The justifications which have been furnished the committee provide detail as to the elements of costs included in each item. I will not take the time of the committee by repeating this information, but we will be glad to furnish any further detail that may be required. Mr. Whitten, all of the agencies that are affected are present; and if there are any questions, we will be glad to answer them. STATUS OF CCC BORROWING AUTHORITY Mr. WHITTEN. I would like to have this chart and the table included in the record at this point without objection. (The matter referred to follows:) Analysis of status of statutory borrowing authorization, July 1956 through July 1958 (July-December 1957 actual; remaining months estimated) 1 Borrowing authority increased from $12,000,000,000 to $14,500,000,000 in August 1956. JUSTIFICATION OF THE ESTIMATES Mr. WHITTEN. If agreeable to the committee we will put into the record the pertinent portions of the justifications for the various supplemental requests. (The material is as follows:) AGRICULTURAL RESEARCH SERVICE Justification for supplemental estimate, fiscal year 1958, for repayments to Commodity Credit Corporation for advances for animal disease eradication activities, Agricul tural Research Service NEED FOR INCREASE The Department of Agriculture and Farm Credit Administration Appropriation Act, 1958, appropriated $18,581,660 to reimburse Commodity Credit Corporation for authorized transfers through June 30, 1956 (including interest through June 30, 1957), to conduct the above two programs. The proposed supplemental estimate of $18,942,413 is to repay the Commodity Credit Corporation for funds advanced for these programs in fiscal year 1957. The amounts required, including estimated interest through March 31, 1958, are as follows: (1) For eradication of vesicular exanthema of swine__. (2) For brucellosis eradication__. Total... Details of the programs are as follows: $1, 393, 490 17, 548, 923 18, 942, 413 (1) Eradication of vesicular exanthema of swine, $1,393,490 Pursuant to authority contained in the Department of Agriculture and Farm Credit Administration Appropriation Act, 1957, which provided for the transfer from other appropriations or funds available to the bureaus, corporations, or agencies of the Department, of not to exceed $1,550,000 for eradication of vesicular exanthema of swine for 1957, indebtedness to Commodity Credit Corporation for the operation of this program was incurred as follows: Operating funds... Indemnity payments. Subtotal Unobligated balance forwarded to fiscal year 1957. Transferred from Commodity Credit Corporation. Unrestored balance, 1956 principal. Estimated interest to Mar. 31, 1958. Total required for reimbursement to Commodity Credit (2) Accelerated brucellosis program, $17,548,923 1957 $1, 303, 240 52, 499 1, 355, 739 -50,000 +44, 261 1, 350, 000 1, 307 42, 183 1, 393, 490 Section 204 (e) of title II of the Agricultural Act of 1954 (Public Law 690, approved August 28, 1954), as amended by Public Law 465, approved April 2, 1956, provided for the transfer of not to exceed $20 million for 1957 from funds available to the Commodity Credit Corporation to the appropriation "Salaries and expenses, Agricultural Research Service, plant and animal disease and pest control" for the operation of the accelerated brucellosis program. Pursuant to this authorization, indebtedness to Commodity Credit Corporation for the operation of this program was incurred as follows: Operating funds. Indemnity payments. 1957 $13, 142, 462 3, 894, 720 Subtotal. Unrestored balance, 1956 principal. Estimated interest to Mar. 31, 1958. Appropriation or estimate required to reimburse Commodity 17, 037, 182 11, 794 499, 947 17, 548, 923 AGRICULTURAL MARKETING SERVICE Justification for supplemental estimate, fiscal year 1958, for reimbursement to Commodity Credit Corporation for advances for grading and classing activities An increase of $1,139,982 is requested to reimburse Commodity Credit Corporation, including interest, for amounts advanced and used in fiscal year 1957 for inspecting and grading tobacco and classing cotton not placed under commodity loan. Normally, an estimate would be included in the 1959 budget for this repayment. However, the currently estimated volume of activity under the pricesupport programs is expected to require funds in excess of the CCC authorized borrowing authority unless this and other repayments are made before fiscal year 1959. The funds would be immediately paid to CCC as reimbursement for advances made in 1957 to inspect and grade tobacco and to class cotton not placed under CCC loan. The basis for the supplemental amount requested for 1958 is as follows: Cotton: Estimated total number of classings by Federal employees-- Estimated total bales classed under Smith-Doxey Act going Advance from CCC. Estimated cost of classing loan cotton (4,695,679 times 17.17 Tobacco: To be repaid CCC... Estimated total quantity of tobacco inspected and graded Estimated cost of tobacco inspection at designated markets_ Advance from CCC... Estimated cost of inspecting loan tobacco (15.89 percent To be repaid CCC.. Total amount to be repaid: 21, 189, 039 $3, 637, 644 17. 17 4, 695, 679 $1,900, 000 806, 249 1,093, 751 2, 207, 391, 000 $2, 189, 452 350, 766, 033 15. 89 $598, 500 347, 904 250, 596 Cotton... Tobacco.. Total... Interest.. Total amount to be reimbursed to CCC. Repaid from unobligated Marketing Services balances in Supplemental estimate, 1958. 1,093, 751 250, 596 1, 344, 347 45, 635 1, 389, 982 250,000 1, 139, 982 |