Evening star., 1933-08-20
WORK-PRODUC|NG
=, PLANS UNCERTAIN
IN PENNSYLVANIA
State Advisory Board of Pub.
lie Works Administration
Opens Offices.
BY WALTER d. ROOS.
Special Dispatch to The Star.

Opeclal DISPATCH 10 Inc otdT.
HARRISBURG. Pa, August 19.-The
State Advisory Board OF the Federal
Public Works Administration opened
Offices in the State capitol this week,
but the extent to which Pennsylvania
can embark on a job-producing pro-
gram under its supervision remains q
matter of considerable uncertainty.
A number of cities and boroughs are
eager to begin projects financed by
Federal funds up to 80 per cent of the
cost of labor and materials, but in
many municipalities the difficulty Is to
provide the 10 per cent necessary to
receive the Federal grant. The Penn
sylvania constitution imposes very spe-
cific limits ON municipal borrowing, and
only those which have not reached their
legal bond limit have a margin on
which to plan public works under the
Federal act. Sewer systems and water
works have been proposed in various
cities and boroughs, but definite plan
ming has been deferred until there can
be ruling whether there Is any way
to finance them when the local COM
munity's 10 per cent exceeds the bor-
rowing capacity.
Faces Same Handicap.
The State government faces the same
financial handicap in launching q
building program which it submitted to
washington as soon as the public works
act was signed. All available revenues
for the next two years have been
appropriated without provision for
public works of any consequence and
the State constitution forbids the COM
monwealth from incurring a debt Of
penses. Gov. Pinchot has proposed
that the Federal Government advance
100 per cent of the cost now and be re-
1nlbursed by subsequent appropriations
IN the next five years until the 70 per
cent has been paid.
II the Roosevelt administration turns
thumbs down on this plan, it appears
action in special legislative session
might furnish the only chance for par
tcipation in the public works program.
A special session near the end of the
year is expected to be unavoidable to
enact liquor control and tax measures
in anticipation of repeal.
II the State cannot get credit to
finance building construction, the Pin
chot administration still is hopeful OF
loan which will provide work relief
through road construction. Construc-
ton under the $18.891 900 Federal grant
Tor roads has not started as yet, but
virtually all the States own road money
now available has been allocated to
projects on which work has begun. To
keep employment at high notch on
roads, Gov. Pinchot Is dickering for an
advance Of s12 900 600 in Federal money
to build cheap rural roads. His plan
is to repay the Federal Government
when the fees for 1884 automobile IL
cense tags replenish the States road
fund. The S1Z,000,000 loan would
finance construction of about 1000
miles OF rural roads.
To Aid Taxpayers.
Another step to relieve local taxpay-
ers was taken by the State this week
when it accepted responsibility for more
than 1,500 additional miles Of high
ways. Two years ago, with only 1000
miles unsurfaced on its 13,500-mile
State highway system, Pennsylvania re-
leved townships of 10000 miles under
their jurisdiction by making them State
highways. BY authority of the 1888
Legislature, the State this week added
to the system 131 miles of city streets
and 632 miles Of borough streets which
form combinations of the rural roads
converted into State highways in 1881.
The State also accepted responsibility
for construction and maintenance OF
760 miles of abandoned toll roads, which
have been maintained by local authori-
ties In recent years.
Since the 10000 miles were taken
from the townships two years ago road
taxes against real estate have been re-
duced by more than $2000,000 by the
townships. To lightens the burden of
taxation on real estate still more, the
State during 1884 and 1885 will main
tain the $1,000 miles of roads remain
ing in the townships care. Because
local taxes are derived almost solely
from real estate and the State imposes
no tax on that source, the effect of the
transfer Is to reduce taxation on farms
and homes.