1. Executive Branch – Federal Bureaucracy
Unit III – Part 5

2. Definition of Bureaucracy
Departments, agencies, commissions, and/or people responsible for the implementation of government policies

3. Influence and importance
Major role in shaping policy
Administration of policies
Initiation of many bills enacted into law by Congress
Providing of “expert” advice on government and government policies
Handling of day to day operations of the nation’s government

4. Selection of bureaucrats
Examples prior to the 20th century
Under Geo. Washington
Character, competence, loyalty to the constitution
Under Andrew Jackson
Reward for party loyalty – spoils system
Government jobs in return for support –patronage
Belief in job rotation and the suitability of anyone for any position
Assessment of campaign contributions from appointees

5. Selection of bureaucrats
Under Chester Arthur
Need for efficient, fair, and politically neutral bureaucracy in a larger and more complex government
Passage of Pendleton Act (1883)
Creation of Civil Service Commission
Use of examinations to determine 10% of government bureaucrats
Expansion of percentage of Civil Service employees by future presidents

6. Examples of changes in the bureaucracy in the 20th century
Under the Progressives
Interest in nonpartisan government
Need for specific expertise
Extension of Pendleton Act
Establishment of additional gov’t agencies
Dept of Commerce and Labor
Unites States Forest Reserve
Federal Reserve Commission
Federal Trade Commission
Reactivation of the Interstate Commerce Commission

7. Under FDR’s New Deal Creation of more independent commissions
NLRB, FCC, SEC
Creation of government corporations
FDIC, Federal Crop Insurance Corporation, Tennessee Valley Authority
Controls on the bureaucracy
Executive Reorganization Bill (1939)
Hatch Act (1940)
Prohibition on electioneering activity by federal employees
Administrative Procedure Act (vetoed ‘39 – passed ’46)
Regulations on agencies
Public hearings to elicit input
Right to appeal agency decisions in the courts

8. During the postwar era Modernization of the War now Defense Dept
Rapid expansion of national and state bureaucracies
Management of War on Poverty Programs
Management of consumer and environmental issues
Office of Consumer Affairs
Council on Environmental Quality
Environmental Protection Agency
National Highway Safety Administration
Occupational Safety and Health Administration
Consumer Product Safety Commission

9. During the postwar era Passage of agency regulatory measures
Freedom of Information Act (1966)
Right of individual citizens to access information
Privacy Act (1974)
Limitation on revealing information about someone to others
Government in the Sunshine Act (1976)
Open meetings of most regulatory agencies

10. Reorganization of the Civil Service System
Civil Service Reform Act (1978)
Replacement of Civil Service Commission with two agencies
Office of Personnel Management
Duties
Recruitment and hiring of federal employees
Classification of jobs with salaries and benefits
Practice of sending three qualified people to be interviewed for a position
Training of employees
Membership
Appointment by the president with Senate approval

11. Reorganization of the Civil Service System
Civil Service Reform Act (1978)
Replacement of Civil Service Commission with two agencies
Merit Systems Protection Board
Duty
Protection of merit principle in bureaucracy’s hiring and promotion policies
Membership
Three member board
Joint appointment by president and Senate

12. Current staffing of the bureaucracy
70% of employees in white collar positions
85% of employees under Civil Service protection
Critical Concerns
Job security
Compensation
Comparable pay to private sector with 1990 pay raise

13. Organization of the Bureaucracy
Executive Departments – Cabinet Level
Advice to the president in area of expertise
Creation of Cabinet Department of State (1789)
Advising on formulation and execution of foreign policy
Dept of the Treasury (1789)
Formulation of economic, financial, tax, and fiscal policies
Manufacturing of coins and currency
Dept of the Interior (1849)
Control of public lands and natural resources

14. Department of Commerce (1913) Dept of Labor (1913)
Dept of Justice (1870)
Advice on legal matters
Dept of Agriculture (1889)
Formulation of policies to maintain farm incomes and expand markets for goods
Department of Commerce (1913)
Promotion of trade and technical advancement
Dept of Labor (1913)
Formulation of policies promoting the welfare of wage-earners
Dept of Health, Education, and Welfare (1953)
Currently Dept of Health and Human Services (1979)
Formulation of policies protecting the health and welfare of all citizens

15. Dept of Housing and Urban Development (1965)
Formulation of policies concerning housing needs and community development
Dept of Transportation(1966)
Formulation of national transportation policies
Dept of Energy (1977)
Formulation of national energy plan
Dept of Education (1979)
Formulation and administration of federal assistance to schools
Dept of Veterans Affairs (1989)
Formulation and operation of programs to benefit veterans and their families

16. Organization of the Bureaucracy
Organizational style – managerial orthodoxy
Hierarchical
Clear lines of authority and responsibility
Written rules for standard operating procedures at all levels
Limitations
Massive red tape
Lack of flexibility
Problems
Conflict between good advice to pres and needs of dept
Average term of Cabinet heads – 22 months
Limited access to the pres with additions to the White House Staff

17. Independent executive agencies
Executive organizations without Cabinet level affiliation
Examples
NASA, EPA, CIA, General Services Administration
Organization
Top administrator
Hierarchical line of authority under administrator
Membership
Appointment by pres without Senate approval
Accountability
Congressional restrictions through budget and oversight

18. Independent regulatory agencies
Creation
Congressional formed bipartisan agencies without Cabinet level affiliation
Administratively independent of the president and Congress
Examples
Interstate Commerce Commission (ICC)
FCC, NLRB, SEC, FTC
Nuclear Regulatory Commission
Consumer Product Safety Commission
Federal Maritime Commission

19. Independent regulatory agencies
Duty
Holding hearings to determine any violations
Powers
Executive – administration of programs and enforcement of laws
Legislative – enactment of rules and regulations clarifying laws
Judicial – final decisions on disputes under authority
Membership
Bipartisan board
Long and staggered terms
Appointment by the pres with Senate approval

20. Independent regulatory agencies
Accountability
General congressional guidelines
Requirements of Administrative Procedures Act
Problems
Denial of principle of separation of powers
Influence of special interest groups
Vast number of rules and regulations on aspects of the economy
Difficulty of removing board members

21. Regulatory agencies Executive organizations with Cabinet affiliation
Examples
FDA, OSHA, IRS, Federal Reserve System
Duty
Regulation of economic activity
Membership
Appointment by pres without Senate approval
Accountability
Congressional restrictions through budget and oversight

22. Public Corporations Creation by legislative charters Examples
First Bank of the United States ( )
FDIC (1933), TVA (1933), Export-Import Bank (1934)
United States Postal Service (1970)
Independent establishment of the executive branch
Organization
Board of Directors to create policy
General manager to implement policy
Membership
Appointment by the president with Senate approval
Accountability
Budget appropriations by Congress
Government ownership of stock