Watertown leader. [volume] (Watertown, Jefferson County, Wis.) 1909-1911, 1910-01-07
HUGHES DIFFERS
WITH PRESIDENT
ON INCOME TAX
COLLECT FROM ANY SOURCE WITH
OUT APPORTIONMENT is
DISFAvoRED.
MUST DEFEND STATES RIGHTS.
Assessment of Interest on Bonds Issued
by Commonwealth Is One Thing
Feared
COMMENTS UPON RACE TRACK LAW

ALBANY, y. Y, Jan. 5.-Goy.
Hughes, in a message today to the state
LEGISLATURE. urges that body not to ratify
the proposed constitutional amend ment
comforting upon the federal government
the power to lay and collect an income
tax from whatever source derived,
without apportionment among the states
according TO population. The governor
says:
Il am in favor of comforting upon the
federal government the power to lay and
collect such tax. l believe that this
power should be held by the federal gov
eminent so as properly to equip it with
the means of meeting national eXlgen-
cies."
Defend States Rights.
But the power to tax incomes should
not be granted i'll such terms as to sub
ject to federal taxation the incomes de
rived from bonds issued by the state it
self or those issued by municipal gov
ernments organized under the states au-
thority. To place the borrowing capacity
of the state and of its governmental
agencies at the mercy of the federal tax
ing power would be an impairment of
the essential rights of the state which as
its officers, we are bound to defend"
this question the governor declares in
conclusions:
We cannot suppose that congress
will not seek to taE incomes derived
from securities issued by the state and
it's municipalities. 1t has repeatedly
endcavored to lay such taxes and is
efforts have been defeated only by i'm
piled constitutional restriction which
this amendment threatened to destroy
While we may desire that the federal
government may be equipped with all
necessary national powers in order that
it may perform its national function,
we must be equally soicitous to secure
the essential bases of state government"
Gov. Hughes views differ from those
of President Taft who, in his first mes
sage TO Congress, urged this constitu-
tional amendment.
The Race Track Betting Law.
In view of the efforts which the COVER
nor in his regular message says have
been made to evade the law prohibiting
book making at race tracks, he recon-
mends an amendment penalizing the
practice of book making even though no
bets are recorded.
Revelations as to the white slave traf-
fic'' are referred to and the governor
recommends the enactment OF whatever
additional or more stringent provisions
of law are necessary to make the stat
uteS more et1caclOus.
The governor reuews his former rec
concentrations for direct nominations and
a short ballot. Reference is made to the
report of the committee appointed to III
vestigate the stock exchanges of New
York whose recommendations the COVER
nor approves. He again recommends
that the public service commissions law
be extended so as to bring telegraph and
telephone companies under the jurisdic-
tion of tlp commission.
The governor refers also to the offer
made by Mrs. Mary w. Hartman.
widow of the late E. II. Hartman, TO
convey to the state tract of about
10000 acres OF lana III orange and
Roclland counties to be held in per-
petuity as a state park. In furtherance
of the plan. Mrs. Hartman offers to
give the state S1,OOO,OOO in trust to
be used for the purchase of land lying
between the tract mentioned and the
Hudson river so that the park may
have the advantage of a river frontage.
Other gifts for similar purposes amount
ing to $1,625,OO were announced by
the governor as result of the activity
of the Palisades park commission, from
residents of New York, New Jersey and
Philadelphia.
State Must Raise Money
These subscriptions were obtained
upon conditions STIMULATING among other
things that New York state shall ap-
propriate 100000 for the acquiring of
land and the building of roads and gen
eral park purposes; that the state of
New Jersey shall contribute a fair share,
and that the state discontinue work Oh
the new state prison at Great Bear
mountain.
John d. Rockefeller and ]. p Morgan
each subscribed $5OO,0O0; Margaret
Olivia Sage, William X. Vanderbilt.
George +. Baker, James Stillman, John
d. Archbold. Frank A. Munsey, Henry
iPhipps, +. L. Stotesbury, E. H. Gary
and Geo. w. Perkins gave $4,000 each;
Helen NJ. Gould and V. Everett Macy
contributed $4,000 each, and Ellen f.
James and Arthur c. James Jointly gave
q similar amount