Revenue producing activities.—A part of this appropriation is used to finance the Library's own needs, such as the printing of cards for its official and public catalogs and the printing of technical publications for its own use. The bulk of this appropriation, however, supports services to other libraries and institutions and brings in revenue which is deposited in the miscellaneous receipts of the Treasury. Net cash receipts amounted to $5,046,417 in 1966, which was a return of 123 percent of the appropriation. In 1967 a return of $5,800,000, or 125 percent, is expected. By 1968, sales should reach $7,250,000, which with the appropriation requested would result in a return of 111 percent.

As shown in the following tables, there have been rapid increases in the number of orders received and in the dollar volume of sales during the last five to ten years.

Mr. ANDREWS. Dr. Mumford, I note reference on page 168 of the justifications to the "stringent budget situation during 1967, not only that these increased printing costs would not be met but also it meant that many publications planned for fiscal 1967 could not be printed and had to be deferred."

Explain this, because according to the 10-year table on page 113. the budget estimate for 1967 was $4,564,000 and the Congress provided the full amount.

Dr. MUMFORD. This is a case, Mr. Chairman, of where we anticipated increased business but the amount of increased business was greater than we estimated. This has been the case for the last 2 or 3 years.

We have tried to keep our requests down to what we were reasonably sure the business would be but there is just more and more business, as I have indicated. There are more and more demands for catalog cards and for our book catalogs, and with more cataloging being done and more cards being printed, it costs more for printing of the cards and more for the printing of the catalogs.

Mr. ANDREWS. Is it not true we have more libraries today than we had 10 years ago?

Dr. MUMFORD. Yes.

Mr. ANDREWS. Does the number of libraries we have throughout the country have an impact on the amount of business with reference to this subject of distribution of catalog cards?

Dr. MUMFORD. It does very much. Perhaps more than the increase in the number of libraries has been the increase in the collections of existing libraries.

The Federal aid programs to public libraries, college and university libraries, and elementary school libraries all have had an impact upon the need and demand for catalog cards and our card distribution. service.

Mr. ANDREWS. Do these bookmobiles operate through a central system?

Dr. MUMFORD. They operate through a central system but they would need catalog cards for the books which they carry on the bookmobiles, so I suggest there is some impact as a result of the increase in bookmobiles.

Mr. WELSH. In answer to the earlier question, if you turn to page 166 you will see the number of new accounts that have been added. In 1956 there were 2,158 new accounts representing additional libraries. There are now in excess of 20,000 libraries subscribing to our services. Mr. ANDREWS. In other words, in 1957 you had 932 more libraries subscribing to your service?

Mr. WELSH. New accounts only. Now we have over 20,000 subscribers to our service.

SALES AND COSTS

Mr. ANDREWS. I think it would be well to insert pages 165 and 166. (Pages follow:)

These cards are sold to over 20,000 subscribers who depend on them to construct their card catalogs. The number of libraries throughout the country utilizing this service has mushroomed in recent years, primarily because of the growth in American education. A recent article in the Wall Street Journal pointed out that the nation is now founding new colleges at the rate of 20 or more per year, and within ten years will probably be founding them at the rate of one a week. All of these colleges need libraries, and most of them will depend on the Library's card distribution service; the same is true to an even greater extent of public libraries and libraries of elementary and secondary schools. The table below reflects the impact of this growth by indicating the number of new subscribers added to the Card Division's accounts in each of the past ten years:

During fiscal 1967, we expect to add over 2,500 new accounts.

INCREASE FOR WITHIN-GRADE INCREASES AND REALLOCATIONS

Mr. ANDREWS. You are requesting an increase of $52,174 for ingrade increases and other anticipated increases in salary costs. Is that correct?

Dr. MUMFORD. Yes, sir.

Mr. ANDREWs. That is mandatory?

Dr. MUMFORD. This is similar to the item which appears in the other appropriations.

INCREASE FOR PRINTING

Mr. ANDREWS. You are requesting an increase of $937,000 for printing as follows:

One, pay increase at the Government Printing Office, $24,000. Is that mandatory?

Dr. MUMFORD. Yes, sir.

Mr. ANDREWS. That is a matter over which you have no discretion? Dr. MUMFORD. It was the result of an increase in pay. These costs automatically are reflected in our printing bills.

Mr. ANDREWS. In other words, costs at the Government Printing Office have increased. When you ask them to do work you have to pay according to the increased cost of operation which they have experienced?

Dr. MUMFORD. That is correct.

Mr. ANDREWS. "Printing of catalog cards." There you ask for an increase of $441,000.

Explain that, Dr. Mumford.

Mr. WELSH. We anticipate a need to print an additional 32 million catalog cards in 1968.

In 1967 we are printing 101 million cards. We expect to need 32 million more in 1968 for sale and inventory purposes.

Mr. ANDREWS. Your volume of business is increasing?

Mr. WELSH. Yes, sir.

Mr. ANDREWS. You are required to print more cards, and the cost of printing has increased. Therefore you need this $441,000. Is that the size of it?

Mr. WELSH. Yes, sir.

Mr. ANDREWS. Next, you have "Printing of book catalogs and other publications," an increase of $472,000. Does the same answer apply to that question?

Mr. WELSH. Yes, sir. There is another explanation as well.

With the increased cataloging we are able to do in the Library there are more cards that need to be produced in our book catalogs. With the greater sales of our publications there is need to go back to reprint many of our publications which go out of print much more rapidly than anticipated.

INCREASE FOR OFFICE SUPPLIES

Mr. ANDREWS. You are requesting an increase of $5,000 for office supplies?

Mr. WELSH. That is right.

Mr. ANDREWS. What about that?

Mr. WELSH. It is necessary to keep pace with the increased sales activity.

Mr. ANDREWS. What do you mean by office supplies? Mr. WELSH. Envelopes, stationery, packing materials for the cards and books.

INCREASE FOR LONG-DISTANCE PHONE

Mr. ANDREWS. You are requesting an increase of $5,000 for long-distance telephone. What about that item?

Mr. WELSH. The explanation there is the same as it was for the longdistance telephone in the Library of Congress salaries and expenses appropriation. The Library's share has been raised on long-distance telephone calls.

This cost must be borne by the Card Division appropriation.

Mr. ANDREWS. Is this money in your budget for long-distance telephone calls a part of the earlier request you made for the Library of Congress for long-distance telephone calls?

Mr. WELSH. It is an addition to the cost mentioned under Library of Congress salaries and expenses. This appropriation has to bear its own costs.

Mr. ANDREWS. What kinds of long-distance calls do you make? Mr. WELSH. To subscribers, book publishers, libraries throughout the country.

Mr. ANDREWs. Is this for the same FTS?

Mr. WELSH. Yes, sir.

INCREASE FOR SPECIAL MECHANIZATION

Mr. ANDREWS. You are requesting $50,000 for special mechanization. Mr. WELSH. Yes, sir.

Mr. ANDREWS. Is this program new ?

Mr. WELSH. Yes, sir. We look upon this as a three-phase program. We are aware that we cannot continue to meet the needs of the libraries interested in our services by simply adding additional staff. Space is a problem and recruitment of additional personnel is difficult.

We believe there are certain of our operations that are routine and repetitive and which can be mechanized. This request looks forward to mechanizing those operations.

Hopefully the first phase can be completed in fiscal 1968.

We expect to demonstrate savings.

REQUEST 140 NEW POSITIONS

Mr. ANDREWS. You are requesting an increase of $823,512 for 140 new positions. That is a record; is it not?

Mr. WELSH. It is indeed, sir.

NUMBER OF POSITIONS AND EMPLOYEES

Mr. ANDREWS. How many employees do you have authorized now? Mr. WELSH. 439 budgeted positions.

Mr. ANDREWS. How many actually on the payroll as of a recent date?

Mr. WELSH. 166 in addition to that.

Mr. ANDREWS. 605?

Mr. WELSH. Yes, sir.

Revenue producing activities.-A part of this appropriation is used to finance the Library's own needs, such as the printing of cards for its official and public catalogs and the printing of technical publications for its own use. The bulk of this appropriation, however, supports services to other libraries and institutions and brings in revenue which is deposited in the miscellaneous receipts of the Treasury. Net cash receipts amounted to $5,046,417 in 1966, which was a return of 123 percent of the appropriation. In 1967 a return of $5,800,000, or 125 percent, is expected. By 1968, sales should reach $7,250,000, which with the appropriation requested would result in a return of 111 percent.

As shown in the following tables, there have been rapid increases in the number of orders received and in the dollar volume of sales during the last five to ten years.

Mr. ANDREWS. Dr. Mumford, I note reference on page 168 of the justifications to the "stringent budget situation during 1967, not only that these increased printing costs would not be met but also it meant that many publications planned for fiscal 1967 could not be printed and had to be deferred."

Explain this, because according to the 10-year table on page 113. the budget estimate for 1967 was $4,564,000 and the Congress provided the full amount.

Dr. MUMFORD. This is a case, Mr. Chairman, of where we anticipated increased business but the amount of increased business was greater than we estimated. This has been the case for the last 2 or 3 years.

We have tried to keep our requests down to what we were reasonably sure the business would be but there is just more and more business, as I have indicated. There are more and more demands for catalog cards and for our book catalogs, and with more cataloging being done and more cards being printed, it costs more for printing of the cards and more for the printing of the catalogs.

Mr. ANDREWS. Is it not true we have more libraries today than we had 10 years ago?

Dr. MUMFORD. Yes.

Mr. ANDREWS. Does the number of libraries we have throughout the country have an impact on the amount of business with reference to this subject of distribution of catalog cards?

Dr. MUMFORD. It does very much. Perhaps more than the increase in the number of libraries has been the increase in the collections of existing libraries.

The Federal aid programs to public libraries, college and university libraries, and elementary school libraries all have had an impact upon the need and demand for catalog cards and our card distribution

service.