PROPOSED LEGISLATION (ERVIN BILL AND RETIREMENT)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP74B00415R000200010055-5
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 2
• Document Creation Date: December 21, 2016
• Document Release Date: September 18, 2006
• Sequence Number: 55
• Publication Date: April 8, 1971
• Content Type: MFR

Approved For Release 2006/07,,i9_IA~RD.P74BQ-1 R000200010055-5
8 April 1971
SUBCTa Proposed Legislation
(Ervin Bill and Retirement)
Today Robert Hull, Department of State, called on a number
of legislation items of mutual interest. The conversation covered the
following points.
I told Hull that I had heard seco
Service Commission will. oppose the Ervin bill and that we
have not changed our position that we need a complete
exemption. Hull said that Secretary Rogers had been
fisted to testify before Chairman Hanleyr's Committee
after Faster recess but that it is quite possible that
Mr. Macomber would appear instead, especially It firm
Administration opposition to the bill Is not developed by
that time. Hull said that they were still working to
rectify the original position amt forth In Secretary
Rusk' a letter on 5.1035, that the bill did not pose any
significant problems. Hull promised to keep in touch
and will lot us know the outcome of his conversations
with OMB and CSC.
HUU said that Ted Kroll had developed a new and
different concept on retirement funding (Hull is sending
us the technical papers). As I got it. the now concept
emphasizes the impact of yearly Federal employee pay
increases, and conclude* that the to the retirement
' put fund (15% of the ever-increasing payroll and from Treasury
and appropriations under the new retirement funding formula
that applies to foreign service and civil service) will
exceed expenditures by a large margin over the long
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an the assumption of a 40,4
payroll increase each year. Deflation or a static
payroll would undermine it. Hull. suggested the a
of surplus in the find might be in the neighborhood of
17 to I (assets vs. yearly outgo).
Hull said he was preparing to suit a legislative
package on the Foreign Service System whi
other things, would seek to establish
for widows and iidren at social security levels. In
response to his question, I told him I thought we would
support narrowing the benefit gaps in this area,
the Mc Daniels -McGee bill had gone a long way toward
closing the gaps between social security and Federal
staff retirement coverage.
I told Mr. Hull that for reasons of conunltte
diction, we are not going to push our proposal for ridin,
piggyback on the Civil Service cost-of-living andxrme
SIGN1j )
Assistant Leaialative Counsel
I - OLC mono
Approved For Release 2006/09/19: CIA-RDP74B00415R000200010055-5