before it was a million and a half not counting funds transferred to the India food program.

I just explained that of this $1,244 million of unexpended funds, $876 million will be obligated for European country aid, and Mr. Craig of our supply organization is here and can tell you the composition of that $876 million of unexpended funds.

The chart shows $165 million in the Far East. That has been increased to $173 million by reason of the $8 million increase which Dr. Fitzgerald explained to you the other day, which is for jet aircraft fields in Formosa and the repatriation of national Chinese in Indochina.

"Other, $65 million" is represented by the balance of the Spanish loan, technical assistance, materials development, and administration.

The next slice "programed but not obligated" has been explained to you. $75 million of that is for the Spanish program and $37 million is for the procurement of Italian aircraft. That leaves an unprogramed and unobligated amount of $18 million. It shows $26 million on your chart, but the $8 million has been taken out of it.

This amount will be used to make up a part of the $404 million which was explained to you would be turned back to reduce next year's request for funds.

Now I can, if you please, sir, give you the breakdown in Europe and in the Far East of this $876 million of unliquidated obligations. It is on the chart. It is shown on the chart in the bars on the right for Europe, and on the left in the form of projects for the Far East. Now the question arises, are we going to obligate all of our funds? We feel that we will, and experience in the last few months I think indicates that we can very easily do that.

For instance-I do not have this in the form of a large chart-our actual obligations in April were $162 million. In May, they were $265 million and we estimate for June, $247 million.

In other words, less than we were able to do last month.

On the expenditures, our expenditure estimate of $1,769 million may be just a little high.

As of April 30, we had spent in this fiscal year $1,290 million, which left a balance of $479 million to be spent between April 30 and June 30 in order to make our estimate of $1,769,000,000.

We think there is a reasonable expectation that we can do that. It would call for expenditures in May of $200 million. We do not have those figures today, actual. We normally have them about the 12th of the succeeding month. For June it is $279 million. $279 million seems a little high, but looking at the obligation pattern of the last 3 months, we think there is a reasonable expectation that we can make that. I think that tells the story of where we stood on April 30, where we hope to be by June 30, and if you would like, Mr. Craig can tell you the composition in more detail of the pipeline in Europe and in the Far East by major or subcategory breakdown.

Mr. VORYS. What is your estimated expenditure for fiscal year 1954? I have been trying to get nonmilitary fund and I understood estimated expenditures would be $1,879.2 million.

Mr. WOOD. For fiscal year 1954?

Mr. VORYS. For fiscal year 1954.

Mr. LAWSON. Our estimated expenditures for fiscal year 1954 are $1,370 million.

Mr. WOOD. It does not include TCA?

Mr. VORYS. That is in this bill for nonmilitary, there is multilateral and TCA, and MSA?

Mr. WOOD. Yes.

Now the $1,370 million covers country aid for Europe, technical assistance, materials development

Mr. VORYS. What kind of technical assistance is that?

Mr. LAWSON. That is technical assistance in Europe and the dependent overseas territories of the European metropoles.

It includes the Far East country programs and the materials development in the Far East. It includes assistance to Spain, and then there are some other items: Indochina defense financing, $400 million; dependent overseas territories, $25 million, and the global materials development program is $25 million.

Mr. VORYS. But it excludes out of the bill that is in front of us, military technical assistance, under the Aid Act, and the multilateral? Mr. LAWSON. That is right.

Mr. WOOD. And in addition to the special economic technical assistance, the $140 million for the Arab States and Israel; special economic assistance for India, Pakistan, and for Iran.

Mr. VORYS. It excludes those?

Mr. LAWSON. It does exclude those; yes, sir.

Mr. WOOD. It also excludes special weapons planning, which is a military item.

Mr. VORYS. Does TCA administer this special economic aid?

Mr. Wood. It does; yes. That is, in the Near East, Africa, and South Asia.

Mr. BENTLEY. I have a question on TCA. Are we coming to that? Mr. WOOD. We are coming to that now.

I have before me now the summary of the unexpended balance situation on TCA. I will just give you those figures, and then, if there are further questions on the details, our representative from TCA is here and will attempt to respond.

Unexpended balances on June 30, 1953, in the TCA programs are estimated at $189,412,000.

This estimate assumes that $76 million will be expended in the last quarter of fiscal year 1953. Expenditures in the first 6 months of fiscal year 1953 amounted to $78 million, which represents an average rate of $39 million per quarter. They amounted to $45 million in the third quarter, and for March alone they amounted to $21.8 million. This last figure is at a quarterly rate of $65.4 million. Expenditures have been steadily increasing, as the program itself has progressed, and will continue to increase during the last quarter. It is now estimated this last quarter figure will be $76 million.

The total unexpended balance in the TCA program is estimated to be $190 million at the end of this fiscal year.

Mr. BENTLEY. Mr. Wood, on table 4 of the unexpended balance is 189,412 of which you plan to spend $151 million in the next fiscal year, and $37 million subsequently?

Mr. WOOD. Yes.

Mr. BENTLEY. Do these TCA expenditures include chapters 4 and 5 in the bill as we have them here?

Mr. Wood. It includes parts of chapters 4 and 5, as I recall it. It does include multilateral technical cooperation, which is in chapter 5. Mr. BENTLEY. Does it include the movement of migrants?

Mr. WOOD. I believe not. That is a special item on which Mr. Warren testified yesterday.

That is correct, Mr. Bentley, it does include the item of $13,750,000 for multilateral technical cooperation. That is the only one in chapter 5 which is included.

Now, as to chapter 4, it does include the first item, "Economic and technical assistance funds, Near East and Africa, Asia and the Pacific, and Latin America.

It does not include "Basic materials development," which is inIcluded in the Mutual Security Agency program.

It does include the next item, $194 million for "Special economic assistance, Near East and Africa," and it does include the $94 million of special economic assistance to India and Pakistan.

Chairman CHIPERFIELD. Mr. Wood, may I call your attention to the figure of $94 million.

In the bill it is $94.4 million. Probably it is a mistake on this sheet. Mr. Wood. It looks as though that has been rounded to the nearest million dollars, or that it is a mistake.

Chairman CHIPERFIELD. The other figures seem to check and they are all right, but that seems to be $400,000 off.

Mr. BENTLEY. Which figure is that, Mr. Chairman?

Chairman CHIPERFIELD. That is the $94 million in section 404.
Mr. BENTLEY. That should be what?

Mr. CRAWFORD. $94.4 million.

Mr. WOOD. To complete the record on your question, Mr. Bentley, I should say that with respect to the first item under chapter 4-the $140,237,500-there are a few exceptions to my general statement that the entire amount is included in the TCA part of the program. That figure includes economic and technical assistance or defense support funds for Thailand and the Philippines, the programs for which are administered by the MSA. I believe it also includes $25 million for the dependent overseas territories in Africa and the Far East upon which Dr. FitzGerald testified the other day.

Mr. BENTLEY. You have section 401 with exceptions, sections 403, 404, and 502.

Chairman CHIPERFIELD. I am not speaking for Mr. Vorys, but I simply get lost in this end of the economic aid business. I hope Mr. Bentley, you will work your head off and try to straighten it out. It would be a great benefit to the committee if you or any other person can do it because I cannot do it.

Mr. BENTLEY. If I can ask Mr. Wood to turn back to table 1, in that book, please.

The amount proposed for fiscal year 1954 is $395,384,000.

Mr. WOOD. That is right, sir.

Mr. BENTLEY. Those are the totals of the sections which I have just quoted: 401, 403, 404, and 502 ?

Mr. WOOD. That is right, except for the exceptions I pointed out.

I think that what we better do, Mr. Bentley-and it may be useful to you-is to give you a table reconciling this $395 million with these sections that you have mentioned. We will deduct the exact amount of new obligational authority for these exceptions which I have mentioned, such as Thailand, the Philippines, and the dependent overseas territories.

Chairman CHIPERFIELD. Mr. Wood, I hope you will do so, because just reading them off and trying to follow from just this sheet, it is very difficult indeed.

Mr. WOOD. You see, Mr. Chairman, the problem is that this sheet is prepared on the basis of the kind of assistance to be provided, and it so happens that in this economic aid program, particularly in the Far East, MSA is administering a few of the programs and TCA the balance.

Since the table is made up by types of aid, it does get you into trouble when you try to figure which agency is handling it.

Mr. BENTLEY. With all this tremendous amount of research material that we have made available to us, Mr. Wood, I think one of our biggest problems is trying to correlate it with the actual titles in the bill, when we come to working on the bill itself.

Mr. Wood. That is a very real problem and it will arise as soon as we get to the discussion of the provisions of the bill.

Mr. BENTLEY. Anything you can do to facilitate our work will be appreciated.

Mr. Woop. Let us make up a table reconciling the figures which you have just called to our attention. I think that will help you. (The information requested follows:)

Portion of 1954 authorization request for Technical Cooperation
Administration programs

IV. Mutual development and technical progress:

A. Regular technical progress and develop

C. Special economic assistance in the Near East and
Africa:

1. Arab States, Israel, and Iran..

2. UNRWA

D. Special economic assistance for India and Pakistan..

V. Multilateral organizations:

B. Multilateral technical cooperation and

$117, 234, 500

140, 000, 000 130, 000, 000

94, 400, 000

operation

13, 750, 000

1 Authorization only. No appropriation in furtherance of this authorization is to be sought at this session of Congress. The UNRWA (Palestine refugee) program has not been administered by TCA.

Mr. VORYS. Mr. Chairman, could I make a suggestion?

I have what purports to be reports from the Comptroller's Office of MSA on all the nonmilitary funds, as follows:

Unexpended, June 30, 1953, $1,478,100,000.
Expenditures, fiscal year 1954, $1,878,200,000.

Deficit, $400,100,000.

Total nonmilitary authorization request, fiscal year 1954, $1,554,210,000.
Amount to be spent in fiscal year 1955 and later, $1,154,100,000.

Can anyone here for MSA tell me whether those totals are correct or not?

Mr. Wood. As to the amounts within those figures for which MSA is responsible, Mr. Lawson can tell you, and as to the amounts for which TCA is responsible, we will have Mr. Howell tell you.

Mr. VORYS. May I suggest this: On what we hope is the last day of the hearings, instead of worming this out of the people who are supposed to give us this information, by cross-examination, suppose we get a table which starts with the summary I have just given, the correct figures for all nonmilitary funds in this bill. It gives the total at the top, and then explains in terms of the bill itself where the unexpended is, where the expenditures are, what the expenditures are proposed for 1954, and the amount to be spent in 1955 and later. If we have such a table, then we can get the information we need and we won't have this interminable cross-examination.

Yesterday we had a complete statement that answered all of our questions on the military end of it.

Chairman CHIPERFIELD. Mr. Halaby was excellent, I thought, yesterday.

Mr. VORYS. Now we are back to where we started trying to pin this together by cross-examination. If we could get that statement just on a sheet of paper, I think that is what the committee would desire, and we could go on to something else, rather than trying to assemble it to our collective confusion, by cross-examination, today. Chairman CHIPERFIELD. Mr. Harrison.

Mr. HARRISON. Mr. Chairman, I was going to inquire as to whether or not the summary of the recommendations of the valuation teams has ever been filed in accordance with the resolution put through the committee by Mrs. Vorys earlier.

Mr. WOOD. I don't think it has been yet. It is in the final stages of being duplicated, is it not, Mr. Lawson?

Mr. LAWSON. We worked on it until about 12:50 on the last night, and our machine broke down. We have people working on it this morning, and I hope to have it delivered before we break up here today.

Chairman CHIPERFIELD. I think the suggestion Mr. Vorys makes is an excellent one. I think we ought to have a summary of that kind. Mr. WOOD. We can do that for you very readily. Mr. Murphy, the comptroller for the Director for Mutual Security is here and has heard this request. How soon could you have that available, Mr. Murphy?