The New York herald., 1921-07-01
ARMY BILL SIGNED;
ECONOMY HOLDS UP
THE NAVY MEASURE
Appropriation, Saving $751;
100000, Delayed by Sen
ate Objections.
DAWES ISSUES CALL
Hoover Saves 81, 100000 in
Department-Daugherty
Slashes Payrolls.
MESSAGE ON ARMY CUT
President Warns Congress of
Obligations Of Nation to
Enlisted Men.
MESSAGE ON ARMY CUT
Special Despatch to THE NEw YORK HERALD
New York Herald Bureau.
Washington, ID. c., June 80.

Special Despatch to THE NEw YORK HERALD.
New York Herald Bureau.
Washington, ID. c.. June 80.
These were the developments to-
day in the struggle for Government
economy:
President Harding signed the army
appropriation bill which provides
for reduction of the army to 100000
by October /.
Objections to House reductions in
the naval appropriation bill tied up
the measure in the Senate, and with
all appropriations expiring with the
fiscal year at midnight tonight,
caused technical lapse in funds.
Gen. Dawes, Budget Director, is
sued call for the meeting Of budget
representatives named by the Cab
met heads to begin pairing down to-
morrow. At the same time the Bud
get Director announced that he was
going to draw the curtain and re-
tire from the stage so far as pub
licity Is concerned, for more effective
effort.
Secretary Hoover. declaring his
enthusiastic support for Gen Dawes.
announced that he would save a
million dollars of the appropriation
made for his department for the
fiscal year beginning tomorrow.
Attorney General Daugherty an
nounced cutting down in his de-
partment which has effected saw
ings of half million dollars and
promises further payroll cuts.
Secretary Mellon accomplished saw
ilgs by converting cid soldiers
iIomes into large hospitals of a per-
manent character for disabled SER
vice men.
The Presidents Message.
The President in signing the army bill
which provides for a reduction of the
army from 22o.0 to $50. 900 by October
I. sent a message to Congress stating
that every effort would be made to effect
the cut. but that this might be found
Impossible. In that event. the President
said. ne would inform Congress Of the
situation and ask that the Borah amend
ment prohibiting the incurring OF a de-
ficiency be waived.
The Presidents message read:
'I am advising the Congress OF my
approval of II. r. 5010. bill makine
provision for the maintenance and sup
port Of the United States Army for tbs
fiscal year ending June 80. 1922.
a. -
the Congress at this time the very grea'
embarrassment in carrying out its pro
visions while dealing Justly with tn,
enlisted forces OF the army so that g
later call for a slight modification may
not be wholly without notice.
"The bill necessitates a very larg'
reduction I'm the enlisted personnel o.
the army and II Is doubted that thi:
reduction can be brought about with
out the summary dismissal OF many
thousands OF men who have a right Il
expect at the hands OF the Government
the same moral obligations which .h'
Government requires of them when they
enlist for service.
''In perfect good faith the Secretary
OF war will proceed TO reduce the army
to figures contemplated by the Con
gress. The normal expiration OF enlist
ments probably will approximate one
half the reduction which the Congress,
has directed, and every EFFORT will b.
made to meet the requirements of thS
Congress at the earliest possible day
7 would not feel justified IN asking the
Secretary of War to enforce the dis
.nissal OF men who have enlisted for 2
definite term OF service. There seems
to be moral obligation Involved, the
10 the spirit OF the army itself and
might prove a very serious discourage.
ment when enlistments are desired In
the future