NOMINATIONS OF BARRY JAMES SHILLITO TO BE AN ASSISTANT SECRETARY OF THE NAVY; WILLIAM К. BREHM TO BE AN ASSISTANT SECRETARY OF THE ARMY; RANDOLPH S. DRIVER TO BE AN ASSISTANT SECRETARY OF THE NAVY; AND J. WILLIAM DOOLITTLE TO BE AN ASSISTANT SECRETARY OF THE AIR FORCE

THURSDAY, APRIL 4, 1968

U.S. SENATE,

COMMITTEE ON ARMED SERVICES,

Washington, D.C.

The committee met, pursuant to notice, at 10 a.m., in room 212, Old Senate Office Building.

Present: Senators Russel (presiding), Stennis, Symington, Cannon, Byrd of Virginia, Smith, Thurmond, and Pearson.

Also present: William H. Darden, chief of staff, T. Edward Braswell, Jr., and Gordon A. Nease, professional staff members; Charles B. Kirbow, chief clerk; and Herbert S. Atkinson, assistant clerk.

Chairman RUSSELL. Four nominations to fill civilian statutory offices in the Department of Defense are pending before the committee. The first of these is that of Mr. Barry James Shillito of Ohio to be an Assistant Secretary of the Navy vice Mr. Bannerman who has resigned.

The other three involve nominees to three new positions created under legislation considered by the committee in the last session. These are Assistant Secretaries of the military departments for Manpower and Reserve Affairs.

Mr. William K. Brehm, of Michigan, is nominated to be Assistant Secretary of the Army.

Mr. Randolph S. Driver, of Pennsylvania, has been nominated to be Assistant Secretary of the Navy.

And Mr. J. William Doolittle, of Illinois, has been nominated to be an Assistant Secretary of the Air Force.

NOMINATION OF BARRY JAMES SHILLITO TO BE AN ASSISTANT SECRETARY OF THE NAVY (INSTALLATIONS AND LOGISTICS)

Chairman RUSSELL. Mr. Shillito, we are glad to have you before the committee and we congratulate you on your appointment. Mr. SHILLITO. Thank you, sir.

Chairman RusSSELL. We would like to have you give us a brief summary of your biography and a statement on whether you own any securities in companies doing business with the Department of Defense.

(The nomination reference and report, andthe biographical data follow:)

NOMINATION REFERENCE AND REPORT

IN EXECUTIVE SESSION,
SENATE OF THE UNITED STATES,
March 26, 1968.

Ordered, That the following nomination be referred to the Committee on Armed Services: Barry James Shillito, of Ohio, to be an Assistant Secretary of the Navy vice Graeme C. Bannerman, resigned.

BARRY JAMES SHILLITO

Born: Dayton, Ohio, January 1, 1921; son of Lucian W. and Mary Ellen (O'Connor) Shillito.

Marital status: Married Eileen Elizabeth Cottman, December 2, 1942. Children-Barry L., Elaine A., Daniel G., James K., Colleen A.

Military service: Army Air Corps fighter and bomber pilot 1942-1945. German POW. Decorated Purple Heart.

Education: B.S., University of Dayton, 1949. Executive Management Course, UCLA, 1957-1958.

Employment since 1949: Supervisory Contract Specialist, Procurement Division, USAF Headquarters Air Materiel Command, Wright-Patterson Air Force Base, Ohio, 1949-1954. Director of Materiel, Hughes Aircraft Company, Culver City, California, 1954-1958; Director of Sales, 1958-1959. Executive Vice President, Houston Fearless Corporation, Los Angeles, 1959-1960; President 19601962. President, Logistics Management Institute, Washington, D.C. 1962–.

Organizations: Member Armed Forces Management Association; Young President's Organization; Society of Logistic Engineers; Alumini Association, University of Dayton and UCLA; Advisory Board of National Contract Management Association; Advisory Board, Small Business Administration; American Legion; Knights of Columbus; Kenwood Country Club, Washington, D.C.; Moraine Country Club, Dayton, Ohio.

Address: 5004 Baltan Road, Sumner, Maryland 20016.

STATEMENT OF BARRY JAMES SHILLITO, TO BE AN ASSISTANT
SECRETARY OF THE NAVY VICE GRAEME C. BANNERMAN, RE-
SIGNED

Mr. SHILLITO. Thank you, Mr. Chairman.
It is an honor to be with you this morning.

My name is Barry Shillito. I was born in Dayton, Ohio, in January 1921.

I attended schools in Dayton, Ohio, up through the University of Dayton, and the beginning of World War II. My educational career was interrupted as a result of my enlisting in the service in World War II. I went through the Army Air Force and became an Army pilot during World War II. I went back to school after the war.

Concurrently with going back to school I was general manager of the Harris-Lincoln Supply Co., in Dayton, Ohio. This was primarily a production, welding, sales, and installation organization. I completed my undergraduate work in 1949.

In 1949 I also went to work at Wright-Patterson Air Force Base, became a contracting officer and section chief and chairman of the interceptor and fighter fire control systems phasing group, which is an operation somewhat comparable to our program management concept today. This operation was responsible for the acquisition and support of fire control systems for the Air Force.

In 1954 I went to Hughes Aircraft Co., became corporate director of materiel for Hughes, and director of administration for Hughes. In 1958 I became director of marketing for Hughes Aircraft Co., and completed the advanced management program in UCLA also in 1958.

In 1959 I became executive vice president and shortly thereafter president of the Houston Fearless Corp. and had been in that capacity prior to joining the Logistics Management Institute in 1962. I have been president of the Logistics Management Institute since 1962. LMI is a factfinding research, study organization, primarily economics, mathematics, and industrial engineering oriented. We have been doing work for the Department of Defense since late 1961.

I live in Sumner, Md., with my wife of 25 years, and five children. As far as securities, I gave the committee a statement of my holdings, and listed five securities, and have made arrangements with counsel as regards one of these securities. I plan to obtain release of an investment letter that I have with regard to this one security, even though the company involved does not presently do business with the Department of Defense. Indications are that they may be doing business with the Department of Defense in the not too distant future. I am making arrangements, therefore, to obtain a release on this investment.

Chairman RUSSELL. Your background experience would seem to fit you admirably for this position, Mr. Shillito.

Have you any fixed limitation on your service here? Do you plan to stay here 1 year, 2 years?

Mr. SHILLITO. No, sir; I don't. If confirmed, I will be severing my relations with LMI, both as its president and as a member of its board of directors.

Chairman RUSSELL. Thank you very much, Mr. Shillito.
Mr. SHILLITO. Thank you very much, sir.

(The nomination of Mr. Shillito to be an Assistant Secretary of the Navy was subsequently approved by the committee in executive session and confirmed by the Senate on April 8, 1968.)

NOMINATION OF WILLIAM K. BREHM, TO BE AN ASSISTANT SECRETARY OF THE ARMY (MANPOWER AND RESERVE AFFAIRS)

Chairman RUSSELL. The next nominee is Mr. William K. Brehm of Michigan, to be an Assistant Secretary of the Army.

Please give us a brief biography and an indication of whether you have any securities in companies doing Defense business.

(The nomination reference and report and the biographical data follow :)

NOMINATION REFERENCE AND REPORT

IN EXECUTIVE SESSION,
SENATE OF THE UNITED STATES,
March 26, 1968.

Ordered, That the following nomination be referred to the Committee on Armed Services:

William K. Brehm, of Michigan, to be an Assistant Secretary of the Army.

WILLIAM KEITH BREHM

Present position: Deputy Assistant Secretary of Defense (Land Forces Programs)

Home address: 8957 Colesbury Place, Fairfax, Virginia 22030
Born: Dearborn, Michigan, March 29, 1929

Martial status: Married to Delores Soderquist. Two children: Eric, born January 11, 1957; Lisa, born August 13, 1959

Education: B.S., 1950, University of Michigan, with honors; M.S., 1952, University of Michigan

Positions held:

Oct 1950-Apr 1952: Research Associate, Engineering Research Institute, University of Michigan, Ann Arbor

Apr 1952-Jan 1958: Design Specialist, Engineering Department, Convair, San Diego, California

Jan 1958-Dec 1959: Chief of Operations Analysis, Convair (Astronautics), San Diego, California

Dec 1959-Sep 1961: Executive Staff Assistant to the Vice President (Planning), Convair Division, General Dynamics Corporation, San Diego, California

Sep 1961-Aug 1962: Director, Advanced Product Planning, General Dynamics/Astronautics, San Diego, California

Aug 1962-Oct 1964: Corporate Director, Development Planning, North American Aviation, Inc., El Segundo, California

Oct 1964-Oct 1967: Director, Land Forces Division, Office of Deputy Assistant Secretary of Defense (General Purpose Programs), Office of the Assistant Secretary of Defense (Systems Analysis)

Oct 1967-to date: Deputy Assistant Secretary of Defense (Land Forces Programs), Office of the Assistant Secretary of Defense (Systems Analysis)

STATEMENT OF WILLIAM K. BREHM, TO BE AN ASSISTANT SECRETARY OF THE ARMY

Mr. BREHM. Thank you, Mr. Chairman.

I was born in Michigan in 1929.

I was educated in that State, attending the University of Michigan, from which I received a master's degree in mathematics in 1952.

During my graduate work, I held a full-time position with the engineering research institute of the university, during which time I worked on operations analysis studies in support of a subcontract to the Boeing Co. on the Bomarc missile program.

Following my graduation in 1952 Mrs. Brehm and I were married and moved to San Diego, Calif., where I accepted a position with the Consolidated Vultee Aircraft Corp. For the next 5 years I worked in the field of operations analysis on such programs as the F-102 manned interceptor and the Atlas ICВМ.

In 1957 I was asked to become chief of operations analysis at the newly formed Astronautics Division of Convair, and during that time I organized a group of operations analysts. There my work was devoted primarily to studying the effectiveness of the Atlas ICBM and its basing concepts.

In 1959 I was asked to become assistant to the vice president of planning for Convair in the Convair general offices in San Diego, and there I continued to work in the general operations analysis field, expanded in scope to include the broader planning problems of the corporation.

In 1962 I accepted a position at North American Aviation as corporate director of development planning. About a year after that I received a call from Dr. Alain Enthoven, head of Systems Analysis in the Office of the Secretary of Defense, who invited me to come to Washington. Then after 8 or 9 months of soul searching I decided to leave industry and to join the Office of the Secretary of Defense. Dr. Enthoven asked me to organize a land forces team for analysis of Army and Marine Corps programs, which I did, and 3 years later, last October, I was promoted to Deputy Assistant Secretary of Defense for Land Forces.

Two topics on which I have worked in the last 3 years I think might be of interest in regard to this nomination.

I worked very closely with the Army to develop a system for displaying and reviewing manpower requirements. Manpower programing has become very complex and difficult task as a result of our support of the war in Southeast Asia. I think we have made a great deal of progress, although we have a long way to go in that regard.

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The other task on which I worked closely with the Army was the broad force structure program for the reorganization of the Reserves. My task there, in working with the Army, was to try to see that we did in fact have the one-Army concept, in which the divisions in the Reserves had their full measure of support in the way of support forces, and that the Reserves also had the support forces necessary to round out the Active Army.

During the past 312 years I have developed a very deep respect for the Army. I am looking forward very much to this opportunity of working even more closely with them.

I filed a statement concerning my outside interests. I have no stockholdings or other affiliations which in any way could cause a conflict in interest. Thank you, Mr. Chairman.

Chairman RUSSELL. Mr. Brehm has filed a letter with the committee. It indicates that he has cleared himself of any conflict of interest in fiscal holdings with the attorney for the Department of Defense and there is no conflict whatever in that respect.

Your principal connections with the Reserve organizations have been in the last two positions you have held? Mr. BREHM. Yes, that is true. Chairman RUSSELL. Senator Stennis.

Senator STENNIS. Mr. Chairman, I did want to ask this gentleman a few questions, and I will be as brief as I can.

Of course, you are familiar with the terms of H.R. 2, the law passed last year, with reference to Reserves.

Mr. BREHM. Yes, Senator.

Senator STENNIS. We in Congress feel we have had a rather hard time getting the Reserves recognized, getting them a place in the sun, and their program considered. The other view may be that some