Aid to dependent children in States with plans approved by the Social Security Board, by regions and States, October 1939 [Data reported by State agencies, corrected to Nov. 15, 1939] ? Population as of July 1, 1938, estimated with advice of the U. S. Bureau of the Census. Includes an unknown number of children 16 years of age and over. Includes approximately 2,756 children 16 years of age and over. Rate per 1,000 excludes these children. In addition, in 69 counties payments amounting to $12,387 were made from local funds without Federal participation to 707 families in behalf of 1,437 children under the State mothers' pension law. Some families receiving aid from this source for October also received aid under State plan for aid to dependent children approved by the Social Security Board. Mr. VAN ZANDT. How many States of the 48 are in there? Mr. RICE. All 48, together with the Territory of Hawaii. It is very interesting to note in that connection that the State of Arkansas provides only $8.09 a month per family of dependent children, whereas the State of Massachusetts provides an average of $59.05 per average family of dependent children. The Federal Government generally matches one-half within certain limits, i. e., one-half of $18 for the first child and one-half of $12 as to each additional child. From these statistics it may be seen that Massachusetts is receiving about seven times as much Federal money from the Federal Social Security Board for each case of a family of dependent children as is the State of Arkansas for each such case. All of the Social Security funds are collected in the form of taxes from the people throughout the entire country and are distributed disproportionately more in certain States than they are in certain other States, dependent largely on the ability and willingness of each State to match the maximum money available from the Social Security fund. The Federal Social Security Board will match one-half of up to $18 per month for the first child and one-half up to $12 per month for each additional child per family of the State expenditures for Aid to Dependent Children. There is a wide variance in the amounts payable as may be evidenced by the one example which I have cited, and as quickly apparent by looking at these statistics. Generally, you will find that the Southern States and the Middle Western States are unable to match as nearly the maximum amounts available from the Federal Social Security Board as are the far Western States and the New England States. It is working out disproportionately as to certain States. This bad result can be in large part corrected if Congress will provide pensions for the dependent widows and orphans of all deceased World War veterans and thus relieve States of the burden of providing for the dependent children of veterans out of their own State bureaus. Mr. VAN ZANDT. As to Arkansas, that is based on the ability to pay? Mr. RICE. I just happened to slip Arkansas in. It happened to be be at the bottom. Mr. GATHINGS. It is at the bottom. Mr. RICE. I wanted to make a contrast. Mr. GATHINGS. I want to say to the gentleman that we have in Arkansas a sales tax, liquor tax, wine tax, horseracing tax, tax on racing dogs, and every tax known in order to raise money for socialsecurity purposes. Mr. RICE. Yes? Then the State of Arkansas ought to be very much interested in the policies which I have been discussing. Mr. GATHINGS. Yes. Mr. RICE. Thank you. Mr. PETERSON. What does the State of Florida pay? Mr. RICE. The State of Florida is paying out $20.90 for each such family of dependent children and the Federal Government has been furnishing about $10.45 of that, that is, one-third as much as it provides to the State of Massachusetts, which I just cited. In the same connection I would like also to insert in my testimony some comparative tables of statistics compiled by the Social Security Board showing the amounts of aid to the blind paid out to the average recipient in each State and the number of recipients in each State, showing also the same wide variation of average amounts payable in the respective States, similar to the situations as to old-age assistance and aid to dependent children. This burden of aid to the blind would also be influenced by the Federal Government assum ing the burden, through the Veterans' Administration, of paying pensions to all disabled war veterans and to all dependent widows and orphans, which would thus in turn, directly and indirectly, enable each State to provide more adequate aid to dependent children, aid to the blind, and old-age assistance for its nonveteran citizens badly in need of same. May that be inserted? The CHAIRMAN. Without objection, so ordered. (The table referred to is as follows:) Aid to the blind in States with plans approved by the Social Security Board, by regions and States, October 1939 [Data reported by State agencies, corrected to Nov. 15, 1939] 1 Social Security Board administrative regions. ? Population as of July 1, 1937, estimated by the U. S. Bureau of the Census. Does not include aid to the blind administered under State law without Federal participation. Mr. RICE. I would like also to insert in my testimony at this point similar table of statistics showing the average amount of old-age assistance per recipient in the respective States as well as the number of recipients of such benefits in such respective States. Mr. GATHINGS. Without objection, so ordered. (The table referred to is as follows:) Old-age assistance in States with plans approved by the Social Security Board, by regions and States, October 1939 [Data reported by State agencies, corrected to Nov. 15, 1939) Old-age assistance in States with plans approved by the Social Security Board, by regions and States, October 1939-Continued [Data reported by State agencies, corrected to Nov. 15, 1939] 1 Social Security Board administrative regions. 133, 717 32.73 291 2, 244 26.55 374 20, 932 21.38 249 39, 061 22.05 312 1,304 27.77 326 1,717 11.00 176 2 Population as of July 1, 1938, estimated with advice of the U. S. Bureau of the Census. 3 Adjustments have been made for grants covering 2 or more eligible individuals for Alabama, Arkansas, Georgia, Idaho, Kansas, Louisiana, Maryland, Mississippi, New Hampshire, New Mexico, North Carolina, South Carolina, Tennessee, West Virginia, Wyoming, and Hawaii. 4 Minimum age under State plan is 70 years, but rate is based on population 65 and over. Includes $108,519 incurred for payments to 3,370 recipients 60 but under 65 years of age. Rate per 1,000 excludes these recipients. Mr. RICE. May I cite a particular example there to show that in the State of Mississippi, for example, the average amount of $7.46 per month is paid out to each recipient of old-age assistance whereas in California the average amount is $32.73. The Federal Government matches one-half. Thus, the State of Mississippi each month receives $3.73 for each such case from the Federal Social Security Board, whereas the State of California receives $16.37. In other words California receives more than five times as much for exactly similar situat tions from the Federal Government as does the State of Mississippi. Let me call your attention to the fact that an increasing number of veterans are passing the age of 65 and are, therefore, becoming eligible for old-age assistance. The number who pass the age of 65 will continue to increase very rapidly for each passing year for perhaps the next 25 years. The amounts of old-age assistance that would have to be payable by the States to most of these veterans when they pass that age would therefore increase very fast with each passing year. If the burden is to be transferred from the various States to the Federal Government, that burden ought to be transferred now. We believe there is ample justification for the Federal Government to assume the entire responsibility. Mr. VAN ZANDT. Is the gentleman in favor of a bill that would pay a pension for World War veterans over the age of 65? Mr. RICE. Yes; I am coming to that a little bit later. Let me say that there might be those who will hold up the bug-a-boo of another Economy Act. There may be those who will say these pensions are going to cost the Federal Government more money, and necessitate additional appropriations for the Veterans' Administration, if the proposals by the Veterans of Foreign Wars should be enacted into law to provide pensions to dependent widows and orphans of all deceased World War veterans and providing pensions for all permanently disabled and handicapped World War veterans, regardless of whether or not such disabilities may be due to such military service. It would be true that the amount of appropriations to the Veterans' Adminis |