US Presidency
1932

I hold that the maintenance of the sense of individual and personal responsibility of men to their neighbors and the proper separation of functions of the Federal and local governments requires the maintenance of the fundamental principle that the obligation of distress rests upon the individuals, upon the communities and upon the States. In order, however, that there may be no failure on the part of any State to meets its obligation in this direction I have, after consultation with some of the party leaders on both sides, favored authorization to the Reconstruction Finance Corporation to loan up to $ 300 million to State governments where they are unable to finance themselves in provision of relief to distress.