Evening star. [volume] (Washington, D.C.) 1854-1972, 1954-02-10
Fiscal Group
Resumes D. C..
Study. Today
Commissioners
Silent After Session
On Works Program

today between the Commissioner
and the House-Senate District
fiscal subcommittee to decide on
a tax increase program to
finance public works improve
ments in the near future.
The first such top-level
executive conference lasted
longer than two hours yester-
day afternoon. The Commits
sioners remained silent when
confronted by reporters after
ward. except that one charac-
terized the meeting as purely a
work session"
Subcommittee members were
nearly as reticent. But Repre-
sentative O'Hara. Republican. of
Minnesota. who is subcommittee
chairman, made one laughing
observation that could have been
significant in connection with
the specific taxes due for an
increase.
III tell you there is one COM
mittee member who feels that
he doesn't want to pick on just
few people," Mr.. O'Hara said.
HE told me that he wants
everybody to be mad at him"
Disbursements Remain.
The Minnesotan added that
there are still some disagree
ments in some degree between
the Commissioners and subcom-
mittee members" But, he said,
II think we are reaching the
periphery of the area Of agree
ment."
At the start yesterday Mr..
O'Hara said, the conference was
general CONSERVATION and con-
fusion"
I'VE started out all disturbed.
but ended up with feeling that
we will arrive at something" he
predicted. adding that he feels
the House and Senate fiscal sub
committees will reach "substan-
tial agreement as to what
should be done"
Chairman Case of the Senate
District Committee was asked if
any tentative agreements had
been reached.
Yes" the South Dakota Re-
publican said, I'VE tentatively
agreed that we didn't agree on
anything" He said, however. he
had asked the Commissioners for
more figures. These will prob
ably be submitted this afternoon.
Agree Program Is Needed.
Representative O'Hara unbent
to the extent of indicating that
subcommittee members have
generally agreed" that a pro-
gram of capital Improvements
for the District is needed and
necessary" and that the Federal
payment to the city should be in
creased.
He declined to say. however.
whether this statement meant
that the subcommittee was sold
on the $305 million-or any par
ticular size-program, or just
how much the Federal payment
should be increased.
In response to questions on
whether the discussion conferred
on Federal payment. taxes or
Federal loans-Slll million IN
loans is included in tha Com
missionerS' propose s-Mr.
O'Hara declared I'VE discussed
/ everything in the book. inside
and outside the works bill that
| the Commissioners submitted"
Concerned Over Deficit.
The subcommittee has ex-
pressed concern from the very
outset Of public hearings over
how the city will be able to meet
a $102 million potential deficit
over the projected 10-year Pc
riod of the proposed works pro-
gram. Mr.. O'Hara mentioned
that this was a topic of dis
/ cussion yesterday.
This led to speculation on the
amount of tax increases that
subcommittee members feel will
be needed above the $40 million
tax program proposed by the
city fathers. .
Nearly SIS million of the Com
missioners' tax increase propo-
sal would come from such mis-
cellaneous sources, such as alco-
holic beverages. cigarettes. gaso-
line, insurance premiums and
income taxes. Considerable OPP
position to these has sprung up
among subcommittee members
and the private industry affected.
Consequently, the subcommittee
has shown interest in broaden
ing the sales tax and increasing
the real estate levy among other
taxes that would have a more
general effect.
Citizens Set to Testify.
While the subcommittee was
in session yesterday. a special
citizens committee studying tax
increases stood by to testify on
its own tax increase program.
The committee, headed by Joseph
A. Kaufman, lawyer and presi-
dent of the Federation of Citi-
Zens' Associations. supports a
program that would not hit such
"breadbasket" taxes as the sales
and real estate levies.
Representative O'Hara said it
appears unlikely the Subcommit-
will summon the citizens group.
since the Commissioners already
have reported on the citizens
suggestions. These include the
increases on income, transient
hotel rooms. banks and building
and loan associations, corporated
and unincorporated businesses.
| The Citizens Committee, which
was not fully represented yester-
day, also considered requesting
the Presidents Board of Eco
| n0n1ic Advisers for a renOrt on