CONSUMER AND MARKETING SERVICE General and special funds: CONSUMER PROTECTIVE, MARKeting, and RegULATORY PROGRAMS For expenses necessary to carry on services related to consumer protection, agricultural marketing and distribution, and regulatory programs, other than Packers and Stockyards Act, as authorized by law, and for administration and coordination of payments to States; including field employment pursuant to section 706 (a) of the Organic Act of 1944 ([58 Stat. 742] 7 U.S.C. 2225), and not to exceed $25,000 for employment under 5 U.S.C. 3109, in carrying out section 201(a) to 201(d), inclusive, of title II of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1291) and section 203(j) of the Agricultural Marketing Act of 1946; [$89,310,000] $119,846,000: Provided, That this appropriation shall be available pursuant to law ([58 Stat. 742] 7 U.S.C. 2225) for the alteration and repair of buildings and improvements, but, unless otherwise provided, the cost of altering any one building during the fiscal year shall not exceed $7,500 or 7.5 per centum of the cost of the building, whichever is greater. (7 U.S.C. 51-65, 71-87, 91-99, 241-272, 394, 396, 414a, 415b-d, 423, 431, 440, 450b, 471-476, 501-508, 511-511q, 516, 581-589, 591-599, 1551-1610, 1621-1627, 1901-1906, 2101-2118, 2201-2202, 2220, 2248, 2259; 15 U.S.C. 251-257i, 714-714p; 19 U.S.C. 1306b-1306c; 21 U.S.C. 71–79, 83–91, 94–96, 98, as amended, 451-469; 26 U.S.C. 4817-4818, 4851-4854, 4861-4865, 4871-4877, 6001, 6804, 7233, 7235(c), 7263, 7492-7493, 7701; 31 U.S.C. 7250, 725d; Department of Agriculture and Related Agencies Appropriation Act, 1968.) Program and Financing (in thousands of dollars) Expenditures.... 1 Includes capital outlay as follows: 1967, $7 thousand; 1968, $10 thousand; 1969, $10 thousand. 2 Selected resources as of June 30 are as follows: Unpaid undelivered orders, 1966, $0 (1967 adjustments -$15 thousand): 1967, $0: 1968, $0; 1969, $0. 3 Reimbursements from non-Federal sources are derived from the sale of personal property being replaced (40 U.S.C. 481(c)), and from cooperating State depart ments of agriculture (7 U.S.C. 1624). Object Classification (in thousands of dollars) 108 10 2. Inspection, grading, classing, and standardization (obligations)3.. Total obligations................. 1967 actual 1968 est. 1969 est. -186 256 -1,300 -210 -1,300 -210 New obligational authority: 40 Appropriation.......... 83,881 41 Transferred to other accounts. -56 89,310 -34 89,276 shippers, and others.. Names on mailing list.. 193, 893 2. Inspection, grading, classing, and standardization.—(a) Meat inspection.-Federal meat inspection is required for all meat and meat products moving in interstate and foreign commerce to assure a clean and wholesome meat 119,846 supply for human consumption, free from adulteration, and truthfully labeled. The work includes inspection of animals, carcasses, meat, and meat-food products at various stages of handling and processing. Measures are enforced to assure informative labeling, and that meats imported or exported are inspected. The Federal program also provides financial and technical assistance to States for improving the quality of their inspection programs. 119,846 119, 846 The estimates for 1969 include increases to provide for inspection of additional plants and expanded facilities in presently inspected plants, and for implementation of the Wholesome Meat Act of 1967, including financial and technical assistance to States. The volume of inspections and examinations is indicated by examples given in the following table: Appropriation (adjusted). Includes capital outlay as follows: 1967, $361 thousand; 1968, $451 thousand; 1969. $614 thousand. * Selected resources as of June 30, are as follows: Unpaid undelivered orders, 1966. $699 thousand (1967 adjustments, $90 thousand); 1967, $287 thousand: 1968, $287 thousand; 1969, $287 thousand. Includes capital outlay as follows: 1967. $0: 1968, $1 thousand; 1969, $3 thousand. These activities provide consumer protection through inspection for wholesomeness of meat and poultry products. They assist producers and handlers of agricultural commodities through various marketing and regulatory services. These activities are continuing to increase and become more complex as the volume of agricultural commodities increases, as a greater number of new processed commodities are developed, and as the market structure undergoes dramatic changes. The marketing changes include such practices as concentration in food retailing, direct buying, decentralization of processing, growth of interregional competition, vertical integration, and contract farming. The individual activities include: 1. Market news service. This service provides current information on supply, movement, and prices at specific markets for practically all agricultural commodities. This day-to-day market information enables American farmers to determine where and when to sell and at what price. The information is collected and disseminated at yearround and seasonal offices maintained in more than 130 cities and towns, often with local and other support and cooperation, generally from State departments of agriculture. Dissemination is made primarily by radio, television, and mimeographed reports. The increase will provide for mandatory increases in leased wire rates. The volume of work performed is indicated by examples given in the following table: Number of establishments covered. Inspection of processed meat and meatfood products (million pounds).. Number of States cooperating under Wholesome Meat Act......... 1,931 1,973 2,084 812 820 860 1,091 104,988 112,853 111,842 114,396 (b) Poultry inspection. Inspection of poultry meat and poultry meat products for wholesomeness is provided pursuant to the Poultry Products Inspection Act of 1957. All poultry processed in plants shipping in interstate or foreign commerce is required to be inspected both before and after slaughter. Birds found to be unfit for human consumption are condemned and removed from channels of trade. Legislation is being proposed to strengthen the poultry inspection program along the lines of the Wholesome Meat Act of 1967. The increase for 1969 provides for inspection of an anticipated increased volume of poultry and poultry products. The volume of work performed is indicated in examples given below. Federal Funds-Continued CONSUMER AND MARKETING SERVICE-Con. General and special funds-Continued CONSUMER PROTECTIVE, MARKETING AND REGULATORY PROGRAMS-Continued uniform quality products for market; and furnish consumers with more definite information on the quality of products they buy. The standards are applied by or under the supervision of Federal employees at the request of any interested party, and generally for a fee. Approximately 79% of the total cost of this work was offset by fees and other revenue in 1967. Legislation is being proposed to amend the U.S. Grain Standards Act in order to meet the requirements of the modern grain merchandising system. Legislation is also being proposed to (1) amend the Tobacco Inspection Act, U.S. Grain Standards Act, and the Cotton Statistics and Estimates Act to recover in fees the full cost of the special benefit portion of the service; and (2) repeal the Naval Stores and Wool Standards Acts resulting in a reduction of $10,130 thousand in appropriated funds for 1969. The volume of work performed is indicated by examples given in the following tables: STANDARDIZATION ACTIVITIES 11.3 550 11.5 315 Personnel compensation: 63,075 5,595 69,510 6,461 78, 811 6,538 11.8 Special personal service payments... 3. Regulatory activities.-These include the administration of regulatory laws such as Standard Container, U.S. Warehouse, and Federal Seed Acts to assure fair play in the marketplace to protect producers and handlers of agricultural commodities from financial loss due to careless or fraudulent marketing practices and to preserve free and open competition in the marketing of farm products. Assistance is also provided to farmers and others in obtaining and maintaining equitable and reasonable transportation rates and services on farm products and supplies. The Cotton Research and Promotion Act, approved July 13, 1966, is being administered under this item. This law is designed to improve the competitive position and expand markets for cotton through a program of selfassessment by cotton producers. Legislation is being proposed to amend the U.S. Warehouse Act to recover the full cost of administering this act, and to repeal the Naval Stores Act, the Tobacco Seed and Plant Exportation Act, and the two Standard Container Acts resulting in a total reduction of $1,525 thousand for 1969. 1,750 1,750 Includes capital outlay as follows: 1967, $6 thousand; 1968, $4 thousand; 1969, $4 thousand; excludes downward adjustment of $948 thousand in prior year 2 Selected resources as of June 30 are as follows: Unpaid undelivered orders, 1966, $3 thousand; 1967, $7 thousand: 1968, $7 thousand; 1969, $7 thousand. 1. Cash payments to States.-This program is designed to increase the consumption of fluid milk by children in nonprofit schools of high school grade and under, childcare centers, summer camps, and similar nonprofit institutions. Funds are provided under letters of credit to State agencies to reimburse eligible participants for a part of costs. Federal Funds-Continued CONSUMER AND MARKETING SERVICE-Con. General and special funds-Continued SPECIAL MILK PROGRAM-Continued the cost of the fluid milk consumed. Based upon available funds, and prior year participation, initial reserves were established for each State for reimbursement payments through fiscal year 1967. Beginning in fiscal year 1968, available funds are apportioned among the States on the basis of payments made to schools and childcare institutions for program reimbursement during the preceding fiscal year. In especially needy schools, reimbursement payments may be made for the full cost of this milk for children who are unable to pay. In 1967 over 3 billion half pints of fluid milk were consumed by children-over six times the quantity in 1955, the first year of operation of the program. This represents more than 2% of the total nonfarm consumption of fluid milk in the United States. Program activities from 1965 through 1968 are as follows: SCHOOL LUNCH PROGRAM For necessary expenses to carry out the provisions of the National School Lunch Act, as amended (42 U.S.C. 1751-1760) and the applicable provisions of the Child Nutrition Act of 1966 ([80 Stat. 885-890), $182,825,000, of which not less than $14,325,000 shall be used for the purposes of section 6 of the National School Lunch Act] 42 U.S.C. 1773-1785), $184,443,000 including [$5,000,000]_$10,000,000 for special assistance to needy schools, [$3,500,000] $6,500,000 for the pilot school breakfast program, [$750,000 $6,000,000 for the nonfood assistance program, and $2,300,000 for State administrative expenses: Provided, That no part of this appropriation shall be used for nonfood assistance under section 5 of the National School Lunch Act, as amended: Provided further, That [$45,000,000] $64,325,000 shall be transferred to this appropriation from funds available under section 32 of the Act of August 24, 1935 (7 U.S.C. 612c), for purchase and distribution of agricultural commodities and other foods pursuant to section 6 of the National School Lunch Act. (Department of Agriculture and Related Agencies Appropriation Act, 1968.) Program and Financing (in thousands of dollars) 1965 actual 1966 actual 92,005 97,437 1967 prelimi- 1968 nary estimate 4. State administrative expenses. 5. Operating expenses. 2,300 Total program costs, funded 1 Change in selected resources 2. Half pints of milk reimbursed (millions).. 2, 966.8 3,059.1 Average reimbursement rate per half pint (cents). 3.28 3.14 3.29 3.25 2. Operating expenses.-Administrative and technical assistance is furnished to State agencies, participating schools, and child-care institutions. Policies, procedures, and standards are developed for administering the program and determining eligibility. The program is administered directly in some 8,000 outlets where no State agency has assumed the responsibility for its administration or is prohibited by law from disbursing funds to such participants. Object Classification (in thousands of dollars) Identification code 05-32-2502-0-1-659 25 Unobligated balance lapsing......... New obligational authority... 45,000 45,000 64,325 45,000 64,325 |