New-York tribune., 1922-05-03
Senators Favor
Bonus Bill to
Cost 4 Billion
McCumber Measure, Which
Differs Little From the
House Program, Obtains
Committee Endorsement
Harding Approval Sought
Smoot to Push His Insur-
ance Plan in Chamber
i'll Form of Amendment
From, TIE Trsouse's Washington Bureau

From TIE Tribare's Washington Bureau
WASHINGTON, May 2-Senate FL
nance Committee Republicans. at
meeting to-day decided to support the
general principles of the McCumber
bonus bill, which is a modification of
the bill already passed by the House
The bill, which thus far is but roughly
outlined, will be written in detail and
within the next day or two put up to
President Harding. Efforts will be
made by Senator McCumber, chairman
Of the Finance Committee; Senator
Watson, Of Indiana, and other sup
porter Of the bill to get the President
to indorse it,
lnasmuch as the revised bill does
not differ greatly from the House bill.
much doubt is felt here that the Presi-
dent Will sanction it. The Finance
Committee leaders, however. are pro-
ceeding on the theory that the Presi-
dent will not veto it.
Cost Of the bill. as estimated by Jo-
seph s. Mccoy, Treasury actuary. will
be nearly s4,ooo,oOO.000 by 1865. when,
it is calculated. the benefits under it
will cease.
Smoot to Push Amendment
The Finance Committee Republicans
are by no means unit in support of
the McCumber plan. They are as much
divided as ever. The majority favors
the McCumber plan as distinguished
from the Smoot paid-up insurance plan
Senators Smoot, Calder, Frelinghuysen
and Dillingham; are for the insurance
plan. which would not permit loans
Senator Smoot indicated at the meet
inG to- day that he would not press his
plan further in committee, but would
offer it as an amendment on the floor
of the Senate.
1t is recognized that if the President
should oppose the plan too strongly
1t would doubtless be revised in an eff
fort to meet his objections. If the
President does not take a stand against
1t, it will be submitted to a conference
of Republican Senators after it has
been reported from the Finance Com
mittee.
Estimated cost OF the McCumber
plan. according to Mr. Mccoy, is ST.
100000 for the first year. S92, ,O00. 900
for the second year. $4,000 600 for the
third year 1876 100000 for the fourth
year. 81 1876, 100000 by 1943, and $685.
100000 by 1866,
Time Limit Taken Off
The limit Of time within which ap-
plications may be made for benefit is
under the bill has been taken off under
the McCumber plan. The land settle
ment provision of the House bill is
stricken out. The loan provisions are
substantially the same as in the House
bill, the loans to be obtained for the
first three years from banks, and after
that from the government Although
there has been talk of limiting the
first loans to 25 per cent of the ad-
Justed service pay, the bill as it now is
outlined provides for so per cent at
the outset. At the end of three years
the loan value would be 80 per cent of
the adjusted service pay plus Al per
cent interest annually.
The bonus question came up on the
floor of the Senate for a short time
to-day. Senator Smoot indicated he
would object hereafter to considering
anything but the tariff measure.