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Senator ALLOTT. This seems to be a growing situation and particularly on our college campuses.

Dr. GODDARD. If it were limited to the college campuses I think it would be much easier to get at it, but it is much broader than that. We don't really know the true extent of this problem, but the extent of the diversion can be measured in these terms: Of the 10 billion pills in this category which are manufactured, an estimated half of them find their way into the illicit market, so you see there is a great amount of diversion going on.

Senator ALLOTT. Are they not required to be given only upon a doctor's prescription?

Dr. GODDARD. That is correct, sir, but they are now being sold illegally without doctor's prescriptions and are being misused.

The act would require every person who handles these, the manufacturing, the wholesale, the distribution end of the business to maintain adequate reports showing the date and amount received, the name of the product and its dispersal.

Senator ALLOTT. So you could check with any wholesaler, for example and be sure that his records indicated they were going into a legitimate channel, we will say, of drugstores and you would have to check with drugstores to be sure that their drugs were going into legitimate channels, too.

This was just called to my attention recently, and I was shocked by the facts that were given to me.

Dr. GODDARD. It is a serious problem.

Senator, I have not answered your previous question and I wish to be responsive. You asked what effect delay in providing us with these positions would have. I think it would seriously handicap us in accomplishing our missions that are aimed at protecting the public, not only in drug abuse control, but in the safety and efficacy of drugs as well.

NEW ACTIVITY AND PROGRAM

Senator HILL. It was just last year, was it not, that you were given the authority and powers you now have, and you were operating in the field of drug abuse that we are talking about.

Dr. GODDARD. That is correct.

Senator HILL. We gave you a supplemental last October.

Dr. GODDARD. The laws became effective February 1, Senator, so this is a new activity and program. We have been carrying out activities with our regular investigative staff for quite a few years, but this has been on the basis of working along with the other priority items. It has not been a program that has received the emphasis that it deserves, but I should say we have considerable experience in this field.

Mr. KELLY. That also leads to the consideration of the existing vacancies and whether or not you should defer adding new jobs until the vacancies have been used.

Senator ALLOTT. As I understand your answer, what you are saying is simply this: That although you cannot fill your vacancies now, based upon your projected activities for, say, the last quarter of 1967, and looking at the categories you have to fill, you have to know now that you are going to get them in order that you can get them by that time or subsequently.

VIGOROUS RECRUITMENT ACTIVITY

Dr. GODDARD. Yes, and as I have indicated to you, we have a very vigorous recruitment activity. As I say, we already have 200 positions committed out of the 800.

Of the remaining 600 vacancies, over 100 positions in the Bureau of Medicine can be filled by transfer of Public Health Service officers in to our activities. This is equivalent to the turnover rate, so I think we will be in good shape. It would seriously handicap us because of the need for leadtime in our recruitment program.

Senator ALLOTT. In response to my previous question, when you were talking about college graduates, I was speaking of people at the bachelor level and not people with their master's degree.

Dr. GODDARD. That is correct. We work largely with the bachelor level student who has a major in chemistry or the bioscience area. Senator ALLOTT. That is all I have.

Senator HILL. Doctor, we want to thank you very much. We appreciate your fine statement and we appreciate the work of your fine staff.

OFFICE OF EDUCATION

STATEMENTS OF HAROLD HOWE II, COMMISSIONER OF EDUCATION; ARTHUR L. HARRIS, ASSOCIATE COMMISSIONER FOR ELEMENTARY AND SECONDARY EDUCATION; PETER P. MUIRHEAD, ASSOCIATE COMMISSIONER FOR HIGHER EDUCATION; RICHARD L. BRIGHT, ASSOCIATE COMMISSIONER FOR RESEARCH; JOHN R. LUDINGTON, ACTING ASSOCIATE COMMISSIONER FOR ADULT AND VOCATIONAL EDUCATION; NORMAN KARSH, ASSISTANT COMMISSIONER FOR ADMINISTRATION; JOE G. KEEN, BUDGET OFFICER; AND JAMES F. KELLY, DEPARTMENT COMPTROLLER

Comparative statement of the Appropriations for fiscal year 1966, and the estimates for fiscal year 1967-Office of Education, Department of Health, Education, and Welfare

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1 In addition the following requests for program costs in 1966 under existing legislation are anticipated by the President's budget and not reflected above:

Expansion and improvement of vocational education.
Elementary and secondary educational activities.
Higher educational activities...

Defense educational activities..

$1,000,000 184, 000, 000 24, 200, 000

2 The President's budget indicates that, if proposed legislation is enacted, request will be submitted for supplemental appropriations for 1967, as follows:

-$34, 187, 000

PROPOSED 1967 BUDGET

Senator HILL. Commissioner Howe, Commissioner of Education. We are glad to have you here and we welcome you. You may proceed in your own way.

Mr. Howe. Mr. Chairman and members of the committee, I welcome the opportunity to appear before you today to present the proposed 1967 budget of the Office of Education. As you know, this will be my first presentation to you of the total program that I have been asked to administer. It is a program that, in large measure, you

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gentlemen have helped to shape. It is a program that attempts to meet universally acknowledged needs. And it is a program which certainly constitutes a central portion of the administration's effort to achieve a society to which all citizens contribute and in which each citizen can live with freedom and purpose.

We have witnesses with us today who will present to you the details of each of our appropriations. However, before we begin, I would like to give you an overview of our total program, of what we are doing and of what we are hoping to do in the forthcoming fiscal year. I hope that this will help to place in perspective the discussion of individual program elements which will follow. In presenting these introductory remarks, I am aware that many of you have participated over the years in the developments I shall discuss, and that you are more familiar than I with many aspects of them. I shall, therefore, make my observations brief.

AMOUNT OF REQUEST

The 1967 budget for the Office of Education contains 15 separate appropriations, and will support more than 100 individual programs. Our total request for 1967 amounts to $3,491,261,000. On the assumption that the Congress will approve our presently contemplated 1966 supplemental appropriation requests of $209,200,000-an assumption which we hope is a valid one-our 1967 funds will reflect an increase over 1966 of $265,187,000, or approximately 7.5 percent. This budget and the budget which preceded it constitute what might be termed a near revolution in the fiscal role of the Federal Government in the support of education in the United States. Our total budget for fiscal year 1965 was $1.5 billion. In 1963, it was $652 million.

During the coming year the central task of the U.S. Office of Education will be to meet the challenge the Congress has set for it in the legislation of the last session. This will not be easy. As President Johnson has said, the 89th Congress made educational history. Our job is to continue to write that history in accordance with the principles the Congress has laid down. Particularly in the area of Federal-State relationships in education, we have been and will be writing new chapters of history. We are determined that they shall reflect a constructive, growing partnership between State and Federal agencies and that the Federal partner shall not dominate or control. We are determined also to carry out our responsibilities for administration of the acts Congress has passed so that the principles laid down in them are given careful attention and so that the intent of Congress is carried through.

EFFECTS OF NEW LEGISLATION

My own work in education in North Carolina for the past several years has given me the chance to see the beginning effects of the new legislation for which I am now responsible. At the State level and in local communities the impact of new energy available from Federal sources is clearly apparent. School people and community leaders are actively going about the business of planning for effective use of the new funds and in many places new programs are actually underway. My judgment of what I have seen and heard is that the legislation you have passed and funded, and for which we here ask continued funding, is beginning to have its intended effects.

It is too early for us to present to you any comprehensive evaluation of the results of the Elementary and Secondary Education Act and the Higher Education Act. But I do want to assure you that there is much hopeful activity already launched. We shall be evaluating the results of this new legislation, and we shall be reporting to you in the years ahead, the outcome of our studies.

I would make one further general observation. It is that we need to keep a balanced view of our diverse educational system in this country. It is a system which has many problems and many shortcomings, it leaves many of our people without the services they require. All of us in education concede the need for improvement and we are working hard to provide it.

But criticism of this kind is only part of the story. The other part is that no other country in the world has expected so much of education and received so much from it. We have good schools, strong colleges, and dedicated educational leaders who are striving for quality. As we focus our attention on the aspects of education which the Federal Government is joining the States to improve, we should not forget the achievements of our schools and colleges. After all, our Nation is the product of our people, and our people are the product of our schools.

Now with your permission, I would like to focus a little more closely on the appropriations requested for fiscal year 1967. There are many ways to look at the programs for which we are responsible. Knowing that you will wish to discuss each requested appropriation in detail, we thought that it might be helpful for purposes of an overview to group our requests in certain broad categories.

FUNDS FOR OPERATIONAL SUPPORT

Roughly half of our dollars in fiscal year 1967 will be used for the direct, operational support of educational services, through local school districts, through public libraries, and through institutions of higher education. This major proportion of our funds, amounting to approximately $1.8 billion, will provide for support of educational activities during fiscal 1967, in contrast to the future benefits of construction and research funds.

Chief among these federally supported activities is the assistance to educationally deprived children. We are aiming to improve the educational opportunities of some 7.5 million children from low-income families. Approximately $1.2 billion will be for this purpose. In addition, 5.8 million students will be enrolled in vocational and technical education programs; public library services will be made available to 2.5 million people currently without any such resources; developing institutions of higher education will be helped by providing funds for cooperative arrangements with more established and developed institutions; and a new emphasis will be directed toward the solution of community problems through the recently enacted community services and continuing education program.

CONSTRUCTION OF FACILITIES

In fiscal year 1967, over $863 million, or 25 percent of our budget, will be directed toward the construction of facilities. These con

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