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1 Procurement authority is vested in the Military Secretaries by statute.

'Departmental procurement instructions are applicable worldwide to all commands of the respective departments.

The procurement responsibilities of the centers, air materiel areas, and the depots are as follows:

The Aeronautical System Center procures all manned aircraft weapon sys-
tems and aerodynamic nonballistic missile systems including major items of
equipment such as engines, airborne electronic gear, fire-control systems, bomb
and navigational systems, and support equipment for specific weapons.

The Ballistic Missiles Center procures ballistic missiles, their guidance sys-
tems, nose cones, powerplants, and specialized ground-support equipment.

The Electronic System Center procures integrated warning and control
systems for air defense and the automatic electronic data processing equip-
ment which uses the intelligence provided from the warning radar.

Each of the air materiel areas procures or arranges the support of the spe-
cific aircraft, guided missiles, ballistic missiles, and control and warning
systems for which it has been assigned as the logistic support manager. This
support includes procurement of replacement parts, operational support, and
necessary maintenance, repair, or modification. In addition, the Rome air
materiel area also procures the electronic systems for communication and
control of flying operations.

The depots procure general support equipment such as refuelers, crashfire trucks, snow-removal vehicles, and radio and radar tubes.

Procurement of research and development in the Air Force is primarily the
responsibility of the Air Research and Development Command (ARDC).
ARDC procures basic and applied research, as well as some equipment proto-
types. It has nine purchasing officers which are responsible for the procure-
ment of many types of research; they also procure limited development asso-
ciated with specific "hardware" projects. It also has a 10th purchasing office
which is the Air Force Office of Scientific Research.

The Air Force also has the single manager responsibility for worldwide
military air transportation, both cargo and passenger. The Military Air
Transport Service (MATS) is the operating agency for this single manager-
ship_and, organizationally, is assigned directly to the Chief of Staff of the
Air Force.

Base procurement in the Air Force is accomplished at individual Air Force bases of all Air Force commands, throughout the world.

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CONSOLIDATED PROCEDURE PROGRAMS

A. SINGLE DEPARTMENT PROCUREMENT

One military department, utilizing its regularly established purchasing system, purchases the requirements for certain commonly used commodities for all military departments. Of the 32 commodities, which include such items as paint, lumber, coal, photographic equipment, and food preparation equipment, 5 are assigned to the Air Force.

Single Department Procurement Assignments

Commodity

Electrical and electronic components-

Lighting fixtures, airport---

Photographic equipment_-_.

Assigned Department Air Force.

Electronic equipment.

Firefighting, rescue, and safety equipment (airport).

Do.1

Do.

Do.

Do.

1 Each Department is assigned procurement responsibility for those items which the Department either designed or sponsored development.

B. PLANT COGNIZANCE PROCUREMENT

One military department effects all procurement from certain assigned aviation plants, thereby permitting proper allocation of production capacity, avoiding duplication of military inspection and providing a single point of contact for the contractor.

Plant Cognizance Procurement Assignments

Location

Manufacturer

AIRCRAFT PLANTS

Assigned department

Do. Do.

Hughes Tool Co., Hughes Aircraft Division

General Dynamics Corp., Convair Division aircraft plant No. 4. Fort Worth, Tex.
Hayes Aircraft Corp.

Beech Aircraft Corp..

Wichita, Kans.
Wheatfield, N.Y.

Bell Aircraft Corp., Niagara Falls Blvd.
Bell Aircraft Corp., Air Force plant No. 18, 2221 Kenmore Ave.. Tonawanda, N.Y.
Boeing Airplane Co....

Cessna Aircraft Co.

Do..

Douglas Aircraft Co., Inc..

Douglas Aircraft Co., Inc., national industrial reserve plant No. 3.
Douglas Aircraft Co., Inc.

Fairchild Engine and Airplane Corp., Fairchild Aircraft Divi-
sion.

General Dynamics Corp., Convair Division plant No. 2.

Renton, Wash.
Seattle, Wash.

Long Beach, Calif.
Hagerstown, Md..

San Diego, Calif.

Air Force.

Do.

Do.

Do.

Do.

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Santa Monica, Calif.
Tulsa, Okla..

Do.

Do.

Do.

Do.

Do.

Do.

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AVCO Manufacturing Corp., Lycoming Division..
AVCO Manufacturing Corp., Bridgeport Lycoming Division..
Continental Motors Corp., Continental Aviation and Engineer-
ing Corp., Research Division, 1470 Algonquin Ave.
Curtiss-Wright Corp., Wright Aeronautical Division..-
Fairchild Engine & Airplane Corp., Fairchild Engine Division
Ford Motor Co., Ford Aircraft Engine Plant, Air Force plant
No. 39 (DOD 75).

General Electric Co., Aircraft Gas Turbine Division, produc-
tion engine department.

General Electric Co., Aircraft Gas Turbine Division, small aircraft engine department, plancor 864.

General Motors Corp., Allison Division, plancor 548

Burbank, Calif...

Do.

Marietta, Ga.

Do.

Van Nuys, Calif.

Do.

Downey, Calif.

Do.

Los Angeles, Calif.

Do.

Hawthorne, Calif.

Do.

Van Nuys, Calif.

Do.

Palmdale, Calif.

Do.

Farmingdale, N.Y.

Do.

Bridgeport, Conn.

Do.

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General Motors Corp., Allison Division, aero products operations. Vandalia, Ohio..

Do.

OTHER PLANTS

Toledo, Ohio.

Do.

Air Force plant No. 27 (DOD 319).

RELATED PROGRAMS

C. SINGLE MANAGER PROCUREMENT

Centralized procurement activities, assigned for management to the Secretary of a single military department, procure the combined net requirements for selected, commonly used commercial type commodities and services for all military departments. Commodities/services included are: subsistence, petroleum and petroleum products, clothing and textile material, medical material, ocean transportation, air transportation, and traffic management services.

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GSA procures commonly used, commercial type items, such as office equipment, for all Government agencies, including the military services. (Repeated from page 1.)

List of Federal supply schedule contracts which are mandatory nationally upon the Department of Defense

Gasoline and lubricating oil-service station deliveries.

Tires and tubes (other than aircraft), part II' (commercial tires and tubes only).

Brake lining, clutch facings, oil filter elements, and tire chains, etc., part IV. (Selected items only are mandatory upon DOD.)

Spark plugs, part II.1

Electric lamps, part VI.1

Household and quarters lamps, part VII.'

Purchase, maintenance, repair, and rental of michophotographic equipment, and supplies, part IV.1

Household and quarters furniture, parts I1 through IV.1

Office furniture, wood and steel, including steel insulating filing cabinets, part V.1

Floor coverings, part I.1

Books, part I,' sections A and B.
Periodicals and law books, part II.'
DOD.)

(Section A only is mandatory upon DOD.) (Law books section only is mandatory upon

Drafting room and office supplies, part I.1

Envelopes, printed and plain, part V.1

Typewriters (manual and electric); purchase, exchange allowances, and repair parts; maintenance and reconditioning of electric typewriters, part I. Office equipment, part III,' sections A and B.

Offset duplicating blankets and plates, direct image and photographic (metal and paper type), part IV.1

Vacuum cleaners and repair parts, accessories and attachments, part II.1
Aircraft tires (casings and tubes).

Recordings and transcription service, part I.1

Refers to GSA catalogues which contain pertinent data relative to these items.

Mr. VINSON. Now let's stop right there and get this.

This is important, now, so you can follow it down and know what you are talking about.

Now, on page 3: "Procurement Study-Army," as to who makes the contracts in the Department.

Later on, we will come to what types of contracts.

Now, here is the history of the contracts.

Under the Secretary of Defense, the Assistant Secretary of Defense for Supplies and Logistics.

Now, Mr. Courtney, you pick up there and you read all this out:

Under the Secretary of Defense, the Assistant Secretary of Defense, Supplies and Logistics, establishes procurement policies and procedures for the entire Department. The Secretary of Defense has no contractual authority except in research and development

by the law of 1958.

Now, then, he does fix the policy, after consultation, as you will see, with the Departments.

Now, go ahead, Mr. Courtney, right on the second line.

Mr. COURTNEY. Beginning, then, with the establishment of the policy, which essentially is incorporated in the Armed Services Procurement Regulations, which are mandatory on the three Departments, the Assistant Secretary of Defense for Logistics terminates his responsibility, except for review on policy.

Mr. VINSON. All right.

Mr. COURTNEY. In the Army, the Assistant Secretary of the Army for Logistics is the

Mr. VINSON. Well, read out what you have.

Mr. COURTNEY. Is the actual head.

Now, within each military department, the Assistant Secretary of the Army (Logistics) has delegated to the Deputy Chief of Staff for Logistics the authority for carrying out his procurement functions throughout the Army Establishment. The Deputy Chief of Staff directs and controls the procurement functions of the technical services, which include the Chemical Corps, Corps of Engineers, Ordnance Corps, Signal Corps, Quartermaster Corps, Transportation Corps, and Army Medical Service.

The procurement responsibilities of the individual technical services are as follows

Mr. VINSON. Now, these are the people in the Department of the Army that make the contract.

Now, read them out. "Chemical Corps."

Mr. COURTNEY (reading):

Procurement of services, materiel, and equipment pertaining to chemical, biological, and radiological warfare, and related research.

Mr. VINSON. All right.

Mr. COURTNEY (reading):

Corps of Engineers: Procurement of the engineering, construction, repair, and real estate services and material for the Army and the Air Force, and related research.

Ordnance Corps: Procurement of ordnance material, including guns, missiles, ammunition, motor vehicles, and related research.

Signal Corps: Procurement of signal communications, electronics, pictorial, and cryptologistic services and material, and related research.

Transportation Corps: Procurement of transportation services and material for the Army, and related research. In addition, the Military Traffic Management Agency, a single managership, operates under the Transportation Corps. Quartermaster Corps: Procurement of all types of quartermaster equipment, supplies and services, and related research. Additionally, two single manager commodity assignments made to the Army, the Military Subsistence Supply Agency, and the Military Clothing and Textile Supply Agency, operate under the Quartermaster Corps.

These are all for services.

Army Medical Service: Contracts for dependents' medical and hospitalization services, medical research, and miscellaneous supplies and services for support of Army hospitals.

In addition, the six continental Armies in the United States and the Military District of Washington supervise the not inconsiderable volume of local procurement effected at the level of Army posts, camps, and stations.

The direction of the Army's research and development effort is vested in the Director of Research and Development and the military Chief of Research and Development. Under their direction and control, the technical services are responsible for the research, development, and test of materiel assigned to them. Mr. VINSON. All right.

Now, stop right there.

Now, members of the committee, get this in your minds. These are the agencies in the Army that are authorized by the setup, under the direction of the Assistant Secretary of Defense for Supply and Logistics, to formulate the policies to make the contracts that spend the amount of money that the Government appropriates to support the Army, some $7 billion, for this fiscal year.

Now, the next column is the coordinated procedure program, which you are trying to bring into close cooperation, the activities that relate not only to the Army but relate to the other Departments, in hoping to bring about some uniformity and some economy. Now, you get there a single department procurement.

Start there, now, Mr. Courtney.

Mr. COURTNEY. Well, there are 32-within the Department of Defense, there are 32 categories of items purchased, which are distributed among the three services. And there have been 17 of such items distributed or assigned to the Army.

Mr. VINSON. All right.

Now, there are the items.

Mr. COURTNEY. Here they are [pointing].

Mr. VINSON. There are the articles. There are the 17 articles that the Army procures for the other services.

Now, the next is plant cognizance procurement assignments.
Now, the Army has no responsibility in that field at all.

Then it goes to the fourth column, which is single management procurement.

Take that up now, Mr. Courtney.

Mr. COURTNEY. Now, the Army has four single manager assignments. Now, single manager means that it is in complete charge of either the service or the supply.

Subsistence is all purchased by the Army and distributed and handled for the three services; that is, perishable and nonperishable. Clothing and textiles is handled as a single manager by the Army and operates through and under, as a separate agency, under the Quartermaster Corps.

Mr. BECKER. Is that for all services?

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