Evening star., 1930-12-11

lumbia involves two important factors
said DR.. Havenner. First, that the
combined revenue from both sources be
ample to meet the needs of the District
and, second, that this amount be dis
tributed equitably between the two Gov.
ernments. With respect to the first
point, the duty and responsibility rest
with the Commissioners in requesting
adequate appropriations and with Con-
gresS In granting them. The amount OF
the Federal contribution Is determined
by the Congress.
"As president of the Federation OF
Citizens Associations, wish to say that
the taxpayers represented. by our or
ganization, numbering nearly 10000, do
not ask the Federal Government to
contribute any more money than Is
necessary to meet a budget providing
for our needs after the taxpayers have
contributed an amount equal to the
average tax burden borne by the citi-
zens of comparable cities.
ITO compare our tax burdens, we be-
lieve 1t necessary to compare per capita
total tax revenues, rather than rates
and their different kinds. For example,
in Washington We have higher assess
ment value than the average of COM
parable cities, but lower nominal tax
rate. However, the tax burden from
the general property tax, we believe, is
as heavy as the average of similar
cities. Reports have been made on a
per capita basis in proof of this state
ment. Moreover, some cities have an
income tax in lieu of an intangible
property tax and as between these forms
Of taxation there is no method of COM
parison except from the revenue de-
rived.
"A bill has been introduced In Con-
gress calling for additional and in
creased forms of taxation in the Dis
trict, such as an income tax and an
increase In our gasoline tax The non
existence of either of these classes of
taxes does not mean that we have a
less tax burden than in other cities for
a comparison of our revenue from ex-
isting taxes with the tax revenue of
comparable cities on per capita basis
proves the opposite.
Taxable Area Decreases,
"The area of the District of Colum-
bia Is definite and fixed AS the Gov
ernments take over property and other
property becomes exempt, our taxable
area decreases, while in other cities it
increases, as their boundaries may be
and are extended. Largely because of
this fact, as the Federal and District
governments here develop their proper
ties, the taxable property increases in
value. Therefore, we believe there Is
q constant relationship between the
values of Government property and tax
able property. Any fiscal policy be-
tween the taxpayers and the Federal
Government should, therefore, be based
on a plan involving the relationship
OF their property values and adjustment
OF excessive exempt property.
1T Is not our purpose to recommend
what amount we think the Federal
Government SHOULD contribute, but
merely suggest the factors that should
be considered in determining that
amount, knowing full well that plan
adopted along this line by the commit
tee will be fair to both the taxpayers
and the Federal Government"
After hearing DIR. Havenner, the
committee adjourned until 9:45 o'clock
Saturday morning At that time the
committee will hear two members of
Congress who have asked for the priv
ilege Of testifying. and several other
civic representatives.