Evening star., 1925-12-09

mall functions of the COAST ''uard
alone REQUIRE these additional cutters.
so that their construction will serve
twofold purpose. Every available re-
source Of the Government VIII he EN-
ploved for prohibition enforcement.
The recommended tionS which j propose
to make to the Congress are for the
purpose of increasing this availab
force. such reinforcement is needed.
1t should he provided.
in furtherance of the policy OF
ha cking this Salutarr law with the full
power of the Federal Government.
funds are carried in these estimates
for strengthening that branch OF the
Department of Justice which is
charged with the prosecution OF viola
tors of it's provisions.
Calling attention to the fact that
Federal aid To the States in the end
comes out OF the peoples pockets and
that hy increasing such contributions
on the fifty-fifty plan the Government
encourages the States themselves to
still greater expenditures. the Presi
dent warns against increasing this
prac ctice. He SAYS:
requiring more than sos. 200 900. The
estimates for this purpose for 1927
amount to something in excess OF
81 l10. .000. .000. The principal item is for
rural post roads. for which an appro-
priation is requested Of $50 .000. 900.
The law authorizing Federal aid to
States for the construction Of rural
post roads does roi extend beyond the
fiscal year 1a:,. The amount Of $50
600 900 does not discharge our entire
obligati ton under existing law. In ad-
dition to this amount. the authoriZa-
tionS for which moneys have not vet
been Appropriated amount of $i16.-
100000 Without further legislative
action We therefore face an obligation
Of Sll6.10o. 900 over and above the
amount carried in this estimate
The Federal Government has been
generous in its participa tion in State
road construction. having authorized
appropriations amounting to $3.50 .O06.-
600. Federal contribution to State
highway construction was proba bly,
necessary in the beginning. 1t has
expedited and so co-ordinated con
structicn that all expenditures would
he reflected in a definite and approved
connecting highway system. On the
other hand. there is no question but
that Federal contributions have mate.
rally added to State expenditures Of
State funds. | am speaking for what
| consider the best interest of the
people. While Federal taxes have
been reduced. State and other govern
mental taxes have been steadily in
creasinc. Federal aid to States has
Influenced this latter condition We
should keep in mind that the moneys
which we have contributed to the
States are taken from the people. who
in turn also pay the moneys required
by the States to finance their own por.
ton of the cost. The entire cost falls
upon the people. 1t is true that the
necessity and deman nd for good roads
are constantly increa sing. but they
should not be constructed faster than
the taxpayers can afford to pay for
them. The amount that taxpayers
can afford to pay can best he deter
mined by the citizens of each State
Big Surplus Seen.
The President early in his MESA se
speaks of the big increa Sc in the sur
plus of receipts over expenditures for
the fiscal year ending June 80 1928,
a s compared to the original estimates
He refers also to the big increases in
expenditures which have come about
through the enactment of the sol
diers' bonous law, which he opposed.
He SAYS:
The budget for the fiscal wear 1925.
ira ransmitted to Congress December !.
1924. indicated that for the fiscal year
ending June 80. 1925, there would he a
surplus of receipts over expenditures
OF S61, ,sS4 .489. The actual surplus was
$3.50 .23S. This gratifying differ.
ence between estimates and actual re-
suits was due mainly to unexpected
increases in receipts. though a reduc-
tion In expenditures helped to swell
the total.
\
that receipts for the current fiscal
year. 1926. would amount to $3.641.-
295,0s2 and expenditures $3,267, ,551,37S.
forecastlns a surplus of receipts over
expenditures of s373.743,714. This es-
innate. which was made one year ago.
has materially changed On the re-
ceipt side of the ledger the operations
OF the first five months of this fiscal
year indicate that we will receive
s3.SSO, ,716, 900, or approximately S239.-
100000 more than was estimated a
year ago. There Is an estimated in
crease of S143,125, 900 alone in our in
ternal revenue, which indicates plainIy
the stimula ting influence on business
or the last tax reduction law On the
other side of the ledger the expendi-
lures estimated a year ago as $3,267,-
90 ,ooo stand Increased today to an
estimated total of $361S,675. 900. an in
crease of 1851 .124 900. The indications
today are that the surplus for 1926 will
amount to f262, ,O41 900.
Supplemental Estimates to Follow.
s 1T is appropriate here to mention
the principle items which enter into
this increa Sc in estimated eXpendi-
lures for the current fiscal year, for
which 1t will be necessary to submit
supplemental estimates to the Con-
gress. The budget for 1925 carried an
estimate of $4,000. 1000 for the second
payment to the adjusted service GER
tificates fund established under the
World War adjusted compensation act
of May 10, 1924. In submitting that
estimate 1t was stated that should the
number Of applications increase be-
yond what the. then conditions indi-
Gated as being probable a supplemental
estimate for the additional amount
found necessary would be presented.
The indications today are that there
will be issued not less than 3,400, 900
certificates of insurance at an average
cost Of 81 ,G33 each. On this basis the
cost of the World War adjusted COM
pensa ton will reach \$3, 500. .0O0. 600
cial obligation which 1t creates shall
be equally distributed over a period
of 30 years. To meet this obligation
will require a payment of $1O6 ,0OO, 900
to the fund on January l. 1925, in ad-
dition to the $50. 200. 900 already appro-
priated. Subsequent payments to the
fund will require approximately &140,-
600. 900 annually.