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Transition Reports (1977) - Commerce Department: Management by Objectives and Presidential Management Initiatives (4)
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Transition Reports (1977) - Commerce Department: Management by Objectives and Presidential Management Initiatives (4)
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The original documents are located in Box 35, folder "Transition Reports (1977) -
Commerce Department: Management by Objectives and Presidential Management
Initiatives (4)" of the John Marsh Files at the Gerald R. Ford Presidential Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. Gerald R. Ford donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Digitized from Box 35 of the John Marsh Files at the Gerald R. Ford Presidential Library
U.S. DEPARTMENT OF COMMERCE
BRIEFING HANDBOOK
DEPARTMENT OF COMMERCE
*
*
UNITED STATES OF AMERICA
MANAGEMENT BY OBJECTIVES AND
PRESIDENTIAL MANAGEMENT INITIATIVES
BOOK II OF 2
FISCAL 1977 UNITED STATES TRAVEL SERVICE OBJECTIVES
General. USTS proposed two fiscal 1977 objectives, both
follow-ons to its 1976 objectives.
Promotion of travel to the U.S.
1977 Domestic tourism promotion program
These objectives encompass USTS's entire program.
Promotion of Travel to the U.S. This objective deals with
USTS's central mission and covers 90 percent of its resources.
It is expected to result in 600,000 visitor arrivals and
$293 million in foreign exchange earnings. This will be
accomplished by the following:
Exchange Earnings
Arrivals
(in millions)
Tour Development
576,200
$285.5
Convention Program
11,800
4.1
Incentive Travel
12,000
3.6
All of these arrivals and earnings result from specific
USTS program actions. USTS cannot say, however, that none
would have occurred without these actions.
Total visitor arrivals to the U.S. typically run around
14 million annually.
Domestic Tourism. This is not a Commerce-suggested program,
but resulted from a Senate add-on to the 1976 budget. The
intent was to key efforts to the upcoming Bicentennial
celebration. USTS developed a 1976 objective involving
program consisting of advertising, media services, tourism
information, and research on American travel behavior.
For fiscal 1977, USTS has developed a substantially different
proposal for selling American citizens on traveling in their
own country. This proposal relies on financial and staff
assistance from the private sector to develop a program of
advertising and related material, and to place this advertising
in the appropriate media.
2
USTS is approaching a large number of corporations involved
with the travel industry, (for example, American Express,
and various airlines) which will provide the bulk of the
budget for the effort. On October 4th Secretary Richardson
met with travel industry leaders to start the program off.
November 1976
UNITED STATES TRAVEL SERVICE
Promotion of Travel to the United States
1. Proposed Objective.
The objective of USTS' FY 1977 International Marketing Program is
to identify in FY 1977 600,000 visitors and $293 million in foreign
exchange earnings as being related to USTS direct impact programs
consisting of; Tour Development, Convention Travel and Incentive
Travel.
In the first nine months of CY 1976, USTS' objective was to identify
385,000 visitors and $200 million in foreign exchange earnings related
to our direct impact programs. As of June 30, USTS has, through our
measurement system, identified arrivals and earnings related to these
programs as follows:
Arrivals
Earnings
Tour Development
338,000
$172,000,000
Convention Sales
7,950
2,944,000
Incentive Travel
6,104
3,400,000
Total
352,054
$178,344,000
2. Justification
All USTS programs which make up our total marketing plan are aimed
at increasing tourism to the United States which contributes to the
economic growth of the total travel industry. This in turn contributes
to the tax base and revenue at both the Federal, State, and city
levels. In addition, our programs also help in keeping more people
employed within the industry by assisting and supporting travel to
the United States versus other international vacation destinations.
3. Approach
USTS has identified programs which have both a direct impact and
support active effect within an overall marketing plan aimed at
promoting travel to the United States. This marketing plan is
measured and evaluated during the period of its implementation
USTS has been measuring and evaluating program activities re-
lated to overall program objectives since 1973. Therefore a base
has been established which allows our management group to evaluate,
improve and establish realistic objectives which we feel can be
achieved during a given period.
At the end of each calendar year, (fiscal year starting in 1977) the
results of all program activities are reported to USTS management
personnel for evaluation and discussion in order to set forth
priorities for the following year in order to achieve program
objectives.
4.
Resources
For FY 1977, the breakdown of resources to achieve program objectives
is as follows:
Perm.
Pos.
Amount
*Promotion of travel to the United States
131
$12,970,000
It should be noted that consideration is now being given to a proposed
rescission in FY 1977, which will affect our resources. The rescission
is as follows:
Present
Effect of
Revised
Estimate
Proposed
Estimate
Rescission
Perm.
Perm.
Pos.
Amount
Pos.
Amount
Pos.
Amount
*Promotion of travel to
131
$12,970,000
-3
$-500,000
128
$12,470,000
the United States
5.
Responsible Office
Office of Marketing and Field Operations
Mr. William Tolson, Acting Director
Ext. 377-3833
6.
Milestones
(Attached)
Promotion of Trave
the United States
Objective
Change in Status
The objective of USTS' FY 1977 International Marketing Program is to
identify in FY 1977, 600,000 visitors and $293 million in foreign exchange
earnings as being related to USTS direct impact programs consisting of;
Tour Development, Convention Travel and Incentive Travel.
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Tour Development
FY 1977
(1) Select specific itineraries, destinations, program
objectives and other contractual terms permitting
completion of 146 contract/letters of agreements.
(2) Complete 146 contracts and letters of agreements with
tour wholesalers.
(3) Report final results of FY 1976 tour development
program.
FY 1978
(4) Report final results for FY 1977 tour development
program estimated to produce $285.5 million in
foreign exchange earnings.
FORM SEC-904
2-761
U.S. DEPARTMENT OF COMMERCE
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Convention Program
FY 1977
(5) Establish monthly contact with approximately 25
association headquarters to ascertain existence of
U.S. affiliate in order to determine U.S. affiliates'
interest in inviting the International Association
to hold a Congress in the United States.
(6) Issue final report on convention committed during
prior years that were held in the U.S. in CY 1976
expected to be 18 conventions with 10,000 delegates
producing $4 million in tourism revenue.
FY 1978
(7) Issue final report on conventions committed during
prior years to be held in the United States in
FY 1977 which is estimated to produce 11,800
delegates and $4.1 million in foreign exchange
earnings.
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Incentive Travel Program
FY 1977
(8) Issue final results on incentive travel programs
for CY 1976 expected to produce 5,000 visitors
and $3 million in tourism revenue.
(9) Identify 30 tour operators in six USTS markets
and other selected world markets specializing
in incentive travel and work with them to establish
incentive programs to the United States.
FY 1978
(10) Issue final report on incentive travel programs
for FY 1977 expected to produce 12,000 visitors
and $3.6 million in tourism revenue.
1977 DOMESTIC TOURISM PROMOTION PROGRAM
1. Proposed Objective
In FY 1977, USTS will utilize its resources to develop a domestic tourism
promotion program involving major travel industry corporations and
organizations. Through this joint sponsorship, USTS and the industry
expect to develop a promotional marketing plan designed to reach at
least 100 million traveling adults in order to encourage them to travel
within the United States.
2. Justification
At the present time, no catalyst exists, with sufficient high visibility,
to promote travel within the United States while informing the traveling
public of national interest issues related to travel like conservation
of energy, environmental protection and the beneficial aspect of tourism
to our culture and the economy. This proposed promotion marketing plan
will be designed to address these needs through the cooperative efforts
of Government and industry.
3. Approach
USTS and the Secretary of Commerce will meet with forty leaders of the
travel industry in order to outline the domestic tourism promotional
program. USTS will then seek industry support in developing, sponsoring
and financing a joint promotional marketing plan which will be put into
effect during FY 1977. The results of this plan will be measured and
evaluated by both the Government and industry sponsors in order to
determine its overall effectiveness in informing the traveling public
that travel within the United States can be enjoyable, economical, and
can be accomplished without compromising the national interests.
4. Resources
For FY 1977, the breakdown of resources to achieve program objectives
is as follows:
Perm.
Pos.
Amount
Domestic Tourism Program
10
$1,500,000
- 2 -
It should be noted that consideration is now being given by the
Administration to a proposed rescission which will affect this program.
The rescission is as follows:
Present
Effect of Proposed
Revised
Estimates
Rescission
Estimates
Perm.
Perm.
Perm.
Pos.
Amount
Pos. Amount
Pos.
Amount
Domestic Tourism
10
$1,500,000
-4
-$500,000
6
$1,000,000
Program
5.
Responsible Office
Office of Program Services and Development
Hans F. Regh, Managing Director
Tel: 377-4904
6. Milestones
(Attached)
1977 Domestic Tourism Promotion Program
Objective
Change in Status
To develop a domestic tourism program through joint cooperation and
sponsorship of the Government, travel industry and tourism organizations
consisting of a promotional marketing plan aimed at 100 million traveling
adults in order to increase travel within the United States.
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
FY 1977
(1) Secretary to meet with 40 leaders of the travel
industry to seek support of the Domestic Tourism
Program.
(2) Identify and solicit manpower and financial support
of 20 major travel related corporations and
organizations.
(3) Form a working management team consisting of industry
and Government personnel to develop a promotional
marketing plan to reach USTS objectives.
(4) Develop a measurement system to evaluate the
effectiveness of the promotional marketing plan.
(5) Implementation of Promotional Marketing Plan.
FY 1978
(6) Report results of promotional Marketing Plan efforts
in order to determine number of traveling adults
reached through this promotional program.
FORM SEC-904
U.S. DEPARTMENT OF COMMERCE
12-75)
EDA
FISCAL 1977 ECONOMIC DEVELOPMENT ADMINISTRATION OBJECTIVES
General. The Economic Development Administration proposed
three objectives for fiscal 1977. Two deal with the
establishment of management systems in two program areas,
and one is concerned with the implementation of a major
new program authority (Local Public Works) involving some
85% of EDA's resources. None are follow-on 1976 objectives.
Technical Assistant Evaluation: The objective is the design
and implementation of a management system to insure that
the Technical Assistance (TA) program relates to other EDA
efforts, and agency investment strategies and objectives.
From an evaluation of the various TA project types, the
program managers will identify those that are most effective.
Future program priorities and resource allocations will be
based on the results of the evaluation. Because TA has been
criticized in the past for lack of a systematic approach to
establishing program priorities and because this represents
a major management initiative for the TA program, Secretarial
tracking is recommended.
Economic Research Impact Review: Under this objective, EDA
will establish a management process to identify the policy/
operational implications of EDA's economic research and to
incorporate appropriate findings into program policy. EDA's
economic research efforts have been critized in the past
(by OMB and others) as being largely irrelevant to the
program needs of the agency. It was requested that EDA
develop a system whereby research could be responsive to and
provide information for the other EDA program areas. This
objective is directly responsive to that Office of the
Secretary request. Secretarial tracking is recommended.
Implementation of the Local Public Works (LPW) Program: EDA's
objective is to insure that appropriate management systems,
guidelines, and resources are available for the orderly and
effective administration of this major new program
responsibility. Given the high level of funding and Secretarial
interest in the program to date, an objective which follows
the implementation of LPW is appropriate for Secretarial
tracking.
October 1976
EDA'S TECHNICAL ASSISTANCE EVALUATION
Proposed Objective:
Design/implement a management system to insure the
effectiveness of the Technical Assistance program in relation
to EDA programs, investment strategies and agency objectives.
This includes a major effort to measure:
Jobs created or saved, the amount of investment,
and the time frame of program results.
Justification:
Currently the TA program does not maintain a systematic
management approach to determine (a) the extent to which
recipients utilize Technical Assistance, or (b) the impact
of the Technical Assistance rendered. The need for
systematic follow up of Technical Assistance projects is
an important element in responding to inquiries received
from the Department, OMB and Congressional Committees as
to program results. Evaluation of program projects will
permit management to:
compare the effectiveness of various TA projects.
ensure that ineffective or marginal projects
are identified, eliminated or reduced.
determine future TA program priorities,
strategies and objectives.
Approach:
A test evaluation of a proposed follow-up system is
currently being conducted. Data is being requested from
approximately 600 recipients of EDA Technical Assistance.
This group of addressees received Technical Assistance
during Fiscal Years 1970, 1971, 1972, and 1973. Telephone
calls will be made, as necessary, to addressees to achieve
maximum response rate and to verify data sent back. When
sufficient data has been collected, it will be tabulated,
analyzed and a report will be prepared. Following completion
of the evaluation the Office of Technical Assistance will
implement a systematic follow-up to provide the framework
for determining future program policies and objectives.
Resources:
It is estimated that 1 professional manyear and 3 Terical
manmonths will be required annually for this effort.
OTA cont.
Responsible Office:
The Office immediately charged with line responsibility
for this effort is the EDA Office of Technical Assistance,
I. M. Baill, Director, under the Deputy Assistant
Secretary for Economic Development Operations,
William Henkel, Jr.
Page 1 of 2
Objective - EDA's TECHNICAL ASSISTANCE EVALUATION
Change in Status
Design/implement a management system to insure the effectiveness of
the Technical Assistance program in relation to EDA programs,
investiment strategies and agency objectives. This includes a major
effort to measure: Jobs created or saved, the amount of investment,
and the time frame of program results.
1976
1976
1977
1977
Milestones
JUL AUGSEP OCT NOV DEC JAN FEB MAR APR MAY JUN
1. OMB Clearance/Approval of grantee questionnaire
2. OTA distribute questionnaire to selected grantees
3. OTA verify grantee responses
O
4. OTA initiate analysis of data
5. OTA submit interim report of funding
o
6. OTA, based on comments on interim report,
completes report.
7. OTA issue final report
a
8. OTA prepare objectives/policy for FY 79 PREVIEW
ESTIMATES based on final report recommendations
o
9. OTA implement approved evaluation system
o
Milestones continued on next page.
Page 2 of 2
EDA's Technical Assistance Evaluation (Cont.)
1977
Milestones
JUL AUG SEP
10. OTA recommend program policy and objectives for
FY 78 appropriation based on final report
O
ECONOMIC RESEARCH IMPACT REVIEW
Proposed Objective:
Establish a management process to identify policy/
operational implications of EDA's economic research
and incorporate appropriate findings into Agency
Program policy.
Justification:
EDA has supported a number of highly useful research
projects dealing with many aspects of sub-national economic
development. Often this research has formulated policy
and operational choices that should be considered by
EDA management but, due to the lack of formal mechanisms,
do not receive adequate attention and consideration by
senior policy makers. The purpose of this effort would
be to correct this deficiency and insure regular
review of policy and operational alternatives that arise
from EDA research.
Approach:
The strategy to be used in achieving this objective is
to create a Research Review Board composed of senior
policy personnel of the Agency and involving senior
operational staff at both the Washington and Regional
Office levels. Under the guidance of this Board, there
will be at least quarterly briefings and discussions of
policy and operational alternatives that arise from EDA
research.
Resources:
No additional resources required.
Responsible Office:
The Office immediately charged with line responsibility
for this effort is the EDA Office of Economic Research,
Pat Choate, Director, under the Deputy Assistant Secretary
for Economic Development Planning, Joseph G. Hamrick.
Page 1 of 2
Objective - ECONOMIC RESEARCH IMPACT REVIEW
Change in Status
Establish a management process to identify policy/operational impli-
cations of EDA's economic research and incorporate appropriate
findings into Agency program policy.
1976
1976
1977
1977
Milestones
JUL AUGSEP OCT NOV DECUAN FEB MAR APR MAY JUN
1. OER prepare Directive establishing Research
Review Board (RRB)
o
2. EDA clear/approve Directive
@
3. OER present proposed FY 1977 research program to
RRB
o
O
4. RRB approve the overall FY 1977 research program
O
5. RRB identify a portion of the FY 77 Research
program to be incorporated into the policy and
objectives of a specific program area (i.e. 304,
Title II etc.) for FY-78
O
6. OER prepare work plan to include contracting
schedule, and project target date, etc.
O
7. OER brief executive staff on the possible policy
and operational implications of selected EDA
research for FY 77
O
B. Progress Report of the FY 1977 research program
O
Milestones continued on next page.
Page 2 of 2
Economic Research Impact Review (Cont.)
1977
1977
1977
1978
Milestones
APRMAY JUN
JUL AUG SEP
OCT. NOV DEC
OCT NOV DEC
9.
OER prepare objective/policy for FY 79 PREVIEW
o
ESTIMATES based on available data.
10. OER identify policy and operational impli-
cations of selected EDA research to be
considered for FY 78 appropriations
11. OER develops policy and objective alternatives,
based on research findings, for specific
program area (See Milestone 5)
12. Program area, in conjunction with OER recommen-
dations, develops FY 78 program strategies.
o
13. OER present proposed FY 78 research program to
RRB
O
14. RRB approve the overall FY 1978 research program
15. OER in conjunction with appropriate EDA offices,
evaluate impact of FY 77 research program on
program area (See Milestones 5 and 12)
IMPLEMENTATION OF THE LOCAL
PUBLIC WORKS (LPW) ACT
Proposed Objective:
To insure that appropriate management systems, guidelines
and resources are available to conduct an orderly and
effective administration of the LPW program.
Justification:
The LPW program may involve upwards of $2 billion. The
administration of a program of this magnitude will require
specific rules and regulations, guidelines, procedures,
personnel resources and management control to insure
appropriate administration of the program.
Approach:
While some ad hoc task forces will be established for
specific purposes (e.g., prepare procedures, develop
application forms, etc), the program will be primarily
administered within the existing organization structure
of EDA.
Resources:
An estimated 325 additional employees will be required
early in the FY, with this number tapering off sometime
after March 1977 to a base number (yet to be determined).
This base number will be required into FY 78 for project
monitoring. Funds, not to exceed $10 million, are expected
to be available for administrative expenses during
FY 77.
Responsible Office:
The Office immediately charged with line responsibility
for this effort is the EDA Office of Public Works,
George Karras, Director, under the Deputy Assistant Secretary
for Economic Development Operations, William Henkel, Jr.
Page 1 of 3
Objective - IMPLEMENTATION OF THE LOCAL PUBLIC WORKS (LPW) ACT
Change in Status
To insure that appropriate management systems, guidelines and
resources are available to conduct an orderly and effective
administration of the LPW program.
1976
1976
1977
1977
Milestones
JUL AUG SEPOCT NOV DECJAN FEB MARAPR MAY JUN
1. Congress authorizes LPW program
2. Secretary delegates authority to EDA to adminis-
ter LPW program
3. EDA publish LPW program rules and regulations
4. EDA publish LPW program guidelines
5. OMB approve EDA's LPW application form-
6. EDA distribute LPW application forms to Regional
Offices (60,000 copies)
7. EDA prepare and distribute LPW processing
procedures
8. EDA identify personnel resources required for LPW
and prepare hiring and phase down plan
9. EDA determine scope of administrative support
required for LPW program (space, equipment,
furniture)
Milestones continued on next page.
Page 2 of 3
Implementation of the Local Public Works (LPW) Act (Cont.)
1976
1976
1977
1977
Milestones
JUL AUG SEPOCT NOV DECJAN FEB MARAPR MAR JUN
10. Congress appropriates LPW program funds
o
11. OMB apportions LPW program funds
O
12. EDA begins hiring additional employees for. LPW
program
13. EDA accepts LPW applications
14. EDA obtains space, furniture and equipment for
LPW employees.
15. EDA completes hiring of LPW employees
O
16. Assistant Secretary begins approval of
applications
O
17. EDA completes space, equipment and furniture
evaluation needs for LPW in light of personnel
phase down
O
18. EDA begins phase down of LPW employees
b
19. EDA begins to terminate contracts for space,
equipment and furniture rentals in accordance
with LPW personnel phase down plans (See
Milestones 8 and 17)
O
20. EDA accelerates phase down of LPW employees
o
Milestones continued on next page.
Page 3 of 3
Implementation of the Local Public Works (LPW) Act (Cont.)
1977
1977
Milestones
JUL AUG SEP OCT NOV DEC
21. EDA completes LPW employee phase down
(approximately 100 employees retained for
servicing/monitoring)
o
22. EDA completes termination of appropriate
contracts for space, equipment and furniture
rentals
o
FISCAL 1977 MARITIME ADMINISTRATION OBJECTIVES
General. MARAD proposed five fiscal 1977 objectives, all
but one (the last one listed) being carry-ons from the
1976 MBO program.
Operating differential subsidy
Ship construction
US/USSR Maritime Agreement
Equal opportunity in maritime industries
Ready reserve fleet plan
These objectives account for about 92% of MARAD's total
program.
Operating Differential Subsidy: This objective aims at the
reduction of the cost of the operating differential subsidies
through review of possible changes in the ODS system
(principally the essential trade route concept) and the
elimination of maintenance and repair coverage from ODS
contracts. A study of the ODS program to identify more
effective use of ODS funds without adversely U.S. merchant
fleet capacity to meet commercial and national security needs
will be completed in February. Maintenance and repair
coverage provisions are being deleted from the twenty-year
ODS contracts as they are being renewed.
Ship Construction Program: This objective is designed to
continue the ship construction program initiated by the
Merchant Marine Act of 1970. Because CDS plications generally
reflect market forces not controlled by MARAD, however, MARAD
inducements in this area are limited to leverage provided
by ODS funds and obligations, and financial incentives
allowed by legislation.
U.S./U.S.S.R. Maritime Agreement: The purpose of this objective
is to renegotiate new shipping rates for the U.S./U.S.S.R.
Maritime Agreement and to monitor performance against the
Agreement. The current charter rate for grain cargoes expires
on December 31, 1976 and there are issues with respect to
*
Construction Differential Subsidy
2
compliance with the 1975 agreement that must be resolved
before a new agreement can be signed.
Equal Opportunity in Maritime Industries: The purpose of
this objective is to achieve full minority and female
participation in the maritime industries' workforce and to
promote the development of related minority business
enterprises by enforcing equal opportunity compliance
procedures and promoting the greater use of minority
business in maritime contracting.
Ready Reserve Fleet Plan: This objective is designed to
provide a significant number of ships in the National Defense
Reserve Fleet in an advanced state of readiness (five to
ten days). The Navy (DOD) will fund the preactivation
shipyard work for five ships per year (for up to six years),
while MARAD will provide the supervision, inspection and
maintenance of the ships with this readiness capacity in the
Reserve Fleet.
November 1976
Oreratins-differential Subsidy
1. Proposed Objective
This objective aims at the reduction of the cost e: Operating-
differential subsidies through review of possible changes in the
ODS system (principally the essential trade route concept) and
elimination of zaintenance and repair coverage from ODS contracts.
Although the specific milestones invclved are scheduled to be
completed by July 1977, reduction of CDS costs is a continuing
objective of MarAd.
2. Justification
Operating-differential subsidy (ODS) is one of the key programs
under the Merchant Marine Act. It provides for the payment of
DDS to qualified U.S.-flag shipping companies for the operation
of ships in essential services in the foreign commerce of the
United States. In general, this program has been needed in order
to equalize the disparities in operating costs between American
ships and their foreign competitors. These disparities have been
primarily in wages of officers and crews, insurance, and
maintenance and repairs not compensated by insurance. In order to
carry out this program, the Maritime Subsidy Board, as the representa-
tive of the Secretary of Commerce, is authorized to enter into ODS
contracts for either liner or bulk carrier operations for a term up
to 20 years.
In recent years, overall CDS program costs are increasing and are
projected to increase further due to inflation. Ihe purpose of
our objective in the ODS area is to reduce the COST of the ODS
program.
3. Approach
A Department of Commerce audit report of May 1976 recommended that
MarAd document essential trade route and service criteria. The
Office of Audits suggested consideration of the following:
"Developing guides for use in determining when the amount
and value of cargo carried over certain routes is sufficient
to warrant designation as an essential trade route.
"Including, in the essential service criteria, consideration
of such factors as availability of cargo, extent of vessel
utilization, and degree of U.S.-flag participation considered
attainable and any other matters deemed pertinest.
"Insuring that the procedures include provision for adequately
documenting the files to clearly show the principal considera-
tions and issues involved in the evaluation process.
2
We agree with the Office of Audits that it would be desirable and
useful to prepare a formal description of the criteria and procedures
used for (1) determining the essentiality of a United States foreign
trade route, and (2) determining the requirements for U.S.-flag service
on the route. We are, therefore, preparing such documentation.
MarAd has begun a study of the ODS system. This study will involve
reexamination of the concept to determine whether it realistically
promotes the interests of the United States and the operators of the
U.S. merchant fleet. The overall study will include an assessment of
fleet productivity in relation to subsidy expenditures, an evaluation
of the relationship of ODS to management decisions, and consideration
of modifications to the current system. Special emphasis will be placed
on an examination of potential benefits which might result from greater
flexibility in the essential trade route concept.
In the area of the elimination of maintenance and repair subsidy, MarAd
policy concerning subsidies for maintenance and repairs (M&R) has been to
eliminate this expense from recent renewals of long-term Operating-
differential subsidy contracts. The goal for June 1977 is to eliminate
M&R subsidy from all contracts signed by that date. The following
contracts are those likely to be renewed by that date:
- American President Lines' long-term contract (in part) expires
in December 1976. This involves 14 ships.
- States and Prudential long-term agreements expire in December
1977. These contracts involve 29 ships.
- Lykes Bros. contract involving 41 ships expires December 1977.
- Waterman new long-term agreement: Application for service on
TR 12 and 22 has been approved, contract to be signed shortly.
Application for service on TR 21 is pending.
4. Resources
The ODS studies are projected to require 302 man-years and $40,000. It
is not possible to estimate the resources involved in eliminating M&R
coverage from ODS contracts being renewed, because it is part of the
entire ODS renewal process. (However, M&R represents about 4.8 percent
of ODS costs estimated for FY 1977.)
3
5. Responsible Office
(a) Office Responsible for Administration of ODS Program:
Assistant Administrator for Maritime Aids
Mr. Roy E. Yowell
(b) Office Responsible for Evaluation:
Assistant Administrator for Policy and Administration
Mr. Russell F. Stryker
6. Milestones
(a) Document criteria and procedures currently
Original:
used in the establishment of essential
October 1976
trade routes and services of U.S. foreign
Revised:
commerce.
November 1976
(b) Conduct 2 study of the CDS Frogram to
identify feasible changes which might
bring about the most realistic premotion of
the interests of the United States and the
operators of the U.S. merchant fleet.
February 1977
(c) Eliminate maintenance and repair coverage
from ODS contracts being renewed.
June 1977
(d) Reduce the gap between the calculation
of tentative CD3 rates and the development
of final CDS rates in order to complete
final settlement of subsidy and permit
operator to submit bill and receive payment.
September 1977
era
3-D
ref
S
1dy
Objective
Change in Status
Reduction of the cost of Operating-differential subsidies through>review of
possible changes in the QDS system and elimination of maintenance and repair
On schedule exept for one
coverage from ODS contracts.
slight variance.
Milestones
Oct. llov Dec Jun Feb Mar
,Ifil" May Jun
Jul
An:
(a) Document criterin and procedures currently used in the
establishment or essential trade routes and services
of U.S. foreign commerce.
o
,0
(1) Conduct 11 study of the 003 Program to Identify feasible
changes which might bring about the most realistic
promotion of the interests of the United States and the
operators of the U.S. merchant fleet.
o
(c)
Eliminate mulntenande una repuir coverage from ODS
contracts being renewed.
0
(d) Reduce the rap between the calculation of tentative ODS
rates and the development of final ODS rates in order to
complete final settlement of subsidy and permit operator
to submit bill and receive payment.
FORM SEC-904
MBO TYPING FORMAT
MARITIME ADMINISTRATION
OPERATING-DIFFERENTIAL SUBSIDIES
Extension of ODS Contracts
Renewal of ODS agreements for new 20-year agreements have been signed by
the following companies:
Moore-McCormack Lines, Inc. - effective through December 31, 1994
Delta Steamship Lines, Inc. - effective through December 31, 1995
Farrell Lines Incorporated - effective through December 31, 1995
Five other renewal applications have been filed:
Termination of
Company
Present Contract
American President Lines, Ltd.
December 31, 1976
American President Lines, Ltd.
December 31, 1978
States Steamship Company
December 31, 1977
Lykes Bros. Steamship Co., Inc.
December 31, 1977
Prudential Lines, Inc
December 31, 1977
Pacific Far East Line, Inc.
December 31, 1978
1/ This application also involves a two-year contract covering their
existing service, if agreement cannot be reached on a new 20-year
contract by December 31, 1976. The two-year contract would terminate
concurrently with the current ODS agreement of APL's American Mail Line
Division, December 31, 1978.
These renewal applications are in various stages of administrative
processing and review. Other U.S.-flag operators have intervened on
all ODS contract renewals based on services which are directly
competitive with the subsidized operators service.
UNITED STATES
MERCHANT FLEET AGE ANALYSIS
OCEANGOING SHIPS OF 1.000 GROSS TONS AND OVER
(TONAGE IN THOUSANDS)
JUNE 30. 1976
SUBSIDIZED FLEET
TOTAL
GROSS
DEAD
AVG/AGE
0-5
6-10
11-15
16-20
OVER 20
x UVER 20
COMBINATIONS
6
744
503
16.3
.
0
0
4
0
2
033.3
FREIGHTERS
174
24,030
29.009
11.0
30
46
68
9
21
012.0
BULK CARRIERS
2
802
1,644
02.5
2
0
0
0
0
000.0
TANKERS
12
3.959
7.726
01.2
12
0
0
0
0
000.0
TOTAL SUBSIDIZED
194
29,535
30,002
11.2
44
46
72
9
23
011.8
NON.SUBSIDIZED FLEET
COMBINATIONS
0
0
0
00.0
0
0
0
0
0
000.0
FREIGHTERS
130
20,603
20,767
20.3
24
16
16
1
73
056.1
BULK CARRIERS
16
2,126
3.649
28.1
1
0
1
0
14
087.5
TANKERS
237
50,640
91.263
19.5
35
19
21
53
109
045.9
TOTAL NON-SUBSIDIZED
383
73,369
115.679
20.1
60
35
30
54
196
051.1
PRIVATE OWNED FLEET
COMBINATIONS
6
744
503
16.3
0
0
4
0
2
FREIGHTERS
033.3
304
44,633
49.776
15.4
54
62
84
10
94
BULK CARRIERS
030.9
18
2,928
5.293
25.3
3
0
1
0
14
TANKERS
077.7
249
54,599
98.989
18.6
47
19
21
53
109
043.7
TOTAL PRIVATE OWNED FLEET
577
102,904
154,561
17.1
104
81
110
63
219
037.9
Ship Construction Program
1. Proposed Objective
The primary purpose of this objective is to continue the ship
construction program initiated by the Merchant Marine Act, 1970.
This objective is included because of its importance, even though
its inclusion may not be justified by the guidance that MBO
objectives should not deal with problems beyond the control of the
Department. MarAd influence is limited in this area because CDS
applications generally reflect market forces that MarAd does not
control. The actual control which can be exerted by MarAd stems
from control over ODS contracts and leverage provided by replace-
ment obligations, the persuasion and promotion exercised through
mechanisms like meetings with shippers and implementation of
legislative and administrative changes which will facilitate the ship
construction process.
2. Justification
Under the 1970 Act, the Maritime Administration has been embarked
on a program to strengthen the technical capability and increase the
productive efficiency of U.S. shipyards. In addition, there have bee=
specialized ship construction efforts especially for the carriage cf
energy materials like oil and liquefied natural gas.
In recent periods, tanker business worldwide has fallen off and
contracts for some tankers were cancelled and thousands of jobs have
been lost. Of 13 major U.S. shipyards, which provide approximately
40,000 jobs, it is estimated that at least six will need new work in
FY 1977. These are (1) Seatrain Shipbuilding, Brooklyn, New York;
(2) Sun Shipbuilding, Chester, Pennsylvania; (3) Bethlehem Steel,
Sparrows Point, Maryland; (4) Newport News (Commercial), Newport News,
Virginia; (5) Litton/Ingalls, Pascagoula, Mississippi; and (6) Avondale
Shipyard, New Orleans, Louisiana.
Although in recent years there has not been a substantial number of
orders for general cargo vessels (container, LASH, Ro/Ro, etc.), we
anticipate substantially increased intent for this type of vessel in
the near future. It is further anticipated that this intent will result
in contracts for construction of this type of vessel.
In addition, there is a new emphasis toward dry bulk ship construction.
Dry bulk construction is a special objective and the following facts
are noteworthy:
2
In 1974, dry bulk cargoes constituted 45 percent of U.S.
foreign trade.
O Dry bulk ships carry principally grains, coal, and ores.
- A large part of the grain shipments are aid program
shipments by the U.S. Government to foreign countries.
- A minimum of 50 percent of these shipments has been
reserved for U.S.-flag ships under Public Law 664.
O The 1970 Merchant Marine Act envisaged the construction of
substantially increased dry bulk carrier capacity.
O To date, this objective has not been met.
- The U.S. bulk fleet consists of only 19 vessels with an
average age of well over 25 years.
- U.S.-flag dry bulk carriers move only approximately two
percent of all such cargoes moving in U.S. foreign commerce.
3. Approach
The approach will include, in addition to the normal operations of
MarAd's ship construction program, assessing ship demand quarterly
prior to each briefing of the Secretary of Commerce on MarAd's
objectives. The status of existing ship construction projects in
order to determine the most active and viable contracts will be
examined. At the present time, Exhibit 1 presents tabular type data
on the active projects as of October 1976.
The Maritime Administration currently has underway an expanded
marketing effort designed to demonstrate the advantages of construc-
tion and operation of U.S.-flag ships to major operators and shippers
of bulk cargoes. The promotion of dry bulk carrier construction will
be implemented by conducting promotional meetings with six individual
companies by December 1976, developing an agency-wide strategy to
achieve legislative, regulatory and administrative changes for
presentation to Congress.
4. Resources
The magnitude of the resources involved in this objective can be
approximated by the projected $214 million in ship construction
obligations for FY 1977 and a rough estimate of 123 positions for
those MarAd offices directly involved in the ship construction program.
3
5. Responsible Office
Assistant Administrator for Operations
Mr. J. J. Nachtsheim
6. Milestones
(a) During FY 1977, contract for 14 ships.
September 1977
(b) Promote the construction of dry bulk
carriers in U.S. shipyards:
(1) Conduct a series of promotional
meetings with six individual
companies by December 1976.
January 1977
(2) Develop an agency-wide strategy
to achieve bulk vessel construction.
January 1977
(3) Draft necessary revised legislative
changes for presentation to Congress.
February 1977
(c) Assess the actual ship construction that
has been contracted for in FY 1977.
September 1977
Smrry Commetics Program
Objective
Change in Status
Continue the ship construction program initiated by the Merchant Marine
Act, 1970.
On schedule.
Milestones
Oct. Nov Dec
Jun Feb Mur
Apr May Jun
1011 Aug ::
(a) During FY 1977, contract for 14 ships.
(b) Promote the construction of dry bulk carriers in U.S.
shipyards:
(1) Conduct a series of promotional meetings with
six individual companies by December 197
.
0
(2) Develop an agency-wide strategy to achieve bulk
vessel construction.
0
(3) Draft necessary revised legislative changes for
presentation to Congress.
o
(c) Assess The actual ship construction that has been
contracted for in FY 1977.
FORM SEC-904
U.S. DEPARTMENT OF COMME,
12-781
MBO TYPING FORMAT
Exhibit 1
November 9. 2976
ACTIVE SHIP CCISTRUCTION PROJECTS
Estimated
Potential
Number c: Type of Ship
DWT
CDS Funding
Purchaser
Fiscal Year
Commitment
Containershics
"2 CNTR
18,000
60,000,000
American President Lines Itd.
1978
#4 CNTR
Accelerated replacement obligation
28,000
170,000,000
Sea-Land Corporation
1978
Confidential conversations with MarAd
officials/Explornacy meetings with
LAMI
shipyards
* LASH
38,000
76,000,000
Waterman Steamship Corporation
1977
CDS Application/Condition or proposal
2 LASH
ODS contract
38,000
42,000,000
Waterman Steamship Corporation
Roll-cn/Roll-cff
1978
Replacement obligation
3- Ro,'Ro's
14,500
70,000,000
Waterman Steamship Corporation
1978
CDS Application
1
Ro/Ro-Barge
(113 trailers)
4,500,000
Cumberland Shipping Company
1977 or 78
1
Ro/Ro-Esrge
(
"
"
CDS Application
.
)
4,500,000
1
Rail-Sea Corporation
1977 or 78
Ro/Ro-Barge
"
:
6,000,000
CDS Application
Cove Carriers, Inc.
1977 or 78
CDS Application
Liquofied Natural Gas Carriers
"2 Lild's
125,000m
66,000,000
Panhandle Eastern (Lactmar)
# 3 LIG's
1977
CDS Application
125,000m
99,000,000
Pacific Lighting (Zapata)
1977 or 78
"5 LNG's
CDS Application
125,000m
180,000,000
E1 Faso II
1978
FPC hearings underway
Breakbulk Shics
*3 Breakbulk
2,000
9,000,000
American Atlontic Shipping
(American Marine Industries)
1977
"2 Breakbulk/Container/Ro-Ro
CDS Application
13,000
35,000,000
Prudential Lines, Inc.
1978
Replacement obligation End meetings
with MarAd officials
Heavy Lift Ships
*? 2 Heavy 11:
4,500
10,000,000
American !leavy Lift Ship: !!
1977
CDS Application
Company
2.
2
Estimated
Extential
Number of Type == Ship
D.F.
CDS Funding
Purchaser
Fiscal Year
Commitment
Bull: Carriers
32/ 2 Bulk
35,000
$61,000,000
Falcon Cango Ships
1977 or 78
CD3 Application
to
Bulk-ore
35,000
41,000,000
E.I. Du Font de Demours
1977 or 78
Communication with MarAi officials
=
Chemical
6,500
8,000,000
E.I. Du Pont de Memours
LATT or 70
Communication with MarAd officials
Conversions
(2. Conversions
10,000,000
Lykes Bros. Steamship Co.,In:.
1977 or 78
Communication with MarAi officials
(2) Conversions
10,000,000
Moore-McCormack Lines
1977 or 78
Communication with MorAi officials
(1) Conversions
5,000.000
E.I. Du Font de Memours
1977 or 78
Communication with MarAd orficials
Conversions
5,000,000
American President Lines
1277
:: + (v)
Totals
CES Application (11-0-76)
372,000,000
10
These projects appear in the ship mix for the 1973 budget although all the ships in each project =sy not be funded.
1/ C::1on for a fourth.
2/ :::1on for a third.
10.80
V.S. DEPARTMENT of CONVERCE
MONIM OF
REPORT NO.
LOLO
MANIFINE
FOR OFFICIAL USE C.
SHIPYARD EMPLOYMENT
shij, 2976
(EXCLUDING SUBCONTRACTED WORK; in ye.de with shipbuilding factl., for chips 473 by " Irel
PRODUCTION WORKERS
SHIPBUILDING
SHIP REPAIR
All Employees
95,973
Total
Total
Plant
Production
Total
: coluction Embere 17,022
Employees
markers
Mores
Nov
Chese
Private
1.0.00
( -
Mared
todetal
kynn
Novy
when
Indical
Veras
1
:
.
"
,
1.
,
.
"
:-
"
CHAND TOM
25,273
77.022
64,083
17,314
4.6
1
14"
"
-
ind
ATLANDIC C.A.:.
5:10
31,107
"%"
1,1.4
1%
-
1, "
-
,14
-
Math Iron Works
1,250
2,100
1,19
1,0%
⑆
-
1%)
121
to
121
-
-
General Dynactos vulucy
4.735
2,304
2,j4j
1,353
1
-
960
42
-
12
-
-
Sentrain Shiptlis, Brooklyn
1,194
1,274
1,274
B:1
4
-
"33
-
-
-
-
-
Fun Dritock
3,725
3,017
2,522
-
-
-
2,522
221
-
-
-
Phyle:1 Shiebling. & Drydock
1,527
900
232
.
-
-
232
575
-
2:3
-
:::
Iritletes Steel, Sparrows Point
3,606
2,215
2,178
2,152
16
-
-
67
-
-
-
(0
Newpor: ""I" Sairolds. & Drvdock
23,667
18,912
16.193
2,336
11.
5
-
-
1,373
-
PIA
$
1.7'
COUP COAST
26,192
30,593
24,98,
1,007
17,274
-
5,800
5,089
-
2,07
-
is,
Aleta-n Drytock & Shipblds.
2,200
I
3,153
1.021
-
-
1,521
431
-
-
-
1.7
Litter/Ingells, PreceRoula
22,692
19,498
17,273
-
17,778
-
-
2,223
-
2,017
-
:
Avor.isle Snippords
6,499
5,795
3,779
1,901
.
-
1,87.
2,710
-
-
-
E
Levingstin Shiptlis., Orange
2,028
1,590
1,109
-
:
-
1,109
123
-
-
-
13
Bethleken Steel, Beaumont
1,072
818
380
-
,
-
ieo
291
-
-
-
291
Muration Stipbles.. Brownsville
748
61A
618
-
r
61A
-
-
-
-
-
-
FACIFIC COAS?
14,601
12,950
9,982
4,013
2,174
445
3,3.0
1.4:1
-
SET
IIL
7:2
NY: 1 SHIPPED
6.355
5.0.15
5.20
1,142
1.
-
1.5%
2:,7
-
411
-
:.:
Tois Sun Pedro
2,130
2,024
1,471
941
ú
-
314
144
-
15
-
12
P-thleten Strel, Sun Francisco
570
370
141
-
1
-
161
11
-
40
75
$
Corl
Portland
2,104
1,78:
9!!
-
-
989
-
-
-
-
-
Lockteed Chipting., Senttle
2,388
2,193
1,795
1.
1, %0
445
-
200
-
-
0
27.1
Ti:1 Entered, Senttle
973
07
340
-
145
-
203
317
-
101
3:
205
GREAT LAMES
2,850
2.16.
1,704
-
-
-
1,794
10%
-
-
21
::5
American Chipbidg... lorain
1,072
for
C2')
-
+
-
528
260
-
-
-
"in
Chipbide., Toledo
1PM
307
307
-
-
-
07
-
-
-
-
-
LISEARY
l'efse Shiphild., bay City
1.11
-
,
-
-
-
-
-
4
-
-
-
Bay thirblds., Sturgeon Bay
1,138
1,0%
737
-
-
737
197
-
-
21
1%
13
122
122
-
-
Frazer Superior
192
-
'
-
-
-
-
office of
AVERAGE MONTHLY SHIPYARD EMPLOYMENT
R
4
act
ELEI
CII
os
FACILITIES TO CON. ,CT SHIPS 475 BY 68 FEET
TOTAL
SHIP CONSTRUCTION AND CONVERSION
SHIP REPAIR
NO.
TOTAL
DIRECT
OTHER
OTHER
AR MONTH YARDS
PLANT
LABOR
TOTAL
MARAD
NAVY
FED
PRIVATE
TOTAL
MARAD
NAVY
FED.
PRIVATE
1959
JAN
21
65,458
54,715
45,744
2,082
24,016
-
19,646
6,562
25
1,654
-
4,883
1:60
JAN
21
65,848
54,991
47,460
8,294
30,799
-
8,367
4,922
-
312
I
4,610
1.61
JAN
21
66,682
54,091
46,314
9,008
32,913
-
4,393
5,629
16
1,470
-
4,143
1.112
JAN
20
59,328
51,521
41,623
13,554
25,808
-
2,261
6,725
-
1,948
-
4,777
63
JAN
20
57,477
49,292
40,873
11,522
27,090
-
2,261
5,524
-
1,106
-
4,418
1064
JAN
21
51,381
43,695
35,710
6,215
26,999
-
2,496
5,934
1
1,638
-
4,296
1965
JAN
21
65,736
55,264
42,606
6,821
30,127
-
5,658
11,021
-
5,775
I
5,246
1966
JAN
21
72,612
57,208
44,193
5,638
31,975
120
6,460
11,324
653
5,148
-
5,523
1967
JAN
21
72,416
59,159
42,360
8,113
29,171
840
4,236
14,173
288
6,171
-
7,714
1968
JAN
20
75,368
62,234
47,263
10,462
28,930
2,025
5,846
12,887
2
5,901
251
6,733
1469
JAN-
20
77,888
63,746
50,417
11,313
30,285
139
8,680
11,803
10
5,763
79
5,951
1.70
JAN
21
78,984
61,770
43,961
2,763
30,373
-
10,825
16,085
-
10,127
95
5,863
1071
JAN
19
73,388
60,701
44,144
8,196
27,412
-
8,536
14,920
55
6,499
238
8,128
1972
JAN
20
78,079
64,690
49,546
13,565
26,166
26
9,789
12,858
1
5,793
208
6,856
1973
JAN
19
81,527
64,929
54,950
11,875
31,937
445
10,693
7,631
-
2,778
61
4,792
1974
WAN
25
90,028
74,094
60,953
8,869
33,844
865
17,375
9,651
-
4,160
68
5,423
1975
JAN
24
95,337
75,882
62,393
11,878
34,006
1,217
15,292
9,357
-
2,756
212
6,389
1976
JAN
24n/
96,546
78,614
67,606
14,923
35,076
495
17,112
7,175
-
2,806
91
4,278
FEB
24a/
97,008
33,784
71,518
16,582
37,412
507
MAR
24b/
94,329
74,577
64,061
15,440
33,859
17:283
8,525
I
3,661
116
4,748
557
6,786
-
2,067
298
4,421
APR
24c/
06,199
76,320
64,135
14,710
34,694
542
14,189
8,481
- 2,808
155
5,518
MAY
24
97,098
80,728
66,782
15,186
35,955
533
15,108
9,929
-
3,737
162
6,030
JUN
24d/
97,345
81,289
67,556
14,771
37,422
445
14,918
9,920
-
3,549
172
6,199
JUL
24
95,973
77,022
64,083
13,814
34,603
1145
15,221
9,498
-
3,398
135
5,965
AUG
GENALD
SEP
OCT
FORD
NOV
LIBRARY
DEC
n/ Includes Maryland Shipbuilding and Drydock, which VII strikebound.
U.S. DEPARTMENT of CO.
MARITIME ADDITISTRATION
!! Includes Maryland ShipbullJing and Drydock ,1114 Mahum :ssool.
OFFICE OF IIV.
SHIPYARD STATUS: NEED FOR NEW BUSINESS
U.S. DEPARTMENT OF COMMERCE
MARITIME ADMINISTRATION
(As of 10-1-76*)
TIME NOW
MAJOR COMMERCIAL SHIPYARDS
1975
1976
1977
1978
1979
1980
1981
BATH IRON WORKS - BATH, ME.
GEN. DYN. . QUINCY, MASS.
SEATRAIN - BROOKLYN, N.Y.
SUN - CHESTER, P.A.
BETH. STEEL - SP. PT., MD.
NEWPORT NEWS (COMM.)
NASSCO - SAN DIEGO, CALIF.
TODO - SAN PEDRO, CALIF.
LOCKHEED - SEATTLE, WA.
INGALLS - LITTON
AVONDALE - N.O., LA.
MARYLAND - BALT., MD.
FMC - PORTLAND, ORE.
TODO - SEATTLE, WA.
END OF BAR INDICATES WHEN YARD NEEDS NEW CONTRACTS IN ORDER TO MAINTAIN ADEQUATE BACKLOG FOR
AVAILABLE FACILITIES AND MANPOWER. ASSUME 8 MONTH ADMINISTRATIVE AND PRE-FAB TIME (LEAD TIME
BEFORE KEEL LAYING).
U.S./U.S.S.R. Maritime Agreement
1. Procosed Objective
The purpose of this objective is to renegotiate new shipping rates
for the U.S./U.S.S.R. Maritime Agreement and to monitor performance
against the Agreement. The U.S./U.S.S.R. Maritime Agreement is an
important impetus to the normalization and expansion of commercial
relationships between the United States and the Soviet Union. The
negotiation of new shipping rates and the monitoring of cargoes
under the Agreement will be instrumental in guaranteeing a fair
share of the trade to U.S.-flag vessels.
2. Justification
An historic maritime agreement was signed on October 14, 1972 which
provides the broad framework and ground rules for maritime activities
between the United States and the Soviet Union. A new six-year
agreement was signed on December 29, 1975, which supplants the
original agreement. The new agreement maintains the two basic
objectives of the old agreement; first, it keeps open the channels
of maritime commerce between the two nations by continuing to
facilitate access to major U.S.-flag and Soviet-flag vessels; and,
second, it affords to U.S. and Soviet vessels the opportunity to
participate equally and substantially in the carriage of all cargoes
moving by sea between two nations.
Directly attributable to the Maritime Agreements are the improved
lines of communication between U.S. and Soviet shipping officials
and scientific personnel. Under the auspices of the joint U.S./
U.S.S.R. Commission on Cooperation in Transportation, maritime
industry officials from the two countries have exchanged visits.
Cooperative programs have been established in the areas of port and
cargo operations, handling of basardous cargo, port management
training, and marine terminal technology and control systems.
With respect to liner service, U.S.-flag carriers have experienced
no difficulty in participating in the U.S./U.S.S.R. trade at
existing rate levels and will continue to do SO under the terms
of the new 1975 Agreement. However, the matter of freight rates to
be paid to U.S. vessels in the bulk trades is an important provision
of the Agreement. The most important category of charter rates is
for agricultural commodities and products. Under terms of the
Agreement such cargoes shall be carried at a mutually acceptable
rate. For fixtures made between 1/1/76 and 12/31/76, both sides
agreed to continue the indexing method arrived at on September 17,
1975 for the establishment of charter rates for U.S.-flar vessels.
2
Both sides have further agreed to meet during 1976 to discuss and
reach agreement upon rates for fixtures made after December 31,
1976. This agreement on new rates is the primary purpose of the
objective stated for this program area.
3. Approach
The approach to developing a new agreement for 1977 shipping rates
will be to conduct a full scale negotiating meeting in Washington,
D.C. where the remaining issues will be assessed and the require-
ments for a follow-on meeting determined. By the end of the calendar
year, it is expected that a final agreement will be completed.
Successful resolution of rate issues will provide the opportunity
for U.S. carriage currently estimated at a total of 4.39 million
tons in 1977.
Major issues for negotiation will include the following:
O
Expiration of rate for grain cargoes. The current charter rate
expires December 31, 1976. A new rate is needed effective
January 1, 1977. The U.S. is seeking continuation of the $16
rate which is considered acceptable. It is expected that this
will be resolved prior to the expiration date.
Implementation and compliance with provisions of the 1975
Agreement.
- imbalances in carriage of grain for 1975 and 1976
- imbalance in carriage of other bulk cargoes in 1975
resolution of controlled cargo issue. The point of
contention is the obligation of Soviet Foreign Trade
Organizations to execute purchase and sales contracts
to meet the objectives of the Agreement. The U.S.S.R.
maintains that the FTO's are not affected and that it
is only the Soviet shipping entities, SOVINFLOT and
SOVFRACHT, that are involved and only to the extent
that the terms of shipment provide a basis for routing
cargo to specific carriers.
- imbalance in carriage of liner cargoes in 1976.
- Based on the results of the June meeting with U.S.S.R.
representatives, it appears this issue will be resolved
prior to December 31, in the rate negotiation framework.
It is anticipated the Soviets will bargain severely and in
order to obtain a favorable agreement on freight rates, it
may be appropriate for them to compromise on imbalance
issues.
3
Since 1972 the U.S. has carried about 23.5 percent of the grain
cargoes which is less than its one-third share allowed under
the maritime agreement. This is currently due to the existence
of disputes over certain ships and routes not acceptable by the
Soviets. There is and has been sufficient U.S.-flag tonnage to
to carry our share of the projected grain purchases.
4. Resources
Although it is difficult to estimate the dollars and man-years
involved in the negotiating process because of the inherent
uncertainties, the negotiation will be conducted with existing
resources.
5. Responsible Office
Assistant Secretary for Maritime Affairs
Mr.' Robert J. Blackwell
6. Milestones
(a) Obtain new freight rate agreement with Soviets for
period beginning 1-1-77.
(1) Continue full scale meetings on rate
negotiations
Oct. 1976
(2) Conclude final agreement for rates
effective 1-1-77
Dec. 1976
(b) Monitor the carriage of cargoes moving between the
U.S. and U.S.S.R. to assure the equal access to
shipping trade, and provide annual accountings of
movement.
(1) Develop preliminary accounting for
calendar year 1976.
Jan. 1977
(2) Adjust for any imbalances and develop
final accounting for calendar year 1976.
Mar. 1977
0.8
S.I
MII
III:
Objective
Change in Status
Renegotiate new shipping rates for the U.S./U.S.S.R. Maritime Agreement
and monitor performance against the agreement.
On schedule.
Milestones
Oct Nov Dec
Jun Feb Mar
Apr May Jun
Jul
Allig
is
(a) Obtain new freight rate agreement with Soviets for
period beginning 1-1-77.
(1) Continue full scale meetings on rate negotiations.
(2) Conclude final agreement for rates effective
1-1-77.
o
(b) Monitor the carriage of cargoes moving between the U.S.
and U.S.S.R. to assure the equal access to shipping
trade, and provide annual accountings of movement.
(1) Develop preliminary accounting for calendar
year 1976.
O
(2) Adjust for any imbalances and develop final
accounting for calendar year 1976.
o
U.S. DEPARTMENT OF COMME
FORM SEC-904
(2-78)
MBO TYPING FORMAT
Ready Reserve Fleet Plan
1. Proposed Objective
The purpose of the Ready Reserve Fleet Plan is to provide a signifi-
cant number of ships in the National Defense Reserve Fleet in an
advanced state of readiness. This will be carried out through e
joint Navy-MarAd program, with the bulk of the dollar resources
being supplied by DOD (Navy).
2. Justification
The National Defense Reserve Fleet is the only source of reserve
U.S.-flag break-bulk shipping capacity available to the United States
during a military or commercial shipping crisis. DOD (Navy)
considers the NDRF to be a vital asset in contingency planning.
During the past two decades the reserve fleet has served the nation
cn a number of occasions by supplementing existing commercial and
military sealift capacity. In these earlier call-ups of NDRF
ships, breakcut time was not a dominating consideration. Ships were
put in service over a period of weeks or months. Current DOD
contingency planning, however, calls for supplementary sealift in 2
much shorter time; within the first 10-15 days of a commitment of
American forces or material.
3. Approach
Under the present NDRF preservation program, the ships in the NDRF
are merely maintained and preserved in the condition in which they
were in when deactivated and delivered to the fleet sites. The time
required to reactivate ships in this state of preservation would not
be responsive to early DOD needs at the start of the contingency.
DOD (Navy) has included funding in their 1977 and out-year financial
plans to commence E program to upgrade up to 30 selected ships, at
the rate of up to five ships per year, to an advanced state of
reactivation readiness. The Ready Reserve Fleet Plan consists of
three phases: presctivation, NDRF maintenance and repair, and a
five to ten day reactivation if and when required. Preactivation
includes performance of certain shipyard work required to improve
the material condition of the ships so that they may be reactivated
within a five to ten day timeframe. Upon return to the NDRF, the
ships must be maintained in an advanced state of maintenance and
repair far beyond the state provided in the minimal preservation
program now in effect. Navy will fund preactivation shipyard work.
However, MarAd will provide the supervision and inspection of
upgrading and then continue to maintain the ships in the NDRF at an
advanced state of readiness after upgrading has been completed. By
the end of 1978 the plan calls for ten ships to be upgraded to an
(:
advanced state ": readiness. It is estimated that will be
approximately 189 riling 201 tonti : :: ::. National Diffense
Reserve Fleet at the end c: Fi 1978. These 20 ships in en advanced
state of readiness EILL thus be only about 5 percent of the HDRF = the
end of FY 1978. Present plans colling for the upgraiing 02 30 ships
at a rate of 5 ships per year means that it will take six years ::
place approximately :- percent or the commercial ships in the WORF
(based upon FY 1978 number :: vessels) in an advanced state of readiness.
L. Resources
It is expected that DCD (NETT) will transfer 85.3 million to Marki
for FY 1977 funding :: the Ready Reserve Fleet Fien. It :: estimated
that MarAd personnel will contribute five man-years :: effort in
FY 1977, and that 220,000 ===-days of effort will to contracted
5. Responsible Office
(a) Office Responsible for Ship Lay-up:
Assistant Administrator for Operations
Mr. J. J. Nachtsheiz
(b) Office Responsible for Interaction with Navy:
Assistant Administrator for Policy and Administration
Mr. Russell F. Stryker
6. Milestones
Place five chips in shipyari for activation:*
(1) First Ship
January 1977
(2) Second Ship
March 1977
(3) Third Ship
May 1977
(4) Fourth Ship
July 1977
(5) Fifth Ship
October 1977
FORD : LIBRARY GERALD
*Schedule ard number of ships tentative (total number of ships :: be
equivalent to five Victory ships).
neady neserve Fle lan
Objective
Change in Status
Provide a significant number of ships in the National Defense Reserve
Fleet in an advanced* state of readiness.
On schedule.
Milestones
Oct Nov Dec
Tan Feb Mar
Apr May Jun
lul Aug Sep
Oct
(R) Place five ships in shipyard for activation:*
(1) First Ship
(2) Second Ship
0
(3) Third Ship
o
(4) Fourth Ship
o
(5) Fifth Ship
"Schedule and number of ships tentative (total number of
ships to be equivalent to five Victory ships).
SEC-904
U.S. DEPARTMENT OF COMMERCE
MBO TYPING FORMAT
Equal Opportunity in Maritime Industries
1. Proposed jective
The purpose of this objective is to attain equal opportunity in the
maritime industries by achieving full minority and female participa-
tion in all segments of the maritime industries' workforces and by
promoting the development of minority business enterprise. Achieve-
ments in the attainment of full minority and female participation
will be compiled in June 1977 (for specifics, see Milestones below).
2. Justification
The Maritime Administration is responsible for securing contractual
EEO compliance by maritime industry contractors located in coastal
states. This responsibility derives from Executive Orders 11246 and
11375 and is delegated to the Department of Commerce by the Office
of Federal Contract Compliance Programs Order No. 1.
The Maritime Administration also promotes the use of mincrity
business enterprises by MarAd contractors and subcontractors. The
authority for this program is derived from Executive Order 11625.
In addition, Federal Procurement Regulations require that all govern-
ment contracts which may exceed $500,000 include a clause assuring
minority business enterprises the maximum practicable opportunity
to participate in the performance of government contracts.
3. Approach
Within the Maritime Administration, responsibility for this objective
is delegated to the Office of Civil Rights. This office develops,
disseminates and coordinates policies, procedures and directives to
ensure the proper implementation of these programs in Washington and
the field. In this regard, MarAd's Eastern, Central and Western
Regions have civil rights specialists who carry out compliance and
promotional responsibilities related to the two programs. Equal
Employment Opportunity responsibilities include the conduct of
comprehensive on-site EEO compliance reviews and investigation of
discrimination complaints. Duties related to the minority enterprise
program include efforts to encourage maritime contractors to make
greater use of minority businesses and to create a greater awareness
by minority enterprises of the opportunities to supply goods and
services to the maritime industry.
2
In the area of contract compliance, MarAd will make use of on-site
compliance reviews, investigation of complaints and affirmative action
plans to achieve its goals for minority and female employment in the
maritime industry. If deficiencies are encountered during these
reviews or investigations, then conciliation agreements and affirmative
action plans with specific commitments, goals and timetables will be
developed. Admittedly, these goals do not call for substantial gains
over the 1976 level. However, if industry employment declines and the
last hired-first fired guideline is used as expected, maintenance of
gains in minority employment will be a significant achievement.
In the areas of minority business enterprise, MarAd will continue
previous efforts by promoting greater use of those minority businesses
which now have maritime contracts in operation as well as other
minority firms desiring to enter the maritime field. MarAd will also
assist minority entrepeneurs who wish to form companies providing
services or goods to the maritime industry. Assistance will be
offered in introducing prospective minority contractors to maritime
industry officials and by coordinating with other Federal agencies
such as OMBE and SBA.
Activities planned to achieve goals include visits to major shipyards
and to major shipping companies to encourage greater use of minority
firms, showings of MarAd's minority business exhibit at conventions
held by minority groups such as the Minority Businessmen's Group and
the Urban League, distribution of the Minority Business Directory to
all major shipyards and all shipping companies, and arrangement of
meetings between individual entrepreneurs and maritime contractors.
4. Resources
For the full FY 1977, approximately $620,000 and 28 man-years are to
be committed to the Maritime Administration's equal opportunity efforts.
5. Responsible Office
Office of Civil Rights
Director: Mr. John M. Heneghan
6. Milestones
(a) Attain minority and female participation in the
maritime industry in CY 1976 as follows: 28.0
percent minority in the total workforce, 30.0
percent minority representation in skilled jobs,
10.7 percent minority representation in salaried
white collar positions, and 5.0 percent female
representation in the blue collar workforce.
April 1977
3
(b) Achieve $12.0 million in contracts placed with
minority and female businesses which deal with
the maritime industries between July 1, 1976 and
June 30, 1977
June 1977
(c) Establish six minority and female contractors
within the maritime industry between July 1, 1976
and June 30, 1977.
June 1977
Equal Opportunity in Ma. time Industries
Objective
Change in Status
Attain equal opportunity in the maritime industries by achieving full
minority and female participation in all segments of the maritime
On schedule.
industries' workforces and by promoting the development of minority
business enterprise.
Milestones
Oct: Nov
Dec
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Be
n) Attain minority and female participation in the
maritime industry in CY 1976 as follows: 28.0 percent
minority in the total workforce, 30.0 percent minority
representation in salaried white collar positions, and
5.0 percent female representation in the blue collar
workforce.
0
b) Achieve $12.0 million in contracts placed with minority
and female businesses which deal with the maritime
industries between July 1, 1976 and June 30, 1977.
c) Establish six minority and female contractors within
the maritime industry between July 1, 1976 and
June 30, 1977.
O
SEC-904
U.S. DEPARTMENT OF COMMERCE
MBO TYPING FORMAT
FISCAL 1977 NFPCA OBJECTIVES
General. NFPCA proposed six fiscal 1977 objectives. The
three listed first are completely new; the other three are
successors to fiscal 1976 objectives.
Public education assistance.
Residential Fire Safety Research.
Residential Fire Protection systems.
Education and training program of the
National Academy.
Fire protection master planning
National Fire Satistics.
These six objectives cover about 64% of NFPCA's program.
Public Education Assistance. This objective aims at
establishing plans, guidelines and program models for the
delivery of effective public education programs to states and
communities.
Residential Fire Safety Research. This objectives involves
development of a program of recommended standards and practices
to reduce residential fire deaths. The program will include:
(1) validation of a flammability test method for wearing
apparel; (2) development of criteria for limiting fire spread
in mobile homes; (3) developing a protocol for full-scale
room fire tests; (4) developing optimum siting for residential
smoke detectors; and (5) developing a test protocol for screening
materials for extremely toxic combustion products. Work is
carried out by NBS and should be essentially completed by
September 30, 1977.
Residential Fire Protection Systems. The objective here
involves development of the required systems performance
specifications for (1) a low-cost automatic residential fire
alarm system and (2) a fire suppression system. Both systems
will be aimed at reducing residential fire deaths, injuries,
and property losses.
2
Education and Training Program Of the National Academy.
This objective encompasses the development, delivery, and
testing of the effectiveness of courses for use by the Academy,
state and local governments, colleges, and universities.
Ten courses will be conducted for 1900 students by October 1977.
Fire Protection Master Planning. This objective aims at
providing the Nation's fire services with essential tools to
develop and implement their own fire protection master
planning programs, with specific products to be available
by March 1977.
National Fire Statistics. The objective here would establish
a rudimentary national fire data base and produce the first
NFPCA statistical tables and summaries of the national,
state, and local experience by October 1977.
These tables and summaries will:
describe the United States fire experience
quantitatively, in terms of fire incidence,
losses, casulties, and causes;
compare state and local experience against
the national picture (for states with available
data) ;
identify specific fire protection problem areas;
and
provide feedback to state and local level.
November 1976
LIBRARY
P. 1-1
OBJECTIVE NO. 1
THE EDUCATION AND TRAINING PROGRAM OF THE
NATIONAL ACADEMY FOR FIRE PREVENTION AND
CONTROL
1. Proposed Objective. To develop, deliver, and test the
effectiveness of courses for use by the Academy, state
and local governments, colleges and universities. Ten
courses will be conducted for 1900 students by October
1977.
2. Justification. There is a need to up-grade the
professional ability of state and local personnel
to prevent and control fire losses and to train
trainers for a multiplier effect. Course subjects
are based upon priority needs assessment.
3. Approach. The National Academy for Fire Prevention and
Control will select outside contractors to perform task
analyses; develop performance objectives; design
instructional methods and materials; package, test,
validate and revise courses as necessary. The Academy
will conduct courses and deliver packages for dissemination
and implementation on the state and local level.
4. Resources. $1,088,000 and fifteen man-years.
5. Responsible Office. The National Academy for Fire
Prevention and Control will execute this initiative
with primary responsibility resting with the
Superintendent, David M. McCormack.
6. Program and Milestones.
P. 1-2
A.
Labor/Management Relations
1. Conduct task analysis and needs
7/76
identification
2. Determine performance objectives
7/76
3. Develop instructional methods and
materials
12/76
4. Validate and test instructional
materials
2/77
5. Amend and revise as necessary
4/77
6. Implement course delivery
4/77
7. Conduct evaluation of course material
4/77
8. Measure student retention on a
4/77
continuing basis
Purpose. This course is designed to give local government
officials and fire service chief administrators insight
in current federal legislation and methods for developing
and maintaining sound labor relations with fire service
unions and public employee groups.
P. 1-3
B. Overview of Master Planning.
1. Conduct task analysis and needs
identification
5/76
2. Determine performance objectives
5/76
3. Develop instructional methods and
materials
4/77
4. Validate and test instructional
materials
5/77
5. Amend and revise as necessary
5/77
6. Implement course delivery
6/77
7. Conduct evaluation of course material
7/77
8. Measure student retention on a
continuing basis
7/77
Purpose. This is an overview course designed to assist
local government officials in understanding the master
planning concept and a method for organizing the community
to prepare for its implementation.
P. 1-4
C. Systems Requirements.
1. Conduct task analysis and needs
identification
1/75
2. Determine performance objectives
1/75
3. Develop instructional methods and
materials
4/75
4. Validate and test instructional materials
6/75
5. Amend and revise as necessary
5/76
6. Implement course delivery
7/76
7. Conduct evaluation of course material
11/76
8. Measure basis student retention on a continuing
11/76
Purpose. The Systems Requirements course will provide
responsible fire service management personnel with
administrative tools to analyze fire department
operations in order to improve evolutions, safety
and equipment utilization.
P. 1-5
D. Arson I
1. Conduct task analysis and-needs
identification
2/76
2. Determine performance objectives
3/77
3. Develop instructional methods and
materials
4/77
4. Validate and test instructional
materials
10/77
5. Amend and revise as necessary
11/77
6. Implement course delivery
12/77
7. Conduct evaluation of course material
12/77
8. Measure student retention on a
continuing basis
1/78
Purpose. The Arson Investigator I course will provide
technical competence for entry level Arson Investigation
Personnel in the full range of applicable subject areas.
P. 1-6
E. Data and Coding Format.
1. Conduct task analysis and needs
identification
12/76
2. Determine performance objectives
12/76
3. Develop instructional methods and
materials
1/77
4. Validate and test instructional
materials
3/77
5. Amend and revise as necessary
3/77
6. Implement course delivery
7/77
7. Conduct evaluation of course material
7/77
8. Measure student retention on a
continuing basis
7/77
Purpose. The course is designed to train fire departments
and state personnel in the utilization of the National
Fire Data System forms and format.
P. 1-7
F. Fire Safety Design for Architects.
1. Conduct task analysis and needs
12/75
identification
2. Determine performance objectives
1/76
3. Develop instructional methods and
materials
6/76
4. Validate and test instructional materials
9/76
5. Amend and revise as necessary
11/76
6. Implement course delivery
1/77
7. Conduct evaluation of course material
1/77
8. Measure student retention on a continuing
basis
1/77
Purpose. This course designed for practicing architects will
provide an architectural education component by which fire
safety will be considered in building design along with
traditional considerations such as: "function, form, and
building materials".
P. 1-8
G. Implementation of Master Planning.
1. Conduct task analysis and needs
identification
2/77
2. Determine performance objectives
2/77
3. Develop instructional methods and
materials
5/77
4. Validate and test instructional materials
7/77
5. Amend and revise as necessary
9/77
6. Implement course delivery
11/77
7. Conduct evaluation of course
material
11/77
8.
Measure student retention on a
continuing basis
11/77
Purpose. This course is designed to assist local government
officials in implementing the master planning concept
within their respective communities by providing the
necessary organizational methods and guidance.
P. 1-9
H. Instructor One.
1. Conduct task analysis and needs
identification
7/76
2. Determine performance objectives
8/76
3. Develop instructional methods and
materials
11/76
4. Validate and test instructional
materials
6/77
5. Amend and revise as necessary
7/77
6. Implement course delivery
7/77
7. Conduct evaluation of course material
8/77
8. Measure student retention on a
continuing basis
8/77
Purpose. The Instructor One course will provide
state and local personnel with instructional
techniques compatible with the Instructor One
Standards of the National Professional
Qualifications Board.
P. 1-10
I. Management of Fire Prevention Programs.
1. Conduct task analysis and needs
identification
2/77
2. Determine performance objectives
2/77
3. Develop instructional methods and
5/77
materials
4. Validate and test instructional
materials
7/77
5. Amend and revise as necessary
9/77
6. Implement course delivery
11/77
7. Conduct evaluation of course material
11/77
8. Measure student retention on a
continuing basis
11/77
Purpose. The Management of Fire Prevention Programs courses
will provide local fire departments and public officials
with techniques and methods for planning, initiating,
effectively managing and evaluating fire prevention
programs.
P. 2-1
OBJECTIVE NO. 2
PUBLIC EDUCATION ASSISTANCE PROGRAM
1. Proposed Objective. To establish plans, guidelines
and program models for the delivery of effective
public education programs to states and communities.
2. Justification. Many model community public fire
education programs which are effective in fire
loss reduction have been developed. To achieve
the national fire loss reduction goal, these fire
education programs must be implemented at the local
level. The Public Education Assistance Program will
establish the mechanism to deliver to communities
tested fire education programs which have been proven
to have loss reduction capability.
3. Approach. Four pilot states will be selected to re-
ceive planning grants to establish model fire education
delivery systems. The community public education process
will be used to analyze state fire problems which can be
effected through public education methods. An inventory
of existing state public education resources, training
capabilities, and commmunications capabilities will be
made for each state. An assessment will be made of the
optimum use of NFPCA grant and technical assistance in
developing state public education program delivery and
resource capability.
The results of this activity will be drawn up as a model
for the establishment of state public fire education pro-
grams and NFPCA public education grant and technical
assistance. In FY 78, grants will be provided to the
four pilot states to carry out the planned program.
4. Resources. FY '77 $267,000 and 2.7 man-years
FY '78
$500,000 and 6.0 man-years
FY '79
$750,000 and 7.0 man-years
The Public Education Assistance Program will continue
at this level until 1986 when all states will have
completed the program.
5. Responsible Office. The Public Education Office will
execute this initiative with primary responsibility
resting with the Associate Administrator for Public
Education, Richard R. Strother.
p. 2-2
6. Milestones.
1. Select four pilot states
10/76
2. Identify state fire problems
3/77
3. Inventory existing state resources,
commmunications networks and program
capabilities
4/77
4. Determine optimal role for Federal
technical and grant assistance
6/77
5. Draft guidelines and criteria
7/77
6. Publish guidelines and criteria
9/77
P. 3.-1
OBJECTIVE NO. 3
FIRE PROTECTION MASTER PLANNING
1. Proposed Objective. To provide the Nation's fire
services with essential tools to develop and implement
their own fire protection master planning programs, with
specific products to be available by March 1977.
2. Justification. The concept of fire protection master
planning has been proposed as a method for improving
the delivery of fire protection services. Planning
guidelines and tools are needed by local jurisdictions
to apply the concepts of master planning. These specific
products are necessary in determining the ultimate impact
of the master planning process.
3. Approach. Because of the differing nature and make-up of
the Nation's political jurisdictions, specific manuals
will be developed for application in four categories of
jurisdictions (a) urban communities, (b) rural and
small communities, (c) county-level jurisdictions, and
(d) state-level jurisdictions. Step-by-step manuals
will be developed for each of these categories and field
tested before general national distribution.
4. Resources. $500,00 and four (4) man-years are estimated
resource requirements for this objective.
5. Responsible Office. Charles H. Boehne, Program Manager,
Planning and Management Research, National Fire Safety
and Research Office.
6. Milestones.
1. Produce a manual for use by urban communities.
a. delivery of camera-ready copy of community
manualto NFPCA from the grantee
12/76
b. delivery of printed community manual for
national distribution
3/77
C. initiation of community manual mailing
4/77
d. receive and review results of grant to
evaluate the usefulness and applicability
of community manual
7/77
P. 3-2
2. Produce a manual for use by rural and small
communities
a. completion of field validation of rural and
small community manual
5/77
b. delivery of camera-ready copy of rural and
small community manual to NFPCA from grantee
6/77
C. delivery of printed rural and small community
manual for national distribution
9/77
3. Determine need for manual for use by county or
multi-jurisdictional locations
a. complete study on need for county-level manual
3/77
b. determine whether or not to proceed with
development of the manual
4/77
C
award grant, if appropriate, for development
of the manual
5/77
4.
Produce state-level master planning guidelines
a. award grant to develop state master planning
guidelines (in cooperation with Data,
Academy and Legal Office)
12/76
b. identify state (s) appropriate to initiate
pilot efforts in planning and organizing
state-level activities
12/76
C. award grant (s) to initiate pilot efforts in
state (s)
3/77
d. initiate national survey of state government
activities in master planning
9/77
P. 4-1
OBJECTIVE NO. 4
NATIONAL FIRE STATISTICS
1. Proposed Objective. To establish a rudimentary national
fire data base and produce the first NFPCA statistical
tables and summaries of the national, state, and local
experience by October 1977.
These tables and summaries will:
describe the United States fire experience
quantitatively, in terms of fire incidence,
losses, casualties, and causes;
compare state and local experience against
the national picture (for states with avail-
able data) ;
o identify specific fire protection problem
areas; and
o
provide feedback to state and local level.
2. Justification. A national fire incident data base and
resulting summaries are required for:
providing better analytical information to state
and local problem solvers;
determining the magnitude of the overall fire
problem in the United States;
identifying specific fire protection trends and
problem areas;
measuring the effectiveness of fire prevention
and control programs; and
establishing priorities for new fire protection
programs.
The statewide data collection systems developed under
this program are also intended to stimulate state and
local collection and use of fire data for decision-
making at those government levels.
p. 4-2
3. Approach. The fire incident data collection system (forms,
training manuals and ADP programs) for use at the state
and local level was developed in FY 1976. Data are
collected from local fire departments, aggregated at
a state level, and submitted to the NFPCA for analysis.
During FY 1977, nine new states will be added, bringing
the total participating to 16. At the national level,
fire data from the reporting states will be combined
with data from other sources, e.g., Federal agencies
and industry, to produce the national data base. Census
Bureau data and personnel will be used to help analyze
the fire data relative to community socio-economic and
building characteristics. Tables and summaries will be
prepared and fed back to state and local levels.
4. Resources. FY 1977 -- 12 man-years, $850,000 (in-house,
plus outside costs).
5. Responsible Office. National Fire Data Center. Philip S.
Schaenman, Acting Associate Administrator (in charge of
the Center)
6. Milestones.
1. Issue start-up grants to nine new states
1/77
2. Produce statistical tables and summaries
of the national fire experience
5/77
3. Complete initial, small-scale validation
study
7/77
4. Complete system installation in the nine
states expected to join the network in
FY 1977
9/77
OBJECTIVE NO. 5
RESIDENTIAL FIRE SAFETY RESEARCH (NBS)
Objective: To develop, through research, a program of recommended
standards and practices to reduce residential fire deaths. The program
will include: validation of a flammability test method for wearing
apparel; development of criteria for limiting fire spread in mobile
homes; developing a protocol for full-scale room fire tests; developing
optimum siting for residential smoke detectors; and developing a test
protocol for screening materials for extremely toxic combustion products.
The program will be essentially completed by September 30, 1977.
Justification: About 86% of all fire deaths and approximately one
billion dollars of annual property losses are the results of residential
fire incidents. Consequently, any program to reduce these losses must
make residential fire safety a top priority. The Center for Fire
Research has developed a comprehensive research plan which identifies
key research objectives in terms of their potential impact on fire loss
reduction. The projects presented here are critical technical steps in
reducing losses in the most glaring area: residences.
By limiting apparel flammability, residential deaths and injuries from
burns due to these fires can be substantially reduced. NBS has proposed
a general apparel standard to the Consumer Product Safety Commission,
and, in FY 77, this method will be field tested and refined through a
round robin interlaboratory test program. Mobile homes, which house
more Americans each year, offer substantially greater risks from fire
than do conventional dwellings. NBS, in cooperation with HUD, is
carrying out an extensive program on mobile home fire safety, to be
completed by the end of FY 77.
In conventional dwellings, the contents of the home, rather than the
structure itself, may be the greatest fire threat. Before the relative
roles of building structure and building contents in fire severity can
be understood, however, researchers must agree on a standard method of
carrying out full-scale room fire studies. NBS has undertaken the
development of such a standard protocol, and will have obtained its
acceptance by voluntary standards groups by the end of fiscal year 1977.
Smoke detectors, which are an important fire safety measure, are now
available at reasonable cost. However, proper placement of the detector
in the home, which is as important as the ability of the detector to
respond to smoke, has until now been an empirical and imprecise business.
NBS will publish scientifically-based recommended locations (siting) for
residential detectors in fiscal year 1977. In most cases, toxic com-
bustion gases, not heat and flame, are the cause of residential fire
deaths. A test method will be developed in FY 77 to permit manufac-
turers to screen potential new products and materials, especially for
unusually toxic combustion products, prior to introducing them into the
environment.
P. 5-2
Approach: Intervening in typical residential fire scenarios can take
place in four distinct ways: 1) preventing or controlling unwanted
ignitions; 2) controlling spread and growth of fire; 3) detecting and
suppressing the fire; and 4) providing means of protection for fire
victims. Various combinations of these are used, depending on the
problem. In this case the following are used:
1.
Ignition - Round-robin validation of a proposed test method
for general apparel flammability.
2.
Spread and Growth - a) Recommend criteria for limiting fire
growth in mobile homes. b) Propose a protocol for full-scale
room fire tests.
3.
Detection - Recommend test locations for smoke detectors in
residences.
4.
Victim Protection - Propose a test protocol for screening
materials to identify extremely toxic combustion products.
Resources: $1000 K (about $800 K DoC and another $200 K from HUD and
CPSC) and 16 man years.
P. 5-3
Responsible Officer: Center for Fire Research under the direction
of Dr. J. W. Lyons, Director.
Milestone:
Project
Milestone
Month Passed
General Apparel
1.
Complete preliminary round-
April 1977
robin testing of proposed
test method.
2. Complete extended round-
Sept. 1977
robin (= 30 labs)
3. Forward revised recommended
Dec. 1977
test method to U.S. Consumer
Product Safety Commission.
Mobile Home
1. Complete full-scale experi-
June 1977
Fire Safety
mental work on mobile homes.
2. Forward criteria for limit-
Sept. 1977
ing fire growth to U.S.
Department of Housing and
Urban Development.
Room Fire Test
1.
Complete development work
Oct. 1976
on recommended practices.
2. Report submitted to model
June 1977
building code group on
standard test method.
3. Approvals by ASTM and code
Dec. 1977
group.
Detector Siting
1. Complete experimental work
Sept. 1976
on detector siting.
2. Submit recommendations to
May 1977
National Fire Protection
Association Committees on
Detection.
3. Secure NFPA approval.
Nov. 1977
P. 5-4
Project
Milestone
Month Passed
4. Complete report and submit
June 1977
to National Fire Prevention
and Control Administration
for broad public dissemi-
nation.
Toxicity Test
1. Review and analyze reports
March 1977
Protocol
from grantees at University
of Utah, University of
Pittsburgh, and Johns
Hopkins University.
2. Draft preliminary protocol
May 1977
and circulate for comment.
3. Publish recommended protocol
Sept. 1977
and submit to ASTM Committee
E-39.
P. 6-1
OBJECTIVE NO. 6
RESIDENTIAL FIRE PROTECTION SYSTEMS
1. Proposed Objective. To develop the required systems
performance specifications for a low-cost automatic
residential fire alarm system and a fire suppression
system, aimed at reducing residential fire deaths,
injuries, and property losses.
2. Justification. About 86% of all fire deaths and approxi-
mately one billion dollars of annual property losses
are the results of residential fire incidents. Conse-
quently, any program to reduce fire losses must make
residential fire safety a top priority. Currently,
expensive systems in commercial application show promise
as a base for development of low-cost systems for
residences. The first step toward production of such
a system is to establish the systems performance
requirements.
3. Approach. Three interlocking projects are being conducted
to determine the specification requirements of both the
suppression system and the alarm system.
1. Develop and test experimental automatic residential
suppression system.
An experimental suppression system will be developed
and tested in a variety of live residential type
fire incidents. The data collected will be evaluated
and used to determine a part of the performance
requirements of both the suppression system and the
alarm system.
2. Estimate potential impact of automatic residential
suppression systems and residential alarm systems
against real fire incidents.
The potential impact of automatic residential suppres-
sion systems and automatic residential fire alarm
systems will be evaluated against fire incidents
involving fatalities in the State of Maryland. Each
incident will be a separate case study which will
be analyzed for "inputs" to the performance
specifications.
P. 6-2
3. Determine "user requirements"
The "user requirements" of code officials, residents,
landlords, builders and architects will be obtained
through surveys, meetings and literature searches.
These requirements will be added to the performance
and physical requirements of the suppression and
alarm systems.
4. Resources. The program will require $245,000 and 0.5
manyears.
5. Responsible Office. The Technology Development Program
of the National Fire Safety and Research Office under
the direction of Harry Shaw.
6. Milestones.
1. Develop and test experimental automatic residential
system.
a. select contractor (Factory Mutual)
7/76
b
complete evaluation of current
suppression technologies
10/76
C. start fabrication of experimental
system
3/77
d. complete test program
5/77
e. final report from contractor will
include evaluations of:
7/77
-- current suppression technologies
-- performance of experimental system
2. Estimate potential impact of automatic residential
suppression systems and residential alarm systems
against real fire incidents.
a. select contractor
(APL)
7/76
b. review first group of case studies
12/76
C. review project approach and modify
as necessary
12/76
P. 6-3
d. review second group of case studies
4/77
e. review third group of case studies
9/77
f. final report from contractor will
include:
10/77
--analysis of the impact of automatic
residential suppression systems and
automatic fire alarm systems
--significant performance aspects of
each system required for maximum
effectiveness.
3. Determine "user requirements".
a. select contractor (Rolf Jensen, Inc.)
6/76
b. establish system requirements
12/76
C. establish system design concepts
1/77
d. final report from contractor will
include the performance and physical
requirements for the system
4/77
4. Develop performance specifications.
a. prepare preliminary performance
specifications
7/77
b. review preliminary performance
specifications
9/77
C. prepare final performance
specifications
10/77