The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1922-05-20
FAIL TO REACH
AGREEMENT ON
HOUSING TAXES
r.rperafion Secretary Would @For-
get Organizations Debt
to Tri- Cities.


Tuo points of view, that of the
pock Island city officials and that
u the United States Housing cor
.ration. clashed yesterday after
non in Mayor H. NJ. Schriyer's Of
sce and the outcome was that no
sssuite settlement OF the govern
rent housing district tax situation
was reached.
r v. Juhl, secretary of the cor
,oration. was here from Washing
,rr IN confer with the mayor and
COMMISSIONERS of Rock Island, and
M city officials of Moline and East
wo,;ne also attended the meeting.
The corporation now wishes to
.aiye the terms of the contracts
ssfween the corporation and she
eity of Rock Island, these contracts
proYiding that the corporation
nav sums in lieu OF taxes
on the former emergency
housing property here for 10 years
md the special assessments, for
street paving in the district. The
total sum, which is long past due,
is $40, 200.
II will certainly recommend to
the corporation directors that the
Injunction which prevents collec-
tion of any taxes on our former
nronerty be amended" said Mr..
Iuhl but your best move, Mr..
schriyer. is to just mark off of your
hooks the amount of the taxes and
special assessments charged to US
for 1921 and 1922"
SIS an Injustice"
THAT is an injustice to Rock Is
land" the mayor replied. He held
that even though the contracts be-
tween the corporation and the city
have been informally held invalid
nv supreme court justices. they are
contracts still and the corporation
is morally obligated to pay Rock
Island the sum of $40, 200 for taxes
the corporation restrained the city
and county officials from collecting
from property holders in the gov
eminent tracts.
The two parties to the meeting
reached a thorough understanding
Of each others claims before the
meeting ended at O'Clock, after
more than two hours of discussion.
Little else was accomplished, how
ever. beyond the voiced probability
OF the corporations filing a motion
to amend the injunction now in eff
feet.
II was somewhat of a blow to the
Rock Island city officials. who an
ticipated a willingness on the part
Of the corporation to settle up the
tax claims, or to adjust them in a
way fair to the city, at this meet
ing. The city's request was met
with almost a point blank refusal
The corporation representative
urged Mayor Schriver to make q
trip to Washington some time II
the near future and spend an aft
ernoon going over the various an
giles of the case with the corpora
TONS board of directors. The may
or did not promise to make such
trin but intinated that he would
consider it.
Trouble Here Only.
East Moline and Moline have
common situation in this difficulty
but different from Rock Islands
the housing corporation in amount
that about balance or exceed TIT
amount of taxes in which the cor
poration is in arrears to them. I'm
provements put through in tn
housing tracts at various time
we're paid for by the government
with the agreement that East Mo
line and Moline would later refun'
the amounts of these Improvements
Now the two cities hold that the.
cannot pay out this money unit
taxes come in from the housing dis
trict property. Naturally neithe
of the two cities are worrying nue.
about the amounts to be receives
from the government, it DEVELOPS
in yesterdays meeting.
Amendment of the injunction
preventing tax collection will prob
ably mean that property owners i
the housing district will be assess
ed taxes from this year hencefortn
like other property owners. How
ever. the housing corporation vii
still be liable, in the city's opinion
for the taxes and special assess
ments of two years which have al
ready ELAPSED