Evening star., 1936-01-05
FAST PACE SHOWN
IN i. S. SPENDING
FOR PUBLIC WORKS
December Total Is Close
to 200 MiIIions-Shift
From ''DoIe" Cited.
HUGE FLOW REGARDED
AS SPUR TO INDUSTRY
Effect on Construction and Mate.
rials Seen-Many Projects Still
\ in Early Stages.
BL FREDERICK GARDNER,

BL FREDERICK GARDNER,
Associated Press Financial Writer.
Federal expenditures for public
works have risen rapidly toward the
peak of the Winter spending program.
Rejecting the shift away from the
"dole," works expenditures in Decem-
ber-aS recorded in the Treasury's
month-end ACKNOWLEDGEMENTS
5000, 900 900. including the outlay for
housing and the Tennessee Valley
Authority
The major part of Government ex-
penditures for recovery and relief"
last month went into public works.
They accounted for nearly third of
the December Federal expenditure
total.
With the greater part of the $4,000
100000 works fund unspent. the flow
of Government money into construc-
tion and materials counts Importantly
in appraisals of the industrial outlook
for the remaining Winter months and
Spring.
Steel Men Cheered.
Steel men say prospective orders for
structural material should help
counteract whatever letdown in de-
mand for their products might de-
velop In the event earlier production
of new automobile models cuts into
the usual Spring rise in motor output.
Building contract awards have risen
sharply in wake of the increase in
expenditures for public works. Pub
hcly financing contracts accounted
for three-fourths of the sl38,383, 900
reported by the F. w. Dodge Corp. to
have been awarded in the first half
of December. The daily average value
Of building awards was about three
times larger than in the comparable
1884 period and SO per cent above the
November figure.
Many Of the works projects, par
ticularly large construction undertak-
ings, are in their early stages. Some
works authorities say the full force
of spending in that line may not be
felt until late this month or later.
May Remain Unused.
Despite the step-up in spending for
works, however, Treasury observers
figure a substantial part of the $4,-
600 100000 fund may remain unused
at the end Of the current fiscal year
next June.
Some assume that whatever is left
over would be considered a reserve
for the following fiscal year in the
event the forthcoming budget bears
out expectations of a slash in esti-
mates for continuation Of the works
program.
The Works Progress Administration
swung into brisk spending stride
last month, with outgo topping sll9,-
100000. That lifted its total for the
current fiscal year to s2l5,315,000.
The Treasury credited w. P. A.
with the largest amount-S956,4 ,4Ol,-.
2o8-of unexpended ALLEGATIONS:
Additional expenditure of s15,320,-
900 for public highways brought the
total for the fiscal year to about
s140,000,000
Jumped under the head of "all
other" were works expenditures total
ing $35, 5,767,549 in December and
s189, ,979,029 for the first half of the
current fiscal year.
Total works expenditures for the
six months-from July / to the end
OF December-approximated $700, ,000,-
600. most of it spent in the last three
months.
Repayments Start.
The Treasury had liberal fore
taste last month of what some officials
believe may assume important dimen-
sions this year-repayments against
loans by Federal agencies.
Excess credits" approximating $685.
100000 were entered on the Treasury's
books in December for account of
leading lending agencies, thus ena-
bling the Government to show smaller
expenditures for the month than for
the comparable 1884 period.
Ihe excess OF credits Is deducted
from the expenditure total In the
Treasurys statements.
For the first half of the fiscal year
excess credits amounted to nearly
s100. 100000.
Repayments on loans to railroads
contributed about $28,000,000 of the
December surplus of credits: farm
loans, s7,600.000; the r. F. C. more
than $4,000 900 and ioans and grants
to States, communities and other bor-
rowers added nearly 100000.
The r. F. c. promises to be the ma
jor source of repayments this year If
business recovery continues. Repay
ments by private borrowers have been
ahead of new loans for some
time.