Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-06-16
Renewed Battle Is Seen Developing
Over Selection Of SibIeyHospitoI Site

Federal tract, however. more de-
sirable than the Authorized site
on the campus. which. for one
thing is i've acres smaller.
Construction of the hospital is
part of a grant-in-aid program
under which half the cost is paid
by the hospital and the balance
by matching funds from the
Federal Government. The Dis
trict will repay the United States
at the rate of 3 per cent a year
for half the Federal contribution
under the hospital program.
District Court Judge James r
Kirkland, owner Of a home al
1926 Loughboro road NV. cir
culated a notice Of the hearing
lin the neighborhood urging op-
position to the Dirksen bill and
stating the project "envisions
heavy traffic congestion. noise
and lowered property values"
Hospital Airs Views
i Hospital authorities. mean.
while, released yesterday Q
statement Of their position IA
voring the move.
| DR.. John NJ. Orem, the hos
pital president. and Thomas NJ
IRaysor, general counsel, said the
bill provides for exchange of the
Loughboro road and Hahnemanr
properties at their market values
with credits in grant to the ap'
propriate side for the amount
by which the value Of one prop.
erty exceeds the other.
The bill also provides for thu
dissolution Of Hahnemann ant
, the merger of Sibley and Hahne'
mann, and for the waiver anc
, transfer Of the Hahnemann lieI
Of approximately $4,000 II
, Sibley against the new site.
The hospital officials say tn,
transferred lien would be merged
|. with the Government lien re
sulting from the advance o
. grant-in-aid matching funds b,
! the United States. The new liei
would be subordinated to a frs
, lien Of the financial institution
which advances the construction
loan of approximately $3.50. 00
for erection of the new hospital
"Fair Value" Questioned
Speaking for the opposition
: however. District Court Judg
Kirkland says there is no stand
ard set as to what constitutes
fair value" on the Federally
owned property.
At the present prevailing com
, mercial rate Of So a square foot
| the value Of the IL acres woul,
be $l,045. 440. he notes. Acreag
recently has been sold in tn
neighborhood ct IS a squar
r foot. and at that rate. the prop
} erty would be worth $2.613,60t
: he adds.
In exchange. he continues. tn
bill proposes the United State
give up a lien OF more thai
100000 on the Hahnemani
Hospital, containing IS bed
with 40 in current use. and &C
cupying 1902 acres In an old an
commercial neighborhood.
According to his figures, a
prevailing local rates Of 81 pc
square foot, the land would b
worth approximately $44.191
The Hahnemann building now
assessed by the District govern
ment at $144,000 and the Ian
at $42,387.
Possible Revenue Loss Seen
Judge Kirkland further note
language in the bill which pro
vides that the General Service
Administrator may in his dis
erection waive such a lien unde
certain circumstances.
American University" h
says, has gratuitously given i.
site and is ready for construc
ton. An effort is now bein
made TO deprive the citizens an,
the Government Of the Unite,
States Of valuable public Ian,
and the loss Of possible futur
revenue.
1T is not in the public in
tcrest for the sponsors Of thi
bill to forego a gratuitous aft o
a great university and ask tn
Federal Government to forgiv
a debt Of 500. 900 and to give u
public land worth more thai
S25 million for land Of littl
Iva he for which the Fedora