1. Formal Organization of the Bureaucracy

2. Four types of agencies:
Cabinet Departments
Government Corporations
Independent Executive Agencies
Independent Regulatory Commissions

3. Executive Office of the President

4. Federal Agency Regions and Headquarters
Country is divided into regions. Most major federal agencies have a headquarters in each region.

5. The Cabinet
15 major departments
Departments
Cabinet Loyalty:
The President
Those working within the department
Congress
Cabinet Secretary
At times the cabinet secretaries are torn between supporting the President and supporting those working in the department or members of Congress (sources of $).

6. Government Corporations
Government corporations are businesses established by Congress that perform functions that could be provided by private businesses.
Examples:
Federal Deposit Insurance Corporation
Amtrak
U.S. Postal Service
Tennessee Valley Authority
All of these charge for their services. Created because there is a national interest in their existence and operation.
USPS is funded by revenue it collects. Other agencies can receive government funding.
Question: Should we have these things?
Should government be in the business of business?

7. Independent Executive Agencies
Like cabinet departments except with a narrower focus.
Not a part of any cabinet department.
The cabinet’s baby brother.
Usually (though not always entirely) performs a service rather than regulate things.
Examples:
NASA
Peace Corps
CIA
Environmental Protection Agency

8. Independent Regulatory Commissions
Regulatory Commissions have a special place in the federal bureaucracy.
They are independent of the three branches of government. The President appoints the members with Senate approval. Unlike other bureaucrats, these agencies do not report to the executive branch and the President cannot fire them.
The independent regulatory commissions were created to make rules for large businesses that effect the interest of the public.
Not only do they regulate the conduct of these industries but they have the power to determine who will receive licenses to operate. They also have the power to investigate these businesses they regulate.
Examples of Independent Regulatory Commissions are the Federal Communications Commission and the Federal Reserve Board
5-7 members staggered terms
Case Study Federal Reserve System

9. In Ben we trust????