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OCR Page 1 of 8NOTED
MAY
21
1945
EXECUTIVE OFFICE OF THE PRESIDENT
BUREAU OF THE BUDGET
your
WASHINGTON, 25, D. C.
MAY 21 1946
My dear Mr. Latta:
On May 15, 1946, you advised this office that H. R. 5604, "Reducing
or further reducing certain appropriations and contractual authorizations
available for the fiscal year 1946, and for other purposes, had been re-
ceived at the White House and requested reports and recommendations as to
the approval of the bill.
The bill rescinds appropriations previously made available for the
fiscal year 1946 in the amount of $6,403,638,311, which amount is
$652,209,828 greater than the amount recommended by the President for
rescission relating to the purposes set forth in the measure. The at-
tached statement indicates the distribution of the aggregate amount of
the rescissions as between executive agencies, the military establish-
ment, and the naval establishment.
The bill also cancels contract authorizations in the amount of
$458,673,001; reduces corporate funds in the amount of $446,890; and
reduces administrative expense limitations in the amount of $7,410,000.
The attached statement sets forth the principal items of difference
between the rescissions recommended to the Congress by the President and
the rescissions contained in the bill.
The bill contains a general provision which was inserted by the
Senate providing that Philippine Scouts shall receive the same rate of
pay, mustering-out pay, and certain other benefits accorded to American
soldiers, except that payments would be made in pesos at the rate of one
peso ($.50) for each dollar authorized by law.
The Senate added a provision amending Public 301 of the 79th Congress
whereby combatant vessels under construction on March 1, 1946, whose con-
struction was more than 20% complete on that date, shall be completed.
The cost of completing the 14 ships under construction will be approxi-
mately $89,000,000. It is understood that Mr. Snyder may wish to place
before the President some suggestion with respect to the completion of
these vessels.
The Bureau of the Budget has informally contacted the various de-
partments and agencies concerned, and, except as hereinabove noted, none
of them interposes objection to the approval of the bill.
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