The Washington herald., 1920-04-21
BY ELISHA HANSON.
Copyright, 1920
ARTICLE No q


How is the government to work
out of the financial maze into which
it has been thrown by carelessness
and inefficiency on the part of both
the administration and Congress
during the past years?
The method is clear, but the
adoption of that method is difficult
We must change completely our
ways of doing business. both in the
executive and the Legislative
branches of the government. We
must impart a new efficiency and a
new energy to both. And we must
educate the people not only to the
necessity for immediate reform bu,
to the necessity for permanent re-
form and continued efforts for econ
omy.
The first step in the procedure
must come through the enactment
of law giving us a national bud
get system.
The next step must come through
a reform of the congressional COM
mittee system.
The third step is the application
Of the budget system in the execu-
tive departments, and it's handling
in Congress.
Budget System Explained.
Much has been written lately on
the budget by persons interested in
fiscal reform but there is still a
very vague understanding of tina,
term In the minds of the peopis
generally. Just what is it? Briefly
stated a budget is a program pre-
pared by the executive, setting
forth the actual condition of the
treasury, the financial needs of the
government for the ensuing year,
together with a statement suggest
ing the methods of meeting those
needs. through tax levies or bond
issues.
Congress is just about to enact a
budget law but there Is still doubt
as to whether 1t will be a real
budget or a fictitious one. not any
better than the present hodge-podge
system which has been in force for
years past. The movement in Con-
gress for a national budget sys-
tenn was started several years ago
by Representative FitzGerald, of
New York. when he was chairman
of the House Appropriations Com
mittee. Mr.. FitzGerald lived so
close to his job, however. while he
was in Congress that his colleagues
affectionately described him as a
bug on economy and the need for
a budget.
Sherley Took Up Fight.
When he resigned, his successor
In the chairmanship. Mr. Sherley,
took up the fight for budget. but
made little progress. A real i'm
petus was given it when Senator
Medill Mccormick. fresh from his
experience in the Illinois State Leg
islature, where he had been sue
cessful in the fight for fiscal re-
form which has given Illinois the
best system of any State in the
country. entered the lower house of
Congress in 1917. Senator McCor-
mick, unabashed by the counsel of
his elders, put a staff of experts to
work. studying the fiscal system or
the United States, the systems of
the various States, and the finan-
cial methods of the other countries
of first rate Importance. Then IN
the spring of 1918 he introduced a
series of measures in the House
for the creation of a ma
tional budget system, for the in
stallation of an independent audit
Ing and accounting system, tho
head Of which would be responsible
to Congress and not to the Presi-
dent. for the coordination of the
loose ends of departmental work,
for the elimination of conflicting
bureaus, for the transfer of certain
bureaus from one department to
another. in which they more prop
erly belonged. and for a complete
reform of the Congressional COM
mittee system.
Wanted Discussien started.
. No one but a new member of Con-
gress could have proposed such a
scheme and gotten away with it
without unmerciful. hazing by his
elder statesmen. Senator McCor-
mick frankly stated that he did not
regard his program. or any of the
particular measures in 1t, as per-
fsct. but rather that he had sub
mitted 1t in order to start a dis