Evening star., 1923-02-01
Our High Court of Fiscal Equity

any, the District has to it's credit on
the books of the Treasury. 1t is to
calculate interest upon debts morally
as we'll as legally due from nation to
capital community, or vice versa, and.
as an essential preliminary to this
calculation, the committee must, of
course. find which party Is morally
indebted to the other, and in what
amount. In order to help to deter
mine the net moral and legal indebted
ness Of one party to the other. the
committee is to examine the National
Capital expenditures of both nation
and capital community since 1874.
The committee Is thus to fix Dis
trict surplus; to compare National
Capital expenditures by nation and
capital community, respectively, since
1874; to ascertain in the light of all
the facts which party is morally (as
we'll as legally) indebted to the other,
and, to calculate equitable interest
upon the net moral Tor legaD indebt-
edness found due.
The vital function of the committee
is TO determine the Districts treasury
surplus. and. finding the net moral
land legal Indebtedness Of nation to
capital community, or vice versa, to
compare this finding with the Dis.
trict's treasury surplus and to report
whether it increases or decreases or
leaves unchanged the Districts treas.
ury surplus.
In other words, the committee is to
find whether the existing concrete
District surplus represents a moral
las we'll as legaD Indebtedness Of the
United States to the District.
The committee has, it Is believed,
on the evidence before 1t, ascertained
the existence and amount of the Dis
trict's treasury surplus, constituting
on its face a legal Indebtedness Of the
United States to the District. The
committee Is now working hard to
ascertain whether study Of the rela.
tive expenditure figures Of nation and
capital since 1874 shows net equitable
credits. representing moral indebted
nesses, which either increase or de-
crease the Districts existing legal
credit, in the shape of it's treasury
surplus.
The law, recognizing that the issue
is one of equitable. accounting, au-
thorized the employment Of expert
accountants to search for these pos
sible equitable credits. The committee
has employed such accountants and
they have examined thoroughly the
expenditures and accounts since 1911,
have found treasury balance in favor
Of the District as Of June 80, 1922, and
have suggested for consideration by
the committee all National Capital ex.
penditures by the United States as far
back as 1878, which might by any
possibility involve equitable credits of
the United States. Earlier official
accountants have ransacked the ex-
penditure figures from 1874 to 1911
and have in official reports stated
fully every possible credit Of the
United States arising between 1874
and 1911.
Representatives of the capital COM
munity, official and unofficial, have
submitted for consideration by the
committee claims to millions of
equitable credits in favor of the Dis
trict, arising from expenditures be-
tween 1874 and the present time. and,
through expert accountants and law
yers, have vigorously backed these
District claims in equity.
The committee is earnestly endeavor-
ing to ascertain whether in this clash
Of opposing equitable claims Of the
past there develops any distinct
equity in favor of either the United
States or the District which will
either decrease or increase the con-
crete legal credit of the District in
the shape Of its demonstrated treas
ury surplus.
Constituting the law Of June 20, 1922,
as intending that national expendi-
lures at the capital since 1874 shall be
considered only In their bearing upon
the issue Of equitable credits and
moral indebtednesses. the committee
has not heretofore considered, or even
listed, national expenditures at the
capital, recognized by the Congress
making the appropriations as solely
national. but only those National Cap
ital expenditures which were indicated
by their accountants and legal ad-
visers as containing the possibility Of
a claim OF equitable credit by the
vx.St t.
is now suggested that under the literal
wording Of the law the committee
must list and report all Of these pure
ly national expenditures, except those
upon public buildings used for national
government purposes, even though
this listing is, in the opinion Of the
committee, superfluous, irrelevant and
confusing in it's bearing upon the
issue of comparative equitable credits.
upon which the committee is to submit
its recommendation or report.
1t seems immaterial whether the
committee lists or omits to list such
national expenditures, including, for
example, those upon the Washington
Monument and the Grant and Lincoln
memorials, since whether listed or un-
listed they will not be considered for
an instant by the committee or Con-
gress In passing upon the issue Of
comparative equitable credits and
moral iudebtednesses.
Washington urges that the commit.
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