In the first place Central Office, Washington, showing as of 31, 1932, the total personnel. The chart that I have here will leave with the committee showing the personnel and there. This chart, however, is brought a little further up than the table and statement which was used in getting estimates in 1931.

Mr. CHIPERFIELD. May I ask, was that matter correlated Is your statement that about 4 per cent of the total annual for administration?

General HINES. Yes, sir. To be exact, I have a detail of th I was going to read it, the breakdown of the appropriation understand you desire to have done, but I thought first I would the activity. Now, this chart shows the organization of Central [Chart faces this page.]

Indicated in the block here is the total personnel and the cost, the numbers in the block, the first numbers being pers include all of the personnel under the blocks attached to it For instance, the first block that I have here is the Adminis of Veterans' Affairs, being my own office. There we show the of all personnel in central office is 5,233, pay roll of $10,41 Going down to the next group we have the line-up under an assi administrator of all the medical and domiciliary activities with a personnel of 602 that is broken down in detail. The main poin the organization of the Veterans' Administration in the central is designed along the lines that I indicated yesterday those func that are common to each other under an assistant.

We have three assistant administrators, one handling all ma pertaining to medical and domiciliary care and supply, with the struction. Of course, construction under the Veterans' Adminis38 tion depends upon the programs passed by Congress. We are winding up the last building program and that activity, of course going down. If no further construction programs are authorized t would practically be eliminated, except the utility, upkeep, and re items. The next assistant administrator is charged with and under his supervision all pensions, compensation, including disabil allowance. The office of the assistant administrator of finance a insurance handles all disbursements and administrative audits a all matters pertaining to insurance. Then, the breakdown of t activity going down.

Our activities in the field are these: We have in four areas, Eastern area, New York, the Southern area with headquarters Birmingham, and the Central area in Chicago, and the Western are San Francisco, a representative of the administrator with one st nographer. The duties of those assistants are to take up administra tive matters in their areas that require adjustment with the manager and the various heads. Recently, with a view of economizing an carrying out as best I could the program of the administration, I ar taking those men and assigning them to new activities, the one in th Southern area going to the new national home, Biloxi, the one in the Western area to Roseburg, Oreg., and the other two awaiting assign ment. They are men of long experience and can be assigned to those activities. When that is accomplished there will be no representative of the Administrator in the field and the supervision of those activities must be made through budget supervisors from central office.

General HINES. Our percentage, Senator, runs pretty high in the Veterans' Administration. In those positions that men occupy that is 66.59 per cent; but, due to the large stenographic force of women, our total percentage is less than that.

Senator ROBINSON. Is any considerable number of stenographers and clerical force outside the veterans themselves coming from veterans' families? We have no way of

General HINES. Oh, yes. I think they are. telling, generally. We take them from the civil service. As you know, the first preference is given to the veteran. It is the policy of the Veterans' Administration to take veterans. First preference is given to the disabled veteran and next to the veteran's dependents. Senator ROBINSON. The Government has to give preference to veterans everywhere under the law.

General HINES. I think it is a proper law.

Senator ROBINSON. Especially in this particular department, which deals with veterans.

General HINES. Well, Senator, it is all because of the large percentage of the clerical and stenographic force against the total force. For instance, if you were to take our hospitals and homes you would find a larger percentage. The total personnel, for instance, in the combined facilities-that is, hospitals and regional offices-we have 5,962 employees. In the general hospitals we have a total of 3,277. In the N. P. hospitals there are 6,375. The total out of 36,000 is 13,916 employees. We can work out for you, and I will be glad to do it for you, the percentage of veterans. But you will find in the hospitals and homes, where nurses, attendants, and doctors are found, the percentage of veterans will be very high. But you will find in the regional offices, where the clerical force is made up mostly of women the greater percentage by far the nonservice percentage is large. But I know of no Government department that has a greater percentage of veterans than ours. I think that is as it should be.

The benefits for 1932 that I am referring to amount to 86.04 per cent of the total, being $723,973,407. Now direct benefits are those monetary benefits, compensation, and disability allowance to veterans. Indirect benefits-the cost of hospitalization, hospital care, treatment, and domiciliary care in the national homes, amounts to 10.18 per cent of the total, or to $85,616,850. In other words, the administration, as far as it is possible to break that down-and I think the items as we have them are very conservative-uses only 3.78 cents out of every dollar.

EXHIBIT G