Evening star., 1945-01-09

The tert OF President RooSe-
Uelts budget message, as for
,oarded to Congress today, fol-
loUs::
To the Congress of the United
States:
am transmitting the budget fol
the fiscal year 1916 as fighting al
over the globe reaches a climax oi
fury. We on the home front mus
back our fighting men and womer
to the limit. That is our supreme
duty. At the same time we must
look ahead. We must be ready to
throw our whole effort into the
campaign against Japan as fast as
the war in Europe permits.
And finally. We must begin plans
to transform an all-out war econ
omy into full-employment peace
economy whenever demobilizatior
becomes possible. Programs for all
these developments must be con-
sidered in budget planning for a
period that extends over 18 months
We must make sure that oul
armed forces can plan their pro-
curement programs for continuing
global war I shall transmit de-
tailed recommendations for war ap-
preparations by early spring, in time
for the Congress to act on these
requests before the beginning OF
thNnew fiscal year. I estimate now
that $73,000,O 100000 of appropria-
tions and authorizations will be
needed for war purposes for the
fiscal year 1916.
If the war develops favorably,
unobligated balances of war appro-
priations no longer required for au-
thorized purposes will be placed in
reserve and reported to the Con-
greSs for repeal or other action I'M
der the provisions of present law
Expenditures Depend Largely
On Progress in War.
Actual expenditures of the Fed
eral Government depend largely on
the course of the war. I have not
made in the past, and I shall not
now make, any prediction concern
ing the length of the war. My only
prediction is that our enemies will
be totally defeated before we lay
down our arms.
Depending on various assump-
tons which may reasonably be made
with respect to the course of the
war, estimates of war expenditures
for the fiscal year 1916 range from
less than so to more than 80 billion
dollars. I propose to use 10 billion
dollars as a tentative estimate of
war expenditures for the fiscal year
1916. I repeat, however-the rate
of actual spending must depend on
developments on the battle fronts.
For purposes other than war, I
am recommending appropriations in
general and special accounts, to
cover estimated expenditures of
$4,000, 100000.
Total appropriations and authori-
cations Gncluding reappropriations
and permanent appropriations for
war and other purposes reached a
peak of $128,O00, 100000 for the last
complete fiscal year that ended June
30, 1914; $1,000 100000 have been
appropriated for the current fiscal
year, and I estimate now that $751;
00,000,000 will be recommended to
the Congress for the next fiscal year
Total expenditures for war and
other purposes lin general and spe-
cial accounts and net outlays of Gov
ernment corporations, excluding
debt retirement) were sos, ,0O0, 900 900
during the fiscal year 1914: they are
now estimated at 100000, 900, 900 for
the current fiscal year, and, on the
basis of the tentative estimates of
war expenditures, they will be $685.
100000 during the fiscal year
1916.
No Important Tax Change
Planned at This Time.
I propose no substantial change in
tax legislation at this time. Reve-
nues are expected to decline some
what under the influence of the es-
timated decline in expenditures. The
Federal debt is estimated to reach
S252 ,0000 100000 on June 80, 1945, and
1922 900 100000 IL months later.
The 1916 budget is summarized in
charts and tables following this mes
sage. In the subsequent sections I
comment on appropriations, eXpen-
ditures and revenues under existing
legislation and make suggestions for
future legislation.
Early in the war we had the three
fold task of building up new mu-
nitions industry in this country, pro-
ducing the equipment and means of
transportation for our expanding
armed forces and aiding our Allies
in their resistance against the ag-
gressors. The record today shows
that we have spent $4,000, 900 900
since July l, 1910, to build munitions
factories, cantonments, depots, hos
pitals, war housing and for other
war construction.
Three times the total strength of
our Army and Navy at the time CT
Pearl Harbor is now fighting or de-
ployed overseas. Thirty-six billion
dollars of lease-lend aid have been
furnished in goods and services to
our Allies, who in turn have aided
us with approximately S4,5O0, 900 900
worth of goods and services.
We have now substantially COM
pleted our war construction. Ex-
penditures for war construction
which in the fiscal year 1943 reached
a peak of s12,7OO, 100000, are now
down to an annual rate of about
81 500,000,000. The. development of
new weapons and increased need for
ammunition still require some new
plants and equipment, but total out
lays for war construction are declin-
ing, as shown in the following table:
WAR EXPENDITURES FOR F1s-
CAL YEARS 1941-1945
Including Net Outlays of Govern
ment Corporations Gin Billions).
Type of ex-
penditure. 1s41. 1912. 1e43. 1914 .1e45.
M u n / tions,
! n luding
ships ---S2.3 S127 S42.3 S55.e S53. 8
War con-
Str uction
and war
plant: