Evening star., 1947-10-07
D. +. Sales Levy,
No Income Tax
Urged by Fowler
Report Fuvors Turning
New Armoy Over
To Government
By NewboId Moves, Jr.

By Newbold Noyes, Jr.
To pay its own way in the next
fiscal year, the District should
inaugurate a sales tax and re-
peal it's present personal income
tax. Budget Officer Walter L.
Fowler declared today.
In his annual report on anticipate
ed revenues, the budget officer rec
commended also to the Commission
ers that support of the District Ma
tional Guard and maintenance of its
new Armory Building be turned over
i'll its entirety to the Federal Gov
ernment.
Mr.. Fowler hit out strongly at sug-
gestions that the District should
borrow money to finance new con-
struction projects in the sl43,8 1886, ,908
budget requested by department
heaos.
Calls for Expense Sharing.
There are many thousands Of
individuals here enjoying all the
benefits of costly municipal services
who are exempt from directly shar-
| ing in those COSTS Mr.. Fowler said,
adding:
I'VE are definitely opposed to
borrowing until every individual en-
joying the benefit of municipal
services has had the opportunity
of sharing in the expenses"
Mr.. Fowler said the estimated
revenue chargeable to the Districts
general fund for 1949-$79, 1852 SIS
is s4o, ,224,275 short of the total budget
recommendation of department
heads. 1t would not even meet the
local governments estimated oper-
ating expenses for 1949, falling short
by s3,642, 1886. Mr. Fowler added
| Actually, the report indicated the
District would have 1882, 2,297 less
to spend next year than it is spend
ing this year, assuming the present
tax structure remains constant.
Must Projects Listed.
Nevertheless, Mr.. Fowler listed
$l0,409,554 worth of new projects
which he considered must" items
IN next year puQget.
The report showed the effect on
| District finances of Nation wide
price and wage increases.
1--WE had hoped that prices would
have become stabilized by this time"
Mr.. Fowler said. You have heard
the evidence from witnesses rela-
tive to increases all along the line
beginning with food and ending
with Freedmens Hospitals $3.50
per day for INDECENT patients.
But" Mr. Fowler continued,
even this was not quite as shocking
as the evidence which disclosed that
a cast iron lamp post shaft in Mo-
vember, 1914, cost S29.42-against
tooay's figure of $40"
Warns of Labor Trouble.
The budget officer warned Of
trouble on the municipal labor front.
He said District employees fare well
on the whole, but added:
There will in all probability be
a drive for an immediate cost of
living salary increase instituted by
powerful organized national groups.
Should this be successful for Fed
eral employees District Govern
ment will be affected in like man.
ner. Furthermore, move to insti-
tute 35-hour, five-day week is
being proposed"
| Mr.. Fowler did not say in so
many words that he recommended
/ the sales tax, but the context made
it clear the money needed could not
come from any other source
"A sales tax for the District must
again be considered, and with it
the repeal of our inequitable per-
sonal income tax he said
Says Finances Would Be Sound.
He suggested that the income tax
should not be repealed until one
year after approval of the sales tax.
If this we're done, I believe we
would be in sound financial condi-
tion and could make considerable
progress with our capital improve
ment plan," Mr.. Fowler added.
Referring to the National Guard,
the budget officer said it was "a
splendid organization" but added it
was wholly an adjunct of the re-
serve strength of the United States
Government, purely Federal in all
it's characteristics"
Mr.. Fowler pointed out the
Guards Armory at Nineteenth and
B streets Sc cost District taxpay-
ers 50 600 900 to build. Furthermore,
he said, maintenance of this build
ing. while "a very stable sum-" is
only a small part of what the
Guard costs the District each year.
I'VE had hoped that the Armory
would have been adaptable for pur-
poses which might have produced
considerable revenue, but these
See BUDGET, Page A-6)