Evening Star Newspaper, October 31, 1936, Page 31

- PROPERTY TAXES TOPIC AT SESSION Strategy for Obtaining Wider Base for Levies Is Dis- cussed. Addressing the Conference of Gov- ernmental Research Association at its recent meeting in Ann Arbor, Mich., one full day of which was given to discussion of the general property tax, Herbert D. Simpson, director of the Institute of Public Finance, North- western University, called the atten- tion of academic groups and tax- reform groups to the fact that if we are to get away fron the present ex= treme dependence on the general prop- erty tax, the character of the leader- ship and the tax strategy employed are of critical importance. He pointed out that “our tax sys- tems in this country, under various influences—sometimes accidental and sometimes ulterior—have evolved into a situation where theories of taxation and principles of constitutional law may both have to be subordinated to the realities of the situation,” and gave it as his conclusion that an ironclad overall limitation on the general prop- erty tax, established by constitutional | provision and accompanied by an equally effective debt limitation to pre- vent evasion, is the most effective strategy for obtaining a wider tax base. “One of the realities” (affecting the possibility of substantial change in the property tax), he said, “is the fact that in many States powerful groups who are so situated that they are able to escape any heavy share of the general property tax, but who would be subject to substantial income, in- heritance and other types of taxation, are sufficiently influential—financially and politically—to make any ghange from the present tax system practically impossible. * * * They are sufficiently powerful to block every proposal for genuine reform of the property tax and for the development of alternative forms of revenue. As a result of con- siderable contact with efforts in this field I have come—somewhat reluct- antly—to feel that rigid property tax limitation will prove to be the most effective dynamite for ‘cracking’ these strata of vested interests and of op- position to reform that have accumu- lated about our present tax system.” Fundamental Elements Cited. Simpson's address continued: “Discussing the future of the prop- erty tax is something like discussing the future of the Bunker Hill Monu- ment. And I say this not merely be- cause we have had the property tax for 150 years—that would not neces. sarily prove anything—but because of | two fundamental elements in our eco- nomic and political structure. A “The first is the unique position gregate of property values that have accumulated in this country, the ra- pidity with which this property has been accumulated, the freedom of transfer and tenure, and the wide dis- tribution of property ownership, prop- erty occupies in this country a posi- tion which it probably occupies in no other country in the world—certainly in no Old World country. “In this dominant position in our economic system property represents definite financial capacity, notwith- standing a popular tendency in recent years to argue that property is not a measure of taxpaying ability. It rep- resents financial capacity, if not for direct income, nevertheless for pur- poses of sale or lease, for purposes of borrowing, for commercial rating and financial status. For all business and financial purposes property represents financial capacity—and that is what We mean by taxpaying ability. *The second fundamental element 1s our characteristically local type of government in this country. Pre- sumably we all hope to make some progress toward the elimination of some of our superfluous local govern- ments. But for the present and for a long time to come we are likely to | continue to be governed by a multi- | plicity of local governments, whose limited jurisdiction makes it impos- sible for them to administer income, excise and more general forms of tax- ation and consequently limits them largely to the taxation of the tangible property located within their terri- torial jurisdictions. Occupies Unique Position. “Now, with property occupying the inique position it does in our economic system and with local jurisdictions occupying the dominant position they do in our governmental structure, it 1s not only perfectly natural—it would be utterly anomalous and inconsistent 1f property did not constitute a major element in all of our revenue systems— and it probably will continue to con- stitute such an element until we make some radical change in the institution of private property or evolve some more highly centralized type of gov- ernment than any we can now dis- cern. “This does not mean that there wilt be no substantial changes in the char- acter or amount of property taxation, A Modified Reproduction of George Washington’s Birthplace WAKEFIELD 1810 Sudbury Road in the Colonial Vil lage of Rock Creek P$ark Estates A true reproduction of beautiful, his- toric Wakefleld. modified & little, but still showing all the charm and dignity that is the symbol of Colonial archi- tecture. Gracefully situated on & com- manding knoll. the six large rooms offer & floor plan that will instantly please every woman. There are ran- dom width oak floors, two tiled baths, & two-car garage and a recreation room with a seated flagstone floor. You must see this besutiful home to fully appreciate its many unusual fea- tures. Open Daily & Sunday Till 9 P.M. DIRECTIONS: Entrance, north end of Beach Drive through the Park, or 18tk Street west at Kalmia Road. Owned and built by Mr. Arthur J. Dinger, whose intrinsic craftsman- ship has become a symbol of struc- tural fineness. < Investment Bldg. DL 6092 | rapidity with which changes are likely that property occuples in our eco- | character nomic system. In the enormous ag- | EAL ESTATE 3 2 but it does imply that such changes as take place must be largely the result of deliberate action on the part of groups definitely interested in bring- ing them about, rather than the result of any ‘automatic’ or unconscious forces of evolution. One may perhaps be inclined to feel that this is true of most changes, but, after all, there are large areas in which exactly the oppo- site is the case. Twenty years ago one could have predicted with great assur- ance—as many students and business organizations did predict—a revolu- tionary reconstruction of the highways of the country. Many of us will re- | member the innumerable ‘good roads’ associations and good roads move- | ments inaugurated at that time. Most of them were a waste of time, not be- cause of any failure to accomplish their objective, but because that ob- | jective was inevitable, whether with | or without their aid. It probably would have been just as inevitable if they had all'been formed to oppose good roads. It was a situation in which a revolutionary change in the mechanics of transportation was bound to force a corresponding change in the highways of transportation. “The property tax I place in the opposite category, the ecategory of things in which the inert forces of evolution—inert in the sense of the almost geological slowness with which they operate—are all set to maintain | the present status. While this does not preclude the possibility of change, it greatly limits the scope of probable change, and particularly limits the to take place. “In particular, it implies that| changes in the general property tax are going to depend chiefly upon the of the leadership and Gene Sipe, 7, and Norma Sadler, 7, of the 2-B grade of the Pierce School find reading a very enjoyable subject, especially when they are allowed to take it together. Gene is the son of Mr. and Mrs. Wilson Sipe of 1354 Emerson street northeast and Norma is the daughter of Mrs. M. S. Sadler of 1326 E street northeast. Monday: Elaine Bobbitt, daughter of Mr. and Mrs. P. B. Bobbitt, at the Pierce School. —Star Staff Photo. strategy displayed by those groups | engaged in deliberate efforts to bring | ageous in itself, but that was not about desirable changes. Now ‘tax |adapted to the actual resources avail- strategy’ consists chiefly of two pro- | able.” cesses: “1. Mobilizing all available £ sources. Room Color on Ceiling. “2, Adopting the strategy to thepar-| A variation from the usual way ticular resources upon which we have | of decorating is to have the walls to depend. done in & light neutral gray, then “It is in the second process that I “ " 1 i i:icH e W [Dhink €Hat facademtc | P e oouy coloxbion Ehe ioe e groups and conscientious reformers]A deep, rich color can be used for have sometimes made a mistake. It | enameling or carpeting the floor, and would be foolish for a nation whose | the woodwork and furniture can carry :;‘k"";?;l“;:;s are its 1‘*‘1“ “’“m"‘" the accent color. An attractive color ign on a naval encounter, o . o vice versa. And so T surmise that | Scheme: Ceiling, shell Bk reform groups have sometimes adopted | Cream gray; woodwork, jade green & strategy that was sound and cour- | enamel. ————e re- OPEN FOR YOUR INSPECTION IN CHEVY CHASE - 5528 30th STREET N.W. Open Daily 9 AM. to 9 PM. @ Center Hall Large Reoms @ Four Big, Bright Bed Rooms @ De Luxe Kitchen Completely Equipped @ Two Really Beautiful Tiled Baths @ Brick—Slate Roofs Insulated—Screened @ Greatest Values in Washington ERE is one of the finest new homes in Washington . . . Complete with the finest features, bix living room with fireplace, de luxe kitchen, 2 colorful baths, 4 master 100! large land- scaped lot, detached garage. Out Comnecticut Avenue to Military Road, turn right fo 30th St., and left to homes. Built and for Sale by SCHWINN,, Inc. EMerson 6468 The Fastest « Selling Oil Burner on the Market Today DELCO-HEAT OIL BURNERS Designed, Built and Guaranteed by General Motors See DELCO-HEAT, with the EXCLUSIVE THIN MIX FUEL CONTROL. No down payment required—3 years to pay on convenient terms. See our display. Office open until 10 P.M. daily. A. P. WoobsoN Co. Coal—Fuel Oil—Delco-Heat 1313 H St. N.W. 1202 Monroe St. N.E. ME. 2315 Finishes for Woodwork. New unfinished woodwork can be left in its natural color or it can be stained, which usually emphasizes the figure of the grain as well as chang- ing its color. It can then be var- nished in either a glossy or a dull varnish, or & wax finish may be ap- | plied. Woodwork may also be fin- ished in either a glossy or dull enamel finish. “"Some 1505 H St. N.W. D. C, SATURDAY, OCTOBER 31, 1936 *CrAZP D Drawing of the Trans-Lux Building, under construction on Fourteenth street, between New York avenue and H street, which will house the Trans-Luz Theater and the new studios of the National Broadcasting Co. To be officially opened in May or June, 1937, the new building will provide quarters for the personnel and facilities of WRC and WMAL. ONE BUILDER FAILS IN 8 MONTHS OF 1936 Downward Trend Noted From Previous Years in Dun & Brad- street Report. Only one builder filed plans for re- organization under section 77-B of the new bankruptcy act during the first 8 months of 1936, Dun & Bradstreet reports. This compared with five such cases during the 12 months of 1935 and 3 duming 1934 The number of failures continued the downtrend that started in 1933, the total of 97 for the eight-month period giving a monthly average of 121, against a monthly average of 14.8 for the full year of 1935, which marked a new low. Liabilities involved in this reduced number of failures, however, were larger than in 1935. Totaling $11,916,~ 552 for the eight-month period, the average defaulted indebtedness for each failure rose to $122,851 from $38,006 for the full year of 1935, when the amount dropped to $6,781,057, the smallest on record. The latter con- trasted with the all-time peak of $42,079,919 in 1932, NEW PLATE GLASS A new plate glass of super-strength a prominent manufacturer of glass for ‘use in gymnasiums, armories and sim- ilar buildings. It is designed to re- place wire glass usually used with in- terior and exterior wire guards, which, to a certain extent, obstruct light and present a constant maintenance cost o’keep clean. ‘This new glass, appropriately called herculite, is a highly polished, per- fectly transparent plate glass, which is strong enough to support five times the weight that ordinary plate glass can carry and will bend five times as far before breaking. It has extraordinary resistance to impact, but if shattered by an unusual blow, disintegrates into fragments about the size of a pea, more or less rectangular in shape and with comparatively blunt edges, thus providing an important safety feature. A Sign of Real Value 514 Old Georgetown Road Battery Park, Md. New Detached Brick Four Bedrooms 8,950 A remarkable value in Washington's most pop- ular suburban community, Near schools, stores and transportation. Especially large living room with fireplace; at- tached garage; insulated; screened; siate roof. OPEN TODAY AND SUNDAY TO REACH: Drive to left of Bank of Bethesda on old Georgetown Kd. to the home. SHANNON: & LUCHS AGENTS NA. 2345 You'll say this is House” when you sée it and toughness has been introduced by | BULDING PERNIS IND.C.AREA GA Six Per Cent Valuation In- crease for First 9 Months of Year Shown. ‘The Washington metropolitan area is taking on increased vitality, accord- ing to figures released by F. W. Dodge Corporation, for a 6 per cent advance in valuation of building contracts awarded is shown for the first nine months of 1936, as compared with the similar period of 1935. January through September con- struction in 1936 has jumped to $55,~ 685,200, comparing favorably with the $52,357,800 total spent in projects in that period of 1935. The Washington area for which these figures are drawn covers the District, Arlington and Fairfax Coun- ties in Virginia, and Montgomery and Prince George’s County in Maryland. The total population of this area in 1930 was 672,198 persons dividing into a per square mile density of 444 per- sons. Private construction is taking a large slice of the 1936 nine-month figure, for it totals $37,526,900, offer- ing a 30 per cent advance over the same period of 1935 when the total for private construction was $28,902,500. An increase of 15 per cent in resi- dental construction in this city and its environs is reported by the Home Owners’ Catalog division of F. W. Dodge Corp. with $27,613,000 in the nine-month period of 1936, as com- pared with $24,131,600 in the similar period of 1935. Contemplated residences for owner occupancy of the better class took a 46 per cent jump in the first nine months of 1936 over the first nine months of 1935 in the entire Middle Atlantic territory, which is comprised of Eastern Pennsylvania, southern New Jersey, Delaware, Maryland, the District of Columbia and Virginia. This percentage is confined to con- templated residences costing $4,000 and over, exclusive of land. Public works and utilities show an advance of 7 per cent thus far, in 1936 with a $6,057,700 total, compared tlg::s,fl'x.soo in the similar period of September activity in construction still further emphasizes the general upward trend. Washington metro- politan area totals for September were $3.559.200 this year, compared with only $2,235,500 in the same month of 1935. Of the current month’s total, private construction of all types is'| taking $3,291,700. Residential build- ing is also holding its own, for it is taking $2,009,200 of the month’s total. -— Yellow Ceiling Sunny. By having the celling painted light yellow you can give a sunshiny i effect to a dark room. Woodwork || can be painted a slightly dnrker‘ yellow, while walls, doors and door | frames can be coated with a mu]‘ PRE-SHOWING 5,750 RARE VALUE Cape Cod—5 rooms, bnrh, first floor; 2 large finished rooms, second floor. Full |/l basement. Large shade | trees. Lot 100x100. 0. K. DUVALL St. Poul and Farrogut Sts. North Kensington 3109 TENNYSON REAL ESTATE Located within two blocks of theater, bank, post office, stores, bus, etc. This beautiful Cape Cod House offers you a rare opportunity Price, $5,850 Corner Fairfax Drive and 19th Rd. North Six rooms and bath with additional toi- let and lavatory. All improvements TO REACH Drive out Lee Highway to Falls Church, turn left immediately after crossing street car lines, go one block. OWNER ON PREMISES PROTECT BUILDING INTERIORS AGAINST LEAKING SILLS! Semi-Wet Process Sills—Lintels—Caps AIR TAMPED Coping—Keys Door Trim Queens Chapel Rd., N. E. ATlentic 2000 CAST STONE “Superior Quality” Work of Erection Is Progressing Rapidly TEN STEEL & COPPER FABRICATED HOMES PRICE, $7,350.00 The steel and copper sections of the first home were erected in 10 hours by four men, The homes contain living room, 3 bed rooms, bath, kitchen, dinette, and utility room, porch and garage. These homes are quality built—the result of engineer- ing research by the companies listed below: Materials and Equipment by Copper—KENNECOTT COPPER.CO. Heating—CHRYSLER AIR TEMP. Plumbing—BRIGGS MFG. CO. Steel —REPUBLIC STEEL CO. Windows—CRITTALL MFG. CO. The houses are located between Connecticut Avenue and Wisconsin Avenue just south of the East-West Highway on Montgomery Avenue in Bethesda. Warren-teed Homes, Inc. R. BATES WARREN, Pres. 1108 16th St. G—A Beautiful - NAt. 9453 ST. N.W. 220 cala Street One of the best examples of the studio type—stone, brick and wood construction—and thoroughly well built end fixtured. 5 rooms end hondsome bath, plenty of room in attic for edditionel voom. Built-in garege. Profusely landsceped. A community where every home is distinctive in design. only $7450 “tou Open §:30 to 8 P.M. Every Day— Saturday and Sunday All Day. Handy to Reach MOSS % From traffic light on Georgia Ave. in Silver Spring, drive up Tower Bldg. MEtro. 1776 Evenings, SHepherd 3742 the Colesville Road past Mrs, K's Tavern to Franklin Ave, then right three blocks to BRANWILL PARK, THIS IS AN ELECTRIC KITCHEN HEALTH HOME TO REACH Drive out Conn, Ave, to Nebraska, turn right to Utah, left to 31st end right to Tennyson Si. end property. See this amazing home for the first time today. The builders of this home used imagination in moulding this smart architecture. The floor plan is particularly attractive, A really LARGE living room with fireplace, large dining room, modern electric kitchen. Upstairs are 3 bed rooms, 2 tile baths and plenty of closet space. There is also a finished attic. There is a 2-car detached garage, recreation room with fireplace, separate boiler room with oil burner, lavatory and laundry tubs. Slate roof, copper gutters and downspouts, of course. Open and Lighted Daily and Sunday. C. W. WILLIAMS—BUILDER WM. H. SAUNDERS CO., INC. 1519 K St. N.W. Dlistrict 1015 Saunders Service Since 1887