The Princeton union. [volume] (Princeton, Minn.) 1876-1976, 1917-01-18
MORE TONNAGE TAX
A Two Percent Tax on the Gross Out
put of all Iron Mines Proposed
by Representative Bjorge. ~.
No Demand for Radical Temperance
Legislation-How Long Will
Revolving Fund Revolve?
st. Paul, Jan. II, 1917.

this week there will be fewer long
adjournments. Nothing of much i'm
portance is ever accomplished the first
three or four weeks of a lei islative
session. When the committees get
down to work and report on bills,
then, and not before, the wheels of the
legislative machine commence to re-
volve and grind out the grist Of good,
, bad and Indifferent enactments.
+ + +
|. So far Speaker Parker has held the
house we'll in hand. His committee
appointments caused some heartaches
some Of the members, with an over
weening sense Of their own impor-
lance, think they were not properly
recognized and are somewhat dis
gruntled; but that is to be expected in
a body of 100 members. Naturally
enough Mr.. Parker gave his friends,
the members who made his election as
speaker possible, the best of it.
+ + +
Tonnage tax will not down. I un-
derstand Representative Henry O.
Bjorge has bill about ~completed and
that he will drop it into the legisla-
tive hopper within the next few days
It is different from any other
tonnage tax bill that has been pro-
posed heretofore. The present ad
valoren system of taxing mining
properties is left undisturbed, but it
is proposed to add an additional state
tax Of two per cent on the value of
the gross output of the mines, to be
known as a production tax. For in
stance: If the gross output Of iron
ore for 1917 should be 30,OOO,0OO tons
valued at $500 per ton, the produc-
ton tax on the same would be ST.
100000. This seems like double tax
alton, but I am told that Mr. Bjorge
has consulted tax experts and lawyers
of recognized ability and that all of
them assure him that such tax would
be constitutional
j. j. !.
Every tonnage tax bill heretofore
proposed has been faulty; it was either
unjust to the localities where the
mines were located or provided for an
inequitable distribution of the tax
The last tonnage tax bill was intro
duced in the 1911 session; it proposed
the ad valorem system of taxation on
producing mines and atonnagetax
on producing mines, the tonnage tax
to go directly to the state treasury
If that bill had become law one re-
suit would have been loss of proba-
bly, $250,00O a year to the state road
and bridge fund. Under our consti-
tuition, as interpreted by the supreme
court in the Cook case, no part of the
tonnage tax could go into the state
road and bridge fund, and the ton.
mage tax on the producing mines
would be in lieu of all other state
taxes, hence the producing mines
valued at upwards Of $250,000,OOO
would not have contributed a dollar
under the one mill state road anC
bridge tax.
If an additional production tax car
be constitutionally imposed I should
like to see the proceeds go into the
state road and bridge fund, but that
would require a constitutional amend
ment. I believe, however, such al
amendment could be easily carried.
!. !. j.
I never have and I never will favor
a tonnage tax that would prove in.
furious to the interests Of the people
of ST. Louis county. But if the opu.
lent steel corporation can be com.
PEELED to pay an additional tax Of {
couple of millions annually for the
next forty or fifty years, the proceeds
to be applied to road Improvement
no one would be injured and much
good would result to the state.
j. j +
Notwithstanding the labored effort:
of the professional prohibition propa
gandists I do not believe there is {
crying demand for any further radica
temperance legislation at this time
In the counties of the state where tn,
people want prohibition they have i
or can get it, and in the countie!
where they do not want it it ough
not be forced upon them. Legisla
ton ought to be enacted that woule
put the WHOLESALE houses" in tn
rural districts out of business, ant
put. a stop to blind-pigging, and ther'
+ let the matter rest. True friends O.
practical temperance are sick ant
tired Of the eternal caterwauling O.