The CHAIRMAN. He says:

It was hoped that when the general-storekeeper system was adopted on bcard ship it would result in a decrease in clerical force, but it has not. On the contrary, persistent efforts have been made by many commanding officers afloat to have the clerical force increased on account of it.

What have you to say with reference to the cost-accounting system of storekeepers?

Admiral CowIE. Heretofore these stores have been under three or four different officers on board ship who naturally must have devoted some of their time to the care of the stores and the preparation of the returns and requisitions, everything in connection with them. When the stores were turned over to the pay officer as general storekeeper of the ship, it was the intention of the department that all the yeomen connected with the stores should go with the work, and a general order was issued to the effect that the commanding officer may transfer to the Pay Department the several yeomen connected with the stores. At the time the order was issued and I had it prepared-I had in it the word "shall" instead of "may;" but after the matter was talked over by some of the officers the order was issued with the word "may" instead of "shall."

I pointed out at the time that a good commanding officer would assign these men, while there was a possibility that a poor commanding officer might not, the good one realizing the necessity of making the plan a success. The Bureau of Navigation, however, fixes the complement of the ships and, I understand, has recently cut down the number of yeomen allowed some of the ships, and consequently has crippled the general storekeeper's department to that extent. In my opinion every yeoman who had the handling of any of the stores under the previous plan should have been transferred to the Pay Department or to the general storekeeper with the stores.

Mr. HOBSON. Was it generally done?

Admiral CowIE. It was generally done, and I think in the cases where the commanding officers are now asking for more yeomen for the general storekeeper the complement has probably been reduced or the yeomen assigned to duties other than under the general storekeeper, which, I fear, is the case with many ships.

The CHAIRMAN. A yeoman is a general clerk?

Admiral CowIE. Yes, sir; a general clerk.

The CHAIRMAN. He does clerical work?

Admiral COWIE. Yes, sir. Previously the engineer yeoman and the navigator's yeoman and all the different yeomen did the writing for those departments and took care of the stores.

The CHAIRMAN. What duties do these officers now perform in lieu of that which they were relieved of by the transfer of the duties to the paymaster's department?

Admiral CowIE. You mean the officers in charge of the departments? The CHAIRMAN. Yes, sir. Heretofore you said that duties were distributed among a number of departments?

Admiral CowIE. Yes, sir.

The CHAIRMAN. And now they are being concentrated under the paymaster?

Admiral CowIE. The stores coming under these several officers, of course, were only a small part of their duty and they had the yeomen look after them. Of course they were responsible under the old

system, but the time of all officers aboard ship now is taken up with much more important duties than looking after the stores. There is no question but what they have little time for themselves.

The CHAIRMAN. They are devoting the time heretofore devoted to clerical work to the work of the officers?

Admiral CowIE. Yes, sir; their legitimate duties.

Mr. HOBSON. Do we understand that the net result has been an increase in the clerical force?

Admiral CowIE. Not so far. The only clerical force which has been increased is the 10 clerks that I got for the general storekeepers afloat in the last appropriation bill.

The CHAIRMAN. It has resulted in a demand for an increase in the clerical force?

Admiral COWIE. Yes, sir; to the extent stated.

Mr. Foss. Paymaster General, I asked you awhile ago to give us the military expense at the different yards during the last year and the previous year. In that connection I want to get the pay of the officers afloat during the past year as compared with those in the previous year and also the pay of the officers on shore for the last year and for the previous year, in order to make a comparison of the two things.

Mr. HOBSON. Could not that come in with the three systems like we suggested for the cost?

Admiral CowIE. At those particular times?

Mr. Foss. I mean for the whole fiscal year.

Comparative statement of accrued pay of officers on duty at all navy yards and naval stations, not including officers on special duty, including midshipmen under instruction at the Naval Academy, and that of officers on duty afloat as reported to the Bureau of Supplies and Accounts, Navy Department, for the fiscal years 1910 and 1911.

Thereupon the committee adjourned to meet to-morrow, Friday, February 2, 1912, at 10.30 o'clock a. m.

[No. 6.]

THE COMMITTEE ON NAVAL AFFAIRS, Friday, February 2, 1912. The committee this day met, Hon. Lemuel P. Padgett (chairman) presiding.

STATEMENT OF REAR ADMIRAL RICHARD MORGAN WATT, CHIEF BUREAU OF CONSTRUCTION AND REPAIR.

Mr. GREGG. The first item is "Construction and repair of vessels: For preservation and completion of vessels on the stocks and in ordinary,” etc.

The CHAIRMAN. That is the same as last year, with the exception of the insertion of the word "aeroplanes"?

Admiral WATT. Yes, sir.

Mr. GREGG. What is the total of this item?
Admiral WATT. $8,479,000.

Mr. GREGG. This is exactly the same and the same amount and everything that was appropriated for 1912, except that you have added "aeroplanes." What is estimated for them?

Admiral WATT. The inclusion of the word "aeroplanes" was made in order that the supply of aeroplanes would be distributed between bureaus along the same lines as the supply of boats. The Bureau of Construction and Repair supplies the hulls of the boats. The Bureau of Steam Engineering supplies machinery for boats propelled by power. The argument was that the aeroplane was merely an air boat-a vessel for passage through the air instead of passage through water-and that the two bureaus that were responsible for the supply of boats and their machinery would be further responsible for the supply of the aeroplanes and their machinery. The word "aeroplane" is similarly included in the phrasing for the Bureau of Steam Engineering. Mr. GREGG. You furnish the hull, do you?

Admiral WATT. Construction and Repair will furnish the hull or the structure of the aeroplane and the Bureau of Steam Engineering will supply the motor and the propeller that pushes the aeroplane.

Mr. GREGG. I see that you add this work, but do not increase the aggregate amount. How much is estimated for that?

Admiral WATT. There was no distinct estimate made. Last year you included under the Bureau of Navigation $25,000. The Bureau of Navigation is a personnel bureau and not a matériel bureau.

Mr. GREGG. That was taken out of the appropriation for the other bureau?

The CHAIRMAN. No, sir; we carry $10,000.

Admiral WATT. That amount would be for the training of the personnel.

Mr. GREGG. And not for the construction?
Admiral WATT. No, sir.

The CHAIRMAN. The department is not adding anything for this? Admiral WATT. The total amount remains the same.

Mr. GREGG. The aggregate is the same, but I did not know how much you proposed to spend on these aeroplanes.

The CHAIRMAN. I would like to ask the constructor if he can give us the usual statements showing the expenditures for last year out of the appropriation of $8,479,000?

Admiral WATT. Yes, sir.

I will append to the hearing the following statements:

Appendix I, statement of expenditures by titles under appropriation “Construction and repair, 1911.

Appendix II, showing "Construction and repair, 1911," expenditures by navy yards and stations.

Appendix III, showing relative expenditures "Construction and repair" appropriations for years 1911 and 1910.

Appendix IV, showing relative expenditures "Construction plant" appropriations 1911 and 1910.

Appendix V, showing the "Construction and repair, 1912," expenditures for the first six months of the current fiscal year.

Appendix VI, showing expenditures by titles under construction and repair allotment of appropriation "Equipment of vessels, 1911.”

Appendix VII, showing expenditures by titles under construction and repair allotment of appropriation "Equipment of vessels, 1912," for the first six months of the current fiscal year.

The CHAIRMAN. Did you have any unexpended balance in that appropriation?

Admiral WATT. Yes, sir. The "Construction and repair, 1911," balance according to the returns as late as November 25, 1911, was $294,000. I think in this connection I should say that the appropriation for 1911 was $500,000 greater than the appropriation for 1912, and $500,000 greater than the appropriation asked for 1913. Mr. GREGG. What did you say the unexpended balance was? Admiral WATT. $294,000.

Mr. GREGG. But there will be charges against that?

Admiral WATT. Yes, sir; there will be further charges that will reduce that amount.

The CHAIRMAN. Is that an annual or a continuing appropriation? Admiral WATT. An annual appropriation, and no obligations are incurred against it after June 30.

Mr. BROWNING. If an obligation is incurred before June 30, is not that appropriation available if the bills are presented afterwards, if the work is not completed?

Admiral WATT. If material is contracted for before the 30th of June, and delivered after June 30, it can be paid for in the ensuing two years, but no labor would be charged against this appropriation after June 30 of the year for which the appropriation is made.

Mr. BROWNING. You have control of this appropriation for two years?

Admiral WATT. We have control in the sense that the appropriation is kept open two years to meet outstanding obligations of the 30th of June of the fiscal year for which the appropriation is made.

Mr. BROWNING. Of course, I understand that no labor can be paid, but construction work entered into before the end of the fiscal year would be chargeable to the appropriation?

Admiral WATT. Any contracts or obligations; yes, sir.

The CHAIRMAN. I want to call attention to House Document No. 382. You notice on page 74 there are various improvements