811.24 Raw Materials/963

The Under Secretary of State ( Welles ) to the Secretary of the Treasury ( Morgenthau )

Dear Henry: Arrangements are being completed for going forward with the proposal to ask Congress immediately to increase appropriations for the building up of reserve stocks of strategic raw materials as presented in the letter I sent the President on May 1, and which he in turn sent on to you. For convenience I am enclosing a photostat copy of this correspondence.

As a result of the meeting of the Interdepartmental Committee on Strategic Raw Materials with representatives of the Bureau of the Budget and the Procurement Division of the Treasury, I understand that the Bureau of the Budget is now preparing the request for deficiency appropriation on Treasury account and appropriate accompanying letter of transmittal from the President to Congress. This is the form in which present appropriations are handled, as you might [Page 257] know. I assume that this is completely in accord with the understanding reached at the Cabinet meeting.

I am hopeful that by the combined effort of all Departments the deficiency appropriation will be awarded by Congress without delay.

Sincerely yours,

Sumner Welles