Evening star. [volume] (Washington, D.C.) 1854-1972, 1875-02-23
THE DISTRICT TAX BILL.
Proceedings I'm the House Of Repre-
sentatiyes Last Night.
Numerous Amendn ents, but no Final
Act ION.


fore been printed in THE STAR.
Mr.. Randall offered n prOviso te She first
section that not more than IS cents on each
SlO0 shall be levied on the cash v al1e of land
in the county OF Washington. Sr. r pro-
ceeded 10 argue that lands in the county be-
ing used for agricultural purposes had to
compete with the agricultural lands of Ma
Tyland, where taxes were low and such land
could not afford to pay tire same taxes as city
Mr.. Willard tVt1 offered an amendment
the county and - in the city, and 81 upon
personal property.
amendment until the House fixed the rate of
taxation.
Mr.. Smith (Ohioa moved to amend the
amendment of Mr.. willard by inserting -. 10
the Auditor OF Ohio to show that the rate of
taxation i'm the large cities of Ohio were equal
20 or greater than that rate.
Mr.. Cotton favored a less rate on real pro-
pCrty in the cOInty, The personal tax in the
city and county being left at the same rate
He said the people were yet suffering under
the recent three per cent. tax and the other
taxes for special Improvements.
GENERAL CHIPMAN'S DEFENCE OF THE
DISTRICT.
General Chapman said it was true Congress
and the country knew the exact condition of
affairs i'm the District of Columbia and APP
preciated the legal and moral obligations
. resting both upon the country and the Dis
1Tict. He quoted the 18th section of the or
ganic act, which provided THAT no debt by
which the aggregate deOt of the District
shall exceed per cent. of the assessed prop
erty of the District shall be contracted, unless
the law authorizing the same shall at the
general election have been submitted To the
people and have received a majority of the
votes cast for members of the legislative as
Sembly at such election
When the improvement Of the District was
inauguTated by the fOur-million loan act of
July 10, ISL, its legality was questioned, on
the ground that ii exceeded the aggregate
debt allowed, and ought to be submitted to
rrT1g .4rI,v tod us,I Tfia.N
and afteTwaTd, May 8, 1S72, confirmed by act
of Congress. But to relieve all doubt as TO
the meaning of the organic act, Congress
provided by that act That the debt of the
District of Columbia, including the debts of
the late corporation, shall at no time exceed
the sum OF SlO,O00,O00, unless an increase
over said amount shall have been previously
authorized by act of Congress"
Here were two plain restrictions. As TO the
first, II is sufficient TO say that the people
never authorized any loan other than the
four million loan; as To the second, Congress
never enlarged the maximum debt. nor did
The legislative assembly ever exceed the
100000 Whatever liabilities there NAV
Row exist. they are not the liabilities of the
District. unless authorized by the District
legislature within their legal power to au-
thOTiZe them. or unless Congress previously
enlarged the maximum limit. This was
never done, and cannot he now done rctrOac-
lively.
Tie bonded debt of the District author
lied by the legislative assembly is -, 51I.600;
late corporation of Georgetown, 500, 1sJ. p;
late corporation of Washington. 5000 Is. -;
making total. =. $50 g4a.43.
The acts authorizing this debt may be seen
by reference 20 commissioners report. This
assert 10 be the exact funded legal debt of
the District of Columbia. What further debt
or liability Us chargable TO the District of
Columbia? 1t may be said that the act of
June -, lSI3. creating drainage and sewer
age sections under which -, 10000 of sewer
certificates were authorized and issued by
the Board of Public Works, make q liability
OF the District. OF these there were redeemed
by the sinking fund commissioners 81 ,OJG. 500,
which the board of audit hold cannot be
funded and cannot be restored to the Dis
trict. There have been fle1 and are out
standing, including interest. S1,112gi2.2 %.
IhlS might De added TO our funded debt and
still be within the ten-milliOn Limitation,
but il was held by eminent counsel as not a
debt of the District, but was lien on prop
eTty, against which the holder could pro-
coed. besides our people always cOntended
hat the act was Illegal, and Congress so
determined and repealed it by act of June
%, 1874,
On the same day, June 26, 1873, the IegisIa-
tive assembly authorized the Board of Pub
lie Works TO issue certificates of indebted
ness for work done. and ''chargeable to pri-
vate property benefited thereby" Under
tins act ~2.OGO.OO0 were issued. II was OBJ
jected by citizens TO this as TO the former act
that il was not within the legal power of the
legislative assembly. as IL increased the debt
beyond the limit. But learned counsel adj
YlSed That II was competent for the legiSa-
tive assembly TO do this. as IL did not create
pledged 10 pay the certificates. In fact the
assessments were largely in excess of the
5000, Geo, and are rapidly paying the certii-
cates, and viii leave an excess to go toward
paying the general debt Of Sl,6ff,Oji57. L
cannot stop to read the opinion given as TO
these two acts: il was by MeSSrs. Caleb Cush-
ing. jeremiah =. Black, W. f. Chandler and
WSlteT :. Cox, and Will be found at length in
report No. i,lj, Senate, volume I, first session
Forty-thiTd Congress, page 46s. These are
substantially ali the liabilities incurred by
the Board OF Public Works with which the
District OF Columbia was by any pretence le-
gally connected, except such as 1 viii now
notice. As 10 the sewer tax il was declared
illegal by repeating the act; as TO the assess
Inent certificates there are ample funds To
pay them from that special fund, and this
leaves OUrdebt as Ihave stated il, IS -. 80 -.
Among the claims which the board of audit
was directed to audit by act Of June DO 1SI l.
were claims evidenced by the certificate of
the auditor and certified by the controller OF
the District. These only amounted In
Sl,SJ,.O6. Still another class were claims of
class five, arising under oral or written con-
tracts made Dy on on behalf OF the District of
Columbia. These claims amount TO SIS2.-
$3.50" OF which there have been allowed
>S2,54I-lj; dIsallOwed. $965lg. There will
probably be in All allowed about ~2JG.OOO.
Another class, seventh damages to real eS-
tate. which, growing cut OF the action Of the
board. viii group in the list OF District liza
bIlItleS, OF which there are IN all Sos $500:
allowed, SS4,6S9.5l. There may be still fur
ther allowed the balance. SaS.}, $3.50. Another
class. teighth) for sewer tax paid by owners
=
was under the act Of the legislative assembly
alterward repealed by Congress. and is no
part of the debt OF the District.
Mr.. Chapman then claimed that the total
funded and floating debt OF the District was
~t.s44 $3.50, and said the actual legal debt OF
the District ends here. Any other statement
Of 10 - forced and unwaTTanted. He showed
That the IiStrlC. mad total assets TO apply 10
the payment OF this debt an aggregate OF
y -, 054JT, due on account Of special assess
mentS. &C.
Mr.. Chapman continued as follows Il come
DOW 10 the more important quest ion who are
LA Die for the remaining indebtedness. for we
have reached but q part. I claim that the
United states are legally and morally liable.
Who created these Liabilities? The Board of
Public Works. Uuder what Authority? Let
aS see. / have shown negatively that they
drlved no authority from the District legiS-
is UTe or the people; and as to the District
an liability created without such authority
- void. After the board had exhausted tine
>1.pJC,O00 loan, the proceeds OF special aSSeSS-
meats and temporary aid given by the IegiS-
latin assembly, they stu found themselves
IN tie presence OF an UnSOlved problem of
lmpFOV ementS- They obtained authority
from The legislative assembly. by acts OF
Angus TO- ISL. and May ., 1875, 30 assess
one-tnlrd of the cost Of improvements against
prlvHts property benefited, as provided i'm
the organic act; but the legislature could not