PROVIDING FOR THE APPOINTMENT OF CERTAIN PERSONS UNDER THE DEFENSE PRODUCTION ACT OF 1950 AND PRESCRIBING REGULATIONS FOR THEIR EXEMPTION FROM CERTAIN CONFLICT OF INTEREST STATUTES
By virtue of the authority vested in me by the Defense Production Act of 1950, approved September 8, 1950 (Public Law 774, 81st Congress), hereinafter referred to as the Act, it is hereby ordered as follows:
PART I
SECTION 101. (a) The head of any department or agency delegated or assigned functions under the Act pursuant to Executive Order No. 10161, of September 9, 1950, (1) is hereby delegated the authority provided by subsection 710(b) of that Act to employ persons of outstanding experience and ability without compensation. The authority delegated by this subsection 101(a) may not be redelegated.
(b) Such heads of departments or agencies are further delegated the authority provided by subsection 710(c) of that Act to employ experts and consultants, or organizations thereof.
(c) Such heads of departments or agencies are further delegated the authority provided by subsection 710(d) of that Act to utilize the services of Federal, State, and local agencies and to utilize and establish such regional, local, or other agencies, and to utilize such voluntary and uncompensated services as may from time to time be needed.
SEC. 102. The head of any department or agency delegated authority pursuant to subsections 101(a) and 101(b) of this Part shall be guided in the exercise of that authority by the following policies:
(a) So far as possible, operations under the Act shall be carried on by full-time, salaried employees of the Government, and appointments under this authority shall be to advisory or consultative positions only.
(b) Appointments to positions other than advisory or consultative may be made under this order only when the requirements of the position are such that the incumbent must personally possess outstanding experience and ability not obtainable on a full-time, salaried basis.
(c) In the appointment of personnel and in assignment of their duties, the head of the department or agency involved shall take steps to avoid, to as great an extent as possible, any conflict between the governmental duties and the private interests of such personnel.
SEC. 103. The authority delegated by subsection 101(c) to utilize at the regional and local levels voluntary and uncompensated services is not subject to the policies prescribed in section 102,. Such authority may not be exercised, however, to fill positions subject to the Classification Act of 1949.
PART II
SEC. 201. Any person employed under Part I of this order is hereby exempted, with respect to such employment, from the operation of sections 281, 283, 284, 434, and 1914 of Title 18, United States Code, and section 190 of the Revised Statutes (5 U.S.C. 99), except as specified in the following subsections:
(a) Exemption hereunder shall not extend to the negotiation or execution, by an appointee under this order, of Government contracts with the private employer of such appointee or with any corporation, joint stock company, association, firm, partnership, or other entity in the pecuniary profits or contracts of which the appointee has any direct or indirect interest.
(b) Exemption hereunder shall not extend to making any recommendation or taking any action with respect to individual applications to the Government for relief or assistance, on appeal or otherwise, under the provisions of the Act made by the private employer of the appointee or by any corporation, joint stock company, association, firm, partnership, or other entity in the pecuniary profits or contracts of which the appointee has any direct or indirect interest.
(c) In the case of appointments under subsections 101(a) and 101(b) hereof, exemption hereunder shall not extend to the prosecution by the appointee, or participation by the appointee in any fashion in the prosecution, of any claims against the Government involving any matter concerning which the appointee had any responsibility during his employment under this order, during the period of such employment and the further period of two years after the termination of such employment. In the case of appointments under subsection 101(c) hereof, exemption hereunder shall not extend to the prosecution by the appointee, or participation by the appointee in any fashion in the prosecution, of any claims against the Government growing out of any matter with respect to which the appointee was personally concerned in his official capacity during his employment under this order, during the period of such employment and the further period of two years after the termination of such employment.
(d) In the case of appointments under subsections 101(a) and 101(b) hereof, exemption hereunder shall not extend to the receipt or payment of salary in connection with the appointee's Government service hereunder from any source other than the private employer of the appointee at the time of his appointment hereunder.
(e) Exemption from sections 434 and 1914 of Title 18, United States Code, shall not extend to persons appointed as experts or consultants under subsection 101(b) hereof.
PART III
Sec. 301. Appointments under subsection 101(a) of this order shall be supported by written certification by the head of the employing department or agency:
(a) That the appointment is necessary and appropriate in order to carry out the provisions of the Act;
(b) That the duties of the position to which the appointment is being made require outstanding experience and ability;
(c) That the appointee has the outstanding experience and ability required by the position; and
(d) That the department or agency head has been unable to obtain a person with the qualifications necessary for the position on a full-time, salaried basis.
SEC. 302. The heads of the departments or agencies making appointments under this order shall file with the Division of the Federal Register (for public inspection but not for publication) a statement including the name of the appointee, the section of this order under which he was appointed, the employing department or agency, the title of his position, and the name of his private employer.
SEC. 303. All appointments under subsections 710(b), 710(c), and 710(d) of the Act shall be made under the terms of this order after the date hereof, and appointments heretofore made under those subsections of the Act shall be deemed for all purposes to have been made under this order upon compliance with the preceding sections of this Part.
SEC. 304. At least once every three months, the Chairman of the United States Civil Service Commission shall survey appointments made under this order and shall report his findings to the President and make such recommendations as he may deem proper.
HARRY S. TRUMAN
THE WHITE HOUSE,
November 21, 1950.
(1) Supra.