OPERATING ECONOMY SURVEY 973

Under the direction of James J. Mclntyre of Baltimore, the study
group known as the Governor's Operating Economy Survey was cre-
ated by the Governor to take a close, hard look at State government
operations and recommend economies that can be made.

"The rising demand for additional State services has sharply in-
creased the cost of government, " the Governor said. "With the State
experiencing a revenue crisis and with our taxpayers already over-
burdened, it is imperative that we receive a dollar's worth of goods
and services for every dollar we spend. "

The Governor met with the study group in his Annapolis office
this morning and noted that the private sector of our economy has
increased profits by reducing waste and inefficiency. "I believe, " he
told the group, "that your knowledge of the methods and practices
of modern business procedures will result in recommendations which
will enable the State to operate more efficiently and effect substantial
savings. "

A nine member Executive Committee will direct the operations of

the 75-niember study group. The Executive Committee is composed of
the following members:

James J. Mclntyre, Partner-in-Charge of the Baltimore Office, Price

Waterhouse 8c Co.

Austin E. Penn, Chairman of the Board, Baltimore Gas & Electric

Company

Nicholas V. Petrou, President, Westinghouse Defense and Space

Center

Tilton H. Dobbin, President, Maryland National Bank
Curt H. Heinfelden, President, Baltimore Life Insurance Company
Henry J. Knott, Chairman of the Board, Arundel Corporation
W. Arthur Grotz, President, Western Maryland Railway Company
Robert L. Tate, Chairman of the Board, Tate Industries, Inc.
John E. Weyer, Chairman of the Board, Union Trust Company

The study group will be divided into survey teams which will look
into six specific areas of the executive branch of State government.
The primary concern of the survey teams will be with administrative
and operating procedures. Professional functions within departments
will not specifically come under review, but if in the course of the
study certain functions in this area are found to be adversely affecting
operating costs they will be pointed out in the final report. The sur-
vey is being underwritten entirely with private funds and is expected
to take between six and eight months.