Evening star., 1932-09-05
Bureau Faces Task of Limit
ing Operating Costs TO
Prospective Revenues.
R00P TO UNDERTAKE
ESTIMATE ADJUSTMENT
Executives Will Be Asked to Show
Their Activities and Indis-
pensable Expenditures.

The titanic task of limiting the Gov
errment's operating cost to prospective
revenues in the next fiscal year will gain
momentum at the Budget Bureau with
the opening Of executive hearings to-
morrow.
Definitely dedicated by President Hoo
yer to balancing the budget in the year
ending June 80, 1894, his own agency
already has attacked the problem of
pairing the expenditures proposed by
headS OF executive departments and es-
adjustments.
Last December, in transmitting to
congress his budget estimates of So 3,942,-
754,6l4 for the current fiscal wear. the
Chief Executive outlined his program
Tor a balanced budget for 1884.
Mr.. Hoover then emphasized that "the
welfare Of the country demands that
tne financial integrity of the Federal
government be maintained" This he
Termed necessary factor in the re-
ouliding OF sound national prosperity"
Three Steps in Program.
He said the 1888 budget presented a
Definite program involving three stems
First. material reduction In the an
tlclpated deficit for the current fiscal
year; second. relation between receipts
and expenditures for the fiscal wear
1883, which will avoid further increase
Ia tne pubic debt during that year, and
thlrd. balanced budget for 1894"
Behind closed doors at the hearings
which will continue morning and after,
noon through October 29, responsible
executives will be asked by j. Clawson
Roop, director Of the Budget Bureau,
to show:
First, their essential activities and
indispensable expenditures.
Next. important activities in the or
DER OF their priority and their estimated
costs.
The bureaus effort, as outlined by
Roop, then will be to adjust the estt-
,, mates to take care of all of the Gov
ernment's essential activities and as
many OF the other important activities
as permitted by the money the Treasury
estimates will be available.
Last year the President publicly
called upon department heads, in view
OF the obvious necessity" for great
economy, to hold their estimates to the
| lowest figure possible The total budget
estimate, approximating $4,000 ,0OO. 600.
was S52,271, ,920 less than for the pre-
ceding year.
Presidents Estimates Cut.
Congress cut the Presidents estimates
/ by about $l0O,000,000 The total was
augmented, however, by about a billion
dollars appropriated for the emergency
relief program and for loans on the
soldiers bonus certificates.
Roop said that, so far as he knew. the
President this year has issued no state.
ment, letter or circular, as he did a
year ago.
But I suspect" he added, from the
way some of the estimates are coming
in, that he has discussed it in cabinet"
September was the deadline for all
estimates to be in Roops hands. Prior
to the hearings, analysis IS being made
and totals reached.
To arrive at a working base, the
budget director required departments
to list special or non-recurring items
for 1888, not required in the fiscal year
budget to be deducted from the total
available FOR 1888. Additional require
mentS over this 1894 base" then are
listed in the order of their priority.
Roop, curing such hearings, keeps
President Hoover constantly advised
Frequently the budget director confers
with the President several times daily
20 gain his views. Thus, he explained,
the decision is really the Presidents
own. 1t was for this purpose of aiding
the President, he said, that Congress
created the bureau.
The figures will be made public only
when President Hoover transmits the
budget to Congress in December.