Evening star. [volume] (Washington, D.C.) 1854-1972, 1959-07-23
Report Urges
ReVisions in
Foreign Aid
BY the Associated Press

BY the Associated Press
A presidential study commit
tee said today many forms Of
United States economic aid
abroad must continue as long
as the Communist threat ex-
lists.
The group recommended
more selective choosing Of re-
cipient nations, however.
The committee also called
for creation Of a new Govern
ment agency-to be set up out
side the State Department
for administration Of the ma
jor economic assistance pro-
grams. 1t said the central
weakness" at present is that
these activities now are scat
tered among a number of Fed
eral agencies.
President Eisenhower sent
the report to Congress as a
House Appropriations subcom-
mittee made public charges of
waste and miSmanagement in
the multibillion-dollar foreign
aid program.
Funds Appropriated
That report came out on the
heels of final congressional &C
ton on a bill authorizing
$3.50, 200,0 900 in foreign aid for
the coming year. The amount,
covering military as well as
economic assistance, was only
$353, 100000 below Mr.. EiSen-
hower's recommendations. The
new criticism, however, was a
definite indicator of further
cutting efforts when the actual
money question comes up in an
appropriation bill.
The Eisenhower Study Com
mittee, headed by William H.
Draper, former Ambassador to
NATO and former Assistant
Secretary Of the Army, said it
is aware of such charges in
connection with the economic
aid aspects of the program.
The committee said further:
While we believe that the
administration and co-ordina-
ton of these programs has i'm
proved in recent years, there is
no question but that some of
these criticisms are justified.
However, the conclusion we
reach is that the programs must
be continued and better admin
istered, not emaSculated or
abandoned"
The group said the choice of
countries and projects must be
on the basis of which will yield
the greatest results in increas-
ing free world strength"
1t called the Communist
threat an "indivisible military
economic political menace" and
said the U. S. aid efforts must
go on ''for as long as the
Communist threat exists, and
certainly until greater eco
nomic progress has been made
in underdeveloped nations"
Agency Creation Urged
In that connection the group
said:
China and Russia are pur-
suing a totalitarian and brutal
method of achieving rapid eco
nomic growth at a tragically
high cost in human life and in
loss of freedom"
In calling for creation of a
new agency to handle the eco
nomic aid program. the COM
mittee recommended appoint
ment Of an outstanding
individual, acceptable to the
Secretary of State, to head it
The study committee was
created by Mr.. Eisenhower to
determine the relative empha-
sis which should be given to
the military and economic as
poets of the aid program.
This was its third interim
report. Mr.. Eisenhower sent it
to Congress with no recc>
mendations of his own except
for careful study and applicaI
ton if its findings wherever
appropriate.
257-153 House Vote
The House passed the au-
thorization bill first, yesterday
by a 257-153 roll call vote. Ir
! favor of it were 1872 Democrats
and rs Republicans, with 81
Democrats and 81 Republicans
voting against it.
The Senate, acting even more
speedily, passed the bill by
voice vote, sending the meas
ure to the White House.
The bill contains provisions
calling for shifting military aid
next year to the regular De.
tense Department budget for 6
two-year period. 1t would en-.
able the President to go directly
to the Appropriations Commit
tee for this money next year
bypassing the foreign policy
committees.
This was at least a partia
victory for Mr.. Eisenhower
who had urged permanent au.
thorizations for military as.
Sistance abroad starting with