South Bend news-times. (South Bend, Ind.) 1913-1938, 1917-07-28
WILL NEED OVER
TEN BILLIONS
This is Estimate of War Costs
For First Year ExCIu-
Sive of Loans.

WASHINGTON. July 2s.- Esti-
mating the cost of the war for the
coming year at s1O,735.sO7.OOO. ex-
elusive OF loans to the allies, the
administration Informed congress
Friday that new revenues totalling
ST.OO0.OOO.OOO must be raised from
taxation or issuance Of securities.
II Advancement of credit 10 the
allies is continued AT the present
rate the years total of war expendi-
lures will pass 5000. 100000 and
the amount of additional revenue
required will increase accordingly.
How congress will meet the enor-
nous new revenue requirements re-
mains To be determined, but there is
a distinct sentiment in favor of Off
setting most OF the expenditures by
bond issues Many leaders on both
sides of the capitol predicted sun
day night that not more than 81
600. 100000 Of the $1,000. goo. 600
asked would be raised by taxation.
and that the remainder might be
met partially by bond sales and par
TALLY by issuance of treasury certifi-
Gates of Indebtedness.
Equipment Big Item.
Equipment and stores for the ma
tional army. particularly artillery.
will require the lions share of ap-
preparations under the administra-
tion's estimates. OF the years to-
tai of $lO,735. 600. the war de
partment alone expects TO spend 81
S64,24O,O 900. or s5,319, 100000 more
than has been appropriated thus far
for its expenses during the year.
The navy expects 10 spend $1,000
100000. of which S2SS.OO0.OOO re
mains appropriated. The shipping
board. whose ship building projects
place IL third on the list. expects to
spend s799,OOO, 900, of which $3.50
600. 900 remains TO be appropriated.
Estimate Years Receipts.
These figures cover the cost Of the
war from July l. last, TO June so.
next They do not include the
money spent prior 10 the first Of
this month.
Estimated receipts for the year
were placed by Sec'y McAdoo in
transmitting the estimates to the
house ways and means and senate
finance committees at S1.323, 500, 600.
This estimate of receipts did not in
clude revenues TO be raised under
the pending war. tax bill, estimated
by administration leaders in con
gress at $1.67O,67O.O 900. Revision Of
the bill will begin imm ediately 10
embody whatever additional taxa
ton il may he deemed best to i'm
pose as result of the new estimates
Provide safety Margin.
Tremendous as are the estimated
expenses of the government for the
year the appropriations actually
sought by the various departments
are placed above these totals in or
der TO provide a margin Of safety
Thus the war department, expecting
TO spend $7.S64.24O, GOO asks for APP
preparations totalling SS.673.63S, 600
and the navy department, estimat-
ing its expenditures at $1,20O,0OO,
600. asks for appropriation of ST.
324.17S.OO0. Total appropriations
sought by all departments aggre-
gated $11,651. 1898. or nearly ST.
600. 100000 more than estimated ex-
penditures.
Should this sum be authorized by
congress with an additional $4,000.
600. 900 for the allies, which would
he necessary TO keep up the present
rate Of loans totalling 100000, 900
"A month. the total 10 be raised by
bond issues and additional taxation
for the current fiscal year would be
more than $4,000, 100000. 1t has
been indicated that additional au
thorization for loans will not be re
quested of congress until the new
session begins in December.
With estimated expenditures of
$1O.735.S07. 000 as the basis for COM
putation the following deductions
from the total of estimated eXpen
ditures would be made in reaching
the $1,000, 100000 total of new rev
enues:
Income for the year under exist
ing laws. $I.333. 100000;
Bonds authorized under the war
finance bill Of April IS, but not is
sued. $4,000, 100000;
other bond issues previously au-
thorized TO REIN burse the treasury
for various items of expense, about
S4OO.OOO.O0O.
Total. $685. 100000.
Estimate of Receipts.
The estimate of receipts during
the next 1 , months was computed
as follows:
From customs duties, 1926. 900
600: from ordinary internal revenue
sources. $3.50. 100000, from the in