Evening star., 1945-01-09

: of pribr-year appropriations an,
) authorizations to the MARITIME
: Commission are adequate to carr,
: out the merchant ship construction
2 program as now approved. Detailet
' recommendations for most war &C.
tivities will be transmitted in tn.
! spring.
These tentative estimates of ap.
; preparations include provisions fol
continuing lease-lend aid to oul
Allies. They are based on the as.
sumption that the Lease-Lend Ac
will be re-enacted prior to it's ex.
piration on June 80, 1945.
About one-sixth of present wal
outlays are for lease-lend and fol
relief and rehabilitation. We shall
continue to provide lease-lend, anc
our Allies to provide reciprocal aid
to the full extent necessary to wir
the war. Lease-Lend has been ant
will be an instrument of war; it will
be liquidated with the end of the
war;, But when the war draws tc
a close in any theater, it may be-
come urgently necessary for us tc
assist in relieving distress in the
liberated areas.
Appropriations to the War De-
partment make some provision foi
civilian supply in territories occu-
pied by the Army, but only to the
extent necessary in the interest o1
military operations. For relief and
rehabilitation after the battle lifts
the Congress has already authorized
81 $50 100000 as the contribution OF
the United States to the United
Nations Relief and Rehabilitation
Administration. To date, appro-
priations of $3.50, ,0O0, 900 and trans
fer authorizations from lease-lend
of $3.50, 100000 have been made as
our share for immediate needs
under this program.
If the appropriated amount
proves inadequate, we must take
additional measures, in cooperation
with the other United Nations, to
make sure that the peoples of the
liberated countries have essential
relief from the devastation of war.
Estimated Expenditures
For Nonwar Purposes.
In last years budget message,
indicated the inevitable increase of
expenditures in the aftermath-of-
war category, particularly expendi-
lures for war veterans, interest on
the public debt and tax refunds.
Total expenditures for these pur-
poses are increasing from 81 $780,
900 900 dollars in 1889 to an esti-
mated $1,000, 100000 in the current
fiscal year, and will probably
amount to $4,000, 100000 in the next
fiscal year. This increase arises di-
rectly out of the war. The 1916
total is larger than the whole
Federal budget five years ago.
Veterans pensions and benefits
Although the full impact of the
veterans program will not be felt
until the years following demobili-
zation, the total estimated require
ments for 1916 of s2,623 600, ,0OC
represent about 20 per cent OF
the total appropriations for other
than direct war purposes. They are
more than double the total appro-
priated for the veterans program in
the current fiscal year.
Additional appropriations for the
current fiscal year will become nec-
essary to cover increased pension
costs occasioned by losses in service
to conform with recent legislation
increasing coverage and liberalizine
payments to veterans of former wars
and to their dependents, and to
carry out the provisions of the Serv-
icemen's Readjustment Act of 1914
The estimated supplemental ap-
preparations include these items.
Pension costs during the fiscal
year 1916 are expected to increase
sharply to total of s1,OS0 900 900
and the costs of education, read
justment allowances and loan guar
antees to s295, 900, 100000. In addi-
ton, $1,000, 100000 are provided for
losses resulting from the hazards
OF the war among holders of ma
tional service life insurance policies
and s85 100000 for construction
and reconditioning of hospital facil-
tiles. This hospital construction
program (shoWn in the budget un-
der general public works., together
with Army facilities later to be
made available to the Veterans Ad-
ministration, may ultimately pro-
vide 100000 beds.
Veterans Administrations
Tasks to Be Increased.
The time and rate of demobiliza-
ton will greatly affect the expan-
sion OF education, readjustment al
lowance, loan guarantee, and re-
habllitation activities of the Vet
erans' Administration. The num-
per OF veterans of the present wal
will increase until at full tide these
veterans will constitute one-tenth
OF the population and almost one
fourth of the labor force. The re-
sponsibility which we are assuming
Tor their jobs, education, medical
care and financial assistance makes
it increasingly essential that these
programs for veterans be integrated
with other programs of like nature
affecting the whole Nation.
1nterest-Interest on the public
debt is estimated to rise next yeai
by $3.50 900 900 to $4,500 000, 900. This
rise reflects entirely the current in.
crease in the outstanding debt. Nc
change Is anticipated in the low in.
terest rates at which the war Is
being financed.
Tax Refunds-Refunds of take.
are expected to require a total O,
2,725 million dollars, an increase >o1
$50 million dollars over the fiscaj
year 1945. About / billion dollar,
of this total will consist of repay
ments to wage and salary Garner.
OF withholdings in excess of tax La
bllities. Another billion dollars re.
fleets the issuance of postwar bonds
which cover the refundable 10 pe,
cent of the excess profits tax.
Other corporate tax refunds arr
due to the recomputation of thu
PROGRAM
lllions).
/.