"BUDGET SYSTEM NECESSARY TO STABILITY"--CALDER

That a budget system is necessary to the financial stability of the government, and that it is essential to the restoration of the country to normal conditions was the statement given out by the Honorable William M. Calder, United States Senator from New York, to a CRIMSON reporter recently. Mr. Calder, who is now in his third year of service in the Senate, is one of the leaders of political thought in the state, and chairman of the Committee to Audit and Control the Contingent Expenses of the Senate.

"If the country is to be restored to normal conditions," Senator Calder said, "what might be termed our National Extravagance must be curbed; and in order to accomplish this without disrupting the governmental organization, some system of appropriating moneys for national expenditures must be devised. We have been contemplating a budget system for many years, and the time has come when the public interest makes it imperative to enact legislation that will bring about this improvement in our financial system.

Present System Explained

"Today the different Departments and Bureaus of the government make up the estimates for their own offices. These are submitted to the Secretary of the Treasury, and he in turn transmits them to Congress without any attempt whatsoever to cut down the figures or to coordinate them with the other Departments. In my opinion a separate bureau should be created in the office of the Treasury Department with authority to reduce the estimates and submit to Congress a complete and workable budget.

"Today there is great duplication in many governmental activities and a lack of cooperation. There seems to be a disposition on the part of the Executive Branch of the government to get all the funds possible out of Congress for the purpose of extending the power and influence of each separate bureau. All of this, of course, leads to inefficiency and gross extravagance. The whole system is wrong and now is the time to correct it.

War Brought Taxation Change

"The enormous expenditures required to carry on the war have brought about a complete change in the financial affairs of the country. Our expenditures are now so large that the government must raise practically all of its revenue through the system of direct taxation. Even before the war, the increase in the cost of government had grown out of all proportion to the increase of our wealth and population.

"The total estimated requirements for the next fiscal year, excluding the money necessary for the Railroad Administration, is $5,250,000,000, or an average of $47 for every person in the United States. This enormous sum will be decreased by Congress to at least $4,000,000,000.

Must Reduce Cost of Government

"The cost of government must be reduced, and the direct responsibility rests with Congress. The adoption of a Budget System is therefore imperative, but this will not prove effective unless the Senate and House of Representatives by a change in their rules, will lodge in the hands of one committee in each House complete authority to examine into and recommend all appropriations.

"Previous to the Civil War all appropriations were passed upon first by a single committee for that purpose. Now we have a Committee on Agriculture, reporting appropriations for the Department of Agriculture; a Committee on Military Affairs, reporting appropriations for the War Department; a Committee on Naval Affairs, reporting appropriations for the Navy Department; a Committee on Indian Affairs, reporting appropriations for the Indian Service; a Committee on Foreign Relations, reporting appropriations for our Foreign Service; a Committee on Post Offices reporting appropriations for our Postal Service; a Committee on Rivers and Harbors, reporting appropriations for the improvement of our rivers and harbors, and a Committee on Appropriations that reports all appropriation bills for the payment of pensions, for the Executive, Legislative and Judicial expenses of the United States, for the District of Columbia for fortifications, the Sundry Civil expenses of the government, and deficiency bills to supply the deficiency in any of the Executive Departments.

No Real Coordination Now

"There is a general supervision of the expenses of the different departments on the part of the several committees, but there is no real and complete coordination between the different Departments and the Committee of Congress. The whole system is fundamentally wrong, and in these days of high cost of government, an earnest effort should be made to change it, and it is the duty of Congress to enact legislation to that end.

"From present indications a comprehensive budget bill will be passed at this session. This, I am hopeful, will bring about such a change in the government's method of doing business as to encourage economy without injuring efficiency."