the growth of the Department and its programs, particularly in the areas of contracting, patents, and administrative services. The increased research and development activities of the Department have resulted in heavier flow of invention reports and invention and patent problems; the Division's services are required in connection with specific patent questions as well as in the formulation of patent policies and procedures since the Department patents officer and his deputy are in this Division.

In the area of administrative services, the rapid growth of the Department has increased the need for legal services in personnel matters. The Department employs a large number of part-time consultants, and a number of the Department's full-time scientific and professional personnel are engaged in various outside activities—both generating a heavy demand for legal advice on applicable conflict-of-interest laws, executive orders, and regulations. The Chief of the Division has been designated the ethical standards officer of the Department; he is also the Department's claims officer and the Division is responsible for administering the Federal Tort Claims Act and the Military Personnel and Civilian Employees' Claims Act.

This Division provides legal services to the Public Health Service, the Federal Water Pollution Control Administration, and Saint Elizabeths Hospital. Is also responsible for the recovery under Public Law 87-693 of the reasonable value of hospital and medical care furnished beneficiaries of the Public Health Service whose injuries are caused by negligent third parties; during calendar year 1965 the sum of $100,640.65 was recovered and deposited into the Treasury of the United States.

Increases requested.-Two additional attorney positions and one secretary position are requested primarily because of the following developments:

1. Water pollution control: Effective December 31, 1965, the Federal Water Pollution Control Administration was established in the Department by Public Law 89-234. Although the Division provided legal services in connection with many water-pollution control activities when they were performed by the Public Health Service, establishment of the new administration will require development of new regulations for a variety of old and new functions and will accelerate activities and proceedings to prevent and control pollution. In addition, the new statute calls for the development of water quality standards for interstate waters and the enforcement of these standards by Federal action.

2. National Library of Medicine: Public Law 89-291, approved October 22, 1965, authorizes an extensive new extramural program for the National Library of Medicine including: (1) construction grants for public and private medical libraries; (2) grants for training in library science, and for the conduct of special projects and research in library science; (3) grants to extend and improve existing non-Federal library resources; (4) grants to establish regional medical libraries, and (5) grants to support private, scientific publications. Questions of eligibility and accountability for the several grants-many of them novel-will require additional legal services.

3. Heart Disease, Cancer, and Stroke Amendments of 1965: Public Law 89-239, approved October 6, 1965, authorizes a new and unprecedented program for the planning, etablishment and operation of regional medical programs for research training and demonstration of patient care in these and related diseases. development and application of regulations and questions of eligibili accountability for the grants awarded will require additional legal service fiscal 1967.

This Division provides all legal services for the Food and Drug Administration, handling litigation in the Federal courts, administrative hearings, and the promulgation of implementing regulations, some through formal procedures. The Division is required to meet a growing caseload, and to perform new legal work within the framework of the administrative process arising out of the Food Additives Amendment of 1958, the Color Additives Amendment of 1960, the Federal Hazardous Substances Labeling Act of 1960, the Drug Amendments of 1962, and the Drug Abuse Control Amendments of 1965.

The tremendous recent growth in the FDA's responsibilities and personnel is being reflected in additional enforcement cases and additional administrative and regulatory work. This will continue to increase as the FDA's new inspector personnel and analysts become trained and fully effective and as the new legal requirements, such as the comprehensive review of new drugs approved in the past and the prescription drug advertising controls, are brought into effect. This Division's increased activities in administrative law are typified by a large increase of documents being prepared for publication in the Federal Register and by a most significant increase in public participation in the establishment of new regulations for vitamin and mineral preparations, and for better control over prescription drugs. We defend the Department's actions in the U.S. courts of appeals in any proceedings for judicial review. We have been averaging a trial a week in the Federal courts. Appeals to the U.S. courts of appeals have averaged about 10 per year. Eleven cases have been decided by the Supreme Court under the Federal Food, Drug, and Cosmetic Act since 1947. More than 40 cases have been considered by the Supreme Court on petitions. for certiorari by non-Government litigants.

Increased activity for the FDA in all of these areas has resulted in increased legal activities by the division and greater increases at all levels are anticipated for the next fiscal year.

The services of this Division, which call for the furnishing of legal advice with respect to the administration of the old-age, survivors, and disability insurance programs and of mutually dependent provisions of law in related programs, wild be required also in the following additional respects:

The review of regulations No. 1 of the Social Security Administration (release of confidential information); the review and updating of several subparts of regulations No. 4 (computations and recomputations of benefits; filing of applica

tions; deductions from and suspension of benefits; family relationships; and evidentiary requirements in support of claims; the evaluation of administrative proposals to simplify title II (old-age and survivors insurance) of the act; and the review and clearance of policy, procedural, and instructional materials for the adjudication of claims. The preparation of pleadings, briefs, and other legal documents in the continuing large volume of title 11 suits in the Federal courts to review the disallowance of claims, continued to demand much of the Division's time. At the close of calendar 1965 1,627 cases were in action status, and during that year pleadings and answers were filed in 816; briefs in 943, and memorandums relative to appeals to courts of appeals in 261. The totals in each of these categories should continue at the same level during fiscal 1967.

This Division furnishes legal advice and services in connection with the administration of the health insurance for the aged (medicare) programs established by title XVIII of the Social Security Act.

Increases requested.-Three additional attorneys and one secretary are needed to handle expeditiously the increase in work assignments occasioned by the initiation of hospital and supplementary medical insurance benefits under title XVIII in fiscal 1967.

The health insurance benefits provided by title XVIII are payable effective July 1, 1966 (except for posthospital extended care services, which are payable effective January 1, 1967). As the program begins to operate, application of the regulations and procedures to a myriad of situations will pose a great variety of day-to-day legal problems. The unprecedented contractual relationships with carriers and intermediaries expending large sums on behalf of the Government will require constant involvement of lawyers. The program, moreover, is so novel and so complex that many of the basic administrative prescriptions will need constant evaluation, and refinement or revision, as operating experience develops. Finally, provision for administrative and judicial review will make heavy demands on the legal staff.

This Division provides legal services for the Welfare Administration, the Vocational Rehabilitation Administration. the Administration on Aging, and the Bureau of Federal Credit Unions in the Social Security Administration. Increase requested.-One additional attorney (GS-13) is requested. The

Division's workload will be increased in fiscal 1967 under the following new laws:

Public Law 89-73, the Older Americans Act of 1965;

Public Law 89-97, the Social Security Amendments of 1965, as they affect the public assistance and child health and welfare programs; and

Public Law 89-333, the Vocational Rehabilitation Act Amendments of 1965. The first steps for inaugurating or expanding programs, as authorized by this legislation, were taken in 1966. Additional legal staff for 1966 was authorized only in connection with Public Law 89-97. By fiscal year 1967, full implementation of all the new programs will be underway and the applications, State plats, grants, contracts, project reviews, and program evaluations will give rise to increased requests for legal advice, including advice in connection with the application to these programs of title VI of the Civil Rights Act of 1964. Added legal services will be particularly needed in the vocational rehabilitation area for the greatly enlarged Federal-State program and for the new programs for construetion and staffing of rehabilitation facilities and workshops, workshop improvement, and the planning and expansion of vocational rehabilitation activities. (F) EDUCATION DIVISION

The Education Division provides legal services with respect to the functions of the Office of Education and to the extent of the Department's concern, t› Howard University, Gallaudet College, and American Printing House for the Blind.

These programs present a great range of activities including direct Federal operations. Federal-State grants-in-aid, and grants, loans, and loan insurance and subsidies to public and private institutions and to individuals. Legal services will continue to be required on an active basis for the programs of the Office of Education. The broad range of activities covered, the importance of the programs to all the States, to thousands of institutions, and to millions of individuals, tend constantly to increase the volume of work. As the programs grow, the problems requiring legal advice are multiplied and become more complex both in subject matter and interrelationships.

Legislation enacted by the 89th Congress (especially the Elementary and Secondary Education Act of 1965 (Public Law 89-10); the Higher Education Act of 1965 (Public Law 89–329); National Vocational Student Loan Insurance Act of 1965 (Public Law 89-287); National Foundation for the Arts and Humanıties Act (Public Law 89-209); and Public Law 89-258, an amendment to the act to provide in the Department of Health, Education, and Welfare for a loan service of captioned films for the deaf) will have particular impact on the workload of the Division in 1967. The first steps for inaugurating or expanding programs, as authorized by this legislation, were taken beginning in 1965, with major emphasis taking place in 1966. By 1967, full implementation of the programs will be underway and the applications, grants, loans, project reviews, and program evaluations will give rise to increased requests for legal advice, including legal advice and services occasioned by the application to most of these programs of title VI (nondiscrimination in federally assisted programs) of the Civil Rights Act of 1964.

Legal services furnished by regional and field attorneys correspond in kind to those rendered by the headquarters division of the Office (other than food and drug matters). During recent years there has been a tremendous increase, both from program growth and the establishment of new programs serviced by the regional attorney's offices.

Increase requested.-Nine additional attorney (two at GS-12 and seven at GS-11) and one secretarial (GS-5) positions are requested to enable us to add an attorney in each of the nine regional offices, and to provide much needed additional secretarial service in the Boston regional office.

These positions, needed for the health insurance program, were originally requested last year in the Department's supplemental budget for this program. Following elimination of positions by the Congress, a reevaluation was made of the need during 1966 for the regional positions requested under the health insurance for the aged programs (title XVIII of the Social Security Act). It was determined that the full impact of the new workload under the health insurance programs would not be felt in the field until fiscal 1967 when benefits first become payable.

Particularly because of the extensive involvement of State agencies and of local, State, and regional institutions and organizations in the administration of the health insurance program, much of the legal work generated by this new program will devolve upon our nine regional attorney offices. These offices are now fully occupied with existing responsibilities, particularly the ever-increasing litigation workload of title II suits in the Federal courts (already referred to above in connection with the OASI Division narrative), mounting demands for legal advice and services under title VI of the Civil Rights Act of 1964, and new legislation enacted in 1965. We believe it is imperative that the increased staff requested be made available early in 1967 in order to avoid costly errors and undue delays in the launching of these vitally important programs.