Evening star., 1945-05-25
U. 5. Defraying
Only 9.45% Of
'45D.C.Costs
Value of Tux-Free
Federal Lund Rises
$l29, 900, 900
BY CAMBRIDGE CRIsT.


The Federal lump sum payment to
the District will represent only Gas
per cent Of municipal costs payable
from the general revenues for the
fiscal year 1945, compared with % 80
per cent in 1925 when lump sum
payments were started.
This was brought out TODAY with
releasing Of the recent hearings be-
fore the House subcommittee on
District appropriations by District
ofhcials, who also revealed that the
value of tax-exempt Federal land
and improvements had risen $129,-
100000 since 1896.
At one point during the hearings,
Chairman Coffee criticized the prac-
tice of placing burdens national in
scope" on local agencies and having
local taxpayers support them. He
referred to the Zoo, which, he said,
is used by people of the Nation al
though it is paid for by local tax
payers.
Gas Tax Not Included
In making the percentage calcu-
lations, District officials said the
appropriations for the general rev.
enues of the District did not include
appropriations from the gasoline
tax, water and trust funds or the
apportionment of appropriations be-
tween the District and the Federal
Government for such items as the
courts and Freedmen's Hospital.
Local officials estimated that on
such a basis, the Federal payment
was 1888 per cent, or $9,145, 1855 of
appropriations of $31,175,672 from
general revenues in 1925, while in
1945 the percentage will be 945, or
Federal contribution of s6,0O0,0O0
toward appropriations of $63 3,4S8, ,766.
In 1922 the chart submitted by
District budget officials showed that
the District received 40 per cent of
its income from the Federal Gov
ernment for appropriations from the
general revenues. Last year the
figure was 1898 per cent.
Committee Making Study.
Budget Officer WalterL Fowler
told the committee that expected
ISfclluco 1Ol 1ofU WOulu 1ilcCt IllC
requested appropriations. Last
week the Commissioners, on the
advice of Mr.. Fowler, named a
committee of seven District officials
to study the city's tax structure in
the hope of raising $10,000,00O of ad-
ditional revenues in the years ahead.
Tax Assessor Edward A. Dent, in
hi tn ha nnl
brought out that the taxable area
of the District had dropped from
567 per cent in 1888 to 498 per
cent through withdrawal of 1,755
acres from taxation. He said the
assessed valuation of taxable prop
erty in 1945 was S1,370,000,000, an
increase of $239,0OO,O00 from 1886.
During the year the valuation of
the central business area was in
creased $7,000,oO0.
The total value Of land and i'm
provements of the Federal Govern
ment has risen from $572, ,745, ,945 in
1896 to $701 ,914,116 in 1945, accord
ing to figures submitted by Mr.. Dent.
His chart also showed that the value
of privately owned exempt land and
improvements has gone from $685.
1877 ,645 in 1886 to 117,763,897 this
year.
Tax Returns Increasing.
The amount received from realty
taxes has increased only from $18,-
317,o36 in 1885 to s23,a46,726 in 1914,
District officials inforrled the COM
mittee. Mr.. Dent said that taxes
were increasing, and added:
THE work of this Office has in
creased materially. Since 194l the
individual income tax has risen from
81 ,800, 900 to $3,50O,OO0; the corpora
ton tax from 81, 2,0O0,0OO to S., 300 900;
the personal tax from 81 $50 900 to
So 800 900. There has been an increase
Of approximately $lo,OoO,oo0 since
1941."
At the outset of the budget hear
ings earlier this month, Chairman
Coffee urged economy, warning Dis
trict officials:
Those of you who get your pay
checks every month realize what the
cost Of government is, and it is the
duty of officials of the District and
our duty at all times to join in this
demand for economy and the elm
ination of unnecessary expenditures
IN order that we can continue giving
people jobs, rather than bringing
a hoyIf oy,ofIo~ yTrT3A