Evening star., 1939-06-06
Fully Justified


Government in support of the Capt.
tai City and making such obligation
fixed and certain, the only fair alter
native is the temporary increase in
the lump sum, such as the Senate
unanimously approved yesterday.
Senator Overton, himself the au-
thor of a fair and logical method of
determining the Federal contribution
and making it fixed and certain, and
his colleagues who studied the 1910
appropriations needs with him have
recognized that. The figures and the
facts lend overwhelming support to
the need of the increases just voted
by the Senate.
For the Capitals wholesome de-
velopment, more money must be ap-
propriated than the citys burdened
taxpayers can raise alone. AS long
as the lump sum represents tempor-
ary appropriations practice, the lump
sum must be increased Local tax
payers are meeting their obligation
now. Fair measurement of the local
tax burden, taking into considera-
ton the conditions peculiar to
Washington, has shown the relative
heaviness of the local tax burden.
Further evidence is supplied in the
new tax bill, pending in the House
District Committee, which, while in
creasing the concentration of the tax
burden on those who bear it, prom
iSes little or no increase in the total
yield. The lemon has been squeezed
pretty dry. The needs of the District
have virtually doubled in the past
fourteen years and in the same period
the lump sum has been cut in half.
On the other hand, the sources of
the National obligation-the factors
which brought the national contri-
button into being-have not di-
minished but have increased in i'm
portance.
Let us review them:
1. The obligation OF the United
States as an untared property o10ner.
If the Federal payment were made
to correspond with the tax liability
of the United States as an owner of
real property in Washington, it would
reach, according to recent estimates
based on prevailing rates, about
$11,375, 900. Tax the Government?
Absurd! But if such a condition
existed anywhere else in the United
States, one which finds government
holdings increasing steadily and the
taxable area within boundaries es-
tablished by the Constitution itself
& as steadily being reduced, it would
not be considered fantastic or absurd.
AS one method of measuring the Ma
tional obligation, the Federal un-
taxed property within the District
as Senator Overton has shown-pre-
sents logical base. Certainly the
excessive amount of untaxed to total
taxed property in the District con-
tributes heavily to the obligation of
the National Government to support
the Capital.
Thus the national obligation, based
on the extensive real estate owner
ship OF the United States in the
District, may be measured in two
ways: (a) BY estimates of amount of
hypothetical tax the Nation would
pay on national property if assessed
and taxed as an individual or cor
porate taxpayer. Equitable payment
In lieu of taxes is suggested, not
actual taxation of national property.
To- BY estimates of the amount of
obligation equitably payable in con-
sideration of the vast area and great
and steadily increasing value of
national property stricken from the
tar roll and held exempt from tara
tion
2. The obligation based on absolute
control OF the city.
The strongest obligation which
rests on the Nation in the upbuilding
of its Capital is that which is based
on the creation of the Federal City
and the exclusive control of the city
by the National Government. Obliga-
ton follows power. Political power
and financial obligation are coupled
and to the extent that the Nation
controls it should pay. There has
been no diminution in the control OF
the Capital by the Nation. The only
dimunition has been the arbitrary
decrease of the Nations payment.
8. The obligation based on National
pride in the Nations City.
Has this obligation decreased? Is
the Congress less concerned with the
upbuilding and development of the
Capital? Nothing is clearer to us
than it never was the intent that this
district should bear all the extraordi-
nary burden of expansion Incidental
to Its plan and occupancy as a ma
tional city and any such proposed