Foreign Aid Flurry Continues

The House of Representatives postponed Friday for the second time in a week its decision on foreign aid appropriations for the current fiscal year and the transition quarter preceding the new fiscal year that starts Oct. 1. The House is now planning to face the issue late this month after it returns from its Easter recess on April 26.

The ultimate extent of the appropriations, however, may not be determined until late May. only a few weeks before the current fiscal year ends June 30, since both the Senate and House must approve the legislation and it must be signed by the President before going into effect.

The postponement of the House vote by Rep. Otto Passman (D.La.), chairman of the House subcommittee on foreign aid, came after he conferred with the House leadership and President Ford. Passman indicated to the Jewish Telegraphic Agency that the President continued to be opposed to the transition quarter funding which would bring an additional half billion dollars for Israel but that he welcomed the delay in House action.

“We will all have the opportunity to think this thing through and have a meeting of the minds.” Passman told JTA. “I predict that in the end all will be well and all friends will be reunited.” Passman, however, declined to discuss any possibility of a compromise and said the President is “adamant” against additional funding for Israel. Passman said the House would sustain a veto.

A WARNING AND A PROMISE

The President’s supporters are mixing his veto threat with a warning and a promise. The warning is that Israel stands to lose more than $1.5 billion if the controversy is prolonged as a veto would. They say that since the current fiscal year will have only two months left when Congress again takes up the bill, many members will feel that the year is about over and kill the legislation.

In its place they would seek to vote a resolution that would extend the 1975 level of funding through the 1976 year. In 1975 Israel was provided with $624 million in military aid and economic supporting assistance. The current legislation before Congress provides Israel with $2.2 billion.

The promise is that Congress is preparing a new bill that will earmark Israel for $1.8 billion for the fiscal year 1977. This bill, which is to go before the House subcommittee for a vote May 6 would give Israel $4 billion over a 27-month period between July, 1975 and Sept. 30, 1977.

The veto threat, meanwhile, is seen as not altogether feasible for the Administration to use. While it is directed openly at Israel, it will hurt some 50 other countries, including Egypt, Jordan and Syria. Foreign aid is a bulwark of the Administration’s foreign policy and if the bill is vetoed, financial chaos would result for other governments that depend on it apart from Israel.