Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-07-10
Public Building Program to
Be Boon to Washington

outside Of Washington. local industry
will supply no mean portion. Sand.
gravel and mortar, for instance, may
be bought from Washington firms
which produce such supplies. Other
material probably will be bought
through Washington agencies. The
companies which bid to furnish sup
plies probably will do so through their
Washington representatives. A To-
cal firm. for instance, which deals In
hardware might secure the contract
for furnishing a type of hardware
manufactured hundreds OF miles away.
but a good share of the profits de-
rived from furnishing the material
will remain in Washington. Wash.
ington firms are also expecting to re-
ceive much of the subcontract work
because of their location and the fact
that they have the necessary equip
ment on the scene of action.
One great advantage pointed out in
dealing with the Government is that
the business is conducted on a cash
basis. The money spent will be money
in hand. The diSconcerting practice
Of dealing on credit and expectations
will be eliminated. Another advantage
lies in the fact that the money to be
spent will be stretched out over a
neriod of 10 years. This will serve to
keep construction on a healthy and
prosperous plane for the next 10 years
to come. Washington, aside from the
activities of the Government, may be
expected to maintain an average an.
nual outlay of SAC, 900, 900 on construc-
ton during the next 10 years. This
figure Is based on the normal growth
expected in the city and the demand
which will accompany it. Ten million
dollars spent annually by the Gov.
eminent will bring this average up 20
$50 900, 900, an amount which assures
n healthy condition without the usual
dangers Of imitation which sometimes
ac~ ompany extraordinary prosperity.
*A*
One of the most interesting effects
of the Governments building program
Is the change to be expected in the
| location Of business. The establish
ments now located within the triangle,
to be acquired by the Government,
must move somewhere else. Their
new location will not be chosen strict
! ly on the ground of obtaining what
| they believe to be the most advanta-
geous spot. Zoning regulations must
| be taken into effect. Thus some firms
now occupying positions side by side
| on the Avenue may be forced into dis
tricts far apart when they move, one
to go into territory zOned as indus
| trial, for instance, another to seek &
new location in a commercial zone.
1t is anticipated that many such
moves may have the effect of raising
real estate values. Those in the past
who have surrendered their property
| to the Government under condemna-
ton proceedings have. in the majority.
received a price higher than normally
might b. expected. With larger funds
- hand the general effect will be to
bid the price of property up. This
will have a corresponding effect on
surrounding property, which may be
expected to increase in value.
One point which has been made by
those who contend that the District -
overtaxed is that the withdrawal from
taxation of such a large portion OF
land as the Avenue triangle will place
a heavier burden on taxpayers. In a
way this is true, for higher assess
ments and higher taxes follow rises
in property values. On the other
hand, the withdrawal of the Avenue
area rom taxation will have little If
any effect on the receipt of taxes by
the District government. The effect.
if any, would be to increase, rather
than decrease, the receipts.