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the nation.  The Committee has received approximately 235 names of candidates and it now faces the task of identifying individuals who seem most worthy of further consideration.

[[underlined]]Report of the Audit and Review Committee[[/underlined]]

The Committee met on May 19, 1983 and received a report of the Institution's major television project, Smithsonian World.  After viewing a 15-minute segment of the show featuring Hirshhorn Museum Director Lerner on the "language" of modern art, the Committee expressed optimism that the show will broaden the Institution's educational outreach.  The Committee also received a brief report on other television and film projects of the Office of Telecommunications.

The Committee discussed several recommendations to introduce a greater degree of scheduling and formality in the review of employees' annual statements of financial interests as a means of ensuring greater accountability.  To enhance current procedures the Personnel Committee will review the forms, procedures, and criteria established for the filing and review of financial interests reports of staff; the Secretary/Under Secretary will participate in the Office of General Counsel review of reports from museum directors and other principal program units; the Secretary/Under Secretary will spot check additional staff reports as appropriate; and the Personnel Committee will receive from the General Counsel, as of June 30, an annual status report on the review of staff reports.

Coopers and Lybrand outlined their 1982 Report to Management, noting that management has concurred in practically all recommendations in data processing operations and financial controls.  They then introduced their plans for the consolidated audit of the Institution's fiscal year 1983 appropriated and trust funds.  In an executive session with Smithsonian staff, the Committee reviewed the performance of the auditors in accordance with the policy of the Board of Regents and agreed that Coopers and Lybrand should be continued, subject to annual review of this matter.

Mr. Jameson briefed the Committee on the Quadrangle construction bids opened on May 17, 1983; against an estimate of $55.7 million, 13 bids were received between $39.4 and $49.9 million.  Mr. Jameson also recalled for the Committee the Institution's long-standing interest in the General Post Office Building, noting that recent newspaper articles about its poor condition sparked a hearing on the subject in the Senate Committee on Public Works scheduled for May 24.  The Institution will develop a report on the Building's potential uses as an adjunct to the neighboring American Art and Portrait Gallery.

[[underlined]]Financial Report[[/underlined]]

[[underlined]]FY 1983:[[/underlined]]  A supplemental appropriation of $2,890,000 has been received for increased pay costs.  Due to the unexpectedly low contract award for Quadrangle construction, the Senate has recommended, as part of its action on the Institution's FY 1984 budget request, the rescission of $8 million of the $36.5 million appropriated in FY 1983.  As a result of increased projections for Unrestricted General Trust Funds generated by the Magazine, Museum Shops and Mail Order Division, the Board approved increasing the transfer to endowment funds