The Daily Alaska empire. [volume] (Juneau, Alaska) 1926-1964, 1949-04-11
BIG cut
IS MADE
IN FUNDS
Veterans Administration
Feels Slash Other Re-
du(tions Announced
BY WILLIAM r. ARBOGAST

Wfto11lIN0 YIN, hplH 1l.--fhl--
A half billion dollar cut in Vet
Grams Administration funds high
lighted a s7.576, 1886, 231 multi-ageucy
money bill approved by the House
Appropriations Committee.
The bill carries funds for the
fiscal year beginning July for 20
so-called independent agencies, in
GLIDING $5.l45, 43l $40 for the Vet
GRAMS Administration and $780,
100. 1897 for the Atomic Energy Com
mission
Every agency in the bill shared
in the overall reduction of $734.-
680599 from the Presidential budget
requests for $8,31l ,566.830, but the
Veterans Administration took the
deepest slash.
The bills total includes $7,104,-
ST. ,603 In cash and s472,3l4,628 in
contract authorizations for which
future appropriations may be re-
CURED The President asked for
81, TITS, 566,830 in cash and 1886, 0O0.-
0c0 in contract authority.
Budget Upset
Not only did the committee upset
the Presidents budget on the
money items, but 1t refused to fol-
low his Budget Bureaus recommen-
dalton for cancellation OF $237 .0O0,-
900 in previously authorized Vet
Grams hospital construction.
/ Substantial cuts were recommend
ed for these Veterans Administra-
ton operations:
Administrative expense, from
$848, 1877 900 to s82O,67394O; pensions,
from $2,220. SOC, 900 to $l,99S. 80l 900;
readjustment benefits under the Gil
Bill. from s2,44l $4,000 to s2,l97,-
500, 900.
But even with the overall $685.
$50, 900 reduction, the total VA fund
would be $l4,977,940 more than
Congress gave the agency this
year. However. the committee said.
the VA Will have about. $500. 600, 900
less to spend next year than it
had this year because some of
the new funds will be used during
the remaining months OF this fis-
cal year.
Why Big Cuts.
/ In explanation Of the big cuts
in VA funds, the committee said
there is no way to determine ac-
curately the exact needs Of some
of the programs.
In refusing to go along with the
Budget Bureau in cancelling $751;
c00,000 in hospital building author
ity for which the money has not
yet been provided, the committee
said the President could decide
what part of the construction pro-
gram should go ahead.
The Budget Bureau proposal, the
committee said, would have elimi-
mated "a hospitals and altered the
size OF Is others in the proposed
construction program.
Hospital Program
The cost of the entire hospital
program has been estimated at
1922 900, 600. of which 500. 100000
already has been appropriated.
The Atomic Energy Commissions
share Of the bill is 81 csc, 1877
consisting OF s702, 930.769 cash and
1887, l89.628 in contract authority.
The President wanted $740. 100000
cash and 27,OO0.0O0 in contract
authority.
About one-third of the commits
sions program for next year IN
wolves weapons and reactor de-
velcpment which the committee
said should not be cut because they
deal with ''our first line of de-
Tense
There was no further explana-
ton
The committee acted on the
atomic fund after hearing David Lii
ienthal, commission chairman, say
there currently Is no Indication Of
an agreement to outlaw the use
Of atomic weapons
But Lilienthal said prospects for
peace ARE by no means dim" and
predicted that permanent peace
will include some effective control.
some foolproof control of atomic
weapons as q surprise weapon"
Until conditions change. he said.
the United States must retain its
lead in the atomic weapon field
and remain in the forefront OF ato-
mic development and production of