Mr. THOMAS. It is all for mandatory wage and price increases. The largest components are American salaries, local salaries, and price increases abroad. Senator PASTORE. What is the mix of these 2,553 positions between Americans and locals? Mr. THOMAS. A total of 1,118 are Americans, of which 446 are domestic and 672 are abroad. The balance of 1,435 are foreign nationals. STATE DEPARTMENT APPROPRIATIONS AFFECTED Senator PASTORE. To what State appropriations will these funds and positions be allocated in fiscal year 1977? Mr. THOMAS. The largest share of the funds and positions will go to "Salaries and expenses." We are requesting $66,917,000 and 2,537 positions for this account. Of the remainder, $2,483,000 and no positions will go to the regular "Foreign buildings operations" account and $467,000 and 16 positions will go to the "Missions to international organizations" appropriation. Senator PASTORE. How exactly will FAAS work and what are its advantages over the existing administrative support system? Mr. THOMAS. The Department of State furnishes general administrative services overseas to all other Federal agencies having international responsibilities. These services are currently provided by the Department through a system of sharing costs with the serviced agencies. The Department proposes to replace the present shared cost system and establish FAAS as a direct and variable cost system for overseas support. BASIS FOR FAAS The basis for the new system is that certain costs, previously billed to other agencies under the shared system, are fixed and essential to the Department's operations, and will remain relatively unaffected by changes in the volume of administrative support provided to other agencies. Under the FAAS system, the fixed costs will be financed by appropriations made directly to the Department, instead of partially from reimbursements received by the Department from the serviced agencies. FAAS will provide strong positive benefits to our operations by providing improved budgeting and resource control, facilitating the financing of administrative support costs overseas, and yielding an increase in managerial effectiveness for all concerned. Again, it should be emphasized that this is neither an increase in cost or employment to the U.S. Government. Instead, the FAAS system is a change in procedure and source of funding for an existing activity providing administrative support to U.S. Government agencies abroad. With this system, the Department of State budget will more appropriately reflect our costs for overseas activities and the cost to other agencies will more appropriately reflect the level of administrative support they receive overseas. STATUS OF FISCAL YEAR 1977 AUTHORIZATION REQUEST Senator PASTORE. What is the current status of your authorization? Mr. THOMAS. Our fiscal year 1977 authorization request has passed the Senate and House passage is possible this week. Senator PASTORE. Will your fiscal year 1977 authorization allow development of the travel document and issuance system-TDIS? Mr. THOMAS. Yes, sir, the Senate bill specifically repeals the prohibition against developing or implementing TDIS, while the House report recognizes the prohibition expires at the end of fiscal year 1976 and states that funds may be used for research and development of TDIS. DEPARTMENT OF JUSTICE STATEMENT OF HAROLD R. TYLER, JR., DEPUTY ATTORNEY GENERAL ACCOMPANIED BY: GLEN E. POMMERENING, ASSISTANT ATTORNEY GENERAL FOR ADMINISTRATION EDWARD W. SCOTT, JR., DEPUTY ASSISTANT ATTORNEY GENERAL FOR ADMINISTRATION JAMES F. HOOBLER, DIRECTOR, MANAGEMENT PROGRAMS GERALD D. FINES, DEPUTY DIRECTOR, EXECUTIVE OFFICE RICHARD W. VELDE, ADMINISTRATOR, LAW ENFORCEMENT NORMAN A. CARLSON, DIRECTOR, BUREAU OF PRISONS LEONARD F. CHAPMAN, JR., COMMISSIONER, IMMIGRATION NICHOLAS P. CALLAHAN, ASSOCIATE DIRECTOR, FEDERAL BU- ROBERT T. ALBRIGHT, CONTROLLER, DRUG ENFORCEMENT BUDGET REQUEST Senator PASTORE. Our next witness is Hon. Harold R. Tyler, Jr., Deputy Attorney General, who will testify in support of the Department of Justice. The fiscal year 1977 budget considered by the House for the Department of Justice is $2,150,378,000, a decrease of $28,699,000 below the previous year, and $69,022,000 above what the House allowed. The House, in its action, provided increases for the Antitrust Division, the Federal Bureau of Investigation, and the Immigration and Naturalization Service. These increases are more than offset by a decrease of $108 million in the LEAA program. The Justice Department is appealing for restoration for the full President's budget request. However, within that total amount, the Justice Department agrees to accept the House increases for the Antitrust Division, the Federal Bureau of Investigation, and INS and is seeking restoration of approximately $67 million out of the House reduction of $108 million for the LEAA. PREPARED STATEMENT Judge, we have your statement and appeal letter which we will put in the record. [The statement and letter follow:] Mr. Chairman and Members of the Subcommittee: I am pleased to have this opportunity to appear before you in support of the Department of Justice's proposed budget for fiscal year 1977 and to discuss certain recommendations of the House Subcommittee on Appropriations. As you know, neither the full Appropriation Committee of the House nor the House itself has acted on what we understand to be the Subcommittee recommendations. The requests set forth in this statement assume that the full House will accept the Subcommittee's recommendations. Although the House has reordered priorities in the budget submitted by the Department, the final totals are within the level set by the Administration. One area of particular concern is the increased number of positions allocated to the Department. We recognize that the committee may recommend further modifications in program allocations. We respectfully urge that whatever action your committee takes not exceed the $2,151,403,000 total set for the Department by the President and be consistent with the Administration's attempt to restrain significant increases in the number of permanent positions. The budget request for the Department considered by the House totaled $2,150,378,000. The House Subcommittee has recommended $2,081,356,000, a reduction of $69,022,000 from the request. The Department is requesting that the Senate restore $2,030,000 in reductions made for the U.S. Attorneys and $66,992,000 for the Law Enforcement Assistance Administration. In addition, the President has transmitted to the Congress a budget amendment of $1,025,000 for the United States Attorneys that requires initial consideration by the Senate. The amended budget request for the Department is thus $2,151,403,000. The action taken by the House Subcommittee involves certain alterations of specific items in the President's budget that require comment. No appeal is made from the decreases recommended for General Administration, or the |