Evening star., 1939-04-25
New Battle in
Congress Is
Looming
Tert OF the Presidents letter
transmitting his first reorgant:a-
tion order to Congress on Page
AS.
By ], A, O'LEARY,

BY ]. A. OLEARY.
In his first reorganization order to
Congress today. President Roosevelt
recommended merger of scattered
units of the New Deal into three
major independent agencies. to-
gether with an unexpected regroup-
ing of budget and research work
under his own supervision at the
White House
Many of the alphabetical activi-
ties created under the Roosevelt ad-
ministration, together with some
long established bureaus, would be
brought together into a Federal Sc
curity Agency, Federal Works
Agency and a Federal Loan Agency.
The President estimated the saw
ings in administrative cost at be-
tween 100000 and S2OO0O,OO0
year, a more modest amount than
some members of Congress had ex-
pected when they first learned of
the program yesterday.
Who will head each of the three
new agencies is an interesting ques-
ton which remains unanswered for
the present The three agency heads
are to be appointed by the President
and confirmed by the Senate. if the
plan goes into effect. Each would
receive sl2 1000 a year.
The big question at the Capitol
this afternoon was whether any
member of the House or Senate will
introduce a resolution of disap-
proval.
Under the Reorganization Act, if
40 opposition develops, the Presi-
dents plan would become effective
at the end of the so days without
the necessity of any affirmative ac-
tion. Once resolution of disap-
proval is introduced in either body,
however, it must be acted on
promptly both in committee and on
the floor. Special rules limiting de-
bate on such a resolution are set
forth in the Reorganization Act.
Later Proposals Expected.
Although old-timers in Congress
felt that three or four separate
orders would have stood a better
chance of going through. the Presi-
dent put all of the four-point pro-
gram into one order.
This will make it easier for op-
ponents of different parts of the
plan to unite forces, as they did
last year in killing the administra-
tion's far-reaching original reor-
ganization bill
While todays order is a four
point program, the President gave
notice in his message that other
reorganization proposals may follow
from time to time. Mr.. Roosevelt
listed three objectives to be sought
by ACKNOWLEDGEMENTS of
overall management, to improve the
ALLEGATION of departmental activi-
ties, and to improve management
within each department. Each of
these three steps. he said. may re-
Quire one or more additional orders
from time to time.
Senator Byrnes. Democrat. of
South Carolina. co-author of the
Reorganization Act and close student
of work relief problems. called the
plan "a good order" and predicted
~ WOulu 90 tnlOugn.
Makeup of Three Agencies.
The component parts of the three
new agencies are set forth in the
order as follows:
Federal Security Agency-Social
Security Board. now independent;
United States Employment Service
now in Labor Department.; Public
Health Service, now in Treasury;
National Youth Administration, now
q part of w. P A., and Civilian
Conservation Corps
Federal Works Agency-Bureau of
Public Roads, now in Agricul-
ture Department.: Public Build
ings, Branch of the Treasury, Pro-
curement Division: building manage
ment branch of the National Park
Service Gn relation to buildings il
operates for other departments
United States Housing Authority
now in Interior, and Public Works
Administration. now in Interior
w. P. A., now independent, is trans.
ferred to the new agency, but with
its identity retained for the time
being under the title of Work PROF.
ects Administration. 1t would be 6
subordinate unit of the Work;
Agency.
Federal Loan Agency-Recon-
struction Finance Corp. Electric
Home and Farm Authority, Fedora
Home Loan Bank Board. Fedora
Housing Administration and asso.
ciated agencies and boards. includ-
ing the Export-Import Bank Of
Washington.
Transferred to Agriculture.
Other independent lending agen-
cies set up since 1916 are transferred
to the Agriculture Department be-
cause, the President explained they
deal directly with that phase OF
Government. These are:
Farm Credit Administration, Fed
eral Farm Mortgage Corp. and Com
modify Credit Corp.
The agencies that would 60 un-
(See REORGANIZATION, Page A-4)