Evening star., 1951-06-18
0pens.Fiighi
ToGet U. 5. Fund
OF $12 Millions
Hill Subgroup Told
Deficit Impends if
$1.2 Million Is Cut
By Don S.-Worren

District officials today began a
determined fight to restore the
Federal payment to the full $12
million level, cut recently in the
House by 10 per cent.
In open hearings before the
Hill subcommittee of the Senate,
in charge of the city's 1852 sup
ply bill, they warned that the
District faces. a deficit in the
coming year if a budget of neces-
sary size is approved and if a
full Federal payment is lacking.
The House, overriding the rec
Iommendation of its Bates SUBJ
committee, reduced the Federal
payment to the general fund from
$11 million to $9.8 million. It
left the payment for the water
the District supplies to Federal
buildings at fiat 81 million, al
though the actual cost to the
Icity is estimated to be 5000, ,00C
more.
Warn Against Pay Boost,
In addition. District officials al
ready have warned that the Dis
Itrlct will be facing a bigger deficit
and higher taxes if Congress
grants a proposed pay raise to
government employees. Applied to
the Districts employees it is es-
Itimated this would add between
81 million and $6 million to the
Icity's costs.
Commissioner F. Joseph Dono-
hue reviewed the history of Fed
Ieral payments to show that while
the city had faced a tremendous
rise in costs, the size Of the Fed
eral payment has steadily dwin-
died until today under the action
of the House, the Federal share
would fall to 8.43 per cent of the
budget, the lowest percentage In
history.
IF this trend continues" Com
missioner Donohue declared, I'VE
ultimately will come to a time
when disaster will strike U.S."
Notes 1947 Payment.
Senator Hill, Democrat of Ala
bama, head of the Senate SUBJ
committee on the District bill
brought out that the Federal pay
Iment of $12 million, was stated
In the District Revenue Act OF
1947, when city taxes were boosted
He commented that because OF
inflated costs $12 million pay
ment in 1947 was worth consider.
ably more then than 1t is today
Commissioner Donohue, to dra-
Matte the fiscal relations prob
lem, said the record indicated thai
in the last 80 years the contri-
buttons made by the people of the
District toward the National Cap.
Iital costs (refering to the annua,
budgets) had increased by $11;
million, whereas in the same per.
iod the size of the Federal share
had increased by only $607 900.
Commissioner Donohue added;
"The Federal payment as recon-
mended by the House doesn't
amount to much more than the
amount the District Government
must pay the United States for
the care of the insane at st. Eliza
beths Hospital.
8 Millions Spent for Insane.
The charge to the District for
st. Elizabeths today amounts to
more than So million year. In
earlier testimony to the House
committee, the District contended
the number of the insane the city
must pay for was out of proper
tion for a city of this size. Be-
cause this is the National Capital
they explained, thousands of per-
sons with mental quirks are at
tracted to the city to plead their
causes and many remain, becom-
ing public charges.
The Districts new Engineer
Commissioner, Col. Bernard L
Robinson. and Budget Officer
Walter L. Fowler. both joined il
a plea for a Federal payment o.
Continued on Page A-9, Col. g.