1 Reimbursement to be made to the Commodity Credit Corporation by military departments from withholdings from "Military pay and allowance" funds. Secretary DAVIS. When I was over in France, because of the freeze they experienced last year, it appeared that there might be $50 million additional available. We have been working on that, and I think we are about to commit that. That I think is something you are interested in, but I didn't want to make that definitely a part of this, because it has not been actually concluded yet. Senator CHAVEZ. The Department of Defense will give that information? Secretary DAVIS. Yes, sir. We will give those figures as they are. Chairman HAYDEN. If there are no further witnesses, we will be glad to hear from the Navy. DEPARTMENT OF THE NAVY STATEMENT OF HON. RAYMOND H. FOGLER, ASSISTANT SECRETARY OF THE NAVY (MATERIAL), ACCOMPANIED BY REAR ADM. G. F. BEARDSLEY, ASSISTANT COMPTROLLER, DIRECTOR OF BUDGETS AND REPORTS, OFFICE OF THE COMPTROLLER; REAR ADM. H. P. SMITH, DEPUTY COMPTROLLER; REAR ADM. E. B. MCKINNEY, DIRECTOR OF SHORE ESTABLISHMENT DIVISION; REAR ADM. R. H. MEADE, CHIEF, BUREAU OF YARDS AND DOCKS; AND CAPT. JOSEPH H. McHENRY, DEPUTY CHIEF, BUREAU OF YARDS AND DOCKS MILITARY CONSTRUCTION PROGRAM Chairman HAYDEN. You appear to have a very brief statement, Mr. Secretary. Maybe you would want to read it. Secretary FOGLER. I would be very glad to, Mr. Chairman. Mr. Chairman and members of the committee, I appreciate very much the opportunity to appear before you in support of the Navy's request for $400 million in fiscal year 1957 to finance the military construction program of the Navy and Marine Corps. We are asking for this amount in order to finance the 1957 program and to finance the previously authorized projects for which no funds are presently available. The Congress approved the 1957 program in the amount of $438,240,000. Before our other witnesses present our appropriation request in detail, I am presenting the following tabulation which summarizes the Navy's administration of the appropriation "Military construction, Navy," during the current fiscal year 1956, and our forecast obligations for fiscal year 1957: That is approximately $33 million less than the unobligated balance as of June 30, 1956, and it is a very nominal unobligated balance to carry out the continuation of a public works program. I purposely made my statement brief, because I have with me Rear Adm. H. P. Smith, Deputy Comptroller; Rear Adm. E. B. McKinney, Director of the Shore Establishment Division and senior member of the Shore Station Development Board of the Office of the Chief of Naval Operations; and Rear Adm. R. H. Meade, Chief of the Bureau of Yards and Docks will discuss the appropriate request in detail. PREPARED STATEMENT I have a group of formal statements I would like to have inserted in the record. Chairman HAYDEN. That may be done. (The statements referred to follow :) STATEMENT OF REAR ADM. H. P. SMITH, DEPUTY COMPTROLLER, Mr. Chairman and members of the committee, when the President submitted his budget for the fiscal year 1957 to the Congress last January, he indicated several items proposed for later transmission, including military public works. As a part of that program the Navy is presenting for your consideration a fiscal year 1957 "Military construction, Navy," appropriation request totaling $400 million. It is made up of the following: To fund fiscal year 1957 authorizations_ Total fiscal year 1957 appropriation request-- $249, 096, 000 150, 904, 000 400, 000, 000 To review briefly this continuing appropriation: In fiscal year 1955, the Navy construction authorization of $202 million for new requirements. Against this authorization the Navy received an appropriation of $98 million. In fiscal year 1956, the Navy was granted $564 million new authorization. An appropriation of $443 million was granted in fiscal year 1956. At the same time, the Appro priations Committees approved for funding a list of projects totaling $609 million for fiscal year 1956. This funding approval has been very helpful because it has permitted the Navy to select its most urgently required projects for facilities to support current force levels and operational commitments. The proposed fiscal year 1957 appropriation request is submitted on the same basis. The Navy is requesting approval of a funding program in the amount of $457,813,000. At this time, the unobligated balance of $179 million as of June 30, 1956 remaining in military construction is almost entirely programed to fund authorized projects. We are seeking only those funds for fiscal year 1957 necessary for current requirements approved by the Department of Defense. The $400 million requested is the amount necessary to support the Navy's planned construction program during fiscal year 1957. The House committee approved the Navy's request for an appropriation of $400 million and approved for funding a list of projects amounting to $541,318,700. As previously mentioned, the Navy requested approval of a funding program in the amount of $457,813,000, which when added to a list of projects previously approved for funding in prior years, amounts to $636,765,000; therefore, the House action restricting funding to a list amounting to $541 million we believe will restrict capability of the Navy to most efficiently and rapidly execute our construction program in the fiscal year 1957. We are, therefore, requesting this committee to approve for funding in fiscal year 1957 a new list of projects amounting to $457,813,000. We are also asking that flexibility be restored to the program by obtaining House concurrence on the restoration of authority to fund projects approved for funding in 1956 and in prior years. The next Navy witness is Rear Admiral McKinney, senior member of the Navy's Shore Station Development Board. He will present our military construction requirements for fiscal year 1957. He will be followed by Rear Admiral Meade, Chief of the Bureau of Yards and Docks, who will discuss the status of this appropriation and the construction and engineering aspects of the program now before you. The chiefs of the bureaus and offices who are sponsoring projects in this program are present and will submit prepared statements for the record. In addition, they are ready to furnish such detailed information as you gentlemen may require for the proper consideration of our program. |