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FG 12 (Department of Treasury)

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Scope and Content Note

Files under the category FG (Federal Government-Organizations) are materials pertaining to matters such as the establishment, disestablishment, organization, reorganization, audits, inspections, investigations, locations, relocations, regulations, reports, appointments and endorsements to top positions in governmental agencies.

Subject file FG 12 materials pertain to the Department of Treasury and its subordinate offices. The principal correspondents are the President and White House staff members such as H.R. Haldeman, John Ehrlichman, Egil Krogh, John Whitaker, Bryce Harlow, Ken Cole, Arthur Burns, Paul McCracken, Daniel Patrick Moynihan, Herb Klein, Peter FLanigan, Dwight Chapin, William Timmons, Richard Cook, Jonathan Rose, Peter Peterson, Henry Kissinger, Murray Weidenbaum, Patrick O'Donnell, Richard Erb, Harry Flemming, Noble Melencamp, Anne Armstrong, and many others. Other main correspondents are Department of Treasury executives such as David Kennedy, John Connally, William Simon, George Shultz, Charls Walker, Eugene Rossides, James Rowley, Paul Eggers and Paul Volcker.

The terms Executive and General used before the code FG 12 and all subdivisions thereunder generally determine the source of the materials thus coded. Items designated Executive are communications among national, foreign, and state and local governments and their agencies, Members of Congress, and other prominent people. Items designated General are communications between Government officials and private citizens, institutions and other private interests. The topics filed under each category are generally similar.

The types of materials filed under FG 12 are incoming letters and memoranda; carbons and electrostatic copies of outgoing letters and memoranda; transmittal letters and memoranda for correspondence, reports and other items; telegrams; printed materials such as reports, brochures, and magazine reprints; preservation copies of newspaper and magazine clippings; and cross references to other file subjects.

Related materials may be found in White House Central Files subject files as follows:

BE Business-Economics
CM Commodities
FA Federal Aid
FI Finance
FO Foreign Affairs
JL Judicial-Legal Matters
SP Speeches
TA Trade
TR Trips
WE Welfare
WH White House Administration

FG 12 DEPARTMENT OF TREASURY

Materials filed under FG 12 pertain to activity at the level of the Office of Secretary. Documented are budget, personnel and administrative activities concerning meetings, specific programs and reports. Included among the latter are various annual reports to Congress as required by law, executive orders, special reports and studies by task forces and advisory groups. There are numerous references to meetings of CEA, CIEP, Quadriad and Troika which all concerned economic matters.

The following topics were found in this file: Administration and agency concern over taxes and tax policies; tax reform plans and legislation; the issue of income tax underwithholding; concern over value added tax; the use of tax incentives to encourage private enterprise; the surtax; and the Windfall Profits tax.

Present too in this sub-category were the subjects of the all-out efforts of the Administration to explain the new economic policy through dinners, meetings and speeches; creation of Gideon's Army which consisted of leading businessmen willing to speak and work in support of the Administration's economic policies; explanation by Administration officials of "Phase IV" programs.

Throughout the sub-category there are discussions about inflation, including discussions about the use of wage-price controls to stem inflation; the Wage-Price freeze; interest rate ceilings and debt ceilings; and the concern of the Administration, the business community and the general public over the rapid growth in the cost of living. There were mentions of problems with the Social Security program and a need for pension reform.

Deep concern over oil shortages was found in this sub-category and the topics of the oil and gas depletion allowances; the Trans-Alaskan pipeline; the "rollback" on crude oil policies; and lead additives in gasoline.

Reflected in the file are the efforts to stimulate U.S. exports by tax deferrals; consideration of problems with dumping; development of anti-dumping procedures; mention of the Volcker Group and sanctions; countervailing duties; the Treasury Study on Deterioration of U.S. Trade Balance; and concern over foreign investments in the U.S.

There were recommendations by the President's Advisory Council on Executive Organization to move the Bureau of Narcotics and Dangerous Drugs from Treasury to the Department of Justice; discussions and efforts to control the growing drug problems especially the flow of drugs from overseas.

Special subjects covered were revenue sharing; One Bank Holding Companies; issuance of the Eisenhower Dollar; Federal Home Loan Banks; funds for movie industry; use of minority banks; Guaranteed Student Loan Programs and the IRS rulings regarding exemptions for racially discriminatory private schools.

The following groups were formed during the Nixon Administration and appear in this sub-category: the Cabinet Committee on Economic Policy; the Council on International Economic Policy; the Cabinet Task Force on Oil Import Controls; the President's Task Force on Business Taxation; the Exchange Stabilization Fund and the Energy Emergency Action Group.

GEN FG 12

Many letters from the public expressing concern over tax reform, inflation, and energy shortages are found in this file. There are also numerous requests for the President and the Secretary of the Treasury to speak on economic topics such as oil policy and energy shortage, wage-price freeze and the Cost of Living Council.

FG 12/A APPOINTMENTS

Materials found here refer mainly to the major appointments in the Department of Treasury such as the selection of Secretary; David Kennedy, John Connally, George Shultz and William Simon; Under-Secretaries: Charls Walker, Paul Volcker; Assistant Secretaries: Edwin Cohen, Eugene Rossides, and Murray Weidenbaum; and General Council Paul Eggers. There are also resignation letters and plans for swearing-in ceremonies.

FG 12-1 APPOINTMENT OF SECRETARY AND STAFF OFFICIALS

Nothing of note.

FG 12-2 DEPUTY-UNDER SECRETARY

Empty.

FG 12-3 ASSISTANT SECRETARIES

Empty.

FG 12-4 COMPTROLLER OF THE CURRENCY, OFFICE OF THE

This file contains information on appointment of a replacement for William Camp.

FG 12-5 CUSTOMS, BUREAU OF

Located in this file are comments on hiring and retiring in several customs offices, the influx of drugs into this country, and some of the activities of the service. There are also discussions about the relationship of the Bureau of Narcotics and Dangerous Drugs to Customs, problems between Customs agents and the border police, and the relationship of Customs to the Bureau of Alcohol, Tobacco and Firearms. Letters of Presidential commendation to agents are found in this file.

FG 12-6 ENGRAVING AND PRINTING, BUREAU OF

Contains only information about appointments.

FG 12-7 FISCAL SERVICE

Numerous recommendations of individuals to be named Treasurer of the United States are found in this file. Following the death of Dorothy Elston Kabis, Ramona Banuelos was appointed Treasurer. There are many requests for her to speak. There are also letters sending in checks to be applied to the National Debt.

FG 12-7-1 TREASURER OF U.S., OFFICE OF

There are comments on appointments and recommendations. There are many invitations to social events.

FG 12-8 INTERNAL REVENUE SERVICE

This file contains recommendations for the position of Commissioner of the IRS including the appointment of Randolph Thrower. Throughout this file are requests for exemptions from taxation such as private schools that have racially discriminatory policies and public interest law firms. Concern over withholding is expressed. This file also contains correspondence concerned with the simplified tax form and tax audits. There are references to the IRS National Data Centers throughout the U.S. A Meeting of IRS leaders on oil company audits is mentioned.

FG 12-8/A APPOINTMENTS

This file contains the resignation of Randolph Thrower and the nomination of Johnnie Walters as Commissioner. When Walters resigned Donald Alexander was appointed. Also included are the resignation of Chief Counsel Lee Henkel and the appointment of Meade Whitaker.

FG 12-9 LEGAL DIVISION (GENERAL COUNSEL)

This file contains the selection of Sam Pierce to be general counsel.

FG 12-10 MINT, BUREAU OF THE

Correspondence concerns the striking of the Presidential medal series, issuing the Eisenhower dollar, the needs of the Mint for copper, efforts to preserve and restore the San Francisco Mint building, requests to be put on the U.S. Assay Commission, and nominations to the Annual Assay Commissions. Other materials concern swearing-in ceremonies for the Director of the Mint and requests for the Directors to speak to groups. Since several of the directors were women there are also memos concerning top-level women in government.

FG 12-10/A APPOINTMENTS

Materials pertain to nominations of superintendents of the Mint such as Betty Higby, Mary Brooks, and Nicholas Theodore.

FG 12-10-1 UNITED STATES ASSAY OFFICES

Nominations of Superintendents of the U.S. Assay Offices are found in this file.

FG 12-10-2 ANNUAL ASSAY COMMISSIONS

There are appointments to the annual assay commissions in this file.

FG 12-11 SECRET SERVICE, UNITED STATES

Within these materials are formal requests for Secret Service protection for visiting foreign dignitaries, requests for passes to the White House complex, arrangements for trips, accreditation for members of the press, letters of commendation, concern over planned peace demonstrations and problems which developed between top aides and the Secret Service agents.

FG 12-11-1 EXECUTIVE PROTECTIVE SERVICE

Earliest materials concern the change of the White House Police force to the EPS which entailed an increase from 250 to 850 members. During the Nixon period the Embassy Protection Bill was passed by Congress. The EPS was assigned to protect foreign missions in New York. There are also letters of commendation and requests for jobs. One controversial issue caused a great amount of correspondence - the purchasing of new uniforms - from the general public and members of Congress.

FG 12-12 UNITED STATES SAVINGS BOND DIVISION

There are numerous requests for the President to meet with Payroll Savings Groups. There are also recommendations for chairmen of these groups and recommendations for Director of the Division such as Walter Johnson. Some references appear to show the Nixon Administration sought to dismantle this division.

FG 12-13 ENVIRONMENTAL FINANCING AUTHORITY

In this file are appointments to the Board of Directors of the Environmental Financing Authority.

FG 12-14 FEDERAL FINANCING BANK

There is the Executive Order establishing the Federal Financing Bank Advisory Council.

FG 12-14/A APPOINTMENTS

Contains appointments to the Board of Directors.

FG 12-14-1 FEDERAL FINANCING BANK ADVISORY COUNCIL

There is the announcement of the appointment to the Council of the Secretary of the Treasury who was acting Chairman. Also present is the Executive Order establishing the Council.

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