Senate Votes to End Foreign Aid in Two Years; Israel Affected

The Senate late yesterday voted a $5,318,000,000 authorization for Mutual Security Activities in 1954–including approximately $65,000,000 for Israel–but at the same time adopted an amendment to cut off the entire MSA program throughout the world in two years’ time.

The surprise Senate amendment ordered MSA to start ending both the economic and military phases of its operations on June 30, 1955. All operations must be terminated by June 1956.

The authorization bill passed yesterday is the Senate version of a $4,998,000,000 bill passed previously by the House. The House bill contains similar provisions in behalf of Israel. Differences between the two bills will be resolved in a Senate-House conference. The present legislation, however, does not provide for the actual transfer of funds. This must be accomplished later by an appropriations bill and it is expected that any opposition to aid for Israel will materialize then.

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