Evening star., 1923-02-05
Continued from First Page.)

u t.OEtinUeu from r iTst FdAc.I
ment. Its administrative officials are
appointed by the President, by and
with the consent OF the Senate, ana
hts laws are enacted by the Congress.
From the start 1t has been the de.
sire of that Legislative body, as well
as. for that matter, of the residents
CT the city, and certain office hold
ers here who maintain legal resi-
dence elsewhere. TO make 1t beauty
iSens might be justly proud Hence
the expenditures for public improve
ments have been inordinate as COM
pared to those of other communities
IF approximately the same size and
population.
Committees Understanding.
The foregoing reveals the occasion
for the creation of your committee,
and is illuminating, when the Ian
GuaGe of the act is under considera-
ZION, to determine the scope of the
committees work and the nature or
the report which should properly be
made TO the Congress
Authority for Expenditures.
In some cases these expenditures
ommcndation OF the District Com
lnissioners, who are local residents,
selected by the President. In many
other instances the Congress, in the
refusing to follow such recommends
lions, has appropriated more or less
than desired, as the case may be, and
ior different purposes.
From 1878 to 1y2l, as rule. 80
per cent of all the District expenses
we're borne by the federal govern
ment, and so per cent came from the
l,rsidents of the city. However, the
law at prcSent provides that the
share of the United States shall be
80 per cent and that of the District
20 per cent. AS in the case of the
actual appropriations themselves,
these proportions have been fixed by
the Congress, in which citizens OF
Washington have no representation.
For many years liberal appropria-
lions were made to carry out the pro-
gram of city beautlfication. during
which period of time the District
ment. The accountants report shows
that prior to 1914 there was balance
due the United States, but that at the
end of that fiscal year the District
bad credit balance of s6S,3O0.
Limited Outlay Due to War.
Then came the war period and ex-
penditures for further development
were necessarily limited: yet no re-
duction was made in the rate OF tax
assessments.
The District tax receipts increased.
ssposited &c rai'eF in '+ the the Gnttod t1 p States
Treasury. and surplus created,
largely due, as will be observed. from
failure to continue the proper ex-
tension of streets: their paying and
schools. and the upkeep of other city
activities, corresponding to the
growth Of the city.
1T Is with this surplus that your
conmittee has to deal among other
things. On the one hand 1t is urged
by some that the spirit Of the entire
system of fiscal relations between the
1.-TWO governments, existing since 1878
was violated by the creation of such
a fund. 1t is pointed out that. had
he flfty-fffty rule been adhered to, as
provided by law. there would be no
such surplus. as the money In ques-
tten would have been expended for
schools, streets and other municipal
ACTIVITIES and improvements.
tt is, therefore, claimed that the Dis
tStct Is entitled to the entire fund.
which should be applied to the main
tenance of its government and other
ssiivities. and should be matched by
teueral money, according to law.
Argument Against District.
.pn the other hand. it has been
gain against any money now in the
t9Rlted States Treasury which has
tfen accumulated in this fashion.
Ilt Is argued that there is no law
upon which the District can predi-
cate a legal claim to any sums OF
money in the Treasury. whether as
certained as. to amount or not; that
such q claim is, to say the least. un-
enforceable at law and. hence, equit-
able or moral in its nature. Being
merely equitable. 1t follows from this
reasoning that equitable defenses.
counter claims. offsets and credits
taay be asserted to reduce the amount
OF SAID surplus. TO wipe it out alto
CT hrx @y,1
District is equitably or morally in
debted in large sums to the federal
government.
farenthetically. no one has urged
before your committee, Irrespective
of the magnitude of the claim or off
set insisted upon, that, inasmuch as
the equitable balance might be con-
yldered as being in, favor of the
ance from the District. therefore,
should be recommended to the Con-
gress.
Briefly. it is the understanding Of
your committee that it is required to
make such findings and recommends
tfons as would bear directly upon this
primary question of the District sur
plus. and could be used by the Con-
eress. in its discretion. as a basis for
settling for AL time the claims and
contentious arising out OF this mat
ter.
OF course, the scope OF tho commit
tees work has also been determined
In other ways including a close cx-
amin nation OF the language of the act.
on this point the committee submits
rs views, subject to the judgment of
the Congress.
A statement Of same is deemed
necessary at this time because il has
heen contepded that under the lam
guage of the act this Is little more
than fact-h finding committee. and
mat ITS object is mainly accomplished
1t furnishes the Congress with a
vast array Of tabuIated figures from
which members of that body may
draw their own conclusions. with few
" any specific recommendations on
ne part of the committee. The fol-
OWING portion OF the act is empha-
sized In this connection:
"A joint select committee o
- directed to inquire into all matters
pertaining to the fiscal relations be-
tween the District Of Columbia and
Inc, sle onlted states since July 1. 1874.
With a view Of ascertaining and re-
porting to Congress- what sums have
been expended by the United States
s1d by the District of Columbia, re-
SeectlTely: whether for the purpose
or maintaining. upbuilding, or beau
tifying the said District or for the
purpose of conducting its government
or Its governmental activities and
agencies. or for the furnishing of
conveniences, comforts and necessi
ties to the people Of said District"
Some Contentious.
Certain witnesses have contended
that this language properly includes
all expenditures made by the United
states for maintaining. upbuiIdins
and beautifying the District since
July i, 1874. whether or not the same
had ever been considered by the Con-
gress as In any way affecting the
fiscal relations between the District
OF, Columbia and the United States;