Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1925-12-10
Presidents Word
(continued from Page One)


air: and declared that Every avail,
able resource Of the government Will
be employed in prohibition enforce
ment." He thought the total esti-
mates of $42,447,00o for the combined
air services should accomplish the
ends sought.
Concerning the tax bill. already
drawn by the House Ways and Means
committee, the President said 1t had
gone somewhat further than his judy
ment dictated with respect to amounts
and exemptions but he praised the
non-partisan character of the work
done and urged that the same spirit be
carried through in consideration OF
the bill by House and Senate.
Competition between the government
and the airplane industry is not con-
templated, Mr.. Coolidge said In refer
ring further to the air transportation
question. He felt that with the appro-
priations already made and the esu-
mates carried in this budget, the IN
dustry which he said should De KEPT
alive for a national emergency, would
be assured of a normal ana proper
growth.
Returning to the fiscal affairs OF the
government, the President expressed
nope LHdL tHtE tCuuStAc1 a."
now proposed would serve as fresh
stimulant to general business. He be-
Iieyed il would produce fresh tax
sources and increase or at least main
tain the governments revenue re-
aujrements without the higher tax lev
les of the present day.
"The outlook for the coming fiscal
year, 1927, is most favorable" Mr..
Coolidge continued. For that year 1t
is estimated that the ordinary re-
ceipts will be $3,s24.530,0o0 and ex-
penditutes $3,4s4.222,o00. This indi-
Gates a surplus of $330.S07,0o0.
THE outlook for 1925 and 1927
shows clearly that the united effort
of the executive and legislative
branches of the government for econ
omy in federal expenditures is bearing
further fruit. In the first four fiscal
years there have been two substantial
reductions in taxes. We have restored
to the people part Of the moneys
which We required OF them to finance
the world war. We are now in that
favorable position of making further
, restoration. The Budget and Ac-
counting Act contemplates that under
the fortunate conditions in which we
now find ourselves the Chief Execu-
tive will make recommendations to
the Congress as to the disposition of
the estimated surplus of revenue.
therefore recommend to the Congress
that there be a further reduction in
taxes. The satisfaction of the Chief
Executive in having opportunity
to make such a recommendation l
know is shared by the Congress
whose cooperation with the Chief
Executive in the conservation of pub
lie funds has made such reduction in
taxes possible.
THE Ways and Means Committee
Of the House of Representatives has
been informed of our prospective sur
plus for 1927. That committee has
prepared a tax reduction measure.
While this measure somewhat exceeds
my judgment in amount and in exemp-
tions, yet with continuing pressure
for economy in the federal service and
the stimulation to business which
will result from tax reduction. per-
haps we can make further reduction
| in taxes OF about the sum total Of our
prospective surplus for 1927 without
jeopardizing the balancing of our
annual budget. Such reduction, how
ever, should carry an obligation not
| to embark upon new projects involv-
ing large annual expenditure If we
are to safeguard the integrity of our
budget
1.-The fruits of our labors are re-
fected in the coming tax reduction
measure. 1t reflects the results OF
the efforts of the servants of the peo-
pie and of their representatives in be-
half of the people. There have been no
partisan politics in expediting it's
, preparation. I hope this same condi-
In, b. ;Aar . {r,,,
Of the measure.
| This brings US to the estimates of
| appropriations contained in this bid
get. These estimates reflect the con-
| tinuing pressure for economy in fed
eral expenditure. We have about
| reached the time when the legitimate
| business of government can not be
| carried on at less expenditure than
| that which it now requires. With re-
| gard to our legitimate business the
| operating costs have been reduced to
nearly a minimum. The normal ex-
| pansion of the business of the gov
| eminent in keeping pace with grow
ing nation will involve added expendi-
| ture from year TO year. The effort
| for economy. however. must continue
So far as 1t lies within the power of
/ the Chief Executive it will continue"
The President said he would send
| to Congress later request for funds
| to expand the Coast Guard as a part
of his prohibition enforcement pro-
gram. The plan will include construc-
ton Of 10 new cutters and a number
of smaller craft, with complete per-
| sonnet and equipment. The cutters
| would serve in part in prohibition en-
| forcement.
Federal road aid was discussed by
! the Executive and he reminded Con-
| gress that any further expansion of
the nations commitments in that d.
rection meant taking more money
from the people through both federal
| and state taxes. He suggested that
while no change could be made in the
| governments policy for the time be-
| ing. he believed that later the federal
| participation should be confined to
construction Of primary or interstate
highways.
Mr.. Coolidge adverted TO the
changed indications of receipts and
| expenditures which had been estimat-
| ed for the current year and said that
| instead of refunds totalling 100000
600 on taxes illegally collected present
indications point to refunds of $751;
| 100000.
A