Vilas County news. [volume] (Eagle River, Vilas County, Wis.) 1896-1927, 1899-01-16

day was one OF the longest ana most COM
DrehenSive to which any executive OF this
state ever attached his signature. a very
exhaustive explanation of the states fiscal
system is given. At the 0penIA~
eInor SAYS he is ''impelled to suggest-al-
though an innovation upon established
practice-that it would be an advantage to
the legislature and also to the incoming
executive ii it were the duty OF the refill
ing governor to address to the legislature
a message, covering fully the condition of
public business, with such recommendations
as his experience and observation in Office
might commend to his judgment. The expe-
rieuce and observation of an executive who
mas served two or four years, and embodied
in such a message, could not fail to be bene-
III ial to the legislature and helpful to his
successor. This would not IN any wise super
esa5e the message Of the incoming governor
The sources of state revenue and the
r}8annes Of expenditure are next noted Wis
,eonsin has no bonded Indebtedness, tech
DicaIly speaking, and yet the state owes on
certificates of Indebtedness S2,25l, 900. This
debt was contracted for war purposes be-
tween 1861 and 1865. The state first raised
money by selling it's bonds, later these bonds
were redeemed by money accumulated IN the
trust fund, and certificates OF indebtedness
given to the several trust funds representing
the amounts borrowed. The state pays,
therefore, on certificates Of Indebtedness,
back into these funds, the sum of S157, 800
annually, the interest being al the rate OF I
per cent.
The governor favors the budget system
that is, it seems to him, in studying the re-
ceipts and disbursements of the various de-
Dartments. that it is necessary if the legis-
Iature is to vote inteIligently upon
each legislative session such a state
ment. He hopes that it will become
settled practice of the state that all appro-
DriatiOns will be made upon the basis of esti-
mates and be binding to the extent that
no considerable expenditures can be made
ia any department beyond the estimates fur
nished at the opening of each session of the
legislature. The governor virtually proposes
a budget for the rest Of the present biennial
period This allows the university the $760,
900 for the years of 1S99-l9O0 that has al
ready been provided $1,590,000 for the
common schools for the same period, and it
too has been provided $64O,OO0 for the nor
NAL schools, already provided SLIP, 80
for the board of control for general admin
istratiye purposes So, 149,776, for the courts
1926, 53S, and for the legislature $211,219--
total of $6,S77,373 for the present blen-
mIaI period careful estimate of the proba-
BILE total income based upon the receipts for
the last few years and including one years
receipts from the special tax levy made to
reimburse the general fund in 1897. aggre-
gates $6,S30, $50. IN this amount there is
not included the money received from cOun-
ties for care of their own insane in other
county institutions, as the state in this
particular acts merely as clearinghouse
for those counties, paying each the amount
due on this account: but there IS .lncluded
an amount of 1857 900, which It is estimated
syill be received by the treasurer from charl-
taSzle and penal institutions and from coun-
ties for maintenance of their insane in the
shown to be a small probable deficit OF
SA6,022.
There are asked special appropriations
amounting to more than $8OO,OOO. These
ara 100000 by the board of control, half
Nf w6ich is asked for additional buildings
for the state reformatOry $25OO00 Tor com
plotting the State Hlstorlcal oulldi!lg Pop,
900 by the agricultural department. OF the
state university: 100000 for the erection
of "a suitable building for the college OF en-
ssfaeering Of the university, ana Slo,UGV %; oy
oil hpSi6pS
for the tax commission, to reimburse the
trust funds for the loan to the agricultural
society," and smaller amounts Tor othef puf-
noses If all or any OF these appropriations
are made, it will be necessary for the legls-
Iature to provide by special tax levy OF
otherwise the money to meet tnem 49,
am convinced, says the governor, thaC
while the license system taxing certain COT
porations now in force is the nost practl
cable method yet evolved, 1t yet mas ele
9ments of unfairnesS and inequality Wnlcn
might partially at least, be ellmlnaCeo
There are certain foreign corporations dong
business within the state which Delleve are
NOT paving their share of the expenses OF the
government Among these are insurance COIN
Oanies, the sleeping-car companies ana eE.
rnress companies. Then there are the trust
companies and insurance companies VI ouL
own state which do not seem to be talfIy
taxed when compared with other large cor
-norations Our present graded license sys-
lem of taxing the railroad companies con-
-fains some glaring inconsistencies. we nave
under this system five classes OF ROAD, the
classification being based upOk the earnings
Der mile The first class pays per GEM;
anon its gross earnings the second is taxed
91-2 per cent. the third per cent; the
fourth pays So per mile and 2 IL per cent.
on all earnings over 1000 per mile up TO
$4,000 per mile The fifth pays 30 per mile
only.
The class of roads which pay per
cent of their grSSs earnings pay the eQulVa-
lent of rate Of forty-hye n 1l 3 Tba
per cent upon the cost Of the roads. Inc
third class which pays ) per cent; OF Lnelr
gross earnings, pays but tWenty-elgnt one one
hundredths of per cent upon me Cost tPa a Inc
fourth class pays but four and One-thlrd one
hundredths of ] per cent. upon the cost
while the fifth pays but one and elgnt-tentns
~one-hundredths of per cent. upon the cost.
Some of the roads which pay the tfInlng
sum of So per mile in taxes, ana from
which the aggregate sums received varies
from $50 upward, show IN LneLr own
Ypnorts large earnings, and in Such cases
that the management of the roads nave
been able to pay large dividends. IN view
of these very noticeable lnconslstencles. l
recommend that the claSslncation De aooli-
3shed entirely and that uniform incense Zee
upon their gross earnings be charged an
roads doing business within the state, re-
gardless of what their mileage or earnings
NAV be- If the 4 per cent. fee when the
drst-class roads now pay, were charged az
of the roads. the income OF the state WouIu
be largely increased.
The trust companies are somewhat OF an
experiment in Wisconsin. and l realize that
it would be difficult to reach fair basis
anon which to tax them. But, until Sucn a
basis has been reached. / recommend that
these companies be taxed as other companies
are, upon the property they own. Certainly
there can be no injustice in this: for there
is no reason why the property OF a trusr
company where it is accessible, should be
exempt from taxation, more than the. proper
ty of a lumber company or any similar cor
porattion | am persuaded it would be wiser
temporarily at least. to abolish all fees IN
connection with life, Are, accident and casu-
atty companies. except level license rec
upon the gross premium receipts. 1t may
be found that the proper method OF taxing
insurance companies is to charge fee upon
their gross incomes, as is now done in the
case of railroads. ,4.
The governor reiterates his declaration
that sleeping car and express companies
should contribute through taxation their
zfair proportion to the expense OF the state
government That they do not now do so
lis obvious. I most earnestly commend thls
subject to your prompt consideration and &C.
ton 1t is possible that the best MODE 81
reaching them is through charge upon
their gross earnings within the state, whet1.
or If be called license fee or tax II
1t be found that this method cannot secure
from these nonresident corporations a Ialr
amount there still remains the method or
assessing them by what is known as the unit
nsAFt IL