WITHIN-GRADE PROMOTIONS

Prior to August 1, 1941, within-grade promotions for persons under the Classification Act were not based upon any uniform policy or in accordance with any standard of procedure of equity and justice as between employees in the same agency or as between employees in different agencies. This situation was corrected by Public Law 200, approved August 1, 1941, which established an orderly and systematic method of within-grade promotions for personnel falling within the purview of the Classification Act. Its scope was further extended by Executive Order No. 8842, dated August 1, 1941, to employees whose salaries are classified under the schedules prescribed by Executive Order No. 6746 of June 21, 1934.

It is estimated that during the fiscal year 1942 a total of 223,332 employees will receive within-grade advancements. Of this number, it is estimated that 59,234 are in the District of Columbia and 164,098 are in the field. It is also estimated that 65 percent of those receiving increases under the new law will be in salary grades of $2,000 or less. Provision is made in the Budget estimates for 1943 for funds required in that fiscal year to care for promotions made during the fiscal year 1942, as well as additional promotions that under the law will accrue during the fiscal year 1943. The amounts required will be found under the detailed estimates of appropriation

LEGISLATIVE ESTABLISHMENT

The estimates of appropriations for the legislative establishment for the fiscal year 1943 total $27,776,047, a net increase of $2,434,024 over the appropriations for the fiscal year 1942.

Senate

The estimate of $4,361,404 for the United States Senate shows a net decrease of $30,500, composed of $30,000 in nonrecurring items and $500 for committee employees.

House of Representatives

For the House of Representatives the estimate is $9.256,618, a net decrease of $168,700 as compared with appropriations for the fiscal year 1942. Nonrecurring items include $50,000 for payments to dependents of deceased Congressmen. The reduction of $129,600 for contingent expenses is offset by an increase of $10,900 for salaries of officers and employees.

Legislative miscellaneous

The miscellaneous legislative group, for which the estiFate is $262,940, includes the Capitol Police force, the desint Committee on Printing, the Office of Legislative Counsel, and the cost of preparing appropriation statements. For the fiscal year 1942 there is included in the oup the Committee to Investigate Federal Expenditures,

for which $10,000 was appropriated. This nonrecurring item is offset by an increase of $1,450 for the Office of Legislative Counsel, making a net decrease of $8,550 from the 1942 appropriation.

Architect of the Capitol

The estimates for the Architect of the Capitol, $2,535,862, are $106,704 in excess of the appropriations for the fiscal year 1942. These increases include $3,787 for salaries for the Architect's office, and repairs, maintenance, and improvements as follows: Legislative garage, $180; Capitol power plant, $222,325; Library of Congress, $131,821. These increases were partially offset by the following decreases in maintenance costs: Capitol Building and grounds, $47,270; Senate Office Building, $68,699; House Office Building, $132,440; and Senate folding room, $3,000. Botanic Garden

The Botanic Garden estimate of $106,557 reflects an increase of $1,320 over 1942 appropriations to cover the cost of within-grade promotions.

Library of Congress

The estimate of $4,187,156 for the Library of Congress is $286,290 in excess of the appropriations for the fiscal year 1942. Net increases appear as follows: $301,000 for salaries and expenses for the Library (exclusive of buildings), $14,600 for printing and binding, and $53,242 for Library buildings. Decreases appeared in the amounts of $39,730 for books and periodicals and $42,822 for contingent and miscellaneous expenses. Of this latter amount, $30,000 was a nonrecurring item.

Government Printing Office

The estimate of $7,497,510 for the Government Printing Office includes increases totaling $2,247,460 in excess of appropriations for the fiscal year 1942, of which $2,163,000 is for public printing and binding and $84,460 for personal services in the Office of the Superintendent of Documents.

JUDICIAL ESTABLISHMENT

The estimates for the judicial establishment for the fiscal year 1943, exclusive of trust accounts, amount to $12,748,287, an increase of $379,632 over 1942 appropriations. This increase is to provide for anticipated expansion in the business of the United States courts, extension of the Federal probation system, within-grade promotions authorized by Public Law 200, and reclassification of certain positions.

The estimates for the Supreme Court of the United States involve an increase of $12,153 for salaries of employees of the Court, printing and binding, and care of the Supreme Court Building and grounds, and a decrease of $50,000 for a nonrecurring item for preparation of rules for criminal proceedings, resulting in a net decrease of $37,847.

For the remainder of the judicial establishment, exclusive of the Administrative Office of the United States Courts, there is a net increase of $385,761, involving increases of $10,600 for repairs and improvements to the District Court Building for the District of Columbia, $27,082 for salaries and expenses of the Court of Claims,

$62,500 for salaries of circuit, district, and retired judges, $98,150 for salaries and expenses of clerks of courts, $149,409 for probation system, $74,685 for miscellaneous salaries, $44,800 for traveling expenses, and $9,535 for all other activities, resulting in a gross increase of $476,761, which is offset by decreases of $2,000 for repairs and improvements to the Court of Appeals Building for the District of Columbia and $89,000 for miscellaneous

expenses.

The estimates for the Administrative Office of the United States Courts provide for increases of $28,578 for salaries and $3,140 for contingent expenses, a total increase of $31,718.

The estimates for the judicial establishment have been included in the Budget as submitted to the Bureau of the Budget without revision, pursuant to section 201 (a) of the Budget and Accounting Act and the act of August 7, 1939, providing for the administration of the United States

courts.

EXECUTIVE OFFICE OF THE PRESIDENT

The White House

For the White House office, there is a net decrease of $3,750 in 1943. This consists of an increase of $1,350 for personal services, offset by a decrease of $5,100 in the appropriation for the Executive Mansion and grounds.

Bureau of the Budget

For regular activities of the Bureau of the Budget, the estimates show an increase of $387,000 above the appropriation for the fiscal year 1942. This increase is requested to strengthen still further the staff of the Bureau engaged in the consideration of estimates, in problems of administrative management, in the study of fiscal policies and programs, and in the coordination of statistical activities. For national defense activities there is an increase of $280,000 above the appropriation for the fiscal year 1942, to carry on the inspection of defense construction projects and to conduct many special studies dealing with the organization and operation of defense agencies.

National Resources Planning Board

For regular activities of the National Resources Planning Board the estimate of $708,845 is $7,455 greater than the appropriation for the fiscal year 1942, the increase representing within-grade promotions. For the planning activities of the Board in the interest of national defense the estimates show an increase of $300,705 above the appropriation for the fiscal year 1942. This will provide personnel and other expenses for continuance of studies begun during the fiscal years 1941 and 1942, for additional studies undertaken at the request of the President, and for preparation of advance plans for defense and postdefense situations, in cooperation with Federal agencies and with State, regional, and local planning agencies.

Office for Emergency Management

Appropriations of $121,513,012 for the fiscal year 1942 were made for the various agencies within the framework of the Office for Emergency Management.

The funds provided have been made available in three appropriation acts on the basis of need as the defense program assumed broader horizons. The Second Deficiency Appropriation Act, 1941, provided $36,500,000; an additional $10,000,000 was provided by the Second Supplemental National Defense Appropriation Act, 1942;

and $75,013,012 was made available by the Third Supplemental National Defense Appropriation Act, 1942.

In addition to the cash appropriations above, an amount of $3,000,000 was provided by the Second Deficiency Appropriation Act, 1941, for contract authorization for the Coordinator of Inter-American Affairs.

The existing state of war will result in considerable expansion of the present functions of the Office for Emergency Management, which at this time cannot be projected into the fiscal year 1943. An estimate of the 1943 requirements will be transmitted to Congress before the close of the current fiscal year.

Office of Government Reports

For regular activities of the Office of Government Reports the estimates show an increase of $406,270 above the appropriation for the fiscal year 1942, to enable the Office of Government Reports to maintain offices in 48 States instead of the present 32 States and to provide adequate staff in Washington and the field to handle the activities related to the national defense.

Emergency funds appropriated to the President

The estimates submitted for the fiscal year 1943 include $25,000,000 to liquidate contract authorizations under the emergency funds granted to the President in the Independent Offices Appropriation Act, 1942, and provisions that the unobligated portion of said contract authorization, together with any unobligated balance of the appropriation of $100,000,000 under this head for the fiscal year 1942, be continued available until June 30, 1943. It is to be noted that the Third Supplemental National Defense Appropriation Act, 1942, approved December 17 1941, contained an additional appropriation of $100, 000,000 under this head for 1942, to remain available until June 30, 1943.

INDEPENDENT ESTABLISHMENTS

American Battle Monuments Commission

The estimate of $50,000 for the American Battle Monu ments Commission is $84,250 less than the appropriatio for the fiscal year 1942. The reduction is due to th temporary discontinuance of the service in Europe.

Board of Tax Appeals

The appropriation estimates of the Board of Ta Appeals for 1943 total $582,037, which is an increase $23,037 over 1942. This increase includes $16,500 f personal services, $3,500 for travel expenses, supplies, ta reporting services, and contract stenographic service and $3,637 for within-grade promotions.

Board of Investigation and Research-Transportation No estimate is provided for the Board in the Budget f 1943.

An appropriation of $100,000 was made in the Fi Supplemental National Defense Appropriation Act, 194 to inaugurate the work of the Board during the fiscal ye 1942. Subsequently, an additional $246,500 was app priated in the Third Supplemental National Defer Appropriation Act, 1942, for the completion of certa directive studies, to remain available during the fis year 1943 through September 18, 1942, when the Boar tenure will have expired unless extended by President proclamation.

Canal Zone Biological Area

The act of July 2, 1940 (54 Stat. 724), established the Canal Zone biological area on Barro Colorado Island in Gatun Lake, C. Z., for preservation and equipment of the area for scientific observations and investigations, and authorized an annual appropriation of not to exceed $10,000 as the Federal share in the expenses of the project. The estimate of $10,000 for the fiscal year 1943 is for the purpose of carrying out the intent of the authorization act.

Civil Service Commission

The estimates of $120,346,925 for the Commission are $5,187,903 more than the appropriations made for the fiscal year 1942. Of this increase $4,346,438 is chargeable to the civil-service retirement and disability fund in accordance with the recommendations contained in the twentieth annual report of the Board of Actuaries, which report was transmitted to the Congress on June 16, 1941. Other increases are $435,017 for salaries and expenses and $13.100 for printing and binding, to provide on a full-year basis for the expansion of activities because of the increased work devolving on the Commission under the Ramspeck Act of November 26, 1940, and the Executive Order, No. 43, of April 23, 1941, which created the Board of Legal Examiners in the Commission to provide for the development of a merit system for the recruitment, selection, appointment, promotion, and transfer of attorneys in the lassified civil service; $75,000 for activities in connection with the prevention of pernicious political activities; Ld $1,099,908 in the appropriation for national-defense tivities because of the increasing placements anticipated the defense agencies of the Federal Government during

1943.

The above increases are offset by a decrease of $781,560, to the nonrecurring 1942 appropriation for extension the civil service under title I of the Ramspeck Act. 1942 appropriation for this purpose is available ugh the fiscal year 1943.

Council of National Defense

La the Budget for the fiscal year 1942, an estimate of NT$50,000 was included for the Council of National J-fense.

Because of the rapid changes in the defense gram, funds for the fiscal year 1942 were provided to Office for Emergency Management, instead of the Council of National Defense, in the Second Deficiency propriation Act, 1941, and subsequent appropriation is. For details of funds available to the Council of tonal Defense in the fiscal year 1941, see Office for ergency Management.

Employees' Compensation Commission

The estimates for the Employees' Compensation Comsion for the fiscal year 1943 aggregate $10,989,705, asive of appropriations from special funds and trust ints, an increase of $1,982,152 over the 1942 approions for the same purposes. Included in the increase $228,652 additional for salaries and expenses of the mission and $1,250,000 additional for the regular yees' compensation payments and benefits. Both se unusual increases are necessary because of the y expanded enrollment of Federal employees under national defense program. There is also an increase. $500 for printing and binding.

The appropriation for compensation benefits and adtrative expenses pertaining thereto, under the title

"Employees' compensation fund, emergency relief," shows an increase of $500,000, in addition to which the unexpended balance of previous appropriations estimated at $1,592,090 is continued available for the fiscal year 1943. Under the special fund appropriations for the employees' compensation fund, civil works, the appropriation provided, $137,000, is $38,000 less than the amount appropriated for 1942.

The 1943 estimate of $535,000 for the employees' compensation fund, emergency conservation work, is $140,000 less than provided for 1942.

There is a small increase of $500 indicated in the trust account for relief and rehabilitation, longshoremen's and Harbor Workers' Compensation Act.

Federal Communications Commission

The estimates of $4,991,219 for the Commission are $77,510 below the amounts appropriated for the fiscal year 1942. The decrease consists of a reduction of $15,229 in the appropriation for salaries and expenses for the regular work of the Commission under the Communicadue to nonrecurring items of expenditure, and $900 for tions Act of 1934, $61,381 in the national defense activities printing and binding.

Federal Power Commission

The total recommended for the Federal Power Commission is $3,067,520, an increase of $285,520 over the amount appropriated for the fiscal year 1942. The increase in the appropriation for salaries and expenses is occasioned by an allowance of $24,600 to cover additional pay-roll commitments through the reclassification of a number of employees of the Commission. The remainder of the increase is to permit compliance with the act authorizing within-grade promotions. The small increase in the item for flood-control surveys is solely for within-grade promotions.

For national defense activities of the Commission $519,255 is recommended, an increase of $234,255 over the 1942 appropriation. This increase is to permit employment on a full-year basis of personnel provided for through a supplemental appropriation of $135,000 for the fiscal year 1942 on a part-time basis.

Federal Trade Commission

The estimates for the Commission total $2,302,474 which is a decrease of $57,526 below the amounts appropriated for the fiscal year 1942. Decreases of $75,000 in the salaries and expenses appropriation because of the completion of an investigation by the Commission on production cost accounting methods and $9,750 in the printing and binding appropriation, are offset by an increase in the amount of $27,224 for administrative withingrade promotions.

Foreign Service Pay Adjustment

The estimate for the fiscal year 1943 of $1,350,000 is an increase of $375,000 over the appropriation for the fiscal year 1942. This is brought about by reason of increases in the assignment of personnel to foreign countries whose currency has appreciated in relation to the American dollar.

General Accounting Office

The total of the annual estimates for the General Accounting Office for 1943 is $16,936,490, a net increase of $4,586,863. Increases totaling $5,917,371 are required

to perform the increased volume of work anticipated on account of the national defense program, and $69,493 is provided for within-grade promotions. These increases are offset in part by the nonrecurring item of $1,400,000 for administrative expenses, emergency relief.

Interstate Commerce Commission

The estimates for the Commission, which amount to $9,557,809, exclusive of trust accounts, provide for an increase of $235,059 over the appropriations for the fiscal year 1942. Increases provided are: $5,900 to provide for additional inspectors for signal safety systems; $2,500 for the Bureau of Valuation for the rental of field office space occasioned by giving up office space to other offices of the Federal Government; $128,165 for the Commission's emergency work in preventing car shortages in connection with national defense exigencies, the latter fund to become immediately available; and $130,294 for administrative within-grade promotions which is properly allocated to the various bureaus of the Commission. These increases are offset by decreases of $800 in printing and binding and $31,000 under the Bureau of Motor Carriers, the latter being occasioned by nonrecurring items of expenditure.

Maritime Labor Board

No estimate is submitted for 1943 for the Maritime Labor Board. The Board was established for a period of 3 years expiring June 22, 1941. The act of June 23, 1941, extended the Board for 1 year, and $30,000 was appropriated by the First Supplemental National Defense Appropriation Act, 1942, "to be used for winding up and terminating the affairs of the Board."

National Advisory Committee for Aeronautics

The estimate for the general administrative expenses of the Committee, amounting to $9,018,328, represents an increase of $2,797,863 over the appropriations for 1942. The recommended estimate will provide for the continuance of two, and in some laboratory units three, shifts of operating personnel which were inaugurated during the current fiscal year. This will permit the necessary testing of the new military aircraft in accordance with the planned schedules of the military services.

National Archives

Estimates totaling $1,146,725, a net increase of $68,503 over the appropriations for the current fiscal year, are submitted. Additional personnel, supplies, and equipment to enable the agency to care for increased accessions and provide adequate service, particularly with reference to World War period material in great demand by defense agencies, are included in the gross increases of $95,838 which are offset by $27,335 in nonrecurring items.

National Capital Park and Planning Commission The estimate of $900,000 for the National Capital Park and Planning Commission includes $700,000 for continuance of the program of land acquisition for the park, parkway, and playground system of the District of Columbia, as authorized by section 4 of the CapperCramton Act of May 29, 1930. Section 4 of the act authorizes a total appropriation of $16,000,000, of which, including the present estimate, there will have been made available $9,878,700.

The estimate also provides $200,000 for acquisition of land for the George Washington Memorial Parkway on the Virginia side of the Potomac River.

National Labor Relations Board

The estimates of the National Labor Relations Board for the fiscal year 1943, amounting to $3,771,470, provide an increase of $375,760 over the appropriations for the fiscal year 1942. The increase includes $47,920 for regular salaries of the Board, and $327,840 in the appropriation for extraordinary expenditures involved in performing duties in connection with labor disputes in industries under the national defense program.

National Mediation Board

The 1943 estimates for the National Mediation Board, which includes the National Railroad Adjustment Board, total $420,415, representing a net decrease of $31,273 under the appropriation for 1942. This comprises increases of $1,197 for the National Mediation Board, and $25,530 for salaries and expenses of the National Railroad Adjustment Board, offset by decreases of $55,000 in the appropriation for Arbitration and Emergency Boards and $3,000 in printing and binding of the Adjustment Board. Protection of Interests of the United States in Matters Affecting Oil Lands in Former Naval Reserves

is anticipated that final disposition of these matters will No estimate is submitted for the fiscal year 1943 as it be made during the current fiscal year within the limits of the appropriation of $25,850 available.

Railroad Retirement Board

The estimate of $3,041,000 for the general expenses of the Board for administration of the Railroad Retirement Act is $109,000 less than the amount appropriated in 1942. A nonrecurring item of $80,981 in connection with the prior service records project accounts for the major portion of this decrease. The remainder is made up of decreases of $262 for salaries; $10,757 for miscellaneous $16,517 offset by an increase of $5,760 for transfer to the expenses comprised of a decrease for rents amounting to Treasury; and $17,000 for printing and binding.

For the railroad retirement appropriated account the estimate of $214,801,000 is an increase of $73,951,000 over 1942.

For the railroad unemployment insurance administramate of 10 percent of contributions under the Railroad tion fund, the estimate of $9,500,000 represents an estiUnemployment Insurance Act, and an estimate of balances of amounts collected on account of railroad em

ployees under title IX of the Social Security Act and transferred to this appropriation.

Securities and Exchange Commission

The estimate of $5,440,000 for the Commission, exclusive of the trust account, is the same as the amount appropriated for the fiscal year 1942.

Selective Service System

For the operation and maintenance of the Selective Service System, there is provided the sum of $34,745,000 which is an increase of $1,245,000 over the appropriation for the fiscal year 1942.

Smithsonian Institution

Estimates for the Smithsonian Institution, including the National Gallery of Art, exceed by $22,083 the appropriations for the fiscal year 1942, which increase is made. up entirely of the net cost of within-grade promotions. Tariff Commission

In the estimates for 1943, $900,000 for general administrative expenses and $15,000 for printing and binding, there is a decrease of $5,000 below the amounts appropriated for 1942.

The Alley Dwelling Authority

The Authority contemplates continuing its slumclearance program under the United States Housing Act of 1937, as amended, and has already approved loan contracts totaling $13,572,000. These loan contracts cover 9 projects, 7 for Negro, and 2 for white occupancy, and will provide in all more than 2,700 new dwelling units.

The Authority will continue its management of completed projects, receipts from which in 1943 are expected to total some $700,000. In addition The Alley Dwelling Authority, acting as agent for the Federal Works Agency will manage three defense housing projects now under construction in the District of Columbia, two of these projects being constructed by The Alley Dwelling Authority, and the third by The United States Housing Authority.

United States Maritime Commission

The estimates for the Maritime Commission for the fscal year 1943 total $980,380,000, of which $980,080,000 s for the construction fund and $300,000 for State marine schools. The 1943 estimates provide a net increase of $121,540,000 over the amounts appropriated for 1942 due primarily to the necessity for making progress payments on a considerably greater number of ships under construction. Provision is also made for an increase of contract authorizations for ship construction in the amount of $90,000,000.

FEDERAL LOAN AGENCY

The Federal Loan Agency was created under authority of the Reorganization Act of 1939 to supervise and coordinate the functions of the Electric Home and Farm Authority, Export-Import Bank of Washington, Federal Home Loan Bank Board, Federal Housing Administration, Federal Savings and Loan Insurance Corporation, Home Owners' Loan Corporation, and the Reconstruction Finance Corporation with its subsidiary corporations.

The funds of the Federal Loan Agency are allocated to it from the agencies which it supervises. The estimate of $250,000 for administrative expenses for the Federal Loan Agency for the fiscal year 1943 is $50,000 more than the amount made available for 1942. The amount recomended is to provide for increased supervision and oordination of these agencies.

Electric Home and Farm Authority

The estimate of $402,150 for the administrative expenses of the Electric Home and Farm Authority for the fiscal Fear 1943 is $197,850 less than the amount made available 1942. The decrease is attributable to a reduced lume of business estimated for 1943 and a reduction in the number of outstanding accounts.

Export-Import Bank of Washington

The estimate of $270,535 for the administrative expenses of the Export-Import Bank of Washington for the fiscal year 1943 is $50,535 more than the amount made available in 1942. The operations of the bank have continued to increase and it is anticipated that loans and commitments will aggregate approximately $600,000,000 by the end of the fiscal year 1943.

Federal Home Loan Bank Board

The estimate of $1,750,938 for the administrative expenses of the Federal Home Loan Bank Board for the fiscal year 1943 is $250,938 in excess of the amount made has increased both in assets and membership; conseavailable in 1942. The Federal home loan bank system quently, it is necessary that the Board furnish increased supervision and guidance to the Federal Savings and Loan Insurance Corporation and perform additional examinations in the field.

Federal Housing Administration

The estimate of $15,041,343 for the administrative expenses of the Federal Housing Administration for the fiscal year 1943 is $286,890 more than the amount made available for 1942. Of the increase recommended, $153,343 is to provide for administrative promotions under the Ramspeck Act. A decrease effected because of the expiration on June 30, 1942, of the title VI insurance activity is offset by an increase in activities under titles I and II.

The provisions of title I, and the provisions of title II relating to the insurance of mortgages on existing structures which would have expired on June 30, 1941, were extended to June 30, 1943, and June 30, 1944, respectively.

The amount included in the 1943 estimates for the renovation and modernization loans and insurance fund, which is available only for the payment of losses under title I insurance, is $8,000,000, of which $4,000,000 is to be obtained from funds of the Reconstruction Finance Corporation and $4,000,000 from title I funds of the Federal Housing Administration. The amount recommended is $1,410,000 less than the amount made available in 1942. Of the $9,410,000 made available for 1942, $2,410,000 is payable from title I funds of the Federal Housing Administration and $7,000,000 from funds allotted from the Reconstruction Finance Corporation.

Federal Savings and Loan Insurance Corporation

The estimate of $450,443 for the administrative expenses of the Federal Savings and Loan Insurance Corporation for the fiscal year 1943 is $60,569 more than the amount made available in 1942. made available in 1942. The amount recommended is to provide for supervision of the steadily increasing number of insured institutions and also for supervision of the rehabilitation or liquidation of an increasing number of problem institutions.

Home Owners' Loan Corporation

The estimate of $15,153,712 for the administrative expenses of the Home Owners' Loan Corporation for the fiscal year 1943 is $4,246,288 less than the amount made available in 1942. Since June 12, 1936, this Corporation has been in the process of liquidating its assets, its operations being limited to the collection of outstanding loans and the management and disposal of the real estate it has