Evening star., 1942-05-05
District Budget
OF S56,126,131
Goes 10 House
Million Provided to
Sturt Work on
Anocostio Bridge
By WILL p. KENNEDY.

carrying SOo, lZo, ,lol IOE sup
port of the National Capital and
many extraordinary expendi-
lures neceSsitated by the war,
the largest single District appro-
priation bill ever laid before
Congress was reported to the
House today. 1t is expected to
receive immediate consideration.
Appropriations for the current
year are 81 ,240,158 higher, but in
clude 81 oil 900 carried in the Third
Supplemental National Defense Act
for street Improvements, out Of the
highway fund, which were originally
scheduled for this 1943 bill.
OF the s56, ,126,131 total, $40
008 is payable from the general fund
(real estate, tangible property, pub
Lie utilities and bank taxes; $685.
288 from the gasoline tax fundn S.
100000 from the Federal Treasury,
and $3,404, 1895 from water revenues.
AS recommended to the House by
the Appropriations Committee, the
bill is $468, ,709 below the revised
budget estimates.
P. w. A. Repayment Proposed.
In order to put the District in q
better financial position to meet
eventualities, with uncertainty as
to tax burdens Of the future and as
to the capacity of the District to
raise revenues, it is proposed that
the District shall make a repayment
of 50 500 900 on its $12, 1894, ,668, ,48 in
debtedness for Public Works Admin
istration loans. A substantial part
of this repayment Is made possible
by retrenchment in the school
building program, suggested by the
superintendent Of schools, amount
ing to $1,904,213, because building
materials would not be available
under the priorities system.
In spite of this $2,5O0 900 repay
ment, it is estimated that there will
be surplus of 81 ,202 $40 in the
general tax fund at the close Of
the 1943 fiscal year, and with an
other $1,000,000 held as a reserve
to meet supplemental and deficiency
appropriations that may subse-
quently be needed.
Possibility of increased water rates
is forecast because the estimated
S544, ,572 deficit for urgently needed
Improvements in the water system
| during the current year will force
the sale of that amount of Govern
ment securities held as a water fund
reserve. This fund at the end Of
the 1941 fiscal year amounted to
s1,836. .621, which will shrink to
$627,154. The committee recon-
mends study Of legislative sction
which must be taken since "the Dis
trict soon viii be faced with the
problem of meeting total expendi-
lures from the water fund out Of
current revenues"
Gas Tax Fund to Decline.
Warning is also given that sharp
decline is inevitable in the highway
fund from gasoline tax and motor
vehicle fees as result of the ration
ing of motor vehicles, tires and gaso-
line. The increase of l cent per
gallon gas tax, the committee and
District officials believe, will not be
sufficient, since there are $500 fewer
registrations of private vehicles than
on the same date last year.
THE estimated revenue available
in this fund for 1943 falls into an
unpredictable category" Chairman
Mahon of the subcommittee which
drafted the bill reported.
The Commissioners are called on
to have a thorough study made"
and definite recommendations sub
mitted before the next District
budget Is submitted regarding con-
tingent and miscellaneous expenses,
printing, binding, travel, commune
cations, ETC., included in the esti-
mates of several departments Of the
District government, to have them,
expended and accounted for IN the
most economical manner" and the
possibility of having them carried
in one fund.
Chairman Mahon said: "The COM.
mittee is appreciative of the addi-,
tional burdens placed upon the
Commissioners and every depart
ment of the District Of Columbia.
government because of the surge OF,
Federal activities due to the war
emergency. The District is the focal
point of the national effort, and its
duties, functions and responsibilities
are appropriately serious.
1.-The committee was cognizant Of
the increasing tax burden Incl
dent to the war, scrutinized each
item, weighed the needs of this COM
munity in the light of the national
emergency, deleted the non-essen-r
(See D. c. BUDGET, Page A-40 =,