STATES AND LOCAL GOVERNMENT-EDUCATION

California-San Francisco-American Federation of Teachers, AFLCIO; Classroom Teachers Association (NEA); Personnel and Guidince Association—5,000 Certified Teachers

The San Francisco Board of Education and the teachers represented by the Certified Employees Council (four members from the AFT, four from the NEA, and one member from the Personnel and Guidance Association) reached agreement on March 27, ending a strike which began on March 7 (as reported in previous issues of Pay Watch.).

The Memorandum of Understanding, effective July 1, 1974 through June 30, 1975, provides an across-the-board cost of living increase of 6 percent effective July 1, plus a $585 supplement for teachers who have completed three years at top scale. Other adjustments include a reduction in calendar days for some teachers, a mileage increase, and increases for substitute teachers. Additional details will be furnished by the Superintendent's Office for next week's Pay Watch.

The agreement was approved in executive session by the Board of Education on March 26, and ratified by the AFT on March 27. All teachers have returned to work.

STATE AND LOCAL GOVERNMENT—NON-EDUCATION

Pennsylvania-Philadelphia-Fraternal Order of Police,

Lodge No. 5-8,200 Police Officers

A new two-year contract, which will cost the City of Philadelphia $22 million, provides 7,500 police officers an across-the-board increase of 8.3 percent effective on July 1, 1975. Each officer will receive a pay raise of at least $1,000 per year.

The minimum retirement age for police officers with 20 years on the force will be reduced gradually-from the present age of 50 to 48 on July 1, 1974, to 46 on July 1, 1975, and to 45 on July 1, 1976.

Life insurance benefits were increased from $6,000 to $7,000 on July 1, 1974, and to $8,000 on July 1, 1975. Contributions to the health and welfare plan were increased $3.00 per month on July 1, 1974, and an additional $3.00 per month on July 1, 1975.

PB-3 forms and supporting data will be requested from the parties.

Missouri-Kansas City-International Association of Fire Fighters -850 Firefighters

On March 22 the City Council of Kansas City approved a new two-year agreement, ending a salary dispute between Fire Fighters Local 42 and the city. The agreement provides an 11 percent increase in the first year (8 percent effec tive May 1, 1974, and 3 percent effective November 1, 1974), and an 8 percent increase in the second year (5 percent effective May 1, 1975, and 3 percent effeetive November 1, 1975).

The Fire Fighters will get an additional 3 days off each year, reducing their weekly work schedule from 51.5 to 50 hours. This reduction in hours represents and additional 2.3 percent in net wage adjustment.

PB-3 forms will be requested from the parties.

(Tabular material was also attached entitled "Significant Work Stoppages and Potential Strike Situations.")

THE PRICE CASE HANDLING

PROCESS*

Case Handling During Phase II

Handling of cases, the central function of the Price Commission, was the responsibility of the Office of Program Operations (OPO). Staffed by as many as 220 people, OPO handled submissions from Tier I companies (those with sales of $100 million and greater) and Tier II companies (those with sales of $50 to $100 million). It processed requests for price increases (from Tier I firms), and company profit margin reports (from Tier I and Tier II firms). The Internal Revenue Service processed all forms from the remainder of the firms (Tier III).

ORGANIZATION

OPO's organizational structure was strongly shaped by the personality of its Director, Don Wortman. OPO operations were streamlined, with a minimum of bureaucratic stumbling blocks, to maximize speed and efficiency in case handling. It was divided into eight analysis divisions organized along Standard Industrial Classification (SIC) lines, and two support offices.

Analysis Divisions

The eight analysis divisions were: trade, services, food and textiles, public utilities and insurance, minerals and chemical products, basic materials, machinery and fabricated products, and transportation. These analysis divisions reviewed and analyzed all price increase requests and reports (PC-1) and base period and quarterly profit reports (PC-50 and PC-51) and all Tier I and Tier II companies. Each division was staffed by a division chief, assisted by a deputy; a control clerk, who tracked the progress of the cases and was responsible for coordinating division activities; and several analysts.

Support Offices

The first support office was the Executive Office, headed by Tom Garvey. The first of its three branches, the Administrative Office,

* All forms issued by Stabilization Program Agencies are reproduced in the Data Appendix to this compendium.