Reorganization Plans Nos. 7, 8, 9 and 11 of 1950

attention to the effective performance of such aids to management as budgeting, accounting, personnel, and management analysis.

For the Government as a whole steps are being taken in accord with the Commission's recommendations to improve the usefulness of these aids to management-steps toward a performance budget, improved accounting methods, better personnel administration, and Government-wide management improvement. The results of these actions have been promising, but they demonstrate also that this work needs increased departmental attention. While the responsibilities of the Administrative Assistant Secretaries are not fixed by these plans, it is intended that these officials will work primarily on aiding the department heads to achieve better management.

As recommended by the Commission on Organization these reorganization plans provide for appointment of the Administrative Assistant Secretaries from the classified civil service and fix a salary at the top of that service. These plans also provide for appointment by the department heads with the approval of the President. Such a method of appointment will tend to establish a career pattern for these positions extending across departmental lines. Presidential approval will emphasize that the Administrative Assistant Secretaries should assume a Government-wide approach to management problems. This arrangement is consonant with the authority placed in the President by the Classification Act of 1949 to designate positions in the top grade authorized under that act.

Two of the reorganization plans provide additional Assistant Secretaries, to be appointed by the President and confirmed by the Senate, one in the Department of the Interior and two in the Department of Agriculture. This step is in accord with recommendations of the Commission on Organization. The additional Assistant Secretaries are needed to provide more adequate staff assistance in supervising and directing the policies and programs of these large Departments. At present the Department of the Interior has two such officials and there is one such position in the Department of Agriculture.

Under the provisions of Reorganization Plan No. 2 the title of the Assistant to the Attorney General is changed to Deputy Attorney General, and an additional Assistant Attorney General is provided in lieu of the Assistant Solicitor General, the latter office being abolished. These changes are designed to reflect more accurately the position and responsibility of these two officials of the Department of Justice.

Reorganization Plans Nos. 7 to 13, relating to seven regulatory boards and commissions

Reorganization Plans Nos. 7 to 13, inclusive, relate to the Interstate Commerce Commission, the Federal Trade Commission, the Federal Power Commission, the Securities and Exchange Commission, the Federal Communications Commission, the National Labor Relations Board, and the Civil Aeronautics Board. These plans are designed to strengthen the internal administration of these bodies by making the Chairman, rather than the Commission or Board as a whole, responsible for day-to-day administration. Also, the function of designating the Chairman of these bodies is vested in the President in those instances where this function is not already a Presidential one.

These plans carry into effect the first and most important recommendation of the Commission on Organization relating to regulatory commissions. The Commission recommended "that all administrative responsibility be vested in the Chairman of the Commission."

Its reasons were summarized as follows:

"Purely executive duties-those that can be performed far better by a single administrative official-have been imposed upon these commissions with the result that these duties have sometimes been performed badly. The necessity for performing them has interfered with the performance of the strictly regulatory functions of the commissions."

Elsewhere the Commission observed:

"Administration by a plural executive is universally regarded as inefficient. This has proved to be true in connection with these commissions."

Since the creation of the Interstate Commerce Commission in 1887, the board or commission has been an established form of Federal organization for regulatory activities. The plural membership of each of these agencies has been based, presumably, on the usefulness of deliberation in the rule-making and adjudicative processes. However, as their work has developed through the years, each of these agencies has become, in addition to a deliberative body, an organization of staff elements whose work must be programed and whose members must be recruited, supervised, and led. The smallest of these staffs is now over 600 in number and the largest over 2,000, and the difficulties of supervision are multiplied because of the highly technical nature of the legal, engineering, accounting, and other skills which must be successfully interrelated.

The commissions, concerned primarily with the substantive problems of regulation and with the adjudication of cases, cannot give adequate attention to the day-to-day executive direction of complex organizations. To the extent that they have concerned themselves with administrative problems, the unwieldiness of the structure has sometimes rendered administration slow, cumbersome, and indecisive.

Accordingly, within the limitations explained in later paragraphs, each of these plans vests in the Chairman, in each case, responsibility for appointment and supervision of personnel employed under the Commission, for distribution of business among such personnel and among administrative units of the Commission, and for the use and expenditure of funds.

In the conduct of all of these activities, the Chairman will be bound by the general policies established by the Commission and by its regulatory decisions, findings, and determinations. In addition, the right is specifically reserved to the Commission to revise budget estimates and determine the distribution of funds among the major programs and purposes of the agency. The appointment of the heads of major administrative units under the Commission is subject to approval of the Commission, and each Commissioner retains responsibility for actions affecting personnel employed regularly and full time in his immediate office. The proposals contained in these reorganizations are not new. Several of the commissions have already made considerable progress in placing administrative responsibility in their Chairman. Therefore, the effect of these plans is to extend uniformly to all commissions a pattern of organization demonstrated by experience to be successful.

The fact that under these reorganization plans the commissions retain all substantive responsibilities deserves special emphasis. The plans only eliminate multiheaded supervision of internal administrative functioning. The commissions retain policy control over administrative activities since these are subject to the general policies and regulatory decisions, findings, and determinations of the commissions.

The plans do not contemplate that the Chairman will be relieved of any of his duties as a member and presiding officer of the Commission. They simply place on him the additional responsibilities for the operations of the staff. The Chairman will need to establish the necessary administrative arrangements to carry out these responsibilities.

Reorganization Plan No. 12 terminates the present division and confusion of responsibility in the National Labor Relations Board by abolishing the Office of the General Counsel of the Board. The Senate last year indicated its approval of this step. The reorganization plan in effect restores unified authority and responsibility in the Board. As in the case of the other plans for regulatory agencies, certain administrative and executive responsibilities are placed in the Chairman. The relationship between the Board and the Chairman is identical with that provided for the other regulatory agencies. This action eliminates a basic defect in the present organization of the National Labor Relations Board and provides an organizational pattern consistent with that established for the other regulatory agencies.

In the plans relative to four commissions-the Interstate Commerce Commission, the Federal Trade Commission, the Federal Power Commission, and the Securities and Exchange Commission-the function of designating the Chairman is transferred to the President. The President by law now designates the Chairmen of the other three regulatory commissions covered by these plans. The designation of all Chairmen by the President follows out the general concept of the Commission on Organization for providing clearer lines of management responsibility in the executive branch. The plans are aimed at achieving more fully these management objectives and are not intended to affect the independent exercise of the commissions' regulatory functions.

All 13 of these reorganization plans will aid in making a more efficient Government. The plans affecting the departments will help straighten out the lines of responsibility and authority, improve administrative accountability, and make departmental management sufficiently flexible to meet changing problems. The plans relating to the regulatory commissions will result in the more businesslike and effective administration of the Government's regulatory programs. In short, these plans provide for better management of the executive departments and regulatory commissions and thus will assure to the public the best possible service at the lowest possible costs.

THE WHITE HOUSE, March 13, 1950.

[H. Doc. No. 511, 81st Cong., 2d sess.]

HARRY S. TRUMAN.

MESSAGE FROM THE PRESIDENT OF THE UNITED STATES TRANSMITTING REORGANIZATION PLAN NO. 7 OF 1950 PROVIDING FOR REORGANIZATIONS IN THE INTERSTATE COMMERCE COMMISSION

To the Congress of the United States:

I transmit herewith Reorganization Plan No. 7 of 1950, prepared in accordance with the Reorganization Act of 1949 and providing for reorganizations in the Interstate Commerce Commission. My reasons for transmitting this plan are stated in an accompanying general message.

After investigation I have found and hereby declare that each reorganization included in Reorganization Plan No. 7 of 1950 is necessary to accomplish one or more of the purposes set forth in section 2 (a) of the Reorganization Act of 1949. The taking effect of the reorganizations included in this plan may not in itself result in substantial immediate savings. However, many benefits in improved operations are probable during the next years which will result in a reduction in expenditures as compared with those that would be otherwise necessary. An itemization of these reductions in advance of actual experience under this plan is not practicable. HARRY S. TRUMAN.

THE WHITE HOUSE, March 13, 1950.

REORGANIZATION PLAN NO. 7 OF 1950

Prepared by the President and transmitted to the Senate and the House of Representatives in Congress assembled, March 13, 1950, pursuant to the provisions of the Reorganization Act of 1949, approved June 20, 1949

INTERSTATE COMMERCE COMMISSION

SECTION 1. Transfer of functions to the Chairman.- (a) Subject to the provisions of subsection (b) of this section, there are hereby transferred from the Interstate Commerce Commission, hereinafter referred to as the Commission, to the Chairman of the Commission, hereinafter referred to as the Chairman, the executive and administrative functions of the Commission, including functions of the Commission with respect to (1) the appointment and supervision of personnel employed under the Commission, (2) the distribution of business among such personnel and among administrative units of the Commission, and (3) the use and expenditure of funds.

(b) (1) In carrying out any of his functions under the provisions of this section the Chairman shall be governed by general policies of the Commission and by such regulatory decisions, findings, and determinations as the Commission may by law be authorized to make.

(2) The appointment by the Chairman of the heads of major administrative units under the Commission shall be subject to the approval of the Commission. (3) Personnel employed regularly and full time in the immediate offices of Commissioners other than the Chairman shall not be affected by the provisions of this reorganization plan.

(4) There are hereby reserved to the Commission its functions with respect to revising budget estimates and with respect to determining upon the distribution of appropriated funds according to major programs and purposes.

(c) The Director of Locomotive Inspection and the two Assistant Directors of Locomotive Inspection shall perform their functions subject to the direction and control of the Chairman.

SEC. 2. Performance of transferred functions. The Chairman may from time to time make such provisions as he shall deem appropriate authorizing the performance by any officer, employee, or administrative unit under his jurisdiction of any function transferred to the Chairman by the provisions of section 1 of this reorganization plan.

SEC. 3. Designation of Chairman. -The functions of the Commission with respect to choosing a Chairman from among the Commissioners composing the Commission are hereby transferred to the President.

[S. Res. 253, 81st Cong., 2d sess.]

RESOLUTION

Resolved, That the Senate does not favor the Reorganization Plan Numbered

7 transmitted to Congress by the President on March 13, 1950.

[H. Doc. No. 512, 81st Cong., 2d sess.]

MESSAGE FROM THE PRESIDENT OF THE UNITED STATES TRANSMITTING REORGANIZATION PLAN NO. 8 OF 1950 PROVIDING FOR REORGANIZATIONS IN THE FEDERAL TRADE COMMISSION

To the Congress of the United States:

I transmit herewith Reorganization Plan No. 8 of 1950, prepared in accordance with the Reorganization Act of 1949 and providing for reorganizations in the Federal Trade Commission. My reasons for transmitting this plan are stated in an accompanying general message.

After investigation I have found and hereby declare that each reorganization included in Reorganization Plan No. 8 of 1950 is necessary to accomplish one or more of the purposes set forth in section 2 (a) of the Reorganization Act of 1949.

The taking effect of the reorganizations included in this plan may not in itself result in substantial immediate savings. However, many benefits in improved operations are probable during the next years which will result in a reduction in expenditures as compared with those that would be otherwise necessary. An itemization of these reductions in advance af actual experience under this plan is not practicable.

THE WHITE HOUSE, March 13, 1950.

REORGANIZATION PLAN NO. 8 OF 1950

HARRY S. TRUMAN.

FEDERAL TRADE COMMISSION

SECTION 1. Transfer of functions to the Chairman. - (a) Subject to the provisions of subsection (b) of this section, there are hereby transferred from the Federal Trade Commission, hereinafter referred to as the Commission, to the Chairman of the Commission, hereinafter referred to as the Chairman, the executive and administrative functions of the Commission, including functions of the Commission with respect to (1) the appointment and supervision of personnel employed under the Commission, (2) the distribution of business among such personnel and among administrative units of the Commission, and (3) the use and expenditure of funds.

(2) The appointment by the Chairman of the heads of major administrative units under the Commission shall be subject to the approval of the Commission. (3) Personnel employed regularly and full time in the immediate offices of members of the Commission other than the Chairman shall not be affected by the provisions of this reorganization plan.

SEC. 3. Designation of Chairman. -The functions of the Commission with respect to choosing a Chairman from among the membership of the Commission are hereby transferred to the President.

[S. Res. 254, 81st Cong., 2d sess.]

RESOLUTION

Resolved, That the Senate does not favor the Reorganization Plan Numbered 8 transmitted to Congress by the President on March 13, 1950.

[H. Doc. No. 513, 81st Cong., 2d sess.]

MESSAGE FROM THE PRESIDENT OF THE UNITED STATES TRANSMITTING PLAN No.

9 OF 1950 PROVIDING FOR REORGANIZATIONS IN THE FEDERAL POWER COMMISSION

To the Congress of the United States:

I transmit herewith Reorganization Plan No. 9 of 1950, prepared in accordance with the Reorganization Act of 1949 and providing for reorganizations in the Federal Power Commission. My reasons for transmitting this plan are stated in an accompanying general message.

After investigation I have found and hereby declare that each reorganization included in Reorganization Plan No. 9 of 1950 is necessary to accomplish one or more of the purposes set forth in section 2 (a) of the Reorganization Act of 1949.

The taking effect of the reorganizations included in this plan may not in itself result in substantial immediate savings. However, many benefits in improved operations are probably during the next years which will result in a reduction in expenditures as compared with those that would be otherwise necessary. An itemization of these reductions in advance of actual experience under this plan is not practicable. HARRY S. TRUMAN.

THE WHITE HOUSE, March 13, 1950.

REORGANIZATION PLAN NO. 9 OF 1950

FEDERAL POWER COMMISSION

SECTION 1. Transfer of functions to the Chairman.-(a) Subject to the provisions of subsection (b) of this section, there are hereby transferred from the Federal Power Commission, hereinafter referred to as the Commission, to the Chairman of the Commission, hereinafter referred to as the Chairman, the executive and administrative functions of the Commission, including functions of the Commission with respect to (1) the appointment and supervision of personnel employed under the Commission, (2) the distribution of business among such personnel and among administrative units of the Commission, and (3) the use and expenditure of funds.

(b) (1) In carrying out any of his functions under thse provisions of this section the Chairman shall be governed by general policies of the Commission and by such regulatory decisions, findings, and determinations as the Commission may by law be authorized to make.

SEC. 3. Designation of Chairman. The functions of the Commission with respect to choosing a Chairman from among the commissioners composing the Commission are hereby transferred to the President.

« Previous Continue »

Books

Reorganization Plans Nos. 7, 8, 9 and 11 of 1950: Hearings ... Eighty-first ...