Monday, May. 05, 1924
The Inevitable
Nobody expected otherwise. The Bonus Bill was going to be passed, and it was passed. The House had passed the bill 355 to 54 (TIME, March 31). In the Senate there was a mere handful of opponents. Some Democrats stood out for a cash option instead of the paid-up insurance proposed. Such real fight as there was concerned this cash feature. The Battle. Senator Copeland of New York forced the issue--the cash payment alternative to the insurance bonus. The Democrats on the Finance Committee, in their minority report, recommended that a cash alternative tP the insurance be offered. They argued 1) that cash was what most veterans wanted and 2) that a cash bonus would be cheaper. They estimated that the insurance plan would cost $3,631,047,691 and the same plan with a cash alternative would cost $2,562,408,193.
The opponents of the cash option declared simply that the immediate burden of paying cash would be ruinous to the Government finances.
There were several Senators who voted for the insurance bonus who were unwilling for that reason to vote for a plan with a cash option. When a roll call was taken on Senator Copeland's amendment to incorporate the cash option in the bill, the division followed in general party lines: 31 Democrats, 5 Republicans, 1 Farmer-Laborite, in favor; 36 Republicans, 11 Democrats, 1 Farmer-Laborite, opposed. Defeated 37 to 48.
On the bill itself party lines were not observed. A great preponderance of the Senators of both major parties were for it. The vote was, 67 in favor, 17 opposed. With the addition of the Senators paired but not voting the party division was:
IN FAVOR. OPPOSED.
Republicans, 37. Republicans, 12.
Democrats, 32. Democrats, 9.
Farmer-Laborite, 2.
The Bill. As passed by the Senate, the Bonus Bill is substantially the same as it was when passed by the House.
1) Compensation at the rate of $1 a day for home service and $1.25 a day for overseas service, exclusive of the first 60 days of service.
2) Payment in cash to those whose credits will be not over $50 and to the wives, children or parents of veterans who have died since the armistice.
3) Payment to other veterans in the form of a 20-year endowment insurance policy based on their adjusted service credit. On this policy they may borrow, after two years, up to 90% of its value.
The major changes incorporated in the bill by the Senate were:
1) That all cash payments shall be made immediately on its enactment (instead of nine months later).
2) That insurance certificates should be issued after July 1, 1925 (instead of after Jan. 1, 1925). This provision was inserted by the Democrats, in hope that they may control the next Congress and incorporate a cash option in the law before it is carried out.
3) That the Veterans Bureau should administer the Act (instead of the War and Navy Departments).
4) That members of the Public Health Service should not receive the benefits of the bill, but that female yeomen of the Navy, female marines, Philippine scouts and the Porto Rican regiment of infantry should receive its benefits.
The Advance. The Senate and House each appointed five members to confer on the bill and reconcile the differences created by the Senate's Amendments.