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1932 › Franklin D. Roosevelt (Democratic) › Veterans' bonus and benefits
No early payment of the veterans' bonus until the budget is balanced with a cash surplus
pledge_forwardspecific_pledgecandidate_directevidence A Federal Budget & SpendingVeterans⚡ Bonus Army march and eviction similar solutions · similar reasoning
Solution
Do not consider anticipating payment of the adjusted-service bonus while the government runs deficits; only after "a balanced budget, not only on paper, but with a surplus of cash in the treasury."
Rationale
A government "running behind two billion dollars annually" cannot add $2.3 billion of debt; Coolidge's charge that Roosevelt had been silent is "baseless" because the April statement was widely published.
Roosevelt's only campaign statement on the bonus quotes his own April 1932 remark; he otherwise avoided the issue and never addressed the Bonus Army eviction directly.
Statements (2)
I do not see how, as a matter of practical sense, a Government running behind two billion dollars annually can consider the anticipation of bonus payment until it has a balanced budget, not only on paper, but with a surplus of cash in the treasury.
No one, for political purposes or otherwise, has the right in the absence of explicit statement from me to assume that my views have changed. They have not.
Follow-through
blocked
Roosevelt kept the pledge personally: he cut veterans' benefits in the Economy Act, vetoed the Patman bonus bill in person before a joint session (May 22, 1935) and vetoed the 1936 bill; Congress overrode the second veto on January 27, 1936 and $1.9 billion in bonds was paid in June 1936 with the budget still unbalanced.
Mechanisms
| Date | Type | Name | Effect | Consistent? | Source |
|---|---|---|---|---|---|
| 1935-05-22 | veto | Veto of the Patman bonus bill (address to joint session) | Sustained by the Senate. | yes | Address Before a Joint Session of the Congress on the Veto of the Bonus Bill |
| 1936-01-24 | veto | Veto of the soldiers' bonus | Overridden by both houses. | yes | Veto of the Soldiers' Bonus. |
| 1936-01-27 | statute | Adjusted Compensation Payment Act (over veto) | Bonus paid in June 1936. | no | Statement on the Payment of the Soldiers' Bonus. |
Obstruction
congress Override of the January 1936 veto in an election year. source
Assessments
Congress overrode the veto; the President's position was consistent with the campaign statement.
Reception (5)
Roosevelt, unlike Hoover, favors adequate unemployment relief; on the bonus he deserves credit but remains open to the charge that he would pay it once the budget balances.
Until he makes that compaction Roosevelt will remain open to the charge that he favors a blanket cash bonus when the federal budget is balanced.
Roosevelt's bonus statement was late, indirect and timid compared with Hoover's; a position forced by expediency, not conviction.
the difference be- tween the Hoover and the Roosevelt statements on the bonus is the difference between courage and timidity, timeliness and lateness, directness and indirectness.
Roosevelt spoke tardily and evasively on the bonus, committing to nothing except a balanced budget before payment.
the Governor has spoken, tho tardily, and a trifle evasively, since he does not commit himself on anything except that he wants a balanced budget before a bonus payment.
Roosevelt evaded the bonus issue; his statement is not courageous.
Mills flatly declares that Mr. Roosevelt 'evaded the bonus issue.'
Roosevelt opposes the bonus only because the Treasury cannot afford it, leaving the inference that the demand is just and would be met once the budget balances.
for it leaves the inference that the bonus demand is just, and that only the present Treasury deficit prevents meeting the demand.
Other positions on this issue
- Oppose cash prepayment of the veterans' bonus, especially by fiat money — Herbert Hoover, 1932 specific_pledge
- The Patman cash bonus and $2.3 billion of greenbacks, passed by the House under his speakership — John Nance Garner, 1932 specific_pledge
1932-fdr-oppose-bonus-until-budget-balanced · created by claude-fable-5-1 · review: unreviewed