Weekly journal-miner., 1921-01-19
DOUGLAS, TELLS PRESCOTT
 MEN TAXES ARE roo HIGH
(From Wednesday,s Dailv.l

theme of a series of addresses de lvered yesterday noon at a meet ing or the luncheon club oI tn chamber of commerce al the Owl James $. Douglas, millionaire min ing man and generally thought oi a the genius back of the United Ferd Extension and its subsidiaries, i'm portant official Of the American Rec Cross during the late war and re gently critic of the administration O Arizona from the point of view o money spending, was the priucipa speaker.
 There was one of the best crowd: ever known to attend luncheor club meeting, many local business men and a large delegation oi Je. rome's leading citizens being present attracted by the announcement thai Mir. Douglas would expound hi: theories on eXpense-shaving
 II IS not O. economies, the mil >lionaire mining magnate began, but oI fundamentals as they affect me IL tie state that l speak.
 There are iu this county two re- markable mines; one has been run ming 4O years and the other six. he two have borne III the last four years 65 per cent of the cost of the county. So, economy and efficiency in operation of the institutions oi the county is especially important to those interested III those mines.
 Tin glad to say I'm very much interested iu one of those mines he smallest"
 MT. Douglas complained Of the method by which the state tax com mission four years ago fixed the valuations upon which the United Verde Extension Mining company was to be assessed for state taxation purposes He declared that the com mission had taken figures for two years and spread them over five. This was in l9l6 and the war was on and it seemed we were going to get in it," he continued. It did not seem wise to us to take it to the courts to get an adjustment The Inspiration Consolidated mine (which the speaker inferred was similarly situated to the United Verde Ex- tension) did appeal to the courts. Our taxes were fixed very high and they are very high now. This re- suited in our paying out in taxes to the state and county and in income taxes, $2,000,000 income and excess profits taxes. We were glad 10 be able to pay it.
 Tn 1918 our taxes were $2,l23, 3,G00. Our 1919 taxes are not paid yet We don't know what they will be and we dread to know.
 "In 1919 we paid out $488000 in capital stock, state, county and mu- federal or capital stock tax and the balance was state, county and mu- nicipal taxes. In that year we paid out S5.23 for every ton of ore, we mined in taxes Not only oa the high grade which we are fortunate to have, hut also on low grade silica and quartz, which $ about one-third Of our production in gross tonnage which makes our smelter mixture Some of the silica ore is not worth that. We are actually assessed for our fluxing material
 We can all remember when we NNlC NNll pAOSPNlOAog hliNA NOh could go out in the hills and get ore worth Sl0 or SIP a ton and when you had mined and transported it and paid expenses, you could net s or g. q ton on it. We were some big bugs then, believe me.
 That applies today for all to think about on what the mines have to pay. It is far, far too high"
 Alludes to Working Men
 MT. Douglas alluded to the severe hardship which taxation imposes on the working men.
 Last year we had an average Of 20 men working in our mine. They were muckers. miners, office help, men we work on our little railroad system and our smeltermen. We paid out $659 for every man we ern- ployed in taxes. Now the working man although the taxes do not af- feet him, it does affect him ii the county or state is inefficiently man aged.
 We are Not Logical
 "I hore these figures l have been able to give you will impress you oil how we have lost our sense of pro portion-our perspective--we are no longer logical We must get back for our own happiness.
 Touches on State Costs
 "The cost to run this state in 1919 was $5,0G0,000 In 1920 it cost $12,- 000,000 There is wild-eyed pro- gram on roads. I know perfectly well I'm touching everybody's feel ings when l talk about roads Everybody wants good roads but we must expect no boulevards on the Great American Desert The desert is not made productive by reason of boulevards. We need much better efficiency on our roads.
 "The Prescott-Jerome road, of which we are all SO proud, cost $6l8,000 to date It should not cost if anything like proper management had been had, more than $300,000 Ii IS stupid Of us-short-sighted--il- logical-to allow this condition to go on.
 ''I appeal to the Prescott chamber of commerce to do your parts as good citizens to get in touch with the legislature and impress them with the necessity for retrenchment and higher efficiency"
 Economy Idea Expanded
 Following the short and pointed address Of the visitinC caOitaliSt Mir