Evening star., 1949-04-15
Tax Rise 10 Build
Schools Backed
In Montgomery
Trode Boord Chiefs
In Silver Spring OK
Increase Up TO l0e

In Silver Spring OK
Increase Up TO l0e
RaekEns te; . tax trseswasr 'er
school construction purposes ~As
received to-day at the Ment-
gpsnery County Ceanetl frv<n al
reetors O, The Silver sgssng Board
Of Trade.
Tae business organization &asd
II would support an laefwAsr ap
to 10 cents per siea valuation.
prov hsed the Council eannei ma
IN other sources enough n1cnfy
TO dctray the cost at debt @rNtee
On new eorfowing
Al the same time the BOARD ef
Trade usged the Council TO cut
the suburban AREA tax rate ey at
least 10 cents The present rate
for suburban services Is 30 cents
per 500
Informed sources Saad there is
4 good chance that the suburban
levy will be reduced. How mitch
the general county tax viii have
10 be raised 10 cover the school
building program vii not es
known until thr Council receives
another report from the board
Of Education.
Programs Siss Not SET
The Beard OF Education has not
yet indicated how large q building
prog IL can handle within the
next fiscal year
A tentative fieure OF s. 600 600
was suggested Some county ON
eials doubt. however. that ths
school board could ass that much
within Ia months.
II Stanley Stine. board chair
man said today he believed the
schools could handle o. 900 900
without diffieulty but that hs
would not know for sure until con-
ferrine this week end with other
officials OF the education syStera.
During the current fiScal year.
the board committed 5000 600
for construction A year awo the
flgure was $4,000 900.
Use Of Credit reoi Urged.
The Board OF Trade recon-
mended that the county avail
itself of q 81 $50 900 grant author
ixed by the General Assembly.
This course would require the
council 10 put up an additional
So. .75o. 900 for school construction.
sThe board urged the council 10
borrow this sum from the new
State credit pool rather than BY
issuing bonds. II borrowed from
the 6sAte fund. The loan would BE-
retkred IA iksy3arx n ohtained
~ I bond issue. the dehs would b
raid On In 10 years. TukAl inter-
eat payments would be almost tho
0uae.
This procedure would siss the
county snore than 1900. 900 for
school construction.
The trade board said II ~ns
mot fully convinced" that the
debt service on s3.7so, 900 could
not be paid for out Of the couaty'a
regular revenues. II pointed out
tlaai an increase In the assesaabis
base this year will produce an
additional 81 900 900,
More Data Asked.
Additional appropriations stli
undoubtedly be needed In ths
county budget TO pay the salaries
OF new school teachers and police
men, 10 meet bond riaturities re-
CURED by the charter and 10 set
I'D administrative departments
that are provided in the charter"
the board said.
SNENEs 3tNsGHA AAf8 AszA7sS -
Trade In no, fully convinced that
the cost of debt service on t3.7bo.-
900 I'm new bonds could not also b
Included In tlae 81 .0oo. 900 Of new
revenue. Further information from
ofiieial sources would be appse-
ciated."
With respect TO the suburban
area tax, the trade organization
observed that m amendment 70
the sherbow Law has included the
Silver Spring Bethesda section Of
MONTGOMERY in redistribution OF
State collected taxes. yielding an
estimated siso,o0o in the silver
Spring area alone,
A resolution said AREA outlays
for road repairs. street lights and
other services amounted 70 sie2.-
900 this year.