Item 6. Estimate of the burden of agency reporting requirements.-As the Patent Office does not engage in the function of gathering information from the public or require the maintenance of any records or reports by the public there is no imposition of burden to be estimated or reported.

Item 7. Effectiveness of the agency's internal records management program and recommendations for improvement.—

1. Records management program: The Patent Office conducts a comprehensive records program to provide for the continuous economical and effective management of Patent Office records. This program embraces (1) the administration of certain controls over the adequacy, availability, and the security of records; (2) the formulation and application of standards, procedures, and techniques governing the retention, transfer, conversion, and disposition of records; (3) the identification of essential records and execution of measures for their protection; (4) the improvement of records maintenance and use management; and (5) the implementation of provisions of law (Federal Records Act of 1950, et seq.), GSA Regulations, Department policy, and other pertinent regulations governing the creation, custody, and disposition of records.

Typical activities conducted in carrying out this program are the following: (a) The Joint Committee on Disposition of Executive Papers, in House Report No. 1327, dated April 15, 1964, approved the Patent Office Records Retention Schedule containing recommendations for the management of 101 specific record items. The period of retention for one additional record was extended beyond the period recommended. This schedule incorporates the results of a comprehensive reappraisal of Patent Office records and simplifies the research use of Patent Office archival material. As a result of this review: (1) Document descriptions were clarified and updated. (2) Specific retention periods were set for 13 records and reduced for 3 others. (3) New records were added. Eleven items were deleted.

(4)

(b) A followup to the revision of the retention schedule is the development of an inventory estimate and disposition plan to reflect for each record item (1) permissible inventory in each storage condition, (2) usage rate factors correlated with storage conditions, (3) sampling techniques to apply in measuring usage, and (4) estimates of new document input including an index of key factors in estimating. This information is used to construct periodic records disposal forecasts.

(c) A mechanized system for reporting patent examining production has been developed and installed. The source document and basic unit in this system is a mark sense card which each examiner uses to report measured units of work performed on a pending patent application. Mark sensing of the card is accomplished by using a special type of pencil that deposits electroconductive material on the card. The reporting cards are read by machines which punch the information into other cards which are then processed in conventional punch card machines. Periodic production and work load reports are prepared from these cards for both individual examiners and organizational units. These products result from one manual writing of source information. The system replaced one in which source data was hand transcribed several times, typewritten twice, and ultimately keypunched into cards and key verified.

(d) The maintenance of a detailed accounting of the classification (by U.S. class and subclass) of foreign patents was discontinued. Heretofore, the U.S. classification assigned to each newly received foreign patent, as well as any subsequent change in classification, was recorded in punched cards. It was determined that the cost of maintaining a record of the location of each of the nearly 5 million foreign patents in the examiner's search file was not yielding a commensurate benefit to the Patent Office or to the public.

(e) In the trademark operation, the creation of a new card provides a reference source which consolidates information previously available in a number of widely scattered documents. This record is for public use and serves the examiner's needs as well. With the establishment of this file, it became possible to discontinue the preparation of six different record items and to dispose of existing collections of them, thus freeing a substantial amount of equipment and floor space.

(f) Upon the cancellation of a registration, the file is removed from the current registrations and is held in a separate file of cancellations pending disposal. Each such file is color coded to denote the year of cancellation to facilitate a notation and withdrawal for disposal when due.

(g) By making greater use of a facility for automatically producing punched paper tape from a semiautomatic typing operation, the Patent Office was able to

produce automatically punched tabulating cards to provide a current index of allowed patent applications awaiting issuance. This low cost system makes it possible to give immediate service on inquiries concerning allowed cases and greatly facilitates the location and withdrawal of cases which have not met conditions for issuance as patents. In identifying and pulling these forfeited cases, it is possible under this system to do this task in one man-hour as compared to 24 man-hours per month required under the old tedious file inspection system. Another modification of this same system makes it possible to provide important new tabulations with a negligible amount of additional key stroking.

(h) Records which had heretofore been kept in cumbersome bound volumes to show the progress in patent interference proceedings were converted to a card system. The new system uses a folded 8 by 5 printed card housed in visible filing equipment and mounted on a mechanical circular file. It provides rapid access to the most pertinent information concerning applications for patents which have become involved in interference proceedings to determine priority of invention.

(i) A change in the patent rules of practice makes it possible to return to the applicant papers and drawings submitted as incomplete patent applications. The practice frees storage space formerly required to house these incomplete applications.

(j) A record of the ownership of a trademark is now being built up in the registration or application file. Eventually a complete trace of ownership will be contained in each registered or pending trademark file. This method will save many hours of time searching assignment records previously required to ascertain the prior or current ownership of a given trademark.

(k) A small unit filing system was placed in use to facilitate the preexamination and processing of incoming patent applications. This equipment consists of a metal framework in which uniform size fiber filing units are hung to provide neat and flexible shelf filing. A specially designed truck was also obtained on which the file units are hung by means of a curved lip fastened to each file unit. The system provides neatness in shelf filing, ready flexibility in rearranging files. The filing units are easily transported. It is particularly useful for the temporary storage of files in multiple-step work processing systems since individual pieces of work do not need to be repeatedly handled merely for the purpose of transporting between work stations. Many man-hours are, therefore, saved by the elimination of these hand motions.

(1) Printed copies of expired and canceled trademark registrations have been microfilmed. The project provided the space needed to maintain the rapidly expanding file of "live" registrations. In addition, it was possible to revise further the subject categories for easier and faster searching. This action resulted in a significant reduction in the time required to complete searches by both Patent Office personnel and the public.

(m) A Xerographic copying process was initiated in the patent examining corps of the Patent Office to replace typing of copies of claims (brief cards) for research purposes. Approximately 58,000 such cards were prepared each year at a typing cost of about $17,400 compared with a copying cost of about $2,900.

(n) The Application Branch of the Patent Office prepares a file wrapper and two sets of forms for each application received and accepted for examination. In this process, identifying information such as the name and address of the inventor, title of the invention, and so forth, was typed on these records. Much of the same information that is recorded on the file wrapper was also placed on the forms although these entries were not identical and the forms differed in size, graphic features, and other respects. This work was accomplished through three separate manual typing operations and, as a correspondingly distinct task, each of the three records was checked for accuracy.

As a result of mechanizing and integrating operations through the medium of tape-controlled and tape-operated electric typewriters (Flexowriters), this same work is accomplished through one manual typing and proofreading operation with four less employees than were previously required. The machines used to write entries on the file wrappers, while thus engaged, simultaneously and automatically record the typed information as holes in paper tape. Two tapes are prepared, one for each of the sets of records to be created. These tapes are used, in turn, to operate a machine which automatically types the requisite information on the record forms which are fed in continuous strips and automatically positioned for typing. It is unnecessary to check the completed forms,

as errors in the tapes will have been found and corrected in connection with assuring the accuracy of the file wrapper entries.

Other changes and innovations contributing to improvement in the conduct of related phases of paperwork in the organization consisted of the following: (1) Converting the form of the application serial reference records from books to unit card files; (2) using motor-operated "Ferris wheel" type card files; (3) reducing movement of papers by physically locating operation according to the flow of work; (4) eliminating considerable handwork by using machines which automatically remove carbon paper and separate the individual forms from the continuous strip in which they are supplied for ease of handling; (5) improving conditions through better lighting and acoustic treating of high-noise-level working areas; and (6) reducing movement of personnel by the installation of an intercommunications system and adequate telephone service.

(0) Patrons of the Patent Office Public Search Room are now offered instant service for the reproduction of out-of-print copies of United States and foreign patents. Xerographic prints of this material are produced on a while-you-wait basis. Customers bring master search-room copies directly to the machine for reproduction and thereby play an important role in reducing the total amount of time and paperwork required to fill an order.

(p) The continuing program of the Patent Office relating to the disposal or transfer of records resulted on one occasion in the disposal of 11,617 cubic feet and the transfer of 3,345 cubic feet. This action released 4,640 square feet of floorspace for other uses. On still another occasion printed copies of the oldest patent numbers for which there is relatively low demand were disposed of, making available facilities for the current issue of patents, thereby avoiding an expenditure of approximately $50,000 for new equipment and an undetermined additional amount for storage space.

2. Forms management program: The Patent Office maintains a comprehensive forms management program embracing controls over form design, printing procurement, use procedures and methods, retention and disposal, and stockage and inventory control.

The following activities are typical of those conducted in carrying out this program:

(a) A comprehensive survey of all form letters used in the trademarkexaming operation resulted in the discontinuance of 9 of the 42 form letters surveyed. The remaining forms were revised as needed to achieve full advantage of simplified format, minimum insert requirements, and use of window envelopes.

(b) A list of form paragraphs was developed and approved for use in expediting the preparation of letters known as examiner's actions.

(c) In the preparation of notices of acceptance of certain affidavits received under the provisions of the Trademark Act of 1946, continuously fed forms incorporating checkoff options are now used in lieu of three separate letter forms. This installation cut the time required for this work in half.

(d) A series of forms improvement workshops were inaugurated to broaden knowledge at the level of the forms originator about the principles and considerations involved in good forms design. This activity was conducted specifically in support of a Commerce Department program along lines developed by the General Services Administration. Each participant applied the methods discussed in the workshop to the improvement of forms used within his own organization.

(e) One-time consuming step in processing orders for patent copies was the preparation of address labels from information supplied by the customer on his coupon order blank. A redesign of the coupon used to request copies is now in use. This change in format permits its use as both an order form and an address label. In addition, batch control numbers are preprinted on the coupons. This saves the step of preparing separate batch lists thereby speeding up the matching of all coupons and copies in a single order for mailing purposes. These changes reduce processing time by 1 full day.

(f) By eliminating the necessity for having the printed signature of the Commissioner of Patents attested by another person, the Patent Office saved 3 man-hours per week in the trademark examining operation. Section 7(a) of the Trademark Act of 1946 was amended by Public Law 87-772 to authorize the elimination of the additional signature from Trademark Certificates of Registration.

(g) In the continuing forms review of the Patent Office, 103 forms and form letters were brought up for joint study by originators and management staff. As a result, 38 were determined to be obsolete or dispensable, 8 found in need of revision, and 57 were validated for continued use.

(h) On another occasion, a comprehensive review of forms brought about the elimination of 60 different items and the revision or consolidation of 62 others. Together, these represent about 20 percent of the forms in use in the Patent Office. Typical of the type of improvement was the creation of 1 new form which has eliminated the necessity for preparing an average of 53 letters each month in the Correspondence and Mail Branch.

3. Reports and directives management program: The Patent Office conducts a program for the preparation, clearance, publication, and distribution of internal administrative directives and for the coordination of effort to fulfill external reporting requirements.

The following activities are typical of those conducted in carrying out this program:

(a) The coordination of the preparation and clearance of administrative matters for submission to the Department of Commerce for publication in the Federal Register (e.g., changes in fees, addition or deletion of fee items, changes in organization, etc.).

(b) The program insures that officials concerned with such reporting requirements are advised of the requirements and provides reporting services in specified subject areas for which delegations are held; in connection with the latter, prepares or coordinates the preparation of such reports as the following: Annual Report to the Senate Committee on Government Operations; Patent Office Annual Report; revised matter for the U.S. Government Organization Manual; reports on the Preservation of Essential Records; Manpower Utilization reports; annual report to the Senate Preparedness Committee.

(c) The Patent Office maintains a continuing review of its reporting requirements with the view to (1) eliminating nonessential reports; (2) increasing the effectiveness of necessary reports; and (3) improving reports preparation methods and systems, including the basic recordkeeping for reporting purposes. One such review was conducted by five work groups, composed of past participants of Forms Improvement Workshops and lead by members of the Patent Office Manpower Utilization Committee. These groups considered all reports prepared by Patent Office personnel to see whether they might be improved, consolidated, or even eliminated.

4. Correspondence Management Program: The Patent Office conducts a correspondence management program to improve the quality of correspondence, to point up economies in its production, and achieve the completeness of documentation required.

To obtain these objectives guidance is provided in techniques of letterwriting; correspondence practices are standardized; the fullest use of preprinted form letters is sponsored, and aid furnished in their development; a clearinghouse has been established for those shortcuts that speed processing of correspondence: and cooperation in developing standards for mechanizing correspondence and utilization of machines and office supplies effectively.

Typical activities conducted in carrying out this program are the following: (a) The preparation of notices of allowance for allowed applications was transferred from 70 patent examining divisions to the Issue and Gazette Branch. The centralization of the preparation of this document enabled the Patent Office to utilize automatic and semiautomatic equipment to facilitate processing.

(b) An amendment to the Rules of Practice in Patent Cases reduced the number of copies of interference declarations prepared. Copies of these notices are no longer sent to applicants in person, or to their assignees when there is an attorney of record.

(c) A new procedure called compact prosecution has been initiated in the Patent Examining Corps. The first action by the Patent Office in every case is made thorough, clear, and complete. Every possible means is then used to encourage the applicant to make his first response so complete as to put the case in condition for immediate disposal. This includes developing all claims of any desired scope and wording either on filing or on the first response.

In a limited test operation, the procedure has reduced backlog, cut in half the number of completed appeals, sharply reduced the number of older cases, and brought other incidental benefits.

(d) A 3-day remedial typing program using new instruction techniques, was given to two groups of typists from the Patent Examining Corps. The first sessions were experimental in order to determine if the accuracy and speed of these typists could be increased. Several areas for major emphasis were discovered, e.g., only 1 out of the 26 participants could type numbers by touch; none knew how to center items, either vertically or horizontally, on a page.

A preliminary analysis of the results of this training indicate that this type of program should improve a typist's accuracy and each typist should increase her typing 10 to 20 words per minute.

(e) Form paragraphs have been developed and approved for use in the preparation of correspondence known as examiner's actions. The use of these established paragraphs with nonrecurring information filled in speeds the preparation of the actions and insures standard terminology in like cases.

(f) Conducted an evaluation of the use of dictation recording and transcribing machines to facilitate the preparation of the examiners' correspondence (actions) with applicants.

(g) Prepared a supplement to the standard correspondence manual and revised the Manual of Clerical Procedures in the patent examining operation to clarify instructions to typists, supervisors, and the examiners as to the accepted practices in the preparation of technical office correspondence.

(h) Issued a series of instructions to the examiners concerning simplification of examiner actions to reduce the amount of time spent in preparing correspondence and to improve the effectiveness of written communications with the public. (i) Established the procedures and controls for the wider use of telephone contacts with applicants or their attorney representatives to facilitate action on certain matters in patent applications and to reduce the amount of correspondence and time required to clarify these matters.

Mr. REYNOLDS. The thing I want to emphasize is that there are very few cases where the Patent Office initiates any requirement for paperwork. There is only one general requirement that we make of that nature, and that is every 5 years we call on registered attorneys and agents to tell us whether they are still in active practice and give us their addresses. We did that so we could compile a register for the use of inventors who are interested in applying for patents.

The great majority of our work is in the form of applications for patents and for the registration of trademarks. We have no control over the volume of that. We get about 85,000 applications for patents a year and about 25,000 applications for trademark registrations. The form in which they are to be is largely prescribed by statute. We have rules which set forth what we consider to be the simplest form of presenting those things. We try to keep them within limits as to size.

Mr. OLSEN. Does your department think that the requirements of the law are perhaps too much?

Mr. REYNOLDS. No. I do not think so. The requirement is essentially that the man must disclose what his invention is before he can get a patent. That is the consideration for the grant of the patent. Of course, you have to allow them a good deal of latitude in that because we do not know what his invention is until he has described it. It is very hard to compress his description. It is more trouble than it is worth usually.

This is inherent in the system. The statutory requirements have been simplified in one respect in that just this past year the requirement for an oath has been eliminated and we have been allowed to accept a simple statement in place of it. That cuts down a lot of difficulty in the case of foreigners where the oath has to be a very complex thing. We are implementing that right now by changing our