The New York herald., 1921-06-29
DAWES SEES BUDGET
SAVE MILLION A ADAY
Harding and Cabinet IndOrse
Plan of Economy Outlined
by Director.
TO MEET OPENLY TO-DAY
Bureau Chiefs Will BE Warned
That Failure to Slash Means
Loss of Jobs.
TO MEET OPENLY TO-DAY
Special Despotch to THE Nyw YosK HrRAI o
New York Herald Burcau,
Washington. u. C., June -.

Washington. u. C., June "a.
The President and his Cabinet dc.
voted more than two hours to-day Il
a discussion OF plans for tho immediate
application Of the new budget system
The country has been talking OF q
business admins tration for more thar
century, explained MIR Harding. ant
1t now will have one. IL it is humanity
possible.
Hero are the outstanding feature:
in day of many important develop.
ments in tho economy programme:
Charles G. Dawes. Director OF the
Budget. explained to the Cabinet his
plan for slashing the estimates for
the next budget to meet the expenses
for the fiscal year 1929 At his
request the President issued instruc-
tions that place all Cabinet officers
and bureau chiefs at the service OF
Mr.. Dawes in making UP the budget
for submission to Congress at the
next session,
Hearty approval was given by the
Prefdent and the Ca binet 20 tho plan
OF Mr.. Dawes 10 hold down cXpend-
lures under appropria tions already
made by Congress for the fsca, year
1s2!22. which begins next Friday.
The time honorei practice Of spend
ing all the money the law allows Is
to be abandoned.
II was announced that bureau
chiefs who do not reduce their csti-
mates viii have TO show good cause
or they will be dismissed.
President Harding declared he
would preside tomorrow at the meet
inE OF the Cabinet officers and bureau
chiefs with Mr. Dawes for a general
discussion OF the budget ''in the
oqen" before newspaper cofrespon-
dents.
Walter r. Brown chairman of the
Congressional Joint Committee on
Reorganization. announced that with
In couple of weeks he would call
meeting OF Cabinet officers and
bureaus chiefs to take preliminary
steps toward q rcgrouping of Cow
ernment Bureaus 60 eliminate over
tapping and consequent extravaGance.
Representative Thomas S. Butler
(PaD. chairman OF the House Naval
Committee. proposed to save $50.
100000 year by putting out OF COM
mission all obsolete ships of the
navy.
The new shipping Board announced
that all incompetent or disintcres.ed
employees would be dismissed.
Mr. Dawes will keep his Office open
day and hight fo- tho mex; few weeks
for conferences with Cabinet oficers and
bureau chiefs The usual lcisurely
manner of making UP tho estimates VIII
be thing o, the mast Ho plans 10
have all the estimates prepared by the
bureau chiefs and placed IN his hands
within the next two weeks when he viii
start cutting TO the bone by August I
he expects 10 have the budget compis,e.
That deficiency bills. which have long
been convenient vehicles for Cabinet Of
ncers and bureau chiefs who wanted TO
spend more money than Congress gave
them. has gone. according to Mr.. Dawes.
Only IN the case of g-eat emergency will
the departments bc expected 10 asi, fjr
deficiency appropria iione
When President Harding announced
his approval of tn, new plan 10 keen
expenditures bsiow the appropriation.
already made by CONGRESS- gasp ran
through the Government bureaus. This
is ar absolutely unheard OF thlng-not
to spend more money than Congress
has authorized to be spent. But under
the new plan money Is not to be spent