Evening star. [volume] (Washington, D.C.) 1854-1972, 1948-02-04
Joint Committee
Asks233 Billion
Cut in Budget
Urges Payment of
$500, 000, 900 at.
Least on Debt
By J. A. O'Leoy

A cut of at least $2,500,000, 00C
from President Truman's $780,
TOO, 100000 budget for the next
year was recommended today by
IA Joint Congressional Budget
Committee composed of fiscal
leaders of both parties.
The committee also voted in favo,
of paying not less than $4,000, 000,-
900 on the national debt.
Although the budget group die
not attempt to say what should be
done finally in reducing taxes, their
figures leave ample room for tax
reduction.
The joint committee is made up
of IL Republicans and Democrats
the top-ranking members of the
appropriating and taxing commit
tees of both houses. They acted to-
day as subcommittee and will re-
port Friday to the full membership
of the four committees handling the
budget, namely, the two appropria-
ton committees, the House Ways
and Means Committee and the SEN
ate Finance Committee.
Figure Called Conservative.
Senator Bridges, Republican, Of
New Hampshire and Representative
Taber, Republican, of New York
who head the Senate and House APP
preparations Committees, respective
ly, emphasized that the So, 500 900, 0OC
budget cut is conservative esti.
mate. They pointed out that since
Congress met last month events
have taken place which will run eX-
penditures above the President:
original total of 500, 100 600, 900.
For example, Senator Bridges
who also heads the joint committee
pointed out that both Houses have
passed bills in the last week liberal
izing the Civil Service retirement
law and veterans benefits to the
extent of 100000, 600 for next year
Taking this into account, the budget
cut agreed on today would become
$4,000, 100000.
Senator Bridges also told news
conference that word reached the
Budget Committee this morning
from another Senator that the ad-
ninistration will soon submit to
Congress a supplemental request of
another $1,000, 100000 for foreign
aid, including China, over and above
the $6,800,0O0,O0O already recon-
mended under the Marshall Plan for
16 Western European countries.
Data Presented by George.
Senator Bridges said this In
formation was presented by Senator
George Democrat, of Georgia. AS
Stunning this supplemental estimate
is submitted later, it was not clear
how much of it would be in addi-
ton to the original budget. which
made some allowance for aid to
China. 1t would, however, require
Congress to make deeper cuts else
where to achieve the tentative econ
omy goal of $2,5O0,000, 900.
Senator Bridges also announced
that there seemed to be a feeling
at today's meeting that the pro-
vision in existing law requiring both
houses to fix a budget ceiling as
early as February IS each year is
impractical and that there is nc
possibility of reaching an exact, sci
entific or realistic figure at this
time"
There was also feeling, that
until the law is changed it is the
duty of the joint committee to dc
it's best, Senator Bridges added.
Therefore, the joint group agreed
to estimate the Governments re-
ceipts during the next fiscal year
at $47, 300, 900, 900, on the basis OF
present tax rates and assuming the
total national income of the people
will reach the high level of $780,
600 600, 900.
Against this revenue, they fixed
the ceiling on spending at $37 ,200,-
100000. (TThe President asked fol-
expenditures of $4,000, 00O,000)
This leaves a surplus of $10.100.-
100000. Out of that, the joint bud
get group earmarked $4,000 900 ,O0C
as minimum for debt retirement
Although they did not attempt
to fix the scope of tax reduction
today, their calculations thus leave
-r,~~-,,