The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1931-02-26
Similar Fate for
Measure Expected
When Senate Acts
CONTINUED from page one,

many others Of our people. These
like the others, are being provided the
basic necessities OF life by the devoted
committees in those parts Of the
country affected by the depression OF
drought.
The government and many EN-.
ployers are giving preference TO vet.
Grams in employment. Their welfare
is and should be q matter of concern
to u people.
Inquiry indicates that such care is
being given throughout the country
and it also indicates that. the number
Of veterans'in need of such relief Is a
minor percentage Of the whole"
Hardship For Wives
The president also said that to, al
low veterans to borrow to within SC
per cent would work q hardship on
the wives and dependents Of veterans
who will have used the value of their
certificate and thereby deprived OF
necessary insurance.
The need Of our people today is a
decrease in the burden of taxes and
unemployment, yet they (vno include
the veterans) are being steadily
forced toward higher tax levels and
lesSened employment by such acts
as this" he said.
Terming the legislation Of grave
importance itself, the president said
"of much graver importance is the
whole tendency to open the federal
treasury to a thousand purposes,
many admirable in their intentions
but in which the proponents fail or do
not care to see that with such begin
nings many Of them ~inSidiously con
sumo more and mor of the savings
and the labor of our people.
I'm aggregate they threaten bur.
dens beyond the ability Of our coun-
try normally to pay; and, Of far high
er importance, each of them breaks
the barriers of self reliance and self
support in our people," he added.
Presidents Message Given
The text of President Hoover's
message vetoing the veterans loan bill
follows:
To the House Of Representatives:
I return herewith, without my ap-
proval, H. r. 17054, IAN act to in
crease the loan basis Of adjusted
service certificates" In order that it
may be Clearly understood, I may
review that the adjusted compensa-
ton act (bonus bill) passed on May
10, 1924, awarded to 3,498 900 veterans
approximately 81, 1865, 100000 further
compensation for wal service. TO
this sum was added Is per cent, said
to be consideration for deferring' the
payment until about 1915, the whole
bearing 4 per cent compound interest.
Immediate payment to dependents
upon death was included, thus Great
ing an endowment insurance policy
represented by a certificate to each
veteran showing the sum payable at
the end OF the p~eriod-the face
value"
After paying the sums due of less
than $50 and payments in full to de-
pendents is $3,426, 900 900 held by
1897 900 veterans or ar average Of
about $1,000 each.
Describes Planned Burden
The burden upon the country was
to be an amount each year sufficient
as a yearly premium to provide for
the payment of the face value" Of
these certificates in about 1945, and
to date has involved an appropriation
averaging $4,000, 900 per annum.
The accumulation of these appro-
priations is represented by govern
ment obligations deposited in a re-
serve fund, which fund now amounts
to about $3.50, DOC, 1000. A loan basis to
certificate holders was established
equal to 80 per cent OF the reserve
value of the certificates, such loans
now in the sixth year being author
lied to 2c1a per cent of the face
value"
When the bonus act was passed it
was upon the explicit understanding
of the congress that the matter was
closed and the government would not
be called upon to make subsequent
engagements: 1t Is SNOW proposed to
enlarge the loan rate to so per cent
OF the. face yalYe." at 2 low rate Of
interest, thus imposing a potential
cash outlay upon the government OF
about $l,7Oo, 0co 1000, If all veterans
apply for loans, less abou. $3.50, O0O, 600
already loaned. According to the
administrator of veterans affairs the
probable number who will avail
themselves OF the privilege under this
bill will require approximately $780,
100000. There not being a penny in
the treasury to meet such a demand,
the government must borrow this
sum through the sale Of the reserve
fund securities together with further
Issues or we must need impose fur
ther taxation.
Sole Appeal Il Distress
. The sole appeal made for the re-
opening Of the bonus act Is the claim
that fuiids from the national treas
ury Should b. provided 70 veteFAms n
distress a< the result Of the arpagha
and business depreasion. THEIRS III