Evening star. [volume] (Washington, D.C.) 1854-1972, 1914-01-05

III
pledging clause. and section 3. of the
organic act. making definite the con-
templated proportional appropriations,
must all be construed together TO Nde-
termine the scope of the obligation as
| sumed. The provision in the organic
act making definite the contemplated pro-
portional appropriations must be read
INTO the pledging clause in section Z of
| the act of 1874.
THAT pledge obligated the United
States to provide the revenues necessary
| to pay interest and create sinking fund
| by proper proportional appropriations
| and by causing taxes to be levied. etc
1t is argued that two ways of providing
| these revenues are mentioned. True. But
| not two independent ways, either OF
which could be resorted to to provide all
The yeriest tyro in the use of language
would have used or instead of and II
that had been the intention. And why
| If it was all to be provided by taxation
on the property within the District
| should there have been any occasion for
proportional appropriations. kind OF
appropriation which necessarily meant d
part by one means and a part by the
other. and could not mean all by one
designated method? Appropriations We're
of course. necessary, under adopted meth
DDS. to take the money out of the DIS
trict's revenues. but these We're to be pro-
portional. appropriations.
Became Fifty Per Cent Pledge.
THE proper proportion of appropr.,-
tons having been determined, by the
act of 1873, as contemplated by the act
of 1874, the pledge became a pledge to
appropriate 30 per centum out of the
Treasury of the United States and ~
per centum ont of the revenues of the
District
sBut then there was something else re-
CURED to make the pledge complete and
assume the payment of the bonds. The
pledge of the United States to pay was
good. The pledge of the United States
TO appropriate out of the funds of the
District 30 per centum was good as far
as it went.
But an appropriation out of the rev.
enues of the District would do no one
any good unless the revenues were
there to meet the appropriation. and
so the United States pledged itself that
it would levy such taxes on the prop
erty within the District as would pro-
vide such proportionate part of the
revenues as might be appropriated out
of District revenues, and and if do
so has significance which must be
applied TO the District and not to both
parties. very doubtful proposition. it
can easily and consistently be found
in this connection
inclusion of interest in expenses con-
templa led by the act of 1875 there is,
aside from matters already suggested
and aside from the assumption that in
terest on governments debt is a
necessary expense of government an
apparently Oncontrovertible reason
why it must be concluded that interest
was and is included in the expense of
government to he met on the half-and-
half plan.
Not From a Full Purse.
at must be observed that under this
plan. as outlined in section ) of the act
of 1878. there is no contemplation that
the Districts part of necessary and APP
proved expenditures is to be paid out of
purse already sufficiently filled and
with some to spare. On the contrary,
the provision is that after the estima ted
expenditures for the next fiscal wear
have been approved by Congress and to
the extent that they have been so APP
proved, the remaining 80 per centum
OF such approved estimates shall he
levied and assessed upon the taxable
property and privileges in said Dis
trict.'
The extent to which the levyiug of
taxes on the property and franchises in
the District was authorized was thus de-
fined and thus limited. This was So
called organic act 1t was an act which
provided a form of government created
the governing body and defined its pow
ers, and 1t Is elementary that the created
governing body could have no power ex-
cept that specifically delegated by its
creator, or necessarily incident thereto
The last tax law Heretofore the act of
March B. 1877, authorized the levying of
taxes at a specified rate for thu. fiscal
year ending June 30 1878, and section Is
made 1t the permanent tax law of the
District until repealed, but the organic
act provided for the levying of taxes
for the fiscal year ending June 80 1919
and subsequent Years, and fixes a maxi
mum instead of a specific rate, but con-
tains no authority to levy any taxes in
excess OF that necessary to produce 50
per centum of the approved estimated
expenses, the levying of which is to be
on the taxable property and privileges in
the District
The sundry civil act of June 20 1878.
approprlatins for the expenses of the
District for the fiscal year ending June
30, 1879, the first year under the opera
uon OF the organic act, provided that
the Commissioners of the District shall
nave power TO assess and collect the
taxes for the fiscal year 1879 upon the
OASIS OF their estimates submitted to
Congress, meaning necessarily in con-
nection with the provisions of the or
game act itself, TO the extent of 30 per
eentum of those estimates. and no other
power 10 levy taxes was conferred
II iHtcitSl Oh the FUNDED debt
not to be included in the estimated ex-
penses of the District. made the basis
of the half-and half appropriation.
then from what possible source, with
the taxing power of the District on
property and privileges exhausted was
the money to come with which the
District could pay this interest? Taxes
We're to be collected during each fiscal
year with which to meet the Districts
part of the expenses for that year.
Credits Congress With Reason.
Taxes, of course, could not be levied
TO produce actually and exactly this
so per centum: the result might be a
surplus or deficit; ii a surplus it could
not be expected that it would be suffi-
cient, if the taxes We're levied as direct
ed, to meet these large interest pay
ments; whether in fact IA large surplus
Or deficit resulted in any one year
could have no bearing on the con-
struction of a statute which authorized
taxation only to the extent of so per
centum of a specified amount
Il am wholly unable to conceive that
Congress, body of men of intelligence
and business ability, having in hand the
relief of chaotic condition and the max
ing Qf adequate and equitable provisions
for the future, could have devised a plan