branch of the United States Government or by any corporation or company the stock of which is owned wholly or in part by the United States Government. DWIGHT D. EISENHOWER THE WHITE HOUSE, November 14, 1958. EXECUTIVE ORDER 10789 AUTHORIZING AGENCIES OF THE GOVERNMENT TO EXERCISE CERTAIN CONTRACTING AUTHORITY IN CONNECTION WITH NATIONAL-DEFENSE FUNCTIONS AND PRESCRIBING REGULATIONS GOVERNING THE EXERCISE OF SUCH AUTHORITY By virtue of the authority vested in me by the act of August 28, 1958, 72 Stat. 972, hereinafter called the act, and as President of the United States, and in view of the existing national emergency declared by Proclamation No. 2914' of December 16, 1950, and deeming that such action will facilitate the national defense, it is hereby ordered as follows: PART I-DEPARTMENT OF Defense Under such regulations, which shall be uniform to the extent practicable, as may be prescribed or approved by the Secretary of Defense: 1. The Department of Defense is authorized, within the limits of the amounts appropriated and the contract authorization provided therefor, to enter into contracts and into amendments or modifications of contracts heretofore or hereafter made, and to make advance payments thereon, without regard to the provisions of law relating to the making, performance, amendment, or modification of contracts, whenever, in the judgment of the Secretary of Defense, the Secretary of the Army, the Secretary of the Navy, or the Secretary of the Air Force, or the duly authorized representative of any such Secretary, the national defense will be facilitated thereby. 2. The Secretaries of Defense, the Army, the Navy, and the Air Force, respectively, may exercise the authority herein conferred and, in their discretion and by their direction, may delegate such authority to any other military or civilian officers or officials of their respective departments, and may confer upon any such military or civilian officers or officials the power to make further delega 13 CFR, 1949-1953 Comp. tions of such authority within their respective commands or organizations: Provided, that the authority herein conferred shall not be utilized to obligate the United States in an amount in excess of $50,000 without approval by an official at or above the level of an Assistant Secretary or his Deputy, or by a departmental Contract Adjustment Board. 3. The contracts hereby authorized to be made shall include agreements of all kinds (whether in the form of letters of intent, purchase orders, or otherwise) for all types and kinds of property or services necessary, appropriate, or convenient for the national defense, or for the invention, development, or production of, or research concerning, any such property or services, including, but not limited to, aircraft, missiles, buildings, vessels, arms, armament, equipment or supplies of any kind, or any portion thereof, including plans, spare parts and equipment therefor, materials, supplies, facilities, utilities, machinery, machine tools, and any other equipment without any restriction of any kind as to type, character, location, or form. 4. The Department of Defense may by agreement modify or amend or settle claims under contracts heretofore or hereafter made, may make advance payments upon such contracts of any portion of the contract price, and may enter into agreements with contractors or obligors modifying or releasing accrued obligations of any sort, including accrued liquidated damages or liability under surety or other bonds. Amendments or modifications of contracts may be with or without consideration and may be utilized to accomplish the same things as any original contract could have accomplished hereunder, irrespective of the time or circumstances of the making, or the form, of the contract amended or modified, or of the amending or modifying contract, and irrespective of rights which may have accrued under the contract or the amendments or modifications thereof. 5. Proper records of all actions taken under the authority of the act shall be maintained within the Department of Defense. The Secretaries of Defense, the Army, the Navy, and the Air Force shall make such records available for public inspection except to the extent that they, or their duly authorized representatives, may respectively deem the disclosure of information therein to be detrimental to the national security. 6. The Department of Defense shall, by March 15 of each year, report to the Congress all actions taken within that department under the authority of the act during the preceding calendar year. With respect to actions which involve actual or potential cost to the United States in excess of $50,000, the report shall (except as the disclosure of such information may be deemed to be detrimental to the national security) — (a) name the contractor; (b) state the actual cost or estimated potential cost involved; (c) describe the property or services involved; and (d) state further the circumstances justifying the action taken. 7. There shall be no discrimination in any act performed hereunder against any person on the ground of race, religion, color, or national origin, and all contracts entered into, amended, or modified hereunder shall contain such nondiscrimination provision as otherwise may be required by statute or Executive order. 8. No claim against the United States arising under any purchase or contract made under the authority of the act and this order shall be assigned except in accordance with the Assignment of Claims Act of 1940 (54 Stat. 1029), as amended. 9. Advance payments shall be made hereunder only upon obtaining adequate security. 10. Every contract entered into, amended, or modified pursuant to this order shall contain a warranty by the contractor in substantially the following terms: "The Contractor warrants that no person or selling agency has been employed or retained to solicit or secure this contract upon an agreement or understanding for a commission, percentage, brokerage, or contingent fee, except bona-fide employees or bona-fide established commercial or selling agencies maintained by the Contractor for the purpose of securing business. For breach or violation of this warranty the Government shall have the right to annul this contract without liability or, in its discretion, to deduct from the contract price or consideration, or otherwise recover, the full amount of such commission, percentage, brokerage, or contingent fee." 11. All contracts entered into, amended, or modified pursuant to authority of this order shall include a clause to the effect that the Comptroller General of the United States or any of his duly authorized representatives shall, until the expiration of three years after final payment, have access to and the right to examine any directly pertinent books, documents, papers, and records of the contractor or any of his subcontractors engaged in the performance of, and involving transactions related to, such contracts or subcontracts. 12. Nothing herein contained shall be construed to constitute authorization hereunder for (a) the use of the cost-plus-a-percentage-of-cost system of contracting; (b) any contract in violation of existing law relating to limitation of profits or fees; (c) the negotiation of purchases of or contracts for property or services required by law to be procured by formal advertising and competitive bidding; (d) the waiver of any bid, payment, performance, or other bond required by law; (e) the amendment of a contract negotiated under section 2304 (a) (15) of title 10 of the United States Code to increase the contract price to an amount higher than the lowest rejected bid of any responsible bidder; or (f) the formalization of an informal commitment, unless the Secretary of Defense, the Secretary of the Army, the Secretary of the Navy, or the Secretary of the Air Force, or the duly authorized representative of any such Secretary, finds that at the time the commitment was made it was impracticable to use normal procurement procedures. 13. The provisions of the Walsh-Healey Act (49 Stat. 2036), as amended, the Davis-Bacon Act (49 Stat. 1011), as amended, the Copeland Act (48 Stat. 948), as amended, and the Eight Hour Law (37 Stat. 137), as amended, if otherwise applicable, shall apply to contracts made and performed under the authority of this order. 14. Nothing herein contained shall prejudice anything heretofore done under Executive Order No. 9001 of December 27, 1941, or Executive Order No. 10210 of February 2, 1951, or any amendments or extensions thereof, or the 23 CFR, 1943 Cum. Supp. 3 CFR, 1949-1953 Comp. continuance in force of an action heretofore taken under those orders or any amendments or extensions thereof. 15. Nothing herein contained shall prejudice any other authority which the Department of Defense may have to enter into, amend, or modify contracts, and to make advance payments. PART II-EXTENSION OF PROVISIONS OF PARAGRAPHS 1-14 21. Subject to the limitations and regulations contained in paragraphs 1 to 14, inclusive, hereof, and under any regulations prescribed by him in pursuance of the provisions of paragraph 22 hereof, the head of each of the following-named agencies is authorized to perform or exercise as to his agency, independently of any Secretary referred to in the said paragraphs 1 to 14, all the functions and authority vested by those paragraphs in the Secretaries mentioned therein: Department of the Treasury Department of Agriculture Department of Commerce General Services Administration Office of Civil and Defense Mobilization National Aeronautics and Space Administration Federal Aviation Agency 22. The head of each agency named in paragraph 21 hereof is authorized to prescribe regulations governing the carrying out of the functions and authority vested with respect to his agency by the provisions of paragraph 21 hereof. Such regulations shall, to the extent practicable, be uniform with the regulations prescribed or approved by the Secretary of Defense under the provisions of Part I of this order. 23. Nothing contained herein shall prejudice any other authority which any agency named in paragraph 21 hereof may have to enter into, amend, or modify contracts and to make advance payments. 24. Nothing contained in this Part shall constitute authorization thereunder for the amendment of a contract negotiated under section 302 (c) (14) of the Federal Property and Administrative Services Act of 1949 (63 Stat. 394), as amended by section 2 (b) of the act of August 28, 1958, 72 Stat. 966, to increase the contract price to an amount higher than the lowest rejected bid of any responsible bidder. DWIGHT D. EISENHOWER THE WHITE HOUSE, November 14, 1958. EXECUTIVE ORDER 10790 AMENDMENT OF EXECUTIVE ORDER NO. 10530,1 PROVIDING FOR THE PERFORMANCE OF CERTAIN FUNCTIONS VESTED IN OR SUBJECT TO THE APPROVAL OF THE PRESIDENT By virtue of the authority vested in me by section 301 of title 3 of the United States Code, and as President of the United States, it is ordered that subsection (c) of section 1 of Executive Order No. 10530' of May 10, 1954, entitled "Providing for the Performance of Certain Functions Vested in or Subject to the Approval of the President," be, and it is hereby, amended to read as follows: "(c) The authority vested in the President by section 7 of the act of August 2, 1946, ch. 744, 60 Stat. 808, as amended (5 U. S. C. 73b-3), to prescribe regulations with respect to the availability of appropriations for the departments for expenses of travel of Government personnel (including new appointees), transportation of their immediate families, and transportation of their household goods and personal effects, as authorized by the provisions of that section, as amended." DWIGHT D. EISENHOWER THE WHITE HOUSE, November 20, 1958. EXECUTIVE ORDER 10791 DESIGNATING CERTAIN OFFICERS TO ACT AS SECRETARY OF STATE By virtue of the authority vested in me by section 179 of tl.e Revised Statutes (5 U. S. C. 6), and as President of the United States, it is ordered as follows: In case of the death, resignation, absence, or sickness of the Secretary of State and the Under Secretary of State, the following-designated officers of the Department of State shall, in the order of succession indicated, act as Secretary 119 F. R. 2709, 3 CFR, 1954 Supp. 23 CFR, 1954 Supp. of State until a successor is appointed or until the absence or sickness of the incumbent shall cease: 1. Under Secretary of State for Economic Affairs 2. Deputy Under Secretary of State for Political Affairs 3. Deputy Under Secretary of State for Administration All prior orders or other Presidential documents designating officers to perform the duties of the Secretary of State, including the unnumbered order dated April 30, 1954, and the unnumbered order dated August 23, 1955, are hereby revoked. DWIGHT D. EISENHOWER THE WHITE HOUSE, November 28, 1958. EXECUTIVE ORDER 10792 EXCUSING FEDERAL EMPLOYEES FROM DUTY ALL DAY ON December 26, 1958 By virtue of the authority vested in me as President of the United States, it is hereby ordered that employees of the several executive departments, independent establishments, and other governmental agencies, including the General Accounting Office, the Government Printing Office, and the field services of the respective departments, establishments, and agencies of the Government, except those who may for special public reasons be excluded from the provisions of this order by the heads of their respective departments, establishments, or agencies, cr those whose absence from duty would be inconsistent with the provisions of existing law, shall be excused from duty all day on Friday, December 26, 1958, the day following Christmas Day; and such day shall be considered a holiday within the meaning of Executive Order No. 10358 of June 9, 1952, and of all statutes so far as they relate to the compensation and leave of employees of the United States. The heads of departments, agencies, and independent establishments shall, to the extent consistent with the needs of the service, adopt a liberal policy for the granting of annual leave to all employees who wish to take such leave over the holiday period. This order shall not be construed as excusing from duty those employees of the Department of State, the Department of Defense, or other departments, establishments, or agencies who for national security or other public reasons should, in the judgment of the respective heads thereof, be at their posts of duty. DWIGHT D. EISENHOWER THE WHITE HOUSE, November 28, 1958. EXECUTIVE ORDER 10793 TRANSFERRING CERTAIN FUNCTIONS FROM THE DEPARTMENT OF DEFENSE TO THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION By virtue of the authority vested in me by the National Aeronautics and Space Act of 1958 (Public Law 85-568; 72 Stat. 426) and section 202 (b) of the Budget and Accounting Procedures Act of 1950 (31 U. S. C. 581c (b)), and as President of the United States, it is ordered as follows: SECTION 1. Those functions (including powers, duties, activities, and parts of functions) of the Department of the Army or of any officer or organizational entity thereof which are now being performed at the Jet Propulsion Laboratory of the California Institute of Technology, near Pasadena, California (hereinafter referred to as the Laboratory), except so much thereof as relates primarily to military operations and weapon system development programs, are hereby transferred to the National Aeronautics and Space Administration. SEC. 2. In connection with the transfer of functions provided for in section 1 of this order, there is hereby transferred to the National Aeronautics and Space Administration custody, possession, and control of the Governmentowned property occupied or utilized by the Laboratory except those items of equipment therein which relate primarily to military operations and weapon system development programs of the Department of the Army. SEC. 3. The Department of Defense and the National Aeronautics and Space Administration shall effect necessary administrative arrangements, including appropriate transfer of records, in connection with the transfers of functions and property provided for in sections 1 and 2 hereof. In order to provide for the most effective utilization of scientific and engineering resources, the National Aeronautics and Space Administration shall to the extent permitted by its own programs and facilities provide research and development support at the Laboratory in respect of military matters to the Department of Defense. SEC. 4. The Secretary of the Treasury shall immediately transfer from such appropriations of the Department of Defense pertinent to the functions transferred by section 1 of this order as the Secretary of Defense shall designate, to such appropriations of the National Aeronautics and Space Administration as the Administrator of the National Aeronautics and Space Administration shall specify, the amount of $4,078,250. DWIGHT D. EISENHOWER THE WHITE HOUSE, December 3, 1958. EXECUTIVE ORDER 10794 ESTABLISHING THE CANAL ZONE MERIT SYSTEM AND PRESCRIBING REGULATIONS RELATING TO CONDITIONS OF EMPLOYMENT IN THE CANAL ZONE By virtue of the authority vested in me by the act of July 25, 1958, Public Law 85-550 (72 Stat. 405), and as President of the United States, it is hereby ordered as follows: SECTION 1. As used in this order: (a) The term "the act" shall mean the act of July 25, 1958 (72 Stat. 405). (b) The terms "department," "position," "employee," and "continental United States" shall have the meanings ascribed to them in section 2 of the act. (c) The term "competitive civil service" shall have the same meaning as the words "competitive service," "classified service," "classified (competitive) service," or "classified civil service" as defined in existing statutes and Executive orders. SEC. 2. (a) Subject to the further provisions of this order, there is hereby delegated to the Secretary of the Army the authority vested in the President by sections 3 and 15 of the act: (1) To exclude any employee or position from the act or from any provision of the act. (2) To extend to any employee, whether or not such employee is a citizen of the United States, the same rights and privileges as are provided by applicable laws and regulations for citizens of the United States employed in the competitive civil service of the Government of the United States. (3) To coordinate the policies and activities of the respective departments under the act. (4) To promulgate such regulations as may be necessary and appropriate to carry out the provisions and accomplish the purposes of the act. (b) The Secretary of the Army may redelegate any of the authority delegated to him by subsection (a) of this section. (c) In promulgating regulations pursuant to the authority delegated by this section (including regulations with respect to the matters covered by sections 3 and 4 of this order), the Secretary of the Army shall give effect to the following-described policies: (1) Employment standards, rates of basic compensation, availability of training facilities and programs shall be applied uniformly among all departments in the Canal Zone to all employees irrespective of whether they are citizens of the United States or of the Republic of Panama. (2) Positions which shall be designated by the heads of agencies, under section 8 of the act, as those which for security reasons shall be filled by a citizen of the United States shall include, but not be limited to, (i) those involving security of property, (ii) those involving access to defense information classified pursuant to Executive Order No. 10501 of November 5, 1953, (iii) those which require the use of United States citizens to insure continuity and capability of operation and administration of activities in the Canal Zone by the United States Government: Provided, that nothing in this order shall be deemed to modify or supersede any provision of either Executive Order No. 10501 of November 5, 1953, or Executive Order No. 10450 of April 27, 1953. (3) Exclusions of employees or positions from the provisions of the act or any provision of the act and the extension of rights and privileges to employees, as provided in section 3 (b) of the act, shall be made only in accordance with regulations issued under this order. Such regulations shall provide for excluding employees or positions from the |