Evening star., 1937-04-25
BY JESSE G. SUTER-

tl11c. 0Ot1lC JlAfC lllC 6PI Alk
fever in such form that they can
not think Of attending meetings
and can only find relief through
motoring out to get full share Of
ozone. Those in the outlying Sec
tions are too busy obeying the
Commissioners appeal to clean
up, paint-up" or are giving the
lawn and garden its needed treat
ment.
This state Of affairs has increased
the burden Of those who undertake
more seriously such civic respon-
sibilities. Committees Of many
groups are studying the pending
tax bills, watching the progress
Of the District budget, keeping In
touch with the public utilities hear
ings and committees Of Congress.
Civic attention has been divided
during the past week between
Capitol Hill and the District Build
ing. The special subcommittee of
the House District Committee got
under way on Tuesday and ut the
start took the Commissioners and
District officials away from their
posts The Public Utilities Com
mission continued its valuation
hearing OF the Capital Transit
Co.. but this was interrupted on
Thursday as the members OF the
commission were required to attend
the hearing OF the House sub
committee.
Among the developments Of the
subcommittee hearing so far are
charges that the District suffers
serious losses OF revenue through
systematic evasions in returns on
intangible personal property. 1t
has also been charged that there
are other losses OF revenue through
ineficient methods Of tax collec-
ton. One civic leader charged
that the District has no collector
Of taxes, under the existing system,
but simply a receiver Of taxes.
The Senate on Thursday passed
unanimously two District bills. One
was the bill to prevent blindness
in infants III. R. 4806). which
passed the House March 20. The
bill now goes to the President for
signature. The other bill passed
was to increase the Districts quota
OF appointments to the United
States Military Academy at West
Point from flve to nine.
Federal Penalties for
Gasoline Tax Diversions.
A TTEMPTS to increase the Dis
trict's gasoline tax and to d.
vert a part to uses other than for
highway purposes are meeting with
strong objections from the civic
groups and from the motor organi-
zations. Particular stress is being
laid on the principle OF the Hay
den-Cartwright Federal aid high
way act. The sharing by the
Federal Government in the costs
of the highway work provided
through the appropriations under
that act is contingent upon there
being no diversions to other than
highways Of the funds collected by
the States In motor vehicle taxes.
That Uncle Sam" meant pre-
cisely what he said In that act is
evident from the recent experience
of the State OF Maryland. Accord
ing to the Delaware Motorist for
April, THE Maryland State Road
Commission has been notified by
Chief Thomas H. Mcdonald Of the
Bureau OF Public Roads. that
Maryland's share Of the Federal
road aid funds for 1887 has been
reduced $34l. 1886. or one-third,
because Maryland has spent about
$4,ooo,00o OF highway funds for
other purposes.
Continuing, the article states,
THE penalty is imposed under the
Hayden-Cartwright act OF June
10, 1884, and may be applied also
to other States. The bureau now
is investigating the expenditure
Of gasoline sales tax revenues and
motor vehicle registration fees in
every State with the idea Of apply
ing the penalty wherever these
funds have been spent for other
than highway purposes. Since
other States have diverted funds
to purposes other than highway
financing, with the largest di-
version in New York State, it Is be-
lieved that penalties will run into
millions Of dollars and that, con-
sequently 4 substantial portion Of
Federal aid money available for
roads will be lost to the States"
This question Of diversion Of the
District motor vehicle revenue is
Of particular interest just now be-
cause Of Senator Kings bill, which
has already passed the Senate. pro-
poses to put the District on parity
with the States as a beneficiary
under this Federal aid act. If this
bill becomes q law the District
would be entitled to approximately
100000 which would be jeopardized
nv diversions