Evening star., 1932-09-08
RELIEF BUILDING
RULING PUZZLES
FEDERAL OFFICIALS
McCarl to Be Asked for More
Detailed Decision on Ap.
preparation Cut.
S1O,OO0,000 OF FUNDS
MAY BE IMPOUNDED
Other Alternative Is to Curtail
Each Project, but Spend
Entire 500, 100000.


raced with decision by Controller
General McCarl which apparently cuts
Slo'ooo,oOO of the 100000, 900 con-
Struction fund provided in the Wagner
Garner relief bill, the Treasury Depart
ment today was planning to ask Nc
Carl for a reconsideration of the prob-
lem.
Inc McCarl decision held Congress
intended to apply the 10 per cent cut
ON expenditures made by the economV
act TO the relief act appropriations
Inc Treasury had asked McCarl for
decision on the matter and had
pointed out that 1T Is not believed
tnat II was the intent of Congress to
consider this provision as a modifica-
ton.
Followed Economy Act,
The relief act was passed after +b.
economy act.
Meanwhile Secretary Mills said that
under the McCarl ruling the public
Duliolng program in the relief act an
100000. w S'''
The announcement of the program
ana lts various projects is expected hv
secretary Mills to be made public at
1ne Wnlte House shortly. However. the
treasury head declined to say whether
ne mad certified to President Hoover
tnat the public finances could not af-
Ioro 70 undertake the program at this
t;me, an alternative allowed him by
the relief act ~
Mills also said that while McCarl had
noS ruIeo on the entire S322, o @. 600
public works section of the relief sct
other officials Of the Treasury said the
controller general would make the
Same ruhng under the provisions of the
economy act to the public roads. flood
ccntroi, Army housing and other
provisions.
Cites Words Of Act.
IN reply to the Treasurer's request
1or a ruling on the matter. McCarl had
referred to a provision of the Economy
act which declared "appropriations
available for the fiscal year 1894 for
PUBLIC works, whether contained in this
act or acts prior or subsequent to the
GATE OF the approval of this act" would
ne subject to the 10 per cent reduction.
Inc chief question which, 1t is UNDER
$1,000, the treasury will wish to have
tne controller general clarity will be
whether the 10 per cent cut reduces the
whole appropriation of $100, ,O0O. 600 to
a nat $50, ,000, 900. the 10 per cent to be
imoounoed In the Treasury, or whether
tne economy act would apply to limits
0! costs OF the specified projects indi-
viouaiy. leaving the remainder of the
tion. '0'i uS
AT the Treasury attention was called
10 That section of the relief act which
appropriates the >S100, ,000, ,000 and en-
pnasS was laid on the fact that the
wagner Dill was passed as relief meas
ure after the economy act.
Measure Is Quoted.
The relief fund was made available
language:
:. For emergency construction of pub
nc building projects outside the Dis
trlct OF Columbia Gncluding acuuisi-
tion, where necessary, by purchase,
conoemnation or otherwise, Of sites and
aooitional land for such buildings, the
oemoltlon OF old buildings, where
modelling or extension of buildings1
sucn projects to be selected by the
secretary OF the Treasury and the
postmaster General from the nubIic
building projects specified in House
oocument No. 788, Seventy-first Com
ereSs, third session $100, 600 600, Such
projects shall be carried obt within the
nmlts OF cost specified in such docu-
ment except as modified by law). and
IN ms selecting such projects preference
snaII pe given to places where Cow
srnInent faculties are housed in rented
ounolngs under leases which will ex-
pure on or before July l, 1884, or which
date by the Government"
Although the McCarl decision uor At
fec1eo speclf1cally to the SIOO. 600 0Oo
iuno OF the Wagner bill to be handled
oy tne Treasury, there was Considerable
conjecture today as to whether the de-
cLslon also may apply to other parts Of
the total relief program of the ACT in
VolVlng S322 400, for expenditure on
many otner phases Of Federal develop
ment.
Roads Program Studied.
At the Bureau Of Public Roads. in
formal opinion at first Indicated the
McCarl decision probably would NOT
cause cut OF 10 per cent, but a careful
study was to be given to the McCarl
declslon to see just how it would apply.
Inc relief bill carries s120, 900 600 for
feoeral aid to be apportioned to the
several States.
Among other appropriations in the
rene1 Dill are: Directed road conStruc-
ton, $4,000, 900; river and harbor nroi-
ects heretofore authorized, $50, ,o0C. 900:
hood control projects. SIS, 500 600; con-
tlnuatlon OF Boulder Dam project, So.
OO0,000; aids to navigation, S4,3lO.OO0:
Coast and Geodetic Survey, S1,250, 900:
navy yards and docks, $4,000 600:
army housing, $15,164,000
In previous decision interpreting the
economy acts influence on appropria-
tions for public buildings, McCarl haa
held that the 10 per cent cut would prr:
apply where contract had alreaoT
been let for the project. Some Govern
ment agencies were counting on this
Interpretation to save some of the re-
lief money from the cut, for instance.
Hoover Dam, which is well under way.
Cost Limits CurtaiIed.
In his latest decision, McCarl told the
Treasury that ''it will be noted that
Section $40 requires a reduction of 10
per cent OF the limit of cost as fixed by
authorizations heretofore granted by
the law for the construction of nublic
buildings and public improvements.
whether an appropriation therefor has
or has not be,n made.
In the case Of Section 301 (A) Q0)
the authorization and appropriation are
concurrent and did not become law
until July 81, 1882. As an emergency
relief matter Congress authorized the
Of 100000 900 fer projects
to be selected from document 1888 with
in the limits specified in this document.
and ten qualities this proyision \ the