File No. 839.51/1586.

Chargé Johnson to the Secretary of State.


Dominican Congress recently passed budget carrying appropriations $300,000 in excess of reliable estimates of revenues and containing other provisions obnoxious to the Dominican Government. The President under the Constitution, chapter 7, returned the bill with amendments, among others, reducing expenditures $300,000. Congress rejected the amendments but not by two-thirds vote required by the Constitution to effect passage freed from President’s amendments. The President has sent to Congress a special message urging reconsideration in view, among other things, of international obligations not to increase the public debt but he has no hopes of favorable action. This would leave old budget in force which carries $5,000,000 which is $600,000 more than estimated revenues. Minister of Finance however says that he can continue to operate under that budget in such a manner as to keep obligations of the Government within the revenues and that old budget would be better than the new budget unamended.