Considering the fact that we had programs providing for this on feed grains, unlimited production and guaranteed supports, then we instituted a program whereby only those that made a reduction were eligible for price supports. We have computed that the total savings for the 1961, 1962, and 1963 feed grain and wheat programs will amount to $1,569 million. This is a saving, taking into consideration the payments that are made for the reduction. If no legislation had been passed for feed grains or for wheat stabilization program, we estimate that the ultimate cost of the type of programs that were in effect in 1960 would exceed those actually in effect for the 1961-63 program by approximately $2.6 billion, because we would have accumulated that much more surplus and would have had to have carried it that much longer down the road, and the storage charges would have mounted. Mr. ADDABBO. Some of the savings is on projected figures in the year of the savings. Mr. GODFREY. Yes, sir. We have an actual saving on carrying charges from the level of 1961 actually amounted to $105 million by June 30, 1962, and will amount to $259 million by June 30, 1963, and to $471 million by June 30, 1964. OPERATING EXPENSES Mr. ADDABBO. With reference to item 3, page 239, you have managing and merchandising commodities, increase over 1962 of approximately $5 million, and the decrease from 1963 estimates of about $1 million. Can you give me some explanation of the increase over 19+2! WORKLOAD Mr. BEACH. This is the project breakdown of the expenses of operating ASCS. This would reflect primarily the workload in the ASCS offices. The 1963 volume was very heavy, as a result of the heavy corn sales. There have been offsets in other aspects of the work which are set out in great detail in terms of work measurement and ir terms of volume on page 250 and subsequent pages. It is too mu to describe right here. This is the net effect of the changes in workload Mr. WHITTEN. If those pages aren't in the record, they will be included in the record at this point. (The material requested follows:) A summary of the major program estimates for the fiscal years 1963 and 1964 follows: 1 Includes barley, oats, rye, soybeans, dry edible beans, and flaxseed. 2 Includes butter, cheese, and milk, nonfat dry. 326, 100 4, 605 1,040, 000 630,000 3,500 98, 200 1,875,000 299,500 4, 633 1,050,000 +135, 100 -26, 600 A table relating the above program volume to work units, production rates, manpower, and fund requirements follows. 95910-63-pt. 3—57 |