April 19, 1963

Honorable Ben F. Jensen
House of Representatives
Washington 25, Be Ca

Dear Ben,

I wanted you to know that I have kept in mind
your letter to me of

in the Washington Star

on the use of research grant funds awarded by the National
Institutes of Health. I had read the story also, since
as you well know, I am pretty alert to any references

to the programs to which I have directed so much of my
attention here in the Congress.

While the news story is accurate as far as it goes,
it by no means tells the whole story. The appropriation
subcommittee of which I am chairman, has just completed
its hearings on the PHS and NIH appropriation requests
for Fy 1964. We inquired thoroughly into the action
being taken by the PHS to strengthen its grant admini-~
stration and probed specifically for any evidences of
“waste” or other poor use of funds. I think you will
agree after reviewing these hearings that things are not
as bad as they are frequently painted, that there is
continued improvement in the conduct of these programs
and that allegations of “massive waste" are ridiculous.

As the story in the Star noted, an important
advance in the administration of these programs has been
the issuance by the PHS of a Manual to Facilitate the
Administration of Research and Training Grants. This
manual, I am informed, has been distributed to all grantee
institutions and its contents discussed thoroughly with
the responsible officials of these institutions.
- 2

The manual specifies clearly the responsibility of
all parties involved in the awarding and use of grant
funds: the PHS, the institution and the scientist. it
imposes major restrictions on the use of grant funds in
@ manner to assure their use for the purposes for which
they are given. It limits the use of funds for travel,
particularly international travel, and provides strict
procedures to be followed by an investigator in modifying
his budget plans after he secures his grant.

I think this arrangement will give us assurance that
funds are being carefully administered in these programs.
As for the statements you hear about “enormous waste” in
these programs, I am satisfied that this is untrue. The
best evidence of this is the fact that the National Institutes
of Health has turned back each year savings from their
appropriations in very substantial amounts which were
left unexpended because there was neither time nor
opportunity to utilize them wisely.

I appreciate your interest in these matters, and
‘wemember your many contributions when you were on the
subcommittee. I am glad you are with me in taking a hard

and constructive look at these programs because I think

much harm can be done by not establishing the facts accurately.

With warmest personal regards,
Sincerely,

John E, Fogarty
Member of Congress