The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1923-04-13
NEXT CONGRESS
WILL EXPEND
BILLIONS
$7,5oo,ooo,ooO Is Estimate
BY Congressman Madden
After Fiscal Survey.
BY A. O. HAYWARD,
International News Service.


The next Congress will cost the
people of the United States about
1880, OOO, 900, or $3.50. 100000 for
each of it's two years, Congressman
Martin B. Madden R.) of Illinois,
chairman of the House Approprla-
lions Committee, estimated today
after a caeful survey of the Gov
ernment's fiscal outlook.
Stupendous as that figure may
seem, it will be about hall
billion dollars cheaper than the iast
Congress, which spent more tlan
$4,000. 900 900.
There will never be another bill
lion dollar Congress, Chairman
Madden predicted, recalling now
startled the country was few years
ago when the national legislators
for the first time in history mace
appropriations in excess or a oil
ZION dollars The country has grown
and is growing too fast, he believes.
Cost OF Operating u. s.
The annual fixed charges of the
Government are now about $2,OOO,-
OOO. 900 a year. These are made up
of the interest on the public debt,
deposits to credits of sinking funds,
retirement of Treasury certificates,
postal savings certificates, pay
nnents of soldier insurance and dis
ability allowances, pensions. Gov
eminent participation in good roads
construction and similar items. Be-
fore the world war the public debt
interest charge was $22,O 100000 as
compared with $975, 100000 at the
present time.
The actual cost of running the
oh
OOO, 900 for the present fiscal year.
This includes the cost of army and
navy, the various departments. bu.
reaus, boards, commissions and all
the multifarious agencies now con-
nected with the Government. A
few years ago this cost was about
81 ,000, 000, 900 a year 1t is doubt
full, says Madden, whether the &C.
tual cost OF running the Govern
ment can be reduced again below
the 81 500, 900 900 mark year.
1.-THE country is growing and has
grown too fast" he said.
"It does not follow that taxes
shall remain as high as at present"
Madden continued. "As fast as we
can lop off 100000 from the cost
of Government, l would favor a re-
duction in taxes, even if we re-
vised the taxes each year" he SAID.
THAT is a reduction of 81 for each
man, woman and child in the
United States, but greater reduc-
ton in fact, for there are only
about 1000 900 Federal taxpayers.
Taxes are high in this country.
About SO per cent of a persons in
come is taken for local taxes before
the Federal Government reaches
out its hand.
FavOrs Tax Reduction.
81 agree with Secretary Mellon
that reduction of the rate of taxes
on the higher incomes will result
after the first year in larger gross
returns to the Government. l adj
vocated two years ago maximum
surtax of % per cent on largest
incomes, making the total income
tax on such 33 per cent. Such a
rate would encourage investment.
expansion of business, incentive to
larger profits, and greater prosperity
TO the country. think with Sena-
tor Smoot that it cannot be done
this next year, because we have
appropriated for receipts as we es-
innate them to be-"
The Government should undertake
NO great pubic OuILuIISS CApCHul'
lures program during the next year,
according to Madden. I'VE should
not enter into competition with the
home builders who are busy now"
he explained During the war
home building stopped, with the re-
suit there came a shortage OF
homes, high rents, and suffering.
After the war home building revived
but costs were excessive. They are
now about 1855 per cent as compared
with a pre-war level of leo per cent.
II expect this home demand to
cease within year, and the Govern
ment could start in then on its
building program. There are many
public buildings needed badly, By
this course the Government could
take up workmen where they leave
off in home building, insuring them
steady work, and turn much bust
ness over to the building trades and
allied lines and to the railroads. We
are now getting ready to build about
forty of the 1870 new buildings au-
thorized in 1918. We might author
lie many more during the next
year, but we should not appropriate
for them"