Evening star., 1933-03-28
n,.,b.r ~ the Associated Press.
The Budget Recommendation.

1ne buuSet heConlLuenualloA'
The depression has been likened to
war, with all patriotic citizens lending
their support to the President and will
ingly making those personal and other
sacrifices necessary If it is to be waged
to a successful conclusion.
One OF the major offensives now being
conducted by the administration, IN
which citizens of every degree will
whole -heartedly join, is the fight against
extravagant FEDERAL expenditures. This
battle is being carried on now. The
casualties, especially in Washington, are
heavy. But all good citizens realize that
the motivating force behind the broad
sides is founded on real necessity. The
objectives to be reached are a balanced
budget and lowering of the tax burden.
Yet Washingtonians, approving fully
the objectives Of the National economy
drive, can with good reason protest the
utterly unfair and wholly unreasonable
Budget Bureau proposals represented
in the estimates for the 1894 District
appropriation bill Just sent to the
House.
II the administration has decided to
make blanket cut Of twenty-five per
cent in all Federal appropriations, the
important point is the figure from
which the twerfty- five per cent cut is to
be made.
In most cases, If not all Of them,
1ederal appropriations have for years
been mounting steadily. But in the
case of the lump sum for support of the
Federal Capital the Federal appropria-
ton has been steadily diminishing both
In amount and in proportion to the
expenses Of the Federal City. Each
decrease has meant an increase in the
total tax burden imposed upon the un-
represented taxpayers OF this COM
munity.
Last years lump sum figure Of ST.
5000 represented a drastic cut below
the previous years flgure-proportion-
ately far In excess of any cuts that were
generally applied to other Federal ap-
propriations Last years reduction was
made from a figure that had already
been reduced far below the figure that
would represent the Federal Govern
ment's equitable obligation to the sup
port of Washington. So, when 26.8 per
cent reduction is applied to figure that
has already been reduced below what it
should be, the reduction becomes un-
reasonable and exceeds in its harshness
and severity the reduction in any other
form of Federal appropriation.
There have been efforts in the past
to conceive the Federal Governments
obligation to the support OF its own
Capital In terms of what it would pay
in taxes to the municipal government
II 1t we're taxed on its property hold
ings as other property holders are
taxed. The Bureau of Efficiency COM
puted this single obngation-and there
are others-as being s8,865.722 for the
fiscal year 1892. For 1888 the Federal
OF s7,7750O0, more than a million dol
lars less than that single part Of its
whole obligation to the support of the
Federal Capital that is computed on q
mythical tax liability" alone.
What the Federal Government has
done in applying this drastic 26.s per
cent reduction to Federal contribu-
tion that was far from adequate to
begin With can be ikened to the action
of municipal taxpayer-who happens
to control exclusively the power to levy
taxes-to reduce his own tax obliga-
tion In the name of economy without
giving the other municipal taxpayers
the partially offsetting benefits of a like
reduction. Instead of reducing his
taxes by 1858 per cent, however, Uncle
Sam, II this budget recommendation is
approved, will have cut his own con-
tribution 40 per cent in the last two
years drom s9,5OOo0o). while the tax
burden Of the politically impotent
poililc1 III SdPltol SAty u1d1lItcId1ASC
and development does not receive the
benefits Of penny's worth of reduction.
If there is to be any tax reduction
because of economy, the local tax
payer, and not the Federal Govern
ment, is the one to be relieved. The
Federal Governmnt began practicing
economy in relation to its contribution
to the Capital ten years ago. The in
jury now proposed to be inflicted on the
local taxpayer is double-barreled in its
scope. The local taxpayer has been
hit by the depression as other citizens
have been hit everywhere. His salary
has been cut, his business has fallen
off, his Federal taxes have risen. Yet
the local tax burden remains unMtered.
And in addition to being forced to
make up for what the Federal Govern
ment proposes to slice from its contri-
button, he faces more penalties, repre-
sented in the drastic curtailment Of
all municipal functions, which means
increased local unemployment, and the
piling up in the Treasury of his unused
and unspent and Understanding
tax dollars.
The Budget Bureau recommendations
are unfair, inconsistent and represent
a blow to Washington, the full effect
of which Is difficult to conceive.