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one such officer not above the grade of captain for each heavier-than-air squadron, and one such officer not above the grade of captain for each such common pool, may be employed. Either enlisted men or civilians may be employed as caretakers, but if there are as many as two caretakers in any unit, one of them shall be an enlisted man.

"Funds hereafter appropriated under the provisions of the National Defense Act, as amended, for the support of the National Guard of the several States, Territories, and the District of Columbia, shall be supplemental to moneys appropriated by the several States, Territories, and the District of Columbia, for the support of the National Guard, and shall be available for the hire of caretakers and clerks: Provided, That the Secretary of War shall, by regulations, fix the salaries of all caretakers and clerks hereby authorized to be employed, and shall also designate by whom they shall be employed: And provided further, That payments heretofore made which now stand disallowed or would hereafter be disallowed but for this Act, are hereby ratified and validated as to the disbursing officers making the same, in such amounts as the Secretary of War may determine have been actually expended in the administration, supply, maintenance, and training of the National Guard, and the determination of the Secretary of War shall be final and conclusive; and the Comptroller General of the United States is hereby directed to allow credit in the accounts of said disbursing officers for and on account of such payments in said amounts."

SEC. 2. That section 92 of the National Defense Act of June 3, 1916, as amended, be, and the same is hereby, repealed and reenacted to read as follows:

"Sec. 92. TRAINING OF THE NATIONAL GUARD.—Under such regulations as the Secretary of War shall prescribe, each company, troop, battery, and detachment in the National Guard shall assemble for drill and instruction, including indoor target practice, not less than forty-eight times each year, and shall, in addition thereto, participate in encampments, maneuvers, or other exercises, including outdoor target practice, at least fifteen days in training each year, including target practice, unless such company, troop, battery, or detachment shall have been excused from participation in any part thereof by the Secretary of War: Provided, That an assembly for drill and instruction may consist of a single duly ordered formation of a company, troop, battery, or detachment, or when so authorized by the Secretary of War of a series of duly ordered formations of subdivisions of parts thereof, but in the latter case the series of formations of subdivisions or groups must comprehend and include the entire organization, and must be included within the time limit of seven consecutive days within a calendar month. The sum total of the attendance at all the separate consecutive formations announced as constituting that assembly shall be counted as the attendance at the actual military assembly for the required period of time; but no officer, warrant officer, or enlisted man shall be counted more than once, nor receive credit for more than one required period of actual military attendance even though he may have attended more than one of the formations which constitute the assembly for the required period of time: Provided further, That credit for an assembly for drill or for indoor target practice shall not be given unless the number of officers and enlisted men present for duty at such assembly shall equal or exceed a minimum to be prescribed by the President, nor unless the period of actual military duty and instruction participated in by each officer and enlisted man at each such assembly at which he shall be credited as having been present shall be of at least one and one-half hours' duration and the character of training such as may be prescribed by the Secretary of War: Provided further, That any flight ordered by competent authority and performed by an appropriately rated Air Corps officer or enlisted man of the National Guard assigned to an Air Corps unit thereof, or so performed by an officer or enlisted man of the Medical Department of the said National Guard regularly attached to an Air Corp unit of the National Guard by appropriate authority, may be credited for the same purpose and to the same extent as attendance at drill: Provided further, That in performing the flight so ordered the officer or enlisted man is prevented, by the making of such flight, from attending a regularly scheduled drill formation of his unit or the unit with which the said officer or enlisted man is required to drill.”

Sec. 3. That section 109 of the National Defense Act of June 3, 1916, as amended, be, and the same is hereby, repealed and reenacted to read as follows:

“Sec. 109. PAY FOR THE NATIONAL GUARD OFFICERS.—Under such regulations as the Secretary of War may prescribe, officers and warrant officers of the National Guard, except general officers, shall receive compensation at the rate of onethirtieth of the monthly base pay prescribed for them in sections 3 and 9 of the Pay Readjustment Act of June 10, 1922, for each regular drill, period of appropriate duty, or other equivalent period of training, authorized by the Secretary of War, not exceeding eight in any one calendar month and not exceeding sixty in any one fiscal year, at which they shall have been engaged for the entire period of not less than one and one-half hours: Provided, That such pay shall be in addition to compensation for attendance at field- or coast-defense instruction or maneuvers, and that nothing in this Act shall operate to reduce the present pay of majors and lieutenant colonels. General officers shall receive $500 a year in addition to compensation for attendance at field- or coast-defense instruction or maneuvers, for satisfactory performance of their appropriate duties. In addition to pay hereinbefore provided officers commending organizations less than a brigade and having administrative functions connected therewith shall, whether or not such officers belong to such organizations, receive not more than $240 a year for the faithful performance of such administrative functions under such regulations as the Secretary of War may prescribe; and for the purpose of determining how much shall be paid to such officers so performing such functions, the Secretary of War may, from time to time, divide them into classes and fix the amount payable to the officers in each class. Pay under the provisions of this section shall not accrue to any officer during a period when he shall be entitled under any provision of law to the full rate of his base pay prescribed in section 3 or section 9, as the case may be, of the Pay Readjustment Act of June 10, 1922: Provided further, That section 9 of the Act entitled 'An Act amending the Act entitled "An Act to authorize the President to increase temporarily the Military Establishment of the United States”, approved May 18, 1917', approved August 31, 1918, shall also apply to the purchase of uniforms, accouterments, and equipment for cash by officers of the active and inactive National Guard, whether in State or Federal service, on proper identification and under such rules and regulations as the Secretary of War may prescribe.”

SEC. 4. That section 3618, Revised Statutes, as amended, be, and the same is hereby, amended by adding the following additional language: "That, under such regulations as the Secretary of War may prescribe, the commanding officers of mounted units of the National Guard may sell all stable refuse and empty grain sacks and containers at public or private sale and apply the proceeds derived therefrom to the purchase of feed, supplementing the regular allowance and issue for the animals of the said uni and for the purchase of stable equipment, and horseshoers', saddlers', blacksmiths’, and wagoners' tools not an article of 'issue to such organizations.

Sec. 5. That the Act of July 15, 1939 (53 Stat. 1042), be, and the same is hereby, repealed and reenacted to read as follows:

“That neither of the provisions of the Act of June 15, 1936 (49 Stat. 1507), nor any other law of the United States shall be construed as limiting the power and authority of the Secretary of War, under such regulations as he may prescribe, to require the hospitalization, medical, and surgical treatment and domiciliary care so long as any or all are necessary of persons who suffer injury or contract disease in the active military service or on active duty, or in training under the provisions of sections 92, 94, 97, 99, and 113 of the National Defense Act of June 3, 1916, as amended, and to incur obligations with respect thereto, without reference to their line-of-duty status: Provided, That this Act shall not include those individuals who are on an armory-drill status except officers, warrant officers, and enlisted men of the National Guard who suffer personal injury (as distinguished from disease) when participating in aerial flights prescribed under the provisions of section 92: And provided further, That this Act shall not apply to officers and enlisted men who are treated in private hospitals or by civilian physicians while on furloughs or leaves of absence in excess of twenty-four hours."

Section 1: Briefly, the changes in section 90, National Defense Act, are:

(1) Removes the limitation on the number of caretakers authorized to be employed by any one organization of the National Guard.

(2) Provides for employment of caretakers from among officers and enlisted men of the National Guard and civilians.

(3) Makes funds appropriated for support of the National Guard available for hire of clerks and caretakers.

(4) Authorizes Secretary of War to fix salaries of clerks and caretakers.

(5) Authorizes Secretary of War to designate by whom such clerks and caretakers shall be employed.

The language of the present law limits the use of clerks and this limitation is not satisfactory. The change will make it possible for adjutants general of the several States, who hire and fire these clerks, to tell the clerks what to do so long as they are actually working on administration of the National Guard.

Section 2: The change in this section is the addition of a paragraph to section 92, National Defense Act, authorizing any air flight ordered by competent authority and performed by an appropriately rated Air Corps officer or enlisted man of the National Guard to be credited for the same purpose and to the same extent as attendance at drill.

Section 3: Section 109, National Defense Act, is changed in this section so as to direct that pay authorized for officers of the National Guard not belonging to organizations, heretofore computed on a time basis, shall be authorized and computed upon a drill-unit basis or other period of appropriate duty or equivalent period of training. The present law with respect to armory-drill pay is unfair to a large group of National Guard officers. Last winter when the President ordered extra drills many officers actually drilled but could not receive pay. The present language is designed to correct this condition and pay officers on the basis of the drills performed.

Section 4: By this section a paragraph is added to section 3618, Revised Statutes, which statute relates to proceeds of sale of material, authorizing the sale of stable refuse and empty grain sacks and containers at public or private sale and apply the proceeds to the purchase of feed, stable equipment, and so forth.

Section 5: The act of July 15, 1939, is repealed and reenacted in new language. The act of July 15, 1939, authorized hospitalization and medical care of members of the National Guard.' The new language authorizes surgical treatment and domiciliary care so long as any or all are necessary of persons who suffer injury or contract disease in the active military service or on active duty, or in training under sections 92, 94, 97, 99, and 113 of the National Defense Act. A provision is also added to the original act that the act shall not include those individuals who are on an armory-drill status, except officers, warrant officers, and enlisted men of the National Guard who suffer personal injury (as distinguished from disease) when participating in aerial flights prescribed under the provisions of section 92 of the National Defense Act.

The War Department has estimated that the additional direct charge upon appropriations in the fiscal year 1941 which would result from the enactment of this measure would be approximately $242,000.

In considering this bill careful consideration has been given to the War Department report and as the bill now reads it is in accordance with the statements of the Department. War Department letter follows:

WAR DEPARTMENT,

Washington, May 14, 1940. Hon. MORRIS SHEPPARD, Chairman, Committee on Military Affairs,

United States Senate. DEAR SENATOR SHEPPARD: Following is the report which you have requested on S. 3619, a bill relating to changes in the administration of the National Guard of the United States bearing on Federal recognition, pay, allotment of funds, drill, training, and so forth.

The language of the bill makes no reference to "Federal recognition,” consequently it is suggested that these words be eliminated from the title of the bill. Section 1 of the bill reenacts section 90 of the National Defense Act with certain changes. The language of paragraphs 1, 2, and 3 of the proposed new section 90 is identical with the language of present law except that the word "unit,” in lines 1, 3, and 4, and “units," in lines 6 and 17 of page 2 of the bill are substituted for the words "organization,” and “organizations,' respectively. The statutory limitations of existing law on the number of caretakers that may be employed is omitted, leaving the determination to the Secretary of War. The War Department would have no objection to the latter change. The War Department is opposed to the other changes stated above. The words “organization” and 'organizations" have been in the present law for 20 years. No reason is known why these terms should be changed as they are proposed to be changed. The change might have far-reaching effects not contemplated and which cannot be estimated without an extensive search of past rulings of the Department and the General Accounting Office. It is therefore recommended that if the bill is favorably considered the word "unit" in lines 1, 3, and 4 of page 2, and the word “units” in lines 6 and 17 of the same page be deleted, and the words “organization” and “organizations" be substituted therefor.

Paragraph 4 of the proposed new section 90 (lines 21 to 25, both inclusive, of page 2 of the bill), should be omitted. This validating provision, referring to the employment of caretakers in pools, was enacted June 19, 1925, as part of an amendment to the National Defense Act. It has accomplished its purpose and is no longer necessary. Furthermore, this paragraph, omitting as it does all reference to the Secretary of War, is not in consonance with the language contained in lines 20 to 25 (both inclusive), page 3, and lines 1 to 6 (both inclusive), page 4, which specifically fixes responsibility for validation on the Secretary of War.

There would be no objection to paragraph 5 of the proposed new section 90, providing it be amended in line 6, page 3, by insertion of the words "such common” immediately preceding the word "pool" so that the phrase will read: "and one such officer not above the grade of captain for each such common pool may be employed.”

The language of lines 10 to 16 (both inclusive), page 3, of the bill is not contained in existing law. It is designed to authorize funds appropriated for the National Guard to be used to supplement non-Federal funds for the use of caretakers and clerks. The Department would have no objection to this paragraph.

The first proviso of paragraph 6 of the proposed new section 90 (lines 17 to 20, p. 3), is the same as contained in present law except for the addition of the words "and clerks,” in line 18. There would be no objection to this change. The War Department, however, is opposed to the second proviso, beginning in line 20 of page 3. That proviso in effect transfers from the General Accounting Office to the Secretary of War the important duty of determining whether or not appropriations from which disbursements have been made were available for such disbursements and it authorizes the Secretary of War, even though such funds may not have been legally available, to validate all or any part of such disbursements in such amounts as he may determine have been actually expended in the administration, supply, maintenance, and training of the National Guard. Such transfer of functions seems to be in conflict with Presidential and congressional policies respecting the reorganization of Government departments and agencies, and is not favored by the Department. However, should the proviso be favorably considered by the committee it is recommended that the language be amended in line 21 by inserting immediately after the word "made” the words "for said caretakers and clerks.” As now written, the proviso is so all inclusive in its terms that the Secretary of War would have to examine into all disbursements heretofore made in the administration, supply, maintenance, and training of the National Guard, if such disbursements have been or are in the future disallowed. The War Department is not prepared to carry out any such task.

Section 2 of the bill reenacts section 92 of the National Defense Act, as amended (with exception noted following), and adds two provisos beginning in line 22 of page 5 of the bill. In line 19 of page 5, the word "such" should be inserted immediately following the word "each.” The italicized word appears in section 92, as now written, and is necessary in order to specifically refer to the definition of "assembly for drill and instruction” contained in the first proviso of section 92 as proposed for reenactment. The War Department recommends elimination of the last proviso of section 2 of the bill, beginning in line 10 of page 6. Regardless of the legality of the proposal, it is not considered desirable to authorize two drills in any one calendar day. Most National Guard units hold non-commissionedofficer and specialist schools, in addition to their regular drill, on the same night, and could not double this instruction should two drills be held. Furthermore, the 132-hour period is intended by the National Defense Act to be a minimum, and permitting two such drills to be scheduled in a single calendar day would, in fact, make this present minimum become also the maximum. The holding of two drills on one night would result in material lowering of the efficiency of the instruction, and would give the Government far less return for the money expended than it now gets under the present system.

Section 3 of the bill repeals and reenacts section 109 of the National Defense Act, as amended. The essential change in the language is contained in the first proviso and the sentence immediately following (lines 4 to 11, p. 7 of the bill). The purpose of the revision is to provide uniform pay for each commissioned grade, including grades above captain, regardless of whether the officer attends drill as a member of an organization or as a staff officer, or performs other appropriate duties. Officers would be entitled to receive drill pay for satisfactory performance of appropriate duties, in addition to compensation for attendance at field or coast-defense instruction or maneuvers. The effect of the proposed legislation, on the basis of 48 drills or authorized periods of instruction per year, would be to increase slightly the pay of colonels. On the basis of 60 drills per year the increase in annual compensation would be as follows: For colonels, $166; for lieutenant colonels, $83; for majors, none. Captains, first lieutenants, and second lieutenants of the staff would receive increases of $80, $67, and $50, respectively. No increase would be provided for warrant officers. Officers above the grade of captain would, in addition, receive an increase in compensation due to removal of the present deduction for the pay received while undergoing field training. It is estimated that the increased costs in the fiscal year 1941 would approximate $242,000, based on 60 drills a year. The Bureau of the Budget advises that enactment of this section would not be in accord with the financial program of the President. The Department, therefore, does not recommend favorable consideration of this proposed legislation.

Section 4 of the bill would repeal section 3 of the act of May 28, 1928, which authorizes the appropriation annually of not to exceed $7,500 for specified incidental expenditures of the National Board for the Promotion of Rifle Practice. This section is not related to the general purposes of the bill. The War Department is opposed to repealing the existing authorization.

Section 5 of the bill amends section 3618, Revised Statutes, by adding language authorizing commanding officers of mounted units of the National Guard, under regulations prescribed by the Secretary of War, to sell stable refuse and apply the funds thus derived for the purchase of feed and specified equipment. The War Department would have no objection to enactment of this section of the bill.

It is recommended that section 6 be eliminated from the bill in view of the fact that, upon request of the War Department, bills have been introduced in the Congress, which, with minor exception, are identical with section 6 in language.

Section 7 of the bill would, in effect, obligate the Government to pay for the medical and surgical care and treatment, in civilian hospitals, of members of the National Guard who require such medical or surgical care or treatment while engaged in any form of training, including drills authorized by law for the National Guard. The act of June 15, 1936 (49 Stat. 1507), as amended by the act of July 15, 1939, provides a means whereby commanding officers may legally expend Government funds in emergencies to preserve the health of military personnel in active service without having a necessary expenditure disallowed later if the injury or disease which required medical attention should be found to have been incurred not in line of duty. Provisions of section 7 of the proposed bill would broaden the existing law beyond any reasonable requirement, and it is believed might result in abuse, as well as many administrative difficulties. For this reason the War Department is opposed to the provisions of this section. However, there would be no objection to amending the act of June 15, 1936, so as to permit expenditure of Government funds under the conditions described in that act, as amended by the act of July 15, 1939, for the hospitalization and medical treatment of a member of the National Guard engaged in training other than armory drill, target practice at home stations, and similar instruction.

This report covers only the essential features of the proposed legislation. In view of the many details involved it is requested, in event hearings are held by the committee, that the War Department be afforded opportunity to present in greater detail the views and suggestions of the Department relative to the measure.

It is estimated that the additional direct charge upon appropriations in the fiscal year 1941, which would result from enactment of the bill, would be approximately $242,000.

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