Evening star., 1953-08-02
Senate Heariinq
ForWorksBiII
Seen in Fall
1891 Million Program
Offered in House
BY Choirmon Simpson

The Districts new public works
bill may have its first Congress
Sional hearing in company with
other city finance measures in
fiscal subcommittee hearings
which Chairman Case of the Sen
ate District Committee plans this
fall.
The 1891 10000, eight-year
Improvement program was in
troduced in the House yesterday
by Chairman Simpson of the
House District Committee.
But Mr.. Simpson held out
little hope for hearings on the
House side before January.
Case Writes Commissioners.
Mr.. Simpson has said he would
have no objection to joint hear
ings On the measure. move
which undoubtedly would be well
coined by the Commissioners
Senator Case, however. was un-
willing to commit himself now to
Joint hearings.
Besides his fiscal Subcommit-
tee hearings, he is expected to
be kept busy with his duties with
the Senate Armed Services and
Public Works Committees.
He told the Commissioners in
a letter yesterday of his desire
to work with them in develop
ing a satisfactory solution OF
the Districts public works prob
lem.
He assured them that the pub
lie works proposals would be
taken up at the time of the fall
hearings before the fiscal sub
committee, of which he is chair
man, on the bill to repeal the
non-businesS personal property
tax and other pending fiscal
measures.
Works Bill Revised.
The city heads had sent SEN
ator Case copies of the public
works measure transmitted to
Mr.. Simpson.
The bill has been revised since
its first submission last May to
incorporate changes including
removal of the interest-free loan
provisions. It was submitted to
the House for initial conSidera-
ton because of its revenue fea-
lures.
The Commissioners pointed out
that additional suggestions in
cluding a number made by the
Federal Bureau of the Budget
are being considered.
Rise in U. S. Payment.
One of the Budget Bureau
suggestions-that the Federal
payment to the District should
be around $40 million a year
yesterday was hailed by a
Senate champion of a higher
Federal share in the Districts
costs.
! Senator Johnston, Democrat,
of South Carolina, indicated he
didn't think $40 million was 60
ing too far. although the present
statutory ceiling is $12 million.
Nobody who knows anything
about fiscal relations could say
it's too much" he said. Most
people would say it's too little;
$25 million would be nearer what
is needed"
The Commissioners financing
plan calls for $98,262 500 from
District revenues, $109,581. 900
in Federal grants, and $123,-
974,500 in Federal loans.
One thing the Budget Bureau
suggested was 10 per cent cut
in the projects, except for water
and sanitary sewer programs,
and their extension over a To-
year period. That would bring
the total money down to about
$305 million.
The Budget Bureau suggests
that the 1854 million water and
sanitary sewer programs be A.
nanced by $40 million from
revenues and $14.4 in Federal
loans.
$3.50 Program Urged.
For the reduced $242 million
of other construction, which it
recommends, the bureau sees $40
million coming from gasoline
tax and other tax receipts in the
Highway Fund over the 10 years.
1t does not object" to $50 mil
lion in loans
The rest, it suggests, could
come from equal amounts of
revenue from increased District
tax rates, matched by part of
the $50 million increased Fed
eral contributions over the 10
year period.
Senator Case has suggested
$3.50 financing program by the
District and Federal Govern
ments.
The Commissioners will have
their work cut out for them,
possibly for the next month, in
making a complete analysis of
the program with the suggested
changes and the newly
interest provisions.
The city heads also have the
problem of facing a deficit in
the general fund as they start
to work on the estimates for the
fiscal 1855 budget. These eSti-
mates were due from the depart
ments by tomorrow. but extern
sions of time granted probably
will delay their receipt until
about mid-August.