Mr. MONTGOMERY. We have considered that, Mr. Chairman. The situation is that we need every dollar we have to meet the heavy visitor use which is to take place within the next few months. The moneys are already programed to employ seasonal rangers, naturalists, and other personnel to meet the public needs and to carry out our regular programs. MAINTENANCE AND REHABILITATION OF PHYSICAL FACILITIES Mr. DENTON. We shall insert the estimate from House Document No. 203 and the justifications. (The information referred to follows:) "MAINTENANCE AND REHABILITATION OF PHYSICAL FACILITIES "For an additional amount for 'Maintenance and rehabilitation of physical facilities', $400,000." This supplemental appropriation is to cover the cost of pay increases for wageboard employees granted pursuant to law. This appropriation was apportioned, pursuant to section 3679 of the Revised Statutes, as amended (31 U.S.C. 665), on a basis which indicated a necessity for a supplemental estimate for these pay increases. This action was reported to the Congress by the Director of the Bureau of the Budget on January 20, 1964. The estimate of $400,000 is to provide for wage rate increases. The increased wages must be paid pursuant to law. Increased costs for the 1965 fiscal year incident to wage rate increases are estimated to total $550,000, of which $150,000 is proposed to be absorbed. JUSTIFICATION Maintenance and rehabilitation of physical facilities, $400,000 A supplemental appropriation of $400,000 is requested to cover wage board pay increases for which funds have not been appropriated. The 1964 appropriation provides for wage board pay increases that were made effective up to September 15, 1962. Since that date, wage rate increases have been or are estimated to be made effective bringing about increased fund requirements as follows: Increases made effective between Sept. 16, 1962, and Jan. 4, 1964.. Estimated to become effective between Jan. 5, 1964, and June 30, 1964___ Total estimated requirements Less amount proposed to be absorbed. Total supplemental request__. $496, 000 54, 000 550, 000 -150, 000 400, 000 In the 205 areas administered by the Service, wage rates are determined by local boards through surveys of prevailing rates, at least one of which is made for each park each year. These surveys are not made at uniform dates throughout the Service. Consequently, a large number of wage increases are approved after budget estimates for the year are submitted and are not provided for in the regular appropriation. As Public Law 85-872 requires that changes in wage rates be made effective within 45 days after a wage survey is ordered, approved wage rate increases must be put in effect without regard to cost. The estimate contemplates that the Service will absorb about $150,000 of the total increased wage rate costs. The amount requested herein cannot be absorbed without curtailment of essential maintenance and operating functions. Such curtailment would adversely affect the quality and adequacy of services and facilities provided visitors at the beginning of the next travel season. Mr. DENTON. $400,000 is requested to cover the cost of pay increases for wage board employees. Briefly explain this item and tell us which wage board employees are included within the estimate. Mr. MONTGOMERY. This estimate provides for increases in wage rates for our maintenance employees which were put into effect from September 16, 1962, through January 4, 1964. Additionally the estimate requests funds to cover the cost of the wage rate increases which are estimated to take place between January 4 and June 30. The cost of the increases for the period from September 16, 1962, through January 4, 1964 is $496,000. For the remainder of the fiscal year we estimate, based on past experience, that we will need $54,000, for a total of $550,000. We are proposing to absorb $150,000 of that, reducing the amount of the estimate to $400,000. The wage rate surveys are made throughout the year, not on any preestablished date but at various dates throughout the year for the various park areas. The new rates have to be put into effect when it is determined that the wage rates should be increased; so we have the increased cost requirement to meet. The only way it can be met is through absorption and curtailment of essential functions or through the provision of additional funds. Mr. DENTON. Thank you. WEDNESDAY, JANUARY 29, 1964. SMITHSONIAN INSTITUTION WITNESS DR. LEONARD CARMICHAEL, SECRETARY WAGE BOARD INCREASES Mr. KIRWAN. A deficiency appropriation of $67,000 has been requested for the current fiscal year for pay increases for wage-board employees. We shall insert the item from House Document 203. (The material referred to follows:) "SMITHSONIAN INSTITUTION "SALARIES AND EXPENSES "For an additional amount for 'Salaries and expenses', $67, 000.” This proposed supplemental appropriation is to cover the cost of pay increases for wage-board employees granted pursuant to law. This appropriation was apportioned pursuant to section 3679 of the Revised Statutes, as amended (31 U.S.C. 665) on a basis which indicated a necessity for a supplemental appropriation. This action was reported to the Congress by the Director of the Bureau of the Budget on January 20, 1964. Mr. KIRWAN. Please explain briefly how these increases are determined and tell us to what extent, if any, the Smithsonian Institution is absorbing these increased wage-board costs? Dr. CARMICHAEL. Mr. Chairman and members of the committee, we are following the general wage board determinations of comparable Government organizations in this city. The estimate is based on a position-by-position computation as applied to our authorized number of wage board positions. This increase is approximately 9 cents on an hourly basis. I think you will agree that that is practically the only thing we could do. The The sum of $67,000 is requested to cover increases granted wageboard employees on December 9, 1962, and December 8, 1963. total cost is $112,000 as shown, I think, in the budget that has been presented. All operations of the Institution have been carefully reviewed to determine whether any absorption of this amount is possible. We do not feel that savings can be effected. However, the difference of $45,000 that we are going to absorb must be absorbed by deferring the purchasing of supplies and equipment and other items of expenditure. The opening of the Museum of History and Technology and the step-up of activities of the Smithsonian are more and more using up our personnel compensation funds, of course. In addition we have absorbed in 1964 the cost of within-grade increases, unscheduled overtime for the Museum of History and Technology ($25,000), which was necessary in order to get this great building opened on time, quality step increases ($20,000), and regradings in accordance with civil service standards ($80,000). To summarize, we needed $112,000 as presented in the budget. We, however, plan to absorb $45,000. This means that we are requesting and most urgently hope that you will grant $67,000. Mr. KIRWAN. Thank you, Doctor. NATIONAL GALLERY OF ART WAGE BOARD INCREASES Mr. KIRWAN. We also have a deficiency estimate of $38,000 for pay increases for wage-board employees of the National Gallery of Art. We shall insert the item from House Document 203 and the justification. I note the gallery is absorbing $6,242 of the total cost. (The matter referred to follows:) "NATIONAL GALLERY OF ART "SALARIES AND EXPENSES "For an additional amount for 'Salaries and expenses', $38,000." Additional funds are needed to cover the cost of pay increases for wage-board employees granted pursuant to law. This appropriation was apportioned pursuant to section 3679 of the Revised Statutes, as amended (31 U.S.C. 665) on a basis which indicated a necessity for a supplemental appropriation. This action was reported to the Congress by the Director of the Bureau of the Budget on January 20, 1964. EXPLANATION OF SUPPLEMENTAL ESTIMATE, FISCAL YEAR 1964 This supplemental estimate for the current year covers two increases in salaries and related costs for 82 employees paid at prevailing rates. The first of these wage-board increases was effective December 9, 1962, and the other increase was effective December 8, 1963. The following tabulation shows the breakdown of the total costs of the increases. Our request for an additional $38,000 proposes the absorption of $6,242 of the total cost. 1 The wage-board grades of 12 supervisors were raised under the provisions of a new supervisory pay plan adopted by all civilian agencies in the area. Also, the positions of 34 laborers were raised by 1 grade to bring the salaries of these employees in line with salaries being paid for comparable work in other similar Federal buildings. NOTE.-The $38,000 supplemental requested, added to funds now available, will support an average employment of 313. NATIONAL GALLERY OF ART SALARIES AND EXPENSES |