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I then told him: "Well, Frank, I just happen to have a copy of a proposed Executive order with me."

The President had totally agreed with me. However, the Executive order was never issued because it was sent to BLM and other agencies for comment. To this day, we still have that overlapping duplication.

If I had been President-I have just criticized President Carter; however, most of our Presidents have operated in the same manner-I would have said, "Forget the comment from BLM." If I have the authority to issue an Executive order, I will do it. I think this attitude is the only way we are going to be successful in reducing the regulatory burdens imposed by the Government. I think President Reagan is willing to take this attitude in order that regulatory burdens can be eased. I do have an additional question which I would like to submit to you for response in the record. Do you have anything else you would like to add?

Mr. PETKAS. No, sir. Just on that one point which is that the critical mix, I think, is a President who makes these kinds of reforms a top priority and people who run the agencies who share in that commitment. If you have the two together, you have a winning effort to make those changes.

Senator GARN. Well, considering what President Reagan has stood up to within the last week and a half, he ought to be able to stand up to some of the Federal agencies.

Mr. PETKAS. Absolutely.

Senator GARN. Thank you very much.

SUBMITTED QUESTION

[The following question was not asked at the hearing but was submitted to the Department for response subsequent to the hearing:]

QUESTION SUBMITTED BY SENATOR GARN

DELEGATION OF FUNDING

Question. During fiscal year 1980 and the first two quarters of fiscal year 1981, who was responsible for making the budget decisions within the amounts allocated to the Regulatory Council?

Answer. The Administrator of the Environmental Protection Agency delegated the authority for Regulatory Council budget decisions to the Director of the Regulatory Council. This situation is still in effect.

When the new EPA Administrator is confirmed, the situation will be reviewed with her. We will keep the committee informed of any contemplated changes.

EXECUTIVE OFFICE OF THE PRESIDENT

COUNCIL ON ENVIRONMENTAL QUALITY

STATEMENT OF MALCOLM F. BALDWIN, ACTING CHAIRMAN

ACCOMPANIED BY:

EDWARD L. STROHBEHN, EXECUTIVE DIRECTOR

NICHOLAS C. YOST, GENERAL COUNSEL

Senator GARN. The Council on Environmental Quality was established by the National Environmental Policy Act-NEPA-and the Environmental Quality Improvement Act of 1970 and is located in the Executive Office of the President.

The Council's primary responsibility is to provide the President and the Congress with timely and authoritative advice on key environmental policy issues. While providing direct advice, staff support, and technical expertise in assisting the President formulate environmental policy initiatives, the Council is responsible for maintaining policy oversight of other Federal agencies' implementation of NEPA. Finally, CEQ, through studies, analyses, and testimony, also responds to congressional requests for information on and assessments of environmental issues and programs.

The administration has proposed a rescission in fiscal year 1981 of $708,000. In fiscal year 1982, you are requesting $1,044,000 and 16 permanent positions. This is a reduction of $2,301,000 and 16 permanent positions from the current appropriated fiscal year 1981 level.

I would say at this point, that CEQ agreed with my proposed Executive order. Yet, even with CEQ behind my proposed executive change, I still did not materialize.

Please go ahead with your opening statement.

Mr. BALDWIN. Thank you, Mr. Chairman. I am Malcolm Baldwin, the Acting Chairman of CEQ. I have been in this capacity since January 20 at the request of the Reagan administration, and I have been a senior staff member at the Council since 1974.

PREPARED STATEMENT

I won't read my formal statement, but ask that it be inserted in the record.

Senator GARN. We will be happy to include your entire statement in the record.

[The statement follows:]

STATEMENT OF MALCOLM F. BALDWIN

The President's revised fiscal year 1982 request for appropriations for the Council on Environmental Quality and the Office of Environmental Quality provides for $1.044 million and 16 full-time-equivalent persons, including the 3 Council members, who are ap

pointed by the President with the advice and consent of the Senate. Attached is my February 25, 1981, statement concerning the Council's authorization that I presented to the Subcommittee on Fisheries and Wildlife Conservation and the Environment of the House Committee on Merchant Marine and Fisheries. This statement provides an upto-date overview of the Council's structure and activities.

The reductions from prior administration's budget request for 1982 are an integral part of this President's desire to reduce the size of the Executive Office and immediate staffs. The reductions for CEQ are similar to those for the Office of Science and Technology Policy, the Council on Wage and Price Stability, and some other Presidential staff offices.

At the same time, the basic mission of CEQ remains intact. The precise activities that will be undertaken in CEQ in 1982 will be determined by the new Council. Sufficient staff and funds will be provided to meet the Council's basic statutory efforts such as publishing the annual report, providing support and oversight for the EIS development process, and other activities under NEPA. Most importantly, CEQ will continue its advisory role to the President on environmental issues.

To accomplish these tasks, the Council will rely not only on its own staff resources, but also on the resources of the major executive branch agencies which have now developed excellent analytic and program implementation capabilities surrounding environmental legislation.

The Council's basic statutory responsibilities will form the basis for defining the structure and operations of the new Council. These responsibilities are to

(1) Advise and assist the President in the preparation of the Annual Environmental Quality Report to the Congress (NEPA sec. 204(1), (7));

(2) Oversee agency implementation of the National Environmental Policy Act (NEPA) and the Council's NEPA regulations (NEPA sec. 204(3); EQIA sec. 203(d)(5)); (3) Gather, analyze, and report on environmental data which describes the conditions and trends of the Nation's environment (NEPA sec. 204(2), (6); EQIA sec. 203(d)(3), (4), (6), (7));

(4) Work with agencies to resolve environmental issues; mediate and resolve interagency disputes referred to the Council by the various agencies under section 309 of the Clean Air Act and the NEPA regulations; and assist in coordinating agency programs which involve environmental quality (Clean Air Act sec. 309; NEPA sec. 204(3); EQIA sec. 203(d)(2), (5));

(5) Advise the President on environmental policy and agency program issues (NEPA sec. 204(2), (3), (4));

(6) Conduct investigations, studies, surveys, research, and analyses related to environmental quality (NEPA sec. 204(5), (8); EQIA sec. 203(d)(7)); and

(7) Maintain communications with representatives of industry, conservation organizations, and other groups regarding their environmental interests and concerns (NEPA sec. 205(1)).

I hope this information is helpful to the committee and I will be pleased to answer any questions you may have.

STATEMENT OF MALCOLM F. BALDWIN BEFORE THE SUBCOMMITTEE ON FISHERIES AND WILDLIFE CONSERVATION AND THE ENVIRONMENT OF THE HOUSE COMMITTEE ON MERCHANT MARINE AND FISHERIES

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This testimony is an overview of the Council's activities. With respect to our appropriations authorization request for fiscal years 1982 through 1984, the Council will transmit a draft bill to the Congress as appropriate shortly after the Reagan Administration FY 1982 Budget is sent to the Congress on March 10, 1981

The Council on Environmental Quality was established by the National Environmental Policy Act of 1969 (NEPA) as a policy oversight and advisory unit within the Executive Office of the President. The Council's overall responsibilities are:

to provide policy advice to the President and the
Congress;

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to oversee agency implementation of NEPA;

to coordinate and to assist in resolving interagency
environmental issues;

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to develop and improve environmental data and monitoring
capabilities governmentwide;

to assist and advise the President in the preparation of
the Annual Environmental Quality Report to the Congress.

Because environmental issues and statutory requirements affect nearly every federal agency, CEQ's activities cut across agency jurisdictional lines. Providing interagency coordination and guidance are routine parts of CEQ's activities. Key agencies with which CEQ has almost daily contact are the Office of Management and Budget and other agencies and staff within the Executive Office of the President, the Environmental Protection Agency, the Departments of the Interior, Agriculture, Transportation, Energy, State, Housing and Urban Development, and Health and Human Services, and the National Oceanic and Atmospheric Administration.

Since 1970, the Council has performed the following duties:

policy issues

Regularly provided the President, White House staff, and agencies in
the Executive Office of the President with environmental
analysis and confidential advice on critical environmental
and proposed decisions.

Developed a system which applies to all federal agencies for implementing the National Environmental Policy Act's environmental impact statement requirement. In 1978, after extensive consultation with agencies and citizen and business interests, CEQ established one uniform set of regulations to replace the separate federal agency regulations. The new regulations are designed to reduce delays and paperwork and to make the impact statement process more useful for agency decisionmakers.

o Prepared eleven Annual Reports for the President on the state of the national and global environment. These reports are widely circulated reference works serving federal agencies, the Congress, international and educational institutions, and the general public. About 35,000 copies are distributed each year.

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