Evening star., 1932-06-02
SUBSTITUTE RELIEF
PROGRAM PLACED
BEFORE CONGRESS
Administration Measures Are
Along Lines Suggested
by Hoover.
GARNER PLAN ATTACKED
BY MILLS AND HURLEY
Cabinet Members Say Huge Outlay
Would Give Comparatively
Little Employment.
By the Associated Press

BY the Associated Press
Al administration relief program
was put before Congress today while
two cabinet members were assailing
the public works phases of Democratic
measures before Senate and House
committees. Representative Hawley,
Republican. of Oregan introduced the
administration measures, which, he
said, were drafted along the lines sug-
gested by the President in his speech
to the Senate few days ago.
At about the same time, the pro-
gram was being explained to the Sen
ate Banking Committee by Secretary
Mills during his attack upon the pro-
posed bond issue for public works car
ried by the Democratic program.
Relief Loans Provided.
The administration program called
for $500 100000 for relief loans to
States and Sl,500, ,0000 900 more borrow
ing power for the Reconstruction Cor
poration for loans on self -liquidating
projects
The Treasury head said the Demo-
cratic proposal for a bond issue would
''unbalance" the budget
Both he and Secretary Hurley, who
was appearing at the same time before
the House Ways and Means Commit
tee in opposition to bond issue for
public works, said the huge expendi-
lures involved would give comparatively
little aid TO unemployment.
Mills piled this objection upon the
contention CF 81
carry cut such projects would break
down a sound financial policy pursued
since the beginning of the Government"
and open "a breach which 1 am fearful
will be only too promptly Widened"
He said that of the S500,000, 900 pro-
posed by Senate Democrats for public
works. s265, 100000 would give work to
only 53.943 men.
Work Chiefly Mechanical"
Hurley contended that river and har-
Dor work was chiefly mechanical. Dis
cussing different projects totaling Sl54,-
that expenditure would furnish jobs to
only 63,442 men.
The Hurley attack was directed
against that section of the Garner plan
which calls for spending $500, 600 900 on
rivers and harbors works.
Altogether the Garner plan calls
fer $1,000 100000 to be spent on all
sorts of public works.
On the Senate side of the Capitol
Mills voiced approval of those parts Of
the Senate Democrats bill which call
for a s300,000,000 fund for direct re-
lief loans to States; for $l460, 900, 900
fund for loans on self-liquidating con-
struction projects and S40,000000 for
financing n
countries.
Mills approval of the proposal for
S300000,000 fund for direct relief was
qualified by the suggestion that addi-
tional restrictions should be placed on
loans under it.
The only limitation is the certification
by the Governor as to the necessity for
such funds" he said. This does not
seem to be adequate
Advocates Definite Tests.
Certain definite tests should be spe-
cifically provided in the law adequate to
demonstrate that the State needs the
funds and has exhausted its own avail
able resources before it shall be per-
mitted to turn to the Federal Govern
ment for relief
Whether the State has complied with
these requirements should be determined
by duly authorized agents of the Fed
eral Government. I know of no con-
ceivable reason why great. rich States
like New York and Pennsylvania should
receive a grant from the Federal Treas
ury or be invited to accept one. They
are well able to take care of their own
The bill should be drafted so as TO
provide for an emergency fund for the
States that need it; not for gratuitious
distribution to all States on per capita
basis irrespective Of nsed or resources -
While Hurley was testifying before
the Ways and Means Committee. Speak
er Garner entered the room and took
a seat facing the Secretary.
Hurley said the regular budget ex-
penditure for new work on river and
harbor and flood control provided ir
the appropriation bill for next year
amounted to 69,529,850. and would
provide employment for 29,264 men.
Under $154399,750 of projects that
Continued on Page 2, Column g.