Evening star., 1936-01-07
D. c. BUDGET CALLS
FOR S3,300,000
SURPLUS IN 1887
Heavy Reductions Made in
Proposals Will Total
Some S4,377,O00.
REFUSAL TO LET CITY
SPEND HAS REACTION
Prompt Cut in Federal Share Also
Factor in Fight on Boost
in Taxes.

A to.al surplus of about $3,300,000
will be piled up at the end Of the
next fiscal year under the terms OF
the 1887 District budget submitted
to Congress yesterday by President
Roosevelt, it was estimated today at
the District Building.
This was figured to be the gen.
eral result of the slash of some S4,-
377,0OO made by the Budget Bureau
in the SAT ,482 900 estimates proposed
by the Commissioners.
One of the first acts of the Budget
Bureau was to reduce the Commis-
sioners' request for a Federal pay
ment of $8,3l7, 500 to S5.700,000. the
same sum that was granted for this
fiscal year. The total cut in the
budget, however, was much deeper
than that difference of about ST.
1000.
Any Boost Opposed.
Refusal of the Budget Bureau to
permit full expenditure Of funds
raised by present District taxes, and
the present low level of the Federal
payment, were revealed clearly as rea-
sons why the Commissioners are plan
ming to oppose any boost in taxes.
why should we go to Congress with
any program for increased taxation
when we are not allowed by the
Budget Bureau to use anywhere neal
all the funds we are now collecting?'
asked one official
Slashes in the proposed District
budget. therefore. appeared as rea-
son why the Commissioners have moi
called the promised public hearing:
on the findings OF the District Specia
Tax Committee, which recently indi-
Gated the need for a larger annual
outlay for permanent Improvements.
Refuse to Comment.
The Commissioners, however. still
refrained from comment on the ta>
matter.
District officials indicated they
were somewhat bewildered by the re-
fusal of the Budget Bureau to permit
larger expenditures out Of the receipts
from gasoline taxes and water rents
since these funds cannot legally bt
spent for any purposes other thar
for highway Improvements and fol
extension and improvement of the
water systems, respectively.
The Budget Bureau report show!
that if its proposed 1887 budget stand.
there will be at the end of the mex
fiscal year about Sl,000,000 in surplus
in these two funds. about $500,000 If
gasoline taxes and about the same
amount in water receipts.
Asked Bridge Funds.
At the same time. it was recalled
that the Commissioners had sough
appropriation out of the gasoline ta'
funds of S350,000 for rebuilding ole
Chain Bridge and construction OF
new span over Rock Greek in the lint
of K street. The Commissioners
asked .s270,00O for starting construc
ton of new Chain Bridge and $40 0,00t
for building the smaller span. Thes'
we're ignored by the Budget Bureau.
The report explained its reduc'
tions in the highway estimates wer'
due primarily to the fact that th'
District has spent more than $1,000
900 out of Federal grants for highway
! improvements here in the past veal
or two. These grants were part of
Federal plan for stimulating employ
ment.
One of the financial summaries in
cluded in the report listed Fedora
grants" of s1.O46.O0o for the next fisca
year. This was interpreted as an eSti
mate of what Federal grants may b'
spent by the District during the veal
| for highway or other projects intended
to relieve unemployment.