The Office of Civil Archives and the Office of Military Archives were combined into a single Office of National Archives.

An Office of Administration and Technical Services was established. in addition to performing the function formerly assigned to the Administrative Office, this office is responsible for the planning, programing, and budgeting system functions; functions designed to improve performance of the educational mission of the National Archives; and other NARS-wide support functions.

PROPERTY MANAGEMENT AND DISPOSAL SERVICE

The Defense Materials Service and the Utilization and Disposal Service were consolidated into a new Property Management and Disposal Service. This consolidates GSA's rapidly growing Governmentwide property management and disposal functions and responsibilities. The real property appraisal functions of the Public Buildings Service were transferred to the Property Management and Disposal Service. This change consolidated GSA's appraisal functions into a single

service.

INTERSTATE COMMERCE COMMISSION

The plan to realine headquarters bureaus and offices along functional lines became fully operational during the year. Increased productivity and economies of operations resulting from the plan exceeded expectations. Although no major changes were made in the headquarters and field organization, refinements were attained in the internal structure of the Office of the Managing Director, the Bureau of Accounts, and the Bureau of Operations and Compliance. In addition, the function of processing section 5a agreements under the Interstate Commerce Act was transferred from the Bureau of Operations and Compliance to the Office of Proceedings.

Previously reported to the committee was the President's Reorganization Plan No. 3 which became effective on July 27, 1965. This plan transferred to the Commission all functions and positions provided for in the Locomotive Inspection Act of February 17, 1911, as amended and supplemented. Prior to the reorganization, the Commission's ability to organize and effectively administer its responsibilities for railroad safety were severely limited by outdated provisions of the act. The reorganization has enabled the Commission to increase productivity through an intensive coordinated effort of work activity and the cross-training of our field forces in railroad safety and locomotive inspection activities. Also, the former supervisory districts were reduced from eight to seven and realined to conform without regional pattern. Although the plan had been effective for less than a year, our commitment to increase productivity in rail safety work by 15 percent was exceeded. During the fiscal year of 1966 a total of 95,840 inspections of locomotive units were conducted, which was an increase of 26 percent over the 76,044 inspections conducted in the preceding fiscal year. This increase in productivity was achieved without additional funds or personnel or change in the substantive duties and functions under the Locomotive Inspection Act.

Total savings under the Commission's cost reduction program amounted to $850,500 during the fiscal year 1966. These savings,

which exceeded the originally established goal by $123,000 were applied to finance mandatory increased costs, high priority programs, and the production of more units of work. The largest saving, $429,500 was a result of the reorganization of the Commission's headquarters activities. The most important feature of this plan was the consolidation of three formal proceedings bureaus into a single Office of Proceedings. The savings realized from this action resulted from the elimination of supervisory positions, reassignment of hearing examiners, better utilization of clerical employees, and an overall increase in productivity. Savings from the implementation of the President's Reorganization Plan No. 3 amounted to $230,000 and was accomplished through an increased production of work units as a result of the more efficient utilization of railroad safety personnel. A review of the Commission's inventory of motor carrier operating authorities program showed it to be of marginal benefit and an annual savings of $80,000 was realized through its elimination. Savings amounting to $111,000 resulted through increased automation and revision of procedures.

The Commission is vitally interested in the efficient utilization of automatic data processing techniques to increase productivity, and is continuing to improve systems design and to monitor the adequacy and proper use of presently available equipment. The goal of the commission is an electronic data processing installation capable of producing all recurring reports within the Commission's area of responsibility and capable of preparing statistical and comparative data for special studies and hearings.

The program to develop computer procedures which automatically review and tabulate information from carrier reports has progressed to the point where all class I and II motor carrier annual reports (approximately 3,600) are capable of being fully processed by computer. During the year, the processing of railroad accident reports was programed for the Commission's electronic computer. All information needed to produce monthly, quarterly, and annual publications is now edited, collected on magnetic tape, summarized, and printed by computer. Greater accuracy and accelerated publication dates are expected from this use of automatic data processing.

A continuing effort to gain office space and filing equipment resulted in over 5,000 cubic feet of records being transferred to storage, thereby releasing equipment and space with replacement values in excess of $16,000. A large number of motor carrier docket files were included in the transfer. Current docket files were relocated in a single basement area, an automatic lift was installed between the file area and the public reference room and the space available for public reference use was doubled.

Proposed records retention plans were drafted by the National Archives at the Commission's request. These plans, when completed, will serve as a guide for the selection of a sample of certain records from the docket, tariff and carrier annual report files. The records selected will be permanently retained by the National Archives, together with other Government records having historical and research value. The Forms Management Program produced an estimated $15,000 in savings during the fiscal year by eliminating, combining

and redesigning forms. Savings also resulted from reductions in printing and copy preparation costs.

The Commission was faced with an unprecendented workload in fiscal year 1966. A total of 11,572 formal cases was received, an increase of 1,997 cases, or 20.9 percent over the 9,575 received in fiscal year 1965, and 36 percent more than the 8,511 cases received in fiscal year 1964. The increase in receipts was almost totally centered in the applications for motor carrier operating authority.

The precedural and reorganizational changes in recent years substantially aided the Commission in its case processing procedures; however, even these improvements could not cope with the rapid increase in workload. During the year the number of pending cases increased 34 percent to a total of 8,050 at the end of the fiscal year. Faced with such an alarming increase, the Commission continued to explore new means to expedite case processing. Toward this end, the following two actions were taken :

(1) A new form for motor carrier licensing applications was developed which incorporates substantial changes. The most important is a requirement that applicants who intend to rely upon the evidence of public witnesses must submit affidavits signed by prospective witnesses indicating their willingness to support the application.

(2) The rules of practice were changed to require applicants in motor carrier licensing cases to notify the Commission within 30 days after protests are filed, that they intend to continue to prosecute their applications.

Another change during the year had the effect of increasing the number of cases disposed of without oral hearings. After careful screening, all unopposed applications are now assigned for handling under a modified procedure without oral hearing, and opposed cases in which an oral hearing is not considered necessary for their proper disposition are assigned directly to Employee Review Boards for disposition. The Board's decisions, however, are subject to review or appeal at the Commission level.

Effective April 1, 1966, responsibility for the handling of rail safety cases (other than failure to file accident reports under sec. 8 of the Locomotive Inspection Act) was decentralized from the central office to regional attorneys in the field. This action has enabled these cases to be handled efficiently and promptly in the general area where they originate. The additional workload resulting from this decentralization is being absorbed by commission attorneys without an adverse effect on the remaining enforcement program. For example, 281 rail-safety cases were concluded by the field staff during the period July 1 to September 30, 1966, without noticeably affecting the backlog of other work.

NATIONAL AERONAUTICS AND SPACE

ADMINISTRATION

Employment at the Electronics Research Center in Cambridge, Mass., increased from 342 on January 1, 1966, to 622 on January 1, 1967. This change reflects the gradual buildup of this Center to as

sume the broader range of responsibilities that had been contemplated when it was established in 1964.

Nearly 400 employees have been added to the Manned Spacecraft Center at Houston, Tex., during the past year. This increase is attributable largely to the increasing workload in flight operations and astronaut training generated by the frequency and nature of final Gemini flights and by the oncoming Apollo flights.

On June 15, 1966, the Western Operations Office (WOO) located at Santa Monica, Calif., was redesignated the Western Support Office and was relieved of responsibility for providing procurement and related administrative services by its NASA office-Downey and for NASA installations not located on the west coast. As a component of NASA Headquarters, the Western Support Office will continue to provide general informational and other services to industry and the public and to perform administrative, legal, technical, and related services and support for NASA Headquarters and field installations not located on the west coast.

WOO's former employees at NASA Office-Downey (i.e., representing NASA under its contracts with North American Aviation, Inc., and supporting field installation projects at that contractor's site) are currently assigned to NASA Headquarters and will soon be assumed by elements of the Manned Spacecraft Center and Marshall Space Flight Center located at Downey.

WOO's other procurement services will be provided by the NASA Pasadena office (formerly called NASA resident office-JPL), which is a component field activity of NASA Headquarters located at the Jet Propulsion Laboratory. That Office will continue to provide procurement and related services at JPL and it will also provide such services for the Voyager spacecraft and other NASA programs. Employment by that Office has always been included with headquarters. In summary, the Western Support Office, which replaced WOO, is a component of NASA Headquarters and not a major NASA field installation like WOO and the research and development centers. Of the 379 people employed by WOO on January 1, 1966, 337 are included in the headquarters total for 1967 and 40 have been redistributed and included among other installations.

Other significant organizational changes were made during 1966 within NASA installations, but those changes did not result in appreciable changes to personnel complements.

NATIONAL CAPITAL HOUSING AUTHORITY

Increases in personnel resulted from the following factors: (a) establishment of a nucleus of personnel in a Community Organization and Social Services Office required to deal with tenant and community relations, needs, and activities; (b) hiring of student aids on a parttime basis in response to the President's youth-opportunity stay-inschool program; (c) expanding requirements for housing management and maintenance personnel to service new housing properties acquired by the Authority; and (d) additional personnel required for the rehabilitation and upgrading of older properties of the Authority.

NATIONAL FOUNDATION ON THE ARTS AND THE HUMANITIES

The Foundation is composed of two endowments, the National Endowment for the Arts and the National Endowment for the Humanities. Each endowment is advised by separate councils of 26 private citizens who serve as Government employees on the days when the respective councils meet. In addition, as authorized, the two endowments utilize consultants and panels of private citizen experts, which have proved to be of essential value to the operation of the Foundation's programs.

Each endowment operates with a small full-time staff to carry out programs in the arts and humanities; and in the interest of economy, there is a shared administrative staff, which jointly handles administrative work in connection with grants and includes a shared legal counsel.

The Foundation was created by Public Law 89-209 and signed by the President on September 29, 1965. As of January 1, 1966, staffing was underway but far from complete. The figures for January 1, 1967, reflect staffing patterns now in effect.

NATIONAL SCIENCE FOUNDATION

The activities of the Office of Science Information Service were reorganized into the Studies and Support Section and the Science Information Coordination Section.

A Deputy Associate Director (Research) position was established in the Office of the Associate Director (Research).

The Office of General Counsel was reorganized with the establishment of two positions: Deputy General Counsel and Head, Legal Office; and Deputy General Counsel (special projects).

Within the Administrative Manager's area an Administrative Services Office was established to replace the organizational component previously known as Office Services. The former head and deputy head, Office Services, were redesignated as Administrative Services Officer and Deputy Administrative Services Officer, respectively. At the same time the Foundation's records management program and the Forms Unit previously located in Office Services, were transferred to the Management Analysis Office.

The position of Head, Mohole Project Office, was established to replace the position of Mohole Project Director. The Head, Mohole Project Office, reports to the Director. This Office is principally concerned with the termination of the prime contract and numerous subcontracts in connection with Project Mohole.

The position of Planning Director was established instead of the position of Associate Director (Planning). A Deputy Planning Director position was also established. The Office of Science Resources Planning and the Office of Program Development and Analysis of the Planning Organization were combined into a single unit named the Office of Planning and Policy Studies. The new Office combined the functions of the two organizational components which it replaced. The Office of Economic and Manpower Studies which also reports to