The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-07-03
ONLY 100 PER CENT TAX CAN
CURB THE RENT HOG NOW
laneolnl stnff DInnntchl

Especial staff Dispatch)
WASHINGTON, July Eight
months ago. after an exhaustive In.
vestigation In housing conditions In
tho United States and Canada for
The star. I reached the conclusion
that action by the federal govern.
the workers OF tho United States
were not 10 be- MIXED by rent
profiteera.
Here is tho conclusion stated
then.
"R-ai solution OF the housing
problem can result only from the
use Of public credits city. state or
national. A combination of all thr~.
IL Indicated. with the federal gov
eminent taking tho lead"
Conditions Worse
Unfortunately. the situation
which was then plain-tho same
kind OF situation that developed In
England and in FrApce az the re-
suit of tho concentration OF war
workers In Industrial cities and
towns--was allowed TO drift
Housing experts like John No
Ian OF Cambridge and Lawrence
WELLER. secretary OF the National
Housing association. told me then
that unless immediate government.
al action was taken tho situation
would steadily bccom. worse.
Congress met In December. 1917.
II was June l before the appropria.
ton OF $50 .Oo0, 900 was made for
housing workers in Industries other
than shipbuilding. FIFTY millions
had previously been made available
for shipyard workers. The lowest
estimate OF the housing experts OF
the new needed housing was 81 900.
goo 600 20 construct 600. 900 homes.
The consequence OF this delay II
rent The number OF
houses that can be built for Siio..
600 .oO0-ali that congress has made
available-ls very much fewer than
tho need.
ALREADY landlords have taken nd.
vantage Of this situation to incr~asc
rentals. in some cases as high az so
per cent.
The plans for housing work by
tho government ar, just beginning
TO get into shape. In the meantime.
uniers something f. done about rent
proflte~ring. the workers who have
born called To the nations service 10
help with the war work are going
20 be dishcar,cned and rendered
lcns efficient by being profite~red
upon by landlords who put dollars
above patriotism.
situation Serious.
have talked with many men In
responsible positions here in the
government service In Washington.
including congressman. heads Of
departments and bureaus. and ex-
pcr,s in tho question OF housing the
war workers They all admit that
the situation liz serious. and they adj.
NIT that measures NO far talcn are
inadequate 10 accomplish results.
Houses cannot be built in a day
or night. There IL a shortage OF
material and OF labor. Secretary
McAdoo months ago asked that pri-
vate building operations b. suspend.
cd for the period Of the war. In or.
der that capital might b. conserved
for public USE. This ordcr--an er'
celicnt thing in itself has never.
th.less resulted in practically stop
ping private building operations.
This In turn has operated 20 the ad.
vantage OF landlords. Without new
buildings. even the normal expansion
OF community cannot be cared for
and when. as now. communities
arr growing up like mushrooms over
night. IN. situation becomes little
short of desperate.
There IL but one possible ooneiu'
sion 20 be drawn from the facts as
they exist
Nod Feicr~l L~gisistion-
Rent profitecrinE can be stopped
only by federal legislation.
II cannot. q, IL true. be lceislated
against directly.
II IL no, possible. under the con.
stltution OF the United States to
pass n Iaw--as tho British parlia-
ment did-limiung 10 the prcwar
basis the amount OF rents that a
landlord may collect
That would be held by tho Fu.
prcma court 10 be unconstitutional
an interference with states rights.
BUT CONGRESSIONAL LEGfs
LATIoS Is NEVERTHELESS
POSSIBLE.
Can Tax 100 Per Cent
n can take the form Of tJLxation--
OF prohIbitive taxation.
II IL perfectly possible. and tho su
prone court long ago held II const-
tutional. for congress to place a
ONE HUNDRED PER CENT TAX
upon all rents charged in advance
~ tho amounts collected for tho
same property before the United
states entered the war.
Al rentals above that figure can
be declared 20 he excess profits"
and taken In taxation. The result
would be. NJ course. that the rentals
would not be increased. There Is no
profit in taxing excess rentals and
having 90 pay tho entire amount
over 20 tho federal government
Congress must act along sueh
lines " rent profltcering l. 10 be
stooprsl. II will be stoppc<I in no