Evening star., 1940-11-08
Plan TO Adjourn
May Sidetrdck
Major Bills
Moreenthou Request
For Debt Limit Boost
Likely to Be Put OFF
By the Associated Press.

Prospects IOT endCJU1fIlU OF IldlI
dozen major legislative proposals
slumped today as members of Con-
gress, the election over, showed
marked inclination to wind up this
sessions business by a sine die ad-
journment within the next 10 days.
Even should a formal request by
Secretary of the Treasury Morgen-i
thau for additional taxes and an
expansion of the Federal borrowing
authority materialize, it appeared
unlikely that it would swerve Demo-
cratic leaders from a determination
to put off further work until jan
uary-a determination that found
sympathy with some Republican
chieftainS.
An adjournment now, in effect,
would kill four House
measures and at least two important
resolutions pending in the Senate.
Supporters Of Wagner Act amend
ments, the Logan-W Walter bill to
facilitate court appeals from the
decisions of Government agencies,
the anti-lynching measure and the
Ramspeck civil service bill would
lose the ground they gained in
winning House passage OF these
measures and would have to start
all over again in the next session.
Only Compromise Needed.
Only the Ramspeck bill, which
would permit the President to bring
approximately 100000 employees of
So-called temporary" Government
agencies under the civil service, was
in a slightly different category from
the others, since it was approved
in varying forms by both the houses
and needed only the completion of a
satisfactory compromise to win final
passage.
The other three measures were
awaiting Senate action, along with
a proposal by Senator King, Demo-
crat, of Utah to relax legal restric-
tions to permit the extension of
credits to Great Britain and a reso-
luton by Senator Tydings, Demo-
crat. of Maryland to investigate the
Governments fiscal set up with a
view toward recommending an ap-
proach to a balanced budget.
Secretary Morgenthsu told re-
porters yesterday he didn't believe
it was possible at this time to put
Government expenditures on a
'pay-as-you-go" basis because Of
prospective increases in defense
spending, adding, We've just begun
to rearm."
The Treasury, he said. had found
itself in rather difficult position"
because the old debt limitation Of
s45 900 100000 was practically
reached" and Congress had limited
a previously approved increase of
$4,000, 900 900 to use for financing Of
defense outlays.
For this reason, Secretary Nor
genthau said he would seek relaxa-
ton of the latter restriction, higher
taxes and an increase of from SIS
100000 900 to $4,000, ,000, 900 in the
debt limitation.
Speaker Rayburn made it plain,
however, that unless there was a
more pressing demand for action,
Congress probably would put off
consideration of these questions un-
til January.
Senate Majority Leader Barkley
likewise told reporters recently he
saw no reason why Congress should
not quit after the election. Senator
McNary of Oregon, the Republican
loader upc said IN have confded IN
friends that he would offer no stren-
uous opposition to such course.
Byrd Opposes Increase.
Mr.. Morgenthau's request for a
substantial increase in the debt
limitation met prompt opposition
from Senator Byrd, Democrat. of
Virginia, member of the so-called
economy" bloc, who said any large
boost would be ian incentive for
further extravagances in govern
ment."
Secretary Morgenthau declared
there should be levies on "all forms
of securities" He asserted spe-
cifically that all future govern
mental isSues-Federal, State and
local-should be taxed.
'It is this tremendous volume of
money which escapes paying taxes"
he said. st think that the time has
come when we need money for ma
tional defense from the people who
invest in that type of security-and
they should pay taxes"