prefer to wait until after the end of this fiscal year when we will have a sounder basis for determining this balance. Additional requirements for fiscal year 1967 will be included in our 1969 estimates. WORKING CAPITAL FUND Last year we asked for a $20 million increase in our working capital fund. You allowed us $15 million. We have experienced difficulties in maintaining sufficient operating capital. BUSINESS VOLUME INCREASE Our total volume of business for the first 8 months of fiscal year 1967 is 21 percent greater than the same period last year. Should this trend continue, and we expect that it will, the total value of our business will increase from $176 million in 1966 to about $210 million in 1967. The rapid growth of our business simply means that more funds are tied up until the orders are completed and we are paid by our customeragencies. We hope that improved billing procedures and prompt payment by our customer-agencies will enable us to meet our obligations in the coming year without additional working capital. However, a continued growth in business will inevitably require additional financing. PRINTING FOR CONGRESSIONAL COMMITTEES : VOLUME AND COST During the past year, in accordance with the request of this committee, we have submitted monthly and cumulative itemizations of printing costs to the various committees of the Congress and consolidated reports to the Appropriations Committees. I believe the distribution of this information is causing a growing concern for the volume and cost of printed matter being ordered by the various committees. INTERNAL AUDIT UNIT We have completed plans for an internal audit unit within the Government Printing Office. This unit will be directly responsible to the Public Printer, and should prove invaluable in resolving many problems in production and costs. LINOTRON PHOTOCOMPOSING SYSTEM We expect the new Linotron photocomposing system to be in operation by midsummer. I recently witnessed a test run of this amazing machine at the factory. It can produce in page format 1,000 characters per second of 6-point type. Magnetic tapes, containing computer-generated data accumulated by departments for internal use, can be edited and programed for photocomposition on the Linotron. Many publications, now reproduced from printouts on data processing equipment, will be produced more economically and with graphicarts quality through use of the Linotron. As I mentioned earlier, the unprecedented increase in the Government Printing Office's business volume is creating a serious drain on our financial reserves. This situation is subject to correction by adding more capital to our revolving fund. EFFICIENCY COMPROMISES RESULTING FROM PLANT DEFICIENCES But the pressure on our already-critical space situation is not as easily relieved. In a printing enterprise, business-dollar increases are reflected directly into tons of paper handled, and this means finding storage space in overcrowded warehouses and capacity on an overworked and obsolete freight-elevator system. Vertical handling of paper is slow, expensive, and frustrates effective workflow patterns. We have reached a critical point where accommodating these added demands are imposing unnecessarily high costs for material handling, calling for compromises in quality, scheduling, safety, and plant efficiency. Rush-delivery work orders produced in-plant have passed the flood point. To illustrate this, through February of this fiscal year we have increased our commercial procurement by 36 percent, while in-plant production has been increased only 8 percent. In order to insure on-time deliveries, we find it necessary to produce rush work in-house, as communications often break down and control is lost when work is produced at distant locations. When schedules are extremely short, we often find it impossible to locate a commercial printer willing to accept the job. JUSTIFICATIONS We have prepared justifications for the various classifications of congressional printing and binding for fiscal year 1968. I will be pleased to submit them for the record or, if you prefer, I will read them item by item. Senator BARTLETT. You may submit them for the record, Mr. Harri son. (The justifications follow:) SUMMARY OF APPROPRIATION ESTIMATES FOR CONGRESSIONAL PRINTING AND BINDING FISCAL YEAR 1968 The estimates for Congressional printing and binding are to provide funds with which to pay for the cost of printing and binding required for the use of Congress; for the printing, binding, and distribution of the Federal Register, and for printing and binding supplements to the Code of Federal Regulations. Funds to cover the cost of the printing and binding needs of the various Executive and Legislative Departments, independent establishments, and the Judiciary are not included in this appropriation but are provided for in the appropriation acts for these branches of the Government. The Government Printing Office recovers the cost for this work through billings to these Agencies. The total amount estimated for Congressional Printing and Binding for the fiscal year 1968 is $26,700,000; $22,000,000 is estimated to provide for printing and binding work for Congress for the fiscal year 1968 and $4,700,000 ($100,000 for fiscal year 1964, $600,000 for fiscal year 1965, and $4,000,000 for fiscal year 1966) is required to reimburse the 1967 appropriation for charges incurred during prior fiscal years which are paid out of the 1967 appropriation, as authorized by law (Public Law 89-545, 89th Congress) which states that the appropriation "shall be available for the payment of obligations incurred under the appropria tions for similar purposes for preceding fiscal years." This provision of law recognizes that there can be no effective means to determine in advance the volume of Congressional printing which the Government Printing Office is called upon to produce. The appropriation for fiscal year 1964 is $14,000,000 plus $4,200.000 to cover a deficit incurred in fiscal year 1962 making a total of $18,200.000. An additional $3,400,000 for fiscal year 1964 orders was included in the 1966 fiscal year appropriation. There is still a deficit of $100.000 for fiscal year 1964 which is included in the total estimated requirements for fiscal year 1968 bringing the total requirements for fiscal year 1964 to $17,500,000. The appropriation for fiscal year 1965 is $15.500.000 plus $200,000 to cover a deficit incurred in fiscal year 1962 and an additional $2,300,000 for fiscal year 1963 orders for a total of $18,000,000. An additional $3,000,000 for fiscal year 1965 orders was included in the fiscal year 1967 appropriation. There is still a deficit of $600,000 for fiscal year 1965 which is included in the total estimated requirements for fiscal year 1968 bringing the total requirements for fiscal year 1965 to $19,100,000. The appropriation for fiscal year 1966 is $16,500,000 plus $600,000 to cover a deficit incurred in the fiscal year 1963 and $3,400,000 to cover a deficit incurred in the fiscal year 1964 making a total of $20,500,000. There is a deficit of $4,000,000 for fiscal year 1966 which is included in the total estimated requirements for fiscal year 1968 bringing the total requirements for fiscal year 1966 to $20.500,000. The appropriation for Congressional printing and binding for fiscal year 1967 is $18,500,000 plus $3,000,000 to cover a deficit incurred in fiscal year 1965 for a total of $21,500,000. The requirements under each item for the fiscal year 1968 are set forth briefly in the order named. All fiscal year 1966 figures in the following items are based on work billed through January 31, 1967. 1. Congressional Record.-The proceedings of the Senate and House of Rep resentatives are printed daily in the Congressional Record. Approximately 41,500 copies are printed daily and distributed as provided by law, and are charged to the appropriation for printing and binding for Congress. There also are printed daily about 6.800 additional copies which are delivered and charged to Government Departments on requisitions and to the Superintendent of Documents for sale to subscribers. After the close of each session, the daily procedings are consolidated, indexed, and about 2,120 copies printed as the bound edition of the Record. The total cost to Congress of printing the daily edition and index of the Congressional Record in fiscal year 1966 was $3,053,992 for 34,989 pages of the daily edition and 1,718 pages of the index. The bound edition which was ordered in the fiscal year 1966 and is still in production is estimated at $650,000. This will bring the total estimated requirements for this item to $3,703,992 for the fiscal year 1966. The estimate submitted for the fiscal year 1967 was $3.300,000 for approximately 30,000 pages. It is estimated there will be 32,000 pages in the fiscal year 1968 and the cost will be $3,615,000. 2. Miscellaneous Publications.-This item includes printed matter such as the Congressional Directory, Senate and House Journals, memorial addresses, nominations, U.S. Code and Supplements, and publications not carrying a document or report number, such as laws, treaties, Committee prints, and similar publications. The expenditures for miscellaneous publications for the fiscal year 1966 were $2,342,158 for 3,745,247 copies, making 80,537 pages and included all work billed through January 31, 1967. It has been estimated that the incompleted orders will amount to $853,315. This will bring the requirements for this item to $3,195,473 for the fiscal year 1966. The amount estimated for the fiscal year 1967 was $2,470,000 for approximately 95,000 pages. It is estimated that $3,450,000 will be required in the fiscal year 1968 for approximately 115,000 pages. 3. Miscellaneous Printing and Binding.-This item includes letterheads, envelopes, blank paper, copy paper, notices, tags, labels, payrolls, blank books. stenographic notebooks, tablets, wall calendars, miscellaneous blank forms, and binding for both Houses. The expenditures through January 31, 1967, for miscellaneous printing and binding amounted to $2,074,624 for the fiscal year 1966 for 68,253,905 separate units. Incompleted orders estimated at $4,179 will increase this item to $2,078,803 for the fiscal year 1966. The estimate for the fiscal year 1967 was $2,015,000 for approximately 65,000,000 separate units. The estimate for the fiscal year 1968 is $2,380,000 for about 70,000,000 units. 4. Publications for International Exchange and the Library of Congress.-AS provided by law, the Library of Congress is supplied with not to exceed 150 copies of Government publications, including the daily and bound editions of the Congressional Record and certain other Congressional publications of which not to exceed 125 copies shall be for distribution through the Smithsonian Institution, to such governments as may agree to send similar publications of their governments to the United States. The charges through January 31, 1967, for these publications for the fiscal year 1966 orders amounted to $173,545 for 1,598,931 copies. It has been estimated that $32,003 will be required for the remaining outstanding orders resulting in an estimated requirement of $205,548 for the fiscal year 1966. The estimate for the fiscal year 1967 was $165,000 for 1,200,000 copies. It is estimated that $200,000 will be needed for about 1,350,000 copies in the fiscal year 1968. 5. Franked Envelopes and Document Franks.-Franked envelopes for mailing speeches and documents are furnished to Senators and Representatives, who are also furnished with franks for mailing documents, printed singly or in sheets with perforations at the option of the Member. The expenditures for franked envelopes and document franks in the fiscal year 1966 amounted to $584,150 for 143,128,483 envelopes and 5,468,500 franks. It was estimated that $440,000 would be required in the fiscal year 1967 to print approximately 100,000,000 envelopes and 5,000,000 franks. It is estimated that $615,000 will be needed in the fiscal year 1968 for approximately 130,000,000 envelopes and 5,500,000 franks. 6. House and Senate Committee Calendars.-This heading covers the printing of all House and Senate Committee calendars which list the action of the various committees on pending and completed legislation. The House and Senate business calendars are also included in this item. The expenditures for all House and Senate Committee and business calendars for fiscal year 1966 were $940,134 for 74,064 pages. The estimate for the cost of these calendars in the fiscal year 1967 was $850,000 for approximately 50,000 pages. It is estimated that $980,000 will be required in the fiscal year 1968 for approximately 70,000 pages. 7. Bills, Resolutions, and Amendments.-This heading covers the printing of bills, resolutions, and amendments in all forms, including the prints as introduced, referred, reported, and as finally passed. The expenditures through January 31, 1967, for bills, resolutions, and amendments in the fiscal year 1966 amounted to $1,682,640 for 127,936 pages. Incompleted orders estimated at $3,150 will bring this item to $1,685,790 for the fiscal year 1966. The estimate submitted for the fiscal year 1967 was $1,560,000 for about 120,000 pages. The estimate for the fiscal year 1968 is $1,800,000 for approximately 120,000 pages. 8. Committee Reports.-This item covers printed reports of Congressional Committees on pending legislation. The expenditures through January 31, 1967, for printing committee reports ordered in the fiscal year 1966 were $706,972 for 29,150 pages. It was estimated that $675,000 would be needed for approximately 25,000 pages in the fiscal year 1967. It is estimated that $785,000 will be needed for about 28,000 pages in the fiscal year 1968. 9. Documents.-This heading includes all classes of Senate and House Documents ordered printed by Congress which carry a Congressional number, such as annual reports, engineers' reports, special reports made by Government departments in response to resolutions, supplemental and deficiency estimates of appropriations, etc. The expenditures through January 31, 1967, for House and Senate documents ordered in the fiscal year 1966 amounted to $534,958 for 25,431 pages. It has been estimated that $673,458 will be required for this item, including $138,500 for the incompleted orders for the fiscal year 1966. The estimate for the fiscal year 1967 was $700,000 for about 25,000 pages. The estimate for the fiscal year 1968 is $840,000 for about 28,000 pages. 10. Hearings.-This item covers all hearings before Congressional Committees. The expenditures for hearings in the fiscal year 1966 through January 31, 1967, were $4,512,513 for 211,786 pages. Outstanding orders have been estimated at $503,645, resulting in a total requirement of $5,016,158 for this class of work for 79-512-67-4 the fiscal year 1966. The estimate for the fiscal year 1967 was $4,400,000 for ap proximately 200,000 pages. The estimate for the fiscal year 1968 is $5,040,000 for about 210,000 pages. 11. Federal Register, including the U.S. Government Organization Manual, the Public Papers of the Presidents of the United States, and the Weekly Compilation of Presidential Documents.-The Archivist of the United States and the Public Printer are charged with the printing and distribution, in a serial publication titled "Federal Register," of documents authorized to be published under Act of July 26, 1935, and the Act of June 11, 1946. Funds to cover the cost of printing this publication are provided for in the appropriation for Congressional printing and binding. The National Archives and Records Service has been authorized (13 F.R. 5935; 1 CFR Part 31) to handle the U.S. Government Organization Manual as a special edition of the Federal Register. On November 6, 1957, the National Archives and Records Service was authorized (22 F.R. 8895: 1 CFR Part 32) to begin printing as a special edition of the Federal Register the Public Papers of the Presidents of the United States starting with the calendar year 1957 and specified calendar years prior to 1957 as authorized by the Administrative Committee of the Federal Register. The Weekly Compilation of Presidential Documents, which began publication on August 2, 1965, is published pursuant to the authority contained in the Federal Register Act (49 Stat. 500, as amended; 44 U.S.C. Ch. 8B), under regulations prescribed by the Administrative Committee of the Federal Register, approved by the President (1 CFR Part 32). The cost of printing the U.S. Government Organization Manual, the Public Papers of the Presidents of the United States, and the Weekly Compilation of Presidential Documents is charged to the cost of printing the Federal Register (Sec. 6, 49 Stat. 501; 44 U.S.C. 306). The expenditures for the Federal Register, the U.S. Government Organization Manual, and the Public Papers of the Presidents of the United States for all work ordered in the fiscal year 1966 amounted to $1,260,807 for 20,979 pages, including $24,664 for 820 pages of the U.S. Government Organization Manual. $40.632 for 1,377 pages of the Public Papers of the Presidents and $85,792 for 1,480 pages of the Weekly Compilation of Presidential Documents. One volume of the Presidential Papers (Johnson, 1966) estimated at $26,500, remains outstanding for this fiscal year bringing the total requirement to $1.287.307. It was estimated that $1,425.000 would be sufficient to cover the cost of approximately 20,000 pages of the Federal Register and for printing the U.S. Government Organization Manual, the Weekly Compilation of Presidential Documents, and the Public Papers of the Presidents in the fiscal year 1967. It is estimated that $1,710,000 will be required in the fiscal year 1968 for printing an estimated 20.000 pages of the Federal Register and for printing the U.S. Government Organization Manual, the Weekly Compilation of Presidential Documents, and the Public Papers of the Presidents of the United States as supplemental editions of the Federal Register. 12. Supplements to Code of Federal Regulations.-The cost of printing the supplements to the Code of Federal Regulations amounted to $421.018 for 42.370 pages ordered in the fiscal year 1966. Incompleted orders estimated at $1.197 will increase this item to $422,215 for fiscal year 1966. It was estimated that $500.000 would be sufficient for printing 40.000 pages of the supplements during the fiscal year 1967. It is estimated that $585.000 will be required to print 45,000 pages of the supplements during the fiscal year 1968. SUBMISSIONS OF BUDGET REQUESTS Senator BARTLETT. You said in your statement that as much as 21 months may elapse after the estimates are submitted. Why should it be so long? Mr. HARRISON. We are required to have our estimates in the Bureau of the Budget at a specific time. This is what governs the 9 to 21 months. Senator BARTLETT. Your budgetary procedures are accomplished in the fall before the start of the new fiscal year? Mr. HARRISON. Yes. Senator BARTLETT. September and October? |