Evening star., 1941-11-23
'$245,000Neffed
In Tax-Exempt
Properly Drive
Officials Order
levies in Three
New Cases

AS result of nearly a year of Its
operation in checking tax eXemp-
tions granted privately owned prop
critics here, the District Real Estate
Tax Exemption Board, headed by
Walter l.. Fowler, now city budget
director, has brought about tax
levies against real estate valued at
more than $l4,000000, on which the
annual tax would be $245,000.
This summary was given yesterday
by Mr.. Fowler after the Commis-
sioners had approved realty taxa
ton in three more. cases, includ-
ing properties valued at more than
ST 900 900, and, acting on an appeal
for reconsideration, had upheld the
board in one previous decision.
In one of the three new cases. IN
VOlving the Methodist Home, east
side of Connecticut avenue between
Ellicott and Fessenden streets NV,
having an assessed value of S345,-
SIT. Mr.. Fowler. while chairman
of the tax exemption board. also was
vice president of the board for the
home. In carrying out precedents
established in earlier cases. he
agreed with other, board members
that the home was improperly tax
exempt since admission is re-
stricted to members in good stand
ing of the Methodist Church and
who must pay or have paid an
admission fee of $500.
Not Purely Public Charity.
In this case the Fowler board said
that while this was very splendid
and we'll equipped institution for
the care of the aged it, like others.
failed to meet the test of purely
public charity
The board added: "We believe
that some of these homes that are
limited to members of religious
denomination or fraternal order are
rendering real public service and
to great extent relieving the NUM-
clpality Of financial burden. 1t
Is our intention. when we come to
our final report, to suggest appro-
pirate legislation to deal with this
situation equitably. We find the
Methodist Home is improperly
exempt under existing law
All of the properties of Siblev
Memorial Hospital. except Rust
Hall, the nurses training school,
was ordered taxed. The board
considered this case in the
same light as it has other privately
owned hospitals where charges are
made although much charitable
work was performed. Rust Hall
was exempted because it was found
properly claSsed as an educational
institution. The remainder of the
property was found improperly ex-
empt because under existing law it
could not be called a purely public
charity. The total assessed value
OF the institution was placed at
s667 7,3O6.
Organization Praised.
On this point the board said: CAL
though a great deal of charitable
work is being done by this very
splendid organization. it is not pure
ly a public charity within the mean
ing of existing law. A distinction
is made in some States between that
portion of the property which is
used for charitable purposes and
that devoted to income producing
purposes. The courts hold. how
ever. that the devotion of the profit
to the support of the charity is not
sufficient to alter the distinction.
Here. the institution must be pure
ly public charity conducted without
charge to inmates"
Taxes were ordered levied against
the Episcopal Church Home, Wis
consin avenue and Macomb street
NV. which has an assessed value
of S55,939 This was done because
the board found that a fairly sub
stantial income was received for
room and board from some of the
aged occupants of the home and
! because occupancy was limited sole
ly to members of the Protestant
Episcopal faith.
The appeal case involved the pro-
test of ST. GATHERINGS Home of the
Sisters of Mercy, for 105-107 and
119 North Carolina avenue Sc,
against an order for taxation ap-
proved by the Commissioners on
recommendation by the Fowler
board. Corporation Counsel Rich
mond B. Keech. in advising the city
heads on the appeal, agreed that
taxes should be levied since charges
were made for board and lodging
and that therefore the home was
not a purely public charity.