Arizona republican., 1922-05-07
REPUBLICAN,
.CH|EFSSEEk
PRESIDE s
B ...R!:||'Q|::||!NEI|S :||'Q|:|!NE d! ADVICE
'aqFI elels Vp0usO@
Harding Will Study Modi-
fled Bonus Plan And
Proposal To Be Present
ed By Utah Senator
[Republican a. p. Leased wireJ


WASHINGTON, May president
Harding took under advisement to-
day the modified house soldiers
bonus plan presented to him by a
committee of senate Republican lead
ers. He told the senators that he
would study the proposal and the one
to be presented early next week by
Senator Smoot of Utah. ranking
Republican on the senate finance
committee and would renew the dis
cussion with them later.
Those calling at the White House
were Senator Lodge, Mas sachusetts,
the Republican leader; Chairman
McCunber and Senators Curtis of
Kansas and Watson of Indiana,
members of the finance committee.
The senators said the president had
given no intimation as to his opinion
of the amended house bill, but asked
many questions concerning its pro-
visions
The president was told senators
said. that it was the desire of con-
gressional leaders that no additional
taxes be enacted IN connection with
the bonus, and that it would be inn
possible to put a sales tax through
congress, While no specific plan of
financing the bonus was presented to
the executive, it is the thought of
bonus advocates that the legislation
can be financed out OF the refunded
British bonds.
The president was asked by his
callers whether there was likelihood
OF the treasury receiving the refund
ed British bonds sooner than here
tofore anticipated. TIe was quoted as
4 n
negotiations are in progress. Neither
the commonly known MeCumber plan
nor the Smoot plan calls for any
considerable outlay of money within
the next few years, and some sena :
tors said that whatever cost would
be entailed could be taken care out
of the s200,O00,000 annual interest
on the debt owed by Great Britain
which that country is expected to
begin paying this year.
The McC01nber plan, like the house
bill, would call for no loans to vet
Grams by the government for Pc
riod of three years. but banks would
be authorized to advance TO the SOL
diers sums equivalent to one half of
the adjusted service credit of the
veterans. At the expiration of the
three years the treasury could make
loans direct 10 the men.
The Smoot plan contemplates the
issue of 20 year life insurance en-
6owment policies to the veterans in
lieu of all other options heretofore
proposed, including the vocational
training. home and farm aid and land
settlement, and it would make no
specific provision for loans on the
policies.
The policies would have a face
value equivalent to slightly more
than three times the amount of the
adjusted service credit of the vet
Grams and the face value would be
paid at the end of 90 years or sooner
upon the death of the veteran.
After the senators returned to the
capital from the White House, there
was a discussion among leaders
generally as to whether the bonus
should displace the tariff bill. There
was some talk about calling a party
conference to decide this question,
but no formal decision was reached.
This may await the presidents de-
cision as to the kind of bonus bill
he will approve.