Evening star. [volume] (Washington, D.C.) 1854-1972, 1956-01-06

Soldiers and Sailors $4,000
6. The District is unique in
being subject to Federal legisla-
ton that adds considerably to-
the cost of maintaining the city
For instance, under Public Law
648. 18th Congress, as amended.
the District is required to share
the cost of Federal grants for
the construction Of a hospital
center and other hospitals. The
potential liability for these pur-
poses is SITS million.
Z. Because OF Federal expan-
sion in the area. Washington
is now completely encircled by q
thickly settled area that is more
populous than the city itself.
and which requires the con-
struction of expensive arterial
highways to enable suburban
populations to move to and from
the city. The fact that two riv-
ers have to be crossed by much
of this traffic requires the con-
|struction Of very costly bridges.
Must Serve Outsiders
The District, as do many mu-
inequalities, renders many sery-
ices to commuters. Cities such
as Philadelphia and St. Louis
have solved this problem by the
imposition of an earnings tax. It
has been suggested that the Dis
trict levy such tax to partially
compensate for such services.
This proposal is meeting strong
protest by the neighboring COM
munities. However. furnishing
services to commuters does i'm
pose an additional burden on the
taxpayers of the District that is
increasingly difficult to finance.
Because of the fact that so
many people are able to reside
here and legally avoid some of
our taxes, District residents who
are subject to full taxation carry
a disproportionate share Of the
tax burden. This tax burden is
now being materially increased,
which does not appear to pe
JUSTIFIED by the trend In incomes
in the District as compared with
its suburbs.
These conditions, generally
peculiar to the District of CO.
lumbia. make it quite apparent
that extensive Federal participa-
ton is needed and justified in
the financial affairs of the Dis
trict, and in fact indicate that
the Organic Act of Congress
creating the city showed a keen
perception of the future when it
contemplated financing the costs
Iof the city on a $3.50 basis.
The years that the $3.50 rela-
tionship has been in disuse, that
Is. since 1920, are principally the
years during which so much OF
the city has fallen into disre-
pair and decay and municipal
services and facilities have
Jagged behind the needs. Such
needs are much greater for a
city that is required to strive
toward being a model and is
constructed along beautiful, but
costly, monumental lines.
At this time when the city
again needs additional revenues,
we believe 1t to be only equitable
that the Federal Government
again recognize its obligation to
Its Federal City by providing a
more equitable share of the in
creased costs of running the city.
Brief Historical Background
OF Federal Payment
The Organic Act for the Com
mission form of District Govern
ment was approved June II,
1878 GO Stat. 102, CHI. 1907. Sec
ton 3 Of that Act provided the
method for transmitting the
estimates of the city government
to the Congress and as to Federal
participation provided as fol-
lows: a..
ITO the extent to which Con-
gress shall approve of said esti-
mates. Congress shall appropriate
the amount of SO per centum
thereof; and the remaining SO
per centum of such approved es-
Inmates shall be levied and
assessed upon the taxable pro-
lperty and privileges In said Dis
ltrict other than the property of
the United States and of the
District of Columbia"
From 1879 to 1924. we were on
the $3.50 basis-this system be-
ling established as indicated by
the Act approved June II, 1878.