Evening star., 1937-01-25

actual relaClOIlSEnp between Cne local
community and the exclusively con-
trolling Federal Government. 1t nec-
essarily interposes the picture of a
self-sustaining, self-determining local
community, whose municipal govern
ment renders certain services and in
return exacts tribute from the Fed
eral Government. 1t neglects the
fact that services rendered the Fed
eral Government are established, not
by the local community, but by the
Federal Government, regardless of the
will or wishes of the local community,
| and in most cases are modelled to con-
| form in magnitude or grandeur or
| specialized function, not to meet
solely the needs of the local COM
munity, but to meet those needs plus
the expenditure for magnificent
structures that reflect the ambitions
for the Federal City by its rulers.
Sometimes the benefits conferred
upon the local community are meas
ured so as to run the whole gamut
from the architectural beauty of the
Lincoln Memorial and other great
Federal structures to the per capita
expenditures of delegates to conven-
tions or tourists who come to visit
their National Capital. BY processes
| Of logic it is further adduced that
had the Federal Government not
chosen Washington as the national
seat of government there would be
no Washington and, finally, no fiscal
relations issue. With this latter con-
clusion we heartily agree, pointing
| meanwhile to the realistic fact that
Washington does now exist by the
grace of the Federal Government and
the people of the United States, and
that ensuing financial relationships
between the local community and
the National Government have pro-
duced a very real problem for the
people who live here.
Recognizes Benefits.
"As for the benefits conferred by
the magnificent buildings which house
the workshop of the National Govern
ment and add to the attractiveness
and beauty of the American Capital,
the local community recognizes these
benefits and shares the patriotic pride
of all Americans in such buildings
and other embellishments Of the Ma
tional Capital.
"At the same time the local COM
munity asks that while these benefits
are being studied, the problems that
accompany them in financing the
needs of the local community be given
like consideration.
THE acquisition by purchase or
condemnation of the large areas of
taxable land for these structures cuts
down forever the taxable area. The
problem brought about in other COM
munities by the withdrawal of tax
able assets to the exempt list, by
Government purchase or condemna-
ton, has been succinctiy stated by
the distinguished member of your
Advisory Committee. Mr.. James w.
Martin, who, in an article in the
current issue of the Bulletin Of the
National Tax Association, declares:
One of the most appalling
financial difficulties encountered
by local government at the present
time arises from the removal of
property and business from the
field of taxation by Federal own
erShip. In certain counties of
Kentucky, for example Edmonson
County, where Mammoth Cave is
located, the Federal Government
owns so much of the real estate
that county government can scarcely
be maintained. There are likewise
number of areas in eastern Ken
lucky in which forest reservations
have eliminated so much of the
land from the tax rolls as to par
alyze the school, highway and
other activities of local govern
ment. To some extent the States
also remove land from taxation by
localities through the same proc
ess.'
That problem, as members of your
committee recognize, is peculiarly
aggravated in the National Capital,
where the ratio of tax-exempt to
total property amounts now to about
Al per cent, and where the value of
tax-exempt property since 1929 has
increased about 37.6 per cent, while
the assessment of taxable real prop
erty has actually decreased. The
final effect of stadilly increasing
tax burden upon steadily decreas-
ing taxable area is an unendurable
tax burden, which seems to be the
direction in which We are heading.
Has No Voice in Government.
"In any discussion of benefits re-
ceived by the Federal Government
we must refer once more to a fact of
cardinal Importance In any study of
the situation in the District of Co.
lumbia, namely. that the local COM
munity, unlike every other community
in the continental United States or
even its insular possessions, has no
voice in the Government which con-
troS its affairs, collects and spends
its local taxes.
"In the give and take of democratic
government in the United States the
voteless District of Columbia stands
on the side lines. There is no mu-
nicipal government bargaining with
the State Legislature over benefits to
be conferred or received. There is
no State Legislature bargaining with
the National Legislature over other
benefits to be conferred or received.
There are no representatives of the
local community in the National Leg
1slature, alert to the interests of vot-
ing constituents and seeking to obtain
for them the special benefits which
flow from the National Government
to the citizens in the States. Our
local Legislature, in which we are
not represented, Is our National Leg
islature, in which we likewise lack
representation"
(Nert Article: Difficulties OF
Measuring SerDices.)