, fabrirated, manipulated, or manufactured;

Eds of Information.

It will be noted that the emphasis of these sections of the law is on Teasures of competition between domestic and foreign producers and at such competition is to be evaluated in terms of "articles of the United States similar to or comparable with such imported articles." The study of the comparability of domestic and imported goods requires both a detailed knowledge of the intrinsic quality of the goods and a full fund of information on the methods used in their producon. Commodity information obtained by the United States Tariff Commission deals with the description and use of the article; the grades and varieties produced in the United States and imported from abroad; an analysis of the various qualities with particular emphasis on distinctions in use which result from such qualitative differences; detailed information on methods of production in the United States and foreign countries including data on processes of manufacture, machine equipment, and other factors which bear upon either the quality of the goods or the competition in markets in this country.

UNITED STATES TREASURY DEPARTMENT

PROCUREMENT DIVISION

The Procurement Division of the United States Treasury Depar ment is responsible for the determination of policies and methods procurement, warehousing, and distribution of property, faciliti improvements, machinery, equipment, stores, and supplies.

Those branches of this office which deal with the standardizatio specification, and inspection activities are (1) the Contract and Pu chase Branch, and (2) the Stores and Operation Branch. The va ous subordinate sections more definitely involved in developing t three functions cited fall under these two branches.

Standardization.

Standardization is an element considered in the operation of ea specification. It is fundamental that the statement of quality sha be limited to that which is appropriate and necessary to the requir ments to be served. That is to say, if a study of a need discloses th the quality originally indicated is deficient or unnecessarily high f the purpose to be served, revision of the specification upward or dow ward to the level of the requirements, is in order.

The chief responsibility for promoting standardization in procur ment work centers in the Federal Specifications Division of t Contract and Purchase Branch. It should be pointed out, howeve that the members of the administrative staff and the various operati units of the Procurement Division contribute, from their respecti viewpoints as occasion arises, suggestions as to the need for an add tional specification, or toward the improvement of an existing on or to other possibilities of improving standardization. Thus, a interpretation of the provisions of a specification by the Inspecti Division, also of the Contract and Purchase Branch, to a vendor connection with the adjustment of a rejected delivery, may indica that a difficulty arose as a result of ambiguous language in the specific tion, or it may disclose that provisions for packing, appropriate whe the specification was prepared, are no longer practicable because new practices generally adopted in the industry. Such informati may also be collected by the various administrative or purchasi officers in the course of their duties, or through the activities of th supervisory personnel in the Warehouse Division of the Stores an Operation Branch.

Reports reflecting the need or opportunity for improvements a submitted and are made the subject of study for the purpose correcting obsolete provisions, ambiguous language, modifying extending the scope of existing specifications or introducing new one Specifications.

Three types of specifications are developed in the Procuremen Division:

1. A Federal Specification which is a formally approved standard of quality and essential characteristics (design, dimensions, composition, physical and chemical requirements, workmanship, finish, performance, etc.) of a material, article, or piece of equipment desired for a particular use by two or more departments or establishments of the Federal Government.

2. A Federal Procurement Division Specification, which is a formally approved standard of quality and essential characteristics of a commodity to be incorporated in an invitation to bid issued by the Procurement Division.

3. A specification" used in the Procurement Division, which covers an item not covered by a Federal Specification and represents a commodity not in sufficient current demand to justify the development of a Federal Procurement Division Specification. It is referred to merely as "specification."

Preparation of Federal Specifications.

With the installation of the Bureau of the Budget in 1921, it was considered to be desirable to prepare standardized purchase specifications for many of the commonly used articles purchased by the Federal Government; and the Federal Specifications Board was established for that purpose by Circular No. 42 of the Bureau of the Budget, dated October 10, 1921, which was issued by the Director of the Bureau of the Budget, by authority of the President. The Board functioned under the Chief Coordinator, whose office was also set up by Executive order; each department and establishment purchasing materials and supplies in accordance with specifications, designating a representative to serve as a member of the Board. The chairman ex officio was the Director of the National Bureau of Standards. Technical committees were formed, composed of qualified representatives from the various. branches of the Government, to formulate the specifications. These specifications, after consultation with the interested industries, were submitted to the departments for comment and criticism, and after consideration of these comments by the technical committees, were approved and promulgated by the Federal Specifications Board. On June 10, 1933, the Federal Specifications Board and several other interdepartmental boards were transferred to the jurisdiction of the ewly established Procurement Division, United States Treasury Department. The Federal Specifications Board and several other activities of the Government were abolished by the order of the executive director of the National Emergency Council dated January 24, 1935.

To take the place of the former Federal Specifications Board members, the Director of Procurement, United States Treasury Department, requested the head of each department and establishment to designate a technical liaison with whom the Procurement Division was to collaborate, for that department or establishment, on technical matters. There was also established a Federal Specifications Executive Committee, consisting of the Director of the National Bureau of Standards, chairman; the technical assistant to the assistant director of Procurement Division, vice-chairman; the assistant chief, Specifications Division of the Procurement Division, technical secretary; and the technical liaisons from the Navy Department, War Department, the Department of Agriculture, the Post Office Department, and

Veterans' Administration. Technical committees were formed, com posed of specialists from the various branches of the Government. There are 70 interdepartmental technical committees on Federa Specifications covering the following groups of materials:

The procedure for the preparation of Federal Specifications is a follows: The interdepartmental need of a specification for a giver article or material, for either technical or business reasons, having been decided upon, the subject is then referred to a technical com mittee composed of officially designated representatives from the various branches of the Government, who are most interested in the particular subject, for consideration of all existing governmental and industrial specifications. A specification is selected, or formulated which will be suitable for the intended use by all departments and establishments of the Government. The cooperation and advice of interested commercial and industrial concerns is requested and their recommendations are fully considered by the technical committee The specification, as tentatively agreed upon by the technical com mittee, is then submitted to all departments and establishments of the Government, through the respective technical liaisons with the Procurement Division, for comment and criticism. All criticisms received are referred to the respective technical committee for consideration.

Specifications submitted in final form by the various technical com mittees, after consideration of all comments, are recommended by the

airman of the Federal Specifications Executive Committee to the rector of Procurement for approval, after which they are printed d officially promulgated by the Director of Procurement for use the various agencies of the Government.

In the preparation of Federal Specifications for material, supplies, d equipment, an effort is made to bring the specifications into rmony with commercial practice wherever conditions permit, to ablish uniform nomenclature, and to standardize the types, grades, 1 sizes of articles purchased by the Government.

Federal Specifications are continually being revised to keep them reast of the best current manufacturing practice, and the needs the Government. Up to May 15, 1940, 1,292 Federal Specifications d been promulgated. The procedure of the preparation of deral Specifications is shown in chart XI.

An index of Federal Specifications,53 and also the specifications ed therein, may be purchased from the Superintendent of Docunts, Government Printing Office, Washington, D. C.

paration of Federal Procurement Division Specifications. Federal Procurement Division Specifications are prepared in the ce of the technical assistant to the assistant director, Procurement rision, United States Treasury Department. These specifications approved by the Director of Procurement, and are primarily for by that Department but may be used by any other agency. Proement Division Specifications frequently are preliminary to a deral Specification. Up to May 15, 1940, 190 Federal Procurement Fision Specifications have been issued. These specifications may be ained on application to the Director of Procurement, United tes Treasury Department, Washington, D. C.

pection.

The inspection activities of the Procurement Division are centered the Inspection Division of the Stores and Operation Branch which pects, in Washington and as occasion requires in the field, supplies I materials delivered on Procurement Division order. On request, also makes inspections for other governmental agencies. In addin, it makes or has made tests of samples of materials, supplies, and upment submitted with bids to determine whether the samples aply with the specifications.

Then necessary, the Inspection Division investigates requests from ious Federal agencies for clearance to buy in the open market ns listed in the General Schedule of Supplies 54 or carried in the rehouse stock of the Procurement Division. In the event that the tract or stock items meet all practical requirements of the need, h clearance to buy in the open market is denied.

The Inspection Division also contributes to the development of new improved Federal Specifications or Federal Procurement Division ecifications by recommending the formulation of specifications for

Federal Standard Stock Catalog, Section IV, Part I," U. S. Government Printing Washington, D. C., 1940. 15 cents.

Term contracts are negotiated by the Procurement Division for many thousands of sin regular use by several agencies of the Federal Government. These engagements Isually made for a one year term. Detail as to commodities so placed under contract is larized to all Federal agencies for their independent use by a catalog entitled "General dule of Supplies."