Editorial Note
On June 7, President Truman presented to Congress a message on economic assistance to the Republic of Korea calling for the appropriation of $150 million for the fiscal year ending June 30, 1950 (text in the Department of State Bulletin, June 19, 1949, page 781). On the following day, Acting Secretary of State Webb testified before the [Page 1040] Committee on Foreign Affairs of the House of Representatives on behalf of the proposed Korean aid bill (text in the Department of State Bulletin, June 19, 1949, page 783).
On June 8, the Department of State also issued a statement on United States policy in Korea (text ibid., page 781) and released the text of Ambassador Muccio’s letter of May 2 to President Rhee on the establishment of KMAG (text ibid., page 786).
No legislative action was taken on the Korean aid bill during 1949, but two interim appropriations did give the ECA $60 million for the program up to February 15, 1950 (see P.L. 343, 81st Congress, October 10, 1949 and P.L. 430, 81st Congress, October 28, 1949). Legislation authorizing the rest of the $150 million was defeated in the House of Representatives on January 19, 1950, by a vote of 193–191. A Senate bill, amended to reduce the appropriation to $60 million (for a total of $120 million in fiscal year 1950) was, however, enacted into law on February 14, 1950 (see P.L. 447, 81st Congress). The actual appropriation under this act was not passed until June 29, 1950, and amounted to $50 million (P.L. 583, 81st Congress). The total appropriation for economic aid to Korea in fiscal year 1950 was thus $110 million. In addition, P.L. 447 had provided for advances of up to $30 million for Korean aid from the RFC to the ECA provided that no coalition government was formed in the Republic of Korea which included Communists or members of the ruling party of North Korea.