Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-01-30
TEXT OF PRESIDENTS SPEECH
TO BUDGET MEETING OF u. S.
Beneficial Effect on Every Home In Nation
Is Seen from Economy Policy
of Recent Years.

moneys which would otherwise be
spent without reproductive results.
There has been great improvement
in the business operations of our
Government. This is due primarily
to the establishment by the Congress
of a scientific plan for carrying on
the Nations business But the real
accomplishment has been in the ex-
ecution of this plan by the executive
branch of the Government with the
unwavering support of it's general
principles by the legislative branch.
We have learned that impulsive
recommendations or impulsive action
is out of harmony with good business
administration. In these days of
effort to make each dollar count we
have learned the lesson of mature
thought and mature elaboration.
We are giving relative weight to
each of our requirements and are
measuring them in the light of their
real Importance and necessity. And
upon this same principle we are look
ing forward and building for the
future.
1t is rather difficult to visualize
the real effect OF his successful effort
for construction economy In the
business Of the Government We see
certain tangible results, but there are
others equally, If not more, important.
We can visualize the vast reduction
In our public debt There Is brought
home to us the benefits of the three
substantial reductions made in rates
OF taxation. We know the firm grasp
which we have taken on our eX-
penditures. But there are other
things not so apparent. Prosperity in
this country has been increasing from
year to year since the depression of
1920. The calendar year which Just
closed was one of unprecedented
business prosperity in the history of
this nation. Your efforts contributed
materially to this favorable situation.
The reduction in taxes gavet the
people greater proportion of their
own income for investment in profit
able Industry. 1t thereby returned
more money to the channels of agri-
culture. trade and commerce. And
aside from all of this Is the great in
nuence which the economical opera
lions OF the Federal Government have
had on the people of this country. An
extravagant and poorly managed CEN
trai government necessarily has an
adverse influence on It's people. And
just the reverse influence flows from
a well ordered and well managed cen.
trail government.
Value of Coordination,
One of the great lessons we have
learned In the transaction of our bust.
ness Is the value of co-ordinated eff
Tort. Coordination in any business is
essential to success. The Nations
business Is no exception. For many
long years the executive departments
and establishments operated indie.
pendently. with little or no concern
Tor the common good of all. This is
no longer the case. The old order of
things has disappeared. In its place
we have a we'll co-ordinated executive
branch or the Government. Depart
mental lines have given away and de-
partment prerogatives have willingly
surrendered to policies and practices
which are adopted for the best inter.
eSts of ALL
The facilities at the disposal of the
Federal Government are extraordinary
both in class and character. In our
personnel are represented the highest
talent OF science. profession and trade.
We are utilizing our facilities and
talent not alone departmentally, but
interdepartmentally. The extent to
which we are doing this is increasing
OoL sAAoASih VA Aec pOSSADAitIpcb i8 en-
larged. s.
Coordination has brought a clearer
conception of what is required of us
q clearer conception of what our real
duty Is. For your assistance in CO.
ordinattng the routine business of
government we are maintaining GER
tain co-ordinating agencies. These in
erect are your agencies, their bust
ness is your business and the work
they are doing Is your work. / refer
to the chief co-ordinator, his assistants
and the several co-ordinating boards.
They are rendering valuable service,
and | urge you to give them your
hearty cooperation.
We are gradually but surely cover
ing the ground for Standardization of
methods and practices to cover opera
tionS which are common throughout
the service. Standardized Federal
forms are replacing the individual de-
partmental forms. We are still in the
period of transition, but the founda-
ton has been well laid, and we are
building on that.
Physical Plant Improves.
Keeping pace with the improve
ment in our business operations is an
improvement in our physical plant
This has been made possible by hold
ing down our ordinary current re-
quirements so that we could make
profitable investment. The building
programs prescribed by the Congress
will extend over q period of years. The
cost Is thereby wisely distributed SO that
1t can be absorbed without embarrass-
naent. The completion of these pro-
grams Will remove an overhead cost
and effect a permanent saving. This
is wise spending. 1t will bring a real
profit, which is the essence Of con-
structive economy.
In all directions we are taking up
the slack. We are striving in this
way to provide for engagements in
existing necessary lines of effort and
for the assumption of the cost of adj
ditional projects essential to the pub
lie welfare without materially increas-
ing the sum total Of our annual ex-
penditures. We are having q fair
measure of success in this. In 1926
we spent $3.529, 900, 900; in 1926, 49,
584, 100000, and II. Is now estimated
that we will spend in 1927 $3,643 ,0O0,-
900 and in 1928 $3.572, 000, 900.
With a. full Treasury and revenues
at flood it requires courage to con-
tinue along the lines we have been
following these last years. am
speaking not alone from the executive
STANDPOINT, Dut AiSO lfoIu d leSlSldIlVG
one. realize the great pressure for
increased appropriations brought upon
the Congress and / realize the envi-
able record which it has made in sup.
porting the principles of it's budget
law 1t is significant that the Con
gress has not granted the total
amount requested In any single bud.
get. 1t is pleasurable and easy to
give 1t is difficult to withhold
If the Treasury vaults were thrown
open and is accumulated capital drawn
upon until not dollar was left, even
then would we not be able to satisfy
the demands that probably would be
made from various groups and from
various localities. And who will say