The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1924-12-02
AWAIT RESULT
OF LAW, URGES
PRES. COOLIDGE
Continued from page one

nd improvement of existing river
nd harbor works, Sl0,5O000O for
lood control on the Mississippi and
acSamento Rivers, and S5.437,6O0
or the operation and maintenance
canals and the removal of wrecks
nd other distractions. Of the $40,-
iG,ooO Tor maintenance and inn
roVemcnt Of rivers and harbors,
21,973,9l5 is for new work and
1924 ,575 is for maintenance. This
9ill make possible material progress
IL the most important projects APP
'ov - by Congress- Mnaa,n s,.,
w. is estimated that S6.54l $50
III be needed to complete Dam No.
at Muscle Shoals. OF this amount.
S3,5Ol 200 will be required this
car This will be covered by a
experimental estimate for 1925. The
balance-S3,040,3 800 is provided for
II these estimates.
There is included in these esti-
mates $50,000.000 to be set aside in
he adjusted service certificate fund
established under the World War
adjusted compen sation act of May -,
ga. This is for the second payment
o the fund to be made January /,
926. For the first payment. due
January l, 1925, S1OO.OOO,O0O is in
:udcd in the deficiency bill now I'M
er consideration by Congress. The
'pphcatlons from veterans so far
nave been below the estimated mum
Untitled to the benefits of the act.
the two appropriations recon-
nended arc made, it is estimated
here will be a sufficient amount
II the fund on January ]. 1926. to
meet the demands of the act Should
he number CT applications increase
beyond what present experience in
ttlicates as probable. there will be
|lmple time to submit a supplement
Ztal estimate for the additional
amount necessary before that date.
For federal aid to states the
,stimates provide in excess of s109,-
100000. These subsidies are pres
'rlbH by law. | am convinced that
Y ,-Soadening of this field of acti-
~ is detrimental both to Federal
I'D state governments. Efficiency
i federal operations is impaired as
heir scope is unduly enlarged Eff
iccncy of state governments is i'm
,a1rN as they "relinquish response
,iIit;es which are rightfully theirs.
am opposed to any expansion of
these subsidies. My conviction is
Dthey can be curtailed with benefit
|to both the federal and state govern
|monts.
For reclamation purposes am
Recommending $9,777,257 for 1926. 1t
lis highly desirable that the Con
future reclamation expenditures, en-
act the legislation cmbodying new
reclamation policies proposed in II.
r. 9G1l, Sixty eighth Congress, first
session.
q Public Debt Cut
"ihe gross public debt was reduced
81 ,098, s94,375 during the fiscal year
ended June 80, 1924, and stood at
S21;250,Sl2,989 on the latter date.
This reduction was accompli shed
through CD the application of the
sinking fund and other public debt
requirements required to be made
from ordinary receipts, aggregating
$457 ,750; (2) a reduction in the
general fund balance of $i35,527 $3.50;
and (3) the use of the entire surplus
of $505 1856. The annual interest
charges on the debt represented by
this reduction are equivalent to over
$45,000,000.
sine the high point Of $26,594 100000
on August 81, 1919, amounted to 3d.
y g 100000 at the close of the last
q seal year. This total reduction has
Effected a saving in interest amount
ing to approximately $225,O00,000 an
nu a saving which equals nearly
ot '3nird of the total annual pre-war
.enditures Of the government.
"The fixed debt charges are includ-
ed in the regular Budget or the Gov
eminent under definite plan worked
out soon after the close of the war
for the gradual retirement Of the
public debt, and mus be met before
the Budget can balance. The most
important of these fixed debt charges
is the cumulative sinking fund pro-
vided in the Victory Liberty Loan
act. EctireD3en:s TIN ough this fund
during the past fiscal year were
ab.'T S296.0c0 900. The next items
in Size among the fixed-debt charges
are the retren.ents OF securities re-
ceived from foreign governments un-
der debt settlements AKA tie pur-
rhases and retirements CT securities
from foreign repayments. These con-
iinuing reductions of the public debt
have very material effect in main
tanning high prices for Liberty bonds.
They permit the issuance Of new gov
ernment securities for temporary and
for refunding purposes 1T low inter-
est rates with consequent further
economy in Government expenditures.
Interest paid in the fiscal year 1924
amounted to 100000 Geo. 1t is es-
timated that this item gill be $780,
300, 900 in 1925 and SS3U,yO0.0G0 ip
1926. This saving OF $ll0.0la-Oo0 in
two years is the result of the reduc-
Mn in the amount of the debt and
.2crease in the aveSage rate of in
terest paid. The sinking fund is a
part Of the contract between the
United States and the holder of the
United States obligation, and, there
fore, can not in good faith be chang
ed. The continual steady effect of
these debt reducing factors is to cut
down the largest single item of gov
eminent expenditure, and permit
further reductions in the burden Of
1xation.