The Farmville herald. (Farmville, Va.) 1957-current, 1960-04-12

WASHINGTON, April 6 -
Members of the economy bloc
in Congress are apprehensive
over the vigorous efforts Of the
big spenders to obtain enact
ment Of costly legislative pro-
posals which would plunge the
government again into red ink
financing.
Gone would be any prospects
for a budget surplus in the fis-
cal year starting next July l. if
the spenders should succeed in
their campaign.
Instead, the $40 billion sur
plus forecast by the Eisenhower
administration would be more
than eaten up-and there would
be a deficit to threaten more
initiation and further erosion Of
the buying power Of the dollar
Some of the measures around
which the spending campaign
centers would:
l. Increase the pay scale of
Federal employees by m OR e
than u per cent, at a cost Of
SIG billion annually.
2. Authorize a huge program
to provide Federal subsidies for
school construction and pos
sibly teachers salaries. T h e
Senate has passed a bill to pro-
VIDE SIS billion, spread over two
years, for school construction
and teachers salaries. T h e
House Education and Labor
Committee has approved a mea-
sure for school construction only
which would cost between 1915
million and SIS billion spread
over three years.
3. Authorize a costly program
Of Federal subsidies for de-
pressed areas. The Senate has
authorized $500 million. T h e
House Banking Committee cut
the amount to $25l million.
4. Au thoriz a ST billion
special assistance fund for the
purchase of government-backed
loans on lower-priced homes.
These proposals along with
many others are being push
ed as ardently as possible by
their supporters.
Economy advocates are hope
full that public opinion will be
expressed in great volume on
Capitol Hill in opposition to all
u.essenhal spending
They think that the govern
ment's fiscal solvency should be
protected and that election
year spending schemes should
| be resisted to the utmost.
Government Pay Boost
| One Of the important con-
siderations in connection with a
salary increase for government
employees is the fact that such
wage boosts are used by labor
unions as an argument in col
lective bargaining negotiations
for pay raises for industrial
employees.
This explains why the ALL
Go joined in a huge mass
meeting of government en-
ployees in Washington to at
tempt to pressure members OF
Congress into supporting tn G
wage increase.
The Eisenhower administra-
ton is opposing it on the grounds
that Il the cost of living has
increased only slightly since the
previous raise and q any &C
ton should await completion
expected soon of survey
showing the relationship be-
tween salaries paid by industry
and by the government. This is
intended to lead to the fairest
possible wage scale for govern
ment employees.
Social Security Pushed
Expensive social security legi
Station remains major threat
in this session of Congress. dc
spite rejection by the HouS {
Ways and Means Committee d
the Forand Bill to provide free
hospital. surgical and nursing
home care for social security
beneficiaricS and their depend
ents.
There is under serious con
sideratior in the Ways ano
Means Committee a proposal t6
raise from $4,000 to $1,000 the
taxable wage base under the
Old-Age and Survivors Insur.
ance social security program.
This would represent a Is pei
cent tax increase for all who
ea~n $4,000 or more annually
| and a proportionate increase or