The Birmingham age-herald., 1907-07-09
Caucus Will Settle Question
 Before Election
LOAN TAX 4 DEAD ISSUE
Governor Conner Will Not Actively Oppose Repeal of Loan Tax Meas ure-Sentimen Is Divided on
 Greater Birmingham Bill.
BY HERVEY w. LAIRD.


 Montgomery, July S.-(special.)- question of who is to succeed the late John T. Morgan in the Senate will be set- tied to all intents and purposes tomor- row night at which time the caucus of the two houses of the legislature will be held Because of the requirements of the federal constitution the election will not take place until the Tuesday following the assembling of the body.
 Senator Bankheads friends are conf dent that he will have no opposition to speak of though Col. Jesse, Stallings of Birmingham, the other announced can- didate, is on the ground While Colonel Stalings would not talk for publication he told a friend that he had twenty-five votes pledged. He also said that it was his purpose to run for the Senate every time there is a vacancy, so that the only way to lose him as a candidate is to choose him for the honor.
 Governor in Line.
 The live dope tonight is that if passed by a good vote Governor Conner will not veto the repeal of the foreign loan tax. He is said to have intimated as much to close friends today. However, there is a claim that instead of repeal a com promise bill will be enacted, eliminating those features of the law about which there has been complaint.
 The Jefferson delegation seems for re- peal. Both Representatives King and Glover expressed the belief that the re- peal will be accomplished.
 Mobile men do not seem specially in- terested in the measure. though on the strength of the fight made most of the members from that end of the state will likely voc for repeal
 The outlook also is that the proposed Insurance measure will not be pushed, though a bill providing for investing sur plus in the state may be represented.
 Greater Birmingham. The sentiment seems divided on the uuestior of expansion Of Birmingham. Representative King is talking his bill for arbitrary expansion and seems to be making friends for 1t.
 Senator Miller is not for the King measure, preferring the referendum idea. The interesting feature of the situa- ticn is the understanding that the new municipal code bill will meet all the con- tingencies of city enlargement, in which case there may be compromise on it. The bill prepared by this committee has been read by number of the members here today end pronounced a god bill ano one that will win it's way.
 School Supervision.
 State Superintendent of Education Gun nells thinks the school supervision bill will pass It is set for Wednesday.
 Senator Leith will present a bill to eliminate filters from fertilizers
 Senator Reynolds has a bill to pl Nhibit the sale of pistols, dirks, and Jowie knives in the state.
 Dr. Lovelady is preparing a law to prohibit the sale of whisky by druggists on prescription. He also believes the anti-shipping bill will become a law.
 It is reported tonight the pending em- ployers' liability bill will not be pushed, It's friends being satisfied with what they have received.
 First Active Work.
 It is shown at the capitol today and by conversations with members of the legis- lature, which will meet tomorrow at 10 o'clock that the first active legislation attempted by the solons will be to repeal the tax foreign corporations oanihg money in the state. This has been taken up by the business men who are doing everything possible to secure the repeal Senator Teasley will introduce the repeal bill in the seiate and 1t IS expected that a lik measure will be presented in the house by Speaker Carmichael.
 The repeal bill seeks to meet the ob- lection that runs to the tax measure and at the same time to take care of the con stitutional provision pointed out by H. c. Sciheimer Of Birmingham. It being the intent of the act to allow foreign cor poraticns the same exemptions on capital invested in recorded mortgages ss is en- joyed by the ctiZers Of this state" The full text of the measure as 1t will be Cf- ferej ny the friends of repeal is given below. having been prepared by a com mittee of which Senator Teasey is a member:
 Text of Repeal Bill.
 "A bill to be entitled an act to allow all foreign corporations liable to a char ter fee or annual franchise tax to deduct from their actual capital consisting oi money loaned secured by recorded mort gages on real estate situated In this state Section 1. Be 1t enacted by the legis lature of Alabama, that all foreign cor porations doing business in this ssatC which are liable for a charter fee or an nual franchise tax, shall be allowed, anc are hereby authorized, to deduct from their actual capital employed. or to bt employed in this state. that part of suct capital which consists of money loaned secured by recorded mortgages on req estate situated this state.
 "Sec. 2. The intent and meaning of this act is to allow foreign corporations tht same exemptions on capital invested IT recorded mortgages Is enjoyed by tht citizens of this state, and for that pur pose such corporations shall be allowed to deduct all investments in recorded mortgages secured by real estate sltu ated in this state: and the charter fees and annual franchise taxes shall be based and computed the remaining capita after such deduction.
 Sec. g. That all laws or parts of law Tn conflict with the provisions of this ac be and the same are hereby repealed"
 Busy at Capitol.
 Members of the two houses of the leg islatGre are filling the city with the ar rival of every train. Governor Comel came in last night ard is very busy witt his messag ge. which will be sent in tomor row. Lieutenant Governor Henry B Gray. whc has been in the east, srrivet at noon. and the other prominent mel