The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1934-12-28

Administrator Harry L.
states, counties and municipal
own money to care for all
chronic dependents per-
sons unable to work because
of old age, mental disabilities
or physical handicaps.
The terse order, effective
Feb. 1, will result in clearing
Federal relief rolls of almost
100000 aged, crippled, in
sane individuals who must receive
doles to live. 1t will leave around
100000 firn-bodied. clear minded
unemployed able to earn wages on
Government-f1nanced projects.
The order was interpreted in Off
cial circles as being the Admins
traticn's first move to base the New
Years relief program on work, de-
spite recent big business sentiment
for the cheaper "handout" system
be substituted.
Mr.. Hopkins order came as he
announced states, counties and cities
already had shouldered an increas-
ingly large relief burden.
He said the three groups of polit1-
cal subdivisions had spent 1928, $780,
$50 of their own funds for relief
during the first 10 months of 1884,
an increase of S71,514,677 over the
s252, 375, 1888 in the same period the
years before
Results of Mr. Hopkins new
orders probably will be three fold.
First, relief costs are expected to
mount slightly although relief rolls
will be decreased; second, those re-
naming on relief probably will re-
ceive more than the SIS to $50 they
now average each month; third.
state, county and local taxpayers
may be called upon to pay new
levies.
Work Relief Costs Higher
Mr.. Hopkins estimated work re-
lief is Is per cent more expensive
than direct relief, with the addition
al money needed for purchasing
materials.
Based on the S136, 791 ,26S allot-
ted the states to care for all needy
in January, federal work-relief costs
will reach about S157,300.000 a
month during the winter
Mr.. Hopkins pointed out that, if
states should use their relief funds
strictly for "employables. counties
and municipalities would be forced
to care for their own chronic de-
pendents."
The result would be increased real
estate taxes in many communities.
State participation in caring for
.unemployables" could be financed
through higher income levies. sales
taxes and other assessments.
The move will not place much
heavier burdens on large cities be-
cause they've been, for the most
part, caring for their dependents
right on through the depression just
as they did before 1929" Mr.. Hop
kinS said.
AllOttments Are Made
Wherever possible, he added, the
amounts that states spend in caring
for chronic dependents" will be
credited toward their contributions
to Federal relief.
Mr.. Hopkins allotted s136, 791 1863 to
states to care for about 19 million
persons in January. New York led
with s19,004.055; Pennsylvania was
second with s9,453,685 and Ohio was
third with sS,707 ,8SO California got
$685., $40 and Illinois S6,441,9 15, the
latter for the first Is days of the
month.
Mr.. Hopkins announcement came
as figures showed relief costs mount
ing. month by month.
All agencies = Federal, state,
county and Iocal-spent $175,789, 742
caring for 4.177,735 families in No
yember compared to SIS ,807,070 for
4,051 ,493 families in October, Relief
costs in November, 1888, were S70,-
810,514 for 3,365,122 families, COM
pared to s64,OSS,S13 for 3,010,51e
families the preceding October.
Unemployment Nears Peak
The American Federation of
Labor estimated unemployment in
creased by 100000 this year in No
vember over October. The total last
month was set at 11,459,000.
Mr.. Hopkins order, it was be-
Ieved. would prevent radical in
crease in Federal relief rolls this
winter, holding the number being
cared for below the 100000 mark
Donald Richberg, chairman of the
National Emergency Council, esti-
mated last summer that the unem-
ployment peak would be reached
this coming February, and indicated
% 100000 persons would be receiv-
ing relief. He did not, however, mem
ton any specific figure.
IF Mr. Richbergs indication holds
true and Mr. Hopkins move reduces
the present 100000 relief roll to