The Washington times., 1922-05-05

Tic Dill sent 10 tHe appropriation
This announcement followed a
parliamentary wrangle in which
Senators Norris. Wesley Jones,
Harrison and Curtis participated.
Senator Curtis made a brief state
ment In which he intimated that
, the conferees had framed legisla-
tion without authority from the
Senate. and that he believed that
the tax feature OF the bill should.
90 before the appropriations COM
mittee.
The action Of Senator Phipps
Is interpreted TO mean that the
tax rider" will not come before
the Senate again for at least a
week. The appropriations com.
mittee probably will give the lesis-
lation a searching analysis before
acting upon II. The danger OF
precipitate action upon the tax
rider" is therefore averted.
Calls II Outrage.
''It is an outrage the way this
affair has been handled said one
Senator today. I'VE are being ask ed
to approve a new taxation system for
the District without any debate or
consideration on the floor, and to
revert policies of many years stand
Ing purely on the spur OF the
moment.
II cannot believe that the Senate
will be willing to follow this thing
without looking into it,"
The plan Of the Senate conferees
however, is to get the entire District
bill approved by the Senate imme-
diately. Senator Phipps, apparently
IL opposed to further delay and is
expecting speedy action.
Senator Phipps. chairman OF the
Senate conferees. has made no
formal statement yet regarding the
plan Of the District Commissioners
presented to him yesterday, but it is
understood to be the prevailing view
in the Senate that the plan comes in
too late to be Of any immediate value
in the present situation.
THE public OF the District is
needlessly alarmed" said Senator
Phipps today. This plan Of ours
u not going to increase taxes to
any great extent here. 1t will not
be possible to change IT now. mas.
much as 1t has been agreed to by
the House
From 1873 to 1900 there were
semi-annual collections Of taxes in
Washington. II that plan Is follow
ed out now much Of the difficulties
about the raising of a surplus with
which to put the city on a cash basis
will be obviated. / do not think
that provision of the bill regarding a
surplus should mean any substantial
increase In taxes.
I'VE are going to pass the Jones
resolution authorizing an inquiry
into the District surplus in the Fed.
eral Treasury. IL the District sub.
stantiates its claim 10 that fund
dare say there will not be any
great trouble about taxation here in
the near future"
Bond Issue Proposed.
The Commissioners propose a bond
ISSUE OF $4,000 and the $4,000 900
surplus which they have accumulat.
ed In the Treasury to make up the re-
ouired SIS 200, 900 which Congress de
sires to put the city on a cash basis.
Pointing out that by next year the
District will be debt free, the Com.
rnissioners suggest that "a course
fairer toward the taxpayers Of the
District would, In our opinion. be to
raise the amount needed to defray
District obligations currently out of
District funds by means of an issue
of bonds which shall In turn DC
liquidated over q comparatively long
period Of years"
The Commissioners declare they
offer no objection to the plan to put
the city on a cash basis, but they
make II clear that the present prac.
tice OF borrowing from the Federal
Treasury WAS not suggested by resi-
dents OF the District but grew up
under laws passed by Congress
In seeking q bond issue, the Com.
missloners request that the surplus
which the District now has in the
Treasury he made available as part
Of the working capital deemed to be
necessary.
Would Amend Law.
Another suggestion Is that existing
legislation be amended so as to make
mandatory the payment OF so per
cent Of the annual tax assessment
due in November. the remainder to
be paid as now In May OF each year
The charge that the tax rates In
the District are lower than in other
cities of corresponding size IL an.
swered by the Commissioners. They
point out that while this may be
30. nevertheless. the tax rate has
in recent years been more than suf-
ficient to produce revenues adequate
10 defray the Districts portion Of
the public expenditures, authorized
by Congress, to be made in the
District.
ITO raise anything more than
this" the Commissioners say, while
II might reduce the disparity he.
tween the tax rate in the District
and other cities, would quite obvi.
ousiy he productive OF no useful re.
suit. hut would merely lead to the
accumulation Of an idle surplus in
the Federal Treasury"
The Com a ssi rnrrs declare they
have alwayq been ready to apply
any rate uf taxation that might
prove necessary To meet the obiisa.