Evening star., 1923-01-12
&,676,457.65 FREE
SURPLUS FOUND IN
TREASURY FOR D. c.
Joint Congressional Commit
tee Will Determine Dis
posaI of Funds.
PHIPPS CALLS MEETING
FOR NEXT THURSDAY
Fiscal Experts of District and Gov
ernment Are Asked to File
Briefs.

Existence of free surplus" rev
enues of the District of Columbia
amounting to $4,676, 1876. in, the fed
eral Treasury is established by the
report of the expert accountants, who
for months have been examining the
District accounts, submitted yester-
day afternoon to the joint congress
sional committee appointed to de-
termine what surplus, if any. should
be credited to the District.
The report of the accountants leaves
no doubt as to the surplus revenues
of the District. 1t is the hope of the
people of the District and members
of Congress. who have contended
that the District is entitled to these
monies that this sum now will be
used for improvements in the Ma
tionaI Capital
Without making any recommenda-
tions the accountants in their report
to the, joint committee have alluded
to various items that might be claim
ed as charges against the District
for the purpose of reducing the sur
plus They make no recommends
to whether these claims should be
allowed. These matters of policy
will be determined by the congress
Sional committee itself when ii comes
to draft it's report to be submitted TO
the Senate and House.
Will Meet Thursday.
The joint committee has been called
by Senator Phipps, its chairman. to
meet next Thursday. Senator Phipps
has called upon Maj. Daniel J. Dono-
van, District auditor; Earl Taggert,
representing the Treasury Depart
ment; Mr.. Galloway. representing the
Department of Justice. and Edward
f. Colladay. representing the citizens
joint committee, to submit for the
considera ton of the committee on
Thursday their opinion in writing
of the report of the expert accounts.
They will be given opportunity sub
Sequently to make oral statements.
In their report the expert account
ants say, in part:
Our instructions from your com
mittee were that our examination was
to be confined to the period from July
l, 1911. to June 80, 1922, but that any
matters coming to our attention
which had q bearing upon. conditions
pertinent to the inquiry, which exist
ed during the period from July 1. 1874
to June 80. 1911, were to be coIf1muni-
Gated to your committee in our re-
port
NO consideration has been given
by us to the computation of interest
as provided for by the act of Con-
gress creating your committee, as we
understand that the question of In
terest will receive the attention of
your committee after considering all
facts developed by its inquiry.
Examine General Fund.
"Our examination has comprehended
that fund to which is credited the col
lection of taxes, licenses and so forth.
accruing to the District, and to which
is charged proportions of appropria-
tions for the expenses of the District
as provided by the act of Congress.
This fund is designated as the general
fund.
The general ledger in the Office of
the auditor of the District shows a
balance in the general fund on June
80. 1922, of S7,579,677.57, which is
S5,26O67 in excess of the amount
shown in exhibit A, and one cent less
than that shown in the auditors re-
port for the fiscal year ending June
80, 1922. The balance as carried by
office had not been reconciled with
that shown by the general ledger
at the time of our examination.
Following is reconcilement of the
amount on deposit in the United
States Treausry, with the amount
claimed by the District as free sur
plus as compelled by the District
auditor.
ACKNOWLEDGEMENT of Accounts.
Balance, June 80. 1922, as per
auditors report $4,000: .sI,ofSofi.Je
Less unsxpended appropriations:
81, SOS, ,0795I-Dls-
ton, soq6 ~. .s1.5s4,s47.74
s373, ,133. 10 Dis
ton, 500 -. 1ss,5Ge.s7
1926. POI. 63- Dis
tricts proper
'iOH' - 2.o77 el6.24
Remainder ......... SO. 500. .O61 81
Amount considered in one fiscal
wear for tax rate purposes and
in another year for accounting co.. 800 ~
purposes ....'.-''''''' o-''oov."'
Free surplus -. ....... S4,6I6,4ot,6d
Free surplus as shown by auditors 90
report .....-.''''''''' ''''''o1'.oV
r,,ooa+od difference $s9025
II was reported however. today that
the INDICATED difference had been found
now and the figures of the accountants
agree with those of the auditor.
THE act approved June 20, 1922,
creating your committee requires that
the committee find what surplus, If
any. the District has to it's credit on
the books of the Treasury of the
United States, which has been ac-
ouired by taxation or from license.
The general ledger account, in the
division of bookkeeping and warrants,
the credit of the Dis
trict on account of the general. spe-
cial and trust funds, had not on De-
cember 21 1922, been posted for the
fiscal years 1921 and 1922. The last
available balance shown on this ledger
is the credit of $7,730,O5S.S9, as of
June 80, 1920"
Three Errors Noted.
The expert accountants sag further:
"Our examination of the apportionment
of the disbursements between the United
States and the District has convinced
us that every effort was made to appor-
tion such disbursements in accordance
with the numerous acts of Congress re-
lating thereto
The accountants said they had noted
three small errors in this connection,
in 1917, 1920 and 1922, ranging from
s135.SS to $400, and continue:
"In the preparation of the accom-
tpanying exhibit and schedules no ad-
jhstment has been made by US With
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