Evening star., 1937-05-12
&c. G.0.P.LEADSDR|V
FOR STATE RELIEF
Federal Grants System Up
held to Get Bigger Ratio
of Cash to Needy.

BACKGROUND
With dwindling revenues presao-
ing ldroer-than-anttcipdted def
cit, President Roosevelt recently
called on Congress and departments
to pare all expenditures. Among un-
expected results ,Ods strong noUe at
Capitol to cut relief outlay from
recommended $500, 100000 to
81 ,000, 900, 900. T,Do other congress
siondl economy proposals are fiat
10 per cent cut in all dppropria-
tions, except for fired charges, and
discretionary IS per cent reduc-
ton, President to exercise the dis
cretion.
Ry the Associated Press.
The Republican membership OF the
House proposed today that relief ad-
ministration be returned to the States
through system OF Federal monetary
grants
This plan will insure that larger
share Of each relief dollar will 60 into
actual relief purposes than is the case
AAlASl viz ~ CCSlAC oyoUSAlA oA SAkl
CANT political control" said an an
nouncement from a caucus OF minor
ity Representatives
The Republicans adopted a proposal
Of Representative White, Republican,
Of Ohio, that Federal grants to States
be made on a non-partisan basis, that
administration be vested in State and
local authorities, and that each State
contribute at least Is per cent of the
cost Of its relief.
The conference did not estimate the
cost of next years relief, but Senator
Vandenberg, Republican, of Michigan,
and Representative Bacon, Republic
can, Of New York, jointly recommend
ed an expenditure of $3.50 900, ,000
They, too, proposed home rule" and
home responsibility
$500 900, 900 Reduction Reported.
Informed Representatives, mean
while, said a House subcommittee had
sliced s500o0o,00o from the Presi-
dents ,5o0,0oo,0o0 work-relief re-
quest for the year beginning July l.
Representative Boland of Pennsyl-
vania, the Democratic whip, predicted
the House would restore the reduc-
ton
Meanwhile, the House today firmly
and finally rejected President Roose-
velt's recommendation for a perma-
pent Civilian Conservation Corps. it
passed and sent to the Senate instead
q bill to extend the c. C. c. for two
years only.
Administration leaders made no at
tempt to reverse the ballot by which
an insurgent membership voted over
whelmingly yesterday to retain the
agency on a temporary basis
The Senate, debating proposal
to build a new Sll2,oOo,0OO dam in
the Tennessee Valley, heard Senator
Tydings, Democrat, OF Maryland de-
clare yesterday that another depres-
sion is coming and the Nation must
prepare for it.
Citing predictions" of Chairman
Eccles of the Federal Reserve Board,
former Vice President Dawes and
economists throughout the country"
Tydings said the next depression Is
an event which We all know must
come at least in some degree.
With the depression back Of us.
now is the time to avoid unneces-
sary expenditures until we can bring
our outgo and our income within
line" he said
Leaders predicted defeat of the
dam proposal today in what they
called the first test of economy senti-
ment in the Senate. The measure
would appropriate only 100000 of
the total cost this year.
Senator Norris, independent OF Ne
braska described the proposed struc-
ture at Gilbertsville. KY. as an inte-
gral part of the Tennessee Valley Au-
thority's program for food control.
navigation aids and power develop
ment
Members Of the House Appropria-
tions Committee agreed today TO
postpone until after President Roose-
welt returns to the Capital meeting
at which the subcommittee planned to
report its approval Of the $1,000
100000 work-relief appropriation. The
meeting originally was scheduled for
tomorrow.