# oversight

## Award of Grant by the San Francisco Operations Office of the U.S. Energy Research and Development Administration for the Energy Awareness Project

Below is a raw (and likely hideous) rendition of the original report. (PDF)

```                          DOCUMENT RESUME
0410u - f b'I14372]              ..

f Award of Grant =by the San Franzisco Cperationx-Oice  ot the
U.S. Er.erqy Research and Development Administraticn tor the
Energy Awareness Project]. EMD-78-14; B-178126. October 28,
1977, 3 pp. + 4 enciosure~ (16 pp.).

ieprrt to Rep. James M. Jeffords; Sen. Henry B. Jackson; San.
John A. Durk.n;
Contact: Energy and Minerals Div.
Budqet Function: Natural Resources, Environment, and anergy
(360)
organization Concerned: California Council for Envirenmenval anc---
Econom;ic Balance; Departaent of nergy~; i'--eqy searsAlr- and-
Rep. James M. Jeffords; Sen. Henry M. Jackson; Sen. John A.
Durkin.

The Energy Researct and Development Administration
(ERDA) awzrded a grant to the California Council fcr
snvironmental and Economic Baiance ±cx the purpose of increasing
awareness ot the national and local energy situatio)j, includingc
needs, issues, prooleas, and opportnnities, among various groups
throughout California. life grant was referred to as the Energy
Awareness Project- Ten seminars held under the grant were
intended to provide an overview of the energy situation
naticnally and in California and to provida resource materials
to seminar attendees so tnat they could continue energy
education in their own communities.    Findings/fonclusicns: There
was no evidence that Federal funds were used imprcperly cr to
perform lobbying activities. Intsrviebs with seminar attendees
and review of the seminar handout materials did not indicate
that the seminar-. were presented in a biased manner or that the
att-'   s were encouraged to contact their elected
-.
:-present .tives in order to support the administration's energy
proposals. The selection of the council for the project could be
auestloned from a public relations aspect since the council's
stance iL previous energy matters clearly estaklished them as
pror.uclear. While project funding sources bithin EPDA were
identuliable, the justifications used for transferring project
funds did not adequately or fairly reveal the real purpose for
waicni these unds were to Le used. (SC)
\5\D   ~\   {f{{5;7S;UNITED   STATES GENERAL ACCOUNTING OFFICE
WASHINGTON, D.C. 206 d

ENERGY AND MINERALS
DIVISION

B-178726                                  OCT 2 E 1977

The Honorable Henry M. Jackson
The Honorable John A. Durkin
United States Senate
The Honorable James M. Jeffords
House of Representative:
In letters dated October 4, 1977, and September 21,
1977, you requested that we examine the circumstances sur-
rounding a grant awarded by the San Francisco Operations
Office of the U.S. Energy Research and Development Adminis-
tration 1/ (ERDA). The stated purpose of the grant was to
increase awareness of the national and local eneray situation
-- needs, issues, problems, and opportunities--among various
groups throughout California. The grant is referred to as
the Energy Awareness Project.
The grant was funded by ERDA and the Federal Energy
Administration in the amount of \$103,250 and was awarded to
the California Council for Environmental and Economic
Balance (CCEEB) in February 1977. CCEEB subcontracted the
main aspects of the project to Solem and Associates, which
was responsible for setting up the seminars and obtaining the
necessary speakers. CCEEB also subcontracted with Binngere
Associates Ltd., to coordinate project activities in southern
California.
Between May 19 and September 20, 1977, 10 seminars were
held with various groups in northern and southern California.
These sessions were intended to provide (1) an overview of
the energy situation nationally and in California, and
(2) resource materials to seminar attendees so that they
could continue energy education in their own communities.

l/The Energy Research and Development Administration is now
part of the new Department of Energy (DOE). Since most of
the activities discussed in this report occurred when ERDA
was a separate agency, we will continue to refer to ERDA,
rather than DOE.

EMD-78-14
(990516)
B-178726

These seminars were attended by public officials, community
leaders; and education, agriculture, media, and public inte-
rest groups. While all seminars planned under the project
have been held, evaluation and analysis of the project as
initially planned by the Energy Awareness Project Steering
Committee is still continuing with no specified date for com-
pletion.

In your letter you were concerned that the grant may
have been awarded for improper purposes, including possible
use of appropriated funds to lobby the Congress on legisla-
tive matters.

We found no evidence that Federal funds were used improp-
erly or to perform lobbying activities. We arrived at this
conclusion after

-- evaluating and reviewing the proposal, final
grant documents, and other related correspond-
ence;

-- interviewing attendees from 9 of the 10 seminars
and reviewing seminar agenda and evaluations;
and

-- interviewing responsible officials from ERDA,
CCEEB, Solem and Associates, and members of the
Energy Awareness Project Steering Committee.

We consider our interviews with seminar attendees as
"the bottom line"--the most critical and important factor in
determining whether lobbying was attemited.  From these and
other interviews and review of seminar handout materials, we
found no evidence that the seminars were presented in a
biased manner or that attendees were encouraged to contact
their elected representatives in order to support the Adminis-
tration's energy proposals.

However, we did note certain areas that we did not
follow up on durinri. ur review because of time constraints
which you may want to pursue with ERDA officials. These
include ERDA's (1) logic for approving the grant to CCEEB
in light of CCEEB's prior pronuclear stance and (2) internal
procedures and justification used for funding the grant.
While CCEEB originated the idea for the grant and submitted
an unsolicited proposal for the project to ERDA, CCEEB's
stance in previous energy matters has clearly established
it as pronuclear.

2
B-178726

Since the purpose of this project was to present On
unbiased, balanced presentation on the energy situation,
the selection of CCEEB for the project can be questioned
from a public relations aspect. Also, while we were able to
identify the project funding sources within ERDA, we were
not totally satisfied that the jutirfications used for trans-
ferring project funds adequately or fairly revealed the real
purpose for which these funds were to be used. Specifically,
\$28,250 was transferred for the project from the Assistant
Administrator for Yuclear Energy (ANE) in June 1977, but
ERDA did not cite the project as the reason for the transfer.
Rather, ERDA reported that the funds were to be used for
securing consultant work in the program support area. Because
of ERDA's limited documentation and inability to adequately
explain its actions, we were unable to resolve this issue in
the time available. Also, the Management Coordinator, ANE,
who located and transferred the funds did not know that they
were to be used for the Energy Awareness Project.

In the enclosures to this letter, we present more
detailed information on certain aspects of our review in
which you expressed interest. They include (1) a detailed
chronology of data leadirg up to the award and implementa-
tion of the grant in enclosure I, (2) funding sources for
the project in enclosure II, (3) a listing of sessions held,
in enclosure III, and (4) a listing of Board of Directors,
CCEEB, in enclosure IV.

needed to obtain written agency comments on the matters
discussed in this report.

Monte Canfield    r.
Director
Enclosures - 4

3
ENCLOSURE I
ENCLOSURE I

THE ENERGY AWARENESS PROJECT
September 1976       - ERDA held a public meeting in San
Francisco to obtain public comment on
their National RD&D Plan at which time
they emphasized the need for keeping the
public aware of the energy situation.
This was one of a series of public
meetings held by ERDA across the country
for this purpose.
November 3, 1976    - As a result of the public meeting in San
Francisco, Mike Peevey, Executive Direc-
tor, CCEEB, (who was a member of the
steering committee extablished by ERDA
for holding that public meeting) wrote a
letter to Robert D. Thorne, Manager, ERDA
San Francisco Oper£tions Office, out-
lining a program to increase awareness
of energy problems and prospects among
selected California groups and to explain
the responsibility and role of ERDA (and
others) in dealing with these problems
and prospects. The program was to be
carried out by a series of meetings to
be held with 1,.dders of various opinion-
making and opinion-influencing groups
throughout California during the spring
and summer of 1977.

The letter contained language which could
meeting would encourage participants to
write their congressmen in support of
specific legislation, pass resolutions,
write letters to the editor, phone in to
November 19, 1976 - CCEEB submitted an unsolicited
proposal
to the ERDA San Francisco Operations
Office requesting a grant to fund a
series of energy awareness seminars.
The same language used in the letter to
Robert Thorne was incorporated in the
proposal document.
January 14, 1977    - A memorandum to the Assistant Administra-
tor for Environment and Safety, ERDA,

4
ENCLOSURE I                                       ENCLOSURE I

from his Special Assistant, pointed out
several of the author's misgivings about
the proposed grant to CCEEB. The Special
Assistant stated that he believed such
an effort to be ill conceived and mis-
directed. He further stated that on the
basis of the CCEEB outline, the project
appeared to be an excellent plan for one
of the greatest political "boondoggles"
of modern times.
January 27, 1977   - In a letter to Robert Thorne, Manager,
San Francisco Operations Office, the
Sierra Club, pointed out its concerns
about awarding the grant to CCEEB based
on CCEEB's history of strong opposition
to environmental legislation and firm
support for nuclear power. The letter
also pointed out that CCE5i led the
industry attack on the California Nuclear
Safeguard Initiative (Proposition 15).
February 7, 1977   - Robert Thorne became Acting Assistant
Washington, D.C.

Don Reardon, Deputy Manager, San Francisco
Operations Office, ERDA, became Acting
Manager, San Francisco Operations Office.

Joe LaGrone, Program Officer, San Fran-
cisco Operations Office, ERDA, be. lme
Acting Deputy Manager, San Francisco
Operations Office, ERDA.
February 9, 1977   - The grant was executed by Don Reardon,
Actinq Manager, San Francisco Operations
(,ffice. The stated purpose of tnis grant
was to increase awareness of the energy
situation--needs, issues, problems, and
opportunities--among various groups
throughout California and to increase
feedback from these groups and others
for use as input to local and national
ERDA energy and energy-related initia-
tives. ERDA was responsible for manag-
ing this grant.

The program 4-r this grant was to consist
of a series of meetings with the leaders

5
ENCLOSURE I
ENCLOSURE I

o0 specified California groups. The
grantee was to seek sponsorship and sup-
port from a broad range .f California
groupt and officials. CCEEB, in consul-
tation \ith ERDA, FEA, and other spon-
.soring groups, would plan all necessary
arrangements for thy 'eetings. Tne pro-
gram was to be carried out with the
assistance of a steering committee whic,
would help to formulate meeting objec-
tives and develop follow up activities.
The steering committee was to be com-
prised of a representative cross section
of the groups for which the seminar was
to be conducted. Each meeting was to
be broad in scope, tailored to the groups
being addressed, and organized to maxi-
mize attendance. The goals and agenda
for each meeting were to be formulated
by the grantee in conjunction with the
steering committee and submitted in
sufficient time for review and comment
by ERDA.

The grant called for a phase I and an
optional phase II. Phase II would be
used to conduct additional meetings with
students, homeowners associations, and
senior citizens. ERDA has not decided
whether there will be a phase II. Phase
I was to cover the period from February 9,
1977, through August 9, 1977. During
this period the grantee was to prepare
and conduct 10 to 12 separate meetings.
The estimated funding for phase I was
\$88,25C. The grant was modified to
increase the period covered by phase I
to September 30. 1977, and funds obli-
gated to the grant were increased to
\$103,250. A breadkown of the sources
of funds applied for phase I of the grant
is as follows:

ERDA

Nuclear Energy (ANE)         \$ 58,250

6
ENCLOSURE I
ENCLOSURE I

ERLJA (con. )
Office of Public Affairs (OPA)     \$ 20,000
Planning, Ana,    ;, and
Evaluation (APA                    10,000
FEA

Region 9 office in San Francisco    15,000
Total                        \$103,250
(See enc. II for a more detailed analysis
and explanation of the funding sources for
the grant.)

The language in the proposal submitted
to ERDA by CCEEB, on November 19, 1976,
which may have been misunderstood and
construed to imply that the seminars
would be used to encourage participants
to lobby the Congress on legislative
matters, was not used in the final grant
document. ERDA officials told us that
the language was deleted specifically so
that there would be no misunderstanding
of the grant's intent.
April 25, 1977   The Council issued a press release
publicly announcing the start of the
Energy Awareness Project. According to
the announcement, the project was to con-
sist of a series of energy seminars to be
held throughout California to " * * *
present an overview of energy problems
and alternatives and provide in-depth
resource materials and tools for seminar
participants to continue the energy edu-
cation program within their own communi-
ties." The announcement stated that
seminars were to be held with education,
agricultural, and public interest groups;
leaders; labor union officials; and public
officials.

CCEEB entered into a subcontract with
Solem and Associates, public relations
consultants, to carry out statewide

7
ENCLOSURE I                                      ENCLOSURE I

direction of the project including
providing experienced personnel and
staff operation facilities; researching
and preparing seminar program content;
researching and preparing resource books
for seminar participants; seminar sched-
uling, logistics and arrangements; iden-
tifying, inviting, and working with
seminar participants; recruiting and
working with steering committee members
and individual seminar task forces on
overall program and individual seminar
content; developing and implementing
publicity regarding overall project and
individual seminars; and designing semi-
nar follow up and measurements of pro-
gram success.
June 3, 1977      - Letter amending original letter of agree-
ment between Binngere Associates, Ltd.,
and CCEEB whereby Binngere Associates,
Ltd., would provide professional services
for coordinating project activities in
southern California.  (We did not obtain
the original letter.)
October 6, 1977   - Don Reardon, Acting Manager, San Fran-
cisco Operations Office, left ERDA for
a 2-year assignment with the Department
of State.

Joe LaGrone became Acting Manager, DOE
San Francisco Operations Office.

8
ENCLOSURE II                                        ENCLOSURE II

SOURCES OF FUNDS FOR ENERGY AWARENESS PROJECT

We were told by the Acting Manager, San Francisco
Operations Office, that the following groups within ERDA
were requested to provide funds for the project:

-- Assistant Administrator for Nuclear Energy.

--"Assistant AdminisCrator for Environment and Safety.

-- Asristant Administrator for Planning, Analysis,
and Evaluation.

-- Office of Public Affairs.

Of these groups, only the following provided funds.

Amount of funds
Group                         provided
Nuclear Energy (ANE)                    \$58,250
Office of Public Affairs (OPA)             20,000
Planning, Analysis, and
Evaluation (APAE)                        10,000
The Acting Manager, San Francisco Operations Office, told us
that the Conservation Group did not provide funds because it
the Environment and Safety Group did not provide funds
because of its concerns with the initial project proposal.

The Federal Energy Administration (FEA) provided \$15,000
for the project. These funds came from FEA's Region 9 Office
in San Francisco.

The total current funding for the project is \$103,250.

Following is a breakdown of funding for the project by
source of funds, reason for transfer (as stated in agency
transfer documents), principal agency officials contacted,
and explanation of transaction as provided by these officials.

9
ENCLOSURE II                                        ENCLOSURE II

I.          Source of funds                  Amount
for Nuclear Energy:

April 1977 transfer               \$30,000
June 1977 transfer                 28,250
\$58,250
Reason for transfer (as provided in transfer documents):
April 1977 - Assessment of the economic and environ-
mental implications of energy development.
June 1977     - To be used for securing consultant work in
the program support area.
Principal ERDA officials contacted:
1.    Management Coordinator, Assistant Administrator for
Nuclear Energy (ANE)
2.    Deputy Assistant Administrator for Field Operations
3.    Acting Deputy Manager, San Francisco Operations
Office (currently Acting Manager)
Explanation for transfer as provided by ERDA officials:
April 1977.- ANE received a request from the San Fran-
cisco Operations Office for \$30,000 for
partial support of the CCEEB grant. The
request was reviewed by an ANE board that
reviews requests for monetary assistance.
The board felt that the proposal was
worthy of support and provided \$30,000.
June 1977    - By letter dated June 27, 1977, addressed
to Robert Thorne, Acting Assistant Adminis-
trator for Nuclear Energy, from the Deputy
tions, \$30,000 was requested for use in
securing some consultant work in the pro-
gram support area. According to the
Management Coordinator, ANE, who is also
on the review board, he ago instructed
to locate and transfer avaiaitle funds
to Field Operations. In addition, he
stated that this request did not receive

10
ENCLOSURE II                                       ENCLOSURE II

board review and he was not aware that
the money was being provided for CCEEB.
EuL could not remember specifically who
instructed him co provide the money to
Field Operations. Of the \$30,000
requested, only \$28,250 was obligated.

We were told by officials in San Franrisco
that they do not know why Field Operations
requested funds for consultant work in the
program support area whereas the funds
were actually going to be used in support
of the CCEEB grant.

IfI              Source of funds              Amount

Office of Public Affairs (OPA):

March 1977 transfer               \$10,000
September 1977 transfer            10,000
\$20,000

Reason for t.nsafer (as provided in transfer documents):

Mar.h 1977        - To cofund a grant to the California
Council for Environmental and Economic
Balance for a series of symposia on
energy awareness.
September 1977 - To increase an existing grant to tFe
CaJiforniA Council for Environmental
and Economic Balance.

Principal ERDA officials contacted:

1.    Assistant Director for Public Services, OPA

Explanation for transfer as proviaed by ERDA official:

March 1977        - OPA provided \$10,000 to help cofund
the CCEEB grant.

September 1977 - San Francisco Operations Office
close 'ut phase I of the CCEEB project.
OPA was able to provide the funds
because two public meetings had been
postponed.  \$5,000 of these funds were
not applied to the project and were

11
ENCLOSURE II                                      ENCLOSURE II

eventually transferred to a solar
heating, public information project.

III.        Source of funds                  Amount
for Planning, Analysis,
and Evaluation (APAE):
March 1977 transfer                 \$10,000

Reason for transfer (as provided in transfer document):

March 1977 - To cover the cost of a California Council
on Energy and Environmental Balance StiAy.

Principal ERDA official contacted:
1.   Assistant Administrator for Planning, Analysis,
and Evaluation

Explanation for transfer as provided by ERDA official:

March 1977 - The Assistant Administrator, APAE, does
not remember any of the details sur-
rounding the request for funds for the
project. He stated that his Office was
involved in similar activities at the
time and that the CCEEB grant was an out-
come of the California public meetings.
He instructed the Budget and Admir'stra.
tive Officer, APAE, to locate and transfer
available funds.

IV.           Source of funds               Amount

Region 9 San Francisco               \$15,000
Reason for transfer:

To fund seminars to be conducted by California Council
on Environmental a~r Economic Balance.

Principal FEA official contacted:

1.   Acting Deputy Regional Representative, Department
of Energy, San Francisco Region 9

12
ENCLOSURE II                                    ENCLOSURE II

Explanation for transfer as provided by FEA official:
The Acting Deputy Regional Representative stated that
FEA provided funds for the Energy Awareness Project
because they felt that there was a need for a public
information program dealing with the current energy
situation, and that the project appeared to be a good
vehicle for that purpose.

13
ENCLOSURE III                                   ENCLOSURE III

LIST OF ENERGY AWARENESS PROJECT SEMINARS HELD

1.   Northern California Education Seminar - San Francisco,
California (May 19, 1977)

2.   Los Angeles Education Seminar - Los Angeles, California
(May 23, 1977)

3.   Northern California Public Interest Groups Seminar - San
Francisco, California (July 23, 1977)

4.   Statewide Public Officials Seminar - Los Angeles,
California (July 27, 1977)

5.   Northern California Community Leaders Seminar - San Fran-
cisco, C;tlifornia (August 6, 1977)

6.   Los Angeles Community Leaders Seminar - Los Angeles,
California (August 20, 1977)

7.   Agricultural Energy Conference - Fresno, California
(September 1, 1977)
8.   San Francisco Media Seminar - San Francisco, California
(September 9, 1977)

9.   Los Anaeles Public Interest Group Seminar - Los Angeles,
California (September 10, 1977)

10.   Los Angeles Media Seminar - Los Angeles, California
(3eptember 20, 1977)

14
ENCLOSURE IV                                      ENCLOSURE IV

LISTING OF BOARD OF DIRECTORS OF CALIFORNIA COUNCIL

FOR ENVIRONMENTAL AND ECONOMIC BALANCE 1/

Joseph E. Baird, £resident, Occidental Petroleum Corporation,
Los Angeles

George T. Ballou, Vice President, Standard Oil of California,
San Francisco
Thcrnton F. Bradshaw, President, Atlantic Richfield Company,
Los Angeles

W. Dean Cannon, Jr., Executive Vice President, California
Savings & Loan League, Los Angeles

J. Howard Edgerton, Chairman, California Federal Savings,
Los Angeles

W. W. Finley, Jr., President, General Atomic Companies, San
Diego

J. E. Goetz, Vice President, Westinghouse Corporation, San
Francisco

Jack K. Horton, Chairman, Southern California Edison Company,
Preston B. Hotchkis, President, Bixby Ranch Company, Los
Angeles

L. E. Hoyt, Vice President, Southern Pacific Company, San
Francisco

Jack Jones, Manager, Dow Chemical USA, Pittsburgh

J. W. Komes, Vice Chairman, The Bechtel Group, San Francisco

H. M. Lawson, Regional Vice President, General Electric
Company, San Francisco

1/Source:   California Council for Environmental and Economic
Balance

15
ENCLOSURE IV
ENCLOSURE IV

Edwin Meese, III, Executive Vice President, Rohr
Industries,
Chula Vista

Paul A. Miller, Chairman, Pacific Lighting Corporation,
Angeles                                               Los

Robert E. Morris, President, San Diego Gas & Electric
Company,
San Diego

Barry E. Scherman, Vice President, Hofmann Company,
Concord
Shermer L. Sibley, Chairman, PG&E Company, San Francisco

Raymond L. Watson, President, Irvine Company, Newport
Beach
Leopold S. Wyler, President, TRE Corporation, Los
Angeles
LABOR

M. E. Anderson, International Director, Western Conference
of Teamsters, Burlingame

James B. Booe, District 9 Vice President, Communication
Workers of America, San Francisco

M. B. Bryant, Member, General Executive Board,
United
Brotherhood of Carpenters, Sacramento
Al Caples, Business Manager, Sacramento Building
and Construc-
John A. Cinquemani, Executive Secretary-Treasurer,
Angeles Building and Construction Trades Council Los

Jack T. Cox, General Vice President, International
hood of Painters and Allied Trades, Irvine       Brother-

John F. Crowley, Secretary-Treasurer, San Francisco
Council                                           Labor

Robert Geisick, Business Manager, Hotel, Restaurant
Joint Executive Board, Los Angeles                Employees

Kenneth G. Hahn, Executive Secretary-Treasurer,
Ventura
Building and Construction Trades Council, Ventura

Pete Kurbatoff, President, Teamsters, Joint Council
Los Angeles                                       No. 42,

16
ENCLOSURE IV                                    ENCLOSURE IV

James S. Lee, President, State Building and Construction

Leo L. Mitchell, Business Manager, Local 1245, International
Brotherhood of Electrical Workers, Walnut Creek

Leslie C. Parker, Executive Secretary, San Diego County
Council of Carpenters

Anthony L. Ramos, Executive Secretary-Treasurer, California
State Council of Carpenters, San Francisco

R. R. Richardson, Executive Secretary-Treasurer, San Diego-
Imperial Counties Central Labor Council

William R. Robertson, Executive Secretary-Treasurer, Los
Angeles County Federation of Labor

Robert Simpson, Vice President, International Association of
Machinists, Long Beach
James J. Twombley, Regional Director, Western Conference of
Operating Engineers, San Mateo

Mason M. Warren, Regional Manager, Laborers' International
Union, Los Angeles

Jerry Whipple, Director, Region 6, United Automobile Workers,
Los Angerles

PUBLIC

Edmund G. Brown, Attorney, Los Angeles

Emory C. Curtis, Consultant, San Francisco

Katherine Dunlap, Civic Leader, Los Angeles

Ralph D. Fertig, Executive Director Community Action Agency,
Los Angeles
Albert W. Gatov, Consultant, San Francisco

Paul R. Haerle, Attorney, San Francisco

Werner Z. Hirsch, Professor of Economics, UCLA, Los Angeles

Patricia Hitt, Civic Leader, Orange County

17
ENCLOSURE IV                                    ENCLOSURE IV

Harold R. Hochmuth, Vice President, Califronia Natural
Resources Federation, Santa Rosa

Eugene Jacobs, Attorney, Los Angeles

Robert C. Kirkwood, Attorney, San Francisco

Daniel M. Luevano, Director, Western Center on Law & Poverty,
Los Angeles

Charles T. Manatt, Attorney, Los Angeles

Jack Edward McKee, Environmental Engineer, Pasadena

Robert F. Miller, Attorney, San Francisco

James L. Mulloy, Assistant General Manager, Los Angeles
Department of Water and Power

Rosemary Park, Professor Emeritus, UCLA, Los Angeles

Robert Pauley, Civic Leader, Los Angeles

Robert V. Phillips, Civi: Leader, Los Angeles

Glenn T. Seaborg, University Professor of Chemistry, Univer-
sity of California and Associate Director, Lawrence Berke-
ley Laboratory
OFFICERS

Edmvund G. Brown, Chairman

James S. Lee, Vice Chairman

Robert V. Vallera, Secretary

Thomas C. Ellick, Treasurer

BACKGROUND ON CCEEB

CCEEB is a not-for-profit corporation under California
law. According to the Internal Revenue Code, they are a 501
(c)(4) organization. This means that they are a non-profit
organization chartered to perform lobbying activities. They
do not pay taxes but organizations or individuals contri-
buting to them cannot deduct their contribution for income
tax purposes.

18
ENCLOSURE IV                                    ENCLOSURE IV

CCEEB is considered by many people as a pro-nuclear
organization. They were actively involved in trying to get
proposition 15 defeated. Also, Solem and Associates, who
CCEEB subcontracted to for most of the work under the grant,
was also actively involved in trying to defeat proposition
15.

Bob Vallera, who is on the Board of Directors of CCEEB
as Secretary, is also employed by the ERDA San Francisco
Operations Office as a full-time temporary employee with
the position of Associate for Consumer Representation. He
was appointed to that position in September 1976 and his
appointment expires in January 1978.  He is not a salaried
employee of CCEEB.

19
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