The Green Forest tribune., 1917-01-19
Inaugural Message Of Gou.
 Chas. H. Brough

of the inaugural address of Dr. C. Fl Brough. delivered before a joint ses- sion of the Senate and House of Repre- sentatives of the Forty-first General Assembly is as follows:
 Tn assuming the responsibilities of the office of governor of Arkansas, to which l have been elected l do so with a consciousness of my many limi- tations. bat with the determination to consecrate whatever of ability and character I may possess to the moral. educational and financial betterment of the State. I hereby pledge the peo- pie of Arkansas a business administrs- ton free from personal political strife. to the end that we may have an ad- ministration based on efficiency. The statehouse will be 8 workhouse, with open doors, where all the people. rich and poor alike. will be welcomed. l shall treat the membership of the For tyfirst General Assembly with that high regard which Is due you, pledging myself never to influence legislation and unduly emphasize executive power l shall expect the same open-minded- ness on your part and an aIoofness from round robins and legislative eau cuses.
 Finances
 
 with bounteous harvests, industrial progress and educational advancement; however, it should be a matter of TO- gret to every patriotic Araknsan that our revenu system has not kept pace; that State and county warrants are now quoted below par; that we are paying credit prices for supplies necessary for our State institutions, and that on July ], 1917. Arkansas will face & deficit of approximately $750,0O0. There are many sad commentaries on our anti Quated and crazy quilted revenue sys- tenn. eloquent advocates of an lm- proved assessment system that show Ills of gross inequalities in taxation, high rates, ridicuously low assess ments and tax-dodging that Is travesty on a self-respecting people.
 Need of Tax system Change.
 Tn my opinion, there are several de- fects in our system of taxation that need correction and careful considera- oon at the hands of the General As Sem 1y:
 first. the constitutional provisions EoN-rning taxation. which practically prevent the classification of property ss it should be between realty, tang ible personally and intangible person alty. restrictions that can only be re- moved by 8 constitutional amendment or new constitutional convention.
 The experience of the federal gov ernment and of every State in the Union Is to the effect that, under a rule of uniformity. personally, es- pecially of an intangible character like stocks and bonds, goes in hiding and Is not and frequently can not be reached by the assessors. Statistics show that not more than 10 per cent of the real Ua faf fr,ta Il eed, because of the transitory character of such property. and that classif- cation of property and segregation of the sources of revenue are absolutely necessary to properly reach 1t.
 Broadening Tax Commission Work.
 Second, the Tax Commission, sitting as State board of equalization. has no power to raise or lower individual assessments or order reassessments by county assessors. Under the law ere ating the commission 1t can raise or reduce horizontally all of the proper 7ty of < class of property in a taxing district. If 1t raises real estate In district 50 per cent 1t must raise each tract 50 per cent; if 1t raises the horses or mules in a township 50 per cent, the raise must apply to each horse. This Is not fair, for there is not in any taxing district in the State some unit in some class that Is not assessed as low as per cent or as high as 50 per cent of It's true value. The com mission should be authorized when 1t has made a horizontal raise of the property of the district to reduce any individual assessment that the raise will carry beyond its proportionate value. or In case of a horizontal rota- ton 1t should be authorized to raise f,,II
 duction will take below its propor- donate value. With the right of ap- peal given to the individual when the property Is raised, the taxpayer would be allowed every safeguard and the commission coNld equaIize as between counties without unjustly increasing the burdens Of individual taxpayers. respectfully recommend to the General Assembly the passage of law con ferring upon the Tax Commission linn tted power to equalize individual as- easements and full power to order re- assessments.
 To Review Private Corporations.
 Third, the Tax Commission has no bower to review and equalize private corporate property. Although our eco- homie, commercial and industrial con citions have materially changed. the property of private corporations in Arkansas-industrial mercantile, man ufacturing and miscellaneous - has been assessed under law that has not been substantially modified for more than 25 years. It Is practically method of self-assessment which is employed by corporate officers.
 T therefore recommend the passage of an act requiring the Tax Commis- sion to Investigate, review and equal ize. by raising and lowering the as- sessment made by county assessors of all corporate property not now required to be assessed by the Tax Commission Such acts are in force in a number of States and have served to effectively reach private corporate property. It would also seem that this can be ac- complished by reasonable penalties. 4 money penalty for failure to turn in d list of property that would result ;n the penalty being collected, would ap- pear to solve the question.
 Fines for Failing to List Property.
 I respectfully recommend to the General Assembly your earnest con isideration of bill designed to amend the present law so as to provide that if any taxpayer fails to list and value his property and file the list with as- sessor he shall incur a minimum pen alty of S10, but If the amount of taxes on the property ne mas Ialled to ISt exceeds $20. then a penalty of 50 per cent of the amount of such taxes shall be incurred and this penalty may be recovered by civil action, to be Drought by the prosecuting attorney. lthe prosecutor to receive fee of one half of the amount of cash recovered when this amount is less than $200, and 10 per cent of all amounts in ex- cess of s200. Under the terms of this bill the prosecuting attorney will not have the power to compromise or set tie any such penalty. either before or after the suit is brought. and shall make no collection thereof except after Judgment Is rendered. If the prescott