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by the General Services Administration and submitted to the National Capital Planning Commission.  No further action on this matter is anticipated at this time.

Every effort is being made to assure that the Museum Support Center is an energy efficient building.  The Institution and the General Services Administration are working together to attempt to use solar collection to provide heated air and water, and possibly electricity for lighting.

It is presently estimated that annual building operating expenses for the Museum Support Center will be approximately $2,300,000.  Initial funding will be included in the Institution's FY 1982 budget request, anticipating completion of construction in late fall of 1982.

[[underlined]]Quadrangle Construction[[/underlined]]

Development of the South Quadrangle, approximately 4.2 acres bounded by the Smithsonian Building, the Freer Gallery of Art, the Arts and Industries Building, and Independence Avenue is essential to the Freer Gallery of Art, our nation's most renowned museum of Oriental art and culture, and additionally is a singular opportunity to provide the Museum of African Art a building on the Mall.

Legislation, P.L. 96-36, that authorized planning of the Quadrangle project was enacted and signed by the President on July 20, 1979.  In FY 1979 approximately $160,000 of nonappropriated trust funds were used to develop a program of requirements, preliminary design concepts, and to collect various engineering and construction data.  It is anticipated that Quadrangle planning and construction, currently estimated to cost $49,110,000 over FY 1980-1984, will be financed from nonappropriated funds (gifts, donations, and unrestricted income) and appropriated sources.  The Institution expects to continue refining program and design concepts in FY 1980, and, if possible, an architectural/engineering firm will be selected to prepare preliminary plans.

As of this time, it is not practical to forecast the total amount of nonappropriated funds it will be possible for the Institution to raise for this project.  In April 1979, the Japanese government generously pledged $1,000,000 toward construction of the Asian Gallery.  Presently, much groundwork has been laid in meetings here with members and leaders of Asian and African organizations and governments, and the Institution is quite hopeful of raising significant sums.  Partial funding for this project with Smithsonian unrestricted nonappropriated funds appears to be possible and would demonstrate to others the strength of the Institution's commitment to the Quadrangle project.

For FY 1981, the Smithsonian anticipates a request to the Congress for authorization to complete planning and to construct the Quadrangle project.  Budget estimates for FY 1981 include the necessary appropriated