Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-10-07
BY J. A. O'LEARY.

Ofhcials Of the Budget Bureau believe
the new method adopted this year of
calling for one set of estimates without
fixing tentative limitations In advance,
but with increases marked according to
priority of need, will give department
heads a better opportunity to present
a complete picture of what they regard
as their requirements to the budget
making authorities.
One result of the new plan is to
enable Col. j. Clawson Roop, the pres
ent director of the budget, to sit in
on all budget hearings this year, by
making possible an earlier start on the
series of hearings. Thus, the head of
the Budget Bureau will be able this
year to hear first hand the views
of the various departments in justiflca-
ton of the items asked for. Under
the former system more than one hear
ing would be in progress at time.
The change in the procedure of SUBJ
uniting estimates, budget officials ex-
plain, Is intended to give department
heads as great a degree of admin
tStrative discretion as possible. The
Budget Bureau, Of course. has the same
authority as before to make revisions
where it is felt that an agency has
outlined a more enthusiastic program
than can be recommended for one year
when considered in connection with the
other needs of the Government service.
Surplus Money Accumulated.
For several years prior to 1880 a
surplus Of District revenues was accumu-
lated because the estimates and appro-
priations were not up to the limit Of
revenue which came in. Appropriations
which have since been made by Con-
gress, 1t is believed, will use up viz
tually all Of the surplus, and that phase
of the local situation is not likely to
arise again In the near future. The
new director Of the budget, Col. Roop,
took the view last year, and Is under
stood to hold the same view now that
IL there were real needs to be met
there was no logical reason for building
surplus and falling to meet needs, in
the case Of the District.
The budget book as submitted to
Congress each year has always con-
receipts and expenditures of the Dis
trict government, but heretofore these
District figures have been incorporated
in with the totals for the Government
as q whole. Budget officials are con-
sidering this year trying to work out
budget tables In way that win show
a segregation Of funds which are
handled by the Federal Government,
but which do not belong to the Gov
eminent, such as District revenues.
Suggested Separate Budget.
In its volume on suggested changes
In the District government, the InSti-
tute for Government Research Of the
Bookings Institution recommended not
long ago that the local government
be given its own budget system, through
which the heads of the District gov
eminent could lay before Congress a
full report of financial operations in
the past, present financial conditions
and an estimate Of future needs. The
arguments presented by the institute
in favor Of this Recommendation were
set forth as follows:
"Q It lays the basis for the segre-
CATION of the finances of the District
of Columbia from those of the National
Government; ca 1t will simplify and
improve the national budget and the
whole reporting and accounting system
OF the National Government by. remoy-
ing from them items not constituting
part Of the receipts and expenditures
proper Of the National Government,
which now improperly swell both sides
Of the accounts, and (3) 1t will con-
centrate responsibility for formulating
an expenditure and work program in
a single body whether the existing
ouAIu o. CounIhisSIoleIS Oh TIC pro.
posed legislative counciD, where II
properly belongs, instead of having the
responsibility divided as it now is be-
tween the Commissioners and the
Bureau Of the Budget, one local and
the other Federal agency"
The institute took the view that II
the District Is to be considered purely
as one of the executive departments
Of the National Government. it is
proper that the procedure with respect
10 its estimates should conform to that
of the Government departments. Tht
report added, however, that the Dis
trict, in fact, is distinct political sub
division. analogous in all legislative sys
cept as pertains. to its legislative sys-
TEN, to the territories and dependencies
The institute in its report also en-
phasized the fact that even II the Dis
trict authorities submitted the loca1
budget to Congress without reference Il
the Federal Budget Bureau the Ma
tional Government would still have the
policies Of the District through Con-
gress.
Limitations Still Possible.
eff it is deemed advisable" the In
stttute's report continued, that limita.
lions shall be placed upon the District
government in regard TO the characte
and submitted by 1t, as. for example
that the total expenditures recommend.
ed shall not exceed the total of reve.
nues TO be received under the existing
revenue system of the District, or under
a designated tax rate, this can be pro.
vided for by law.
Should the recommendation that thu
District budget be taken from under
the jurisdiction Of the Bureau of TIT
Budget not meet with approval, pro
vision should at least be made for ;
segregation of the District budget from
that Of the National Government, IT
preparation as separate document, an,
It's consideration by the Bureau of thu
Budget and subsequently by Congress
as an independent proposition"
Local officials have not commented
on this subject recently, but while tn
Gibson subcommittee Of the House wa
studying District affairs in November
1920, Daniel j. Donovan. District au
ditor and budget officer. made the fol
lowing recommendation TO the sub
committee:
THE Commissioners should have tn
right TO report directly to Congress II
all matters Of budget needs and legts
lation. This should include the elm
frafinn nj the BUDGET Rafrea9f fr0n