Evening star., 1937-01-12


roughly pricked out. The present
commissioners as body would assume
the status OF a judicial section. The
present staff Of the commission under
a responsible administrative chief
could, with a minimum OF disruption,
be nodded into an administrative sec
ton. 1t Is difficult to see how the
transition could be very disturbing or
why the plan should not work smoothly
and efficiently.
E. GOVERNMENT CORPORA
TIONS.
Recommendations
Our recommendations on Federal
corporations may be summarized as
follows:
/. Business corporations" should be
placed under special supervisory agen-
cies to be set up in appropriate de-
partments of the Government TO give
continuous and careful scrutiny TO
their affairs. These agencies should
be provided with the special equip
ment and staff necessary to supervise
competently the particular field In
which the corporations operate.
2. Each governmental corporation"
should also be placed under a super
visory agency in an appropriate de-
partment. In addition, there should
be continuing authority in the Presi-
dent to place such corporations under
civil service, under other rules regard
ing personnel, and to apply such over
all governmental controls as may be
found advisable in each case in the
fields Of budgeting, accounting, audit,
and the issuance of obligations.
3. Where 1t is desirable to preserve
the independence of the supervisory
agency. it should be given semi
autonomous status in a department.
The single responsible administrator
at the head Of supervisory agency
is preferable to the board form. The
head of the supervisory agency should
appoint the boards Of directors OF
corporations in the case OF boards
which have Government representa-
ton. II heads Of supervisory agencies
are to exercise an independent review
of corporate activities, they should
not be directors of corporations they
supervise.
4. The boards OF directors Of corpo-
rations in turn should not attempt to
divide management work among them
selves but should assign the task of
corporate administration to presi-
dent or general manager who reports
to them. Interdepartmental commit
tees in charge Of corporate activities
have not been successful and should
be avoided. Responsibility is either
assumed by one department or is en-
tirely diffused. Ex-officio designation
OF specific public officers as board
members is undesirable and should be
discontinued.
With these safeguards we are con-
vinced that the corporate form can
continue to be used as valuable in
strument in effectuating public policy.
REORGANIZATION AND AD-
MINISTRATIVE MANAGEMENT
Modern management under respon-
sible leadership is the keynote of the
reorganization herein recommended.
This is to be achieved through placing
all administrative agencies under IL
major departments. These depart
ments may be set up by the Congress
and all of the administrative work of
the various agencies of the Govern
ment brought into them or into the
three managerial agencies of the
President by executive order, after
careful examination of their work,
their needs and their personnel. The
responsibility for maintaining con-
tinuously an efficient and manageable
organization within the framework of
the broad policies outlined by the
Congress is to be placed direcly upon
the President, since 1t is continuing
executive function. The Executive
should be given the essential tools
for modern administrative manage
ment and at the same time should be
made more effectively accountable to
the Congress.
In this reorganization of the Gov
eminent every administrative activity
should be set up with single respon-
Sible head. Boards should not be bur-
dened with administration, but should
be continued for advisory, corporate
and quasi-judicial purposes. This
would require the separation of the
administrative and judicial functions
of the independent regulatory agen-
cies. Their administrative work would
be transferred to a regular department
and the board or commission would
be continued within the department to
deal with the judicial work.
All Government corporations should
likewise be brought under supervision
and control through transfer into
regular departments. They should be
established therein as semi
divisions, with extension to them of
such budgetary, financial and per-
sonnel supervision or control as may
be appropriate in. .any given case.
With the entrance into the depart
ments of the multitude of agencies
now floating around or loosely in
dependent, the departments them
selves will require internal reorganiza-
ton. It is suggested that the de-
partments should follow the general
pattern recommended for the Govern
ment as a whole Each department
should have at its head a member OF
the cabinet. Working under him in
policy posts there would be a small
number of men of his own selection
and a group of technical advisers
The operation of the department
would be carried on through bu-
reaus and emi-autonomous agencies
manned throughout by civil servant,
and under the administrative super.
vision Of q career executive officer.
BY such . reorganization the hsadl