Evening star., 1925-06-10
FIGHT FOR SS19,373
SURPLUS|S WONBy
HEADS OF DISTRICT
Controller McCarI UphoIds
Claim for Disputed Rev.
enue Cash.
TOTAL OF $5,257,528
IS NOW AVAILABLE
Decision Sustains Contention That
Big Sum Was Withheld
Enormously.

The District of Columbia today won
out in its claim to a disputed amount
of $819,3 1888 of surplus revenues w.
ing in the Treasury when Controller
General McCarl rendered an opinion
sustaining the contention of the Com
missioners
This sum of money was made up
OF several smaller items of surplus
which were not definitely conceded as
due the District by Congress when 1t
passed the act authorizing the city to
use $4,438, ,154.92 of its surplus in the
Treasury.
The act provided that the additional
disputed item of SSI9,373.s3 could be
made available if the controller decid-
ed 1t was rightfully District money.
All Claims Allowed.
Maj. Daniel j. Donovan, auditor
presented a strong plea 10 the con-
troller in March, setting forth the rea-
sons why the Commissioners believed
this sum also should be credited to
the District of Columbia, and the de-
clslon handed down today by Mr.. Nc
Carl sustains the position of the local
authorities.
The total District surplus, therefore
becomes S5,257,52S.75. Approximately
half of the surplus was appropriated
by Congress before adjournment to be
used for school building program, and
the balance will be asked for by the
Commissioners in the budget to be
presented to the lawmakers in Decem-
Der.
Maj. Donovan explained today that
the granting of this sum of money TO
the District makes the balance of sur
plus revenue still in the Treasury and
to be appropriated at the next session
or congress approximately $2,626, OPS.
After quoting the act of Congress
disposing of the Districts surplus
revenue question, the controller said
in his decision:
Pursuant 10 the provisions of this
statute, I have aScertained and deter
mined that the following items were
improperly charged by the Joint select
committee 10 the District of Columbia
in the adjustment of the accounts
with the United States as of June 80,
1922:
81. The sum of s16s ,5os.s5. Excess
revenues collected by the District of
Columbia and deposited in the Treas
ury Of the United States during the
fiscal year 1922, over and above appro-
priations and other charges against
the revenues Of the District for that
year. This amount was included as
part of the balance in the general
fund in the Treasury to the credit of
the District of Columbia on June 80,
1922, under item (al ~ of the act of
February 2. 1925. but was also erTo-
neously included as a part of item
Cb) ~ Of said act, one of the charges
against the District of Columbia
based on the committees report. This
last action was apparently because the
amount had been used as a basis for
fixing the tax rate in the District of
Columbia for the fiscal year 1928.
Wrongly Held Charge Item.
consideration of the fact of the ex-
istence of this amount did not have
the effect of constituting the amount
as an obligation of the District. The
money was actually in the Treasury
on June 80, 1922, to the credit of the
District of Columbia and should not
have been included as a charge item
in the act of February ., 1925. This
item is described in the first proviso Of
the act of February 2, 1925, as surplus
of revenue of said District collected
and deposited in the Treasury of the
United States during the fiscal year
1922 over and above all appropriations
and other charges for that year.
"2. The sum of S239. .430.72. The
District of Columbia's proportion of
| deficiency appropriation warrant num-
ber 8, dated July l, 1922. totaling S399,-
20, act of July /, 1922, 42d statute.
| Because this appropriation was not
approved until after the fiscal year
| 1922, the amount thereof was not con-
sidered or included by the general ac-
counting office of the United States or
the auditor of the District Of Colum-
! ~, hnir Cta ~
account between the United States
and the District for the fiscal year
| ending June 80, 1922. but was in
| cluded in the statements Of account
| for the fiscal year ended June 80, 1923.
Charged Twice.
ITO include so per cent of the
| amount Of this deficiency appropria-
| ton as a charge as of June 80, 1922,
would result in the District being
| charged twice for the same amount.
Accordingly. the inclusion thereof as
a part of the charge item in the act
| Of February 2. 1925, was erroneous.
| So The sum of 81, ,67914. The
Districts proportion of miscellaneous
| revenues deposited directly into the
Treasury-not through the collector
of taxes-during the fiscal year 1922
to the credit of the District of Co
lumbia."
The controller then gives in detail
the miscellaneous items making UP
this $11,679.14 and continues:
This amount was actually in the
Treasury of the United States to the
credit of the District prior to the
close of the fiscal year ended June
80, 1922, and is included in the gen
eral funds balance of the District OF
that date as certified To by the con-
troller general of the United States
This amount was. therefore. errone-
ously included in the charge item
in the act of February 2, 1925.
~. The sum of S39S, 1872. This
amount represents the District OF
Columbia's proportion of surplus war
rant number 48, dated June 80, 1922
totaling $722, ,740.36. Under the pres
ent accounting system the revenues
of the District of Columbia for a
given year are charged with its
proportion of total appropriations
made by Congress for that year. AS
required by law, such appropriations
are carried on the books of the Treas
ury for two full fiscal years subse
quent to the end of the fiscal year
for which the appropriations are pro
vided, when the unexpended balance
is covered by warrants into the sur
plus fund. This action releases the
charge raised against the District c1
Columbia when the appropriation