Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-10-11
TO MEET EXPENSES
PLAN PROPOSED FOR DISTRICT
IMPROVEMENTS.
Conference Held at District Building
commissioner Plan Supported
by Board Of Trade.

At conference between the Commission
ers and the Board of Trade subcommittee
on taxation yesterday upon the subject of
financing Of the Districts share of the cost
Of the extraordinary improvements, the
Commissioners reminded the committee that
for the past five years they had pressed
upon Congress the plan Of separating the
extraordinary from the current expendi
lures. and providing a permanent arrange
ment for gradually repaying advances from
the national treasury on the former account.
The Commissioners plan has been to treat
the extraordinary expenditures as nearly as
possible as such expenditures are treated
in every other municipality. Elsewhere
bonds are issued so as to provide for ex-
traordinary improvements by gradual re-
payments extending over a period of years,
so that future generations may share the ex
pense as well as the benefit, and SO that the
current needs of the municipality may be
adequately met.
No municipality, 1t is declared, can or
does pay for its extraordinary improve
ments out of its current revenues. Here
1t is not necessary to issue bonds. because
the Districts partner, the United States.
can make advances from the treasury,
which are in effect loan repayable with
interest. For five years 1t has made such a
loan by temporary provision renewed
from year to year, and each year stating
that the aggregate Of the advances shall be
repaid in five years with interest at 2 per
cent.
Denies the Other Half.
But while it has granted half Of what was
asked by the Commissioners each year. It
has not granted the other half. namely, the
Of ha
current appropriations and the provision
on the treasury books of capital account
to which alone the advances shall be
charged The revenues of the District, 1t
is stated, are, and have been, ample to
meet current expenditures and provide
reasonable payment with interest on ac-
count Of the advances, which advances
have been made necessary solely by the
extraordinary projects Of improvement au-
thorized by Congress almost simultaneous
ly, such as the railway terminal work, fl
tration plant. sewage disposal system and
new sewers. District government building,
Connecticut avenue and other bridges
Results in Confusion.
The result Of the failure Of Congress to
properly state the account between the
District and the national government and to
provide for the financing of the Districts
share Of the cost OF the extraordinary i'm
provements separately has been to produce
confusion as to the District expenditures.
which seem unusually large, because both
extraordinary and current expenditures are
being placed directly upon the current reve-
nues. and to have the estimates cut first
by the Secretary of the Treasury and then
by the committee Of Congress, because the
total on their face including both the ex-
traordnary and the regular expenditures.
Is necessarily more than the appropriation
fund.
The Commissioners themselves have had
to reduce the estimates each year below
what ought to have been recommended to
Congress because OF the unsettled condi-
ton Of the finances.
Board Of Trades Position.
The members Of the Board of Trade COM
mittee said they had no doubt that the
Board of Trade would continue to support
the plan of the Commissioners, and the
Commissioners replied that they counted
upon even more active support from the
Board of Trade and all Of the business
men Of the community vitality interested
in this matter.
The Commissioners furnished the men,
bers of the committee with copies of their
last annual report containing the latest
restatement Of the argument for their plan
and of the proposition as they had present
ed II the congressional c0rnmifteas and