Evening star., 1947-01-10

IvlO oo0
mains to be done. Our present pro-
gram affords but partial protection
against the major causes Of in
security; large segments Of the pop
ulation are excluded from its ben
iefits. We have not vet done enough
to secure good health for the Ma
| ton.
hope that the studies already
undertaken by congressional COM
mittees will result in the prompt
lexpansion and integration of the
lpresent social security system. There
lis, for example, serious need to cor
rect inequalities between States in
public assistance payments and to
extend the scope OF, Federal aid to
include general assistance programs.
The temporary increase in Fed
eral grants for public assistance
enacted in the last session Of Con-
lgress will expire December 81, 1947;
the Congress should now consider
permanent legislation in this field
10 -
The old-age and survivors insur-
ance system at present leaves out
40 per cent of those who earn their
living. Even greater numbers are
tcutside the unemployment compen-
sation program. It is unjust to deny
these agricultural workers, public
employes and other excluded groups
the protection of social insurance.
The system should be extended to
cover them. At the same time, re-
tirement benefits for the aged should
be liberalized to reduce the neces-
sity for piecing out insurance bene-
fits with public-assistance pay
ments.
I again. urge the Congress to en-
act a health-insurance program
which will make adequate medical
care available to every one and pro-
vide protection against the eco
nomic hardships of sickness. Such a
program should be almost entirely
self financing through payroll con-
tributions." ."
Foresees 5 Per Cent Tax.
Withdrawals from the trust fund
for old age and survivors insurance
will continue to increase over long
period. AS the program natures,
the number of beneficiaries and the
average benefit will gradually rise.
A large estimated increase in re-
cepits of this fund in the fiscal year
1948 is based on the assumption that
the employment tax will rise from
the present 2 per cent rate on en-
ployers and employees to 5 per cent
on January l, 1948, in accordance
with present law
""* For the fiscal year 1948 the
budget includes appropriations OF
1,877 million dollars, of which "a
million dollars are for proposed leg
islation.
""* In our housing program we
shall continue to rely primarily upon
private housing construction.
With the increased materials flow
now evident, emphasis in the COM
ing year will be focused on few
key materials, on acceleration .pf
programs for recruitment and train
ing OF labor, and on provision OF
ample financing facilities for build
ers and prefabricators as well as
veterans and other purchasers. Par
ticular attention will be given to
measures to expand construction OF
rental housing. &"
Small Expenditures Involved.
The programs of the Federal
Housing Administration and the
Federal Home Loan Bank Admins
tration involve relatively small net
expenditures, but are of major i'm
portance in stimulating private con-
struction. In the fiscal year 1948 the
Federal Housing Administration ex-
|pects to guarantee loans on 325 900
homes and apartments, most of
them for new construction,
During the same period savings
and loan associations (which are
members of the Federal Home Loan
Bank System will make an esti-
mated 100000 loans for financing
new homes. -
Reconstruction Finance Corpora
tion funds have also been employed
to make premium payments to in
crease the supply of critically scarce
building materials. In view OF the
rapid expansion in output and the
decontrol of prices, it appears that
these programs can be terminated
before the close Of the current fiscal
year.
The repayment Of Home Owners
Loan Corporation loans will taper
of in 1948 as its outstanding loans
shrink. With its profits in recent
years, we can now safely predict
that this corporation-which ref
nanced the loans of more than q
million distressed borrowers during
the depression-will liquidate with
out any loss to the Federal Govern
ment ="
179 Millions Recommended.
OF the total of 179 million dollars
in appropriations estimated for the
fiscal year 1948. an estimated $50
million dollars will be from current
rental and disposition receipts of
the veterans refuse and war hous-
ing programs. Most of the 1913
expenditures will be made from
corporation funds or from unex-
pended balances Of previous ap-
preparations -
Although the expenditure esti-
mates for the coming fiscal year dor
education) are limited to present
programs, I have long been on rec
ord for basic legislation under which
the Federal Government will sup
plement the resources of the States
to assist them to equalize educa-
tional opportunities and achieve
satisfactory educational standards.
The relationship Of the Federal
Government to higher education
also demands serious consideration
$50 A presidential commission
on higher eduation is studying the
matter because of its great impor-
tance to the future of the Nation
Many agencies Of the Federal
Government carry on research as a
part of their regular programs. But