Evening star., 1948-04-11
Bill 10 Tighten Control
Over GSI Drafted by
Senate Subcommittee

Legislation to bring Government
Services, Inc, under more complete
Federal control in its operation of
food and entertainment facilities on
Government property is being
drafted by a Senate Civil Service
subcommittee.
Details of the proposed measure
we're not disclosed. But a new SUBJ
committee report on the long in
vestigation of GSI clearly indicated
some changes would be proposed in
the status of the corporation.
Foremost among the recommen-
dations is expected to be establish
ment by law of a clearer contrac-
tural relationship between GSI and
the Government.
The subcommittee, headed by
Senator Baldwin, Republican of
Connecticut, indicated its approval
of such a recommendation made
by the General Accounting Office.
Document Is Released.
The subcommittee released last
night a 131-page printed document,
carrying complete text of the GAO
audit of GSI for the period January
l. 1927, to December 81, 1945. The
GAO report itself had been dis
closed late last year. But the SUBJ
committee made pertinent COM
ments in it's own analysis of the
audit and indicated further action
would be forthcoming.
Senator Baldwin told the press
that final report of the COM
mittee would be made later and
would contain specific recommends
tions of his group. He did not
indicate what these proposals would
be. They will be the outgrowth
of hearings early last year.
Legislation is being drafted now
for the subcommittee it was learned
An informed source predicted it may
follow at least some of the recon-
mendations of the GAO audit.
GAO Audit Is Cited.
One of the issues running
throughout the GAO audit centers
on the fact that officers of GSl
also are government officials.
The Baldwin subcommittee indi-
Gated its general attitude towards
this issue when it declared in its
final sentence of commen on the
GAO report:
GAO feels rightfully that there
should be arms length dealing be-
tween Government and GSI.'
This word "rightfully" was said
to be a key to the subcommittee S
intentions on new legislation.
More specifically pointing to the
new bill are a number of points by
which the subcommittee analyzed
recommendations of GAO on the
contractural relationship between
the Government and GSI. Among
them were:
Creation of the position of comp
troller who would be responsible for
the technical supervision and direc-
ton of the complete accounting sys-
tenn and who would be responsible
would be new position and would
have to be created by the bylaws.
Would Combine Duties. "
consolidation of the duties of
secretary and treasurer. In the
present plan the duties of secretary
are combined with those of general
manager and the Office of treasurer
is separate, GAO holds that the
Office of general manager requires
tull time and therefore the functions
OF the secretary are neglected.
The treasurer's Office would super
wise the receipt and disbursement of
all money and would report directly
to the board of trustees. That
position has been created and Her.
bert Willett jr., former head of the
Community Chest and Community
War Fund, has been named Sec
retary-
Change in the title of president
vice chairman and withdrawing
from them the right to authorize
contracts.
Adequate property accounting
control"
The Baldwin subcommittee fur
ther recommended that the GSl
president should assume the execu-
tive and administrative duties now
performed by the general manager
and should be full time paid en-
ployee.
The Baldwin report declares the
conflict between the Recreation
Board and GSI over recreation
facilities should be resolved "b,
legislative enactment"
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