Evening star., 1949-03-25

Passage of DC.
Tax Bill Monday
Support Promised
For Revised Sales Levy,
Realty Increase
By Don S. Warren

Fiscal leaders of the House Dis
trict Committee today voiced the
belief that the House will pass the
$18,000.000 city tax bill next Mon
day, when it makes a second at
tempt to solve the Districts money
problems
They were encouraged by the
l5-to-5 vote by which the COM
mittee approved the new bill, call
ing for a somewhat revised per
cent sales levy. a 15-cent boost in
the realty tax rate. a 50 per cent
boost in fees for liquar licenses
and a revised personal income tax.
They found encouragement also
in promises of active support from
the House leadership and in the
consideration given the serious
plight facing the city.
Smith Expects Passage.
Representatives Smith, Demo-
crat, of Virginia and Bates, Re-
publican. of Massachusetts, the
chairman and ranking minority
member of the Fiscal Subcommit-
tee, said they believed the House
this time will pass the bill and
send it to the Senate.
The original sales tax measure
was. defeated by the narrow vote
of l76 to l66 last week after the
House, by a two-to-one vote. also
rejected a substitute plan for .
broadened income tax with
doubled rates.
President Truman, meanwhile,
defined to pass Judgment on the
emergency proposal of Senator
McGrath, Democrat. of Rhode
Island, chairman of the Senate
District Committe. Senator Nc
Grath would have the Govern
ment give the city an additional
$18,600,000 next year to offset the
impending deficit.
Not Conversant With Plan.
The President recalled at his
news conference yesterday that
he once was a member Of the
Senate District Committee. but
he added that he was not
sufficiently conversant with the
McGrath plan to pass Judgment
on it.
The McGrath proposal to jump
the Federal payment from $l2.-
100000 to $30,600.000 next year
was offered after the House failed
to enact citysrevenue bill. Since
then, however, with a revised
city revenue blll on Its way, both
the House md Sehate District
Committees are withholding &C
ton on the McGrath and other
proposals for a higher Federal
payment.
Six sales tax opponents in the
House Committee Zone was not
present at yesterdays voting)
plan to repeat their, fight on the
House floor. They are seeking
broad income levy with doubled
rates. with only a $1,000 basic
exemption. coupled with raise in
the real estate tax rate to $2.25.
AS an alternative, they propose
an extra realty tax load of S.
10000 instead of the $2,400. 900
proposed by the committee ma
jority.
Regrets Recommendations.
On the latter point. Mr.. Bates
said he regretted to recommend
even the 15-cent realty tax rise
for the reason that this. on top
of the realty tax rate increase two
years ago from SITS to 81, along
with boosted assessments, would
mean a total increase of 47.4 per
cent in the realty tax bill paid
by a home owner.
The pay raise for District police.
firemen and teachers now has
been sent to the House calendar.
but it still is tied to the provision
of sufficient revenues. House Dis
trict Chairman Mcmillan said he
did not plan to call up the pay
raise bill until after the tax meas
ure was adopted.
Raises for city classified workers
are provided in a bill before the
House Civil Service Committee.