SECOND SUPPLEMENTAL APPROPRIATION BILL, 1953 HEARINGS BEFORE SUBCOMMITTEES OF THE EIGHTY-THIRD CONGRESS FIRST SESSION Printed for the use of the Committee on Appropriations 29310 UNITED STATES WASHINGTON: 1953 JOHN TABER, New York, Chairman RICHARD B. WIGGLESWORTH, Massachusetts H. CARL ANDERSEN, Minnesota JOHN PHILLIPS, California FREDERIC R. COUDERT, JR., New York NORRIS COTTON, New Hampshire BENJAMIN F. JAMES, Pennsylvania HAMER H. BUDGE, Idaho CHARLES R. JONAS, North Carolina OTTO KRUEGER, North Dakota SAM COON, Oregon MELVIN R. LAIRD, Wisconsin ELFORD A. CEDERBERG, Michigan CLARENCE CANNON, Missouri J. VAUGHAN GARY, Virginia JOHN E. FOGARTY, Rhode Island ANTONIO M. FERNANDEZ, New Mexico PRINCE H. PRESTON, JR., Georgia OTTO E. PASSMAN, Louisiana LOUIS C. RABAUT, Michigan SIDNEY R. YATES, Illinois ALFRED D. SIEMINSKI, New Jersey GEORGE Y. HARVEY, Cierk II اما که A6 836 v.29 DOCUMENTS DEPT. SECOND SUPPLEMENTAL APPROPRIATION BILL, 1953 SUBCOMMITTEE ON TREASURY-POST OFFICE APPROPRIATIONS GORDON CANFIELD, New Jersey, Chairman E L KILBY, COMMISSIONER OF THE PUBLIC DEBT D. M. MERRITT, ASSISTANT COMMISSIONER R. A. HEFFELFINGER, DEPUTY COMMISSIONER R. E. OBERG, BUDGET AND ACCOUNTS OFFICER H. B. COLE, ASSISTANT BUDGET AND ACCOUNTS OFFICER Mr. CANFIELD. Gentlemen, we are met today to consider a supplemental appropriations request forwarded to the committee under date of January 10, 1953, by the President and Mr. Lawton, Director of the Bureau of the Budget. This particular request has to do with the Bureau of the Public Debt. It is for an additional amount for administering the public debt. The amount is $2,300,000. In the request received by the committee it is stated: Additional funds are required to cover the cost of prospective redemption on demand of 16 million more savings bonds than were contemplated when the appropriation was made. The earlier estimates of issuance appear to be reasonaty accurate, but the redemptions are exceeding expectations and are expected to increase still further during the latter part of the year as larger numbers of bonds reach maturity. When our committee acted on the Bureau's request last year, the ommittee recommended $52,500,000. This was reduced to $51 million by action of the House. The Senate committee recommended $52,500,000, and that was reduced to $51,117,000 by action of the nate. As a result of the conference between the comittees of both Houses, the figure of $51,000,000 was the amount finally allowed. In the report of this committee on the amount recommended in the il for 1953 the committee stated: The amount recommended in the bill should be adequate for all normal activiies of the Bureau. Testimony indicated that the estimated increase in savings ond issuance was based on a highly optimistic promotion campaign directed at the less likely purchasers. Furthermore, the projected volume of redemptions after maturity was estimated at a rate considerably in excess of experience, and testimony was given to the effect that current redemptions were probably in (1) 086 excess of future rates by reason of lack of public understanding of the value of retaining savings bonds beyond maturity date. The committee wishes to encourage the Bureau to continue with its successful efforts in the promotion of the payroll savings plan for purchase of savings bonds, and is hopeful that greater participation can be encouraged in other forms of savings bond sales. That, in all fairness, was a statement in the committee report on the recommendation for the amount of $52,500,000. Without objection, there will be inserted in the record at this point the justifications submitted by the Bureau, pages 3 to 7, inclusive. (The justifications referred to are as follows:) Schedule of supplemental appropriations and revised estimates Administering the Public Debt, 1953; Treasury Department, Bureau of the Public Debt 11. Date needed for obligation, immediately; date needed for expenditure, July 15, 1953. 12. Estimated expenditures from supplemental, revised: In current fiscal year. In next fiscal year.. After next fiscal year. Total___ 13. Actual obligations last 3 months: 2, 300, 000 2, 300, 000 2, 300, 000 The Bureau of the Public Debt is charged with the conduct of all transactions in public debt securities, and in that capacity utilizes on a reimbursable basis the services of the Federal Reserve banks to a large extent in the operations in |