Evening star., 1949-12-10
Budget Hearing
Set for Dec. II
In Alexandria
10 Pct. Utility Tax,
Higher Real Estate
Assessments Planned

Assessments Planned
The Alexandria City Council
will hold public hearing De-
cember 81 on a proposed record
city budget of $4.468,112 for 1850.
1t is planned to meet the higher
expenditures by adding 10 per
cent tax on utility bills and in
creasing real estate assessments.
The budget is the first one
prepared by City Manager w. Guy
Ancell since coming to Alexan-
dria in September. He announced
the figures yesteday after the
City Council set the public hear
ing for 7:30 pm. December 27 in
the council chamber.
The new fiscal plan represents
an increase of about $531 900 over
the original figure of $3,936,624
for 1949. Revenues for the current
year, however, failed to reach that
amount and it is estimated they
will bring in only $3,568,162 be-
fore the end of the year. Neces-
sary cutbacks have been made
this year to meet the reduced in
come. The 1850 budget. therefore,
many exceed the actual budget
for 1949 by approximately $780,
900.
Major Items in Budget.
Major items in the new budget
are $202,312 for capital improve
ments not included in last years
budget; $751; ,701 for debt service
compared with $448,356 for the
same purpose in 1949, and $1,102,-
1924 increase over this year.
Al per cent increase would raise
the police department budget by
approximately $4,000 over the
current year, and the fire depart
ment budget by approximately
$21.000
The s2O2,312 that Mr.. Ancell
proposes for capital improvements
has not been included in most
previous city budgets and money
for this purpose previously has
been raised chiefly with bond is-
sues. The sum proposed includes
$4,000 for new dog pound;
$4,000 for a swimming pool for
Negroes; $4,000 for improvement
of the white swimming pool and
$25, 900 for improvements at the
municipal stadium.
General increases in teacher
salaries and employment of more
teachers for classrooms added this
year account for most of the
higher cost Of school operation.
Mr.. Ancell said. The large increase
in debt service is due to $5,000,-
900 bond issue sold last year for
new schools. street construction
and other improvements. 30 4a-
Purchasing Department.
Provision would be made in the
budget for purchasing DEPART
ment which also was proposed in
last years budget but was never
organized. e..
In some cases Mr.. Ancell pro-
poses lower expenditures for the
coming year. The engineering
department would be about ST.
900 less. street lighting, several
thousand dollars less; the Alexan-
dria Library, $4,000 less; and mis-
cellaneous administration about
$4,000 less.
Mr.. Ancell said the 10 per cent
utilities tax Is used elsewhere in
| Virginia. He estimates it would
bring in about $500,000 a year.
The tax has been included in the
city's proposed new charter which
is to be made public soon. It
will have to be approved by the
General Assembly.
Although there is no proposal to
increase the real estate tax rate
of $2.75 per 500 of assessed val
uation, Mr.. Ance1l said a general
reassessment should be complete
by January l which would in
crease the city's real estate tax
base to $69, 9,736,794. The present
base is about $4,000, 1000. The
higher assessment plus assess
ments on new construction should
raise real estate tax collections
to $1,917,762 over the Estimated
income from that source Of ST.
662,5 SAT for the current year. said
Mr.. Ancell.
The city manager also proposes
to restore a manufacturer license
of Is cents per 500 of gross re-
ceipts. estimated to bring in about
$50, 900, This tax was proposed
by the City Council last year. but
was dropped after local manu-
facturers protested.
- Il ~