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Accounting Office * * * are a part of the legislative branch
of the Government." President Truman did not object.

(8) The further renewal in 1949 of the reorganization
authority_repeats the exclusion of the General Accounting
Office and the language as to its legislative status (Public
Law 109, 81st Cong., approved June 20, 1949). President
Truman proposed the exclusion.

(9) The bill establishing the Hoover Commission quite carefully restricts the scope of its study and recommendations to agencies in the executive branch of the Government (act of July 7, 1949, 61 Stat. 246).

Nomination of Joseph Campbell

The Chairman announced in the Senate on November 11, 1954, that several Senators had indicated they wished to be heard on the nomination of Mr. Joseph Campbell for Comptroller General, and that, if the rules under which the Senate is presently operating would permit, the committee would hold hearings. The staff has been informed, however, that there is a general agreement among the Senate leaders that no nomination on which there might be a disagreement will be considered at the present session.

Under applicable law, if no action is taken on Mr. Campbell's nomination prior to the adjournment of the 83rd Congress, the President has authority to give him a recess appointment under which he can serve until the end of the First Session of the 84th Congress (U.S. Constitution, Art. II, Cl. 3). However, unless the President re-submits his nomination to the Senate within 40 days after the First Session of the 84th Congress convenes, Mr. Campbell can receive no further salary after the elapse of the 40th day (5 U.S.C. 56).

WALTER L. REYNOLDS,

Chief Clerk.

NOTE.-As indicated above, no action was taken on Mr. Campbell's nomination prior to the adjournment of the 83d Congress. He was given a recess appointment on December 14, 1954. His name was resubmitted to the Senate by the President in the 84th Congress on January 10, 1955, hearings were held on February 2 and March 3, the nomination was favorably reported to the Senate from the Committee on Government Operations on March 11, and he was confirmed without a record vote on March 18, 1955, his term to expire on March 18, 1970.

APPENDIX C

GOVERNMENT CORPORATION CONTROL ACT

PUBLIC LAW 248-79TH CONGRESS

(59 Stat. 597; 31 U.S.C. 841)

(As amended through the 86th Congress)

(Deleted language shown in [brackets])

AN ACT

To provide for financial control of Government corporations

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Government Corporation Control Act".

DECLARATION OF POLICY

SEC. 2. It is hereby declared to be the policy of the Congress to bring Government corporations and their transactions and operations under annual scrutiny by the Congress and provide current financial control thereof.

TITLE I—WHOLLY OWNED GOVERNMENT

CORPORATIONS

1

SEC. 101. As used in this Act the term "wholly owned Government corporation" means the Commodity Credit Corporation; [Federal Intermediate Credit Banks; Production Credit Corporations]; 1 Regional Agricultural Credit Corporations; Farmers Home Corporation; Federal Crop Insurance Corporation; Federal Farm Mortgage Corporation; Federal Surplus Commodities Corporation; Reconstruction Finance Corporation; Defense Plant Corporation; Defense Supplies Corporation; Metals Reserve Company; Rubber Reserve Company; War Damage Corporation; Federal National Mortgage Association; [the RFC Mortgage Company];2 Disaster Loan Corporation; Inland Waterways Corporation; Warrior River Terminal Company; [The Virgin Islands Company] Virgin Islands Corporation; 3 Federal Prison Industries, Incorporated; United States Spruce Production Corporation; Development Loan Fund; Institute of Inter

4

1 Deleted by Sec. 201, Public Law 809 (70 Stat. 659), 84th Congress.

2 Transferred to the Reconstruction Finance Corporation by Sec. 203, Public Law 132 (61 Stat. 202), 80th Congress.

Name changed by Sec. 13, Public Law 149 (63 Stat. 350), 81st Congress.
Added by Sec. 502 (c) Public Law 85-477 (72 Stat. 272), 85th Congress.

323

American Affairs; 5 Institute of Inter-American Transportation; Inter-American Educational Foundation, Incorporated; Inter-American Navigation Corporation; Prencinradio, Incorporated; Cargoes, Incorporated; Export-Import Bank of Washington; Petroleum Reserves Corporation; Rubber Development Corporation; U. S. Commercial Company; [Smaller War Plants Corporation]; Federal Public Housing Authority (or United States Housing Authority) and including public housing projects financed from appropriated funds and operations thereof; Defense Homes Corporation; Federal Savings and Loan Insurance Corporation; Home Owners' Loan Corporation; United States Housing Corporation; Federal Housing Administration; Saint Lawrence Seaway Development Corporation; [Panama Railroad Company] the Panama Canal Company; Tennessee Valley Authority; and Tennessee Valley Associated Cooperatives, Incorporated.

9

8

7

. 10

SEC. 102. [Each wholly owned Government corporation shall cause to be prepared annually a budget program, which shall be submitted to the President through the Bureau of the Budget on or before September 15 of each year. The Bureau of the Budget, under such rules and regulations as the President may establish, is authorized and directed to prescribe the form and content of, and the manner in which such budget program shall be prepared and presented.] Each wholly owned Government corporation shall cause to be prepared annually a business-type budget which shall be submitted to the Bureau of the Budget, under such rules and regulations as the President may establish as to the date of submission, the form and content, the classifications of data, and the manner in which such budget program shall be prepared and presented." The budget program shall be a business-type budget, or plan of operations, with due allowance given to the need for flexibility, including provision for emergencies and contingencies, in order that the corporation may properly carry out its activities as authorized by law. The budget program shall contain estimates of the financial condition and operations of the corporation for the current and ensuing fiscal years and the actual condition and results of operation for the last completed fiscal year. Such budget program shall include a statement of financial condition, a statement of income and expense, an analysis of surplus or deficit, a statement of sources and application of funds, and such other supplementary statements and information as are necessary or desirable to make known the financial condition and operations of the corpora

By Sec. 1011 (b) of Public Law 665 (68 Stat. 862), 83rd Congress, the Institute was made subject to the applicable provisions of the Budget and Accounting Act, 1921, as amended (31 U.S.C. 1) in lieu of the provisions of the Government Corporation Control Act, as amended (31 U.S.C. 841) on and after July 1, 1954.

Abolished by Sec. 207, Public Law 132 (61 Stat. 202), 80th Congress.

"Public Law 576 (64 Stat. 256), 81st Congress. Sec. 4. "Section 11 of the Federal Home Loan Bank Act, as amended, is amended by adding at the end thereof the following new subsections:

"(h) The retirement of such capital stock shall not affect the applicability to said Corporation (Federal Savings and Loan Insurance Corporation) of the Government Corporation Control Act, as amended." 8 Added by Sec. 501 (b), Public Law 901 (62 Stat. 1268), 80th Congress. "* ** Provided, That as to the Federal Housing Administration, the audit required by section 105 of said Act shall begin with the fiscal year commencing July 1, 1948, and the exception contained in section 301 (d) of said Act shall be construed to refer to the cost of audits contracted for prior to July 1, 1948."

Added by Sec. 6, Public Law 358 (68 Stat. 92), 83rd Congress.

10 Changed by Sec. 2(a)2, Public Law 841 (64 Stat. 1038), 81st Congress. 11 Amended by Sec. 105, Public Law 784 (64 Stat. 832), 81st Congress.

tion. Such statements shall include estimates of operations by major types of activities, together with estimates of administrative expenses, extimates of borrowings, and estimates of the amount of Government capital funds which shall be returned to the Treasury during the fiscal year or the appropriations required to provide for the restoration of capital impairments.

SEC. 103. The budget programs of the corporations as modified, amended, or revised by the President shall be transmitted to the Congress as a part of the annual Budget required by the Budget and Accounting Act, 1921. Amendments to the annual budget programs may be submitted from time to time.

Budget programs shall be submitted for all wholly owned Government corporations covering operations for the fiscal year commencing July 1, 1946, and each fiscal year thereafter.

SEC. 104. [The budget programs transmitted by the President to the Congress shall be considered and, if necessary, legislation shall be enacted making available such funds or other financial resources as the Congress may determine. The provisions of this section shall not be construed as preventing wholly owned Government corporations from carrying out and financing their activities as authorized by existing law, nor shall any provisions of this section be construed as affecting in any way the provisions of section 26 of the Tennessee Valley Authority Act, as amended. The provisions of this section. shall not be construed as affecting the existing authority of any wholly owned Government corporation to make contracts or other commitments without reference to fiscal-year limitations.] The budget programs transmitted by the President to the Congress shall be considered and legislation shall be enacted making available for expenditure for operating and administrative expenses such corporate funds or other financial resources or limiting the use thereof as the Congress may determine and providing for repayment of capital funds and the payment of dividends. The provisions of this section shall not be construed as preventing Government corporations from carrying out and financing their activities as authorized by existing law, nor as affecting the provisions of section 26 of the Tennessee Valley Authority Act, as amended. The provisions of this section shall not be construed as affecting the existing authority of any Government corporation to make contracts or other commitments without reference to fiscal year limitations.12

SEC. 105. The financial transactions of wholly owned Government corporations shall be audited by the General Accounting Office in accordance with the principles and procedures applicable to commercial corporate transactions and under such rules and regulations as may be prescribed by the Comptroller General of the United States: Provided, That such rules and regulations may provide for the retention at the offices of such corporations, in whole or in part, of any accounts of accountable officers, covering corporate financial transactions, which are required by existing law to be settled and adjusted in the General Accounting Office, and for the settlement and adjustment of such accounts in whole or in part upon the basis of examinations in the course of the audit herein provided, but nothing

12 Amended by Sec. 307, Public Law 268 (61 Stat. 574), 80th Congress.

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