The Elk Mountain pilot., 1922-06-15
Where Your
Taxes Go
How Uncle Sam Spends
Your Money in Conduct
ing Your Business
BY EDWARD G. LOWRY
Author ''wsshington Close-Ups," ," Banks and
Financial Systems." etc. Contributor Political
and Economic Articles to Leading Periodicals
and . Writer of Recognized Authority the
National Governments Business Methods.
By EDWARD G. LOWRY
XXVI.
EASY COME, EASY co
Copyright. Western Newspaper Union

Back In 1912, when Mr.. Taft was
President, and when the gross ex-
penditures of the government were
about one-quarter of what they are
now, he became exercised and con-
cerned about the higgledy-piggledy, un-
scientific, disorderly, grab-bag methods
by which your money was expended
for public purposes. He said then
what Is equally trae now. that the
activities of the national government
'are almost as varied as those Of the
entire business world. The operations
Of the government affect the interest
Of every person living within the
jurisdiction Of the United States. Its
organization embraces stations and
centers of work located In every city
and In many local subdivisions Of the
country.
"This vast organization has never
been studied In detail as one piece
of administrative mechanism. Never
have the foundations been laid for q
thorough consideration Of the relations
of all Its parts. No comprehensive eff
fort has been made to list its multi
farious activities or to group them
In such way as to present a clear
picture of what the government is
doing. Never has complete descrip-
tion been given of the agencies through
which these activities are performed.
''At no time has the attempt been
made to study all of these activities
and agencies with a view to the as
signment Of each activity to the
agency best fitted for its performance,
to the avoidance of duplication Of
plant and work, to the integration of
all administrative agencies Of the
government, so far as may be
practicable, Into a unified organization
for the most effective and economical
dispatch of public business"
This extraordinary and indefensible
situation, which exists today as fully
and completely as 1t did when Mr..
Taft portrayed it seven years ago.
came about quite naturally and simply
through our tolerance and slackness-
For years and years the government
lived and grew and extended its ac-
tiv1ties on Santa Claus money. Its in
come came as easily as money in
q letter. For years and years the
national income was greater than the
expenses. Every year there was q
surplus.
The government was precisely in the
position of the Rockefellers and the
Carnegies and the ROthschilds. Its
problem was not how to. get money
enough to live on. but how to spend
its income. 1t naturally got In the
way Of throwing some Of 1t to the
birds It lived like a remittance man.
You may remember that back in the
time of the first Cleveland administra-
tion one of the problems Of public
discussion was: "Whnt shall be done
with the surplus7" Then there was a
Tanner was made commissioner of
pensions. The whole country was
amused and had hearty laugh when
he announced his policy: "God help
the surplusw Them was the halcyon
days!
Mr.. Gilbert, the present undersecre-
tary of the treasury. in an, address
said:
"The estimates for the year 1920
show that over a billion dollars Of ex-
penditures were authorized by the last
session Of congress in addition to the
amount shown In the usual compiled
statements of appropriations. In fact,
the practice has reached such proper
tions as to be almost a national
scandal, and 1t was vigorously de-
nounced In the Presidents last annual
message.
"It has become the first principle
Of strategy on the part of people In
terested In appropriations for various
special purposes to frame the matter
so as to authorize the use of the
public funds indirectly, or in indefinite
terms. or, by authorization for ex-
penditure of unexpended balances, per-
haps appropriated originally for other
purposes or by authorizations to
divert government receipts before they
ever reach the treasury. Efforts are
made to find general words which do
not speak In terms OF appropriations
and cannot be readily calculated.
"The last session of the present
congress, for example, authorized ad-
ditional expenditures out of balances
of prior appropriations and from re-
ceipts to the amount of over $500. .OOO.-
900, including over $4OO. .OO0O for the
shipping board. The present ses-
sion Of congress by similar procedure
takes credit for refusing appropria-
tions for the shipping board, but, at
the same time, purposes to authorize
the expenditure of receipts in amounts
that may reach as high as e$200.00O.-
600. By the indefinite appropriation
for the railroad guaranty sabout $780,
00O,0 900 was in effect appropriated
without appearing in any of the state
ments Of appropriations
You see how 1t goes.