Evening star., 1903-10-16
DEBT Due / THE ] B. { 0,
Districts Share Of Cost Of
New Terminal
AMOUNTS TO S450,O0O
ACCUMULATION UNDER THE ACT
OF CONGRESS.
Commissioners to Ask That First In
stallment Be Made Payable
July 1, 1908.

In his report to the Commissioners yes
terday regarding the state of District
nnances. Auditor John r. Garrison pointed
out that $45o.OOO Is now due the Baltimore
ana OHIO Railroad Company under the
terms or the original Baltimore and Ohio
terminal act, 1T having been stated in that
measure that the District should pay Its
snare OF the expense at the rate Of $50, coo
year, beginning July 1. 1901. AS is well
known this act was superseded by the union
station law In anticipation of the later
enactment. the Baltimore and Ohio Com
pany did no work under the original act.
Work under the new law has been begun
since the inauguratio of the current fiscal
year. Notwithstanding this fact the terms
OF the original law are in effect and the
District stands indebted by act Of Congress
to the Baltimore and Ohio Company in the
sum OF S45OOO0 although no demand has
been made by the company upon the local
treasury for the payment of the amount.
Ihus the District. IL 1t be compelled to
pay this money over as the account now
stands. will not only be placed in the posi-
ton or paying a heavy premium for the
elimination of grade crossings in cash. but
Will nave the added burden upon Its should
ers of having paid S30O.0O in advance of the
beginning of work on the elimination pro-
ject.
Commissioner Macfarland, president of
the District board, stated this morning
that he would recommend to the Commits
s1oners that this matter be called immedi-
ately to the attention of Congress, and
that relief be sought to the extent of MAX
ing the first payment to the company due
July i, 1903. The saving or the 100000
due for the years no work was done will
be of material advantage to the District.
The actual deficit during the current fiscal
year is estimated at about s260,000, figured
on the basis of paving over the entire sum
of s450,0Oo to the Baltimore and Ohio. 1t
will thus be seen that if the District is
not compelled to pay the installments of
s150.0O0 each for 1901 and 1902 the District
ledgers will show balance of $4,000 in
favor of the District instead of deficit
Regarded as Remarkable Showing.
This showing is regarded by taxpayers
as remarkable indeed, in the face of ad
verse legislation by Congress, requiring
cash payments for all permanent improve
ments, contrary to the sound business
practice in every other municipality of any
pretensions as to size and modern equip
ment.
The surplus thus indicated, if the mat
ter of the payments to the Baltimore and
Ohio shall be equitably adjusted, demon
strates that the District is being held PACK
today for the benefit of future generations,
since the works of Improvement gong on
at present, and being paid for out or the
current revenues, Will not have TO be du-
plicated or materially enlarged Tor a num-
Der of generations.
When they shall have been completed ana
paid for, and the District once more mas
large surplus in the treasury, the question
arises in the minds of many taxpayers
as to whether the Congress will remain
steadfast to the principles of the compact
Of 7S and continue to appropriate dollar
for dollar" or whether it will be tempted
to at least partially withdraw from the
partnership and attempt to make the cap,
ital city support itself, with only casual
assistance from the general government,
which owns almost one-half the real estate
In this connection 1t is recalled that when
this possibility was mentioned by repre-
trict committee, when the big increase in
assessment was proposed by the latter, the
citizens were assured that there was no dan.
ger of an abrogation of the half-and-hall
principle. If the revenues grew beyond the
needs. the citizens were told, an adjustment
would surely be secured through lowering
of either the tax rate or the assessment