Evening star. [volume] (Washington, D.C.) 1854-1972, 1956-01-04
Leaders Start
Par|eysonD.C.
Financial Crisis
Transit Problems
Also Discussed by
Spencer, Mcmillan
BY HAROLD B. ROGERS

By HAROLD B. ROGERS
Congressional leaders are of
to an early start to meet the Dis
Itrict's pressing financial predica-I
Iment.
! House District Committee
Chairman Mcmillan met with
Commissions Samuel Spencer
today. mostly to talk about
transit problems. But, tax mat
tiers also were discussed. Mr..
MsMillan said he hopes to parti-
Icipate in the joint fiscal hearings
on a new District tax bill, sched-I
uled next Wednesday.
| He added he favored inviting
other members of his committee
to sit in an any or all of the tax
hearings if they so desired.
| informal Meeting Friday
The 25-member House District
Committee has been called into
an informal session at IL am.
Friday to talk over the city's
fiscal problems. 1t hopes to have
some definite reports available
for consideration
| This session was called by
! Mr.. Mcmillan so members can
get some advance understanding
/ of the troubles confronting the
city before joint House-Senate
public hearings near Wednesday.
Such action by District lead
ers early in the new session Of
Congress has been set up. ac-
cording to Representative Smith.
Democrat of Virginia. SO local
legislation can get under way
before Congress gets involved in
the big flood of legislative bust
ness.
Realizing the vital need of
the District to meet its A.
nancial obligations. Representa-
tive Smith said he hopes the two
forthcoming meetings can be Of
service to the District. He would
make no comment on the merits
of the District Commissioners
proposals for meeting their OBJ
| legations this fiscal year or next.
The specific proposals by the
commissioners for increased city
revenue now are before the
Budget Bureau. If that agency
completes consideration of the
program in time, the documents
may reach the House District
COMMITTEE in time to be avail
liable for the Friday morning ses-
sion.
The Budget Bureau was re-
ported today to have made no
objections to making public the
proposals by the city heads.
One of these proposals is a
request to Congress to restore
the 50 million cut from the
Federal payment for this fiscal
year. Such cut sliced the $50
Million payment authorized by
prior law to $l8 million.
Actually tine Commissioners
proposed that Congress be asked
to increase the total Federal pay
ment to $22 million for the fiscal
year beginning July /. 1t was
understood today that the
bureau has taken no position
on this.
Additional Taxes Sought
/ To help meet the total District
budget. now estimated to total
about $3.50 million for the next
fiscal year, Congress will be
asked also to levy $40 million
in additional taxes on city
residents.
| Such a tax program calls for
increases in personal income
taxes, real estate levies, liquor,
wine and beer taxes and others.
There would be an increased
sales tax on restaurant meals
and imposition of a per cent
levy on entertainment admis-
sions.
The joint House Senate public
hearings. beginning at 1920
am. next Wednesday will be
conducted by the fiscal subcom-
mittees Of both House and
Senate District Committees.
They are headed by Representa-
tive Smith. and Senator Bible,
Democrat Of Nevada.