3. A Federal cochairman and alternate will be appointed to participate in each regional commission. These officials will have assigned to them a small staff of two to four persons, and will rely on staff of the commissions and of the Office of Regional Economic Development for technical and analytical support, and for program administration. 4. The Office of Regional Economic Development will be staffed to provide general technical and planning assistance to the regional action planning commissions, and the Federal cochairmen. Experts in particular economic development specialties (such as agricultural, fisheries, or mineral industries development) will be obtained as necessary through reimbursable arrangements with other Federal departments or on contract. Salaries of the Office of Regional Economic Development staff and other agency staff assigned to technical and planning assistance will be charged to the regional planning assistance activity and the specific appropriation limit authorized in section 505. The estimate provides $650,000 for these purposes. 5. Other technical assistance expenses will be in the form of contract studies. The assumption is that each large region will require $1 million, and each small region, $0.5 million. Specific examples of the type of projects anticipated to be undertaken with these funds are shown below. Tentative estimate of cost components of one of the larger regional commissions The overall estimate for this activity anticipates that the commissions for the smaller regions will require fewer positions on the assumption that their smaller size means less complex problems to resolve. Accordingly, the individual cost of each of the smaller region commissions is estimated at $75,000 less than their larger counterparts on an annual basis. EXAMPLES OF TECHNICAL AND PLANNING ASSISTANCE PROJECTS AND STUDIES 1. Studies of the potentials of various areas of the economy with the greatest promise of future development-tourism, manufacturing, transportation, etc. 2. Resource studies of forest, power, water, and other natural resource development potentials, and related human resources, in terms of future skill requirements of the projected economy, and how to provide them. 3. Studies concerned with where population and economic activities are apt to grow within the region; and how to encourage and bring about the most efficient and healthy geographic patterns of growth. 4. Major economic development studies, such as for a new industry or economic complex. 5. Public investment and physical plan studies which would include: (a) Studies identifying and analyzing the interstate regional investments essential to the achievements of regional growth goals. (b) Capital improvement budgets for the region and its subparts. (c) Inventories of public facility needs in terms of communities, sub-ares and the total region. (d) Subregional and regional physical plans incorporating region growt goals, sector potentials, public investment needs and special distribuit studies. 6. Regional programs of coordination and assistance to develop fast transpor tion networks to markets outside the region. 7. Regional programs for both pollution control and water distribution and conservation. 8. Regional plans to coordinate existing capacity of buying power and to pr pare major projects to meet the demand that lies ahead. 9. Regioanl programs to supply cheap and abundant electric power to provid a base for economic development. 10. Programs to modernize fishing fleets and marketing methods. 11. Coordinated manpower training and placement programs. 12. Required adjustments in land use. The best agricultural soils should conserved to supply local markets and to meet the demands of an increasing tourist industry. 13. Required geophysical surveys of the entire region to open up new mining op portunities. In the proposed Great Lakes region, for example, research is re quired on the separation of the abundant iron ores from the surrounding rock and preparation of products for a high-grade furnace feed. 14. Many regions have been characterized by resource exploitation. New eforts and additional studies need to be directed toward secondary manufacture which add value in place. The Office of Regional Economic Development will perform staff services for the Assistant Secretary for Economic Development by— 1. Inviting and encouraging establishment of appropriate multistate regional action planning commissions. 2. Reviewing, evaluating, and commenting on regional plans, proposals and planning grants-in-aid requests. 3. Coordinating departmental activities and handling liaison with commissions and other Federal agencies interested in regional plans and proposals. 4. Administering regional assistance programs, including renewal and approval of the regional action planning commission's administrative expenses. 5. Assisting in the coordination of activities of the Federal cochairmen and furnishing program administration support. 6. Conducting final review, evaluating and making recommendations on additional legislation needed to support long-range plans of regional commissions. A staff of 60 positions is estimated as the number necessary to carry out the above functions. Justification of other personnel compensation 1966 estimate Positions other than permanent. $50,000 This category of expense provides $5,000 for temporary employment and $75,000 for consultants. The temporary employment item is for the Office of Regional Economic Develpment, and allows for the hiring of extra help during periods of peak workload and the initiation of a summer intern program in regional economics. Consultants are requested for both the Office of Regional Economic Developnent and the various Federal cochairmen. The estimate allows for approxinately 5 man-years of expert assistance and advice (at about $60 per day) in the areas of (1) organization of ORED and the commissions, (2) establishment and nanagement of a regional program, and (3) evaluation of proposals requiring specialized knowledge. Justification of other objects [Dollar amounts in thousands] Object of expense Personnel benefits- This is the agency share of the civil service retirement fund, social security tax, group life insurance, and health benefits. It is a requirement of law that these costs be paid from the appropriation from which the employee's wages are charged. The personnel assigned to both the Office of Regional Economic Development and the staffs of the Federal cochairmen will be Federal employees. The cost is approximately 7.2 percent of net compensation. Travel and transportation of persons (a) ORED. The estimate is based on average of 24 trips per professional man-year at an average trip cost of $175. Travel will be required to establish and coordinate the commissions, examine proposals for technical assistance, and to make onsite audits of the grant program. Allowance has also been made for the transportation of consultants. (b) Federal cochairmen and staffs. Following recognition, the Federal staffs will need to become thoroughly familiar with the regions, including onsite evaluation of proposals to be included in the regional package. Consultant travel is also included. Transportation of things__. $50 75 Federal cochairmen and staff: This item anticipates the possibility of the transfer of present Federal employees to the staffs of Federal cochairmen. The Government is obligated to pay the costs of moving the employee's household goods from his last duty station to his new location. Rents, communications, and utilities- 1. Rental of space (150 employees for 60 percent of year). ORED_ Federal cochairmen and staffs The costs of additional general office space were developed from recent General Services Administration data which allows 150 square feet per professional and 60 square feet clerical employee at the prevailing rental cost. 2. Communications__ ORED_ Federal cochairmen and staffs Experience reveals that telephone and teletype service plus penalty mail expenses for a program with extensive field activities amounts to approximately $650 per employee. The total costs are divided. Printing and reproduction_. Federal cochairmen and staffs. 1966 estimate $72 125 10 126 $69 33 36 57 24 33 74 This item covers the printing of administrative circulars, and publications of the ORED and Federal cochairmen, and the results of the technical assistance program conducted within each organization. Other services. 1. Technical and planning assistance provided by organizations_. non-Federal 2. Consulting support by non-Federal organizations of Office of 3. Consulting support by non-Federal organizations to Federal Services of other agencies-. (a) Technical and planning assistance provided by other Federal (b) Administrative, personnel, accounting, and other centrally pro vided services: 1. ORED. 2. Federal 1. ORED_ 2. Federal (c) Statistical and other economic analyses by other agencies for: cochairmen cochairmen. 4, 718 $4, 400 220 98 1,234 $1, 100 35 53 34 12 Supplies and materials. (a) ORED_ (b) Federal cochairmen and staffs. This category of expense provides for miscellaneous expendable office supplies and materials, standard forms, and subscriptions. Equipment. (b) Federal cochairmen and staffs-. $40 Inasmuch as this is an entirely new program, complete office equipment and furnishings will have to be obtained for all of the employees. It is planned that these operations will be conducted within the minimum amount of equipment possible, and to make maximum use of GSA and other agency surplus. The above two guidelines have been the basis for the estimate. The entire amount is the grants to the regional commissions for their administrative expenses. Grants, subsidies, and contributions_-_ 1966 estimate 1964 actual 1965 estimate Mr. ROONEY. Do you have a general statement with regard to this! Mr. FOLEY. Our general statement, Mr. Chairman, was made at the time of our opening statement. Mr. ROONEY. It appears that you have not found out any more about this since, have you? POSITIONS AND COSTS Mr. FOLEY. We do have some more detail to provide you at this time in the nature of a breakdown on positions and costs. Mr. IMHOFF. This is a breakdown of all costs with the different headings that pertain to the budget, Mr. Chairman. This added statement shows the summary of permanent positions by title, grade, and annual salary. Mr. ROONEY. We shall insert these two sheets at this point in the record and following the pages of the justifications that I previously referred to. (The tabulation follows:) REGIONAL ECONOMIC PLANNING Summary of permanent positions by title, grade, and annual salary |