Evening star., 1936-10-11
BUDGET
APPROVED FOR 1898
BY DISTRICT HEADS
Federal Payment Increase
or Sharp Tax Boost
Held Necessary.
ESTIMATES INCLUDE
1-CENT GAS LEVY RISE
Proposals Divided Between Bare
Operating Needs and Capital
Improvements.
BY DON S. WARREN.

Throwing the Districts financial
problem into sharp focus, the Commits.
sioners have adopted a budget for the
next fiscal year totaling SAT, ,895, OILS
a sum almost s7,500000 in excess OF
the 1888 general fund revenues If
calculated at present rates-Budget
Oficer Daniel J. Donovan revealed last
night.
A budget OF this size would entail
either heavy increase in the Federal
payment, which this year stands at the
record low level Of s5,000,000, or Q
sharp increase in District taxes, or
both, Donovan emphasized.
The Commissioners estimates con.
template 1-cent increase in the gaso-
line tax. They propose a highway i'm
provement program costing $3,78s, ,2so,
an increase of s1,35o,400 over this
year, but expected revenues from the
present 2-cent gasoline tax fall short
OF that total by some s675,00o.
Budget in Two Parts.
Because of the financial plight now
facing the District, the Commissioners
separated the budget into two parts,
the first covering only bare operating
needs and contractual obligations and
the second containing a limited
amount Of new capital improvements
and expansions in personnel and serv.
ices they hold essential
The maintenance section Of the
budget amounts to $42 1905, 1903. II only
this were finally approved, and nothing
provided for new improvements and
desired increases in operations. Maj.
Donovan finds, there still would be q
deficit of more than $4,000, 900, with.
out an increase in revenues.
With the addition of the proposed
capital Improvements, amounting to
s5,oSs,707. the shortage between the
budget total and revenue as now hgs
ured would be hiked to S7,426,095.
d. C. Must Have More Money"
In an analysis of the budget pre-
pared for the Commissioners, Mai.
Donovan bluntly declared the Dis.
trict must have more money" and
said Of the Federal payment: 1T
should be apparent to any one that
the present Federal payment Of
IS 900 900 does not represent a Just
or equitable participation by the
United States in the cost of main.
tanning and developing the Nations
Capital.
The budget was split into two sec.
tions. because the question Of what
should be the Federal payment now
is being studied by a commission
which is to submit its recommends.
tions to President Roosevelt by the
end of the year.
The Budget Bureau has instructed
the Commissioners to base their esti-
mates on a s5,000.00o Federal pay
ment, the bureau adhering to its long,
established custom of repeating what
ever Federal payment was made by
Congress in its latest action. The
Commissioners are hoping the Presi-
dent will recommend, and that Con.
yress will approve, a much higher sum.
$lo,o00.o00 Cut From Estimates.
The Commissioners succeeded in
limiting the total of their budget pro-
posals to the $47,800,000 figure only
by cutting more than $4,000 900 from
the estimates prepared by department
heads, Donovan explained.
All departments suffered a reduc.
ton in requests, and some were dras-
tic. Public school estimates were cut
4.26o, 1863. from s17,525,619 to sI3,.
265, $50. This provided but S2,144..
600 for new construction and pur-
chase Of ground.
The Commissioners slashed more
than s4,600.000 from the requests for
welfare and correctional institutions,
TO get the total down from $l1 ,450, 900
TO sS,75S,000.
The police. Fire, Health and Sewer
Departments also suffered slashes.
Details Can't Be Barred.
Budget Bureau edicts barred Maj.
Donovan from revealing details Of
items incorporated in the Commits
sioners' estimates, but some actions
are rather clear from departmental
.otals given out.
Provision for approximately 50 ad.
ditional policemen is believed to bs
in the estimates. Police
5upt. z. w. Brown had requested
IN increase of more than 13o.
Health Oficer George C. Rutland
(See BUDGET. Page A-5)
MIA nnn~uu