Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1922-10-13
CUT MADE IN
EXPENSES OF
COMMISSION
Cost of Executive End 81
Industries Reduced Near
Two-thirds.

Bismarck, N. D., Oct. 13.-Expens-
es Of conducting the business of the
industrial commission Of the state,
which rose to q total OF $~161,448.50
during 1921 under the Nonpartisan
league administration, have been cut
until they now average between $500
and $500 = Notwithstanding to Sec
rotary Lewis F. Crawford. A reduce
ton In the salaries paid w tho com
mission. ordinary conduct OF the Office
m the abolition Of propaganda ef-
forts are the chief features making
possible the enormous reduction in
the expenses Of the office. In addition
work which for a considerable period
under the league administration was
HANDLED by q separate mill and ele-
vator association Office is now being
handled by the industrial commission.
Beginning in 1920 the expenses Of
the conduct OF the Industrial commits.
sion began to rise under the league
that year and In addition $1,400 OF
the secretary's salary was paid by
the Bank Of North Dakota and much
OF the ordinary industrial commission
expense was paid through the mill
and elevator association. The bond
sale and propaganda campaign DUR
ing 1921 cause an enormous increase
III the expense OF the once.
Drake Mill.
No expense of the work done by
the INDUSTRIAL commission or its Of
fee force is being charged to the
Drake mill. although considerable
work 10 being done for the mill. The
Drake mill continues to be operated
by the commission, and a small profit
Is shown when taxes are not consid-
cred and the loss under thel league
administration has been written of.
Secretary Crawford declares that the
industrial commission hopes at least
to prevent any further loss to the
taxpayers through the state enter
prisss.
Records show that from Dec. /,
1921, to Oct. l. 1922, the Drake mill
made between $3.50 and $500 profit.
This is on a marked-down investment
the total amount represented in the
mill and working capital being $751;
900. The loss of $4,000 incurred I'M
der league administration was writ
ten off, and no interest charge on II
is made against the mill. Some new
machinery has been installed and
more salable flour is being made, &C
cordinG to officials. The mill now ia
being operated with three shifts.
The Grand Forks mill and elevator
starts under the handicap Of having
been built at wartime prices. It u
estimated that the mill could be
constructed now at between $4,000 0c
and 100000 less than the actual
$4,000 was made by the present com.
mission on contracts for machinery
for tho mill. on which bids had beer
received BY the league admtnistra-
! ton but for which contracts had not
been let. A saving OF $4,000 Wal
effected on betting alone.
No further action an be taken By
the Industrial Commission in tnt
home building association until. thu
is decided.
More Bond sales.
1t is probable that within a month
the Industrial, Commission will re
ceive bids for additional real estate
bonds, which It, believes a. be sole
at about s percent. No more mil
and elevator bonds will be sold. OF
advice Of attorneys, until the exac'
cost Of the Grand Forks project Il
known, as under the law there car
be but one blanket mortgage on thu
property On which the bonds ISSUED
are based.
Bonds Taken Up.
Explaining the action Of the com
mission in refunding money to sotnt
small purchasers Of mill and elevate,
bonds, Secretary Crawford said tina
the Industrial commission was Re
funding money paid on small Allot'
ments where possible at a saving K
the taxpayers Of the state. Bond
sold In small lots by the league ad'
ministration drew 6 per cent inter
est. No bonds were issued by tn,
league administration, but interim
certificates were given by tho BAnl
Of North Dakota. Since that time thu
present industrial commission hal
been able to sell s IL per cont mil
and elevator bonds at q premium 0!
3 on each 800 bond.
All Of the bonds subscribed for b,
Grand Forks citizens. amounting Il
about 10000, were taken up by thu
commission. In taking up these sub
soriptions the industrial commission
will save one-half Of n per cen
interest for rs years. or ver 1900
In addition the bonds were sold At /
premium under the new arrange
ment, SO that several thousand dol
lars more is saved to the state undo,
the arrangement. The industrial
commission already has taken vi
S225,0 900 of interim certificates.
49, 1000 ~vv~@~~