Evening star., 1936-05-16
Authority for $3.50, 600, 900
Use Is Considered by Ap-
preparations Unit.
CITY, STATE GRANTS
WOULD BE APPROVED
Sum Already on Hand in Form of
Revolving Loan Account-Ickes
Expected to Testify.
BACKGROUND


Chairman Buchanan OF Approprid-
tions Committee declared none of
money ,Dould 90 to ResettlemeNt
Administration, it seemed certain
that w. p. A. ,Dould haze full con-
troll OF the spending.
As both Secretary Ickes and Re-
settlement Administrator TugweH
protested being cut of from funds,
hoUeUer, President announced plan
for modified activities for their
agencies NoD Congress Uonders
just totat it is approprtating and
for i0tom.
BY the Associated "-ess.
The p. w. A. bloc fighting to keep
Secretary Ickes' agency in the relief
picture gained some ground in the
Senate today. An appropriation sub
committee studied proposal to make
$3.50. 900 900 available to Ickes to carry
on heavy public works.
This followed disclosure by Presi-
dent Roosevelt that p w. A. and Rex
ford G. Tugwell's Resettlement Ad-
ministration would be continued next
year in curtailed form and largely
under the financial auspices Of w. p.
A., headed by Harry L. Hopkins.
Previously, there had been reports
that p W. A. and R. A. would vir-
tually cease to exist. Tugwell had said
that unless he received more funds his
agency would fold up" after July l.
S250,oOO,ooo Already on Hand.
Under the proposal now before the
subcommittee, Ickes would be en-
powered to expend s250,000,000 in
grants to States and municipalities,
with the understanding that the
Reconstruction Finance Corporation
would make loans to enable the States
and communities to put up part Of
the cost of public works.
The $250, 0,O00, 900 already is on hand
in he P. w. A. Golfers, but it is in
the form Of a revolving fund from
which loans are made. The new pro-
posal to reappropriate it to permit
Ickes to expend it in outright grants.
The subcommittee is studying the
81, ,425 100000 relief appropriation for
next year. which was asked by Presi-
dent Roosevelt and the bulk of which
will be administered by Hopkins.
Ickes Expected to Testify.
Secretary Ickes had been expected
10 testify on an amendment offered
by Senator Hayden, Democrat, Of
Arizona to add s700, ,000, 900 for P. w. A.
to the relief bill, but it was indicated
today that he would not appear. Com
mittee members said he would like
the money, but that President Roose-
velt was opposed to the appropriation.
Mr.. Roosevelt at his press confer
ence yesterday indicated P. w. A.
and r. A. would be maintained on
smaller scale with money advanced
from the Works Progress Administra-
tion's funds.
Senator Wheeler, Democrat, of
Montana, leader of a group of eight
farm Senators who have asked the
subcommittee to take care" of the
r. A., said he would call a conference
to determine what should be done.
He said he wanted more information
on the nature of the Presidents ideas
Secretary Ickes conferred with
President Roosevelt for an hour and
half at luncheon yesterday. He
carried bulging brieg case, but de-
clined any comment whatever about
his White House conversation.
Hopkins, Tugwell Invited.
Presumably to talk over the latest
turn in the relief situation. the Presi-
dent invited Hopkins and Tugwell
as guests on q week end cruise, en-
barking last night at Annapolis.
After the Chief Executive made
his announcement about continuing
P. w. A. and r. A.. Senators who
have importuned the subcommittee
to expand or earmark funds directly
for the agencies greeted Mr.. Roose-
velt's assurances that Hopkins would
provide the money by asking, How
much?" The question was not
answered.
Hayden stated he would confer
shortly with P. w. A. leaders to ascer-
tain how much they are likely to get
under the terms of the Presidents