Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-08-11
M|LLSDRAWSFIRE
ON ECONOMY DATA
Two Affairs Institute Mem
bers Say Comparison With
States MisIeadS.
By the Associated Press.

By the Associated Press.
CHARLOTTESVILLE, Va, August
1l.-Criticism Of comparison of Fed
eral and local government eXpendi.
lures made by CnderSecretary Mills
OF the Traast in addresses before
the Institute Of Public Affairs of the
University of Virginia Yesterday has
been voiced hy two members Of the
institute
Mills asserted that recent reduction
of Federal expenditures taxes and the
national debt had been accompanied
by an increa Sc in the cost or ADMIN
istering State and local governments
Or. a. r. Hatton of Northwestern
University termed the basis or com
harrison unfair. saying that While the
Federal Government has been able TO
reduce some expenditures since the
war. the states and localities nave
haon forced to make appropriations
often involving capital OUTLAWS, neces-
sarv in war time but postponed until
the wears that followed.
Speech Held Characteristic,
Mark Graves, tax commissioner OF
the State of New York, said that
Mills remarks were characteristic OF
sneeches made by Federal authorities
in which only enough was told TO
convey the impression that the Fed
eral administration was very eco
nomical while state and local admin
istrations were eXtravaGant.
State and local tax systems were
attacked as inequitable, unsclentilc
and unjust by Acting Secretary MiIls
in an address last night.
Declaring that between 1871 ana
1926 State taxes had increased 81 per
cent and local taxes 80 per cent winnie
Federal taxes had decreased 80 per
cent Mr.. Mills said that reductions
effected in Federal expenditures, taxes
and the national debt stood out III
contrast with an upward tendency on
the part of State and local govern
ments.
While the scrutiny Of the country
has been leveled on Federal leVies,
the speaker said the cost of local gov
eminent had been rising steadily. and
that. in his opinion, If it were a mat
ter of choice as to which group were
10 be reduced, he would favor curtah-
ment by the State and local govern
ments.
Generally speaking, Federal taxes
are fairly well divided between direct
and indirect, and give recognition to
the principles of ability to pay" he
continued. But our State and local tax
systems are inequitable, unscientlflc
and fall to a very large extent on one
form Of property-over so per cent OF
the $4,0S4, 600, 900 of local taxes rest on
real property-and disregard TO a very
great extent the ability of different
classes Of taxpayers.
Problem of Farmer.
"The Congress just at present is
very much concerned with agricul-
sE.,vN cd
methods of marketing and better
prices for the farmer. l do not want
to minimize what can be accom-
plished along these lines. but / do
want to suggest that the farmer can
do som ething TO help himself at once
by demanding of his State and local
officials economy and reduced taxes.
Mr. Mills said States and munich
palities were resorting to bond issues
to finance additional expenditures.
and he did not believe any real bene-
fit was derived from the borrowing
method, as in the long run borrow
ing was the most expensive method
Of public financing.
The secretary assailed extension OF |
Federal aid TO States as a system |
that undermines the most funda- |
mental and soundest principle OF our |
whole governmental structure. that |
of home rule, with all that 1t spells
in the way of responsibility and of
local and individual self-reliance.
To Meet at Monticello.
Authors, statesmen and prominent
citizens from various parts OF the
country will meet at Monticello. the
home of Thomas Jefferson, next sat
urday afternoon in response 10 the
invitation issued by the United states
Jefferson Centennial Commission ere
ated by Congress.
William G.. McAdoo. Gov. Albert
Richie of Maryland, Gov. Harry Flood
Byrd of Virginia, Claude G. Bowers
of the editorial staff of the New York
Evening World and author of 'Jeffer-
son and Hamilton" and Paul Wills
tach, author of Jefferson and Monti-
cello" all have notified Stuart G.
Gibson, chairman Of the commission,
that they will be present at the meet
ing.
The commission was created by act
of Congress and organized at a meet
ing held last year in the White House,
with President Coolidge presiding, and
II consists of President Coolidge, Vice
President Dawes, Speaker Longworth,
United States Senators George P. Nc.
Lean, Joseph T. Robinson, Simeon D.
Tess and Royal S. Copeland; Repre-.
sentatives FINS j. Garrett, John Q.
Ttlson, r. Walton Moore and the fol.
lowing, appointed by the President:
Charles Francis Adams. DR.. Edwin A.
Alderman, Claude G. Bowers. Mrs. An.
thony Wayne Cook, Henry Ford, Stu
art G. Gibboney, Thomas Fortune
Ryan and Felix NJ. Warburg.
The commission will consider the
report which it will make to the next