Evening star., 1921-12-14
SENATE WIPES OUT
DIVISION Of COSTS
FOR THE DISTRICT
Passes "5O-5O" Bill Amend
ed to Turn AIIlocaI Rev.
enues Into General Fund.
PROVIDES FOR THE USE
OF s4,ooo,ooo SURPLUS
Removes Restriction on Commits
sioners on Estimates-Tax Rate
Fixed at $1.75.

Fixed at $1.75.
Amended SO as to wipe out all pro-
visions for d division of the expenses
of the District of Columbia between
the federal government and the Dis
trict and covering into the gen
eral fund of the Treasury all rev.
enues collected from the people of
the District of Columbia, the So
called half-and-half bill passed the
Senate this afternoon by a viva voce
vote.
The measure as passed also carries
a provision authorizing Congress to
appropriate for the District an amount
equal to the uneXpeaded surplus now
in the Treasury, amounting to more
than S4,000,00o, and withdraws the
limitation placed on the Commission
ers as to keeping the estimates for
any year within an amount double
the estimated revenues of the Dis
trict.
$1,000 to Be Exempt.
The bill as passed further carries
section. introduced by Senator Nor
ris of Nebraska, providing that in
fixing the value of real estate i'm
provements for the purpose of taxa
ton. the first $1,000 shall be exempt
and shall not be taken into consid-
GRAFTON in fixing such value.
The effect of the whole measure as
amended is to throw out any refer
ence to a division of the expenses
between the municipal and the fed
eral governments.
IN other words. the revenues COL
!. lected through taxation on the people
OF the District will be turned into the
Treasury general fund in the same
manner as federal taxes are placed
in The fund. Provision for the needs
of the District would then be made
outright by Congress without any
reference to the proportion of reve-
nues that would be collected in the
District of Columbia.
Tax p-:s Fixed.
After saying A le rate of taxa
tion in the Dist shall be fair and
| reasonable" the3ili provides that the
| rate of tax on personal and real prop
| erty in the District of Columbia shall
be s1.75 per 500, and other taxes as
now provided. The bill now goes to
the House
Senator King of Utah, who has been
leading the fight against the meas
ure, renewed his motion to recommit
which was lost Yesterday on account
of the absence of a quorum voting.
The motion failed by vote of 3S to 20.
| Immediately following the an
nouncement of the vote Senator King
! withdrew his amendment offered yes
! terday to change the ratio from $3.50.
| the District of Columbia paying 60
per cent of the expenses and the fed
eral government 40 per cent.
Caraway Presents Amendment.
! Senator Caraway of Arkansas, a
| strong opponent of the measure, then
| introduced two amendments. One o:
them provided that the rate of tax
alton in the District of Columbia shall
be fair and reasonable. and that the
revenues of the District shall be paid
into the Treasury as miscellaneous
receipts"
| His other amendment provided that
/! the rate of taxation on personal and
! real property in the District of Co
| lumbia shall be s1.75 per 500 and
that the other taxes shall be as at
F.; present provided.
He then launched into a discussion
of his amendment. pointing out that
the proposed $3.50 plan is indefen-
! sibfe. Referring to the annual con-
! troversies in both houses over the
proposition, he said that Senators Cur
tbs of Kansas and Jones of Wash
| ington, who had undertaken to defend
the system, had given as much time
as he had to a study of the problems.
1t was developed by Senator Norris
of Nebraska during the course of the
debate that the amendments of Senator
Caraway had the effect of striking out
MI tSjn
penses between the federal govern
ment and the District of Columbia.
Senator Jones said that he could see
no serious objection to the amend
ment as they make tax rate certain
| and definite and the people know Just
what they will have to pay. He in
| vited the Senate's attention to the
fact that the responsibilities of the
District of Columbia rests primarily
on Congress.
Senator Ball said that after study =
ing the amendments they seem to
have the effect of transferring the
s4. 600 600 fund now in the Treasury
| TO the credit of the District of Co
,lumbia to the general fund of the
Treasury. Until this feature was
I corrected he indicated that he was
not in favor of the amendment. He
said it would be manifestly unfair to
the citizens of Washington to pay
this money in taxes to be used for
| the District of Columbia to transfer
it to the general fund
Lenroot and King Lead Fight.
The attack of the opponents of the
measure centered around the point OF
view which they held that the people
of the District of Columbia were not
paving a fair amount of taxation.
| This fight was led by Senators Len
root of Wisconsin and King of Utah,
| assisted by Senators Caraway OF
Arkansas and Glass of Virginia
Senator Jones of Washington. au-
thor of the measure, and in charge OF
4 IL on the floor; Senator Curtis of Kan
! sas, who for years headed the sub
committee on District appropriations
of the appropriations committee. and
Senator Phipps Of Colorado, the pres
ent chairman of this subcommittee
made a strong defense of the meas
ure.
/ Voting Lacks Quorum.
The motion Of Senator King to re.
commit the measure yesterday was los,
through the absence of a qurorum. This
| was a record vote, standing II fol
recommittal, Is against, with So sen.
ators not voting. Following this vote
Senator King moved adjournment. ant
this motion was rejected when cal
of the Senate was ordered to develoI
the presence of a quorum. When the
quorum was obtained, Senator Curtii
moved an executive session, following
which the Senate adjourned.
4 Speaking on the charge that taxa.
n tion here is much less than it is II
. the states, Senator Jones said he dis
not know of his own knowledge tha,
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