The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1916-02-14
GRAIN men FOLLOWSUIT

under the Stubbs reform plan. Con-
sumption of oil and gasoline increased
in Kansas and in 1915 the oil COM
panies asked the legislature to reduce
the inspection fee from 10 cents to 3
cents a barrel. They agreed to abide
by the new fee.
Both branches of the legislature
passed the bill. Since the records of
the oil department show an average
inspection of 100000 barrels of oil and
gasoline a month, the new measure
would have meant $72, 600 in revenues
to the state in two years. Still ST.
900 is far less than $250,o00. So Gov
ernor Capper vetoed the bill and the
old law stayed on the statute books.
Oil Men Got Busy.
As soon as the legislature went
home the oil companies began the
payment of the inspection fees under
protest Suit to test the constitution
atty of the inspection law was begun
in the supreme court. Now the law is
held valid, while the fee is wiped out.
The state must now inspect oil free of
charge until the next legislature meets.
Oil companies have indicated they
might provide fee sufficient to meet
EXPENSES of the department, but such
action would make the state a recipi-
ent of charity from Johnny Rockefel-
Ter and his associates and Kansas will
in all probability elect to pay her own
bills.
priation of S2S,200 available for the
two year period between legislative
sessions. This money will doubtless
be used by the oil inspection depart
ment to pay expenses. Adding the
S2S,2OO to the S250.00O which the
state will lose, defeat of the oil in
spection measure in the supreme court
means that Kansas will suffer loss
of nearly 100000 merely because the
state would not accept a compromise
that would provide funds to meet eX-
penses of the department and return a
small profit to the state.
Grain Fees Next.
Following the Knockout blow to the
oil inspection measure, there is now
a rumor that Kansas grain dealers are
planning an assault on the state grain
inspection departm ent. Under a sys-
tenn now in operation. the grain in
spection department is becoming an
asset rather than a liability. For sew
eral months the department has re-
turned a profit to the state from the
| inspection of grain. Applying the de-
cision Of the supreme court grain
shippers claim that the grain inspec-
ton law is in the list of revenue meas
ures and equally unconstitutional
/ Contest Of the grain inspection meas
ure seems most certain.
Troubles from inspection measures
threaten to caues trouble from other
anSies- Inc loss OF more than a quar-
! ter of million dollars in revenues is
a severe shock-even to the state of
! Kansas. With this money hopeIesslv
gone the state must do one of two
/ things. 1t must provide funds from
new sources or increase the tax levy.
only last fall the state increased the
tax levy to meet rapidly Increasing
/ expenses. The increased levy was
barely sufficient to keep the state
within the budget prepared by W. e.
Davis, state auditor. Now the ex-
peses OF state are increasing and a big
slump In revenues is causing concern
IN state departments. There is SEEM
ingly no method of providing new
funds So a second increase in the
tax levy in two years is apparently the
logical solution of the states finan-
cial troubles.