Enabling Legislation and Congress
It may be necessary for the greatest possible success of Victory City for Congress to pass enabling legislation in various areas where present law would inadequately cover or not cover at all. Victory City will be the creation of something radically different for which there is no precedent and therefore the people who wrote all our present law could not have foreseen Victory City or given it any consideration.
The very existence of Victory City is in the national and world interest. Instead of receiving huge sums of money from the federal government for Urban Renewal and other projects as all other cities do, Victory City not only will not receive any such money but in many instances will save the government money as in the post office low cost mail delivery. In addition to this Victory Cities will be of great assistance in such national problems as air and water pollution, and conservation of our natural resources.
The enabling legislation Victory Cities will need will cost the government nothing. All that is needed is the time of the members of Congress to write and enact the legislation.
Victory Cities Will Provide Public Services for Residents of Victory Cities
Victory Cities will provide: schools, hospitals, free elevator transportation vs. cars, build highways, circle expressways, ramps, bridges and parking lots. Provide: utilities, water, electricity, heat, air conditioning, trash and garbage removal, sewage disposal system, police and fire protection, retirement home of the elderly, and provide a comprehensive health plan for everyone.
Victory Cities will relieve residents of the necessity of buying or renting houses or apartments with kitchens, dining rooms and dinettes. The cost to include these rooms will be eliminated in Victory City since they will not need to be included and the residents therefore will not have this cost to pay in the form of higher rent.
Also eliminated is the necessity of equipping the rooms with dining room or dinette furniture and appliances for the kitchen. Saved will be the cost of stove, refrigerator, dishwasher, sink with garbage disposal, toaster, kitchen exhaust fan, pots and pans, dishes, glasses, cups and saucers, silverware, 220 wiring for electric stove, plumbing for hot and cold water, drains, etc. Victory City will make these savings possible for all residents.
Tax Exempt Status for Victory City Corporation Profits
All of the above expenses will be paid out of the gross rentals of apartment and business spaces, and none from taxes. For providing all of the above services and savings for both the residents of Victory City and all levels of government, Victory City Corporation should be totally free of all federal, state and local taxes.
Victory City may need the assistance of government to apply the power of eminent domain to appropriate the desirable type country or farmland in sufficient acreage upon which to build even a small Victory City. This is right and fair because it is in the public interest. The railroads acquired a tremendous amount of land in this manner because people of vision recognized it to be in the public interest. As a result, the railroads contributed mightily to the growth, development and prosperity of our nation, enriching everyone's lives directly or indirectly. This is somewhat of a precedent, but it is not clear whether present law could apply in a similar manner to Victory City.
In addition to railroads, other lands acquired by eminent domain would include: highways, expressways, bridges, schools, airports, military bases, Urban Renewal Projects. The government would set up a Relocation Office. After land is acquired by the government for Victory City, the Relocation Office would help the people in the acquired land find new homes and new businesses or farms. To compensate for their time, trouble and inconvenience, an extra amount would be added to the purchase price of their property as compensation. Also all the moving expenses of both their home and business would be compensated. Then the government would sell the property to Victory City Corporation who would pay the government for the government's total cost.
Any other corporation building a similar city would also qualify to participate in this program. Perhaps the Urban Renewal Dept. in Washington could manage the real estate deals and the Relocation Office. We will also need government cooperation in tying the Victory City private expressway system into government's public expressways.
Tax-Free Status of Victory City Common Stock
Victory City will be a private corporation for profit and offer everything that every other city might offer. The directors of Victory City take the place of city council and the executive officers take the place of department directors. In every way Victory City will act as a municipality.
Victory City will require much more financing than the old obsolete cities of equal population. Since an entire city will be financed and built as one project with the money coming entirely from investors and none from taxes, it will be necessary to give an investor adequate incentive to invest in the first place. From the time the money is raised through the sale of common stock until the plans are completed, the land located and purchased, the buildings and highways completed, the apartment and business spaces rented and enough money coming in to develop a profit out of which the first dividend could be paid, all this time could be 5 or 6 or more years the investor must wait on something new and unproven to get a return on his investment. This is asking a lot of any investor.
Since the project is in the public interest and as an incentive to investors, dividends on common stock should be exempt from all federal, state and local taxes in the same manner that interest on municipal bonds is exempt. If it were legal to sell Victory City convertible bonds upon which payment of interest could be delayed the 5 or 6 years until profits appeared then interest could be paid tax free and presumably Congress might pass within the 5 or 6 years legislation freeing all Victory City common stock from all federal, state and local taxes, then the bond holders could convert their bonds into common stock.
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