Evening star., 1953-07-02
Further Foreign Aid
Cuts Indicated as Bill
Goes 10 Conference
By ]. A. O'LeoN

OASASAA 61AA AAAA Va
about SIS billion, when a joint
conference committee settles the
differences between the House
and Senate.
The Senate late yesterday
passed it's $5.3 billion version, in
place of the $40 billion program
the House approved last month.
In such cases the conferees usu-
ally split the difference.
But even if SIS billion finally
is authorized, it will be only a
ceiling, subject to further cuts
in the House and Senate Appro-
priations Committees. which are
not bound to allow all sums
authorized.
Late Cuts Rejected.
Although the Senate rejected
a series of last-minute moves by
Senators Long, Democrat, of
Louisiana, and Welker. Republi-
can, of Idaho, to chop large
amounts from the $5.3 billion
authorization. influential Sena-
tors announced they were op-
posing these motions only be-
cause they expect the Appro-
priations Committee to allow
substantially less than the au-
thorized ceiling.
In fact, Majority Leader Taft
urged the Senate to beat the
Long -Welker motions on the
theory that all Senators could
reserve the right to vote for a
smaller appropriation bill be-
fore Congress adjourns.
In the closing hours of debate,
the Senate voted to end foreign
military aid in 1857 and eco
nomic aid in 1856. The Foreign
Relations Committee had rec
commended that the pipeline of
aid be kept open until 1859, and
the administration originally
had requested that the author
ity to enter into contracts be
continued until 1858, plus three
additional years for liquidation
Of programs under way at that
time. The House bill ends con-
tracing authority in 1854, but
allows deliveries to continue
until 1856.
Agency Not Worried.
There was no immediate Off
cial reaction to the Senate move
from the Mutual Security Agency
or the State Department. It was
understood, however. that agency
officials are not unduly alarmed
over the future of the Mutual
Security program.
1t is pointed out that as ORR
ginally set up. the program was
to have ended in 1854. The Sen
ate action extending its life until
1856 provides time for recon-
Sideration of the program in the
light of changing world condi-
tions.
The only fear is that the
reluctance of the Senate to follow
the administrations lead on
foreign aid will have an unfortu-
nate psychological effect abroad.
1t could be interpreted. it is felt,
either as a lack of interest in
the Mutual Security Program or
as evidence that the world pic
ture had improved so much that
continued sacrifices are unneces-
sary.-
Farm Bloc Wins Point.
The farm bloc upset the ad-
ministration by writing into
the bill an amendment by Sena-
tor Mcclellan, Democrat of
Arkansas. to allow the Appro-
priation Committee to earmark
a part of the military aid funds
for the disposal of American
farm surpluses abroad. The vote
was 40 to 35. Thirteen Republi-
cans Joined 36 Democrats for the
amendment. while only five
Democrats and one Independent
. voted with % Republicans
against the plan.
A fight is expected in confer
ence over this amendment,
under which the Mutual Secu-
rity Agency would make agree
ments with foreign governments
to exchange dollars for their
currencies. The cooperating
countries would use the dollars
to buy American crops, and the
United States would use the for
eign currencies to build military
equipment in the other coun-
tries. Republican leaders wanted
the subject handled separately,
after Agriculture Committee
hearings.
The administration success
fully resisted moves by Senators
Goldwater, Republican. of Ari-
zona, and Kennedy, Democrat,
of Massachusetts, to try to in
duce France to speed up inde-