Evening star., 1948-01-18
BarkIeyBack
Full Estimate
For AidCosf
6. o. P. Studies Slash
Marshall Denies Plan
To Acquire New Bose.
By J. A. o'Leory

Senate Minority Leader Bark
ley went on record last night in
favor of the full $4,000, 600, 600
estimate for the first Is months
of the European Recovery Pro-
gram, while some Republicans
discussed the possibility of hold
ing it to approximately $4,000
600, 900 for the next fiscal year.
| Another development yesterday
was the issuance OF statement by
Secretary of State Marshall to make
it clear that the plan which bears
his name does not provide for,
nor contemplate the acquisition OF
military bases for the United States
in return for economic assistance
to the European countries"
The State Department explained
the Secretary's statement was issued
because of Interpretations" of testi-
mony by Secretary of Defense For
restal before the Senate Foreign
Relations Committee Thursday.
The "Misquotatjons," officials said,
led to published reports in Europe
that Mr.. Marshall was considering
asking for bases in return for aid.
Misquotation Laid To Reuters.
American embassies in Europe, in
dispatches to the State Depart
ment, attributed the "misquota-
tions" to Reuters. British news
agency. Reuters editors said they
were mot prepared to comment" I"
In telling reporters he is person
ally for" the $4,000, 100000 estimate
TO start the four-year plan, Senator
Barley did not attempt to fore
cast what figure Congress finally
would approve. 4.
Meanwhile, members Of Congress
seeking to cut the Marshall plan,
turned their attention to distinc-
ton President Truman drew in his
budget message between the amount
that should be authorized for the
first fifteen months and the amount
that actually would have to be paid
out of the Treasury within the
period.
For the Is months from April l
Of this year to June 80, 1949. the
budget recommended that $6,800,-
0o0, 600 be authorized, but the Pres
ident explained that experience
with similar programs indicates 1t
would be reasonable to expect actual
expenditures out of the Treasury
during that period would be $4,500,-
000,O0D. fOf this $500, 600 200 would
be spent In the year starting July II
Taft Hints Of Reduction Plan.
The President explained, however,
that to permit systematic and eco
nomical placement OF orders for
later delivery. appropriations must
be substantially greater than ex-
penditures in the initial phase Of
the program.
He also pointed out that bills for
part of the goods shipped in one
fiscal year are not. paid until the
following year. and that this lag IN
spending an authorize ton Is par
ticularly significant in large new
program.
Senator Taft, Republican, of Ohio
said yesterday there has been some
discussion of making only $4,000
100000 available in cash for the
new fiscal year, and giving the adj
ministration authority to enter into
contracts for some additional
amount
The effect of such action would be
to require the managers of the for
eign aid program to come back later
for the money to meet the contract
authorization, and thus give Con-
gress another chance to review the
progress of the program.
3 Billion Limit Preferred.
The Ohio Senator said his per-
sonal preference would be to limit
the first year fund to $4,000, 900 900.
He also said he thought Mr.. Tru-
man had 'left the way open" for
consideration Of, d $4,000 900 900 limit
the first year by estimating expendi-
lures at that rate in his budget
message.
At the same time, Chairman
Bridges of the Senate Appropria-
tions Committee, served notice that
no matter what authorization figure
is carried in the Marshall Plan en-
abling act, his committee is going
(see FOREIGN AID, Page A-12os