Special Message to the Congress Transmitting Request for Additional funds for Viet-Nam

To the Congress of the United States:

Last January, in my budget message to the Congress, I pointed out that this budget made no provision for any major new requirements that might emerge later for our mutual defense and development program. I stated then that if such requirements should arise I would request prompt action by the Congress to provide additional funds.

That need has emerged in Vietnam. now request that the Congress provide $125 million in addition to the $3.4 billion already proposed for foreign assistance. $70 million is required for economic and $55 million for military uses in Vietnam.

Since the 1965 budget was prepared, two major changes have occurred in Vietnam:

First, the Viet Cong guerrillas, under orders from their Communist masters in the North, have intensified terrorist actions against the peaceful people of South Vietnam. This increased terrorism requires increased response.

Second, a new government under Prime Minister Khanh has come to power, bringing new energy and leadership and new hope for effective action. I share with Ambassador Lodge the conviction that this new government can mount a successful campaign against the Communists.

In March Prime Minister Khanh declared his intention to mobilize his nation. This intention has now been confirmed by his new and enlarged budget for 1964. It provides for:

--Expanding the Vietnamese Army, Civil Guard, Self-Defense Corps, and police forces, and integrating their operations with political, economic and social measures in a systematic clear-and-hold campaign.

--Greatly expanding and upgrading the Vietnamese civil administrative corps to increase the government's effectiveness and services at the village, district and province level. Local government capacity, responsiveness to popular needs, and initiatives are to be strengthened.

--Better pay scales for the men and adequate budgets for the organizations engaged in this struggle of many fronts.

--Manifold expansion of training programs, to provide teachers, health workers, agricultural, financial and administrative staffs for the rural areas.

These and other measures, if promptly carried out, will require an increase of about 40 percent in Vietnam's domestic budget expenditures over the 1963 level--a far greater expansion of Vietnamese effort than was assumed in the assistance plans submitted in January. Under present circumstances, Vietnam's domestic revenues cannot be increased proportionately. Severe inflation resulting from a budget deficit would endanger political as well as economic stability, unless offsetting financial actions are taken. We expect the Vietnamese Government to take all possible self-help measures to deal with this problem internally, but substantial increases in economic assistance also will be required. We must share the increased costs of the greatly intensified Vietnamese effort.

Our more direct support of the expanded Vietnamese military and civil operations also must keep pace with the intensified Vietnamese effort. On the civil side--through AID's counter-insurgency program--this means more fertilizer, medical supplies and services, repair parts and replacements for war-damaged railway rolling stock, school supplies and building materials, well-drilling equipment and teams to bring fresh water to the villagers, and enlarged advisory staffs in the provinces.

On the military and paramilitary side, additional equipment, ammunition, training and supplies will be needed as the organization and functioning of the armed forces improves. Additional aircraft, pilot training for the Vietnamese and air field improvements are required. Increased activity will require additional ammunition. Additional support equipment is required for all forces.

The vigorous decisions taken by the new Government of Vietnam to mobilize the full resources of the country merit our strongest support. Increased Communist terror requires it.

By our words and deeds in a decade of determined effort, we are pledged before all the world to stand with the free people of Vietnam. Sixteen thousand Americans are serving our country and the people of Vietnam. Daily they face danger in the cause of freedom. Duty requires, and the American people demand, that we give them the fullest measure of support.

We have reviewed the entire budget for mutual defense and development programs once again to determine whether we can accommodate within it these added requirements. We cannot. In fact, recent events in Brazil and elsewhere may add to the economic programs originally planned. Military programs have already been cut to the bare minimum. We cannot respond to the new situation in Vietnam within the limits of the original budget proposal without unacceptable danger to our other basic security interests.

I am today forwarding to the Speaker of the House of Representatives amendments to my 1965 Budget increasing my request for appropriations for Supporting Assistance from $335 million to $405 million, and for Military Assistance from $1.0 billion to $1.055 billion. Both of these increases are covered by the Budget's allowance for contingencies, so that they will not affect overall Budget totals.

I ask the Congress to enact authorization for Supporting Assistance and Military Assistance sufficient to permit appropriations in these amounts.

I strongly urge the Congress to provide this additional $125 million to Vietnam, and to appropriate the full $3,517 million now required for our mutual defense and development programs.

LYNDON B. JOHNSON