Evening star., 1939-06-28
BY JAMES E. CHM.

OlSdpploVHlS changes maze by
the Senate in the District revenue
bill, the House this afternoon sent
the measure TO conference in an ef-
fort to iron out the differences.
simultaneously, Chairman Ran
dolph of the District Committee.
who was appointed head of the
House conference group, announced
that he would fight the Overton
formula of fiscal relations approved
by the Senate, but urged the con-
ferees as a compromise to fix the
Federal payment toward municipal
expenses at s6,000,OOO instead of
s5,00O000 a year.
Representative Randolph pointed
out that the revenue bill as it left
the House fixed the limit of the
FEDERAL payment at S5,000,OOO a
year. He said he is willing to raise
that figure to $6,OOO,OOO but believes
the Federal obligation under the
Overton plan would be too high.
1t has been estimated that the
Federal payment under the Overton
formula would amount to about
SO O0O, 900.
The House, in passing on the con-
ference report on the 1910 District
appropriation bill late yesterday,
fatty rejected Senate amendment
which would have raised the Fed
eral payment to $7,750,OOO as a tenn
porary solution.
SnhSf II
Serving with Mr.. Randolph on the
House conference group will be Rep
resentatives Nichols of Oklahoma
and Kennedy of Maryland, Demo-
Gratis, and Dirksen of Illinois and
Bates of Massachusetts,, Republic
cans.
The major change made by the
Senate in the House-approved reve-
nue. BILL aside from inclusion of the
Overton formula, would continue
the business privilege tax, which is
scheduled to expire automatically at
the close of the current fiscal wear
Friday. The Senate substituted the
business privilege levy for the in
come tax which the House had ap-
proved.
Meanwhile, bitter fight between
the Senate and House over the
amount OF the Federal payment
appeared inevitable as the fate of
the 1910 appropriation bill hung in
the balance with only three days re-
manning before the beginning of the
new fiscal year.
The first skirmiSh was expected to
take place in the Senate today when
Senator Overton, Democrat, of
Louisiana asks his colleagues to re-
affirm their approval of a S7,75O.O0O
Federal payment. This action has
been made necessary by the fiat re-
fusal of the House to increase the
lump-sum figure above the present
IS 600 900.
BY a decisive 216-to-12 record vote,
the House about $50 o'clock last
night rejected the s7,750,OOO Federal
payment and returned the confer
ence report on the appropriation bill
to the Senate. insisting that it cut
the figure to s5,0OO.00O.
Overton Sees Senate Firm.
oSAlopoA oNC1t toll, WllO 10
Of the subcommittee in charge of the
District supply bill. is confident the
Senate will not accept the S.
100000 figure of the House. He
pointed out last night that twice
the question has been submitted to
the Senate recently-first in the ap-
preparation bill and yesterday in the
hill L1f i,,e%
the Senate unanimously agreed to
the increased Federal payment for
which I am contending"
The Senator also pointed out that
subcommittee of the Senate Dis
trict Committee made a thorough
study of the subject at this session,
and after careful consideration came
to the conclusion that the Federal
payment ought to be based on the
net land area of the United States,
after deducting the estimated nor
NAL park area and counting only
the excess park space resulting from
the fact that this is the Capital of
the Nation.
He said there also was "a good
oCoA Va tSoIAAAlOlly UClOl tllC oClldlc
subcommittee on District appropri-
ations as to what the Federal pay
ment should be-" and that group
also resolved in favor of an in
crease.
Following those developments, he
added, BOTH the District Committee
and the Appropriations Committee
went on record in favor of larger
payment.
Il intend to follow out the in
structions of the Senate" he de-
clared.
Answers Precedent Argument.
Answering the argument that
adoption of the land-area formula
here as a permanent solution would
be used as precedent for payments
(See D. c. BILL, Page A-30