ed in an overall savings to the Government and better service to the public.

The increased workload from these changes, together with the increase in claims resulting from the increased check volume, necessitated the employment of 34 additional employees for the Check Claims Division.

Bureau of Customs

Although employment remained relatively constant the workload in the Bureau of Customs continued its upward trend and again reached new record highs in all major categories in 1958.

Formal entries filed in 1958 totaled 1,175,271, which was an increase of 5.3 percent over 1957. Carriers arriving in the United States, including vessels, aircraft, automobiles, trains, trucks, and other carriers, totaled 39,466,668 in 1958, which was an increase of 2.3 percent over 1957. Persons entering at sea and air ports and crossing the land borders totaled 137,673,041 in 1958, which was an increase of 5,351,854, or 4 percent over the corresponding total for 1957. Invoices received in 1958 totaled 1,822,149, which was a 2.7 percent increase over the total received in 1957. Customs' collections in 1958 were $1,121,966,901, which represented a 5.9 percent increase over 1957.

A continued aggressive management improvement program has contributed substantially toward Customs handling this increased workload. Some of the more significant management improvements

were:

1. Reevaluation of workload and staffing requirements by management inspection teams released substantial manpower in some areas of Customs activity for reassignment to other areas of increased workload. Also, improved procedures enabled existing manpower to handle increased workloads without additional personnel.

2. Customs' mail operations in New York were expanded to include ordinary and insured parcel post formerly sent to Philadelphia and Baltimore for Customs treatment. Refinements were also made in the mechanical conveyors installed in the New York Mail Division, and a similar, though smaller, conveyor installation placed in operation in Chicago. These improvements have substantially reduced the cost of processing foreign mail parcels, as well as expediting delivery.

3. A number of liquidators at New York were assigned to Idlewild Airport to assist in baggage inspection during periods of heavy traffic and to liquidate entries at other times. This program improved the overall utilization of personnel required for baggage inspection at the airport, and eliminated the need for hiring seasonal inspectors.

4. Transfer of entries between districts for tentative liquidation prevented the accumulation of heavy backlogs at certain ports that would otherwise have occurred as a result of increased workloads.

Internal Revenue Service

Employment as of January 1, 1959, was 1,193 less than on January 1, 1958. This net reduction of 1,193 in district and regional offices is

due to the shifting of processing and other work to service centers, and planned reductions in administrative and operating personnel.

In order to assist the Commissioner and other officials of the Service in the development and coordination of Service plans and policies and to conduct advanced research in tax planning, there was established the Office of the Assistant Commissioner (Planning and Research) and the Office of the Assistant to the Commissioner was abolished. This office was also given the responsibility for planning and coordinating the Service's use of electronic data processing equipment, as well as other servicewide systems development work.

The Statistics Division-formerly a part of the Office of the Assistant to the Commissioner-was transferred to the Office of the Assistant Commissioner (Planning and Research).

Among the important developments in 1958 were: (1) A work planning and control system was established which provided a basis for distribution of personnel between districts to bring about more uniformity in work programs and accomplishments, (2) an internal reorganization of the Revenue Accounting and Processing Branches in the district offices was initiated which will improve the service to taxpayers and reduce paper work, (3) the expansion of the programs of the regional service centers freed personnel for other processing tasks, and (4) the increased work accomplishments that these and other management improvements made possible.

Bureau of Narcotics

There was no changes in the Bureau organization during 1958. The Bureau's enforcement efforts continue to be concentrated on the illicit narcotic traffic at the interstate and international levels and the wholesale intrastate distribution of narcotics. During the fiscal year 1958, 1,724 cases were completed compared with 1,830 in 1957. Convictions in 1958 totaled 1,331 compared with 1,585 in 1957.

The Narcotics Training School graduated 154 State, county, and city police officers during 1958 including 2 officers from Puerto Rico and 19 from foreign countries. During 1957, 222 were graduated. The number of addicts reported for the first 11 months for the calendar year 1958 was 6,411 compared with 8,047 during 1957.

Bureau of Engraving and Printing

Further development of the modernization program indicated that the best interest of this program could be served by having all office chiefs report directly to the Director, and the Office of the Assistant Director converted to the Office of the Assistant to the Director in order to deal with specific individual high-type assignments originating from the Director's office. This change was made effective October 2, 1958.

The Office of Administrative and Maintenance Services was retitled as of March 10, 1958, to Office of Plant Facilities and Industrial Procurement to be representative of the key role played by this organizational segment in the coordination and expedition of a greatly expanded program of procurement, installation, and adaptation of printing and allied processing equipment involved in the modernization and improvement program, and the plans to keep the physical facilities of the Bureau technologically up to date.

The Office of Reproduction and Surface Printing was reconstituted as Office of Surface Printing and Ink Manufacturing as of September 19, 1958.

A change in the Bureau's organization of September 19, 1958, elevated the Engraving Division, Office of Reproduction and Surface Printing to the status of an Office thereby giving that activity representation on the Advisory Committee with the Chief participating in the formulation of overall Bureau policy. This new organizational segment was titled Office of Engraving and Plate Manufacturing to be representative of these major and extremely important Bureau functions.

U.S. Secret Service

During the calendar year 1958, the employment of the Secret Service decreased by nine persons. The total of nine represents a reduction of four agents engaged in field investigations under the jurisdiction of the Secret Service and a reduction of five in the Treasury guard force.

The total cases received for investigation increased from 35,748 in 1957 to 49,292 in 1958. The backlog of pending cases as at the close of the respective calendar years increased from 14,279 to 22,374.

In 1958 a thorough inspection was made of all Secret Service field offices, the Treasury guard force, and the White House Police. The policy of discussing fiscal, personnel, management, and investigative problems and methods of improving operations with all supervisory personnel was continued.

Bureau of the Mint

No major organizational changes were instituted by the Bureau of the Mint during 1958. The discontinuance of electrolytic refining operations at the San Francisco Mint and the subsequent change in the operation of the mint to that of a small bullion deposit receiving office and depository was completed. The General Services Administration completed the required remodeling of mint quarters adjacent to the bullion storage vaults and with occupancy of this area by mint personnel, the remainder of the building was released to the General Services Administration for occupancy by other Government agencies. The number of employees on the rolls at San Francisco now numbers 33 as compared with 159 at the beginning of the project.

The San Francisco equipment which could be advantageously used by other mint offices has been transferred and a major portion thereof installed at the new locations. This action has permitted the more equitable balancing of production and retirement of obsolete items at those mints.

Use of the modernized melting and rolling equipment at Philadelphia was extended from 1 cent bronze coins only to all domestic denominations and alloys as well as several foreign coinage alloys. Preliminary results from the extended use of this equipment were satisfactory; however, some difficulties have been encountered and are being resolved. As more experience is gained in the use of this equipment, more efficient results should be obtained which will increase the savings from the installation of the improved machinery. The processing of lend-lease silver returned to the United States from the Governments of India and Pakistan is continuing at the

New York Assay Office and it is anticipated it will be completed on or about June 30, 1959. Upon completion of this reimbursable operation, the temporary employees hired for this operation will be released.

In addition to the above special reimbursable program, the mint also produces foreign coins for other governments and domestic proof coins for sale to the public; both of these operations are performed on a reimbursable basis and during 1958 were a sizable part of the mint operating program.

U.S. Coast Guard

No major changes in organization have been effected in the Coast Guard during calendar year 1958; however, minor changes were made in definition and assignment of functions in a continuing effort to improve manpower utilization in the face of increasing workloads and expanding activities. The widened scope of activities stems, in part, from such recent statutory requirements as the passenger-carrying vessel inspections required by Public Law 84-519, the Federal Boating Act of 1958 (Public Law 85-911) and from the current expansion in the field of loran (long-range aid to navigation).

The net reduction of 97 civilians from the report of the past year was attributable primarily to a reduction in the number of lamplighters as additional minor lights were converted to automatic operation, and to seasonal workload fluctuation at the Coast Guard Yard.

The increasing interest in small boating and small-plane aviation adds to the heavy workload of lifeboat stations and makes it essential that the network of these stations be maintained in constant readiness to protect the public. The passage of the Federal Boating Act of 1958 considerably increases Coast Guard's duties in connection with law enforcement, investigation of complaints and accidents, numbering of boats and education of the boating public. In the field of merchant marine safety, the growth of the marine industry and the related increase in vessel construction, repair, and offshore drilling operations in the Gulf of Mexico have materially added to the workload of Coast Guard technical personnel.

To cope with these problems, the Coast Guard has made several new developments. The use of helicopters in search and rescue operations has shown a constant increase. Recently, a towing device has been developed enabling helicopters to take small and medium-size surface vessels in tow. A merchant vessel program has been initiated during the past year wherein existing search and rescue facilities are augmented by uniting merchant vessels into a volunteer search and rescue fleet in order to use the potential assistance of all foreign and domestic vessels within a thousand miles of our coast. Finally, the requirement for service of the growing marine industry has partially been met by further decentralizing authority to technical units in the field in the areas of greatest activity.

As in previous years the Coast Guard engaged in polar operations with the Navy. Participation in the Arctic operation on Dewline and in the Deep Freeze program in the Antarctic were among the achievements wherein was utilized the specialized experience of the Coast Guard.

ORGANIZATION AND PERSONNEL CHANGES IN THE INDEPENDENT

AGENCIES

Reorganizations, changes in the administration of Federal programs, and major increases or decreases in personnel during calendar year 1958 were reported by the agencies shown below:

ATOMIC ENERGY COMMISSION

The Commission reported that there were a number of organizational changes effected during calendar year 1958. These changes in the headquarters and field offices are set forth as follows:

Headquarters.-On July 29, the Commission established the Office of Hearing Examiner reporting directly to the Commission. This Office is responsible for conducting assigned hearings in accordance with regulations established by the Atomic Energy Commission.

Effective September 5, the Division of Organization and Personnel was abolished and its functions were assigned to the following two new units; (1) The Office of Industrial Relations is responsible for Commission policies relating to contractor personnel and industrial relations, safe working conditions, and manpower resources and requirements. The Director, Office of Industrial Relations, reports to the General Manager; and (2) the Office of Personnel is responsible for all matters relating to Government personnel administration, organization and management analysis, Commission staffing analyses and controls, and the administration of the personal services budget. The Director, Office of Personnel, reports to the Assistant General Manager

Effective October 28, the Commission abolished the Office of Industrial Development. Responsibilities formerly assigned to the Office of Industrial Development in the isotopes and radiation development field were assigned to the newly created Office of Isotopes Development. The Director, Office of Isotopes Development, reports to the Assistant General Manager for Research and Industrial Development. Commercial development functions formerly assigned to the Office of Industrial Development were transferred to the Division of Reactor Developme it.

Effective November 1, the Commission established the Office of Plans. This office is responsible for assisting the General manager in a continuing review and coordination of long-range and intermediaterange programs. The Director, Office of Plans, reports directly to the General Manager.

The Office of Operations Analysis and Planning was redesignated the Office of Operations Analysis and Forecasting, effective November 1.

An office at Brussels, Belgium, was established on November 17 to carry out the primary responsibilities of the Commission pertaining to the Euratom Cooperation Act of 1958. This office is being operated as an integrated State Department/U.S. Atomic Energy Commission office.

Field.-The Pittsburgh Area Office, formerly under the supervision of the Chicago Operations Office, was established as the Pittsburgh Naval Reactors Operations Office, effective March 15. The Pittsburgh Naval Reactors Operations Office reports to the Assistant Direc