PREPARED STATEMENT OF GIL CORONADO Thank you Mr. Chairman. I am delighted to be the new Director of Selective Service. This is my first appearance before this Subcommittee. I appreciate the fact that I am appearing before a new chairman, a new Congress, and a few new Subcommittee members. Some people say that things never change in Washington. Well, it is apparent that many things do change! Change is good! I can assure you that there has been plenty of it at the Selective Service System, and from my perspective, there's more to come. I represent an Agency that has (to use the popular buzz word) "reinvented" itself over the past three years. The organization has existed in various sizes, forms, and degrees of funding as a permanent civilian Federal agency, especially when it provided the Nation's armed forces with a steady stream of manpower from 1948 through the Vietnam era. But, with the advent of the all-volunteer force in 1973, Selective Service was scaled back, and eventually took the form of a relatively low cost, standby organization. Perhaps President Clinton best described the contemporary role of the Selective Service System in letters to the Congressional leadership last May. The President wrote that the Agency and the peacetime registration program for America's men: provide a hedge against unforeseen threats and a relatively low cost "insurance policy" against our underestimating the maximum level of threat we expect our Armed Forces to face, send a sign of U.S. resolve to our potential enemies, maintain the link between the All Volunteer Force and our society at The President's Budget Request for FY 1996 proposes funding the Selective Service System at $23,304,000. As the accompanying chart shows, this request provides a current services level after two previous years of significant budget reductions. For Fiscal Year 1995, after much debate, Congress and the Administration established a new baseline for this Agency's resources which was eight percent below the FY 1994 appropriation, and 20 percent below the funds approved for FY 1993. The Agency was still able to perform missions mandated under Federal law by trimming or eliminating all but the most essential programs. Selective Service expedited many planned changes and cut operating costs to arrive at today's minimum essential funding level. And, at the President's direction and in response to Senator Mikulski's guidance from last year, we are examining ways to streamline even further through planned improvements in automation. The Selective Service System is the only piece of the VA, HUD and Independent Agencies pie that directly supports a component of National Defense readiness. As the newcomer on the block, I pondered why we were not part of the Defense Appropriation. I now understand that it was because of the American public's desire to keep the draft mechanism under civilian control. Congress established the Selective Service System as an independent civilian agency in 1940, purposefully separating it from the military. As such, Selective Service is the only defense-related agency to be funded through this Subcommittee. This would seem to place an extra burden on the distinguished Chairman and members of this Subcommittee. Not only must you oversee funding for a broad spectrum of socially vital programs, look after the well-being of veterans, and secure our future in space, among other things; but with Selective Service, you are also called upon to fund a unique element of America's National Defense. With this in mind, please let me share with you some facts about today's Selective Service System. I hope they will provide a degree of confidence that America is getting its money's worth for this relatively small appropriation. MISSION REAFFIRMED After extensive review, the principal mission of the Agency remains clear: Selective Service must be capable of furnishing to DoD skilled or unskilled personnel for military service during a national emergency. A number of factors combined to focus a great deal of Congressional and media attention on the Selective Service System beginning in 1992: the end of the Cold War, Administration and Congressional requests that the Agency be provided with updated military delivery requirements, and the many intangible elements associated with maintaining a standby conscription system. These factors, combined with internal efforts to modernize and become more cost effective, precipitated studies of the Agency by a number of government entities. Selective Service was reviewed by an inter-agency working group chaired by the National Security Council, a contract manpower survey team, and the Department of Defense. And, as the members of this Subcommittee may recall, there was extensive discussion on the House and Senate floors and within the Armed Services Committees of the 103rd Congress. The bottom line: continue funding and support the missions of the Selective Service System. While all Federal programs are undergoing critical review in keeping with the goal of trimming those which are outdated or unnecessary, the examinations of the Selective Service System were particularly thorough. The Agency's purpose and utility, missions, efficiencies, and economies were defined and redefined, leading to the President's policy announcement, which I summarized earlier. Further, last year the President requested DoD to update its mobilization requirements for this Agency based on current threat scenarios, re-examine time lines for how quickly manpower must be provided, consider the possibility of providing for the calling up of skilled personnel, and review the arguments against continuing to exclude women from the registration requirement. He also directed that additional economies be sought and cost-cutting continue throughout the Agency. Recently, the Department of Defense provided revalidated requirements and time frames to the Selective Service System and the National Security Council. These reaffirmed the importance of the Selective Service System and are now being used to update plans for conducting a military draft, should conscription be necessary to sustain our forces in a future military crisis. On February 15, the President forwarded the DoD report to the Congressional leadership. The document reflects up-to-date, post-Cold War thinking. The new DoD requirements increase SSS's delivery time from 13 days for untrained personnel and 42 days for health care personnel to 193 and 222 days respectively. They allow time for starting a draft that would not only be fair and equitable, but more accommodating to potential draftees. Early on in a future draft, the time frame extensions would permit pre-induction physical exams to occur prior to the resumption of inductions to sort out those unqualified to serve, and give qualified men more time to arrange their personal affairs before reporting. FOCUS ON REGISTRATION REQUIREMENTS In FY 1996, public awareness of the registration requirement will continue to be an important activity of the SSS. On-time registration of all eligible men within 30 days of their 18th birthday is a continuing goal. Special registration awareness information campaigns are currently targeted at African-American and Hispanic men in urban areas where registration rates have been historically low. Public awareness campaigns have been conducted at local, State, regional, and national levels. In past years, radio and TV public service announcements (PSAs) in English and Spanish versions were developed under Selective Service System direction and distributed to TV and radio stations. These quality PSAs were well received by public service directors and received high play rates around the country. The FY 1996 public awareness campaign will incorporate techniques and messages developed through African-American and Hispanic test campaigns conducted in FY 1994. It will include television, radio and a high school information kit. Over the past several years, many governors and local officials have issued proclamations supporting registration; and 18 States have enacted legislation, which requires that men register with Selective Service as a prerequisite for receiving State educational assistance or State employment. The Registration Reminder Mail-back Program continues to be a success with a return rate of over 40 percent. Registration via a convenient mail-back postcard has replaced a young man's "visit to the post office" as the principal means by which the majority of men register today. A mailing to men on the States' Departments of Motor Vehicles driver's license lists and the DoD high school recruiting list are two of the several programs which utilize the mail-back postcard format. OPERATIONAL TESTING Operational readiness is also a principal Agency focus. A State Directors and Detachment Commanders national conference is scheduled for FY 1995. Regional training conferences will be held in FY 1996, in preparation for a readiness exercise scheduled for FY 1997. This exercise will be the first exposure of our part-time Reserve Force Officers (RFOS) to the new Time Phased Response plans and procedures of the SSS. The training will involve virtually all of the RFOS and members of selected Local and District Appeal Boards. A major objective will be the development of site location data for Area Offices and sources of civilian personnel and equipment resources. HEALTH CARE PERSONNEL DELIVERY SYSTEM (HCPDS) The statutorily-mandated HCPDS is a viable standby system for the emergency conscription of health care personnel. The one-step, combined examination and induction automated data processing system and corresponding prototype forms and procedures have been completed. Draft legislation is ready for submission to the Congress, if needed. AUTOMATED DATA PROCESSING (ADP) INITIATIVES Reduced resources dictate the need to increase productivity through the use of new ADP technology and improved methods. A number of important initiatives were completed in FY 1994, and other new initiatives and concepts are being analyzed to enhance readiness, automate capabilities and increase staff efficiency. Programs and procedures were revised to increase the effectiveness of the transfer and to simplify the process. During FY 1994, a claims and appeals transaction computerized file transfer test was conducted. Personnel in 200 Area Offices participated in the exercise and a successful transfer rate of more than 99 percent was achieved. Two additional examples of improved effectiveness through ADP applications include: implementing of a computer matching program with the Department of Labor to ensure Selective Service registration requirements of the Job Training Partnership Act are met, and implementing of computer programs to convert several letter types to postcards. At the recommendation of the Chair of this Subcommittee in the 103rd Congress, a Selective Service System ADP Task Force was formed to evaluate new technologies that may have possible application to Agency programs and processes. The task force initiated a review of how increased automation might enhance the Agency's processes while containing costs. The objective was to capitalize upon emerging technology and off-the-shelf equipment which could substitute for the present approach that is quickly becoming obsolete and expensive to maintain. The Selective Service System has explored the field, collected data, and evaluated configurations. The task force has identified areas where cost avoidance can be realized through technology modernization. In FY 1996, the Agency will obtain contractor support to validate the findings, propose any alternatives, and develop a plan and design of a new computer system. Many of the Agency's processes are undergoing or will undergo formal Business Process Improvement modeling. The Agency is modeling all operational systems dealing with manpower delivery. The process is looking at organizational activities and functions to identify areas where improvements can be made. STREAMLINING In recent years, Selective Service has modified programs, reviewed and reduced military and civilian staffing, and evaluated all spending with an eye towards realizing additional savings, increasing operational efficiency and organizational effectiveness. Some examples of actions the Agency has taken include: 1) reducing the number of authorized full-time civilian positions from 262 to 225 and the number of active duty military positions from 20 to 13; 2) reducing the number of funded part-time Reserve Force Officers; 3) eliminating a management layer in a directorate; 4) converting many of the acknowledgement and compliance letters to postcards; 5) eliminating one compliance letter; and 6) reducing discretionary spending throughout the Agency. The consolidation of Region Headquarters took effect August 1, 1994, when the offices in Philadelphia, Dallas, and San Francisco were closed. All Region activities are now consolidated in the three remaining offices: Region I, Great Lakes, Illinois; Region II, Marietta, Georgia; and Region III, Denver, Colorado. THE WORKFORCE Finally, I wish to touch upon a subject that is near and dear to my heart; that is, the composition of the Selective Service workforce. It is comprised of about 200 full time employees, 600 Guard and Reserve officers, 56 part-time State Directors, and about 11,000 unpaid volunteers who form our Local and Appeal Boards. I want to personally assure the members of this Subcommittee that we appreciate the importance of maintaining high morale and productivity through the difficult periods associated with Agency downsizing. I believe morale today is admirably high despite structure trims and reductions in pay for drilling Guardsmen and Reservists. Our employees and officers know that the cost of government must be reduced and they have demonstrated they can and will make necessary sacrifices. I also pledge to you that this Agency will redouble its efforts to reflect America's ethnic and racial diversity. Selective Service's diverse work force includes many women and African Americans, but this Agency needs to do a better job in attracting Latino and Asian American employees. As you might guess, I've taken a deep personal interest in making sure that happens. SUMMARY Selective Service continues to seek new and innovative ways to streamline its current operations and provide better service, while holding the line on everincreasing costs. The FY 1996 appropriation request provides an increase of $374,000 over the amount of the FY 1995 appropriation. With this increase, Selective Service will be able to provide current services, fund a study to develop a plan and design of a new computer system, provide for the civilian and military pay raises, and keep up with inflation. The Agency will strive to perform its assigned missions over the near term by concentrating on its most critical tasks: registering young men ages 18 through 25, and maintaining a suitable degree of readiness to provide the Nation with an inexpensive defense manpower insurance policy in a still dangerous and uncertain world. Mr. Chairman, that concludes my prepared remarks. I would be happy to respond to any questions from you or other members of the Subcommittee. |