The age-herald., 1901-06-29
EDUcAT IoNAL.
1 l9Nl-02


 against, or incurred by this state, or it's authorities, except to repel invasion or suppress insurrectfon, and then only by a concurrence of two-thirds of the members of each house of the General Assembly, and the vote shall be taken by yeas and nays and entered on the journals; and any act creating or mourning any new debt, against this state, except as herein provided for, shall be absolutely void i: Provided, the Governor may be authorized to negotiate temporary loans. never to exceed three hundred thousand dollars to meet the deficiencies in the treasury; and until the same is paid, no new loan shall be negotiated; provided further, that this section shall not be so construed as to prevent the issuance of bonds for the purpose of refunding the states ex- isting bonded indebtedness.
 Section Four.
 Section four was then taken up. This limits the amount of the state tax rate to 65 cents on each $100.
 MT. Brown of Talladega, chairman of the committee, explained that the com mittee had thoroughly investigated the receipts and disbursements of the state and that he was satisfied the tax rate could be lowered from 75 cents to 65 cents.
 At this point the convention adjourned until o'clock
 Afternoon Session.
 The afternoon session was called to or der al o'clock. There were 119 members present.
 MT. Browne of Talladega resumed ex- planation of section four of the article on taxation. He stated the income and ex- penses of the government and said on October l. 1902 there would be s1.14O, coo in the State treasury The next year it was proposed to levy 61s mill rate-one mill for soldiers, one for schools and 4h for general fund. They had not taken into consideration the fact that $120000 a year would be saved by the refunding of the state debt He said that a low rate of taxation was always advisable; that whenever there was a surplus in the treasury it encouraged extravaganza on the part of the legislature.
 He said that some of the Probate Judges had written to him that property in their counties, was not assessed at over 50 per cent of it's value. Property would not come to Alabama, where there was tax lien of , cents against property, when 1t could go to other States whose tax rate was lower.
 MT. Howze of Jefferson offered an amendment to substitute the rate of 75 cents for two years after the adoption of the constitution, after which 1t shall be 65 cents.
 Judge Howze said he did not wish to appear antagonistic to a reduction of the tax rate. but 1t appeared that 1t would not be wise to reduce the rate just now. It was better to prepare for the change and his amendment did not prevent the legislatu from reducing it at once if they thought it advisable. MT. Browne asked upon what data Judge Howse based his opinion that the reduction could not be made at once. Judge Howze replied that there were certain extraordinary ex- penses to be met and at any rate his amendment did not prevent the legislature from reducing the tax rate.
 Retain Present Tax.
 Mr. Graham of Talladega moved to strike out all of the amendment except the words "seventy-five cents." He said he did not have the financial optimism of the committee. None appreciated the credit and standing of the State In the financial world more than he did. In 1890 the taxable values were $259, ,000. GOO; in 1891, s275, ,000, 600; in 1892, $260 GOO, GOO S15, ,000, 600 decrease in one year. In 1895 they dropped to $241 900, 900. They com menced to go up and in 1900 they reached S266, GOO 600. Who can tell us that in 1905 we may not be where we were in 1895? The tax rate then was 51a mills but the soldier rate was only one-half mill while
 
 crease of one-half mill for the Confed- crate soldier besides the school tax. Can't we trust the Legislature with the tax rate? Is not the platform of every politician to reduce the tax rate If pos sible? We are simply fixing limit. When a man buys bonds he investigates not only the tax valuation but the tax rate and the financial record of the State. We can't make estimates for future aoda in faaG ct expenses as well as the receipts differ. He cited the opinions of Richard of Mo bile and the late Governor Sanford, es- pecially the 1atters message to the as- sembly warning them to cease approprla- tions No man urged his election here upon the ground that he would reduce the taxes. General Harri- son of Lee asked MT. Graham If he believed that 65 cents was enough for tns people of Alabama to pay. MT. Gra- ham replied that he thought 1t was if the people were willing to deprive either the soldiers or the schools of the one mill tax He did not mean to criticise the taxation committee in recommending reduction but he thought it was unsafe and should in any event be left to the Legislature He did not think maxi mum tax rate of seventy-five cents was too high to place in the Constitution.
 pr. Cunningham Speaks.
 Dr. Cunningham of Jefferson said we all agreed that the states honor and credit should remain unimpaired. that the school and soldier taxes should not be decreased. and that upon the majority or the convention there was band of hon or not to increase taxation and to reduce it if possible He had been converted to the view of the committee and thought that Mr. Browne had shown that all of these interests could be protected and taxes reduced to 65 cents. For years to come there would be a constant increase in valuation of property in the state. The recent increase was substantial and not due to "booms." He illustrated the coming increase in property by citing the growing manufactures of cotton and the production of iron and steel He did not believe the iron properties of Alabama would be absorbed by the steel trust but If so the trust would not close those of it's manufactories which made the great est profit. He Illustrated the various tax rates for different years, showing that in 1889 the tax rate was reduced to 415 mills while there was an increase in taxable values. This always follows, he said, when we reduce the tax rate valuation increases. He favored local taxation for public schools and said that a reduction of the general tax rate was the only way to obtain it. He head a statementtby pr.