SUBCOMMITTEE RECESS Senator HOLLINGS. We will recess until 9:30 in the morning in S-146, to meet with the Secretary of Commerce. [Whereupon, at 3:55 p.m., Tuesday, April 19, the subcommittee was recessed, to reconvene at 9:30 a.m., Wednesday, April 20.] DEPARTMENTS OF STATE, JUSTICE, AND WEDNESDAY, APRIL 20, 1977 U.S. SENATE, SUBCOMMITTEE OF THE COMMITTEE ON APPROPRIATIONS, The subcommittee met at 9:45 a.m., in room S-146, the Capitol, Hon. Ernest F. Hollings (chairman) presiding. Present: Senators Hollings, Magnuson, Burdick, Leahy, Weicker, Brooke, Hatfield, and Stevens. DEPARTMENT OF COMMERCE OFFICE OF THE SECRETARY STATEMENT OF JUANITA M. KREPS, SECRETARY OF COMMERCE ROBERT T. HALL, ASSISTANT SECRETARY FOR ECONOMIC DR. ROBERT M. WHITE, ADMINISTRATOR, NATIONAL OCEANIC ROBERT G. SHAW, ACTING DEPUTY ASSISTANT SECRETARY DANIEL B. LEVINE, ASSOCIATE DIRECTOR FOR DEMOGRAPHIC ELSA A. PORTER, ASSISTANT SECRETARY-DESIGNATE FOR AD- DAVID S. NATHAN, DIRECTOR, OFFICE OF BUDGET AND PRO- BUDGET REQUEST Senator HOLLINGS. Today the committee will consider the budget estimates of the Department of Commerce. These estimates amount to $4,260,710,000, an increase of $356,926,000 over 1977, and provides for a total of 25,558 permanent positions. Continuing in the same manner as yesterday, we will begin with an overview of the Commerce budget by Mr. David Nathan, the Budget Officer of the Department. We expect that the Secretary of Commerce will be here shortly for a discussion of policy matters facing her Department. Mr. Nathan, we welcome you and your associates at this time. STATEMENT OF DAVID S. NATHAN Mr. NATHAN. Thank you, Mr. Chairman. Mr. Chairman and members of the committee, thank you for this opportunity to discuss the highlights of the proposed 1978 budget for the Department of Commerce, as amended by President Carter. We are now asking for new appropriations of $4,260,710,000, compared to the $1,958,260,000 which was transmitted to Congress last January by the prior administration. The total amendments of $2,302,450,000 are detailed in a table I have prepared for the committee's use. I will also highlight these changes in this statement. I feel that the revised request would be best viewed as consisting of two parts: One covering the special local public works program and the other, our normal operating programs. The LPW amount is so large as to distort the relationships between existing and proposed budget levels in other program areas. LOCAL PUBLIC WORKS PROGRAM This administration has proposed a local public works program of $4 billion; $2 billion for each of the fiscal years 1977 and 1978. This is in addition to the $2 billion already appropriated for fiscal year 1977. The Congress is instead considering a $4 billion supplemental for 1977. Secretary Kreps has written this committee to say that if this 1977 level is eventually passed, we will then not need the $2 billion requested for 1978 and thus the 1978 budget now pending before you would be reduced by that amount. COMMERCE DEPARTMENT REGULAR PROGRAM The balance of the Department's 1978 budget reflects the following changes: The changes identified in this statement relate to those associated with program increases and decreases from the 1978 base of $2,342,930,000. I should explain to the committee that the 1978 |