The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-10-17
U. DEFICIENCY
OVER 6 BILLIONS
Greatest Bill of Kind Reported
to House After $4,000
100000 Cut.
$26,815, 100000 IN YEAR
Creation of War Salvage Board
With Seven Members Is
Proposed.
$26,815,OOO,O0O IN YEAR
Special DespafcA TO TIE sux.

NAeHIEGTON. W Oct. l6.-CarryinR
cash appropriations of s2.4s7,405.s $50
md authorizations of s3,s5s.34e.776, a
Total of s6.S45. .755. .6ss. the biggest def
cheney bill in the country's history.
made necessary by the increasing of the
war programme. was reported to the
House to-day. The House Immediately
began consideration of the measure.
Chairman Sherley tKy.) OF the Appro-
priations Committee explaining for sew
eral hours its details. II will be passed
In day or two.
In spite Of the tremendous size of the
bill as 1t came 20 the House to-day It
was cut more than $4,000. 100000 by
the Appropriation Committee. AS the
deficiency estimates came to Congress
ss,6se,sss.5ss was asked, most of it by
the War Department, and every penny
asked was as cash appropriation.
Had II been found necessary to grant
these estimates In full and in cash the
actual expenditures mapped out for the
fiscal year ending June 80 next would
have amounted to nearly s33,o00,0 ,000,-
900.
Fiscal Plans May He Changed.
The bill as It stands, after. being
submitted to the most drastic cuts
which could be made consistent with
tho war programme, apparently will
recessitate some change in the Govern
ment's fiscal plans. The cash appropri-
ations already made by CongI ess
amount to more than $4,000. 900. 900.
With the cash provided in the bill
a n.da ta ,rIa tod
that total of more than s26.S15. .000.-
600 will be spent before June 30 next
The Governments fiscal policy pro-
vides for disbursements by the Treasury
in one fiscal year Of only s24 1000, ,000.-
900. That amount only was TO be
raised-about $4,000. 100000 through
taxes and the remainder through sale
Of bonds. This would mean that
should the deficiency bill be passed in
Its present form there would be appro-
priations Of some S2.s15 900 900 in ex-
cess OF the revenue for the fiscal year
More money would be spent than Is
being raised. not counting at all the pay
ments deferred until later years through
tho expedient OF authorization contracts
for material and work. but providing for
payment at q subsequent time.
This fact was foreseen when the estl-
mates first were sent to Congress and
several suggestions were made at that
time to meet the situation. One was
that the loans to the Allies amounting to
about $4,000, ,000, 900 a year. be discon-
tinued. But this suggestion was imme-
diately 'frowned on by the Adminstra-
ton and a statement made that under
no circumstances would this course be
followed.
1t was then suggested that as the cash
make before the end OF the present fiscal
year would be very evidently largely in
excess OF the $4,000. .000, 900 basis on
which the Government was proceeding
In mapping out the proportion OF the ex-
pense which should be borne relatively
by taxes and bond sales, the revenue bill
should be made to raise more money.
Secretary McAdoo's Attitude.
This suggestion had hardly been made
before the Secretary OF the Treasury
himself declared that the Administra-
ton did not desire heavier tax burdens
and that the $4,000, 100000 contemplated
would be sufficient With this assurance
Congress Is now at work on the tax bill,
which is still designed to raise but $s.-
o00. .o00. 900. .
Secretary McAdoo and a great many
others have adhered to the view that, re-
gardless OF the amount appropriated. the
Continued on Eiehfh Pd0s.