The Washington times., 1922-05-05

tions of the District and point out
that IL the rate is low II 10 merely
because it has been judged fair that
the United States. which occupies
such a large part of what might
ordinarily be taxable property In the
District, should contribute toward
the cost OF government. II 10 also
pointed out that the District II con-
Quoted on an economical basis, espe-
cially 80 far as concerns the salaries
OF it's important employees who ARE
conspicuously unpaid"
1T seems to the Commissioners"
says the letter to Congress- Ito be
both inadvisable and ineQuitable
within the short period OF five years
TO call upon the taxpayers OF the
District 10 provide by taxation a
fund that in other cities has been
accumulated by a process OF slow
accretion as those cities have grown
in size and public requirements.
In reference to the bond issue.
the Commissioners suggest that
in the beginning. for example,
not over / per cent of the bonds
should be retired annually and.
therefore. the amount retired should
increase slowly year by year so as
TO extlnRulsn the entiTe issue III
about fifty years.
Under such a provision, future
taxpayers would contribute their
equitable share toward this fund
of working capital while. in the
meantime, the present generation
of taxpayers will have done more
than its share by the contribution
not only OF its assigned portion OF
the sinking fund. but also b. pro-
viding funds for the payment OF IN.
| terest on the bonds.
Advocate New Plan.
As the principal amount OF the
bond issue grows less, annual inter
est payments will correspondingly
decline, while, on the other hand, an.
nual contributions to the sinking
fund. being on a sliding scale up
ward, will proportionately increase.
a fair arrangement can, Of course.
readily be worked out.
We forbear to go into the details
OF this plan, but we desire to empha.
size the fact that we believe II to be
preferable to that which we under
stand is now in contemplation. and
we earnestly urge that this altcrna
tive method of raising working capi.
| tai for the District be given careful
consideration"
The Commissioners sent their com.
munications to Congress direct to
Senator Lawrence Phipps, chairmar 7
Of the Senate subcommittes on Dis
trict appropriations. and ConRresa-
man Charles r. Davis, chairman OF
the House subcommittee on District
appropriations.
The only hope of having this plan
adopted Is in having a member Of
the Senate recommend the bond is
sue as a substitute for the plan
which has already passed the House.
Madden Opposes Bonds.
Il see no necessity for a bond
issue for the District Of Columbia rs
means OF relieving the taxation
as fixed by the conferees on the Dis
trict appropriations bill"
This was the off-hand opinion Of
Chairman Madden. of the House Ap-
preparations Committee today when
asked concerning the proposal Of the
commissioners which they believe
would put the District finances on a
cash basis and end the credit method
Of carrying on the Districts busi-
ness.
Chairman Madden said that he
had not had an opportunity to study
the terms OF the proposed taxation
scheme OF the Commissioners. nor
had he seen the copies Of tho pro-
posal which have been sent to mem
bers Of the Senate and House Ap-
preparations Committee.
When told OF the proposed bond
issue, he said that, in his Judgment,
he could see no necessity for such II
method Of raising money, but that
he would reserve his opinion until
after he has discussed the matter
with other members OF his committee.
However, II was learned on good
authority at the Capitol today that
while the members of the COMMITTEES
will give the District Commissioners
every opportunity to present arCu.
ments In support Of the bond issu.
scheme, there is no likelihood that
the House will consider the propo.
sition at this session OF Congress.