General WATSON. This is a proposal for the increase in the ceiling of the Price Act which would be a total of $25 million. That is H.R. 12617. Mr. PASSMAN. If the authorization bill you are holding in your hand is approved, what are you going to ask for in the way of a supplemental estimate to your regular annual request? General WATSON. In addition to the regular request of $12 million, we are asking for $5.3 million for fiscal year 1967. Mr. PASSMAN. Which would give a total of? General WATSON. $17,310,000. Mr. PASSMAN. What would be a comparable figure for the same items in fiscal year 1960? General WATSON. $3.3 million. Mr. PASSMAN. Quite an increase, is it not? UNOBLIGATED FISCAL YEAR 1966 FUNDS Mr. PASSMAN. Thank you. I just wanted to help you make a record. Will you have any unobligated funds at the end of fiscal year 1966? General WATSON. Yes, sir; we will have some unobligated funds at the end of this year. On the other hand, I think it will be a very small amount. I have made an estimate of how we expect to stand with regard to this appropriation. The end of February of this year we had an overall obligation figure of 74 percent which actually was quite good. In other words, we were about a month ahead of the three-quarter point in the year, and we were at 74 percent, which is almost three-quarters of the way through our obligations. Mr. PASSMAN. The unobligated balance then, you would estimate, would be zero. General WATSON. I would so estimate, barring unforeseen problems in the obligation of funds, but they do occur through the years as you know. PER CAPITA INCOME Mr. PASSMAN. Last year you submitted a table for the record on the per capita national income. It was printed on page 64 of the hearings. If you will, insert an up-to-date table in this year's hearings. General WATSON. Very well, sir. LANGUAGE PROPOSED Mr. PASSMAN. We shall insert in the record at this point page of the justifications. (The page follows:) Language "For expenses, not otherwise provided for, necessary to meet the responsibilities and obligations of the United States in connection with the Government of the Ryukyu Islands, as authorized by the Act of July 12, 1960 (74 Stat. 461), as amended (76 Stat. 742); services as authorized by section 15 of the Act of August 2, 1946 (5 U.S.C. 55a), of individuals not to exceed ten in number; not to exceed $4,000 for contingencies for the High Commissioner, to be expended in his discretion; hire of passenger_motor vehicles and aircraft; purchase of [one] four passenger motor [vehicle] vehicles, for replacement only; and construction, repair, and maintenance of buildings, utilities, facilities, and appurtenances; [$14,733,000 $14,893,000, of which not to exceed [$2,733,000] $2,893,000 shall be available for administrative and information expenses: Provided, That expenditures from this appropriation may be made outside continental United States when necessary to carry out its purposes, without regard to sections 355 and 3648, Revised Statutes, as amended, section 4774(d) of title 10, United States Code, civil service or classification laws, or provisions of law prohibiting payment of any person not a citizen of the United States: Provided further, That funds appropriated hereunder may be used, insofar as practicable, and under such rules and regulations as may be prescribed by the Secretary of the Army to pay ocean transportation charges from United States ports, including territorial ports, to ports in the Ryukyus for the movement of supplies donated to, or purchased by, United States voluntary nonprofit relief agencies registered with and recommended by the Advisory Committee on Voluntary Foreign Aid or of relief packages consiged to individuals residing in such areas: Provided further, That the President may transfer to any other department or agency any function or functions provided for under this appropriation, and there shall be transferred to any such department or agency, without reimbursement and without regard to the appropriation from which procured, such property as the Director of the Bureau of the Budget shall determine to relate primarily to any function or functions so transferred: Provided further, That reimbursement shall be made to the applicable military appropriation for the pay and allowances of any military personnel performing services primarily for the purpose of this appropriation. (Foreign Assistance and Related Agencies Appropriation Act, 1966)." COMPARATIVE SUMMARY OF OBLIGATIONS, FISCAL YEARS 1965-67 Mr. PASSMAN. We shall insert next pages 4 and 5 of the justifications. (The pages follow:) ADMINISTRATION RYUKYU ISLANDS, ARMY, FISCAL YEAR 1967 Comparative summary of obligations by projects Mr. PASSMAN. Your first activity that you refer to is administrative activities, for which you are requesting $2,893,000, an increase of $120,000 above the 1966 program; is that correct? General WATSON. That is correct. Mr. PASSMAN. Page 7 indicates a substantial increase in the item, "Payment to other agencies for reimbursable details." Briefly, what is the basis for that increase? General WATSON. I would like to ask Mr. Burns to comment on this point. Mr. SEEFELDT. This represents payments made to other agencies for individuals serving on reimbursable details with the U.S. Civilian Administration of the Ryukyu Islands. Heretofore we have had only one such individual, the Civil Administrator, Mr. Warner. The 1966 figure represents an increase with the addition of several new members to the staff. The 1967 increase is an annualization of their salaries. Mr. PASSMAN. I asked that question for this reason. You did not request any funds for this item last year when you testified before the committee. If we may refer you to page 7 of the justifications, you show zero, but you allocated $53,400. Mr. BURNS. We had planned to hire people and put them on our own payroll. Instead, we have details from other agencies and we are now paying their salaries, such as the Civil Administrator, and our new Public Information Director-they are on loan to us. Mr. HOLT. May I comment on that from the point of view of the Department of the Army. This represents an effort we have been making to have the strongest staff possible out there with specialized experience in various fields such as public information, education, and the like. We are trying to borrow skilled people from other Government departments for this purpose. This is a bookkeeping reflection of that program. Mr. PASSMAN. Thank you, Mr. Holt. QUARTERS ALLOWANCE Even though the number of net permanent positions only increased from 385 in fiscal year 1965 to 389 in fiscal year 1966, I note that the quarters allowance item increased from $39,692 to $84,000. Will you comment on that increase? General WATSON. That was due to the fact there was a change in policy in assignment of civilians to quarters on posts in the Ryukyu Islands. We had a long waiting period for on-post quarters and it developed, proportionately speaking, that the civilian employees who were in the upper grades and were entitled to quarters were living in a higher percentage of quarters available, higher than their strength would permit. Therefore, we have had to put a limit on the time any one individual may occupy such quarters. Those moving off posts are granted quarters allowance. TRAVEL COSTS Mr. PASSMAN. I note in your statement on page 12 that in fiscal year 1966 temporary duty trips are being reduced to a level of questionable adequacy in order to keep within the fund limitations and you are requesting an increase of $6,600 for this purpose for fiscal year 1967. Would you give us a little explanation on that inasmuch as there is an increase? General WATSON. In order to take care of the increased pay for the personnel in fiscal year 1966, we found it necessary during fiscal year 1966 to eliminate some of the temporary duty trips which we felt were necessary inspection trips throughout the island. This was one of the items we referred to at the very beginning of this meeting when you commented on the fact we had saved $100,000. 62-633-66- -3 Actually, in fiscal year 1966, part of the $100,000 was a reduction in trips, necessary inspection trips. We want to resume normal activity in fiscal year 1967, and that is the reason for the increase. Mr. PASSMAN. How much did you request for this item last year? General WATSON. $125,000. For temporary duty travel and other travel. For temporary duty travel, $14,000 was requested. That was for temporary duty travel alone. Mr. PASSMAN. Then you would have to consolidate the two figures to get the total the way you testified. Is that true? General WATSON. No, sir; I believe not. Mr. PASSMAN. Temporary duty travel is listed at $14,000 on page 9 of last year's justification. This year you show $17,000. We are trying to reconcile a reduction where, according to your justifications, there is an increase and not a reduction. Refer to page 11, and then page 9 of last year's justifications. General WATSON. We will do that. We spent $100,000 on the travel subproject 8712. Mr. PASSMAN. Off the record. (Off the record.) General WATSON. I follow the question, and we will provide a reconciliation of this in the record. We are on line 1 of paragraph A of page 9 of last year's justifications, and we see what you are talking about. (The information follows:) Our budget justifications last year included $14,000 for an estimated 356 temporary duty trips. This was part of our total civilian travel estimate of $125,000 for 660 trips of various types. Our revised estimates based upon later experience are included in the fiscal year 1966 column of the fiscal year 1967 budget justifications. The number of temporary duty trips has been reduced to 145 but the total cost has gone up to $17,000. This is an average cost per trip of $118 as compared to $40 per trip in our original estimate. In view of austere budget position for fiscal year 1966, we are trying to get the most out of each individual trip. Also we have postponed many priority but less essential trips in order to absorb some of the civilian pay increases. Increased per diem and the increased use of commercial air transportation because military aircraft are not always available have also increased our travel costs. It is significant that our total travel costs are reduced from $125,000 to $100,000 despite the small increase in temporary duty costs. CULTURAL CENTERS Mr. PASSMAN. What has been the budget estimate and the actual program each year since fiscal year 1964 for the cultural centers, that is under subproject 8713? General WATSON. We will supply that for the record. (The information follows:) |