Evening star., 1937-01-08

dents Of the question have contended
just the reverse, namely, that the
greatest hope for fiscal equity lies in
national representation, not the linn
tied local suffrage proposed by the
report, which would leave the District
unrepresented in the all-powerful
Congress.
Under the system proposed by the
report, the Commissioners would still
initiate the annual estimates for
maintenance and capital improve
ments. But a new and powerful
agency, the National Capital Planning
| Commission the one responsible
agency for physical planning and de-
velopment Of the District"-responsibl
only to Congress, would prepare the
programs for development of the Cap
ital and divide the cost, on the basis
of the benefits received. between the
District and the National Government.
The Commissioners would have the
power of veto of projects submitted
by this new agency for inclusion in
the budget. But the new agency
would determine the division of cost
between the District and the Ma
tional Governments, and its decisions
would be binding.
Budget Bureau Control.
The Budget Bureau would still have
control over the Commissioners esti-
mates, until that control were re-
moved in favor Of control by local
citizens. remote possibility as seen
at present.
The safeguard against excessive
taxation of the unrepresented WASH
ingtonian, as envisioned by the re-
port, lies in the fact that when the
local costs of government exceed
those of comparable communities
the comparison to be made by an
agency under the Budget Bureau
the National Government would pay
the excess. This process of paying
the excess is described as follows:
g.. II the data show that general
governmental cost payments per cap
lta were higher in the District than
the average Of the comparable cities
in the latest fiscal year for which
comparison can be made, the excess
shall be paid from the Federal Treas
ury. The actual amount to be ap-
propriated for this purpose shall be
determined by multiplying the excess
over the average cost per capita by
the number representing the popula-
tion Of the District at the end of the
fiscal year compared, the population
to be determined from official census
estimates
This payment for additional costs,
however, would last only as long as
Congress exercises direct and posi-
tive control over the District govern
ment." Under this plan the Budget
Bureau would doubtless have the in
centive to keep the costs Of local gov
eminent down to the level of costs in
other cities, thus avoiding additional
Federal payments.
In computing the cost Of local gov
eminent the report says that "the
actual costs Of general departmental
activities of the District government
at present are not comparable with
those Of other cities" and this actual
cost" is higher. To make such
costs comparable, the report recon-
mends that expenditures of the Dis
trict for the direct benefit Of the Fed
eral Government be deducted, along
with the deduction of expenditures
made to meet unusual requirements
imposed upon the District by Congress,
such as-education of nonresident
children; excess payments for public
improvements to enhance the District
as the Capital and the excess costs OF
ordinary services occasioned by meet
ing the relatively higher Federal stand
ards Of employment. On the other
hand. additions are to be made
to the cost to represent services rem
dered the District by the Federal
Government which in the States are
rendered by the States.
The report takes recognition Of the
exceptional amount Of Federal prop
erty in the District that Is exempt from
taxation, but recommends no allow
ances to the District on this account.
It recommends specifically against
any ad valorem taxation Of the Fed.
eral Government.
The report taxa the view that