Evening star. [volume] (Washington, D.C.) 1854-1972, 1956-04-22
House Group
Questions GSA
Financing Plan
BY GEORGE BEvERIDGE

y
eral Service Administration A.
nancing proposals for a number
of NEUTRALITY-SUSPICIOUS. Federal
building projects il Washington.
Representative Jones. Demo-
crat of Alabama, said he wanted
his Public Works subcommittee
to take a closer look at GSA's
decision to finance several of the
Capitals biggest building pro-
jects through the Federal lease
purchase law.
Mr.. Jones. critical Of the slow
ness of lease-purchase projects
throughout the country, said he
thought it might be wiser-and
cheaper-to finance some of the
building projects in Washington
through direct appropriations
from Congress.
Government Leases Space
Under lease-purchaSe, the
Government leases space in
buildings put up by private in
vestors for a specified number of
years. after which title to the
property vests in the Govern
ment. Such projects must be
approved by the House and Sem
ate Public Works Committees
before GSA can contract with
private investors for their con-
struction.
Washington projects pending
before Mr.. Jones subcommittee
under the lease-purchase formu-
la include:
Two new general purpose"
Federal Office buildings for
southwest Washington. One
would cost an estimated $20.2
million and house $500 en-
ployeS. The other would cost
about S16.3 million, and house
$500 workers.
A S22.2 million building for the
United States Geological Survey,
probably to be located in sub
urban Maryland.
In addition. GSA expects to
send the Jones subcommittee
within the next few weeks a
5000 million project to house
the Weather Bureau and the
Coast and Geodetic Survey, also
to be located in the Washington
suburbs.
Project Faces Senate Group
Another lease-purchase prof.
ect, a new 1913 million Civil Serv-
ice Commission building for
downtown Washington. was
cleared by the House Public
Works Committee last July and
is now pending before the
Senate committee.
Mr.. Jones stressed that he has
not decided to oppose any spe-
cif1c project, but wasn't certain
how far the lease-purchase APP
proach should be applied to
the Nations Capital. He noted
that number of other current
Federal projects here are to be
financed through direct appro-
MISUNDERSTANDING new build
ings for the Atomic Energy Com
mission, Central Intelligence
Agency. State Department and
Smithsonian Institution.
Lease-purchase. he said. would
add "a minimum of 2 per cent"
to the cost of buildings financed
through direct appropriation be-
cause of interest payments. In
addition, he said. the general
character of Washington'S mon
umental Government buildings
involve a number Of special de-
sign and architectural controls.
At the same time, Mr.. Jones
said he is going to hold up action
on all the projects until GSA
gives his subcommittee a long
awaited report on all the Capt.
tails Federal building needs.
Report Ordered Year Ago
The subcommittee, irritated at
GSA's "piece-meal" approach to
Federal building in Washington.
ordered such a report year ago.
Why the report hasn't yet gone
to Capitol Hill apparently is the
result of miX-up
GSA announced four months
ago that it had completed the
extensive report and said it was
ready for submission. A House
Public Works Committee official
also said the committee received
a copy of March ! letter from
GSA to Mr.. Jones. stating the
report is complete.
Mr.. Jones. however, said he
had no record of any letter and
that he has not been contacted
personally by any GSA official.
The report, in line with the
subcommittee order, proposes a
lO-year program for the orderly
construction of all the Govern
ment's permanent housing needs
in Washington and-concur-
rently the demolition OF Wash
ington'S eyesore tempos.