The silver state. [volume] (Winnemucca, Nev.) 1909-1925, 1922-09-21
v[TOEs
THE BONUS BILL
Country IL In No Position to Stand
Dangerous Abuse of Public
Credit; Bill Would Entail
Tax of Five Billions

Harding tuesday. In returning the
measure to congress without his APP
proval, the executive, in a message
to the house, declared that he was
in accord with the avowed purposes
of the bill, but that he could not
subscribe to its provisions.
II Failed to Provide Revenue
Outlining the reasons for his veto
the President said that congress had
failed, first of all, to provide the
revenue from which the bestowal
was to be paid. He added that the
ultimate cost could not be estimated
definitely, but that the treasury fig
ured the total at $3.50, 100000 for
the first four years with a final
charge in excess of $4,000, OOO, 900.
Mr.. Harding told congress the
proposed service certificates substi-
tuted for the original cash payment
would constitute borrowing ION the
nations credit just as truly as
though the loans were made by di-
rect government borrowing" He
added that this involves a danger
Gus abuse Of public credit.
The executive stated that it was
essential to remember that a more
than $4,000,000,00O pledge to able
service men would not diminish the
later obligation when the veterans
contributed to the trolls of the
aged, INDECENT and dependent" This
obligation, he said, "would cost more
billions than venture to suggest"
President Harding's bonus veto
message is, in part, as follows:
ITO the House of Representatives:
Herewith is returned without ap-
proval H.R. 10874, bill to provide
adjusted compensation for the vet
Grams of the World War and for
other purposes. With the avowed
purpose of the bill to give express
sion of nations gratitude to those
who served in its defense in the
world war, l am in accord, but to
its provisions l do not subscribe.
The United States never will cease
to be grateful; it cannot and never
will cease giving expression to that
gratitude.
Precedent Is Declared Bad
"In legislation for what is called
adjusted compensation congress
failed first of all, to provide the
revenue from which the bestowal
is to be paid.
Moreover it establishes the very
dangerous precedent of creating a
treasury covenant to pay which
puts a burden variously estimated
between four and five billions upon
the American people, not to dis
charge an obligation which the gov
eminent must always pay, but to
bestow bonus which the soldiers
themselves, while serving in the
world war, did not expect.
Calls Bill "Stingy"
IF an obligation were to be adj
mitted, it would be to charge the
adjusted compensation bill with in
adequacy and stinginess wholly un-
becoming to our republic. Such a
bestowal, to be worth while, must be
generous and without apology.
Clearly the bill returned herewith
takes cognizance of the inability of
the government wisely to bestow
and says, in substance, we do not
have the cash, we do not believe in
a tax levy to meet the situation but
here is our note, you may have our
credit for half its worth
"This is not compensation, but
rather a pledge by the congress,
while the executive branch of the
government is left to provide for
payments falling due in ever in
creasing amounts.
No Way of Meeting Cost
"When the bill was under con-
sideration in the house, l expressed
the conviction that any grant of
bonus ought to provide the means
of paying it and l was unable to
suggest any plan other than that
general sales tax. Such a plan was
to the congress, and
the bill has been enacted without
even suggested means of meeting
the cost. Indeed, the cost is not
definitely known, either for the i'm
future or in the ultimate
settlement.
The Future Obligation
ut is essential to remember that
a more than r-billion-dollar
pledge to the able-bodied ex-service
men now will not diminish the later
obligations which will have to be
met when the younger veterans of
today shall contribute to the rolls
Of the aged, INDECENT and dependent.
1t is as inevitable as that the years
will pass, that pension provision for
world war veterans will be made, as
it has been made for those who SER
we'd in previous wars. 1t will cost
more billions than l venture to sug-
gest. There will be justification |
when the need is apparent and a |
rational finance policy today is nee