Evening star., 1952-01-16
Study indicates !;
Tax Rise Needed
In Montgomery
But Group Sees Hope
Of Finding Other
Revenue Sources

Revenue Sources
Montgomery County may have
to increase its basic $2.03 tax rate
to meet the rising costs Of the
services its gives its residents and
pay of the growing county debt.
This was the opinion Of the
County Councils Financial Ad-
visory Committee. as voiced in q
letter received by the county heads
yesterday.
The committee offered a ray Of
hope for the harassed taxpayer.
however. by pointing out that the
extent of any tax rise would de.
pend on the possibility Of devel.
oping additional sources Of rev.
enue. such as contributions In lieu
OF taxes on Federal Governments
properties In the county.
Zone Amendment Sought.
In other business, the council
decided to seek coming ordinance
amendment. which would permit
to maintain offices In
Residential A area, providing they
obtain the approval of the Board
OF Zoning Appeals. A hearing
will be held at 8 pm. February
28. in the Rockville Courthouse.
At present. doctors are allowed
to have offices in a Residential A
zone only If they also live there.
More than a dozen physicians
in Silver Spring and Bethesda
were ordered by the Department
Of Inspection and Licenses to va.
cate their offices last Spring ON
the ground they were violating
the coming ordinance. But the
council held up enforcement Of
the order pending action to change
the ordinance. ....4
The financial advisory commit
tee, headed by Charles Dearing,
a fiscal expert for the Brookings
Institution, was appointed last
September to explore the county's
financial requirements.
Other members are Wilfred L.
Goodwin. jr., an investment
banker: Frederic P. Lee, an at
|torney and former council presi-
dent; Fred L. Lutes, president Of
the Suburban Trust Co.. and Her
bert Hyatt. cashier Of the Bank
LOT Damascus.
Bonded Debt Limited.
In the letter, the group saw no
necessity for considering any
changes in the charter provision
which limits the county's bonded
debt to 10 per cent of its assessable
lbase.
The county's bonded indebted
ness now totals S35 million, or
about 8l2 per cent of its SALT
million aSsessable base. ~.
Finance Director Alex X. Han
cock said the county could issue
between $6 million and 81 million
in additional bonds and still be
within its 10 per cent limit.
Moreover, he added, perhaps as
much as $50 million will be added
to the assessable base in the form
1of new construction and reassess-,
ment Of existing properties by the
end of the current fiscal year on
June 80. This. he explained, would
permit the county to issue an
additional S. million in bonds.
Federal Property Listed.
He estimated that the Federal
Government owns about $3.50 mil
lion worth Of property in the
county, on which Montgomery
gets no return. Among Govern
ment-owned projects are the Ma
tional Institutes of Health, Naval
Medical Center, Naval Ordnance
Laboratory and the David Taylor
Model Basin at Carderock.
The county heads approved q
lease with the Commercial Prop
critics Co., Inc. to operate a health
center at 1924 Viers Mill road at
$3.50 a month.
They also announced that dog
tags for the 1923 fiscal year will
go on sale March at the De-
partment Of Inspection and Ii.
censes in the Stern Building,
Rockville; the county buildings in
Silver Spring and Bethesda, the
animal shelter on East-West
highway and the Takoma Park
city offices. Current dog tags ex-
lpire June 80.
l