Evening star., 1932-06-21
DONOVAN TO URGE
S1.7O TAX RATE ON
DISTRICT REALTY
Commissioners to Consider
Levy After Congress Acts
Finally on Budget.
OPPOSITION TO INCREASE
SEEN AMONG OFFICIALS
Prediction of Increased Assessment
Base Lends Backing to
Contention.

recommendation that the tax rate
on real estate of $1.70 per 500 Of value
be set by the District Commissioners for
the new fiscal year beginning July l
will be laid before the Commissioners
IN day or two by Maj. Daniel j. Dona-
van. District auditor and budget official.
The matter of the tax rate on realty
and associated problems of meeting the
cost of maintaining the District govern
ment during the next fiscal year will
come before the city heads in complete
form after Congress has taken final
action on the District budget, now
pending
While the House and Senate as yet
have not reached agreement on the
final form of the District appropriation
bill, Donovan said he would recommend
that the realty tax rate for next year
be maintained at $1.70. which has been
In effect for several years.
Budget Fixed Tax Rate.
The District budget as it went to
Congress this year carried stipulation
that the real estate tax rate be not
reduced for the year beginning July l.
This same specification has been car
ried in the budget for the two proceed
ing years. The 1880 budget specified
that the Commissioners neither raise
nor lower the tax rate.
There has been feeling at the Dis
trict Building that the tax rate for the
new fiscal year should not be increased,
due to the difficulties under which prop
erty owners have labored as a result OF
the depression. Months ago, when the
District officials started preparation Of
the 1888 budget, 1t was understood they
planned to make every effort to prevent
any increase in the real estate tax rate.
In some quarters this feeling has
been strengthened recently by current
tabulations by the District tax assessor,
William P. Richards, showing there
will not be sizeable increase in the
real estate assessment base and also
that, during the next fiscal year, con-
siderable declines in other revenues.
can be expected.
Changes Are Anticipated.
The assessment books for the new
fiscal year will not be closed until July
!, but not many last-minute changes
IN realty assessments are anticipated.
Mr.. Richards estimated roughly that
the total real estate assessment for the
new fiscal year would amount to ap-
proximately ST 100000 900. There have
been numerous cases where assess
ments have been reduced due to de-
clining values of properties in some Sec
tions, and there have been additional
sums added to the assessment base due
to erection OF new buildings during the
past year The total assessed value of
real estate for the year now drawing to
a close is $1,226, 6,691 ,948. The Sl.7O
tax rate on this assement base pro-
duced s2O.853,856.
The difficulties which have been
faced by property owners in the past
year are seen in the sale of tax certifi-
Gates for non-payment of taxes by
owners. This year approximately 20
900 pieces of property were advertised
for tax sale. These sales produced ap-
proximately 100000 whereas the fig
IRE last year was 100000. Failure Of
professional tax certificate buyers to
invest as largely this year as in the
past forced the District government to
buy in much more property.
Appeals Nearly Doubled.
There have been this year also ap-
proximately $50 appeals, affecting 1000
different properties, made from the as
sessed values set by the District assse-
sor for the new fiscal year. The num-
Der Of appeals Is nearly twice the
amount received by the assessor last
year
Taxes on tangible property intangi-
bles and public service corporations this
year has produced revenue Of $685.
ITO.
District officials believe the revenue
for intangibles during the next fiscal
year will amount to about half of this
years total of $2,743000 and there
will be sizeable shrinkage in the rev.
enue from tangible property and
slight reduction in the revenue from
public service corporations. which this
year amounts to s2,286,000.