838.51/4018: Telegram
The Chargé in Haiti (Sparks) to the Secretary of State
[Received 7:02 p.m.]
147. Referring to the Department’s instruction No. 453, August 10, President Vincent has taken the position that a reduction in the base pay of new enlistments in the Guard would be inopportune and that the utilization of communal revenues for budgetary purposes would be unconstitutional and politically inexpedient. He declares that the means of balancing the budget must be sought elsewhere and expresses the belief that this can be done by a greater reduction in salaries and other budgetary expenditures. The National Assembly has approved the reenactment of current budget and has granted special powers to the executive to make the reductions and adjustments that may be necessary.
The Fiscal Representative is canvassing the situation informally with the Finance Minister but he points out that budgetary reductions will not be sufficient for the purpose and that new revenues must be found immediately to compensate in part the shrinkage due to the inability to move coffee.
An air mail report will reach the Department Monday morning.