Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1923-02-14


in amount of gasoline per motor
vehicle used, to say nothing OF
the wear and tear OF the motor
vehicle itself; the increase OIL
facilities for the farmer and the
small town merchant OF getting
to and from market will more
than Offset the cost OF the IN
terest on the bonds.
If these were the only issues
however, in the contest now OF
IN Virginia for and against bonds
il would not be difficult, though
. campaign of education, to bring
2 united people back of the bond
issue movement in Virginia, just
IS the citizens of Maryland, West
Virginia and North Carolina are
united in support of the same
-businesslike plan, which has beer
adopted in these States. The evld-
once is so clear and unmiStakable
inst that $50,OO0,000 in bonds
can be issued without penny
increase in the property or per.
sonalty tax Of the State; second
that the State system of 4,OOO
miles can be completed in five
wears if the money is provided;
third, that it is. unnecessary and
unwise to place a tax of three
cents gallon on gasoline, as
advocated by those opposing the
bond issue, and, fourth, that the
saving in the indirect charges OF
the mud tax and the service
which completed thoroughfares
connecting the county seats OF
The State with the cities and
with the other States would more
than Offset the interest charge,
hat it would not be difficult to
convince the vast majority OF
the people of the State OF the
soundness. wisdom and economy
If the bond plan. Unfortunately
political leaders of the dominant
nortv in the State, taking their
enc from the political campaign
IF 1921. have arraigned them
selves in opposition to the bond
;s.sra measure. Some of these lead
ers are seeking TO brighten the
farmer and array the country
against city in order to carry
their point.
Before analyzing the state
ments of the opposition, used
for the purpose of frightening
the farmer against the bond is
she, it will be well to t. Ike up
the question, first, of the ability
Of the State TO issue bonds up
to S5O,OOO,0OO without ANY IN
crease in the property tax. The
argument of the bond opponents
M TO a few months ago has
been that it is foolish to think
bonds can be issued without a
certainty of falling back on the
farms of the State for payment
of the interest and principal. SEN
ator Louis S. Epes, one OF the
leaders of the opposition, was
one of the first to break away
from this claim and admitted
that bond issue of $5O,OOO,OOo
could be financed if a gasoline
INK of three cents was added. In
q recent statement he used tables
10 show that $42,000,0OO in bonds
could be issued with q tax OF
one cent on gasoline. His argu-
mont now is the high interest
charge and that the State can
afford to wait and build roads out
Of q three-cent gasoline tax and
current revenues applied directly
Other leaders of the opposition, In
statements, are now adj
uniting that the bonds can be
issued. but they base their prin-
ciual argument against the high
interest rate.
Independent calculations have
been made by Thomas b. Nc
Adams. of Richmond, former
of the American Bank
crs Association; H. G. Shirley
chairman of the Virginia High
WAYS Commission, and H. n.
Phillips, president of the Broad
way National Bank, Richmond
chairman of the good roads COM
mittee Of the Virginia Bankers
Association, which prove conclu-
sivelv that bonds can be issued
without a property tax increase
Mr.. Phillips used the same ng-
ures as to the source of revenues
used by Senator II. +. Byrd, in
order to avoid any controversy or
this point. His computation was
checked and certified by one OF
the leading firms of certified pub
lie accountants of the State. 1t
showed conclusively that a fund
of S70,O14.O90 for State highway
construction during the first five
years would be made available
through current revenues and q
$50, 100000 bond issue and that
fter paying the interest and sink
ing fund, there would be avail
able TO meet Federal aid and fol
use for additional construction
SS5, 5S4.17S. The bonds would be