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NATIONAL HERITAGE COLLECTION Question. In FY 2004, the Library plans to establish a "National Heritage Collection.” Explain what this collection will provide and what are the associated costs?

Response. For several years, the idea of establishing a National Heritage Collection has been discussed. this repository would attempt to collect and preserve, for future research use, the entire book publishing output of the United States-or at least that portion which is submitted to the Library as copyright deposits. This would go far beyond the normal collecting parameters of the Library.

There are no firm plans to establish the collection at this point, and no funds have been requested to support such a program. Instead, the Library in conjunction with the Center for Research Libraries, is presenting to other major U.S. libraries the concept of such a collection and investigating various organizational and funding structures that could make the concept a reality.

CHINESE ACQUISITIONS PROGRAM Question. What is the Chinese Acquisitions Program? What was the amount of the grant from the Luce Foundation? Is this a temporary program? If not what will be the annual ongoing operating costs?

Response. The Chinese Acquisitions Program is a pilot project funded by the Luce Foundation. It tests the hypothesis that the Library can collect contemporary Chinese materials, known to be important to Congress, in new ways, thereby avoiding the costs of establishing another Overseas Office. Publishing in China is highly decentralized, and it is hard to learn about the output through the channels the Library has come to expect in countries with well-established publishing industries. The Luce Foundation awarded a grant of $390,000 to the Library over an initial period of three years (later extended to a fourth year), to pilot a new acquisitions methodology using university employees in six regional locations within China to secure current publications and forward them to the Library

The pilot has been successful, and we are now requesting permanent funding to allow the Library to continue the good work that has been started. The positions needed include: one GS-13 to provide overall management and direction; one GS9 Collections Development Librarian to provide support in identifying new sources of acquisitions, especially electronic publications, and five GS-6 technicians to process incoming materials and make them available for use.

The Library also requests $35,000 for staff to travel to China periodically for meetings with the university employees, and $85,000 for continuing the services of these acquisitions associates in China.

GAPS IN PRINT HOLDINGS Question. You say you want to fill some gaps in the Library's print holdings. What gaps?

Response. Diplomatic sanctions, travel restrictions, or the absence of reliable publications dealers in a country are among the reasons that gaps occur in the Library's collections. The gaps for which we are requesting funds are those in collections from Iraq, Iran, and Libya.

LIBRARY PATRONS
Mr. KINGSTON. Who are your customers, generally?

Dr. BILLINGTON. Well, our customers are first of all the Congress of the United States. That is our top priority. We have to constantly think not only what you are going to ask CRS tomorrow, but what Congress is going to want to know about our history or the world's history and the development of problems 20, 30 years from now.

Beyond that, by extension, the government, in the Law Library we do a lot of work for the judicial branch and the executive branch. So, we have to think of what is important for America, and what will be important for America in the future. That is our big responsibility

But our client base is greatly enriched with the digital library. culture now online, papers of Washington, Jefferson, Lincoln, all kinds of Civil War photographs, early Edison movies, panoramic maps of American cities, plus a new kids website, all of this supported by the Ad Council, the first time it has supported a library program in their history.

Our client base is not only the people who come and use the 21 open reading rooms at the Library of Congress, here in Washington, but the people, the three billion hits that we get online this past year. We will probably have more next year.

USE OF RESOURCES BY OTHER AGENCIES Mr. KINGSTON. A citizen of this area or anyone can go in and use the resources. Now, we see other agencies, the executive branch, the judicial branch, use your Law Library to obtain research materials from it. And yet, they are not reimbursing you, correct?

Dr. BILLINGTON. That is right.

Mr. KINGSTON. How much of a strain on resources is that for you?

Dr. BILLINGTON. Well, it depends. I mean I think the whole tradition of the American library system has been free, open, public access to knowledge. The whole idea of the Library of Congress is a very inspiring idea around the world, that the first branch of government of this country wants to share, basically, the vast knowledge that is accumulated in this library with the people who elected them.

Mr. KINGSTON. Do you have lawyers on staff who do research for the executive agencies, such as the Department of Interior?

Dr. BILLINGTON. Well, we have, for instance, the Federal Research Division; they are on contract with transfer payments from other branches, from the executive branch of government. They do their research; they did the 1999 study, for instance, which was, as far as I know, the only study on terrorism that included a description of a possible conversion of planes into missiles for destroying buildings.

That study was derived from open sources. It was not derived from classified material. That was done by the Federal Research Division on contract from the executive branch.

REIMBURSEMENT BY OTHER AGENCIES

Mr. KINGSTON. Are they reimbursed for it?
Dr. BILLINGTON. Yes.

Mr. KINGSTON. How much work is performed that is not reimbursed? Do you have an estimate?

Dr. BILLINGTON. Well, take the Law Library. Seventy percent of the work the Law Library does is directly for the Congress. So, that is in a sense an extension of one library's basic mission.

Dr. KINGSTON. But thirty percent of it could be done for other agencies that aren't in the legislative branch? Mr. BILLINGTON. Yes, that is correct.

Mr. KINGSTON. There might be some support in Congress for changing the laws so that you can charge the agencies for these interagency resources. It could help offset some of the FTEs that you are trying to fund. Is that something that you would be intermately $72,000 for costs related to processing paper galleys, creating initial biblio-
graphic records and preparing and mailing data to publishers. Without this pro-
gram, the Library would need an increase of approximately $72,000 in its budget
to cover these program costs.

CATALOGING DISTRIBUTION SERVICE
Question. The Library is proposing to provide a direct appropriation of $700,000
to the Cataloging Distribution Service during fiscal year 2005. The Committee un-
derstands that these funds offset the costs of products received by various organiza-
tions with Library Services. Why is the Cataloging Distribution Service not a total
reimbursable program with the $700,000 allocated to the appropriate entities that
can purchase products are required?

Response. The Cataloging Distribution Service recovers the costs of the products
and services it provides to internal Library units through the direct appropriation
because that has been the most efficient method for controlling and allocating costs,
considering the nature of the products and services provided and the number of or-
ganizational units receiving products. In the future, using the capabilities of the Li-
brary's new central financial system, it may be possible to consider the alternative
approach of allocating the $700,000 to the appropriate entities within the Library
so that products and services can be purchased as required. Advance planning for
such a change would be essential to ensure continuity of service in the transition.

COPYRIGHT FEES
Mr. KINGSTON. Mr. Dizard, do you charge at the Copyright Of-
fice?

Mr. DIZARD. Well, copyright is quite a different operation. That
is right. Our main work in terms of staff and budget is for copy-
right registration, and we do charge a fee of $30 for that.

Two-thirds of our Copyright Office budget is funded by receipts.
In addition, the national cable and satellite licensing systems, for
example, are funded by the royalties. We take a portion of the roy-
alties that are submitted, and before they are distributed we de-
duct our cost.

Mr. KINGSTON. But you know, we in the legislative branch, don't
like the executive folks coming over here and sticking their hands
into our trough, so we like to keep an eye on them.

Okay, Mr. Moran.

TRANSIT BENEFIT AND STUDENT LOAN PAYMENT PROGRAM

Mr. MORAN. Thank you, Mr. Chairman.

As one of the largest employers within this entire appropriations
bill, you have, what 4,241 total employees, FTEs at least. I would
like to know how the transit benefit and the student loan payment
program have worked out for your employees. Have you had suffi-
cient funds budgeted to meet those obligations?

General Scott.

General SCOTT. Yes. I want to thank you and the other Members
who have supported us in making sure that we could get a transit
subsidy for employees. That program, sir, is working very well. It
is totally funded and over 60 percent of our staff participates in the
transit program.

As you know, they are eligible to receive a subsidy of up to $100
per month. So that program is working very well.

With respect to the Student Loan Repayment Program, we do not
have specific funds set aside to fully implement that program. We
are asking for $412,000 in this year's budget so that CŘS could run

Library Association, the Research Libraries Group, the American Society for Infor-
mation Science, and the legal community drawing from expertise and experience of
renowned legal scholars, practitioners, and political scientists, among others.

With full implementation effective by 2003, all new acquisitions held by the Law
Library of Congress are now being classified using the K class, covering all con-
tinents, jurisdictions, as well as topics of general, international, or religious law.
Collections at other law libraries such as Yale, U.C. at Berkeley, Vanderbilt, Cornell
and NYU and for institutions world-wide, for example in Germany, Canada, Israel,
and Japan, to name only a few countries, use the Library's law classification making
it possible to share classification and cataloging data, thus reducing the costs of
original cataloging, and making it possible to utilize on-line catalogs for identifying
ownership and location of sought-after-items, thus reducing the costs of purchasing
redundant resources.

Funding is being requested for approximately 800,000 volumes which were as-
signed and shelved in the Law Library collection prior to the phased implementa-
tion of the Class K schedules. What this project seeks to accomplish is retroactively
apply the Class K classification to these 800,000 volumes and thus improve the abil.
ity to identify holdings for improved access for Library patrons and to improve coop-
erative collection development and resource sharing with other institutions using
Class K.

Completing the re-classification over a 5-year period will allow the Library to en-
hance many processes resulting in cost avoidance including:

Transferring Class K items, formerly in “LAW”, to offsite highly density storage,
saving space on Capitol Hill for other critical needs.

Enhancing physical and inventory control on the integrated library system
(ILS)which can be best achieved at a lower cost when books are under biblio-
graphic control and classified so that they can be identified, tracked, and retrieved
via the bar coding system. Classification conversion from “LAW” to Class K will af-
ford more specific information about each title and holdings at the item level and
reduce loss and theft of minimally controlled items.

• Enhancing maintenance and retrieval: procedures for the processing, shelving,
and retrieval of materials with numeric class numbers are less complex than the
generic LAW.

• Enhancing research: as the serials and monographs in the collection are con-
verted from “LAW” to Class K, the legal specialists will spend less time tracking
down illusive and mis-identified titles of which issues may be scattered under var-
ious pseudo call numbers under “LAW”, where different schemes have been applied
over the years. The confusion of shelving arrangements has resulted in scattered or
split holdings among jurisdictions and other materials covering general law, diction-
aries, encyclopedias, looseleaf services, etc.

• Identifying heritage assets: conversion from “LAW” to Class K will provide the
opportunity for considering each of the 800,000 volumes for individual treatment
and re-classification. We anticipate discovering and identifying additional heritage
assets-rare and unique titles-among the “LĂW” holdings which have never been
described or classified.

• The Library has found itself in the position of having a re-classification project
of this size at this time because:

• No other collection was as large as the legal collection when its schedule
was first applied.

• Over half of the Law Library collection is in foreign languages, requiring
staff with special language skills to process it.

• The establishment of the final subclass of Class K, which began in 1969,
was just completed in 2003.

• This is not a standard created by the Library of Congress alone but was
always intended for utilization worldwide by libraries and institutions that have
embraced its implementation.

CATALOGING IN PUBLICATION
Question. One of your FY 2003 accomplishments is that the Electronic Cataloging
Publication (ECIP) program dramatically shortens turnaround time for cataloging
and eliminates postage costs for the Library and publishers. What is the estimated
annual savings of the ECIP program?

Response. The Cataloging in Publication Division (CIP) receives approximately
58,000 requests for CIP data annually. Approximately 32,000, or 55 percent, of these
are now processed via ECIP.

Publishers realize cost avoidance of approximately $480,000 for costs related to
photocopying and mailing galleys. The Library realizes cost avoidance of approxi-
mately $72,000 for costs related to processing paper galleys, creating initial bibliographic records and preparing and mailing data to publishers. Without this program, the Library would need an increase of approximately $72,000 in its budget to cover these program costs.

CATALOGING DISTRIBUTION SERVICE Question. The Library is proposing to provide a direct appropriation of $700,000 to the Cataloging Distribution Service during fiscal year 2005. The Committee understands that these funds offset the costs of products received by various organizations with Library Services. Why is the Cataloging Distribution Service not a total reimbursable program with the $700,000 allocated to the appropriate entities that can purchase products are required?

Response. The Cataloging Distribution Service recovers the costs of the products and services it provides to internal Library units through the direct appropriation because that has been the most efficient method for controlling and allocating costs, considering the nature of the products and services provided and the number of organizational units receiving products. In the future, using the capabilities of the Library's new central financial system, it may be possible to consider the alternative approach of allocating the $700,000 to the appropriate entities within the Library so that products and services can be purchased as required. Advance planning for such a change would be essential to ensure continuity of service in the transition.

COPYRIGHT FEES Mr. KINGSTON. Mr. Dizard, do you charge at the Copyright Office?

Mr. DIZARD. Well, copyright is quite a different operation. That is right. Our main work in terms of staff and budget is for copyright registration, and we do charge a fee of $30 for that.

Two-thirds of our Copyright Office budget is funded by receipts. In addition, the national cable and satellite licensing systems, for example, are funded by the royalties. We take a portion of the royalties that are submitted, and before they are distributed we deduct our cost.

Mr. KINGSTON. But you know, we in the legislative branch, don't like the executive folks coming over here and sticking their hands into our trough, so we like to keep an eye on them. Okay, Mr. Moran.

TRANSIT BENEFIT AND STUDENT LOAN PAYMENT PROGRAM Mr. MORAN. Thank you, Mr. Chairman.

As one of the largest employers within this entire appropriations bill, you have, what 4,241 total employees, FTEs at least. I would like to know how the transit benefit and the student loan payment program have worked out for your employees. Have you had sufficient funds budgeted to meet those obligations?

General Scott.

General SCOTT. Yes, I want to thank you and the other Members who have supported us in making sure that we could get a transit subsidy for employees. That program, sir, is working very well. It is totally funded and over 60 percent of our staff participates in the transit program.

As you know, they are eligible to receive a subsidy of up to $100 per month. So that program is working very well.

With respect to the Student Loan Repayment Program, we do not have specific funds set aside to fully implement that program. We are asking for $412,000 in this year's budget so that CRS could run

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