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The training will involve the use of security information. It will be necessary, therefore, to obtain full-field investigations for each individual selected. These investigations should be started immediately. The estimate contains funds for 50 security checks at $370 each; total $18,500.

ADDITIONAL POSITIONS

Chairman HAYDEN. As I understand the justifications, the requested funds are for the following:

1. Three new positions and related expenses for the "Coordination of oil and gas activities," $35,000; and

2. Security investigations for 50 members of the National Defense executive reserve.

Am I correct about this?

Captain CARSON. Yes, sir; that is correct.

Chairman HAYDEN. The regular act includes $525,000 for the Office of Oil and Gas, which is $25,000 less than the original budget estimate. Had you received the full estimate of $550,000, which was approved by the Senate, would you need this additional $35,000?

VOLUNTARY OIL IMPORT PROGRAM

Captain CARSON. We would need at least $10,000 of it. The $35,000 is for the administration of the voluntary oil import program which is not included as part of the original budget of the Office of Oil and Gas. That was an additional workload imposed by the President's Special Cabinet Committee on Oil Import Program.

Chairman HAYDEN. Is there anything you want to put in the record in regard to it?

Captain CARSON. Yes, sir; here I have a very brief statement.
Chairman HAYDEN. We will put that in the record.

(The statement referred to follows:)

The supplemental request of $53,500 involves two functions. The first is the administration of the President's voluntary oil import program, and the second is the national-defense executive reserve. The estimate contains $35,000 for the administration of the import program and $18,500 for the executive

reserve.

The President, on July 29, 1957, approved the report of a Special Cabinet Committee appointed by him to investigate crude oil imports. The report recommended that a voluntary oil import program be set up for the purpose of limiting crude oil imports into this country. The President, on July 29, 1957, also directed that the Secretary of the Interior put into effect as soon as practicable the recommendations contained in the report.

The budget requirements for the administration of the voluntary oil import program were not known when the 1959 budget estimates were prepared, and the estimate of $35,000 would permit the continuation of the administration of the program at about the same level as during the past fiscal year. During the past fiscal year the program was financed by not filling vacancies which had occurred. These vacancies, however, must now be filled, in order to carry forward studies related to foreign petroleum supply. These studies were formerly performed by an industry committee, but the studies must now be performed by Government personnel.

Plans for a national defense executive reserve for oil and gas functions are almost completed and recruitment and selection should start immediately. This plan has been developed in accordance with section 710 (e) of the Defense Production Act of 1950, as amended, and Executive Order No. 10660 dated February 15, 1956. The estimate, as mentioned above, contains $18,500 to cover the cost of full field investigations for individuals selected to serve in the national defense executive reserve. Much of the work involves security information which requires the individual to have a security clearance in accordance with Executive

28995-58-34

HEARINGS

BEFORE THE

COMMITTEE ON APPROPRIATIONS

UNITED STATES SENATE

EIGHTY-FIFTH CONGRESS

SECOND SESSION

ON

H. R. 13450

AN ACT MAKING SUPPLEMENTAL APPROPRIATION'S FOR
THE FISCAL YEAR ENDING JUNE 30, 1959, AND
FOR OTHER PURPOSES

28995

Printed for the use of the Committee on Appropriations

UNITED STATES
GOVERNMENT PRINTING OFFICE

WASHINGTON: 1958

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