, 1892-09-21
IT MEANS NO TAX.
The Proposed State House Con
StitutiOnaI Amendment.

Important Action by the Olympia
Board OF Trade-Steps Necessary
to Get the State HOuse-OutIines
of the Proposed Scheme.
Steps have been taken by the Olympia
Board Of Trade, looking toward the early
construction Of state house, that will re-
ceive the hearty commendation of every
man, woman and child in Olympia who is
at all interested in the welfare and dignity
of our commonwealth.
1t is strictly a non-partisan movement.
Washington needs a state house and needs
it badly and the board of trade has liter
ally taken the bull by the horns and will
have him on his knees ere he is aware
oft
In accordance with the announcement in
THE TRIBUNE of yesterday, meeting of
the board was held at Columbia hall last
night in the hook and ladder company's
room.
The object Of the meeting was stated, as
outlined in THE TRIBUNE, and after ex-
haustive discussion, committee was ap-
pointed to draw upa clear and comprehen-
sive statement of the true meaning of the
proposed constitutional amendment. This
committee consists of M. j. Gordon, J. A.
Haight, J. F. Convey, A. H. Chambers, n.
H. Owings, B. M. Price and R. f. Whit
ham. In order to reach as many people in
the stateas possible this statement will be
printed and mailed broadcast all over the
state and committee consisting
of W. T. Mcdonald, w. L. Bill
ger and S. G. Woodruff was ap-
pointed to solicit funds to defray the ex-
penses of printing, addressing and mailing.
Newspapers throughout the state will also
be urged to set before their readers the
true nature of the amendment.
The fear is entertained that the measure
will be defeated through misunderstand-
ing.
From the peculiar reading of the amend
ment as can be seen by reference to another
part of THE TRIBUNE, where it appears in
full, it can be seen that a hasty heading
would lead to the conclusion that tax on
the people would be needed to carry out
its provisions. As a matter of fact the
amendment is merely the entering wedge.
1t empowers the state to incur an indebted
ness for specific purpose, and sets forth
the manner in which the indebtedness
shall be hquldated After the measure is
adopted it will be necessary for the legisla-
ture ito enact a law for floating bonds etc.
The plan is to sell the bonds, which would
be an easy matter, and apply the proceeds
from the current sales of state house londs
to the payment of interest, as fast as il ac-
crues By the time the bonds mature in
twenty years-the remaining land granted
for state house purposes would have en-
hanced so much IN value that it could be
sold for a good price, the bonds redeemed,
and the state be the real gamer by the
transaction.
The ratio of increase in the value OF
state house lands would far exceed the in
terest on the borrowed money. 1t is COM
mon practice among capitalists to borrow
large sums of money for a term of years
at say per cent for the sake of illustra-
ton, and invest the money thus borrowed
in such way that it would bring in 10 and
sometimes II per cent, thus making profit
of and per cent by their fnanciering.
In this instance the constitutional
amendment consists merely IN the peo-
pie, as a commonwealth, comforting upon
the law-making power the right to carry
forward an enterprise similar to the one
outlined, only upon much larger scale.
1t can also be urged that the difference
between the interest paid on borrowed
money and the increase in the value of the
state house land grant would materially
decrease the cost of the state building.
The resources of the state in these lands is
ample to cover the cost of magnificent
state house, but the money cannot be
realized now. Hence the effort to borrow
the entire sum needed and proceed with
the work at once.
1t is claimed that success is assured il
the nature of the amendment is properly
understood throughout the state.