in the Department in accordance with the President's and the Secretary's directives. To simplify operations relative to special civil rights activities, the contract compliance activities located in the Office of Plant and Operations were assigned to the Office of the Secretary. RURAL ELECTRIFICATION ADMINISTRATION REA functions concerned with borrowers' development were grouped under a newly established Assistant Administrator for Borrower Development. This change provided for better coordination and direction of staff services as needed to keep pace with the growing strength and development of electric and telephone borrowers. The policy and program review function of the agency was centralized in the position of Deputy Administrator for Policy and Program Review. This change was made to assist the Administrator in developing and directing programs and policies aimed at operations improvement and cost reduction. Also, an Electric Operations and Standards Division was established to combine staff functions pertaining to engineering and nonengineering activities. AGRICULTURAL STABILIZATION AND CONSERVATION SERVICE The principal organization changes and realinements in this agency were as follows: The Evanston and Kansas City Commodity Offices were consolidated in Kansas City following a decrease in workload brought about by a reduction of inventories and the phasing out of loan and inventory accounting operations to the Data Processing Center in Kansas City. The Kansas City Commodity Office was assigned nationwide responsibility for program operations in connection with grain and other assigned commodities. The Evanston Commodity Office was abolished. FEDERAL CROP INSURANCE CORPORATION Total employment in this agency dropped by 240, from 1,817 employees in 1965 to 1,577 in 1966. The decrease was primarily among persons hired for intermittent service as salesmen and loss adjusters and paid on the basis of "when actually employed." CONSUMER AND MARKETING SERVICE A major change in this agency was accomplished by reorganization of the meat inspection service. Activities were realined and assigned to the following new divisions for better coordination of functions: Livestock Slaughter Inspection Division; Processed Meat Inspection Division, and Technical Services Division. An administrative staff and Compliance Evaluation staff were placed in the Office of the Deputy Administrator, Consumer Protection. Responsibility for administering field activities was placed in seven meat inspection district offices, also reporting to the Deputy Administrator, Consumer Protection. The Technical Services Division was assigned the additional duty of providing the Poultry Division with services related to facilities, equpment, physical sciences, and labeling and packaging; and the Compliance and Evaluation staff was assigned the additional duty of conducting regulatory work for the Poultry Division under the Poultry Products Inspection Act. As a result of studies made to improve its administrative management services, Consumer and Marketing Service abolished its area administrative divisions during the year. These were located in Hyattsville, Chicago, and San Francisco. A single field operations branch, with offices in Chicago and Hyattsville, was established to replace the three area divisions. Personnel and administrative services work for field activities will be performed in the Chicago office. Budget and fiscal work for these activities will be performed in the Hyattsville office. STATISTICAL REPORTING SERVICE Significant organizational changes were made in the Statistical Reporting Service. The Field Operations Division was abolished and its functions and personnel transferred to the Office of the Administrator and to a newly established Survey and Data Division. The Washington Data Processing Center was established as a separate organizational entity. Its function is to provide automatic data processing services to meet the needs of the agencies of the Department. Services include systems analysis, computer programing and electronic and electromechanical data processing. AGRICULTURAL RESEARCH SERVICE The following organizational changes were made in the Agricultural Research Service: The Pesticides Regulation Division was reorganized to improve effectiveness and efficiency of registration, sample analysis, and enforcement processes, and to increase emphasis on major problems of residue tolerances and environmental safety so as to provide greater protection for the public. The Program Examination and Budget Development Division, which was renamed Budget Division, was reorganized to provide for better development of comprehensive multiyear programs and financial plans used in allocating resources to accomplish Service objectives. The housing portion of the Clothing and Housing Research Division's program was terminated in accordance with the agreement of April 1965 between the Secretary and the Senate Appropriations Committee, and the Division itself was abolished in the interest of greater efficiency and economy of operation. Its ongoing clothing research was transferred to the Consumer and Food Economics Research Division. A new U.S. Meat Animal Research Center of the Animal Husbandry Research Division was organized at Clay Center, Nebr., with funds appropriated by the Congress to conduct research on breeding, nutrition, and management of beef cattle, sheep, and swine. The administrative management divisions were reorganized by delegating further authorities to field administrative divisions, the objective being to facilitate effective management of field programs and creation of broader staff functions for the central administrative management divisions. The Western Administrative Division was abolished and the Eastern Administrative Division was assigned operations formerly performed by the Washington office. DEPARTMENT OF COMMERCE OFFICE OF THE SECRETARY Office of Equal Opportunity.-The Office of Equal Opportunity was abolished on November 7, 1966. The Assistant Secretary for Administration, under Department Order 134, was authorized to carry out the Secretary's responsibilities for providing Department-wide leadership over and coordination of all equal opportunity programs and activities throughout the Department, and for providing staff services to bureaus and offices on equal opportunity matters. Under Secretary for Transportation.-The Office of the Under Secretary of Commerce for Transportation will be abolished upon the effective date of the establishment of the Department of Transportation. The Department of Transportation was established by Public Law 89-679, approved October 15, 1966, effective 90 days after the Secretary first takes office, or on such prior date after enactment of this act as the President shall prescribe and publish in the Federal Register. The following constituent operating units reporting to the Under Secretary for Transportation will be transferred to the Department of Transportation upon the formal establishment of that Department. Office of Emergency Transportation. Office of Transportation Research. Office of High-Speed Ground Transportation. New York World's Fair.-The Office of the Commissioner, U.S. Commission-New York World's Fair, established by Department Order 180 on August 7, 1962, to present the U.S. Government participation at the New York World's Fair, was abolished upon liquidation of the Commission's functions. BUREAU OF THE CENSUS The Office of the Assistant Director for International Statistical Programs was established to facilitate the work on international statistics. COMMUNITY RELATIONS SERVICE The Community Relations Service, established by Department Order 194 on September 15, 1964, was transferred to the Department of Justice effective April 22, 1966, pursuant to Reorganization Plan 1 of 1966. ECONOMIC DEVELOPMENT ADMINISTRATION The Office of Regional Economic Development established on April 6, 1966, was abolished on December 22, 1966, and its functional responsibilities integrated within the Economic Development Administration. Area offices were established on April 6, 1966, in Portland, Maine; Wilkes-Barre, Pa.; Huntington, W. Va.; Huntsville, Ala.; Duluth, Minn.; Austin, Tex.; and Seattle, Wash., to provide for more effective administration of agency program responsibilities in the field. ENVIRONMENTAL SCIENCES SERVICES ADMINISTRATION The Office of World Weather Systems was established as a special staff office to provide leadership in the international meteorological program known as the World Weather Watch. NATIONAL HIGHWAY SAFETY AGENCY The National Highway Safety Agency was created on November 9, 1966, pursuant to the National Highway Safety Act of 1966, approved September 9, 1966. The Agency was created for developing and implementing State highway safety programs, and to foster and perform highway safety research and developmental activities. This Agency will be transferred to the Department of Transportation upon the effective date of the establishment of that Department. MARITIME ADMINISTRATION An Office of Maritime Promotion was established to centralize functions dealing primarily with trade promotion for U.S.-flag ships. These functions include: promotion of ports and port facilities, and integrated transportation systems; promotion of increased cargoes; administration of cargo preference statutes; and studies of cargo and traffic data. An Office of Maritime Manpower was established in recognition of the increasing impact of maritime labor problems on Maritime Administration programs. This Office acts as a labor advisory office; conducts continuing studies of labor-management relations and man-machine relationships, and cooperates with the Department of Labor in developing programs for training maritime personnel affected by automation or other technological advances; it also coordinates activities relating to officer training at the U.S. Merchant Marine Academy and State maritime academies. An Office of Data Systems was established to operate a new computer system with magnetic tapes, and develop systems for application of computer techniques to maritime operations." The Office of Statistics was abolished. Cargo and ship data functions were transferred to the Office of Maritime Promotion, and labor data functions were transferred to the Office of Maritime Manpower. PATENT OFFICE The Office of Patent Services was established within the jurisdiction of an Assistant Commissioner to perform the line activities in servicing the examining corps, patent applicants, and the general public. BUREAU OF PUBLIC ROADS The Bureau of Public Roads will be transferred to the Department of Transportation upon the effective date of the establishment of that Department. ! 77-161 0-67- -3 NATIONAL TRAFFIC SAFETY AGENCY The National Traffic Safety Agency was created on November 9, 1966, pursuant to the National Traffic and Motor Vehicle Safety Act of 1966, approved September 9, 1966. The Agency was created in order to reduce deaths and injuries to persons resulting from traffic accidents. The Agency is to work to this end by establishing safety standards for motor vehicles and equipment in interstate commerce, by undertaking and supporting necessary safety research and development, and by expanding the national driver register. This Agency will be transferred to the Department of Transportation upon the effective date of the establishment of that Department. U.S. TRAVEL SERVICE To further the goals of the promotion of travel from overseas to the United States, the U.S. Travel Service opened an office in Stockholm. DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT The two major organizational changes within the Navy Department were probably the most significant within the DOD for 1966. In the first, the top echelons of the Navy were substantially realined to place all elements of the Navy under the Chief of Naval Operations and in the second, the four material bureaus were combined into one Naval Material Command. The former change increases the authority and responsibilities of the Chief of Naval Operations to the point that for the first time he is actually in charge of the entire Navy. These two changes also brought the Navy more in line with the Army and Air Force at the departmental level. The effort to create an integrated programing/budgeting/accounting system for operations is continuing to receive major emphasis in the Department of Defense. Procedures are being devised to enable the Department to program, budget, and account for its resource usage consistently. During 1966 a new Deputy Assistant Secretary of Defense was established for Management Systems Development, and many changes were made in Department regulations and procedures to prepare for the new integrated system. Commencing in 1967 the total resources utilized by all activities financed by the major operations appropriations will be charged to the actual users of the resources. This will enable the Department to follow its planning decisions through their implementation phases in the same terms. Moreover, each operating manager will be able to determine his total resource usage, thus aiding him in planning and using his resources effectively and efficiently in accomplishing his assigned mission responsibility. The necessity to relocate the U.S. forces stationed in France to other locations in Europe and the United States by March 31, 1967, occasioned by the French unilateral decision initiated a rearrangement of the European Command structure. The merger on December 1, 1966, of Headquarters, 7th Army formerly located at Stuttgart, Germany, |