Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-03-25
Taft Sees Budget CUT
OF s. Billion Despite
Poor Start in House
By J. A. O'Leory

SENATOR AT, UcpuUllcdu, Ol
Ohio. predicted yesterday Con-
gress may cut SO billion from
the Truman budget for the year
commencing july l, despite the
meager savings the House made
last week on the first appropria-
ton bill.
Il don't think that proves any,
thing" said the Ohio Senator,
commenting on the fact the
House was able to chop only $780,
million, or about 1.3 per cen.
from the $2,958, 900, 900 the Bud
get recommended for the Treas
ury-Post Office supply bill.
He pointed out those two de-
Ipartments are not as susceptible
to economy cuts as some Of the
others may be.
Senator Millikin, Republican
of Colorado. agreed that Con-
gress will have to do more cut
ting on the other appropriation
bills than it did on Treasury
Post Office If a deficit is to be
avoided next year.
Would Exceed So Billion.
The Coloradoan. ranking mi
nority member of the Finance
Committee, doubts this session
will be able to raise all of the
IS16.5 billion in new taxes the
President asked to go along with
his $716 billion spending budget.
Senator Taft made it clear he
thinks Congress should aim higher
than SO billion as its economy goal
He indicated he used that figure
as a prophecy of what is likely to
be realized.
The Ohio Senator FASTENED to
add that even a SO billion saving
may not mean much in offsetting
the need for new taxes because
'"the President may come in with
more budget estimates" as the
session progresses.
After a one-year experiment
with a single-package money pill
for the normal expenses of all
Government departments. the
House has returned this year to
the old system of splitting the
budget into a dozen bills.
Single Package Abandoned.
Leading economy advocates in
both houses are convinced the
single-package 1850 bill resulted in
greater savings that will be possible
under the old system, but a ma
jority of the House Appropriations
Committee voted this year to
abandon the 1850 experiment.
Without commenting on how
that decision may effect the econ
omy drive in the House. Senator
Taft agreed that handling the
budget in a dozen departmental
bills will make it harder to effect
savings in the Senate.
When the funds for each de-
partment are taken up separately.
or in small groups. it is not pos
sible to apply overall budget cuts,
as the 1850 session did in the
Isingle-package experiment. In
that bill the two houses made
specific cuts all through the de-
partments. and then directed the
budget Bureau to find further saw
Iings of at least $3.50 million.
Writing of Tax Bill to Begin.
When House members return
April 2 from their Easter recess
they will find the Ways and Means
Committee getting down to the
unpleasant task OF writing the
new tax increase bill, which up
to now has been in the hearing
stage.
If the bill is to raise even $40
billion of the $16.5 billion esti-
mated to be needed, it will mean
heavier income tax payroll deduc-
tons from millions of wage earn
ers, along with higher excise and
corporation levies.
When the bill begins to take
shape about the middle of April,
lit may produce greater support
for cuts in other appropriation
bills soon to reach the House floor.
While members of Congress are
home for Easter they will have a
chance to find out what their con-
stituents think about the Govern
ment's fiscal situation.
Although the Senate will be in
session every day this week. de-
batting the troops-for- Europe is
sue, some Senators also have gone
home for Easter under the agree
ment which put off voting on the
troop resolutions until April 2.