Evening star., 1933-02-05
Fiscal Measure Expected to
Be Reported Thursday
or Friday.
ESTIMATES TO PERMIT
ADDED SCHOOLS READY
Subcommittee Hopes to Squeeze
New Items Into Second Deficiency
by Shaving Others.

The District appropriation bill carry
ing approximately s4oooo,ooo for sup
port of the National Capital during the
fiscal year starting July /, next, will
probably be reported to the House next
Thursday or Friday.
The indications are that there will
be no drastic change from the estimates
submitted
Estimates of COST for an additional
elementary school building are to be
sent in with the second deficiency ap-
preparation items and the subcommit-
tee hopes to have the estimates for
school buildings already submitted
$780, 900, so that additional schools may
be squeezed in. The superintendent Of
schools has submitted a list of four or
| flve locations which are next in line
| for new school, and the subcommittee
has not much choice among these loca-
| tionS.
The subcommittee considers the un-
employment relief item in the bill-a
new item Of S625 600 for a six-month
period, especially important because it
will probably mean continuing appro-
priatlon item for many years. in their
| judgment.
New Taxes Proposed.
Some sort of special tax, either an
| increase In the rate on intangibles with
an effort to uncover tntangibles that
have been evading the tax, or a new
levy on excess profits or incomes, will
| doubtless be written into the bill to
provide for the relief item
| Representative Holiday, member Of
the subcommittee, expressed the opin-
lon that ''the Federal Government in
taking over the District Building should
be liberal with the District because the
Federal Government is more or less
responsible for this general idea Of q
Municipal Center, which is far more
expensive than the District really
| needs"
HIS statement was provoked by testt-
mony before the subcommittee that
after all arrangements had been made
for going ahead with the Municipal
Center project and after the District
government had been forced to pay
out s6,500,000 for the four square site,
the Treasury Department put in q
claim for a $3.50 ownership on the old
District Building, and a demand, that
Congress must take action to vacate
that joint ownership. That prevented
the sale to the Federal Government Of
the existing District Building, from the
proceeds Of which sale it was expected
to build the first unit of the new mu-
n1c1pal group This meant, District
Auditor Donovan emphasized, that S6,-
SOC, 900 worth Of taxable property had
been withdrawn from the tax rolls and
the Districts surplus funds thus sunk
in vacant land.
| First Plan Changed.
In confirming Representative Hola-
days statement, Auditor Donovan also
pointed out that the original recon-
mendation Of the Commissioners called
for the acquisition Of only two blocks
Of the Municipal Center site, but that
Congress ordered the purchase of four
| blocks, including the two very expen-
sive blocks facing on PENNSYLVANIA
avenue" That was done, Mr.. Holiday
emphasized, for the purpose of fur
thering the general Identification
scheme and not because the District
really needed it."
The original plans Of the Commits
sioners, Auditor Donovan explained,
contemplated the erection Of two build
1ngs on the northern two blocks Of the
site, which would have cost, with the
property. q total Of about $11, 900 600.
MAJ. Donovan said the District would
have been able to take care of such q
project.
"Of course, 80 years from now, when
all this Is completed" remarked Com
missioner Reichelderfer, "it will be a
magnificent thing, and everybody will
be glad 1t Is DONE but it is Just beyond
us at the present time"