The sun., 1919-09-17
GOOD PREDICTS Big
DEFICIT IN TREASURY
House Chairman Sees So, 591,-
273,345 Added to United
States War Bill.
WARNS OF EXTRAVAGANZA
Urges Appointment Of Ma
tional Officer to Supervise
Expenditures.

Expenditures.
Special DespdtcA to TEE Sun
WASHINGTON, Sept. 16.-The nations
large war debt will be increased by at
least s3.591.273,345 on June 80, 1920,
the end of the present fiscal year. Repre-
sentative Good Ia-), Chairman of the
House Appropriations Committee. de-
clared in a speech today. This increase,
the Chairman said, would represent the
deficit in the Treasury as the result Of
the governments financial operations
during the present fiscal year. The
: total needs Of the government this year
will be s10.ss1, ,5s5. Mr.. Good
| estimated, while the largest possible
revenue under the present financial pro-
| deficit of more than three times the
average expenditures of the government
before the war.
Mr. Goods address was in opening the
debate on the first deficiency bill which
carries $14,184,704 and breaks all econ
| omy records, the total appropriation be-
ing less than one-third of the amount
! asked by the departments. The Chair
man warned that the government H.
| nancial system was alarming and urged
| that the Administration take the lead
in eliminating this period Of reckless
extravaganza, which he said was re-
sponsible in part for the high cost OF
living and the unrest throughout the
country.
The demands on the Treasury call
| for expenditures that are simply stag
gering," he said. 1.-THE actual condition
confronting the Treasury Is SO alarming
| that we may well pause and calmly
consider obligations already existing and
| that must be met before entering into
programmes that will call for additional
expenditures"
Recommends Supervisor.
As a temporary remedy Mr.. Good
| urged the President appoint a national
| officer as has been recently proposed
| in England who shall maintain a con-
| tinuous survey of all proposals for ex-
penditures and be consulted before any
| decision on any matter of financial i'm
portance."
"As a temporary expedient." he de-
clared. "the condition warrants the
President in taking this action. He has
the authority under the law and should
exercise 1t to the end that estimates for
appropriations may be greatly reduced
and that the Treasury, which is the first
line of defence against public extrava-
gance, may reestablish it's line on a
policy. of efficiency and economy"
| Economy as a national policy must be
practiced to bring down the cost of
living, he said, with the following am
| Publications.:
''if the nation is to receive relief
from present unrest and from high
| prices our people must practice the
| strictest economy. 1t is to be regretted
that the estimates submitted for the de-
| ficiencies do not more fully recognize
this principle. 1t is to be hoped the
estimates now being compiled for the
next fiscal year will fully recognize the
fact that the Government is to be ad-
! ministered with strict economy We
| have arrived at a time in this country
when We must resist the impulse to buy
and spend money and we must COM
| mence to practice those plain. homely
virtues of thrift, saving and frugality.
The Government through its execu-
| tive departments should lead in this
| crusade; for if we are to receive relief
from these high prices we must stop
| buying things that we can well get
along without and the Government must
stop authorizing the doing of those
| MiiiSi HOt purely govern
mental functions but benefit only a
given locality. a certain industry or
few producers"
| still Buying Munitions,
Mr.. Good said the direct appropria
| tons of Congress for expenditures this
year will total $7.345,617,2S3, while the
balance will be from appropriations prs-
Viousiy authorized. Explaining this he
said:
During 1918 we appropriated
billions of dollars that could not be paid
out during those years. These appropria-
tons were made in anticipation of en-
tering into contracts for ordnance and
war material. Deliveries of war ma
terial and equipment ordered in 1917
and 1918 are now being made and are
being paid for out of appropriations.
| During the past few months an army
of officers in the War and Navy depart.
ments have been at work on cancelling
contracts and making settlements OF
| Government obligations. Settlements on
| these contracts have been made until
there remain but $500 unsettled CON
tracts. The work alone in this line has
progressed to point where those
charged with adjustment of these con-
tracts feel that they can with some
degree OF accuracy estimate the drafts
which these obligations will make on
the Treasury during the fiscal year end
ing June 80, 1920. have a chart show
ing the appropriations for this fiscal
year crding June 80, 1920. totaIIine
S7345,6l1,2S3. we could stop here
the problem OF nn incing the Govern
ment would be easy. But this does nor
measure by any means the drafts 10 he
made on the Treasury between now and
June 30 next True, not all of the an
preparations for this fiscal year will he
actually expended during the fiscal wear
Allowing for this there should be de-
Quoted from the total appropriations of
lNS46'6l12sS the aggregate of t5esa
items or 1880 73S,423, leaving a hal
ance of appropriations which will In
all likelihood be drafts against ,ha
Treasury during this fiscal year OF ss
The various bond acts autbor,z.6
loans to be made to our Allies during
the war to the extent of $4,000. 900 ono
| The credits established up to Senter,bsr
| =, 1919, aggregated S9,6S4.272 567
On June 80, 1919, the Treasury bod
outstanding short time certificates Of in
deotedness aggregating s3.G34 600 Ooo
me Treasury had on hand on June an
only sl,261,664S27 with which to nav
these short time certificates that are ms,
i h.