ChapterChapter 1010 The Federal

Why It’s Important

They Have Your Number As an American citizen you deal with several bureaus and agencies. How is the federal bureaucracy organized to serve you and millions of other people? This chapter will help you answer that question. To find out how the federal bureaucracy operates to help Americans, view the in Action Chapter 10 video lesson: The Federal Bureaucracy

GOVERNMENT

Chapter Overview Visit the Government: Democracy in Action Web site at gov.glencoe.com and click on Chapter 10–Overview to preview chapter information.

274 Section 1 Bureaucratic Organization

Reader’s Guide undreds of agencies like the FAA help to make up the federal bureaucracy. Key Terms Most of these departments and agen- cies are part of the branch , embassy, government , Hthat carries out the passed by Congress. The deregulate, procurement people who for these organizations are called Find Out , or civil servants. What is the general of The federal bureaucracy is organized into de- the 14 level departments? partments, agencies, boards, commissions, corpo- rations, and advisory committees. Most of these How are independent government agencies different from regulatory commissions? organizations are responsible to the president, al- though some of them report to Congress. Acts of Understanding Concepts Congress created almost all of them. Public How does government bureaucracy The provides indirectly for the serve the executive branch in carrying out the will bureaucracy. Article II, Section 2, states that: of the people’s representatives? He [the president] may require the Opin- “ion, in writing, of the principal in each of the executive Departments, upon any subject relating to the Duties of their respective Offices,... Disaster Causes Tension —The Constitution OVEMBER 4, 1996 ” WASHINGTON, D.C., N Article II also gives the president the power he May 11 crash of to appoint the heads of those departments. Ta ValuJet airliner Thus, the Founders anticipated the need has strained relations for creating federal agencies that would carry between two federal on the day-to-day business of government. At agencies responsible for the same time they would probably be shocked air safety. The National by the size the federal bureaucracy has grown Transportation Safety to today. Board (NTSB) makes In the early years of the , the feder- safety recommendations, NTSB gains influence al bureaucracy was quite small. When Jefferson and the Federal Aviation became president in 1801, the federal govern- Agency (FAA) decides whether to implement them. Despite reports of safe- ment employed only 2,120 people. These ty violations after the crash, the FAA declared Valu- employees were mainly commissioners of Na- Jet to be a safe airline. This was a public relations tive American affairs, postmasters, customs disaster for the FAA, according to aviation experts. It collectors, tax collectors, marshalls, and clerks. also served to increase the NTSB’s influence with Today, nearly 3 million civilians work for Congress. “The FAA can no longer easily ignore the the federal government. Federal agencies NTSB,” observed one airline executive. are located in more than 440,000 buildings scattered across the nation and around the world.

Aerial view of Washington, D.C. CHAPTER 10: THE FEDERAL BUREAUCRACY 275 The Cabinet Departments The top officials in each department—the secre- taries, agency directors, deputy directors, and their The 14 cabinet departments are a major assistants—set overall department policy. These part of the federal bureaucracy. One of top leaders rely on ideas and information from ca- President Washington’s first acts in 1789 was to ask reer officials who are specialists and business man- Congress to create the Departments of Treasury, agers in the department. Often, these career , and War and the office of attorney general. workers, who frequently have many years of expe- Since 1789, 10 additional departments have been rience, do the research to provide the alternatives created. A secretary who is a member of the presi- from which the top leaders choose. dent’s cabinet heads each of the departments in the executive branch. Departments usually have a sec- Department of State The secretary of state is ond in command, called the deputy secretary or one of the president’s most trusted advisers. The under secretary. In addition, departments have as- Department of State is responsible for the overall sistant secretaries. The president appoints all these of the United States. The agency also officials. protects the rights of United States citizens travel- The next level under these top officials in- ing in foreign countries. It staffs embassies, or of- cludes the directors of the major units that make fices of ambassadors in foreign countries, analyzes up the cabinet department, along with their assis- data about American interests in other countries, tants. These units have various names, including and speaks for the United States in the United bureau, agency, office, administration, or division. Nations.

Congressional Quarterly’s Government at a Glance The Cabinet Departments Departments Year Established Originally the Department of Department 1789 War, it became the Defense Department in 1949 State Department 1789 Treasury Department 1789 Originally named the Interior Department 1849 Department of Foreign Affairs Department 1870 Agriculture Department 1889 Before 1870 the attorney Commerce Department 1903 general was a cabinet officer but Labor Department 1913 not head of the department Housing and Urban Development Department 1965 Transportation Department 1966 Originally a bureau within the Energy Department 1977 Department of Commerce Health and Human Services Department 1979 Education Department 1979 Originally the Health, Education, Veterans Affairs Department 1989 and Welfare Department in 1953, it was split into Health Source: Nelson, ed. The Presidency A to Z (Washington, D.C.: CQ Inc., 1992). and Education Departments in 1979 Critical Thinking Presidents throughout American history have given their cabinet members varying degrees of . Why might the president call on the secretary of transportation to deal with drug smuggling along the Pacific Coast?

276 CHAPTER 10: THE FEDERAL BUREAUCRACY Department of the Treasury Managing the monetary resources of the United States is the primary responsibility of the Department of the Treasury. The Bureau of the Mint manufactures coins. The Bureau of Printing and Engraving pro- duces paper money. The Treasury Department also The Bobby Kennedy A 1967 law pre- oversees a variety of other duties. One branch— vents a president from giving a government the Internal Revenue Service—collects taxes. The job to a family member. The act is called the United States Secret Service provides protection “Bobby Kennedy law” because it is intended for the president, vice president, and other offi- to prevent a repetition of the situation in 1961 cials. The Bureau of Alcohol, Tobacco, and when President John Kennedy appointed his Firearms administers explosives and firearm laws brother Robert attorney gener- and regulates the production and distribution of alcohol and tobacco. al of the United States. The law did not prohibit Bill Department of the Interior To protect pub- Clinton from appointing lic lands and natural resources throughout the na- his wife, Hillary Rodham tion and to oversee relations with Native Clinton, as head of his Americans, Congress established the Department health-care reform task of the Interior in 1849. The Bureau of Mines helps force in 1993. There was no oversee the mining of natural resources. The Na- challenge to the appointment, presumably tional Park Service manages national monuments, historic sites, recreational areas, and national because it was unpaid and advisory only. parks.

Department of Agriculture Created to help congressional district boundaries. The Patent and farmers improve their incomes and expand their Trademark Office issues patents for new inven- markets, the Department of Agriculture develops tions and registers trademarks. The National Insti- conservation programs and provides financial tute of Standards and Technology provides credit to farmers. It also safeguards the nation’s uniform standards for weights and measurements. food supply. Department of Labor Congress created the Department of Justice Congress established Department of Labor in 1913. Charged with pro- the office of attorney general in 1789 to oversee the tecting American workers, the department ensures nation’s legal affairs. The Department of Justice safe working conditions, safeguards a minimum was created in 1870. Among its well-known agen- wage, and protects pension rights. The Bureau of cies are the Federal Bureau of Investigation (FBI), Labor Statistics analyzes data on employment, the Immigration and Naturalization Service (INS), wages, and compensation. The Office of the Amer- and the Drug Enforcement Administration ican Workplace encourages cooperation between (DEA). The Antitrust Division of the Department labor and . of Justice enforces antitrust laws. The Civil Rights Division helps enforce civil rights . Department of Defense First called the De- partment of War and then the United States Mili- Department of Commerce To promote and tary Establishment until 1949, the Department of protect the industrial and commercial segments Defense protects the security of the United States. of the American economy, the Department of Through the Joint Chiefs of Staff—the leaders of Commerce was founded in 1903. Three agencies the Army, Navy, Marines, and Air Force—it over- of this department carry out constitutional direc- sees the armed forces. With the end of the Cold tives. The Bureau of the Census counts the people War, the government began to cut back on the size every 10 years. Census figures are used to redraw of this largest cabinet department.

CHAPTER 10: THE FEDERAL BUREAUCRACY 277 Department of Health and Human Services helps senior citizens and less fortunate Americans Directing programs concerned with the health and through the Social Security Administration. Per- needs of the American people is the haps the most visible part of the Department of responsibility of this department. It also manages Health and Human Services—particularly since the the federal Medicare and Medicaid programs and outbreak of the AIDS epidemic in the early 1980s—

Congressional Quarterly’s Government at a Glance

T OF C The Commerce Department EN OM TM M R E A R P C SECRETARY Consumer Affairs E E D General Public Affairs Deputy Secretary U Inspector General N A C IT I Counselor and Business Liaison E R D E Chief of Staff Administration and ST AM Chief Financial ATES OF White House Liaison Officer

Policy and Legislative and Strategic Planning Intergovernmental Affairs

International National Oceanic Bureau of Economic Technology Trade and Atmospheric Export Affairs Administration Administration Administration

Oceans and Chief Bureau of International Import Atmosphere Economist the Census Economic Administration Policy Technology National Export Export Policy Institute of Administration Enforcement Standards U.S. and Trade and Foreign Development Technology Commercial Service Bureau of Economic Analysis

National Patent and Minority Economic National Technical Trademark Business Development Telecommunications Information Office Development Administration and Information Services Agency Administration

Source: Washington Critical Thinking Information Directory 1997–1998 (Washington, D.C.: Each department in the cabinet is responsible for carrying out its duties as mandated CQ Inc., 1997). by Congress. The Commerce Department—established in 1903—promotes the industrial and commercial areas of the United States economy. What division within the Commerce Department is responsible for population statistics?

278 CHAPTER 10: THE FEDERAL BUREAUCRACY has been the Public Health Service. This important helps implement a national health policy, conducts medical research, and en- sures the safety of food and drugs. The Food and Drug Administration inspects food and drug pro- cessing plants and approves new drugs for treat- ment of diseases. Department of Housing and Urban Development This department was created in 1965 to preserve the nation’s communities and ensure Americans of equal housing opportunities. The Gov- ernment National Mortgage Association helps make mortgage money available for people to buy homes.

Department of Transportation It is the re- sponsibility of the Department of Transportation to regulate all aspects of American transportation needs, policy development, and planning. This in- cludes regulating aviation, railroads, highways, and mass transit. The department also includes the United States Coast Guard, which assists with search and rescue operations, enforces maritime laws against smuggling, and ensures safety stan- dards on commercial seagoing vessels. Federal Assistance President Jimmy Carter set up the Department of Education in 1979 Department of Energy to provide advice and assistance to states An energy shortage and school districts. The department helps led to the creation of this department in 1977. It schools meet the special needs of students plans energy policy and researches and develops who are disadvantaged or have disabilities. energy technology. One of the most important What might be a national goal of the parts of the department, the Federal Energy Regu- Department of Education? latory Commission, sets the rates for interstate transmission of natural gas and electricity. Independent Agencies Department of Education An educated population is an essential feature of a democratic The federal bureaucracy also contains more form of government. Without informed citizens than 100 independent agencies, boards, and who are capable of participating in government, a commissions that are not part of any cabinet de- democracy cannot survive. In 1979 Congress creat- partment. The president appoints the heads of ed the Department of Education to coordinate fed- these organizations. eral assistance programs for public and private A few of these agencies are almost as large and schools. Today the department oversees programs well known as cabinet departments. Two examples to help students with limited English proficiency as are the Environmental Protection Agency (EPA) and well as programs for physically challenged students. the National Aeronautics and Space Administration (NASA). Other agencies such as the Civil Rights Department of Veterans Affairs Founded Commission and the Administration in 1989, this department was formerly known as the are much smaller. Most independent agencies have Veterans Administration. It administers several hos- few employees, small budgets, and attract little pub- pitals as well as educational and other programs de- lic attention. One example of this type of agency is signed to benefit veterans and their families. the American Battle Monuments Commission.

CHAPTER 10: THE FEDERAL BUREAUCRACY 279 Finding A New Path A Bureaucratic Celebrity NASA, an independent agency, gained further recognition by inaugurating a new era in space exploration with the Mars Pathfinder. The Pathfinder spacecraft landed on Mars on July 4, 1997, and became the first mobile explorer of another planet. It also sent back to Earth the first high-resolution color images of Mars. Why are achievements such as NASA’s mission to Mars important to the continued existence of federal agencies?

Assisting the Executive Branch Some in- The Federal Deposit Insurance Corporation dependent agencies perform services for the exec- (FDIC) is also a government corporation. It in- utive branch. The General Services Administration sures bank accounts up to a certain amount. If (GSA) and the Central Intelligence Agency (CIA) a bank fails, the FDIC takes it over and repays the are two examples. The General Services Adminis- depositors. tration is responsible for constructing and main- The best known of the government corpora- taining all government buildings. It also supplies tions is the U.S. Postal Service (USPS). Originally equipment for federal offices. The National an executive department called the Post Office De- Archives and Records Administration maintains partment, the USPS became a government corpo- government records and publishes all rules apply- ration in 1970. As an executive department, the ing to various federal agencies. post office consistently lost money. Since becom- The Central Intelligence Agency provides a ing a corporation, the USPS has done a better job very different kind of service. The CIA gathers in- of balancing its budget. This is, in part, because formation about what is going on in other coun- Congress passed legislation giving the USPS “the tries, evaluates it, and passes it on to the president exclusive right, with certain limited exceptions, and other foreign-policy decision makers. The CIA to carry letters for others.” Only the USPS may uses its own secret agents, paid informers, foreign deliver first-class mail. news sources, and friendly to collect Government are organized such information. somewhat like private businesses. Each has a and a general manager who directs the Government Corporations Some indepen- day-to-day operations. Government corporations dent agencies, such as the Small Business Adminis- are supposed to be more flexible than regular gov- tration, directly serve the public. Many of the ernment agencies. They are more likely to take major agencies are government corporations, or risks and to find innovative solutions to the chal- businesses the federal government runs. lenges they are confronting. Most of the corpora- Today, the executive branch has at least 60 tions earn money that is put back into the government corporations. The Tennessee Valley “business.” Unlike private businesses, however, Authority (TVA) is one. The TVA has built dams money from Congress—not funds from private and supplies electric power for an eight-state area. investors—supports government corporations.

280 CHAPTER 10: THE FEDERAL BUREAUCRACY Regulatory Commissions commission may hold hearings, collect , and set penalties for any business that violates Regulatory commissions occupy a special the rules. place in the federal bureaucracy. They are independent of all three branches of the national Some Problems Decisions of regulatory com- government. To keep the regulatory commissions missions can involve millions of dollars and great- impartial, Congress has been careful to protect ly affect businesses. As a result, these agencies are them from political pressure. Each commission often under intense pressure from lobbyists. has from 5 to 11 commissioners whom the presi- for industries that the commissions regu- dent appoints with Senate consent. The terms of late have sometimes tried to go in the “back door” office of these board members are long—in some to argue their clients’ cases in private with agency cases, as long as 14 years—and the starting dates of officials. the terms are staggered. Unlike other bureaucrats, Critics of the commissions also charge that the these commissioners do not report to the presi- commissions and the industries they are supposed dent, nor can the president fire them. to regulate sometimes have a “revolving door” re- lationship. Commissioners often are former exec- Purpose of the Commissions The inde- utives in a regulated industry and sometimes leave pendent regulatory commissions were created to the commission for high-paying jobs in the same make rules for large industries and businesses that industry. As a result, critics charge, some commis- affect the interests of the public. Commissions sioners have seemed more interested in protecting also regulate the conduct of these businesses and regulated industries than in making sure that they industries. The regulatory agencies decide such serve the . questions as who will receive a license to operate Others point out that most agencies have had a radio station or to build a natural gas pipeline a good record of protecting the public interest. The to serve a large city. The commissions may also Securities and Exchange Commission, for exam- act as . They may investigate a business ple, has protected investors in the stock market for breaking one of the commission’s rules. The from .

work before you reach Social Security age 65. If you are dis- f you have a part-time job, 6.2 percent of your abled for a year or more, pay is probably being deducted for Social Secu- Social Security will pay I rity taxes. The programs funded by such deduc- monthly benefits to help tions provide important benefits for workers and make up for your loss of their families. income. In many cases, Eligibility for Social Security benefits minor children of dis- depends on how much you earn and how long abled, deceased or re- Contributing taxes you contribute to the Social Security system. For tired workers are also to Social Security example, to receive monthly payments when you eligible for benefits. retire, you must accumulate at least 40 work credits. You can receive up to 4 credits a year, articipating based on your earnings. Currently, Social Security IN GOVERNMENT ACTIVITY retirement benefits provide about 42 percent of a worker’s salary. An Informed Citizen How might the fact that In addition, statistics show that you have people are living much longer after retirement about a 3-in-10 chance of becoming unable to affect Social Security benefits in the future?

281 Congressional Quarterly’s Government at a Glance The Government of the United States CONSTITUTION

LEGISLATIVE BRANCH EXECUTIVE BRANCH JUDICIAL BRANCH Congress President Supreme Senate Executive Office of the President U.S. Courts of Appeals House White House Office Vice President U.S. District Courts Architect of the Capitol Management and Budget U.S. Trade Representative U.S. Court of International Trade U.S. Botanic Garden Council of Economic Council on Territorial Courts General Accounting Office Advisers Environmental Quality U.S. Court of Appeals for the Armed Forces Government Printing National Security Council Science and Technology U.S. Court of Veterans Appeals Office National Drug Control Policy Administrative Office of the U.S. Courts Policy Library of Congress Administration U.S. Sentencing Commission Environmental Policy Congressional Budget National Science and U.S. Court of Federal Claims Office Council Technology Council U.S. Tax Court National Economic Council Federal Judicial Center

THE CABINET SELECTED INDEPENDENT ESTABLISHMENTS AND GOVERNMENT CORPORATIONS Agriculture African Development Federal Emergency Nuclear Regulatory Commerce Foundation Management Agency Commission Defense Central Intelligence Agency Federal Housing Finance Office of Government Ethics Education Commission on Civil Rights Board Energy Consumer Product Safety Federal Maritime Office of Personnel Commission Commission Management Health and Human Federal Reserve System Services Environmental Protection Office of Special Counsel Agency Federal Trade Commission Housing and Urban Corps Development Equal Employment National Aeronautics and Securities and Exchange Opportunity Commission Space Administration Interior Commission Export–Import Bank of National Foundation on the Selective Service System Justice the U.S. Arts and the Humanities Labor Small Business Credit Administration National Labor Relations Administration State Federal Communications Board Social Security Transportation Commission National Science Administration Treasury Federal Foundation Veterans Affairs Commission

Source: Washington Information Directory 1997–1998 Critical Thinking (Washington, D.C.: CQ Inc., 1997). The lower half of the chart represents the federal bureaucracy, one of the most powerful forces in the government. Why do you think UPDATE it is sometimes called the “fourth branch” of the government? Visit gov.glencoe.com and click on Textbook Updates– Chapter 10 for an update of the data. 282 Deregulation In a 1976 campaign speech, pres- Cutting the Federal Workforce One way idential candidate Jimmy Carter called for a reduc- to cut costs was to reduce the number of workers tion in the number of federal agencies. He cited the in federal agencies. After a study by Vice President increasing difficulty of tracking the effectiveness of Al Gore, the administration proposed a reduction existing programs in an overregulated society. Ac- of the federal workforce by 252,000 in 6 years. cording to Carter: Congress passed a bill requiring the reductions and provided cash incentives for workers to resign. We need increased program evaluation. It wrote into law a bill that would reduce the size of “Many programs fail to define with any the Department of Agriculture, cutting 7,500 jobs specificity what they intend to accomplish. by 1999. Without that specification, evaluation by In 1994 Congress eliminated much of the fed- objective is impossible. . . . eral of the trucking industry and cut —Jimmy” Carter, 1976 back the role of the Interstate Commerce Com- mission (ICC). Then, before the end of 1995, it In recent years Congress has responded to passed a bill eliminating the ICC altogether. Some complaints of overregulation by taking steps to employees were transferred to the Transportation deregulate, or reduce the powers of regulatory Department. The ICC was the oldest federal regu- agencies. In 1978, for example, Congress ordered latory agency, founded in 1887. the Civil Aeronautics Board (CAB) to simplify its procedures and cut back on regulation of the air- Promoting Competition Both the president lines. Congress also set a deadline that specified that and Congress seemed to agree on the need to pro- the CAB was to go out of business in the year 1985. mote competition in traditionally regulated indus- Deregulation was a major issue in the 1980s and tries. Sweeping legislation rewrote the rules for 1990s. As Republicans pushed for regulatory reform, telecommunications in 1996 as the president and President Clinton proposed to “reinvent govern- Congress worked together in an effort to make the ment.” He signed an that required regulatory agencies themselves more efficient. Con- federal to avoid imposing undue eco- gress passed legislation streamlining regulation of nomic burdens on businesses without assessing their the securities industry. Following a 1994 study, Con- costs and benefits. In addition, Congress passed gress also streamlined federal purchasing by - deregulation laws dealing with paperwork reduction, ing 300 laws that had made procurement, or risk assessment, and private- rights. purchasing of materials, complicated.

Section 1 Assessment Section 1 Review Checking for Understanding Critical Thinking 1. Main Idea Using a Venn Diagram like the one 5. Making Inferences Why is it important that to the right, show regulatory commissions be free from political how regulatory regulatory independent pressures? commissions both commissions commissions and independent agencies are alike and different. Imagine that you are on a presi- 2. Define bureaucrat, embassy, government dential commission looking into the establish- corporation, deregulate, procurement. ment of a new executive department. Decide 3. Identify Department of State, Department of on an important issue facing the country today. the Treasury. Think of a new executive department to deal 4. How are cabinet departments organized? with this issue. Present your suggestion, with rea- sons, as an oral presentation to the commission.

CHAPTER 10: THE FEDERAL BUREAUCRACY 283 Section 2 The System

Reader’s Guide any people think of a federal bureau- crat as a pencil pusher shuffling pa- Key Terms pers in Washington, D.C. This image, however, is not accurate for two rea- , civil service system Msons. First, only 11 percent of all federal govern- Find Out ment employees work in Washington, D.C. The How did the civil service system attempt to rest of them work in regional and local offices scat- reform the spoils system? tered across the United States and the world. Sec- What is the difference between a civil servant ond, FBI agents, forest rangers, and air-traffic and a political appointee? controllers are as much a part of the federal bu- reaucracy as are secretaries and file clerks. Their Understanding Concepts activities have little to do with bureaucratic paper- Civic Participation How does the civil service work. system provide access to government jobs? Federal government employees play a vital role in assuring the smooth functioning of the United States government. President Eisenhower ad- dressed this role when he said:

The government of the United States has Mail Scandal Spurs “become too big, too complex, and too per- vasive in its influence on all our lives for Reform one individual to pretend to direct the de- WASHINGTON, D.C., 1881 tails of its important and critical program- ming. Competent assistants are resident James mandatory. PGarfield has re- ” —Dwight D. Eisenhower leased the results of an investigation into Who are the people who work for the many allegations against departments and agencies that make up the fed- western mail carri- eral bureaucracy? The typical man or woman in ers. The New York the federal service is more than 40 years old and Times had charged has worked for the government for about 15 19th-century the carriers with years. The majority of federal civilian employees mail carrier billing the govern- earn between $25,000 and $50,000 per year. ment unjustified About 23 percent of federal workers are thousands of dollars for mail delivery. The mail members of minority groups, compared with carriers claim that delivering to remote areas is very about 14 percent in the private workforce. expensive. However, the investigation verified the Women make up about 48 percent of federal Times claim that many of these highly paid carriers are friends of government officials, and that some workers, roughly the same percentage of deliver mail to places on their routes only three times women as in the total labor force. A recent a year. These revelations have outraged many people survey found that 30 percent of all federal and strengthened calls for civil service reform. employees had family members who also worked for the government.

284 CHAPTER 10: THE FEDERAL BUREAUCRACY Federal workers hold a A Federal Bureaucrat great variety of jobs. About half of the federal employees are administrative and cleri- cal workers. The govern- ment also employs doctors, veterinarians, lawyers, car- tographers, scientists, engi- neers, accountants, and many other professionals. Origins Today almost all fed- eral jobs are filled through the competitive civil service system. This system, however, was not in place when our government was established. Not Your Typical Office This National Park Service ranger is actually a federal bureaucrat. A ranger’s office may be a national park, a national monument, or a national historic site. Park rangers patrol the The Spoils System parklands to protect them from damage and help visitors. What other George Washington declared bureaucratic jobs besides park rangers offer people opportunities that he appointed govern- to work outside the nation’s capital? ment officials according to “fitness of character.” At the same time, however, he did favor members of the For the next 50 years, national, state, and Party. local politicians used the spoils system to fill When Thomas Jefferson entered the White bureaucratic positions. Political supporters of can- House, he found most federal workers opposed didates expected to be rewarded with jobs if their him and his political ideas. Consequently, Jefferson candidate won. As the federal government grew fired hundreds of workers who were . He larger, the spoils system flourished. replaced these workers with people from his own , the Democratic-Republican Party. Calls for Reform The spoils system fostered By the time Andrew Jackson became presi- inefficiency and corruption. Inefficiency grew be- dent in 1829, the federal government had begun to cause, as government became more complex, grow. Jackson fired about 1,000 federal workers many jobs required expert staff members. Yet most and gave their jobs to his own political supporters. federal workers were not experts in their jobs. Jackson defended his actions by arguing that it was Their special talents lay in working in election more democratic to have rotation in office. Long campaigns to secure victory for their candidates. service in the same jobs by any group of workers, Corruption developed as people used their he claimed, would only promote tyranny. jobs for personal gain. Government employees did A New York senator at the time put it another special favors for interest groups in return for po- way. He defended Jackson’s actions by stating, “To litical support for their candidates. Jobs were often the victor belong the spoils.” The spoils system bought and sold. People made large profits from came to be the phrase that was used for Jackson’s government . Bureaucrats regularly gave method of appointing federal workers. Today, the jobs to their friends rather than the lowest bidder. term spoils system describes the practice of victo- In the 1850s groups of citizens began to call for rious politicians rewarding their followers with reforms. Influential newspapers and magazines government jobs. pointed out the problems with the spoils system.

CHAPTER 10: THE FEDERAL BUREAUCRACY 285 A System of Corruption Patronage System Politicians often bestowed federal jobs on friends and family members, as is shown in this 1800s cartoon. Many of these people proved ill-equipped for their jobs and were mainly interested in making themselves rich. What does the umbrella in the cartoon symbolize?

“PUBLIC OFFICE IS A ‘FAMILY SNAP’.”

President Grant, whose own administration was federal workers. The Protection filled with corruption, persuaded Congress in 1871 Board settles job disputes and investigates com- to set up the first . plaints from federal workers. By 1875, however, reform efforts faltered as Con- gress failed to appropriate money for the new commission. The Civil Service System Today It took a tragedy to restart the reform effort. In Has the present civil service system created 1881 President James A. Garfield ignored Charles new problems while solving those problems Guiteau’s requests for a job in the diplomatic ser- linked with the spoils system? vice. Infuriated at not being appointed, Guiteau shot President Garfield in the back at a Washing- Getting a Job Competition for federal jobs ton railway station on July 2, 1881. Garfield died 80 today is stiff. In recent years every job opening has days later. had about 76 applicants. This competition will probably continue. While the federal bureaucracy The Pendleton Act The public was outraged. is huge, the number of federal jobs has not Chester A. Arthur, the new president, pushed hard changed much since 1950. Yet the number of peo- for reform. In 1883 Congress passed the Pendleton ple wanting federal jobs keeps on increasing. Act, creating the present federal civil service sys- The Office of Personnel Management, along tem. The civil service system is the principle and with individual agencies, is responsible for filling practice of government employment on the basis federal jobs. Job notices are usually posted in post of open, competitive examinations and merit. The offices, newspapers, and Federal Job Information law set up the Civil Service Commission to admin- Centers located in many communities. ister examinations and supervise the operation of Most secretarial and clerical jobs require the the new system. applicant to take a written examination. For other The Civil Service Commission operated for 95 jobs such as accountants, social workers, man- years. In 1979, two new agencies replaced it. The agers, and so on, applicants are evaluated on the Office of Personnel Management handles recruit- basis of training and experience.Veterans are given ment, pay, retirement policy, and examinations for special preference.

286 CHAPTER 10: THE FEDERAL BUREAUCRACY Benefits and Problems Government jobs Act, arguing that the law violates freedom of are attractive because of the many benefits they speech. They also claim the act discourages politi- offer. Salaries are competitive with those in private cal participation by people who may be well- industry. Federal workers get from 13 to 26 days of informed about political issues. paid vacation every year, depending on the length Supporters of the Hatch Act believe it is needed of their service. They have extensive health insur- to keep the federal civil service politically neutral. ance plans and 13 days of sick leave every year. They may retire at age 55. Government workers who retire Congressional Quarterly s after 30 years of service on the job Government at a Glance get half pay for the rest of their lives. Each government job is as- Civil Service signed a certain grade ranging from Six Largest Civil Service Employers, 1998 GS-l, the lowest level, to GS-18, the 871,467 highest. All civil service workers have job security. They may be fired, 717,901 but only for specific reasons and UPDATE Visit gov.glencoe.com and only after a very long, complex se- click on Textbook Updates– ries of hearings. Many supervisors Chapter 10 for an update of the data. and top officials find it is easier to 240,398 put up with an incompetent worker 140,873 than fire one. 105,664 122,594 Thus, an ironic situation has de- veloped. On the one hand, the civil Postal Department Department Department Department Department service was designed to hire federal Service of Defense of Veterans of the of of Affairs Treasury Agriculture Justice workers on merit and protect them from being fired for political rea- Changes In Civil Service Employment sons. In achieving this goal, howev- Employees, Employees, Percent er, the system also helps protect a Employer 1990 1998 Change small number of incompetent and Postal Service inefficient employees. 816,886 871,467 6.7 Department of The Hatch Act The Hatch Act Defense 1,034,152 717,901 —30.6 limits how involved federal govern- Department of Veterans Affairs 248,174 240,398 —3.1 ment employees can become in Department of . In 1939 Congress passed the Treasury 158,655 140,873 —11.2 this law—named after its chief Department of sponsor, Senator Carl Hatch—to Agriculture 122,594 105,664 —13.8 prevent a political party from using Department of federal workers in election cam- Justice 83,932 122,594 46.3 paigns. If that happened, it would Source: U.S. Bureau of the Census, Statistical Abstract of the United States: 1999 raise the dangerous possibility that (Washington, D.C.: 1999). workers’ promotions and job securi- Critical Thinking ty could depend on their support of candidates from the party in power. Although some branches of the civil service continue to The law has been controversial increase their number of employees, other branches are since its passage, and its constitu- experiencing a decline. Why do you think employment increased in the Department of Justice but decreased in tionality has been the subject of two the Department of Defense? Supreme Court decisions. Many federal workers dislike the Hatch

CHAPTER 10: THE FEDERAL BUREAUCRACY 287 They claim the act protects workers from political Political Appointees pressure from superiors. They also argue it helps prevent employees from using their government in Government positions to punish or influence people for politi- cal purposes. In each presidential election year, the House In 1993 Congress revised the act to tighten on- or Senate publishes a book known by Wash- the-job restrictions while loosening up off-duty lim- ington insiders as the plum book. The word plum its on those employed by the federal government. As stands for political plum—a job the new president amended, the Hatch Act prohibits federal employees may fill. The plum book lists all such jobs. from engaging in political activities while on duty, Upon taking office every president has the including wearing a campaign button. While off chance to fill about 2,200 top-level jobs in the duty, federal workers are allowed to hold office in a federal bureaucracy. These jobs are outside the political party, participate in political campaigns and civil service system. Those who fill these jobs are rallies, publicly endorse candidates, and raise politi- sometimes called unclassified employees, as op- cal funds from within their own government posed to the classified employees hired by the civil agency’s political action committee. However, they service system. About 10 percent of executive cannot run for partisan elective offices or solicit con- branch jobs are appointed by the president. They tributions from the general public. include 14 cabinet secretaries, about 300 top-level bureau and agency heads, about 150 ambassadorships, and about 1,700 Federal Employees aide and assistant positions. Filling these jobs gives presidents an opportunity to place loyal sup- porters in key positions. These politi- cal appointees head agencies, offices, and bureaus and make key political decisions. They are expected to try to implement the president’s deci- sions. Unlike career civil service workers, their employment usually ends when a new president is elected. Who are the people with these plum political jobs?

People at the Top The people appointed to the non-civil service po- sitions are first and foremost the pres- ident’s political supporters. Most are well-educated. Nearly all are college graduates. The great majority have advanced degrees, mostly as lawyers. Others are successful leaders from businesses or professions. Civil Servants at Work Beginning in the 1800s, civil The people holding these types of service staffing has been largely based on merit. President positions usually are not experts in the Jimmy Carter urged Congress to pass the Civil Service Reform work of the agency they head, though Act of 1978. This law reorganized and reformed the civil service. How do you think the qualifications for a civil servant of they may have served in government today might differ from those for a civil servant from the before. When the president leaves of- mid-1800s? Describe the differences. fice, most of them return to other jobs outside the government.

288 CHAPTER 10: THE FEDERAL BUREAUCRACY A Ballooning Federal Bureaucracy Paring Down Government Historically the federal bureau- cracy has expanded to meet the increasing complexities and issues facing the government. How do you think the increas- ing size of the federal bureau- cracy affects the president’s control of the government?

A Short Tenure Many new people enter the himself on the deck of a ship that he has never bureaucracy by presidential appointment. How- seen before. I did not know the mechanism of my ever, these top political appointees hold their po- ship, I did not know my officers—and I had no sitions for only a few years. Because federal acquaintance with the crew.” agencies are so large and complex, the short The result of the short tenures of presidential tenure makes it difficult for appointees to learn appointees is that much of the real power over about their jobs. It can take the head of a large daily operations remains with the career civil ser- agency a year or more to learn all the issues, pro- vice officials. Many of their day-to-day decisions grams, procedures, and personalities involved in do not make headlines or the nightly newscast, but running the agency. One new political appointee they do shape the policy of the national govern- discovered, “I was like a sea captain who finds ment on key problems facing the nation.

Section 22 AssessmentAssessment Checking for Understanding Critical Thinking 1. Main Idea Using a graphic organizer like the one 5. Synthesizing Information Why do you think below, note the advantages and disadvantages of political supporters are so eager to fill the the spoils system and the civil service system. plum jobs? Advantages Disadvantages spoils civil service Civic Participation Imagine that you want to 2. Define spoils system, civil service system. obtain employment in a civil service position. 3. Identify Andrew Jackson, Pendleton Act, You need to evaluate the negative and positive Hatch Act. aspects of such employment. Make a list of 4. What two agencies now make up the former Civil the pros and cons of a career in the civil ser- Service Commission? vice. Discuss your list with your classmates.

CHAPTER 10: THE FEDERAL BUREAUCRACY 289 Civil Service Commission v. Letter Carriers, 1973 Do First Amendment CASES TO DEBATE guarantees of freedom of speech apply to government workers? Should federal employees be free to participate in partisan political activities, or can Congress limit such participa- tion? The case of Civil Service Commission v. Letter Carriers addressed this question. A government employee

Background of the Case The Constitutional Issue The Hatch Act, passed by Congress in 1939, There was no question that the Hatch Act put limited federal employees’ participation in cam- restrictions on free speech, but were such restric- paigns or political party activities. The law said fed- tions justified? Over the years the Court had devel- eral workers could not campaign for or against a oped the principle that the right to free speech was political party, serve as an officer or delegate of a not absolute; Congress could put some limits on party, raise funds for a party, or run for political of- speech when it was necessary in order to protect fice. The purpose of the law was to protect democ- the public good. Was this one of those times? The racy from the influence of partisan government Court also asked whether the restrictions in the law employees. The act did allow workers to vote, join a were applied evenly and not aimed at particular political party, attend political rallies, and express political parties, groups, or points of view. their opinions. In its 1973 decision the Court referenced the In 1972, six federal employees, a union, and 1947 case of United Public Workers of America v. certain local Democratic and Republican Party com- Mitchell. In that case George Poole, a federal work- mittees claimed the act violated the First Amend- er, lost his job for serving as a Democratic ward ment. A district court recognized a “well-established committeeperson and working as a poll watcher. governmental interest in restricting political activi- The Court upheld the law’s limitations on political ties by federal employees” but ruled the law was in- activity, stating that Congress had the power to unconstitutional because it was too vague. pass a law “to promote efficiency and integrity in The court held that free speech was so important the .” Justice Hugo Black, in a strong that laws limiting speech had to be clear and pre- dissent, stated that any law limiting speech must cise. The Supreme Court ruled on the case in 1973. be “narrowly drawn to meet the evil aimed at.”

Debating the Case

Questions to Consider You Be the 1. What problem did the Hatch Act address? Earlier the Supreme Court had found the 2. Would allowing government employees to be- Hatch Act to be constitutional. In your opinion, come involved in political campaigns and activi- should that decision be overturned? Does the ties have positive or negative consequences? Hatch Act violate the First Amendment guarantee 3. Did the law’s aim outweigh the right to freedom of free speech, or is it an acceptable limitation of speech for government employees? on speech?

290 Section 3 The Bureaucracy at Work

Reader’s Guide imply defined, public policy is whatever action the government chooses to take Key Terms or not to take. The decision of Congress, for example, to provide federal funds for client group, liaison officer, injunction, Sbusinesses run by disabled persons is a public- iron triangle policy decision. The decision of the president to Find Out refuse to send aid to a Latin American What are the advantages and disadvantages country is also public policy. of bureaucrats taking a greater role in policy In theory, federal bureaucrats only carry out making? the policy decisions the president and Congress Why do you think people sometimes get make. In practice, however, federal bureaucrats frustrated with government bureaucracy? today also help make public policy. They often play Understanding Concepts key roles both in choosing goals the government will try to meet and in selecting programs to What role does the govern- achieve those goals. By choosing what or what not ment bureaucracy play in setting policy? to do in various situations, federal bureaucrats are setting policy. Should people who were not elect- ed make policy? Administering federal programs seems to require that they do. In recent years federal agencies have made Ban on Deadly Sweaters key decisions about many policy issues. These in- clude establishing safety requirements for nu- , D.C., DECEMBER 18, 1996 WASHINGTON clear power plants and deciding the extent to he Consumer Product which the nation will depend on oil for energy. TSafety Commission Federal agencies are also responsible for setting (CPSC) today recalled the eligibility requirements for federal health some 32,000 highly flam- and welfare programs. mable women’s and girls’ sweaters. The sweaters are Influencing Policy made of very soft- textured chenille and come in a vari- Federal bureaucrats help make policy in ety of styles and colors. several ways. The most important of They sell for up to $130 in these involves administering the hundreds of programs that have an impact on almost every department stores and Shopping for chenille fashion boutiques across aspect of national life. Administering these the nation. The CPSC sur- programs requires federal bureaucrats to write veyed over 100 stores in major U.S. cities to test for rules and regulations and set standards to im- the fire hazard. It found that the sweaters burned plement laws Congress passes. faster than newspaper. The CPSC urges that con- sumers immediately stop wearing any sweater they Making Rules When Congress passes a believe may be involved in this recall and return it to law, it cannot possibly spell out exactly what the retailer for a refund. needs to be done to enforce it. The bureau- cracy shapes what the law actually means.

CHAPTER 10: THE FEDERAL BUREAUCRACY 291 The chief way federal agencies do this is by issuing created guidelines for building contractors to fol- rules and regulations designed to translate the law low when hiring minority employees. These guide- into action. One study has shown that, on an aver- lines are used to decide whether contractors can age, the bureaucracy formulates 20 rules or regula- work on federally funded construction projects. tions to carry out each law. The HUD guidelines have the force of law. In order In 1935, for example, Congress passed the to work on the projects, contractors must follow Social Security Act establishing the Social Security them. system. The law makes it possible for disabled workers to receive payments from the government. Paperwork For many years the number of rules What does the word disabled mean? Are workers and regulations federal agencies issued had been disabled if they can work only part-time? Are they growing. Agency regulations totaled more than disabled if they can work, but not at the same job 50,000 printed pages a year. Along with more reg- they once had? ulations came more paperwork. More than 2 bil- The Social Security Administration in the De- lion forms were filled out and submitted to the partment of Health and Human Services has devel- federal government each year. The Small Business oped 14 pages of rules and regulations describing Administration estimated that companies spent at disability. These regulations even state what blind- least 1 billion hours per year filling out forms—at ness means and specifically how it is to be mea- a cost of about $100 billion annually. sured. Without such rules, people who are not Congress in 1995 cleared a bill to reduce the blind might receive benefits they do not deserve. At amount of federal paperwork. The president the same time, the rules help ensure that anyone signed the bill, requiring the Office of Manage- who meets the established standard cannot unfair- ment and Budget director to set a paperwork re- ly be denied benefits. It is through thousands of de- duction goal of at least 10 percent in each of the cisions such as these that bureaucrats make federal first 2 years and 5 percent per year to fiscal 2001. government policy affecting disabled people. Often, rule making by federal agencies is the Involvement in The bureaucra- same as lawmaking. For example, the Department cy also shapes public policy by helping draft new of Housing and Urban Development (HUD) has bills for Congress, testifying about legislation, and providing lawmakers with technical information they may not otherwise have access to. In addition, lawmakers know that it can be difficult to pass major bills without the advice of the federal agen- cies most concerned with the bills’ contents. Often, the ideas for new laws come from with- in the bureaucracy itself. Lawyers within the Justice Department, for example, drafted the Safe Streets Act of 1968, which created a new division within the Justice Department—the Assistance Administra- Bureaucratic Policy Making tion—that existed into the 1980s. In the same way, bu- reaucrats in what is now the Federal Policy Deci- sions made by federal Department of Health and bureaucrats affect the Human Services, along with lives of all Americans some hospital administra- every day. Why do tors and labor unions, you think the Depart- worked hard and over a ment of Health and Human Services has long period of time for the 14 pages of rules law that set up the Medicare describing disability? program.

292 Settling Disputes Some federal Paper Shuffling in the Capital agencies shape public policy by de- ciding disputes over the application of a law or set of rules. When agen- cies do this, they act almost as courts. The regulatory commissions in particular make government poli- cy in this way. They have the author- ity to hear and resolve disputes among parties that come under their regulatory power. The rulings of these agencies have the same legal as those of courts.

Providing Advice Bureaucrats also help shape public policy by providing top political decision makers with information and ad- vice. Many career bureaucrats are experts in their areas. In addition, federal agencies collect information on an incredible variety of subjects. These range from the number of bald eagles left in the United States to the effects of secondhand smok- ing on newborn infants. Federal agencies may use their information to support or oppose a particular public policy. Several Reducing Government Waste Surrounded by bureaucratic years ago, for example, studies by paperwork, Vice President Al Gore presented his proposal the Public Health Service on the ef- “Reinventing Government,” also called The National Performance fects of smoking led to new laws and Review, to President Clinton on the White House lawn. Gore regulations designed to cut down on attempted to streamline the federal bureaucracy and eliminate the use of cigarettes. waste and duplication. Why do you think trimming the Thus, the federal bureaucracy bureaucracy and its paperwork is such a difficult task? does more today than simply fill in the details of laws. The bureaucracy plays a role in determining what National Growth and Technology The those will be. growth of the federal bureaucracy mirrors the growth of the United States. For almost 60 years, the 3 original cabinet departments and the attor- Why the Bureaucracy ney general’s office handled the work of the execu- Makes Policy tive branch. As the population grew, so did the government. The same number of officials who The federal bureaucracy has grown and as- ran a country of 50 million people cannot govern sumed an important role in making public a country of more than 250 million. policy for five reasons: (1) growth of the nation, In addition, rapid advances in technology have (2) international crises, (3) economic problems at made life much more complex. Today, a single home, (4) citizens’ demands, and (5) the nature of president and 535 lawmakers in Congress cannot bureaucracy itself. possibly have all the knowledge and time needed to

CHAPTER 10: THE FEDERAL BUREAUCRACY 293 The Space Race Expands the Government

Competition and Expansion The United States felt threatened by the Soviets’ launching of Sputnik in 1957. President Dwight Eisenhow- er immediately increased military funding and established the National Aeronautics and Space Administration (NASA), which worked feverishly to close the gap in the space race. Later, Presi- dent John F. Kennedy authorized the Apollo pro- gram to challenge the Soviets in space. This program allowed Edwin E. Aldrin, Jr., (left) and Neil Armstrong to be the first hu- mans to walk on the moon. How did the launching of Sputnik in- crease the size of the United States government?

John Glenn, first American to orbit the earth

deal with the many complicated After the issues that face the nation. These launched Sputnik I, the first space issues include nuclear power, edu- satellite, in 1957, the federal gov- cation reform, space exploration, environmental ernment started a large-scale program to improve protection, cancer research, health care, and many science and mathematics instruction in the United others. States. The government established NASA in 1958 Many other tasks such as regulating atomic en- to direct the nation’s space exploration program. ergy or launching communications satellites also As a further result of the Cold War, the govern- require some government involvement. The presi- ment created several other new agencies. These in- dent and Congress establish and cluded the Central Intelligence Agency, the Arms give them the money and authority to carry out Control and Disarmament Agency, the United their tasks. States Information Agency, and the Peace Corps. The Korean War (from 1950 to 1953) and the International Crises Competition with the Vietnam War (from 1964 to 1973) involved mil- Soviet Union and international crises following lions of American soldiers. Both wars led to the World War II furthered the growth of the federal continued need for the Veterans Administration, bureaucracy. During the Cold War from the mid- which was elevated to the cabinet level in 1989, and 1940s to the 1980s, the United States and the Soviet renamed the Department of Veterans Affairs. It is Union never fought each other directly. Each coun- one of the largest federal agencies. try did, however, develop new weapons to defend it- self, and both countries gave aid to other countries Economic Problems President Franklin they wanted as allies. In 1949 the United States cre- D. Roosevelt greatly expanded the size of the feder- ated the Department of Defense from the United al bureaucracy as he attempted to combat the States Military Establishment. The Defense Depart- Depression during the 1930s. By 1940 the number ment soon grew to be the largest single department of federal workers had almost doubled. Many in the federal government. With the end of the Cold people accepted the idea that the federal govern- War, the department began to be reduced. ment had a duty to assist the ill, the disabled, the

294 CHAPTER 10: THE FEDERAL BUREAUCRACY elderly, and the neglected. As a result, the federal Former president Ford put it this way: government today spends billions of dollars each year on hundreds of assistance programs. One of the enduring truths of the nation’s The Depression years also led to the idea “capital is that bureaucrats survive. Agen- that the federal government has a special respon- cies don’t fold their tents and quietly fade sibility both to stimulate the nation’s economy away after their work is done. They find and to regulate unfair business practices. Thus, something new to do. —Gerald Ford agencies that help businesses, such as the Depart- ” ment of Commerce, have grown along with agen- These observations are what led to reform. cies that regulate businesses, such as the Federal President Clinton’s “reinventing government” and Trade Commission. the Republican Congress’s “ With America” both targeted government waste. Citizen Demands The bureaucracy has also grown in response to issues raised by various interest groups within the country. This is not a Influencing Bureaucratic new phenomenon. Congress, for example, created Decisions the Departments of Agriculture (1862), Com- The federal bureaucracy does not make merce (1903), and Labor (1913) in part to meet the public policy in isolation. The president, increased demands of farmers, businesspeople, Congress, the courts, and client groups influence and workers. federal agencies as they conduct business. Once it is established, each agency has client groups that it serves. Client groups are the individ- uals and groups who work with the agency and are Meeting the Country’s Needs most affected by its decisions. The client groups of the Department of Defense, for example, include the defense contractors who make weapons and supplies for the armed forces. The client groups of the Department of Agriculture are largely the farm- ers and others in the business of agriculture. Client groups often lobby both Congress and the agency itself for more programs and services. Sometimes competition develops. If business lead- ers can have “their” people in the Commerce De- partment, labor leaders want “their” people in the Labor Department to make sure they get their “fair share.”

The Nature of Bureaucracy Another rea- son for the increase in the number of federal agen- cies is that the country’s needs change. Once created, however, federal agencies almost never die. They seem to exist for their own sake. Several years ago Congress created the Federal Metal and Non-Metallic Safety Board of Review. A bureau- crat named Jubal Hale was appointed as its direc- tor. The board, however, never received any cases Economics and Expansion Roosevelt’s programs changed the federal government. to review. As a result, Hale had no work to do. He The FDR Memorial in Washington, D.C., honors spent the next four years reading and listening to the president. Why did Roosevelt expand the phonograph records in his office. Finally, he sug- government during the Depression? gested the agency be abolished, and it was.

CHAPTER 10: THE FEDERAL BUREAUCRACY 295 Influence of Congress Bureaucrats are care- refuse to appropriate money for the agency. What ful to build support with congressional commit- happens more often, however, is that Congress can tees that have authority over the agencies for which threaten to eliminate programs that are important the bureaucrat works. Each cabinet department to the agency. has liaison officers who help promote good rela- Even the power of appropriation has limits as tions with Congress. Liaison officers keep track of a way for Congress to influence agency decisions. bills moving through Congress that might affect Much of an agency’s budget may be used for enti- the agency, as well as responding to requests for in- tlement expenditures. These expenditures are for formation from lawmakers. basic services already required by law, such as So- Congress uses two major tools to influence de- cial Security or pensions for retired government cision making in federal agencies—new legislation employees. Such services are almost impossible for and the budget. Lawmakers can pass laws to Congress to cut. Agencies also have developed change the rules or regulations a federal agency es- strategies for getting around possible budget cuts. tablishes or to limit an agency in some way. Some- When the agency sends in its budget, for example, times Congress is successful in these attempts. In it will underestimate the amount it needs for its 1979, for example, the Internal Revenue Service entitlement expenditures. At the same time, it will ruled that donations to private schools were not ask for full funding for other parts of its program tax deductible unless the schools enrolled a certain that it does not want to cut. If the agency runs number of minority students. The ruling caused a short of money for entitlements midway through great deal of controversy, and Congress overturned the year, Congress must pass a supplemental ap- it with new legislation. propriation to cover the shortage. If budget cuts Congress’s major power over the bureaucracy must be made, agencies may sometimes target is the power of the purse. The nation’s lawmakers their cuts in the districts or states of key members control each agency’s budget. They can add to or of Congress who have the power to get budget cuts cut an agency’s budget and, in theory at least, restored. In 1975, for example, Congress said it

earing the words, “My name as Heidi Herrera was created is Heidi Landgraf. I’m an carefully with tax returns, Visa Making a Difference Hagent with the DEA,” two cards, and a passport. Although Making a Difference drug cartel bosses stared in dis- she was always under the watch- belief. This time they were the ful eyes of fellow agents, she Heidi Landgraf victims—of a Drug Enforcement was in constant danger. From a Administration sting operation. phony business location Landgraf Heidi Landgraf was at the center collected cash from major drug of Operation Green Ice, playing dealers across the country and the part of a drug lord’s daughter. laundered it through banks. After Her two-year performance won two years of collecting evidence, Landgraf a 1993 DEA Administra- the DEA scheduled the “take tor’s Award. As one of more than down.” 100 federal agents involved in Because her face and name the worldwide operation, she appeared in press accounts of helped in the United the operation when the news States and six other coun- broke, Landgraf had to give up tries arrest a total of 140 her work as an undercover agent. suspected criminals and She continued to work within the seize about $50 million. DEA, however, in media relations DEA Landgraf’s identity and drug prevention education. badge

296 CHAPTER 10: THE FEDERAL BUREAUCRACY wanted to reduce the budget for Am- trak, the federal agency that operates Congressional Quarterly’s passenger trains in the United States. Government at a Glance Amtrak almost immediately an- nounced plans to comply with the re- Iron Triangles duced budget by cutting vital passenger service in the districts of Department of Veterans’ key congressional leaders. The an- Veterans Affairs organizations nouncements had their desired ef- fect: these leaders succeeded in restoring most of the Amtrak funds. Small Business American Owners Association The Influence of the Courts Interest Groups Federal courts do not actively seek to influence the federal bureaucracy. The courts, however, can have an im- portant impact on policy making. or Department The Administrative Procedures Act Government Agency of 1946 allows citizens directly affect- Congress ed by the actions of federal agencies to challenge those agencies’ actions in court. A federal court may issue an Veterans’ Affairs Committee injunction—an order that will stop a (House and Senate) particular action or enforce a rule or regulation. Small Business Committee Success in Court Cases While the courts can have a real impact on Source: Bibby, Governing by Consent, 2d ed. (Washington, D.C.: CQ Press, 1995). the bureaucracy, citizens have not Critical Thinking had much success in court cases against the bureaucracy. One study With alliances such as the iron triangles shown above, it is difficult to change agency policies or eliminate shows that the courts do not usually government agencies. Why would some people consider reverse the decisions of federal regu- iron triangles to be a threat to democracy? latory commissions. For example, the Federal Power Commission and the Federal Trade Commission have won 91 percent of the cases they have ar- gued before the Supreme Court. The National The Department of Labor has a similar relation- Labor Relations Board and the Internal Revenue ship with labor unions. Service have won 75 percent of their cases. Client groups often attempt to influence agency decisions through lobbyists in Washington, D.C. These lobbyists work to reach agency officials. The Influence of Client Groups Lobbyists may testify at agency hearings, write let- As stated earlier, each agency has client ters, keep track of agency decisions, and take other groups. The Department of Education steps to support their groups’ interests. spends much of its time dealing with state and local school administrators. The Food and Iron Triangles Congressional committees, Drug Administration works closely with major client groups, and a federal department or agency drug companies. The Commerce Department often cooperate closely to make public policy. identifies with and promotes business interests. When agencies, congressional committees, and

CHAPTER 10: THE FEDERAL BUREAUCRACY 297 client groups continually work together, such may retire and become a Washington lobbyist for cooperation is called an iron triangle, because a defense contractor that sells weapons to the De- together the three groups have the necessary re- partment of Defense. A staff member of the Sen- sources to satisfy each other’s needs. The adjective ate Armed Services Committee may leave iron is used because the relationship is so strong Congress and go to work in the Defense Depart- that it is often difficult for other individuals and ment. Later, the same person may take a job with groups outside the triangle to influence policy in a defense contractor. the area. Many critics believe that because iron triangles Public policy toward veterans’ affairs is an ex- allow interest groups undue influence outside the ample of an iron triangle. The Department of Vet- control of the executive branch, Congress should erans Affairs (VA) provides important services pass laws to regulate them. such as hospital care, but the VA needs resources to continue offering such services to veterans. Law- Agencies Influence One Another Interac- makers on congressional committees responsible tions among agencies also influence decisions and for veterans’ affairs supply the VA with money but policy making in the bureaucracy. For example, need electoral support to remain in office. Con- rules made by the Occupational Safety and Health gressional committees also need political support Administration about noise standards in factories to win internal struggles for power in Congress. may contradict regulations established by the Envi- Client groups, such as the American Legion, pro- ronmental Protection Agency. Decision makers in vide the political support that the lawmakers need each agency may attempt to influence the others to to remain in office. Client groups in turn need the accept their programs or rules. Often, such disputes VA’s goods and services to satisfy the demands of are settled by interagency task forces or committees. their members. It is the working combination of these three groups that basically determines the policy of the national government toward veterans. GOVERNMENT Similar iron triangles operate in many policy areas such as agriculture, business, labor, and national Student Web Activity Visit the United States defense. Government: Democracy in Action Web site at People often move from one side of the trian- gov.glencoe.com and click on Chapter 10– gle to another. In the area of national defense, for Student Web Activities for an activity about the bureacracy at work. example, a general in the Department of Defense

Section 3 Assessment Checking for Understanding Critical Thinking 1. Main Idea Using a graphic organizer like the one 5. Making Inferences Do you think that iron below, identify two ways Congress influences triangles undermine or serve the public interest? federal agencies CONGRESS 1. FEDERAL Explain your answer. and two ways 2. AGENCIES federal agencies 1. contribute to legislation. 2. 2. Define client group, liaison officer, injunction, iron triangle. Separation of Powers The government 3. Identify Social Security Act, Department of bureaucracy, in theory, carries out the policy Veterans Affairs. decisions of Congress and the president. In 4. What are five reasons that the federal practice, however, the bureaucracy also helps bureaucracy has assumed an important role influence policy. Create a political cartoon in making public policy? depicting one of the ways in which the federal bureaucracy influences policy.

298 CHAPTER 10: THE FEDERAL BUREAUCRACY Technology Using a Word Processor

here are several ways to create a professional-

looking printed document. You may use a Congress Tword processor or a computer word process- ing software program. Learning the Skill Jacklyn Ortez Rules After starting your word processing system, a Work Experience blank document, sometimes called “Document 1,” appears on the video screen. To begin compos- Leadership ing your document, simply begin typing. To create a new document, click the New button on Education the standard toolbar.The following tips will help you format the document to make it look the way Organizations you want. 1. As you type, the word processing program au- tomatically “wraps” the text to the next line when the text reaches the right margin. Press ENTER if you wish to start a new paragraph. Practicing the Skill 2. You may see paragraph marks (¶) and certain other symbols, called nonprinting characters, Create a resume using a template. Choose on your screen. You may want to turn this Style Gallery from the Format menu and select function off by clicking the Show/Hide button the resume template. To adapt the resume on your toolbar. template into a new document, first choose New 3. To insert new text in a line, move the cursor to from the File menu. Then select a template, select the point where you want the insertion to go the resume option, and press OK. Replace the and type the text. existing text with your own information. Save 4. To move several lines of text, select the text your resume. using the drag method and click the Cut button on your toolbar. Then position your cursor in the location that you want to move Application Activity the cut text and click Paste. If you drag or paste text to the wrong place, click the Undo Create a one- to two-page professional- button. looking document using the subject of 5. Use a template to easily create professional Chester A. Arthur’s election or presidency. documents. For example, you might choose to create a 6. To learn about other word processing meth- campaign brochure for Arthur or a newspa- ods, read the user’s manual or click on the per clipping that details the Pendleton Act. Help button on the toolbar.

299 Chapter 10 Assessment and Activities

4. Some people lost their jobs when Congress began to _____ the Civil Aeronautics Board GOVERNMENT and cut down on its procedures. 5. An _____ is the office of an ambassador in a Self-Check Quiz Visit the United States Government: foreign country. Democracy in Action Web site at gov.glencoe.com and 6. A _____, such as a special-interest group, is a click on Chapter 10–Self-Check Quizzes to prepare key factor in influencing public policy. for the chapter test. 7. In some cases, a court will issue an _____ to stop a particular action. 8. To make regulatory agencies more efficient, Congress repealed 300 laws that had made Reviewing Key Terms _____, or purchasing of materials, complicated. Choose the letter of the correct term or concept 9. A _____ helps promote good relations among below to complete the sentence. Congress and cabinet departments. 10. A cooperative effort on the parts of congres- a. injunction f. iron triangle sional committees, a federal agency, and b. liaison officer g. bureaucrat client groups is called an _____. c. government corporation h. embassy d. procurement i. spoils system e. client group j. deregulate Recalling Facts 1. What three types of agencies make up the 1. An individual who works for the federal govern- federal bureaucracy? ment is a ____. 2. What are some independent agencies that are 2. Before the civil service system, many people government corporations? got government jobs through the ____. 3. What is the special role of independent regula- 3. Some people work for a _____, such as the tory commissions in the federal bureaucracy? Postal Service. 4. Why was the civil service system created? 5. To what three job benefits are federal workers entitled? 6. What event led to the practice of government assisting the ill and the neglected? 7. How do client groups attempt to influence the decisions that government agencies make? Choose one of the Bureaucratic Action Understanding Concepts independent agencies or executive 1. Public Policy Is evaluating existing programs is departments discussed in this chapter. important in a society with a large bureaucra- Use the Readers’ Guide to Periodical cy? Support your opinion. or other research materials 2. Civic Participation With every new adminis- Literature tration, new people are named to hold top to find out the current activities of the management positions within the federal bureaucracy. Explain the advantages and agency or the executive department you disadvantages of this system. chose. Summarize your findings in the 3. Separation of Powers Should bureaucrats form of a newspaper article. be allowed to actually help determine public policy? Support your answer. Chapter 10

Critical Thinking 1. Making Inferences Why might strong presidents Interpreting Political Cartoons Activity rely less on their cabinets’ advice than weak presidents? 2. Synthesizing Information Use a skeleton outline like the one below to organize a paper that would explain why the federal bureaucra- cy has grown. Use facts from the text and charts in Chapter 10. The Growth of the Federal Bureaucracy

I. Its size A. B. C. II. Its Complexity 1. What is the warning each of these people is giving? A. 2. How do you think these people’s attitudes affect the size B. of the federal bureaucracy? C. 3. What governmental dilemma does this cartoon emphasize?

Cooperative Learning Activity Comparing Agencies Organize into groups. Make a Skill Practice Activity list of the ways in which any four executive depart- Using a Word Processor ments or agencies of the federal bureaucracy Imagine you are a member affect your daily life. Rank each of the influences of a client group that is attempting to influence an in order of their importance. Rejoin the class and agency of the federal bureaucracy. Using a word compare lists. Which department or agency was processor program, create a professional-looking mentioned most often? brochure that you would use to publicize your issues and concerns. Technology Activity Participating in Using Software Search the Internet or your library to find out the Local Government increase in the number of You can find jobs within the people working for the government bureaucracy in all executive departments of the feder- levels of government. Using your al government from 1900 to the present. You can local library or the Internet, research use the Statistical Abstract of the United States to the different types of government find these figures. Then use the graphics options jobs in your community. Find out the procedure for of your software to create a graph that illus- applying for these jobs, the qualifications required, trates the change. Display the completed graphs in and the salaries. Present your findings in an illus- the classroom. trated pamphlet.

CHAPTER 10: THE FEDERAL BUREAUCRACY 301