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Senator PASTORE. In other words, they cut you down about $7 million.
Mr. CAMPBELL. Yes, sir, approximately.
Senator PASTORE. What will that do to your applications on citizens band radios?
Mr. CAMPBELL. We made an additional request to OMB to amend our fiscal year 1977 budget by $3.8 million, which would allow us to process citizens band radio applications, we believe, within 21 to 25 days.
Senator PASTORE. Would that give you about 89 new jobs?
Senator PASTORE. How many applications did you say you expect in this coming year?
Mr. WILEY. 4.8 million.
Mr. CAMPBELL. In the current fiscal year, 4.8 million, in fiscal year 1977, 6.8 million.
Mr. Wiley. It is a phenomenon, Mr. Chairman. We are going to have more applications in this 1 year than we had in all the other years combined. It took 16 years to get the first million CB applications.
Senator PASTORE. Do you collect a fee for this?
Mr. Wiley. $4. We were formerly collecting $20, but the Supreme Court ruled in the NCTA case that we can only recover fees based on the value to recipients. So we had to cut it from $20 to $4.
Senator HUDDLESTON. How do you anticipate overseeing CB operations?
Mr. Wiley. Hopefully, if the funds we are aksing for today are granted, we will be able to step up greatly our enforcement efforts.
Frankly, Senator, if we don't make this a disciplined service it is going to be utter chaos for all the users and, more importantly, I think, for people who are simply enjoying other home entertainment services like television, because there is a tremendous interference potential.
Senator PASTORE. What is the aggregate that you put in the Treasury out of the $4?
Mr. CAMPBELL. Currently in fiscal year 1976, we have collected $ 15 million in citizens band radio fees. That is through the end of April. Senator PASTORE. So it is a self-supporting program. Mr. CAMPBELL. Currently, yes, sir. Mr. Wiley. More than self-supporting. Senator HUDDLESTON. Does that go to the general fund? Mr. WILEY. Yes.
Senator PASTORE. What are you going to do with these 89 jobs? Will they all be devoted to the CB applications?
Mr. CAMPBELL. No, sir, they will be divided between CB application processing in Gettysburg, Pa., and additional positions in Washington to deal with information requests from the public with respect to citizens radios.
Mr. Wiley. The positions are all CB-related, enforcement, educational.
Senator PASTORE. The amendment comes to $3,803,000.
Mr. WILEY. $3.1 million for CB. Then there is about $785,000 for contract research. Part of that would be, of course, in the CB area or personal use radio.
Senator HUDDLESTON. Have you thought about increasing the fee? Is that possible?
Mr. Wiley. We can't do that, Senator. Under the Supreme Court ruling, we can only collect on value to recipients and $4 covers that factor. If anything, the fee will have to be lowered in future years if we followed that dictate, unless Congress wants to pass some clarifying legislation about how we should collect our fees, which I and the Commission have urged in the past.
Senator PASTORE. I think you ought to send that up. In the meantime, I think we have to abide by the Court ruling.
Any further questions?
U.S. INTERNATIONAL TRADE COMMISSION
STATEMENT OF WILL E. LEONARD, CHAIRMAN
DANIEL MINCHEW, VICE CHAIRMAN
Senator PASTORE. The next witness is Mr. Will E. Leonard, Chairman of the U.S. International Trade Commission.
The House subcommittee, in its action on the International Trade Commission budget, provided $11,300,000, a reduction of $239,000 below the budget request.
It is my understanding that the House Appropriations Subcommittee made this reduction in order that the budget for the International Trade Commission would not exceed the amount authorized in the House version of the pending authorizing legislation.
It is also my understanding that the Senate version of the authorizing legislation contains a higher ceiling and would allow the appropriation of the full budget request.
You may proceed.
Mr. LEONARD. Thank you, Mr. Chairman. On my right is the Vice Chairman of the Commission, Mr. Daniel Minchew.
I would submit a statement for the record and then summarize it, with your permission, Mr. Chairman.
[The statement follows:)
The United States International Trade Commission hereby appeals for
Senate restoration of the $239,000 House cut in the Commission's FY 77
budget, bringing the total back to the $11,539,000 originally requested
by the Comission.
As we pointed out in our letter of May 7, 1976, to
this subcommittee, the Commission believes that the cut would be counter
productive in a period when the national attention to matters of inter
national trade is increasing the demand for the Commission's services.
The impact of the proposed House cut is augmented by two factors
mentioned in our appeal letter:
First, the probable requirement to con
tinue annual reports on synthetic organic chemicals, increasing FY 77
costs by about $61,000; second, unexpected increases of some $50,000 in
miscellaneous FY 77 costs since the budget was submitted.
sion is prepared to absorb these increased costs within the budget of
$11,539,000 originally requested.
However, the Commission believes
that absorption of the House cut in addition to these added expenses
would unduly restrict the Commission's ability to carry out its respon
Absorption of the House cut and the added expenses just mentioned
would require a reduction of about 17 man-years of staff time, through
elimination of planned positions and increases in previously planned
rates of vacancies in authorized positions. This, added to the 5-man-year
lapse rate already allowed in the Commission's budget estimate, would
require the Commission to operate with an average of about 22 fewer full
time permanent employees than would be available if the 426 requested
positions were filled.
The Commission is, at present, reducing the number of vacant posi
tions and actively recruiting in understaffed areas.
expects to be near full strength by the start of FY 77, so that it can
be more adequately equipped to assist the Nation's trade policymakers
while completing those investigations requested in accordance with statu