Dr. MUMFORD. Some of the large studios have some collections but the Library of Congress has the most extensive collection of films in this country, or the world, I think. The motion picture companies, the television companies and others-people who are making documentaries-do use them extensively in obtaining footage for various purposes. They are also used by scholars for studying the customs, the costumes for a particular period, and so forth. During the earlier period of motion picture making, films were made with real backgrounds, not on sets.

Mr. CASEY. Do you keep a copy of every film made?

Dr. MUMFORD. No, sir. The copyright law did not cover films until 1912. From 1894 to 1912 the producers could not receive copyright protection on the motion pictures as such. In order to receive copyright protection, they put them on paper prints which they could register. This collection of paper prints, through the initial assistance of the Motion Picture Academy of Arts and Sciences in Hollywood, and then supplemented by congressional appropriations, have all been placed on projectionable safety film.

Then, from 1912 to sometime in the forties, because we could not keep nitrate film on the premises, the Library did not retain any sizable number of films-in fact, hardly any. We have had, however, many large gifts that have helped to fill in these gaps; such as the Mary Pickford collection, and the Library has purchased the large collection of Edison's business manager. Both of these collections have been converted to safety film. When the safety film came in, the Library began retaining a representative selection of the films but we do not retain all the films that are produced each year.

About 18 million feet of film still remain to be converted to safety film, as indicated in the justifications. We have already converted 10 million feet of film.

Mr. CASEY. I was wondering if you kept everything and then too if you kept it on the same-most of this is 35 millimeter, I presume?

Dr. MUMFORD. Yes, a large part of it. The ones still on nitrate are stored in vaults out at Suitland-vaults which the National Archives maintains and permits us to use.

Mr. CASEY. Have you any contemplation on this automation and so forth of putting it on a tape that would take up less space? Videotape is quite the thing now.

Dr. MUMFORD. The films do not take an enormous amount of room actually.

Mr. BASLER. We are converting to 16 millimeter wherever we copy. We are going from 35 to 16 and this reduces the amount of space.

Mr. YATES. Why shouldn't the companies be required to give you a miniature copy of it?

Dr. MUMFORD. What we prefer and what we ask for is 16 millimeter but they don't make 16 millimeter for all films. Your feature films usually are 35 millimeter.

Mr. KAMINSTEIN. The law requires deposit of the best edition of the motion picture film. We are trying to work this out under the present law and we would clearly be able to do so under the revised law.

Dr. MUMFORD. Those on cellulose nitrate are in valuts at Suitland maintained by the National Archives. We have the collection of films on safety stock in the annex of the Library here on Capitol Hill.

Mr. CASEY. Do you have foreign films also?

Dr. MUMFORD. We have a collection of films that were seized during the war, German films, and a collection of Japanese films.

Mr. YATES. Are these official films or are these regularly produced films by private studios?

Dr. MUMFORD. Some of both. During the war, a number of them were seized by the Alien Property Custodian and after the war under law they were turned over to us, and the Army also seized some films. Mr. ANDREWS. If a film is produced in a foreign country and they send it over here for exhibition, I assume they apply for a copyright on it and if they do they must give you a copy?

Dr. MUMFORD. I would like to ask Mr. Kaminstein to respond to that.

Mr. KAMINSTEIN. Not always, Mr. Chairman. It is not required by the law if the film is protected under the Universal Copyright Convention. In many cases of films distributed here our own companies are involved, and they make registration.

Mr. LANGEN. Dr. Mumford, your report to the committee is impressive and does emphasize the many services that the Library provides for not only the Congress, but the Nation as a whole, all of which we have, benefited from.

I do know, however, that the initial request amounts to an increase of some $6,700,000, which is an increase of about 20 percent over a year ago and, of course, includes the salary increases. This seems like a rather substantial increase in view of the budget demands confronting the Nation at the moment.

SPECIAL FOREIGN CURRENCY PROGRAM

One of the first items I do note is that there is a reduction in the moneys for the foreign book acquisition program.

Dr. MUMFORD. Yes, sir, we were able to reduce that at the last minute after a final review.

Mr. LANGEN. What do you mean, you were able to reduce it? I see $170,000 for Indonesia, because there are no more currencies available. That became a necessity.

Dr. MUMFORD. Yes.

Mr. LANGEN. It is not an indication of ability; it is rather an indication of necessity, in both Indonesia and Poland.

So what happens in Indonesia now?

Dr. MUMFORD. There is some accumulation of funds and because of inflation these funds enable us to continue for some period of time there.

Mr. WELSH. The conversion from U.S. dollar equivalent to Indonesian rupiah is made periodically. We have been able to extend our buying power because the conversion is being made as bills become due and this enables us to acquire rupiah at a favorable rate. It appears we will be able to continue operating during perhaps most of the next fiscal year with the U.S. dollars made available for conversion to foreign currencies last year and this year.

Mr. LANGEN. So you will continue operating with the American dollars provided for the program in Indonesia? Dr. MUMFORD. Yes, sir.

Mr. LANGEN. You will continue the same expenditure of American dollars?

Dr. MUMFORD. Yes, sir.

Mr. LANGEN. What does that do to the personnel?

Mr. WELSH. We believe that we can operate with the staff that we have. This remains to be seen.

Mr. LANGEN. That is an interesting point. What has been the experience with inflation? Has it gone up?

Mr. WELSH. Yes, sir.

Mr. LANGEN. Ten percent or fifty?

Mr. WELSH. One year it was 50 percent. A policy of economic stabilization has been introduced, according to the report we received yesterday, which may bring about a leveling off.

It has been at least as high as 50 percent.

Mr. LANGEN. In the last year?

Mr. WELSH. Yes, sir.

Mr. LANGEN. The next item I see relates to Poland, $100,000 in Poland. What happened in Poland?

Mr. WELSH. We are still negotiating with the Polish Government to set up the program but we have not received final approval, so that we have not as yet established a program.

Mr. LANGEN. You mean you haven't got approval from Poland? Mr. WELSH. We have not.

Mr. LANGEN. I thought I understood last year when this was presented to the committee that all these items were so important that they had to be done right away. What went wrong?

Dr. MUMFORD. It was important to get the program started if we could and we had reason to believe that it would be accepted. We have gone through discussions with several officials, including our own Ambassador and his staff in Warsaw. We have had approval from the Minister of Finance of Poland and at the present time it only awaits approval from the Minister of Culture.

We think it will be forthcoming almost any day. When we talked with them, they seemed to be quite sympathetic to the idea as being one of mutual benefit. Especially they liked the idea of getting more Polish books into libraries over here from which students and scholars could learn more about Poland.

Mr. LANGEN. Evidently they didn't just stand up and cheer the minute they found out we were interested in such a program.

Dr. MUMFORD. The situation in Poland is a little different from what it is in other countries with respect to the money which they owe us. In other countries, it is in their native currency, but in Poland it is in the nature of a loan, which the Polish Government agreed to pay back in dollars and they have been trying to work out a large deal with the United States for the use of this money, which amounts to about $500 million, and there are periodic payments on it. They seem to feel that, since our program is in the cultural field, it might be considered separately, and they might take action on it without awaiting resolution of the larger problem of how they will pay back the remaining sum.

Mr. LANGEN. Without going into the details of all of that, I understand we are in the process of canceling out an obligation that Poland has to us in connection with 480 moneys, in another field than this, but the fact remains that Poland is obligated to us.

Dr. MUMFORD. That is correct.

Mr. LANGEN. And because of that obligation, and while we may indicate that this is a kind of cheap way to run a library over there, if we have to cancel out their obligations to us, it still becomes a net loss as far as this country is concerned. I was just wondering what the experience had been involving the Library operation?

Dr. MUMFORD. If our Government were to reach the point of cancelling out the whole debt, then obviously we wouldn't be able to pursue a Public Law 480 program.

Mr. LANGEN. How about Yugoslavia?

Dr. MUMFORD. This has been approved and we are beginning operations in Belgrade.

Mr. LANGEN. This has worked out satisfactorily?

Dr. MUMFORD. The program is just getting under way, but it has been satisfactory from the standpoint of negotiating with the Yugoslav publishers and with the Yugoslav Bibliographic Institute, to get a limited number of copies for research libraries in this country.

Mr. LANGEN. How many publications have we got from there now? Dr. MUMFORD. That we have already received under this new arrangement? I am not sure that any shipments have arrived as yet because it is just within the last month or two that these negotiations have been concluded.

Mr. LANGEN. Have moneys appropriated last year been expended?
Dr. MUMFORD. No, sir.

Mr. LANGEN. So there is the carryover and refund involved?
Mr. ROSSITER. With regard to Yugoslavia.

AUTOMATION PROGRAM

Mr. LANGEN. I note on page 6 your reference to the automation program, and an increase of $1,100,000. I seem to recall some discussions last year about when we were going to eventually accomplish the necessary planning for the automation program. With this increase, what is the total amount of money involved in the expenditure of the automation program for this fiscal year?

Dr. MUMFORD. At the present time we have $585,000. If this request is granted, it will make available $1,685,000 for the next fiscal year. Mr. LANGEN. And what was the appropriation last year?

Dr. MUMFORD. $585,000.

Mr. LANGEN. That is the total appropriation?

Dr. MUMFORD. For automation.

Mr. LANGEN. Last year?

Dr. MUMFORD. For the current year, yes.

Mr. LANGEN. Now, wasn't this supposed to come to an end in 15 months or something? Wasn't that the testimony we had last year? Mr. ROSSITER. The current contract was to be completed in 15 months. Mr. LANGEN. Is this a part of the contract moneys?

Mr. ROSSITER. Yes, sir. The first three phases were for 15 months. Dr. MUMFORD. The establishment of a central bibliographic system is an enormously big and complex job, and its has of necessity been proceeding by stages. As I indicated in the preliminary statement, stages 1 and 2 are finished. We are now in stage 3. In fiscal 1968, we will go into stage 4, which will be the preparation of specifications for equipment and programs.

Mr. LANGEN. I don't know that I quite follow you here. How come the amounts left over from the 1967 fiscal year? How does this come about?

Mr. ROSSITER. In 1967 we had $585,000. We have made a contract to have this work performed and the money has been obligated in 1967. They may not finish, but it is perfectly legal for them to finish in August or September and still be paid under the 1967 funds. That is the story of our current fiscal year's money.

Mr. LANGEN. The $585,000 is to pay off the contract as obligated for 1967?

Mr. ROSSITER. Money for the third phase of a seven-phase study was included in the $585,000 appropriation for fiscal 1967.

Mr. LANGEN. Then the $1,100,000 now included in this budget is for a second phase, third, or

Dr. MUMFORD. It is to move into phase 4 and also to pursue other aspects of the automation program.

Mr. LANGEN. That is an increase over last year's appropriation for the same purpose..

Dr. MUMFORD. Yes, sir.

Mr. LANGEN. So the total is what?

Mr. ROSSITER. $1,685,000. There is a table on page 107, Mr. Langen. Dr. MUMFORD. In addition to provision for the central bibliographic system, about which we have talked at different times, the $1,685,000 will provide funds for the machine readable catalog project that will produce catalog copy on magnetic tapes for other libraries, and also provide funds for giving attention to design of some related systems for the Legislative Reference Service and Copyright Office.

Mr. LANGEN. When do you expect the completion now of the contract for 1967?

Mr. ROSSITER. Early this summer, I believe, Mr. Langen.

Mr. LANGEN. Early this summer?

Dr. MUMFORD. Perhaps Mr. Berry could elaborate.

Mr. BERRY. The present three-phase contract, sir, as I recall, should be completed in the fall of 1967. It was a 17-month contract signed in June of 1966, but covering only the first three phases.

Mr. LANGEN. So in September that might be completed?

Mr. ROSSITER. Yes, about then.

Mr. LANGEN. Then these additional moneys would be for whatever additional contract or work that follows after September?

Mr. BERRY. Yes, sir.

Dr. MUMFORD. Part of the money is for contracts and some is for temporary in-house personnel to work with the contractor.

Mr. LANGEN. So then there would be over $700,000 in additional expenses, and you say this involves employees to work with the contractor?

Dr. MUMFORD. Yes, sir. Some personnel would be necessary to assist in monitoring the contracts.

Mr. LANGEN. How many employees?

Mr. ROSSITER. We now have 33, sir; for monitoring the contracts. and for the MARC project.

Mr. LANGEN. And these would be 33 new employees that you don't now have in this field?

Mr. ROSSITER. No, sir; 33 temporary staff members are on board

now.