It had been started, but we made it specific following the New York convention. That committee was appointed immediately.

I asked to have the report on it in our executive committee meeting in the fall, but the date of the fall meeting was moved up and the chairman-advisedly, I think-said they wanted more time, particularly to see the trend of interest rates at the first of the year with the new administration. That particular committee is meeting on February 17 with experts on both sides lending agencies, banks, and so forth, and representatives for the other side to determine either to raise or hold the interest rates, and I will have the benefit of the recommendations of that committee before the executive committee of the Legion in April or May, and at that time I assume there will be a position stated. At the present time I have no position other than past thinking to guide me.

The past thinking has been to hold; and I cannot, of course, assume at this point what the recommendations of the committee will be, but we have not deviated as yet from holding.

There are individual departments that are making recommendations to hold at 4 percent.

Now, that is in the formulative process. The national commander does not formulate policies. My own thinking would have nothing to do with this. I have to wait now until the committee reports and until the executive committee or the convention takes action. At that time the national commander has a policy to guide him. I have nothing to guide me now except past thinking.

Mr. AYRES. Has there been any comment regarding those areas where 4-percent money has not been available, and if 4-percent money is not available there will be a change in the direct-loan operation of the Veterans' Administration?

Mr. GOUGH. There has been comment along that line, and I will be very happy to make the findings of our committee available to you just as soon as we have them, because they are getting a good deal of information along that line, and along other lines, from both sides.

Mr. AYRES. The only reason for moving fast on it, Mr. Commander, since you apparently do not come from a Northern State, is that our building programs are planned in the late winter or early spring, and whatever the program is going to be, the builders throughout the northeastern part of the country and northewestern part—wherever the building season is limited to 6 or 8 months of the year-are going to want to know very soon what plans to make and whether or not the GI is going to be able to buy the home.

Now, in your judgment, just passing on this in your own opinion, do you feel anything constructive would be accomplished if our committee were to go into certain areas and listen to some of the complaints of the GI direct? I know all of us have our files filled with letters from returned veterans who say, "Yes; it is fine to have a GI building program, but where can I get a loan?"

Mr. GOUGH. I think that that would be a very constructive move― to get out in the field. That is what I asked Mr. Tom Moses, who is chairman of my committee, to do-to try to get the feeling of the veterans in various segments of the country in order to get an overall picture to guide us. I think that is an excellent thought.

Mr. AYRES. I think we will get the cooperation of our chairman on that, and I will discuss it with her at an early date.

The CHAIRMAN. We also have to get some money from the rules committee and an authorization from the rules committee in order to have that investigation. Perhaps you will help us with that.

Mr. GOUGH. Yes, I should say.

The CHAIRMAN. I think that is one of the departments of the Veterans' Administration that we have to watch very carefully because I think other departments have designs on that, the same as they have on insurance. I think that our first fight is to see that we hold the line. You have made a fine statement. Perhaps when you are in Washington you will come before us again.

Mr. GOUGH. It has been a pleasure indeed. I thank you for the privilege.

The CHAIRMAN. The Veterans of Foreign Wars cannot be with us today, but the commander is going to appear at a later date. Mr. Omar Ketchum, the legislative counsel for many years of the Veterans of Foreign Wars, has a brief statement to make.

We are delighted to have you with us, as always, Mr. Ketchum. STATEMENT OF OMAR KETCHUM, LEGISLATIVE COUNSEL FOR THE VETERANS OF FOREIGN WARS

Mr. KETCHUM. Thank you. I have come here this morning not to present the program of the organization, but to explain that due to firm commitments of a nature which he could not break, our national commander could not be here this morning.

When the date of this meeting was first considered it was necessary to point out that our commander could not be here on the 10th-and I think the committee clerk will verify that—but some of the other commanders could be here, and it was agreed then that the date of the 10th would be the date, inasmuch as our national conference, the conference of national officers and department commanders is being held here this weekend and the first of next week, a happy compromise was decided upon whereby our national commander, along with all our national officers and our department officers, would appear here next Tuesday morning.

The chairman has graciously agreed to receive our commander and our national department officers next Tuesday morning. We hope that the committee members will be able to be present, and I am sure that we will have some interesting statistics and information to supply to the committe.

There is only one thing that I would like to say, and because time is of the essence, the supplemental appropriation submitted by the Veterans' Administration, in our opinion, does not carry a request for sufficient funds to correct a deplorable situation in hospitalization because of inadequate funds appropriated for the current fiscal year. As a result of that our organization, and I am sure the other organizations—at least there was an agreement made yesterday-would state to this committee that there was urgent necessity for a special supplemental appropriation of not less than $15 million to go to the Medical Division of the Veterans' Administration to take up the inadequacy that developed by reason of insufficient funds that were appropriated in the last Congress.

I think you will recall there was approximately $31 million reduced from our budget for hospitalization, so it is important, we think, that

a supplemental request for at least $15 million be immediately enacted by the Congress in order to permit the Veterans' Administration to proceed with important hospital measures and care and treatment that had already been approved and for which the patients are ready and waiting.

I might add that dental care is one of those things.

Thousands upon thousands of veterans have been approved as service connected for dental care, and yet there are no funds with which to give this treatment, and the longer that condition continues, if and when that treatment is rendered, it will be much more expensive and complicated than it would have been at the time they were approved for treatment.

I do want to mention to this committee, because of the time element, the importance of that supplemental appropriation of not less than $15 million for the hospitals. I would like to bring that to the attention of the committee.

The CHAIRMAN. We will look forward to hearing you again on the 17th.

Mr. KETCHUM. The 17th, Madam Chairman, and we will present the program of the organization, and I am sure we will have some very pertinent information on some of the questions that were discussed here this morning, in addition to many others.

The CHAIRMAN. I am sure you will.

Mr. KETCHUM. Thank you very much.

The CHAIRMAN. We are always glad to have you.

Mr. KETCHUM. Thank you for your courtesy in arranging this other meeting.

The CHAIRMAN. We will look forward to it.

Congressman Hagen is going to present the next witness.

Mr. HAGEN. Thank you, Madam Chairman.

The CHAIRMAN. We are very glad to have you on the committee. Mr. HAGEN. It is a privilege for me to be able to introduce the national commander of the DAV, particularly as I am a new Member of Congress. I understand that we are to be seen and not heard.

The commander of the DAV is a World War II veteran who is a personal acquaintance of mine, and it is indeed a privilege for me to be able to present him to the committee and the people assembled here.

He is peculiarly qualified, in my opinion, to give the committee sound advice with respect to veterans' legislation for the reason that he is a public official himself, serving as a member of the board of supervisors in California in carrying out a legislative and administrative function in that role.

In addition, he is in the contracting business and knows something personally about the problems of home building and home financing. I might add also, Madam Chairman, his wife is quite active in the affairs of the auxiliary of the Disabled American Veterans and is State chairman of that group.

It gives me a great deal of pleasure to introduce to you and the other members of the committee Floyd E. Ming, national commander of the DAV, Bakersfield, Calif.

The CHAIRMAN. We are delighted to have you, Mr. Commander. I had the pleasure of being in Boston when you were elected, and you have always been right on the beam. You have always worked for your disabled and you have never ceased. You cannot be diverted

in any other direction.

STATEMENT OF FLOYD E. MING, NATIONAL COMMANDER OF THE DISABLED VETERANS, ACCOMPANIED BY CICERO HOGAN, DIRECTOR OF CLAIMS, AND CHARLES FOSTER, ASSISTANT LEGISLATIVE DIRECTOR

Mr. MING. Thank you for those kind words, and thank you, Congressman Hagen.

Madam Chairman, ladies and gentlemen of the committee, as national commander of the Disabled American Veterans I am pleased and appreciate the distinct privilege to meet with you this morning for the purpose of presenting our legislative program. The opportunity afforded the DAV to discuss with you personally the various facets of legislation in the field of veterans' affairs is one of the most important duties I will perform during my tenure in office.

It goes without saying, of course, that this committee has always lent an intelligent, sympathetic, and understanding ear to the problems of America's wartime disabled and to the survivors of deceased veterans.

Our legislative program is determined upon and fixed by the delegates attending the national convention. During the 5 days that the delegates meet each year they consider hundreds of proposals stemming from approximately 2,000 chapters situated in every corner of our vast country. Many of these are repetitious, others are deemed impractical, and only approximately 50 resolutions calling for legislative action were finally approved. Time, of course, will not permit me to mention each of these specifically but I would like to outline generally our modest program.

It is of particular significance that the trend of our mandates this year is toward greater uniformity and equality in existing laws and regulations administered by the Veterans' Administration. In this connection I would like to emphasize the bills H. R. 43 and 44 introduced by the chairman of this committee. These bills seek greater uniformity in existing monetary benefits presently payable to serviceconnected disabled veterans and to the survivors of veterans whose death is attributable to service-connected causes.

In enacting Public Law 356 last year, which increased serviceconnected disability compensation to partially offset the advance in the cost of living, Congress created a schism. Public Law 356 provided a 15-percent increase in compensation for veterans rated 50 percent or more and a 5-percent increase for those rated less than 50 percent. In another section of the same law an increase of approximately 15 percent in death compensation was extended to widows, with the exception that widows with no children did not receive any increase. The bills H. R. 43 and 44 would further amend the Veterans Regulations by making uniform the increases in death compensation among the various classes of widows and would reestablish parity between veterans rated less than 50 percent and those rated 50 percent or more. In other words, Public Law 356 completely ignored the fact that disabilities are rated percentagewise, from 100 percent down to zero percent. The differential between the least seriously disabled and the most seriously disabled is fully recognized in adjudicating a veteran's claim for compensation. Public Law 356 imposes an additional, and in our opinion entirely unwarranted, differential in providing

a 15-percent increase for 1 group and a 5-percent increase in another. The net result is that a man presently rated 10, 20, 30, or 40 percent does not draw that percentage of total disability compensation despite the fact his disability is rated percentagewise.

We would like to see this committee take positive and expeditious action to once again bring about uniformity in the rates of disability and death compensation for service-connected causes.

Before mentioning any other specific measures I would like to invite the attention of this committee to a resolution adopted at our last national convention which reads as follows:

Now, therefore, be it

Resolved, by the Disabled American Veterans, assembled in Boston, Mass., this 10th-16th day of August 1952, That we go on record sponsoring only legislation that is germane to the needs of the wars' disabled and their dependents; and be it further

Resolved, That this organization take a definite stand in asking the Congress of the United States that benefits for the wars' disabled and their dependents come first.

This resolution is a reaffirmation of the policy followed by the DAV since its origin and is indicative that the membership is steadfast to the purposes for which the Congress of the United States granted us a charter. We shall never deviate from this single-purpose objective. Other measures on our legislative program pending before this committee which seek equality of treatment are contained in H. R. 462 and 630 introduced by Representatives Kearney and Teague, respectively. It has come to our attention that a number of seriously disabled World War II veterans entitled to vocational rehabilitation and training under the provisions of Public Law 16, 78th Congress, have been or shortly will be precluded from applying for such training due to long periods of hospitalization as a result of their service-connected disabilities. These bills do not seek to extend training under Public Law 16 to veterans otherwise eligible therefor who have merely "slept on their rights," but is designed solely for the veteran who has been unable to apply for such training because of hospitalization. All training under Public Law 16 must be completed not later than July 25, 1956, and the Veterans' Administration cannot enroll a veteran in a course of education or training which would run beyond that date. It certainly was not the intent of Congress to deny the benefits of Public Law 16 to any veteran who has been unable to initiate his education or training under Public Law 16 because of long periods of hospitalization. These bills would, therefore, enable such a veteran to pursue an appropriate course of training beyond the termination date, July 25, 1956.

With permission of the chairman and in order that I may have some time to discuss the current hospital situation and the various proposals for reorganization of the Veterans' Administration it is respectfully requested that I be permitted to insert in the record following the close of this statement, a supplementary statement listing DAV resolutions adopted at our last national convention, together with the appropriate bill numbers, which comprise our legislative program for this year.

The CHAIRMAN. It will be so ordered, without objection.

Mr. MING. In addition to the above, we are mandated to request the Congress to make uniform the benefits payable to disabled_veterans under Public Law 877, 80th Congress, as contained in H. R. 52; to