the city would have been entitled to as civil defense matching funds had its project application for a civil defense communication system been received and approved by the Office of Civil Defense prior to procurement of the equipment. The Department of the Army in its report to the Senate committee stated that upon review, the Office of Civil Defense found that the 37 line items of communications equipment (including installation and diesel oil) for which a Federal contribution was requested meet civil defense capability requirements. The project application would have been approved if the procurement contract had not been awarded by the city prior to submission of the application to the Office of Civil Defense, regional office. In its report to the Senate committee, the Department of the Army indicated that it would have no objection to the bill if the committee found that the sum of $10,071.81 does not exceed one-half the cost to the city of El Dorado of the civil defense communication system for its emergency operating center. The sponsor of S. 1664 furnished the committee with a letter from the city manager of the city of El Dorado. In the letter dated February 5, 1968, the city manager stated that seven bids were received for the electrical contract and two firms submitted bids on the radio communication contract for the city's public safety building. The contract was awarded to Shelley Electric Co. in the amount of $27,568 for the electrical work, and a coutract was awarded to Graham 2-Way Radio Co. in the amount of $10,796.85. In further amplification of the circumstances of the case, the committee was furnished with the following letter addressed to the sponsor of an identical bill in the House, H.R. 9748. The items included in the project and the actual expenditures as of the date of the letter are detailed and serve to indicate the expenditures to date on this particular project. Hon. JOE SKUBITZ, U.S. House of Representatives, THE CITY OF EL DORADO, DEAR CONGRESSMAN SKUBITZ: Your office has indicated that there may be some concern expressed by the House of Representatives in that the city of El Dorado will have matched the $10,071.81, provided by S. 1664 for "A civil defense communication system installed in the El Dorado emergency operating center located in the new Public Safety Building, for civil defense purposes." The following excerpt is taken from Mayor Martens' letter dated July 6, 1965, to W. G. Paramore, Civil Defense Section, State of Kansas. "The net result of this is that the Civil Defense has lost the service of an admittedly effective communication system and the city of El Dorado has lost the matching funds which could have made this system even more effective, not only for our city, but for Butler County and surrounding areas. The funds which we hoped to receive from Civil Defense were not to be used just to reduce the local costs of this project, but rather for the expansion and refinement of the proposed H.R. 1151 * * countywide emergency communication system. * We would not expect to receive matching funds for any item which does not meet Civil Defense standards. To emphasize this, we have funds available to pay for any item which now is in the contract. With or without matching funds, we will proceed to install the basic communication. system as approved by Civil Defense. Missing due to a lack of funds, however, will be an auxiliary power supply which actually is the key to the effective operation of an emergency communication system *** Based upon the present position of Civil Defense, it appears that our only alternative now is to proceed in the best way possible to fulfill the commitment to our community to provide modern and effective emergency facilities and services. Failure to receive matching funds from Civil Defense will not keep us from meeting this obligation, but it will delay the time schedule and burden the citizens of El Dorado with a higher cost." As is indicated above, the city has, over the last 22 years, expended funds as they became available toward eventual completion of the proposed project. Actual expenditures to date are as follows: Basic radio contract, completed Dec. 6, 1965, Graham 2-Way Radio. $10, 796. 85 Onan LTC 100-24X 100A 270/480/3, 4-wire transfer control panel, installed as part of electrical contract by Shelly Electric_-_ BD-2223-DB gain antenna for 148 me. high band system installed by Graham 2-Way Radio invoice 20107, Dec. 13, 1965. Frequency change by Graham 2-Way Radio... 907.98 490.00 412.55 Intercommunication speaker to Civil Defense Communications Center, Graham 2-Way Radio, invoice 20965, Jan. 30, 1966.... 71.25 78.90 23.85 12.781.38 2 remote speakers for intercommunications system, Graham 2-Way Radio, invoice 2006, Dec. 30, 1965. Civil Defense warner system panel, Graham 2-Way Radio, invoice 22139, Apr. 8, 1966. Total___ We believe that the following equipment was not included on the original application for funds. This equipment has been purchased and is in service, as a part of the Civil Defense network: 1 MT 56 TCS 66 GE mobile radio 2-frequency transmitter with simultaneous monitor, Graham 2-Way Radio, Dec. 20, 1965 1 MT 56 TAS 66 mobile radio with S.M.I. power call, Graham 2-Way Radio, Mar. 4, 1966 1 HN 36 LAS Portamobile radio, Graham 2-Way Radio, Sept. 19, 196610 Portaradios mobile radio and base section (communications with C. B. Club and Salvation Army emergency unit), Graham 2-Way Radio, Mar. 15, 1967....... 2 RG 64TA S66 mobile radios with Federal PA, 15 public address systems and CJ-24 speakers.. Total $882.45 896. 10 686.67 795.00 1, 834. 00 5, 094. 22 H.R. 1151 City financial resources to date have not allowed the purchase and installation of the following items which were set out in the original application for matching funds: Item Onan 300 DEC-4X RB 277/480/60-3 4-wire diesel engine driven generator with starting battery. Instrument panel with a.c. amp meter, volt meter, running time meter, phase selector switch.. Estimated cost $5,489.65 139. 86 119.94 50.40 89.60 184.80 158.76 480.81 80.00 6, 793. 82 735. 00 63. 00 32.00 52.50 785.00 516F-2 110-a.c. power supply Spare crystals. E. F. Johnson No. 250-30-3 antenna matching network. Key-Johnson No. 114-100-3 antenna matching network.. Headset microphone combination, 3 sets, Clevite brush No. ED-400 at $44.50.. Beam-Hygain model TH-6-DX CDR Ham-M heavy duty rotator. Estimated 200-foot co-ax cable at $0.22 130. 00 52.50 154. 50 8.50 133. 50 139.50 117. 11 4-4. 00 19.80 12.50 23.50 Total radio equipment for statewide civil defense network.... 2, 502. 91 Total estimated cost civil defense communication network... Anticipated by city of El Dorado cost. 22, 078. 11 5, 094. 22 27, 172. 33 10, 071, S1 17, 100, 52 Should the House approve S. 1664, thus allowing the Secretary of Treasury to disburse $10,071.81 to the city of El Dorado, the city will proceed forthwith to install both the emergency power supply and the remaining radio equipment herein specified. Should the Congress not see fit to approve this disbursement, the city will, during the next 3 years, purchase the equipment with ad valorem property tax funds. It is our hope that the House will see fit to approve S. 1664, thus allowing installation of this equipment prior to this years' "tornado season." If I can provide further information which will be helpful in this matter, please contact me. Thank you for your cooperation. Sincerely yours, DAVID H. DOTY, H.R. 1151 The recapitulation shown above indicates that $12,781 has been expended in the purchase of equipment and the current cost estimate of the balance of the equipment is $9,296.73. As is noted in the departmental report, the Federal contribution would have been limited to one-half of the city's expenditures for approved items. The committee has, therefore, determined that an equitable adjustment of the matter can be made by requiring that the city pay for the items covered by the project application and approved by the Office of Civil Defense and that those items be installed prior to payment of the amount authorized in the bill. This is the purpose of the language added to the bill by committee amendment. It is felt that with these requirements, the city will qualify for the payment in the same manner that it would have had the project application been filed and approved in the proper manner. It is recommended that the amended bill be considered favorably. Hon. EMANUEL CELLER, DEPARTMENT OF THE ARMY, Washington, D.C., November 24, 1967. Chairman, Committee on the Judiciary, House of Representatives, Washington, D.C. DEAR MR. CHAIRMAN: This is in reply to your October 2, 1967, request for a report on H.R. 9748, a bill for the relief of the city of El Dorado, Kans. The proposed legislation would provide the city with Federal funds for a civil defense communications system installed in the El Dorado emergency operating center. In January 1965 the city notified the State of plans for the inclusion of a civil defense communications system in the center to be constructed during 1965. On being informed by the State that all but one item of listed communications equipment would qualify for matching funds under the Federal civil defense program (50 U.S.C. App. 2281), the city proceeded to award the procurement contract. When Federal personnel were contacted regarding possible Federal assistance, they found that procurement had been initiated prior to Office of Civil Defense receipt of the project application. Published regulations of the Office of Civil Defense (32 C.F.R. 1801.8(a)) provide for submission and approval of the project application prior to procurement of the equipment. Accordingly, the project application was disapproved by the Office of Civil Defense and returned to the State. Upon review the Office of Civil Defense has found that the 37 line. items of communications equipment (including installation and diesel oil) for which a Federal contribution was requested meet civil defense capability requirements. The project application would have been approved if the procurement contract had not been awarded by the city prior to submission of the application to the Office of Civil Defense, regional office. However, in the absence of legislation, there is no way that the city of El Dorado can now receive Federal matching funds for one-half the cost of the communications equipment. The Office of Civil Defense is prohibited from making retroactive Federal contributions toward obligations incurred or expenditures made by the States (and political subdivisions) prior to the beginning date of the Federal appropriation available for obligation. (31 Comptroller General 308; 32 C.F.R. 1801.8(b).) II.R. 1151 The project application totaled $20,143.65 in estimated costs for 37 line items, Federal sfare $10,071.82. If the project application had been received and approved by the Office of Civil Defense prior to procurement, payment of the Federal contribution would have been limited to one-half the city's expenditure for the approved items. In addition to that regarding expenditures, a certification as to labor standards and advertisement to bid (with Federal share limited to one-half the lowest acceptable bid) requirements would have been required prior to payment of the billing for the Federal share. There having been no approval, such information was not received by the Office of Civil Defense. If the committee finds that the sum of $10,071,82 does not exceed one-half the cost to the city of El Dorado of the civil defense communications system for its emergency operating center, the Department of the Army has no objection to enactment of the bill. The Bureau of the Budget advises that, from the standpoint of the admininstration's program, there is no objection to the presentation of this report for the consideration of the committee. Sincerely, STANLEY R. RESOR, The report of the Department of the Army to the Senate Judiciary Committee dated March 3, 1966, is as follows: DEPARTMENT OF THE ARMY, Washington, D.C., March 3, 1966. Hon. JAMES O. EASTLAND, DEAR MR. CHAIRMAN: This is in reply to your September 16, 1965, request for a report on S. 2510, a bill for the relief of the city of El Dorado, Kans. The proposed legislation would provide the city with Federal funds for a civil defense communications system installed in the El Dorado emergency operating center. In January 1965 the city notified the State of plans for the inclusion of a civil defense communications system in the center to be constructed during 1965. On being informed by the State that all but one item of listed communications equipment would qualify for matching funds under the Federal civil defense program (50 U.S.C. App. 2281) the city proceeded to award the procurement contract. When Federal personnel were contacted regarding possible Federal assistance, they found that procurement had been initiated prior to Office of Civil Defense receipt of the project application. Published regulations of the Office of Civil Defense (32 CFR 1801.8 (a)) provide for submission and approval of the project application prior to procurement of the equipment. Accordingly, the project application was disapproved by the Office of Civil Defense and returned to the State. Upon review the Office of Civil Defense has found that the 37 line items of communications equipment (including installation and diesel oil) for which a Federal contribution was requested meet civil defense capability requirements. The project application would have been approved if the procurement contract had not been awarded- by the H.R. 1151 |