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the federal reserve system supervises the private banking system of the United States. It regulates the volume of credit and money in circulation. The Federal Reserve performs many of the functions of central banks in other countries, such as is­suing paper currency; unlike central banks, however, it does not act as the depository of the country's gold reserve.

the federal trade commission guards against trade abuses and unfair business practices by conducting investigations and holding hearings on complaints.

the general accounting office is an arm of the legislative branch that oversees expenditures by the executive branch. It is headed by the comptroller general of the United States. It settles or adjusts—independently of the executive depart­ments—all claims and demands by or against the federal gov­ernment, and all money accounts in which the government is concerned. It also checks the ledger accounts of all federal disbursement and collection officers to see that public funds have been paid out legally.

the general services administration controls much of the physical property of the federal government. It is responsible for the purchase, supply, operation and maintenance of federal property, buildings and equipment, and for the sale of surplus items.

the interstate commerce commission regulates the rates and practices in interstate commerce of all common carriers, such as railroads, buses, trucks, and shipping on inland water­ways. It supervises the issuance of stocks and bonds by com­mon carriers and enforces safety laws.

THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION (NASA), established in 1958 to run the U.S. space program, placed the first American satellites and astronauts in orbit, and launched the Apollo spacecraft that landed men on the moon in 1969. Today, NASA conducts research aboard Earth-orbiting satel­lites and interplanetary probes, explores new concepts in ad­vanced aerospace technology, and operates the U.S. fleet of manned space shuttles. In the 1990s, NASA will assemble, in space, the components for a permanent space station manned by international crews from the United States, Europe and Japan.

THE NATIONAL FOUNDATION ON THE ARTS AND THE HUMANITIES encourages the development of American arts, literature and scholarship, through grants to individuals, groups, institutions and state agencies.

the national labor relations board administers the principal U.S. labor law, the National Labor Relations Act. The Board is vested with the power to prevent or remedy unfair labor prac­tices and to safeguard employees' rights to organize and de­termine through elections whether to have unions as their bargaining representative.

the national science foundation was created to strengthen ba­sic research and education in the sciences in the United States. It grants funds for research and education programs to universities and other institutions, and coordinates the sci­ence information activities of the federal government.

the office of national drug control policy, created in 1988 to raise the profile of the U.S. government's fight against illegal drugs, coordinates efforts of such agencies as the U.S. Drug Enforcement Administration, the Customs Service and the Coast Guard.

THE OFFICE OF PERSONNEL MANAGEMENT in 1979 assumed functions of the Civil Service Commission, which was created in 1883 to establish a merit system for government service and to eliminate politics from public appointments. The agency holds competitive examinations across the country to select qualified workers for over three million govern­ment posts. It also sponsors training programs to increase the effectiveness of government employees.

the peace corps, founded in 1961, trains volunteers to serve in foreign countries for two years. Peace Corps volunteers, now working in more than 60 nations, assist in agricultural-rural development, small business, health, natural re­sources conservation and education.

THE SECURITIES AND EXCHANGE COMMISSION was established to protect investors who buy stocks and bonds. Federal laws require companies that plan to raise money by selling their own secu­rities to file facts about their operations with the commission. The commission has powers to prevent or punish fraud in the sale of securities, and is authorized to regulate stock ex­changes.

the small business administration lends money to small busi­nesses, aids victims of floods and other natural disasters, and helps secure contracts for small businesses to supply goods and services to the federal government.

THE UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT (USAID) carries out economic assistance programs designed to help the people in developing countries develop their human and economic resources, increase their productive capacities, and improve the quality of human life. The USAID administra­tor also serves as director of the U.S. International Develop­ment Cooperation Agency, which serves as the focal point for U.S. participation in such organizations as the UN Children's Fund (UNICEF), the Organization of American States (OAS) Technical Assistance Funds program, the World Bank Group, and along with the Department of Agriculture, the Food for Peace Program.

THE UNITED STATES ARMS CONTROL AND DISARMAMENT AGENCY is responsible for U.S. participation in international negotiations on arms limitation and disarmament. It represents the United States on international arms control commissions and sup­ports research on arms control and disarmament.

THE UNITED STATES INFORMATION AGENCY (USIA) seeks to promote better understanding of the United States in other countries through the dissemination abroad of information about the na­tion, its people, culture and policies. USIA also administers a number of two-way educational and cultural exchange pro­grams, such as the Fulbright Program, with foreign nations. It provides assistance to foreign press and television journalists covering the United States. The Agency also advises the presi­dent and the various departments of the government on for­eign opinion concerning U.S. policies and programs.

the united states postal service is operated by an autonomous public corporation that replaced the Post Office Department in 1971. The Postal Service is responsible for the collection, transportation and delivery of the mails, and for the operation of thousands of local post offices across the country. It also provides international mail service through the Universal Postal Union and other agreements with foreign countries. An independent Postal Rate Commission, also created in 1971, sets the rates for different classes of mail.

THE LEGISLATIVE BRANCH

A BICAMERAL CONGRESS

Article I of the Constitution grants all legislative powers of the federal government to a Congress divided into two cham­bers. a Senate and a House of Representatives. The Senate, the smaller of the two, is composed of two members for each state as provided by the Constitution, Membership in the House is based on population and its size is therefore not specified in the Constitution.

For more than 100 years after the adoption of the Consti­tution, senators were not elected by direct vote of the people but were chosen by state legislatures. Senators were looked on as representatives of their home states. Their duty was to ensure that their states were treated equally in all legislation. The 17th Amendment, adopted in 1913, provided for direct election of the Senate.

The delegates to the Constitutional Convention reasoned that if two separate groups—one representing state govern­ments and one representing the people—must both approve every proposed law, there would be little danger of Congress passing laws hurriedly or carelessly. One house could always check the other in the manner of the British Parliament. Pas­sage of the 17th Amendment did not substantially alter this balance of power between the two houses.

While there was intense debate in the Convention over the makeup and powers of Congress, many delegates believed that the legislative branch would be relatively unimportant. A few believed that the Congress would concern itself largely with external affairs, leaving domestic matters to state and lo­cal governments. These views were clearly wide of the mark. The Congress has proved to be exceedingly active, with broad powers and authority in all matters of national concern. While its strength vis-a-vis the executive branch has waxed and waned at different periods of American history, the Congress has never been impotent or a rubber stamp for presidential decisions.

QUALIFICATIONS OF MEMBERS OF CONCRESS

The Constitution requires that U.S. senators must be at least 30 years of age, citizens of the United States for at least nine years, and residents of the states from which they are elected. Members of the House of Representatives must be at least 25, citizens for seven years, and residents of the states which send them to Congress. The states may set ad­ditional requirements for election to Congress, but the Con­stitution gives each house the power to determine the quali­fications of its members.

Each state is entitled to two senators. Thus, Rhode Is­land, the smallest state, with an area of about 3,156 square kilometers has the same senatorial representation as Alaska, the biggest state, with an area of some 1,524,640 square kilo­meters. Wyoming, with 490,000 persons in 1987, has repre­sentation equal to that of California, with its 1987 population of 27,663,000.

The total number of members of the House of Represen­tatives has been determined by Congress. That number is then divided among the states according to their populations. Re­gardless of its population, every state is constitutionally guar­anteed at least one member of the House of Representatives. At present, six states—Alaska, Delaware, North Dakota, South Dakota, Vermont and Wyoming—have only one repre­sentative. On the other hand, six states have more than 20 representatives—California alone has 45.

The Constitution provides for a national census each 10 years and a redistribution of House seats according to popula­tion shifts. Under the original constitutional provision, the number of representatives was to be no more than one for each 30,000 citizens. There were 65 members in the first House, and the number was increased to 106 after the first census. Had the one-to-30,000 formula been adhered to per­manently, population growth in the United States would have brought the total number of representatives to about 7,000. Instead, the formula has been adjusted over the years, and to­day the House is composed of 435 members, roughly one for each 530,000 persons in the United States.

State legislatures divide the states into congressional districts, which must be substantially equal in population. Ev­ery two years, the voters of each district choose a representa­tive for Congress.

Senators are chosen in statewide elections held in even-numbered years. The senatorial term is six years, and every two years one-third of the Senate stands for election. Hence, two-thirds of the senators are always persons with some leg­islative experience at the national level.

It is theoretically possible for the House to be com­posed entirely of legislative novices. In practice, however, most members are reelected several times and the House, like the Senate, can always count on a core group of experi­enced legislators.

Since members of the House serve two-year terms, the life of a Congress is considered to be two years. The 20th Amendment provides that the Congress will meet in regular session each January 3, unless Congress fixes a different date. The Congress remains in session until its members vote to adjourn—usually late in the year. The president may call a special session when he or she thinks it necessary. Sessions are held in the Capitol in Washington, D.C.


POWERS OF THE HOUSE AND SENATE

Each house of Congress has the power to introduce legisla­tion on any subject except revenue bills, which must originate in the House of Representatives. The large states may thus ap­pear to have more influence over the public purse than the small states. In practice, however, each house can vote against legislation passed by the other house. The Senate may disapprove a House revenue bill—or any bill, for that mat­ter—or add amendments which change its nature. In that event, a conference committee made up of members from both houses must work out a compromise acceptable to both sides before the bill becomes law.

The Senate also has certain powers especially reserved to that body, including the authority to confirm presidential appointments of high officials and ambassadors of the federal government as well as authority to ratify all treaties by a two-thirds vote. Unfavorable action in either instance nullifies ex­ecutive action.

In the case of impeachment of federal officials, the House has the sole right to bring charges of misconduct that can lead to an impeachment trial. The Senate has the sole power to try impeachment cases and to find officials guilty or not guilty. A finding of guilt results in the removal of the federal official from public office.

The broad powers of the whole Congress are spelled out in the eighth section of the first article of the Constitution:

— to levy and collect taxes;

— to borrow money for the public treasury;

— to make rules and regulations governing commerce among the states and with foreign countries;

— to make uniform rules for the naturalization of foreign citizens;

— to coin money, state its value, and provide for the punish­ment of counterfeiters;

— to set the standards for weights and measures;

— to establish bankruptcy laws for the country as a whole;

— to establish post offices and post roads;

— to issue patents and copyrights;

— to set up a system of federal courts;

— to punish piracy;

— to declare war;

— to raise and support armies;

— to provide for a navy;

— to call out the militia to enforce federal laws, suppress lawlessness or repel invasions by foreign powers;

— to make all laws for the District of Columbia; and

— to make all laws necessary to enforce the Constitution.

A few of these powers are now outdated—the District of Columbia today is largely self-governing—but they remain in effect. The 10th Amendment sets definite limits on congres­sional authority, by providing that powers not delegated to the national government are reserved to the states or to the peo­ple. In addition, the Constitution specifically forbids certain acts by Congress. It may not:

— suspend the writ of habeas corpus, unless necessary in time of rebellion or invasion;

— pass laws which condemn persons for crimes or unlawful acts without a trial;

— pass any law which retroactively makes a specific act a crime;

— levy direct taxes on citizens, except on the basis of a census already taken;

— tax exports from any one state;

— give specially favorable treatment in commerce or taxation to the seaports of any state or to the vessels using them; and

— authorize any titles of nobility.


LITTLE LEGISLATURES

A congressman once observed that "Congress is a collection of committees that come together in a chamber periodically to approve one another's ac­tions. " That statement correctly identifies the standing and permanent com­mittees that are the nerve centers of the U.S. Congress. In a recent two-year session of Congress, for example, members proposed a total of I], 602 bills in the House and 4,080 in the Senate. For each of these bills, the committees re­sponsible had to study, weigh arguments [or and against, hear witnesses and debate changes, before the bills ever reached the House or Senate floors. Out of almost ] 5,000 measures introduced, only 664—fewer than six per­cent—were enacted into law.

The Constitution does not specifically call for congressional committees. As the nation grew, however, so did the need for investigating pending legisla­tion more thoroughly. The committee system began in 1789, when House members found themselves bogged down in endless discussions of proposed new laws. The first committees dealt with Revolutionary War claims, post roads and territories, and trade with other countries. Throughout the years, committees have formed and disbanded in response to political, social and economic changes. For example, there is no longer any need for a Revolution­ary War claims committee, but both houses of Congress have a Veterans' Affairs committee.

Today, there are 22 standing committees in the House and 16 in the Sen­ate, plus four joint permanent committees with members from both houses: Library of Congress, printing, taxation and economics. In addition, each house can name special, or select, committees to study specific problems: Because of an increase in workload, the standing committees have also spawned some 300 subcommittees. Almost 25,000 persons help with research, information-gathering and analyses of problems and programs in Congress. Recently, dur­ing one week of hearings, committee and subcommittee members discussed topics ranging from financing of television broadcasting to the safety of nucle­ar plants to international commodity agreements.

And what do ail these "little legislatures" actually do? After all the facts are gathered, the committee decides whether to report a new bill favorably or with a recommendation that it be passed with amendments. Sometimes, the bill will be set aside, or tabled, which effectively ends its consideration. When bills are reported out of committee and passed by the full House or Senate, however, another committee goes into action, ironing out any differences be­tween the House and Senate versions of the same bill. This "conference com­mittee, " consisting of members of both houses, completes a bill to all mem­bers' satisfaction, then sends it to the House and Senate floors for final dis­cussion and a vote. If passed, the bill goes to the president for his signature.

Congressional committees are vital because they do the nuts-and-bolts job of weighing the proposals, hammering them into shape or killing them completely. They continue to play a large part in the preparation and con­sideration of laws that will help shape the United States in its third century.


STANDING, OR PERMANENT, COMMITTEES OF CONGRESS

HOUSE

SENATE

Agriculture

Appropriations

Armed Services

Banking, Finance and Urban Affairs

Budget

District of Columbia

Education and Labor

Energy and Commerce

Foreign Affairs

Government Operations

House Administration

Interior and Insular Affairs

Judiciary

Merchant Marine and Fisheries

Post Office and Civil Service

Public Works and Transportation

Rules

Science, Space and Technology

Small Business

Standards of Official Conduct

Veterans' Affairs

Ways and Means

Agriculture, Nutrition and Forestry

Appropriations

Armed Services

Banking. Finance and Urban Affairs

Budget

Commerce, Science and Transportation

Energy and Natural Resources

Environment and Public Works

Finance

Foreign Relations

Governmental Affairs

Judiciary

Labor and Human Resources

Rules and Administration

Small Business

Veterans' Affairs



OFFICERS OF THE CONGRESS

The Constitution provides that the vice president shall be president of the Senate. He or she has no vote, except in the case of a tie. The Senate chooses a president pro tempore to preside when the vice president is absent. The House of Rep­resentatives chooses its own presiding officer—the speaker of the House. The speaker and the president pro tempore are al­ways members of the political party with the largest represen­tation in each house.

At the beginning of each new Congress, members of the political parties select floor leaders and other officials to man­age the flow of proposed legislation. These officials, along with the presiding officers and committee chairmen, exercise strong influence over the making of laws.


THE LAWMAK1NG PROCESS

One of the major characteristics of the Congress is the dom­inant role committees play in its proceedings. Committees have assumed their present-day importance by evolution, not by constitutional design, since the Constitution makes no pro­vision for their establishment.

At present the Senate has 16 standing (or permanent) committees: the House of Representatives has 22. Each spe­cializes in specific areas of legislation: foreign affairs, de­fense, banking, agriculture, commerce, appropriations and other fields. Every bill introduced in either house is referred to a committee for study and recommendation. The committee may approve, revise, kill or ignore any measure referred to it. It is nearly impossible for a bill to reach the House or Senate floor without first winning committee approval. In the House, a petition to discharge a bill from a committee requires the signatures of 218 members; in the Senate, a majority of all members is required. In practice, such discharge motions only rarely receive the required support.

The majority party in each house controls the committee process. Committee chairmen are selected by a caucus of par­ty members or specially designated groups of members. Mi­nority parties are proportionally represented on the commit­tees according to their strength in each house.

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