Evening star., 1945-03-23
old Issues Block
Compromise on
ID. {. Boundary
Virginio's Tax Rights
At Airport Prove
| Mojor Obstacle
BY DON s. WARREN.

BY DON s. WARREN.
Renewed efforts to settle the
Dlstrict-Virginia boundary dispute
reached an impasse at a hearing
before the House District Commit
tee when witnesses brought up Vir-
ginia's present rights to collect
sizable taxes at the National Air
port and the question of sale of
alcoholic drinks there.
The old issues were debated for
nearly two hours by members of
Congress and spokesmen for nu-
merous Federal and District aeen-
cies and representatives of operat-
ing airlines without agreement.
In the windup, Chairman Ran
ooiph said serious efforts had been
mace during a whole decade to
settle the problem and that unless
there was indication of a willing
ness to compromise he could see no
purpose in continuing to butt our
heads against stone wall"
Agrees to Another Meeting.
however, after he had announced
the pending bill would be laid on
the table temporarily, he agreed to
suggestion by Representative
smith. Democrat, of Virginia to call
another meeting soon to see if a
compromise could be worked out in
executive session.
The pending bill is one intro
duced by Mr.. Randolph to settle the
boundary issue by declaring it to be
the prevailing high-water mark on
the Virginia shore of the Potomac.
with the exception that the entire
749 acres OF the airport would be
ceded to Virginia. 1t was testified
that some $50 acres of the airport
area is conceded to always have been
virginia land, but that there Is dis
pute as to whether some 500 acres
OF land built up out of the river
belongs to the District or Virginia.
The landing strips of the airport
are on the built-up area and it is
said the airport buildings stand on
the portion belonging to Virginia.
All factions agreed the present
situation as to who has jurisdiction
caused serious complications and
even amounted to "a potentially
dangerous situation" There was no
agreement. however, as to taxation
OF business at the airport or even
over the sale of drinks there, now
barred by acceptance of Virginia
regulations.
Calls Situation Fantastic.
Alexander Holtzoff, assistant to
Attorney General Biddle, told the
committee "the situation is almost
fantastic. No one knows what police
have jurisdiction, what prosecutors
should prosecute, what courts should
try criminal case and even what
law is applicable"
Similar statements came from
other witnesses, but in the beginning
Representative Stefan, Republican.
| OF Nebraska, said he was opposed
TO the bill as written because it
would transfer District land to vir-
g1nla. He declared the airport
should be accepted as a part of the
District. If that is possible. He pro-
posed that a simple bill be passed
declaring the airport Federal reser-
vat1on and leave to later action a
final settlement of the boundary.
Before the boundary issue is
settled, Mr.. Stefan added, the uues-
ton OF the retrocession to Virginia
In l846 of that States part of the
original District should be inyesti-
gated
Representative Smith made the
point that the airport was developed
under Public Works funds under a
stipulation that none of such public
works funds were to be spent in
the District"
Virginia Taxes Cited.
/ Sizable taxes now collected nv
Virginia came into the limelight
when Hervey Law, manager of the
airport, made statement that one
OF the alrlines operating out of the
airport paid 1000 annually in gaso-
line tax to Virginia, in addition to
paying to some $30, 900 for unemploy-
ment compensation. In addition. he
said food concession taxes amounted
I to $4,000.
Much of the debate revolved
around a section in the Randolph
bill which, while ceding the airport
to Virginia and providing, that the
United States shall have concurrent
jurisdiction, gives Virginia certain
taxation rights at the port. This is
more limited than tax rights now
held by Virginia, for gasoline taxes
the State could assess would be re-
stricted to gasoline used in "over-
the-road" transportation.
Commissioner Guy Mason said the
District does not want jurisdiction
over the airport because it would
mean District agencies would have
to do all of the work and all of the
revenues would go elsewhere"