Evening journal., 1916-06-29
Democrats Worried
over fiscal OUTLOOK
Will Have 10 Sell Panama
Bonds to Raise Sufficient
Revenue
APPROPRIATIONS MAY
BE $I,5OO,OOO,OOO

WASHINGTON, June 29.-Informal
announcement was made by Demo-
cratic leaders that as a result of re-
cent additions to the defence program
500, 100000 will have to be raised
through the sale Of Panama Canal
bonds or the levying of taxes beyond
the scope of the revenue bill just
completed by the Ways and Means
Committee.
1t is estimated that the revenue
bill in its present form would yield
about S240000,O00 year After look
ing over the increases made by the
Senate committee in the naval bill,
the amendments incorporated in the
army bill by the House and deficiency
appropriations bills asked by the
Government the leaders insist that
the revenue bill must be made to pro-
duce $350,00O,00O year or else the
secretary of the treasury must get the
additional amount by selling canal
bonds.
These facts have been directed to
the attention of Secretary McAdoo
and il is understood he will discuss
the suggested bond issue with Presi-
dent Wilson. The President is under
stood to he opposed to a bond issue
under present conditions. If Secre-
tary McAdoo should inform the
House leaders that the President is
opposed to a bond issue for the pend
ing defence bills the revenue bill will
be revised with a view to getting a
yield of S34O,O0O,000.
Leaders Are Worried.
Leaders in Congress are worried
over the fiscal affairs Of the govern
ment. The ordinary expenditures are
far in excess of the authorized ex-
penditures of a year ago, while the
appropriations for defence, in sight
two weeks ago. were more than double
those Of a year ago. Conditions on the
border have added millions to the de-
fence budgets.
Men who are charged with the re-
sponsibility of drafting revenue legis-
lation said that if there should be a
war with Mexico the government
would be forced to issue bonds. The
total appropriations made for all gov
ernmental activities in the current
fiscal year were S1.114,93701 This
was the high water mark in author
lied government expenditures.
As things are now drifting it is es-
timated that appropriations for this
session will foot up at least $780,
100000 OF the appropriations made
last session less than 275,000.0 900 was
chargeable TO national defence. UT
to date the appropriations in sight for
defence are in excess of $3.50. 100000.
Within the last ten days approx.
mately S13O,OOO,000 has been added tC
the defence budgets. largely on ac
count of exigencies on the border. o.
this amount S71 ,000,0 900 was added L
the naval bill by the Senate commit.
tee. S25. 100000 was voted in the army
bill by the House, while the Senate
increased the appropriations Of the
tOrtifications bill from S25.000.000 tC
s30000,000.
In addition the House has before il
an emergency bill calling for S25,000..
300 more for the army and navy; fur
ther 2 letter was received from the
Secretary of War asking for another
iefenciency appropriation approx
mating 100000
Defence Programs Cost.
The defence program at present il
as follows:
Navy. SS11, ,405,343
Army. S1S3.OOO,00O
Fortifications. S30,000.000.
Deficiency bill No 1. Ss,611.502.
Deficiency bill No. ?. S1.999.772.
Urgent deficiency. S25,626. .06S
Military Academy. S1.656.517
Total. S651 900 ,000
The revenue situation was made tn
subject of a conference by Secretar
McAdoo and Representative Kitchir
the House leader So far as could b
learned no agreement was reached a
TO just what course should be fol
lowed.
Unless a bond issue is authorize
the revenue bill which was to hav
been passed this week will be revise
IN important particulars. In its pres