TEXT

By the authority vested in me as President by the Constitution
and the laws of the United States of America, including the
Budget and Accounting Act of 1921, as amended (31 U.S.C. 1101 et
seq.), and section 301 of title 3, United States Code, and in
order to assist in the control of the Federal deficit and improve
the administrative productivity of the Federal Government, it is
hereby ordered as follows:

Section 1. All executive departments and agencies shall include a
separate category for "administrative expenses" when submitting
their appropriation requests to the Office of Management and
Budget (OMB) for fiscal years 1994 through 1997.  The Director of
OMB (Director), in consultation with the agencies, shall
establish and revise as necessary a definition of administration
expenses for the agencies.  All questions regarding the
definition of administrative expenses shall be resolved by the
Director.

Sec. 2.  The purpose of this order is to achieve real reductions
in the administrative costs of Federal agencies.  In order to
accomplish that goal, agencies shall submit budgets that reflect
the following reductions from the fiscal year 1993 baseline:

   (a) For fiscal year 1994, all agencies shall submit budget 
   requests that reflect no less than a 3 percent reduction in
   administrative expenses from the amount made available for
   fiscal year 1993 adjusted for inflation;

   (b) For fiscal year 1995, all agencies shall submit budget 
   requests that reflect no less than a 6 percent reduction in
   administrative expenses from the amounts made available for
   fiscal year 1993 adjusted for inflation;

   (c) For fiscal year 1996, all agencies shall submit budget 
   requests that reflect no less than a 9 percent reduction in
   administrative expenses from the amounts made available for
   fiscal year 1993 adjusted for inflation;

   (d) For fiscal year 1997, all agencies shall submit budget 
   requests that reflect no less than a 14 percent reduction in
   administrative expenses from the amounts made available for
   fiscal year 1993 adjusted for inflation.

Sec. 3. The Director shall review agency requests for
administrative expenses.  The Director shall ensure that all
agency requests for such expenses are reduced in accordance with
section 2.  To the extent that any agency fails to comply with
the mandates of section 2, the Director is authorized to reduce
the request for administrative expenses in that agency's budget
to achieve the appropriate reduction.

Sec. 4. All independent regulatory commissions and agencies are
requested to comply with the provisions of this order.

                                   /s/William J. Clinton

THE WHITE HOUSE,
February 10, 1993.