Evening star., 1947-05-18
Hear rings Called
On U. ZEE for
lJntaxed Realty
District IS Included
Under Bill Systen'izing
Federal Payments

A House Public Lands subconn-
mittee will begin hearings MAY 1o
on q bill to systematize Federal
payments to State and local gov
ernmentS in lieu Of taxes for Federal
real estate holdings.
The measure is being sponsored
by Representative EngIe, Democrat
OF California, in behalf Of the Ma
.tional Association Of County Oni-
|cials and other groups representing
areas which have lost tax revenues
through the acquisition Of land BY
the Federal Government.
Representative Barrett, Republi-
can of wyoming, is chairman OF the
subcommittee which has called the
hearincs.
Commission Provided.
The bill would provide comnnis-
sion on Federal contributions to
States and local governments which
would hear claims of areas hurt by
Federal land ownership and would
have authority within the limits OF
the bill to make adjustments. The
District is included. Federal prop.
erty used for Office buildings, court
houses and postofices, however, are
exempted as a source Of payments.
A bill along the same general lines
but differing in details has been
introduced in the Senate by Senator
Butler, Republican OF Nebraska.
The District is not specifically In
cluded in this plan.
Between IS and so representatives
of the more than 5000 counties In
the country are expected to appear
in support Of the plan. Also in
terested are the Council OF State
Governments, the American Mll-
nicipal Association, the National
Education Association and the Ma
tional Institute Of Government Pur-
chasing Agents, it was said.
Local Governments Concerned.
Proponents OF the bill say they
are interested specifically in the
plight of local governments. They
point out Government land owner
ship in many cases has increased
property values and otherwise bene-
fited people around the federally
owned area. But they add that this
has not made up to the counties
and other units the loss of revenue
brought about by the withdrawal OF
the land from taxation. Property
is the mainstay Of county and city
| taxation generally.
Payments In lieu of taxes now are
made under approximately 40 diff
ferent provisions In acts. OF Con.
gress, 1t was said. Most OF these
aapply to. various Government cor
operations and include the Federal
Works Agency and the Department
Of Agriculture.
/ Before the war the problem was
said to have been most acute in the
western land counties where acre.
age was held by the Government in
forests or grazing land. During the
war, however, Uncle Sam extended
his holdings to other areas and
other types Of property, resulting in
i growing awareness on a national
basis Of the effect Of these holdings
on local tax structures.
Much Space Here Exempt.
In the District the Federal Coy.
ernment owns about 1900 Of the
total $1,000 acres. But much Of
! this would be exempt from the pro-
visions OF the bill because 1t Is used
for Office space.
In September, 1914. the Public
Lands Committee studying the prob
lem of taxation of public property
published tables on the Federal
ownership of land in the States. The
table showed "a per cent Of the Dis
trict in Federal hands, per cent
Of Virginia and 2 per cent Of Mary
land.