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Legislation is proposed to extend the Elementary and Secondary Education Act beyond 1966. The 1967 budget estimate is based on this extension. It is probable that the constitutionality of this act will be contested in the courts. Under the existing act, four programs are set up-to aid educationally deprived children, procure school library materials, supplement educational centers and services. and strengthen State departments of education. Inordinate expansion may result through variations in a definition of low-income children. Continuation of the act could lead to Federal standardization of curriculum, texts, and methodology in public schools. New obligational authority for fiscal year 1966 was $967

million. The 1967 appropriation should be no greater.

Higher educational activities:
Budget request---.

Recommended reduction__

$475, 272, 000 256, 649, 000

Under the Higher Education Act of 1965, grants and payments are made under eight programs to States, educational institutions, and individuals. Funds for student aid already are available-through private, State and Federal programs (as the National Defense Education Act). Federal education and training programs should be consolidated and duplications eliminated. Use of private funds to achieve educational goals should be encouraged. A supplemental request for 1966 of $24,200,000 is in view; these dollars would initiate two of the programs named within the act; i.e., library assistance and the National Teachers Corps. New obligational authority for fiscal year 1967 should be no greater than the $218,623,000 appropriated for fiscal year 1966.

Higher education facilities construction:

Budget request----
Recommended reduction

$722, 744, 000 259, 594, 000

Through State, local, and regional efforts, public community colleges and technical institutes are developing rapidly. The expanded program of grants proposed for 1967 under the Higher Education Facilities Act of 1963 is not needed in order to stimulate the expansion of colleges and universities. New obligational authority for these programs should be restrained to the level of fiscal year 1965.

Salaries and expenses:

Budget request.--.

Recommended reduction____.

611

$41, 563, 000 3,650,000

Last year the Senate Committee on Appropriations recommended that the Office of Education "take no steps toward any national testing program, directly or by contract, until the Congress has had an opportunity to determine such a policy is advisable * * *." Despite this, the budget for fiscal year 1967 includes $750,000 for expanding and improving both the regular statistical program and further development of the analytical model of the educational systems of the United States. The sum of $2.9 million is included also for developing a new program of collecting educational achievement data on a uniform nationwide basis for the purpose of assessing the quality of education, for the purchase of data to be collected as a supplement to the current population survey. and to initiate a survey of adult education and training for employment. The national chamber recommends that the Appropriations Committee's statement be observed. The Federal Government should not establish a national testing program for all public schools, nor should the Government establish their curriculums or provide and subsidize accepted materials of instruction-such as textbooks.

Office of the Solicitor:

Budget request---.

Recommended reduction_-_

$5,451, 000 206, 000

While the overall budget request by this office is somewhat lower than in fiscal year 1966, funds for field operations have increased by $198,000. Better coordination and utilization between central office and field staff should eliminate the need for this sum. At the same time the appropriation of an additional $8,000 for determining prevailing wage rates and fringe benefits in construction contracts is not justified in light of the absence of any increased responsibilities in this area.

Office of the Secretary:

Budget request---.

Recommended reduction___.

$4,701, 000 115, 000

The request of the Office of the Assistant Secretary for Administration for an increase of $59,000 for employee health programs to promote physical and mental fitness should not be granted.

The Office of the Director of Federal Contract Compliance seeks the addition of three new permanent positions. Considering that the Federal Government's departments and agencies are now initiating the use of their own contract compliance officers to eliminate discrimination in hiring, the requested increases are unnecessary. Duplication of personnel would also be avoided by disallowing an added $21,000 for consultants "requiring specialized, high-level talent"-a supposedly existent virtue in the Contract Compliance Office at the present time.

Department of Labor

Bureau of Employment Security:

Limitation on grants to States for unemployment compensation and Employment Service Administration (trust fund):

Budget request (limitation).
Recommended reduction_____.

($508, 950, 000) (24, 870, 000)

Employment Service activities for fiscal 1967 are programed at a $248,705,000 level. Employment Service appropriations in fiscal 1964 and 1965 were predicted in part on estimated projected job placements 10 and 9 percent higher than actual job placements made.

In 3 consecutive years the Employment Service has requested and received its appropriation based on placement estimates which averaged 10 percent more than those actually made. Appropriations for the Employment Service activities should be reduced by 10 percent or $24,870,000.

Wage and Hour Division:

Budget request--

Recommended reduction_.

$22, 256, 000 754, 000

The Division's requested appropriation is above last year's with the increase caused primarily by the assumption of administrative functions under the new Service Contracts Act of 1965. Since the same staff performs the same duties in administering the Walsh-Healey Act, a substantial reduction in proposed increases is recommended.

Bureau of International Labor Affairs:

Budget request..

Recommended reduction_____

$1, 230, 000 23,000

The Bureau has requested an increase of $11,000 for the coming fiscal year. However, $23,000 is budgeted for an increase of two new positions with responsibility for furnishing information on international trade unions. These additions are unnecessary in that the International Labor Organization in Geneva, supported by our Government to the extent of approximately 25 percent of its total budget, already performs this function.

Independent offices

Equal Employment Opportunity Commission:

Budget request_

Recommended reduction__.

$5,870,000 2, 000, 000

Due to the large volume of complaints filed in the first 6 months of the Commission's operations, fiscal year 1967 requests aggregate an increase of $2,378,000 over fiscal 1966. Much of affirmative action programs encouraging equality in employment that would be undertaken by the EEOC in utilizing new appropriations, are now capably being carried out by the voluntary Plans for Progress organization.

Additionally, the Commission's proposed budget item of $900,000 for State administration is far too high in light of the amount of revenues now being expended at the State and local level in administering existing fair employment laws.

The proposed extensive increase in personnel strength should be partially deferred for the present until sufficient time elapses in which to judge the adequacy of the Commission's utilization of its administrative and investigative staff.

BUDGET REQUESTS SPECIFICALY SUPPORTED

Manpower Administration:

Department of Labor

Manpower development and training activities:

Budget requests---.

$400, 044, 000 The MDTA provides the unemployed and underemployed with the means, i.e. training in various skills, crafts, and occupations needed for gainful and productive employment. This act has assisted immeasurably in this area of economic development. Originally MDTA did not include persons under age 19 without work experience, but as presently amended a portion of its funds may be allotted for persons, age 16 who have been out of school 1 year. Support of the full MDTA budget request is recommended.

Bureau of Apprenticeship and Training:

Budget request.--

$8,397,000

The Bureau of Apprenticeship and Training which has been in existence for many years is viewed as important for the support of apprenticeship programs for which there is a tremendous need in American industry. The funds requested by the administration are primarily for BAT personnel salaries. BAT personnel located in the field service business by promotion and encouragement of apprenticeship and on-the-job programs. Since the passage of the Manpower Development and Training Act, the BAT has played a large part in aiding the MDTA program's establishment.

Support of the full BAT budget request is recommended. Bureau of Labor Statistics:

Budget request_____

$20, 785, 000

The Bureau is requesting an increase of $871,000 directed in large part at further statistical studies of unemployment, prices, earnings, and other economie factors. These are commendable and necessary undertakings, since labor market data has become crucial to the timing and choice of appropriate Government policies and programs. A glaring deficiency now exists in our present lack of statistical series on national job vacancies. Thus, we are handicapped in labor market analyses and in the making of major policy decisions.

Congress should appropriate to the Bureau of Labor Statistics the money requested, but insist that the Bureau undertake to enlarge their present experimental program on collection of job vacancies statistics. In addition, such a program must be developed by reliance on professional statistical procedure, devoid of other attempts by bureaus in the Department of Labor, such as the U.S. Employment Service, to influence the interpretation of results.

Department of Health, Education, and Welfare

Office of Education:

Expansion and improvement of vocational education:
Budget request_----

$250, 791, 000

The program provides for the promotion of vocational education in the fields of agriculture, trades, home economics, industry, and distribution. Supervision. administration, teacher training, and vocational guidance are also provided for in this important area. The 50-50 Federal-State matching programs have in the past been far exceeded by the various States. All indications to date are that the States and local governments are actively building a more comprehensive educational program. Many schools have already been built and others are on the drawing board, financed in part with these funds.

Support of the full vocational education budget request is recommended.

Payments to school districts:

Budget request----

$183, 400, 000

The administration's proposal for reduced obligational authority (from $397 million in 1966 to $206 million in 1967) to aid federally impacted school districts is based on research requested by the Congress in Public Law 88-665.

In response to this request, the Commissioner of Education submitted to the Secretary of Health, Education, and Welfare (who, in turn, forwarded to the President of the Senate) the report and recommendations of the Stanford

Research Institute about future operation of the programs for Impacted Areas originally authorized in Public Laws 875 and 815.

The recommendations to the Congress made by the Commissioner about modifications in eligibility requirements and rates of payment based on the Stanford Research Institute's report are well founded. They would restore the integrity and equity of these programs which have declined because of amendments and reinterpretation of meaning of the original laws that have evolved since their passage in 1950.

The administration's proposals to reduce the new obligational authority as well as expenditures under these programs was strongly supported by the education committee of the national chamber which had previously submitted recommendations to the board of directors for endorsement of recommendations first by President Eisenhower and then subsequently by President Kennedy for review and modification of these programs.

Congress is urged to accept the recommendations of the research report which are incorporated in the budget proposed for 1967 by the administration.

FEDERAL LEGISLATIVE OBJECTIVES OF THE AMERICAN PUBLIC WELFARE ASSOCIATION

FEDERAL LEGISLATIVE OBJECTIVES, 1966, AMERICAN PUBLIC WELFARE ASSOCIATION (Prepared by committee on public welfare policy; approved by the board of directors, November 29, 1965)

The Nation is moving increasingly toward new goals for achieving full participation by all people in the opportunities and benefits available in today's affluent society. Much of this impetus has come from the leadership in public welfare which has crusaded in identifying causes of dependency and social disorganization and has suggested methods of amelioratinng, preventing, and eliminating them. These widespread efforts have resulted in extended opportunities and increased responsibilities for the country's public welfare programs.

As the main governmental instrument for preventing dependency and for restoring maximum potential to the disadvantaged, public welfare is a bulwark in the preservation and development of the Nation's greatest resource-its people. In discharging its commitments, public welfare must not only maintain adequate programs of services and assistance, but it must also exert initiative in identifying, attacking, and preventing deprivation and the root causes of social ills.

The persons served by public welfare are those most adversely affected by the influences of social and economic forces, by personal and family inadequacies, and by the results of shortcomings in our society. For this reason it is often in the public welfare programs that the effects of dependency or other social malfunctioning become most apparent.

This requires that public welfare

Identify causes which produce inadequacies in families and individuals; Join with other governmental agencies at all levels and other organizations to marshall forces to eliminate these causes;

Seek constantly for new means to eradicate dependency and to promote social competence; and

Provide through efficient and effective methods for adequate maintenance of unified family life, sound health, and maximum development of individual potentials.

Federal, State, and local levels of government all have a duty to share in detecting causes of dependency and initiating efforts to eliminate them. The American Public Welfare Association believes that the States and their political subdivisions have the primary responsibility for developing and administering effective public welfare programs in the United States. The Federal Government has the obligation to develop nationwide goals, guides, and standards for program content, and to use its constitutional taxing power to equalize the financing of public welfare so that benefits may be available on an equitable basis throughout the country.

The States, their political subdivisions, and the Federal Government, in cooperation, must provide the leadership and the professional and technical personnel to carry out these obligations. The association's legislative objectives are based on these premises and on recognition of the important role of public welfare in preserving and strengthening family life, and where necessary, providing sup

plementary or substitute care and protection, especially for children and the aged; for encouraging self-responsibility; and for assuring humanitarian concern for all individuals and families.

The association's positions are founded on the following basic tenets:

(a) A democracy has the obligation to assure to all persons in the nation full and equal opportunity for family life, healthful living, responsible citizenship, and maximum fulfillment of their potentialities.

(b) Basic economic security of families and individuals can best be protected by a contributory social insurance system. Hazards, insofar as they are insurable, should be covered by this method.

(c) Public welfare programs should be family centered and should provide effective services-adequate financial assistance, preventive, protective, rehabilitative, and health services-to all who require them. These services should be available on an equitable basis to all persons without regard to race, color, creed, national origin, residence, settlement, citizenship or circumstances of birth.

(d) Public welfare programs should be administered in ways which insure in practice that the rights, self-respect, dignity and independence of people shall be supported and protected.

(e) Since the public welfare programs are the people's governmental instrument, citizen understanding and support are required for their success. Therefore, the encouragement of citizen interest and participation, including that of the recipients themselves, is essential to the fullest development of these programs.

A broadened and unified concept of public welfare should be reflected in legislation which will enable it better to serve individuals, families, and communities according to varying requirements, rather than according to rigid classifications. To accomplish this, the Federal grant-in-aid welfare program should be recast into three integrated functions, as follows:

I

Financial assistance for all needy persons (including the coverage of the present categories, plus general assistance) and all public welfare programs of foster care for children.

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Medical assistance as provided under title XIX of the Social Security Act should be extended to include all medically needy persons.

III

Comprehensive communitywide social services to individuals and families, children and youth, and to the community.

To assist the States in implementing each of these functions, the federal share of public welfare expenditures should be sufficient to assure that all jurisdictions maintain standards and assistance payments at an adequate level as set by the Department of Health, Education, and Welfare.

Scope of program

PUBLIC WELFARE PROGRAMS

1. The consequences of economic dependency and social disaster are not restricted to persons in arbitrarily established categories. The comprehensive nature of public welfare responsibility should therefore be recognized through Federal grants-in-aid for assistance for all needy persons. This should include Federal financial participation in general assistance.

2. Federal financial aid should be available to assist States in carrying out public welfare responsibility for preventive, protective, and rehabilitative services to all who require them, irrespective of financial need, including making legal services available to the poor.

3. Federal legislation should be amended to provide that the Federal Government would participate financially only in those assistance and other welfare programs which are available to all persons within the State who are otherwise eligible without regard to residence, settlement, or citizenship requirements.

4. Federal financial participation for comprehensive medical assistance should be available for all medically needy individuals.

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