Evening star., 1933-02-12
Declare ID. C.. Must
Skimp as Unusable
Surplus Piles Up.
NO AID PROVISIONS
BEFORE OCTOBER
House Bill Bans Projects
With Funds on Hand.
Job Cut Feared.

~ - ~~&A S1s
Drastic curtailment in Capital
improvements, an inevitable re-
duction in personnel, and many
evidences of false economy were
seen by District officials yesterday
In the wreckage of the carefully
planned 1884 municipal budget as
1t was placed before the House by
the Appropriations Committee.
The bill carries total of regu-
lar annual appropriations Of
$34, ,451 ,565-a cut Of $6,794, ,057
under the appropriation for the
current fiscal year, and 81, ,95s, ,20s
less than than the amount recon-
mended by the Budget Bureau.
Permanent and indefinite appro-
which occur each year
automatically without action Of
Congress, are estimated at $2,e47.-
500, raising the grand total for
1884 to $37 1895, ,065.
AS viewed by District ofiicials.
the bill in its present status, reeks
with ineqities, since it would
place the municipal government
on a compulsory and unnecessary
starvation budget while millions
OF dollars Of unobligated tax rev.
enues pile up to the credit of the
District in the Federal Treasury.
there to lie idle, drawing no IN
terest.
While piling up these miI1kons 1or nm
uSable surplus revenues - - fnnnev
placed TO the credit Of the pa~11cf ~
the Treasury cannot b uGed - fhG
erai budget balancing ID = ~
ported specifically foehlds ~ 6s--
rad,sn3, mlssl1ners TO use them - - tax
ss,sse.eee Lnnw ~
Two Of the worst a 5hapo funnu1t1es
District officials nsted = d 177S5f -
u the Federal lump e6m cuni15k@fS
% $500. 900. and . 20 pa oont incr1SSs
u the tax on tntangibie pervunal uror~
erty TO create special unsmpIosudSnk
relief fund. In both tustarces III -
pointed out, the HOUSE Auurouriati0ns
COMMITTEES Is seeking % imnoes - 80
ultlonal burden on the taxnaysr n -
lace OF q certain surplus In tax rsvs-
This surplus fund, Il 4 sstimatad
" Till reach total Of S6,240. 900 b tks
close OF the 1884 fiscal year. a ths
oasH OF the appropriAtions carried "a
me Rouse Dill. It VIII be made up Of
revenues which the Budget Bureau and
The House Appropriations Cosnmitfse
refused to recommend for approuriation
N 1884. Gasoline tax revenues. an lrn-
spent water fund, and shavings from
capital improvements. all viii
oe mingled in this surplus, which the
District cannot spend until Congress
grants authority.
Representative Simmons, Republican.
of Nebraska, a member OF the Apuro-
prlatlons Committee. was so bitter In
MS disapproval Of the plan to increase
taxation TO provide employment relief
nitted minority report. And District
officials joined him in condemnine the
In the first place, 1t is held ut the
District Building that the Intangible
AK Is difficult to collect, and the ex-
oerience of other cities has been that
any increase has had the effect Of re-
iucing the returns Intangible property
,an SO easily be concealed. it was
pointed out. that tax collection officers
must depend on the honesty of the tax
,ayer.
Moreover, 1t was said, the value Of
ntangibles has fallen so greatly in the
ast several years that the amount to
oe yielded by the proposed increase
rom IS to So per $1,000 Of assessed
'alue Is uncertain. Reports were cited
% show that the intangible tax dropped
rom $2,66l 900 in 1881 to s2.3s3 000
n 1892, and for the current year sle
'stimated receipts are 81 800 900.
Another angle which the committee
overlooked in recommending an increase
n the tax for relief of the unemployed
s that payments on the first INSTALL
nent for the coming fiscal year are
lot collectable until September. and &c
viii be October before the relief fund
an be- set asids. Arrangements would
lave to be made then, 1t was explained,
20 provide funds for unemployment
elief from July to October i.
But even should an increase In the
intangible tax yield the estimated
mount, something over $500, 600, and
opposing the money were made avail
BILE July / next, the funds sought for
relief to the Districts un-
mployed would fall short. The mimi
num requirements for relief for the last
Ialf of this calendar year have been
laced at $625,000
Failure by the committee to include
his amount for local relief, together
nth the uncertainty as to whether the
louise will stomach what Mr.. Simmons
nd others have called an unjustified
1crease In local taxation for Yehef pur-
oses, was said last night'to have placed
ne District again In dangerous posi-.
on regarding its ability tor continue
are OF the more than six thousand
antilles now. dependent on the small
mounts given them weekly. for sub
stence out OF the funds OF the Board
Public Welfare. The weekly allow
nee for family Of four In 1855.
May Force Dismissals.
The folly Of cutting out Capital i'm
rovements with funds available to
rovide them Is particularly serious at
ais time, District officials said, because
will add to the burden Of the unem-
loyment situation. In addition to deny
10 work to men outside the District
srvice who. would be employed BY pri-
ate contractors on various projects, the
sductions In the bill, 1t was said.
robably wfll force q number Of regular
istrict employees out of Jobs.
For instance. the restriction Of new
evelopment win affect q number OF
lunicipal departments-the architects
lice, which prepares the plans: the
ighway Department, which improves
ie streets in the vicinity Of the new
rejects. and the Sewer and Water De-
dependent on Capita1
CONTINUED On Paes : Column