Evening star., 1937-06-01
House Reorganization Com
mittee Favors Direct
Appropriation.
REST OF PROGRAM
COVERED IN 3 BILLS
Senator Byrd Urges Congress
Keep Control of Finance,
Proposing Committee.
BY WILL P. KENNEDY.

Immediate compliance with Presi-
dent Roosevelt's reorganization de-
mand for an increased Secretariat for
the White House was decided on to-
day by the House Reorganization Com
mittee. An effort will be made to put
through this part of the President S
recommendations by direct appropria-
ton, instead of through substantive
law authorizing such appropriation.
The House committee unanimously
agreed to divide the rest Of the reor-
ganization program into three bills,
provided agreement could be reached
on the type Of bills"
Chairman Cochran announced the
measures will be:
Il. A bill to cover the recommended
tions creating two new departments
and giving the President power to re-
organize, consolidate, eliminate such
existing agencies as the committee
should agree upon.
%. A bill covering the recommen-
dations affecting the civil service.
"3. A bill covering the Controller
Generals Office, including the Gen.
eral Accounting Office
Explanation by Cochran.
In explaining the decision regard
ing the White House secretariat and
tho offnrt $n ouniI cihcf 70 lo,,
this subject, Chairman Cochran said
"A subcommittee of three men,
bers-Cochran, chairman; Vinson
Democrat, OF Kentucky. and Taber
Republican, Of New York-was ap-
pointed to consult with the Bureau
Of the Budget with view. if 1t can
be done legally, to have the proper
letter sent to the Committee on APP
propriations, requesting the appro-
priation Of sufficient amount te
take care Of the additional help rec
commended by the Presidents COM
mittee for the White House staff
This additional help will be subject
to the classification act, the appoint
ments made by the President through
the Civil Service Commission"
Meanwhile, Chairman Byrd Of the
Senate Reorganization Committee
proposed setting up OF financial ad-
ministration committee. composed Of
member Of Congress and representa-
tive f1'.ancial officers. with an auditor
general acting under its approval,
having pre-audit authority and the
power to force Federal agencies to
comply with administrative and re-
porting systems prescribed by him.
The auditor general would be required
to make comprehensive report TO
each session Of Congress on the Gov
ernment's financial condition and
operations.
Byrd proposes to abolish the Treas
ury Departments division for dis
bursting and accounting for emergency
expenditures, whose pay roll and other
administrative obligations in the last
fiscal year amounted to s12,412,7 1896.
Introduces Two Bills.
In a resolution and two bills intro
duced today Byrd called on the Presi-
dent to f1ll the Office Of director of
the budget (vacant since 1934) in
the interest of efficiency; propose to
strengthen both the budget accounting
systems and to abolish the Recon-
struction Finance Corp, effective
January /, 1898, and to transfer its
functions to existing agencies. This
agency's budget for the coming year
totals $9,5OO,oOO.
THE major purpose of the resolu-
ton and one of the bills" Senator
Byrd said, "is to strengthen and
clarity the established theory of the
Governments financial administra-
ton" He seeks to strengthen the
Budget Bureau, in the interest of eff
cheney "by removing the bureau from
its anomalous structural position in
the Treasury Department to an inde-
pendent status directly under the
President, and by broadening appli-
cation of civil service laws and reg
ulations to bureau employees"
Chairman Byrd, who is sponsoring
a series Of legislative measures for a
co-ordinated reorganization to achieve
very substantial economy in costs of
Government and greater efficiency,
explain that he aims to strengthen
what is now the independent General
Accounting Office and to clear away
confusion which has attached to that
oh1ce. His bill would change the name
to "the Office Of Audit and Settle
ment," to avoid confusion in the use
Of the words accounting" and "con-
troll" He proposes to eliminate fric-
ton by means of the Financial Ad-
ministration Committee The bill
would make administrative officers re-
sponsible for the legality of their ex-
penditures and encourage them to
make use of the Offices pre-audit au-
thority.
Based on Brookings Report.
In addition to these provisions Of
the financial administration bill,
which are based entirely on the report
Of the Brookings Institution, it further
provides that the control exercised
over the other agencies of the Gov
ernment shall be extended to Federal
corporations In which the United
States owns all or q majority Of the
capital stock. Another provision Of
the bill, In addition to those recon-
mended in the Brookings report, would
allow an agency head to appeal to the
Court Of Claims, from a decision Of
the auditor general rendered upon his
request.
20l Ice CuEn H0ATc