snowing then and it is snowing now, and it has been a long time between. What has been done since that time to attempt to resolve this on the part of General Services Administration and your office? Have debarment proceedings been begun against Art Metal by the General Services Administration?

Mr. MUELLENBERG. Just speaking for the Inspector General's Office, we started in August of this year to assemble all the records that we could get our hand on. I have personally served under my name nine Inspector General subpenas on Art Metal. We are in various states of compliance with those subpenas.

In addition to that, I think it was the past week that the Senate by resolution made available whatever documents were obtained as a result of your process in this committee. All these materials are now flowing into the Inspector General's Office. I have six attorneys on my staff. I have three attorneys, two auditors, and an investigator working on these things full time.

Senator PRYOR.Why did you wait 8 months?

Mr. MUELLENBERG. I am not so sure I was there 8 months ago, for one thing, but our process began in August of this year when some of those documents became available.

Senator PRYOR. Mr. Chairman, I don't in any way want to prejudice this legal action, so I probably am going to hold my tongue and not ask some of the questions I would like to, but just as an observation, I think the General Services Administration is dragging its feet in this matter, and I think if we do in fact award this contract pending now with Art Metal we will carry out our end of the bargain and not have them carry out theirs. I think we have reached a deplorable low in our Government, and, sir, I can only plead with you to attempt to bring this matter to a head and do all that you legally can, and as quickly as possibly, because this is a horrendous situation and I hope that it can be rectified as soon as possible.

Senator CHILES. My understanding, Admiral, just to make sure our record is clear, is that there has been a petition filed before the U.S. district court for a show cause order as to why you should not be held in contempt of court for violation of this injunction that was granted in the case with Art Metal, and that that petition is simply a pleading at this time on the part of Art Metal. You have not been found in contempt?

Mr. FREEMAN. No. I appreciate your correcting me. I was going to do that myself.

Senator CHILES. And you have 5 days in which to answer that petition?

Mr. FREEMAN. Yes, the petition is returnable on the 15th.

Senator CHILES. To show why you should not be held in contempt and at this time it is a pleading filed on behalf of Art Metal? Mr. FREEMAN. Yes.

Senator PRYOR. On your chart here you state that this was the GSA organizational relationship prior to July 19, 1979. I guess it was in September 1979, 2 months after that, that it was indicated by the press that there were severe problems in the Department of Agriculture. What, on your new organization chart, indicates a change or a betterment of the situation that we discovered at the

Department of Agriculture, and probably at NASA, and in all likelihood throughout the entirety of our federal system?

Mr. FREEMAN. I think there are several things that are apparent, Senator. First of all, in building the budget up from the regions, I will be getting for the first time program indications like furniture, how much furniture is required as a budget line item coming from a given region. I can then consolidate these requirements, which is not done now.

For example, I can't tell you in the breakdown of what we are looking at right now, what agencies need what or in what region. Therefore, I will be able to look at the total requirement for this commodity or any other commodity. I can then take a look at my own inventory. I can ask the agency heads to then validate those requirements throughout the United States and its territories where this commodity is needed and certify the need to me so that I have a good firm budget item to go with, which I don't have now. That chart does not show my external relationship to the other Federal agencies. This is something which has not been done before, it has not been considered in our inventory, but I consider it a critical path to determine what I ought to be buying.

Senator PRYOR. Does the chart or the new organization that you have implemented relate to the disposal of surplus furniture or to a declaration of surplus furniture?

Mr. FREEMAN. I have assigned to the Federal Supply System the responsibility to look at surplus in their determination of requirements. This has not normally been done.

Senator PRYOR. Which organization?

Mr. FREEMAN. The Federal Supply Service, and that will also come up through the regions, too, as well.

Senator PRYOR. Mr. Chairman, I think that is all the questions I have.

Senator CHILES. Mr. Muellenberg, you will now have a chance to speak.

Mr. MUELLENBERG. On this particular-

Senator CHILES. I just didn't know whether you had a statement you wanted to give.

Mr. MUELLENBERG. I do not have a statement.

Senator CHILES. Then I would like to get a rough understanding of how we are doing at getting the General Services Administration cleaned up. Our time frame-let's start from the time you were confirmed as Inspector General in April, so we are talking about what has happened in the last, a little over 6 months. How many people do you have on board in the Office of Inspector General, counting everyone actually on board?

Mr. MUELLENBERG. As of today we have on board, professional and clerical, 329 people. I have a chart which breaks out the personnel assignments within the Office of the Inspector General in front of me, and I would like to submit it for the record. Senator CHILES. I think it would be helpful for you to submit the chart for the record.

[The chart referred to follows:]

Mr. MUELLENBERG. In addition to that, we have been very fortunate through your interest in this to get the resources which are going to heavily replace the audit side of the agency. I also have a hiring schedule, if you will, and I hope to be able to be fully staffed by September 1980 consistent with the resources available to us, and that schedule again will indicate where we hope to be about a year from now.

I will also be happy to make a copy of that available for the record, if you desire it.

Senator CHILES. In your Inspector General's immediate office then you have approximately six people?

Mr. MUELLENBERG. Yes; six people, myself, the Deputy, I have an attorney adviser on my staff, and another senior staff assistant. The rest are secretaries.

Senator CHILES. And under Special Projects?

Mr. MUELLENBERG. That is an office I set up. We have a number of investigations that I consider significant and sensitive. I have six attorneys in the Special Projects staff. The office is currently headed by a former Assistant U.S. Attorney for the Southern District of New York who has extensive experience both on the civil and criminal side, six attorneys, four auditors, seven investigators, and the remainder are clerical people.

Senator CHILES. In the Inspections Office?

Mr. MUELLENBERG. At the present time we have 26. By the end of fiscal year 1980 we hope to be fully staffed and have 80. As you know, those people are primarily architects, engineers, leasing specialists, and people of that type, who will assist me in ongoing surveillance of the many programs that GSA is involved with. Senator CHILES. And under your Audits you have――

Mr. MUELLENBERG. At the present time we have 158 people, 143 of whom are auditors. Of course, that is the area where we have substantial increases. We expect to be up to 287 auditors by September 1980.

Senator CHILES. I have your recent letter to me which indicated your interest in transferring the Security Division out of your office into the Office of Human Resources, an organization at GSA. The appropriation bill for fiscal year 1980 for GSA was signed by the President a week ago and provided 593 positions at $18,000,874 to the Office of the Inspector General. This new programing would reduce the resources available to your office by 19 positions and $540,000.

My understanding is that the Security Division is primarily involved in conducting background investigations required for personnel actions and has a small capability to investigate and analyze the physical security of GSA offices and facilities. It is also my understanding that you are proposing this transfer because the activities of this Security Division do not fit within the mandate of the Office of the Inspector General.

I am wearing my appropriations hat now to try to look at this lead programing request. Is there anything additional that you would like to add to that?

Mr. MUELLENBERG. No, not at all. I think the letter explains it. It is clearly a program function which I may want to take a look at in the future and it would obviously be a conflict to continue to

operate that program and investigate myself, so I thought it would be better to get rid of it.

Senator CHILES. We will put your letter in the record in that regard.

Mr. MUELLENBERG. Thank you.

[The letter referred to follows:]