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other ex-service organizations who are daily confronted with the problem of caring for the widows and orphans of these deceased ex-service men. I am sure they would advise the committee of the inestimable amount of benefit which flows from the proceeds of these certificates and would advise against any legislation which would take away this godsend to the widows and orphans of these ex-service men.

Mr. CHAIRMAN. I realize that in making this statement I have offered no legislation solution to this most perplexing problem of what should be done about paying the bonus, but my best advice is that the Congress should give consideration to the further extension of benefits to the disabled, to the widows and orphans of deceased ex-service men, and to the building of additional hospitals and soldiers' homes to care for the sick, and leave the able-bodied ex-service men to take their places along with the other citizens of the country in working out their own salvation during these distressing times. Certainly he has this advantage over the average citizen, that is, an excellent investment which has a loan value and which is a protection for his family in the event of his death and for him in his old age.

In closing, gentlemen of the committee, would invite attention to the fact that the appropriations which you approved in the House the other day for veterans' relief for the fiscal year 1932 were nearly $900,000,000; that these expenditures will undoubtedly increase under existing law and that additional costly legislation will be needed and later enacted into law. Therefore, it seems to me we should pause and think of the possible effect the acceleration or the increasing of this enormous liability of the Government will have on future legislation for the disabled and their widows and orphans. I believe we have reached a point in connection with veterans' relief when we must give serious consideration to where we are going. It would be a pity, in my judgment, to have public opinion turned against relief measures for disabled veterans because of any unwise legislation for the able bodied.

Senator Watson. General, how many pensions have been applied for under the last act we passed? How many have applied for pensions under that act?

General Hines. I take it, Senator, you refer to the new disability allowance?

Senator WATSON. Yes.
General Hines. Up to December 31, 1930, 305,890 had applied.
Senator HARRISON. How many were granted ?

General HINES. Of that number, to the same date, we had allowed 72,433, which was 52 per cent of those adjudicated. In other words, we had adjudicated 139,125-45.48 per cent have been adjudicated.

Senator Watson. Are they still coming in at a pretty rapid rate?

General Hines. They are still coming in at a rapid iate, and we estimate that for the fiscal year up to June 30 of this year, we will handle at least four hundred thousand-odd.

Senator GEORGE. General, what is the average amount paid to those that have been favorably adjudicated?

General HINES. I will read those, and if you desire, this table may go into the record. For 25 per cent disability, 39,516. That is the $12 rate. For 50 per cent disability, 16,456. For 75 per cent disability, 5,536.

Senator WATSON. What is that rate?

General HINES. The rates are $12, $18, $24, and $40. For total disability, there are 10,905.

Senator GEORGE. General, we had a number of estimates at the time we were considering that veterans' legislation, indicating that there were a total of from 60,000 to 90,000 totally disabled veterans that were not getting compensation. Do you recall that?

General HINES. I recall that that claim was made, and I remember estimating that I thought there were probably 10,000. But I will say this to you, Senator, which has a bearing upon this particular subject, that along with the disability allowance, there has been a very marked increase in the allowance of straight compensation, that is, service-connected.

Senator GEORGE. That is, a great many came in under the amended acts that were previously excluded?

General HINES. Yes.

Senator GEORGE. What I am wondering, General, is whether most of those totally disabled men, with nonservice-connected disabilities, have been able to get some disability allowance.

General HINES. Yes, sir. We instructed our field officers to take those men that were in the hospitals, and those that were badly in need first, and we gave them priority. We took the hospital load and the soldiers' home load first, which, of course, took in the badly disabled men.

The CHAIRMAN. Are there any further questions?

Senator REED. Are you familiar with the systems of relief adopted by the other countries that were in the World War?

General HINES. I am generally familiar with them, Senator-not with all the details, but I think I can answer questions. We have a tabulation of those measures of relief which could be furnished.

Senator REED. How does the relief given the American veteran compare with the others?

General Hines. It is very much greater in all respects, including the provisions for hospitalization, and there are greater money allowances, wherever allowances are made. Of course, most of the other countries limit their activities in great measure to men whose disabilities are due wholly to service.

Senator REED. I am not implying that we should reducē our relief measures to the level adopted by other countries, or that we should use them as a controlling guide, but I think it is interesting to contrast them. We had a case in the Senate last week of a totally disabled aviator in the French service who was receiving $9 per month from the French Government for a total disability. The contrast seemed to be shocking. I wondered if, in Canada, Australia, and New Zealand, as well as the European countries, the level was so much below ours.

General HINES. Canada comes the nearest to ours. The Canadian service disability awards are in accordance with rank, which, of course, makes comparison a little more difficult with our standard, but their rates are less. All the rates are less than ours, but the Canadian rates come the nearest, and then the British, for serviceconnected disabilities. The Australian system was being worked out last year, so I am not sure just what they adopted.

Senator BARKLEY. How many other countries granted a bonus comparable to our adjusted compensation?

General Hines. I know of no country that adopted a bonus of that character.

Senator BARKLEY. I understood that Canada and England, and possibly France, had, at the end of the war, made some provision for compensation or recognition of an obligation different from the ordinary disability compensation.

General HINES. Great Britain and Canada endeavored to reach a cash settlement with some of their veterans in lieu of monthly payments for disabilities. Experiences in Canada were that after making those settlements, and the money being paid, a few years afterwards it became necessary to take care of those men again, and they have had to adopt new legislation last year to care for those men, with some of whom they had previously made a cash settlement. I am not sure whether Great Britain has reached that point, but I know that they are having difficulty with similar cash payments.

Senator LA FOLLETTE. General, do you know how many States paid a bonus?

General Hines. A large number of them; and I am having that tabulated for the House committee. I will be glad to put it in the record. Some of them paid extensive bonuses. I think the State of New York paid some $50,000,000, and a number of other States, including Illinois and Massachusetts, paid bonuses. I will be glad to furnish that statement for this committee, but offhand I could not

tell you.

FEBRUARY 5, 1931.

To: The administrator.
From: Special assistant to the administrator.
Subject: Amount of bonus reported as paid by States.

In compliance with your request there is submitted the following list of States and the amount which is reported to have been paid by each as a bonus to World War veterans: Illinois. $55, 073, 439 North Dakota.

8, 244, 778 Iowa.. 20, 047, 811 Ohio.

32, 025, 000 Kansas. 30, 250, 233 Oregon

5, 049, 810 Maine. 3, 216, 100 Rhode Island

2, 561, 900 Massachusetts. 22, 181, 000 South Dakota.

8, 053, 922 Michigan.-

31, 037, 211

1, 197, 084 Minnesota 23, 886, 460 Washington

12, 612, 339 Missouri. 18, 793, 340 Wisconsin..

15, 908, 778 New Hampshire

1, 847, 500 New Jersey

12, 841, 305

Total, 19 States.- 351, 291, 853 New York..

48, 458, 843 Twenty-eight States reported no bonus was paid. One State failed to report whether or not any bonus was paid.



A survey was conducted whereby all State governments and some county and city governments were contacted and reports obtained for the purpose of ascertaining as nearly as possible just what had been done by them in extending benefits and rendering relief to veterans and their dependents subsequent to April 1, 1917.

It was found that although each State had done considerable for its veterans it was nearly impossible to determine completely the amount of money expended from public funds or aid otherwise disbursed, for several reasons. instances this aid was given in connection with aid rendered to other citizens of the State or given to State institutions very definitely to take care of veterans, yet not accounted for on that basis. The tabulation shows a total expenditure of $519,791,190 actually disbursed from April 1, 1917, to January 1, 1930. This

In many

does not include $56,890,196 accounted for as loans to veterans, or $73,181,199 for State homes, hospitals, etc.

The above expenditure was distributed under the following classification, which shows the amount and number of States involved:

Pensions.-Fifteen States reported a total of $94,618,496 expended for State pensions to veterans and their dependents.

Four States reported expenditures for pensions but did not give the amount. Twenty-two States reported no pensions. Seven States failed to state whether or not pensions were paid. These pensions were paid to Confederate veterans, and their widows, Spanish War veterans, and veterans of Indian Wars.

Bonus.—Nineteen States reported a total of $351,291,853 expended for bonuses to veterans of the respective States.

Sixteen States reported no bonuses.
One State failed to state whether or not bonuses were paid.

Relief.Twenty-eight States reported a total of $39,734,112 for general and emergency relief which was not repaid by beneficiaries.

Sixteen States reported no expenditures.
One State failed to state whether or not any expenditures were made.

Exemptions.-It was very difficult to ascertain the amou expended under this heading; however, 11 States definitely reported $9,656,516 as a total.

Thirty-two States reported expenditures made but were unable to furnish the amount.

The following are illustrative of the types of exemptions which were made but not reported:

License to engage in any business or occupation.
Hunting license.
Inheritance tax up to $25,000.
Exemption or reduction in real property tax.
Tax on homesteads.
Poll tax.
Hawkers' and peddlers' licenses.
Taxes on property of veterans' widows.
Personal property.
Exemption from levy and sale upon execution and attachment of real property.
Road taxes, etc.

Educational benefitsnot loans.-It was difficult to obtain a complete figure under this heading because in many instances benefits were granted without actual expenditure, such as free tuition to public schools, colleges, and universities. However, 10 States definitely reported $7,553,221 expended.

Seven States reported expenditures but did not give the amounts.
Eleven States failed to state whether or not expenditures were made.
Twenty States reported no expenditures.

Burials.-Under this heading are included headstone markers, transportation costs, etc. In most instances these expenses were taken care of through county and city agencies.

Sixteen States definitely reported $1,590,314 expended. Nineteen States reported expenditures but did not give the amount. Six States failed to state whether or not expenditures were made and seven States reported no expenditures.

Miscellaneous.—Expenditures were made for a number of other purposes not included in the foregoing items. Under this heading 21 States reported $5,606,400 expended.

Two States reported expenditures but did not give the amount, and 25 States did not report expenditures.

Administrative expenses.—Thirty-six States reported $10,450,278 expended in the administration of extending aid and benefits to veterans. In numbers of instances State service officers and clerks were employed to aid in this cause. Five States made expenditures but did not give the amount.

The foregoing expenditures in terms of amounts definitely stated may be grouped as to benefits and relief extended to veterans and their dependents as follows: (a) For World War veterans—43 States reported.

$375, 495, 182 (b) Veterans of all other wars—22 States reported.

94, 296, 082 (c) Amounts not separable—25 States reported...

50, 005, 326

Grand total...

519, 791, 190

In addition to the direct benefits indicated above some of the States established funds through the issuance of bonds for the purpose of extending what might be . called indirect benefits. Six States reported $56,621,492 as the amount loaned to veterans in the purchase of homes and farms; 2 States reported $68,704 as loans for relief; and 1 State reported a revolving fund of $200,000 for educational purposes. The above makes a total of $56,890,196.

A number of States are maintaining soldier's homes and hospitals in which are extended benefits to veterans, their widows, and children. Thirty-six States reported a total of $68,221,461 expended on 77 State hospitals and homes; 7 States reported expenditures but did not give the amount; and only 5 States reported no expenditures for such institutions. In 19 States expenditures of $4,959,738 were reported as expended for memorials, children's homes, etc.; 3 States reported expenditures but did not give the amount. This item does not include bridges, civic improvements, etc., which are simply dedicated to World War veterans.


Direct benefits and relief to veterans and their dependents. $509, 340, 912 Administrative expenses in extending the above benefits.

10, 450, 278 Expenditures for State soldiers' homes and hospitals.

68, 221, 461 Expenditures for memorials, other homes, etc.-

4, 959, 738 Total expenditures in terms of amounts definitely reported

592, 972, 389 Loans to veterans which are to be repaid to the States.

56, 890, 196

Grand total.

649, 862, 585

Summarization of expenditures by States for benefits and relief, for loans to veterans to be repaid, and to State soldiers' homes, hospitals, etc.



Benefits and


Loans to be


State soldiers' home, hospitals, etc.

$198, 679
24, 447, 098



$6, 286, 090 1,368, 950

982, 178

New Hampshire.
New Jersey.
New Mexico
New York
North Carolina..
North Dakota
Rhode Island
South Carolina.
South Dakota.

$12, 280, 000

60, 053 20, 840, 895

675, 000

53, 250 6, 702, 993


24, 500 20, 024, 877

206, 785 55, 804,083

1,000 22, 506, 559 30, 461, 499 4, 256, 000 11, 169, 850 5,639, 273

235, 000 43,627, 041 34, 112, 895 27, 297, 265

34, 100 18, 814, 930

300,000 1,043, 327 1,905, 377 13, 514, 059

2, 145, 000 60, 340, 249

42,000 8, 330, 349 32, 440, 350 1, 217, 550 7,908, 965

127, 500 2, 943, 844 9, 427, 857 6, 518, 137 12, 199, 137

10, 775

695, 000

605, 081 2,843, 718 5,726, 134 3, 423,993

321, 445 584, 677 242, 953

40,000 158, 500 2, 968, 729 4, 337, 841 2,701, 260

72, 370 116,000

400,000 1,812, 946

4, 000 392, 117

51, 000 9, 427, 688

40 2, 236, 690

27, 739, 025

231,420 7, 205, 531 3, 596, 725

620, 601 4, 300, 183

77, 360 386, 980 2,054, 842

320, 088

200 1,000,000

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