Evening star. [volume] (Washington, D.C.) 1854-1972, 1909-10-26
District Finances.

District Finances.
The Commissioners have been ac-
Customed to consider the District finances
and to submit recommendations thereon
10 Congress under three heads: "a Cur
rent needs and fixed charges: (g per-
manent extraordinary public improve
ments and (3) bonded and floating debt
Under the second head the Districts con-
tention has been that reasonable pro-
vision should be separately made for
permanent public improvements in such
manner as not to cripple the growing
city by draining unduly the revenues
available for current needs. and in such
manner as to cause the taxpayers of the
future, who will share the benefits of
such permanent improvements. to con-
tribute equitably to pay for them. And
under the third head. SO far as the In
debtedness represents permanent public
improvements the District has contended
that payments upon the principal should
be made with the same precautions as
under the second head against Gripping
the city's current growth, and against COM
polling present taxpayers to bear the whole
of burden which in equity should fall
I'm part upon posterity. To this end there
have been submitted various propositions
of advances and of refunding. under
which repayment Is extended over long
term of years with small annual sinking
fund contributions. easily met and finally
extinguishing the debt.
The last Congress in it's wisdom required
the Commissioners to limit their esti-
mates to the available revenues. This
limitation in effect restricts the Commits
sioners to the discussion in their estimates
of current needs and fixed charges, and
cOmpels them to make necessary recon-
mendations concerning permanent i'm
provements and the handling of the Dis
ir'ct's debt in some other form than as
estimates. From this condition springs
the necessity of the supplementary COM
municatisn which the Commissioners, fol-
lowing Maj. Judsons recommendation, are
transmitting to Congress. The estimates
and this letter taken together cover the
whole field of District finances.
Washington asks from Congress serious
and sympathetic consideration Of the
Commissioners proposals as a whole.
The entire matter is in its hands. and
subject to be nodded in accordance with
Its will
1t is hoped that Congress will approve
the reasonable proposition that the debt
of the District should be in effect refunded
and repaid in small annual instanments,
extending over a long term, and permitting
substantial annual expenditures for per-
manent public improvements to be made
without Gripping the city's ability to meet
its current growing needs. II this princi-
pie and policy are approved and adopted.
The Star urges that they should be prac-
tically applied in making the appropria-
lions for the next fiscal year. The esti-
mates, speaking broadly, cover only cur
rent needs, and what the Commissioners
believe to be fixed charges. They do not
provide for the substantial expenditure on
permanent improvements contemplated for
future years. They do include half
million of repayment on the floating debt,
in addition to a large payment on the
bonded debt, the Commissioners guessing
that Congress intended or intends to make
such partial payment within the next
year, and on the strength of the guess
feeling bound to include some provision
under this head in the fixed charges. But
the Commissioners in effect ask Con-
gress for the future not to exact repay
ment Of any portion of the principal Of
this floating debt until the bonded debt
has been extinguished.
If it is wise and fair to postpone re-
payment Of nine-tenths of the floating
debt why should not repayment of ten
tenths be wisely and fairly postponed?
The Star submits that the principle upon
which the proposed legislation is based
should be applied to the appropriations
for the next fiscal year; that instead of
repaying half million of the principal
of the floating debt next year the money
should be expended on the most urgent
projects OF permanent public improve
ments. and that the refunding and pay
'nent-postponing provisions OF Major
Judson's propositions should take effect
next year instead of the year after and
apply to the whole of the floating debt
and not merely to the nine-t enths which
would remain. if next year. in accordance
with the estimates, permanent public i'm
provements were virtually eliminated in
order to make this compulsory par
tial payment on the floating debt