LETTER OF TRANSMITTAL U.S. SENATE, Hon. JOHN L. MCCLELLAN, May 14, 1959. Chairman, Senate Committee on Government Operations, MY DEAR MR. CHAIRMAN: There is attached for your consideration a letter addressed to the Honorable John Foster Dulles under date of January 9, 1959, relative to a study made by the staff of the Committee on Government Operations into some of the problems confronting a number of the U.S. Embassies and consulates in Western Europe. The report from Mr. William B. Macomber, Jr., Assistant Secretary, Department of State, dated May 8, 1959, incorporated herein, sets forth details concerning realty problems at Paris, London, and Geneva. This information was submitted in response to the request made by me, as chairman of the Subcommittee on Reorganization and International Organizations, based upon reported deficiencies in operations or the need for administrative actions as developed by members of the staff, following consultations with Government officials in the course of an official committee trip to Europe in November-December 1958. There is also included a report from the Department of the Treasury relative to the present utilization of local currencies and their possible availability for utilization in connection with the development of the proposed foreign service buildings programs. The information contained herein should prove to be of value to Members of the Congress, and particularly to those who are members of the Committees on Appropriations and of the Committees on Foreign Relations of the Senate and Foreign Affairs of the House of Representatives. The attached material is, therefore, submitted to you for your consideration for printing in the form of a committee print for this purpose. Sincerely yours, HUBERT H. HUMPHREY, Chairman, Subcommittee on Reorganization and International Organizations. III FOREIGN SERVICE BUILDINGS OPERATIONS U.S. SENATE, COMMITTEE ON GOVERNMENT OPERATIONS, SUBCOMMITTEE ON REORGANIZATION AND January 9, 1959. DEAR MR. SECRETARY: The Subcommittee on Reorganization and International Organizations of the Senate Committee on Government Operations, of which I am chairman, recently made a brief study of some of the problems confronting a number of the U.S. Embassies and consulates in Western Europe. Special attention was given to the feasibility of effecting necessary improvement of embassy, consular and staff buildings, facilities, and services in Paris, Geneva, and Berlin through the use of foreign currencies and credits. This study was based on a staff report submitted to this committee in 1952, following an intensive investigation into the public buildings and housing situations then existing in Paris and other Western European nations. At that time the staff recommended that much of the property then owned by the U.S. Government in Paris could be sold to advantage and the proceeds therefrom applied to the construction of new and modern buildings that were then badly needed. It was further recommended that any deficiencies that might develop through implementation of comprehensive programs in these areas could be covered by the expenditure of French francs in the form of counterpart funds. Another recommendation of the staff in 1952 was that counterpart funds be utilized for the building of apartment-house units for use of foreign-service personnel, in lieu of the dollar-subsistence allowances to cover the increased cost to such employees in the Paris area. In a recent survey made under my direction, as chairman of the Subcommittee on Reorganization and International Organizations, it was developed that practically nothing had been accomplished during the past 6 years to carry out these objectives, except in London and Madrid. It appeared further that the situation in Paris still remains deplorable, progress being limited to purchase of two apartment buildings and certain other units in cooperative apartment structures in or near Paris. According to information developed by the subcommittee, the latter procurements are still inadequate to the needs of our Government and, by continuing to pay cost of living differentials in dollars to foreign-service personnel, it is doubtful that the U.S. Government is taking full advantage of large sums of foreign currencies which could be made available to correct this situation if appro priate requests were made by the Department of State and approved by the Congress. In order that the subcommittee may submit a complete and accurate report regarding this situation to the jurisdictional committees and interested Members of Congress, I am writing to request the following information relative to the status of some of the public buildings operations and programs in the European area: PARIS, FRANCE Extension of Embassy and staff-office facilities The subcommittee has been informed that there have been a number of alternative plans prepared and considered with the objective of providing solutions to the foreign buildings program in the Paris area. It is my understanding that four or more such plans have been submitted but that no official action has yet been taken on any of these proposals. I am therefore requesting that you direct the appropriate officer of the Department of State to submit to this subcommittee details of all such plans, regardless of the source, along with the estimated cost of each plan, as well as a report relative to the present status of the proposed program. Specifically, the subcommittee requests that complete information be submitted relative to all office or other properties which the U.S. Government now owns in Paris, together with the original cost, the book or prospective sales value as of January 1, 1959, and which of these properties would be involved in each of the proposals now under consideration for expansion of these facilities. Ambassador's residence The subcommittee also requests the following information relative to the Ambassador's residence now in use: (a) When the building was originally constructed; (b) the initial cost; (c) condition today; (d) repairs that have been required during the past 6 years (indicating the years the repairs were made); and (e) major repairs anticipated, together with estimated cost. The subcommittee also desires information as to (a) the estimated cost that would be involved in the purchase of other property for the construction of a new residence for the Ambassador in Paris, and (b) details relative to the proposed use of other properties now owned by the U.S. Government which may be adaptable for the Ambassador's residence, including estimates as to alterations and renovations that would be required to renovate and modernize such property. Construction or purchase of staff housing It is further requested that information be furnished to the subcommittee as to why Public Law 480 funds or other foreign currencies have not been used more extensively for the purchase or construction of additional staff housing. The subcommittee found that Paris rents are skyrocketing, and that there is only one housing unit for every seven or eight U.S. employees in the Paris area. While it is agreed that our Government should not consider building more "compounds," the subcommittee requests that it be fully advised as to whether any thought has been given to the utilization of Public Law 480 or counterpart funds for the purchase of cooperative apartments in buildings now under construction in Paris. If such a program is in progress, please |