Evening star. [volume] (Washington, D.C.) 1854-1972, 1937-09-17
PALM|SAN0 TO AID
LUMP SUM FIGHT
IN NEXT SESSION
Says He Doubts if $780,
600 Would Represent Fair
Share of D. c. Needs.
AMAZED AT SERVICES
AFFORDED BY DISTRICT
Cites Jacobs Report Figures Of
$3.50, 900, 900 in Property With
drawn From Tax Rolls.
BY JAMES E. CHINN.

BY JAMES E. CHM.
Support for the plan of the Commits
sioners to campaign at the coming
session of Congress for a substantial
increase in the Federal payment to-
ward District expenses was pledged
today by Chairman Palmisano Of the
House District Committee.
Commissioner Hazen has indicated
Congress will be asked to raise the
Federal payment in the 1899 fiscal
year from the present $4,000, 900 lump
sum to at least $500, 900.
Palmisano declared he does not re-
gard 100000 q fair and equitable
amount for the United States to pay
annually toward the support and
maintenance Of its Capital, and also
that he Is inclined to believe $780,
600 would not represent q fair share.
Before Congress convenes in jan
uary. Palmisano said he proposed to
make serious study Of the trouble
some fiscal relations problem and be
prepared to go on the floor Of the
House when the 1889 appropriation
bill Is under consideration and appeal
for more equitable fiscal policy.
Amazed at Report Showing.
Palmisano recently made .cursory
examination Of the fiscal relations re-
port Of the Jacobs Committee turned
out last January for the consideration
OF Congress, and said he was amazed"
to learn the numerous services pro-
vided the Federal Government by the
District, as well as the vast area OF
tax-exempt property the United States
owns in the District.
These two factors alone" he said,
ARE sufficient to convince me $5,OO0,-
600 Is small sum for the Federal Gov
eminent to compensate the District"
The Jacobs report showed the Fed
eral Governments tax-exempt hold
ings in the District constitute 20 per
cent OF the total land area, and was
valued by the tax assessor In 1895 as
follows: Land, $342, 1871 900; improve
ments, $500, $3.50, 900.
Just think Of that-nearly $780,
900, 900 worth Of property which the
United States has withdrawn from
the tax rolls in the District" ex-
claimed Palmisano And couple with
that the various services the District
provides for the Federal Government
such as police and fire protection. Tho
Jacobs report. Believe. shows 10 dis
tinct services.
What does the District get In re.
turn? Only five million dollars"
Plans to Wade Into Fight.
Palmisano has not taken an active
part in the past in the movement for
settlement of the perennial fiscal re-
lations controversy, but now, as head
Of the District Committee, he plans
to get into the thick of the battle and
fight for correction Of what he re-
CARDS as grave injustice"
Commissioner Hazen intimated the
Commissioners may predicate the 1899
budget estimates on a Federal pay
ment Of $500. 900. but If the Budget
Bureau adheres to its usual policy, 1t
will not increase the amount above
the figure appropriated for the current
fiscal year.
This year, however, the Commits
sioners do not propose to give up at
the Budget Bureau, but will place an
appeal for higher Federal payment
directly on the desks of members OF
Congress
Civic and business organization rep
resentatives who appeared before the
Commissioners during the budget
hearings last week predicted a united
and concerted campaign for an in
crease in the Federal payment likely
would make dent" in the present
attitude of Congress toward the Dis
trict.
Adhere to s5o,Oo0,o 900 Budget.
Disregarding the plea of the Board
of Trade for a reduction in the Dis
trict's tax burden, the Commissioners
will adhere to their plan for a 1899
budget of roughly $50 200, 900, accord
ing to statement by Commissioner
Hazen.
If such budget is approved by Con-
gress, it would require the continual
ton of the 100000 increased tax
load that was adopted for this year.
The only alternative appears to be
an increase in the Federal payment.
The Board of Trade filed plea with
the Commissioners that they hold
budget estimates for the next fiscal
year down to the total for this year.
or roughly S46,00O,0O0, asking a re-
ductiOn in taxes
The Commissioners previously had
declared they would limit their esti-
mates to S30,000,000 and Hazen's fore
cast is that they will not change their
views. Outside of items to be paid
out of the special water and highway
revenues this would mean an increase
Of only 100000 over this year in
appropriations chargeable to the gem
eral fund" revenues.
If this plan is finally adopted, the in
creased tax load will have to be con-
tinued, in one form or another. Major
elements in the increased tax program
were the business privilege levy and
a boost Of the tax rate for real estate
and tangible personal property from
$3.50 to SITS. Both these measures
were ordered for but one year.
A committee of District officials-
headed by Maj. Daniel j. Donovan,
auditor, now is at work on a survey
OF the District tax structure. Spokes-
men for eight civic and business groups
are to be called in as an advisory
committee.