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159 1115 HOLD FOR RELEASE HOLD FOR RELEASE HOLD FOR RELEASE May 1, 1947 CONFIDENTIAL: To be held in STRICT CONFIDENCE and no portion, synopsis, or intimation to be given out or published until the READING of the President's Messages transmitting to Congress Reorganization Plans Numbers 1 and 2 of 1947 has begun in either the Senate or House of Rep- resentatives. Please exercise care to avoid premature publication or radio announcement. CHARLES G. ROSS Secretary to the President The President today transmitted to Congress Reorganization Plans Numbers 1 and 2 of 1947 which would preserve wartime improve- ments made in Government organization through Executive Orders issued under the First War Powers Act. Unless such action is taken, a number of functions and ac- tivities, shifted between and within agencies during the war period, will revert to their previous locations upon expiration of the Act. Included in the Plans are provisions which would transfer NARA United States Employment from the Federal Security Agency to the Department of Labor, where it is now administered under a wartime Executive order, and continue the War Assets Administration as an agency upon expiration of the War Powers Act. Provision is also made for im- proving the administration of acts relating to wages and hours on Federal public works contracts. The First War Powers Act will terminate six months after the end of the war or at such earlier date as Congress may determine by con- current resolution or the President may designate. In his message transmitting the Plans to Congress the President pointed out that approximately 135 Executive orders, including those overhauling the internal organization of the War and Navy Departments and establishing most of the emergency agencies, had been issued under Title I of the First War Powers Act. ithout the ability, which these provisions afforded, to ad- just the machinery of Government to changing needs, it would not have been possible to develop the effective hard-hitting organization which produced victory, " he stated. All of the provisions in the Plans transmitted to Congress, he said, represented definite improvements in administration. "Several are essential steps in demobilizing the war effort. The arrangements they provide for have been reviewed by the Congress in connection with appropriation requests. Since the Plan does not change existing organization, savings cannot be claimed for it. However, increased expense and disruption of operations would result if the present organization were terminated and the activities reverted to their former location. 11 The President also stated that there were changes made under Title I of the First War Powers Act and not included in the two plans upon which action should be taken before the expiration of the Act. (OVER)