The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1923-02-06
Power Exemption and Amend
ment to Utility Act Also
Up for Decision in the
Legislature
STATE CAPITAL BUREAU I
The AGE-HERALp )
Montgomery, Ala, Feh. )


Gasoline tax fin the senate and
tax exemption repeal in the house
will occupy the time of members Of
the legislature Tuesday when they
start the thirteenth legislative ses
sion. The gasoline tax bill has passed
the house and the bill repeating the
tax exemptions on water power de-
velopments has passed the senate.
One of the bitterest fights of the
session probably will develop in the
senate when the gasoline tax bill is
called. AS it passed the house the
bill levies tax of two cents gal
lon on all motor fuels sold in Ala
bama and provides that the entire
amount shall be pro rated in equal
amounts to the sixty-seven counties
This has caused great protest from
the large counties which contend
that Jefferson. Montgomery, Mobile
and a few others will pay the great
est part of the tax while more imam
fifty counties will benefit from the
funds paid into the treasury by the
few counties
The senate committee on finance
and taxation recommended an amend
ment which provides that fiity per
cent of the amount shall be pro
rated equally among the siXty-seNeh
counties and that the other tltty
per cent shall be converted into the
general find of the state treasury
for general expenses of the govern
ment. The administrator first rec
commended that the entire tax De
given to the state highway depart
ment for the construction ana mann
tenance of roads and bridges. but
when it appeared that the legis-
lature was not willing for the FUND
TO be used by the highway depart
ment and that the state treasurNs
general fund was rot in excellent
Condition Governor Brandon asked
the senate committee to place one
half of the amount in the general
fund.
Several senators propose to make
a bitter fight against the plan ana
it is common gossip that at least
one will present to the senate tlg-
ures showing that the states IL
nancial condition-is not bad and that
the revenue derived from the saso-
line tax should not be placed IN the
general fund but should go to the
construction of roads and bridges
The large counties propose TO
fight the plan to give the counties
the same amount regardless OF their
size, the road mileage or the num-
Der of motor vehicles. contendlhs
that a plan should be made Where-
by the apportionment would be &C
cording to the amounts paid by the
various counties.
Tax Exemption Bill
Every indication Is that the pm
repeating the statute eNemptlhs
water power DEVELOPMENTS from tax
alton will be passed though large
number of votes will be cast against
it in the house. The committee on
corporations voted niue to seven IN
favor of making a favorable report
but It is known that other members
OF the house will -~ek to amend the
bill so as to make it apply TO devel-
opments in the future and cause the
exemptions to be Continued on deVel-
opments already made.
Representative J. Lee Long of
Butler offered an amendment in
committee continuing the exemption
on developments already made ana
is expected to make the fight Tor
the adoption of the amendment in
tn6 mouse. ne tOiiihiittSN NSN''-'N-
to accept it.
AMENDING UTILITY ACT
third important measure OF the
week will be the Brewer bill whIcn
so amends the public utility act OF
1920 as to give the public service
commission the right to make valu-
alton of the property of any utility
for rate making purposes and TO
grant a rehearing on valuation at
the request of any party to the origl-
nal valuation proceedings.
This bill was passed by the sem
ate by a large majority Friday ana
has been referred to the house 1u-
dietary committee. When the house
bill carrying the same provisions
was referred to this committee last
week it returned it. to the house
with a favorable report but with
amendments suggested by the Ala
bama Power company.
The public service commission de-
sres to have this bill enacted into
law before the recess in order to
remove any doubt as TO the COM
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