The Bemidji daily pioneer. [volume] (Bemidji, Minn.) 1904-1971, 1922-02-18
BABC0CK PROPOSES new F.
MOTOR VEHICLE TAX LAW:
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and many other proposals of changes
are offered. A statement of actual
facts and conditions, now may: help
to clear the situation. g."
"MinnesotaFs motor vehicle tax law
and the state highway development
scheme-sometimes called the Bah
cock Good Roads Plan-are entirely
separate and distinct, except that the
trunk highway fund revenues are
partly governed by the yield Of the
automobile tax. The relationship be-
tween them is comparable to that of
a big development company to bank
which aids in financing it but is un-
der different management and super
vision. =.
1.-THE highway development plan is
now part of the state constitution.
One of it's provisions authorizes a
more onerous tax on motor vehicles
than on other classes of property.
Exercising this authority, the legis-.
lature of 1921 framed and enacted
a law fixing tax schedules according
to factory list prices, the possibility
of falling prices failing to present
itself. The factors of weight and
power were recommended for con-
sideration by the highway depart
ment but we're not Included in the
tax basis as adopted. Mainly because
motor vehicle prices have dropped
and the owner Of used car is obliged
to pay a greater tax on 1t than Is
collected on new models of higher
value, the tax plan is rightly bring I
ing storm of protest. Yet there is
no blame to be, placed for careful,
serious study was given the subject
in advanc of it's adoption. Wiz !
"The remedy lies in revision of
the motor vehicle tax law in the state
legislature which meets next JAN
uary. Free discussion in the mean
time will tend to bring generally sat-
isfactory results but the cold facts
should be kept in mind.
1.-THE state has assumed the con-
struction and maintenance forever,
of 1000 miles of. main highways
which carry probably four-ffths Of
vehicle traffic. It provided $21, OOO,-
900 last year for the remaining roads
light traffic thoroughfares that can
be more cheaply built and maintain
ed. That the state trunk plan was
based upon minimum fund of $1O,-
100000 a year-less than half the
amount available for secondary roads,
also should be borne in mind.
"Motor vehicle tax revenue in 1921
was $5,61O,0O0, federal aid added
$2,840,OO0 and counties sold reim-
bursement bonds for projects which
materially swelled the list Of accom-
plishments This year the federal aid
cent; there is slight prospect of in
apportionment is reduced rs per
crease in automobile tax revenue;
less reimbursement bond money will
be available, and interest charges on
trunk fund obligations now outstand-
ing must be provided for the first
time.
"Therefore, if justice is to be ac-
corded the highway development
scheme future motor vehicle taxes
should be made to yield an annual
minimum Of $7,50O,000. This figure
should be the basis for computing
proper tax rates. .-.
"Gasoline consumption in Mime
sofa last year was 117,000;00O gal
Ions, according to the state oil in
spector. Consequently, a tax of 5
cents gallon would have been nee
,essary to produce the sum received
from the motor vehicle tax, had gas
oline consumption been the tax
measure. A gasoline-measured tax
will force owners of heavy and big
mileage cars to pay proportionately1
more to the trunk fund, but also will
work to the undue advantage of the
owner of extensive car run conf
paratively small distance each year.
This is one Of many phases deserving
attention. ~ 10
evidence that Minnesota people
are protesting against, tax ,discrinlin-
alton alone, and continue generally
staunch friends of the good roads
plan are most gratifying. They are
a big incentive to use best efforts
again this season to obtain results
showing benefits to be derived on the
trunk highway system. The depart
n,ent will be successful, belive, in
demonstrating that money can be
more wisely and .advantageously used
for roads than spent for tires, gas
olinc and car expense. Fair taxation
apparently will remove the last OBJ
stacle to Minnesota's move into the
ranks of progressive states with ade-
! Ia - L