U.S. HOUSE OF REPRESENTATIVES, Hon. GEORGE W. ANDREWS, May 15, 1968. Chairman, Subcommittee on Legislative Branch, Committee on Appropriations, House of Representatives, Washington, D.C. DEAR GEORGE: The House Office Building Commission today approved a request to assign and subdivide 1,566 square feet at 2360 Rayburn House Office Building for the occupancy and use of this committee. A detailed plan of the subdivision is attached. The Architect's estimated cost of the entire project is $25,000. The requested space is only slightly larger than that presently assigned. It is, however, unlike the present space, adaptable to proper storage of the financial disclosure records, which will shortly be required, and to conversational security. The sensitivity of matters that might be expected to come before this committee makes these considerations most important. In order that the work may go forward, it is respectfully requested that provision for this expenditure be made in the legislative branch appropriation bill now under consideration by your subcommittee. Under the most favorable timing, occupancy could not be expected before early next year. If I may supply additional information or appear before your subcommittee on behalf of this request, I shall be happy to do so. With kindest personal regards. Sincerely, MELVIN PRICE, Chairman. NOTE.-Detailed layout plan referred to omitted here. 92 655-68- 41 [Clerk's Note.-The following hearings of June 6 and June 10, relating to House dining facilities, were conducted by a special subcommittee (Representatives Yates of Illinois and Andrews of North Dakota) appointed by the chairman of the Legislative Subcommittee for the purpose of looking into the operations of the House dining facilities:) THURSDAY, JUNE 6, 1968. U.S. HOUSE OF REPRESENTATIVES HOUSE DINING FACILITIES WITNESSES J. GEORGE STEWART, ARCHITECT OF THE CAPITOL CHARLES A. HENLOCK, ADMINISTRATIVE OFFICER ASSISTANT KERMIT COWAN, RESTAURANT MANAGER THE EXECUTIVE BERNARD A. BRADY, GENERAL ACCOUNTING OFFICE Mr. YATES. We have with us today the gentlemen from the Office of the Architect of the Capitol who have, by virtue of the direction of the Legislative Subcommittee, been conducting a preliminary exploration into the possibilities of having the House dining facilities operated under some satisfactory private concession arrangement. STATUTE GOVERNING PRESENT OPERATIONS I think the record should contain at this point a copy of Public Law 812 of the 76th Congress, section 208, and a copy of House Resolution 590, 76th Congress. H. RES. 590, 76th CongreSS, AGREED TO SEPTEMBER 5, 1940 "Resolved, That effective October 1, 1940, until otherwise ordered by the House, the management of the House Restaurant and all matters connected therewith shall be under the direction of the Architect of the United States Capitol under such rules and regulations as he may prescribe for the operation and the employment of necessary assistance for the conduct of said restaurant by such business methods as may produce the best results consistent with ecoomical and modern management. "SEC. 2. The Committee on Accounts after the close of business September 30, 940, is hereby authorized and directed to transfer to the jurisdiction of the Architect of the United State Capitol all accounts, records, supplies, equipment, ind assets of the House Restaurant that may be in the possession or under the ontrol of the said committee in order that all such items may be available to the Architect of the United States Capitol toward the maintenance and operation of he House of Representatives Restaurant.” SECTION 208-PUBLIC LAW 812, 76TH CONGRESS, APPROVED OCTOBER 9, 1940 "SEC. 208. (a) The Architect of the Capitol is hereby authorized and directed to carry into effect for the House of Representatives, and to exercise the authorities contained in the resolution of the House of Representatives numbered 590, adopted September 5, 1940, and any other resolution of such House amendatory thereof or supplementary thereto hereafter adopted. Such authority and direction shall continue until the House of Representatives shall by resolution otherwise order. "(b) There is hereby established with the Treasurer of the United States a special deposit account in the name of the Architect of the Capitol for the House of Representatives Restaurant, into which shall be deposited all sums received pursuant to such resolution or resolutions and from the operations thereunder and from which shall be disbursed the sums necessary in connection with the exercise of the duties required under such resolution or resolutions and the operations thereunder. Any appropriation hereafter made from the Treasury of the United States for such restaurant shall be a part of the appropriation 'Contingent Expenses, House of Representatives, Miscellaneous Items', for the particular fiscal year involved and each such part shall be paid to the Architect of the Capitol by the Clerk of the House of Representatives in such sum as such appropriation or appropriations shall hereafter specify and shall be deposited by such Architect in full in such special deposit account. "(c) Deposits and disbursements under such special deposit account (1) shall be made by the Architect, or, when directed by him, by such employees of the Architect as he may designate, and (2) shall be subject to audit by the General Accounting Office at such times and in such manner as the Comptroller General may direct: Provided, That payments made by or under the direction of the Architect of the Capitol from such special deposit account shall be conclusive upon all officers of the Government. "(d) The Architect, Assistant Architect, and any employees of the Architect designated by the Architect under subsection (c) hereof shall each give bond in the sum of $5,000 with such surety as the Secretary of the Treasury may approve for the handling of the financial transactions under such special deposit account.' Mr. YATES. These indicate the authority of the Architect of the Capitol to run the House Restaurants. There will also be added, without objection, the letter of the Honorable George W. Andrews, dated May 22 of this year to the Honorable J. George Stewart, Architect of the Capitol, indicating the decision of this subcommittee to go into this question. (Letter follows:) HOUSE OF REPRESENTATIVES, Hon. J. GEORGE STEWART, Washington, D.C. DEAR MR. ARCHITECT: You will recall that early in April this subcommittee had considerable discussion with you and your associates on the fiscal 1969 budget request for financing the rapidly escalating losses incurred in operating the food service facilities under the House of Representatives, including the question of exploring the possibility of leasing the facilities for operation under concession. The question was discussed further in executive markup sessions and in consequence, the subcommittee today decided to postpone action on the item until the matter could be explored further. I was directed by the subcommittee to appoint a special subcommittee for the purpose, and I have today designated Hon. Sidney R. Yates and Hon. Mark Andrews to seek the cooperation of you and others to this end. The time schedule for concluding the matter is such that we will need to move with some expedition, and we will much appreciate your cooperation. With every good wish. Sincerely, GEORGE W. ANDREWS, Chairman, Subcommittee on Legislative Appropriations. PRELIMINARY PROSPECTUS SENT TO VARIOUS PRIVATE FOOD SERVICE FIRMS Mr. YATES. Pursuant to the instructions of this committee, the Architect of the Capitol communicated with various operators of restaurants and suppliers of food to determine whether they would be interested in reviewing the operations of the restaurants and offering suggestions under which they might wish to operate the House restaurants and to receive any proposals they might care to offer. The tentative prospectus and invitation of the Architect of the Capitol, dated May 23, sent out to such operators and suppliers, will be inserted in the record at this point. (Letter follows:) ARCHITECT OF THE CAPITOL, OPERATION OF THE RESTAURANT FACILITIES, HOUSE OF REPRESENTATIVES, WASHINGTON, D.C. A subcommittee of the House Committee on Appropriations, having responsibility to recommend funds for operation of the Legislative Branch of the Government, is interested in exploring the possibility of an outside concessionaire operating the House restaurant facilities. The restaurants are now operated by the Architect of the Capitol as an agent of the House of Representatives. Present restaurant employees are personnel of the House of Representatives (U.S. Government employees). The primary purpose of the subcommittee is to determine whether the restaurants can be satisfactorily run by outside management-if possible--without an operating deficit. The subcommittee has directed that the Architect of the Capitol invite several established firms and/or nonprofit organizations to review the operations of the restaurants and to submit promptly their tentative proposals if they are interested in operating the House restaurant facilities. You are invited to submit such a proposal. It is to be understood that any proposal submitted will be of a tentative nature and will not be binding on either the firm submitting it or the Government, but we do expect that proposals will be as complete, accurate, and meaningful as the time permits. Important: Your proposal should be delivered to this office as soon as possible, but not later than Tuesday, June 4, 1968. During the same week, the subcommittee will no doubt wish to meet with those firms who are interested in operating the House eating facilities. The restaurant facilities consist of the following: In the Capitol: Main restaurant, House side, located in rooms H-117, H-118, H-119, Members' private dining room, in rooms H-130 and H-131. Cafeteria-coffee shop, room HB-9 and adjoining areas used for kitchen, etc. Other rooms are used from time to time for special luncheons, breakfasts, etc. In preparing tentative proposals, firms should make the following assumptions: The Government will furnish (without cost to the firm) subject to any limitation on funds that may be fixed by the Congress for such purposes |