The Ely miner., 1926-12-24
st. Paul, December IA, 1926.
evolution is Minnesota!' !''

ga Revolution is Minnesota
This is a rather startling express
sion, embodying a thought that
borders on the terrifying.
Mentally connected with Mexico,
Russia and China, for example, the
the idea of revolution is neither
startling nor terrifying-but in
MINNESOTA, well, that's assuredly
something different.
Yet the expression was used
camly, deliberately and meaningly-
in a public address in st. Paul on
whose knowledge of conditions IN
this state must be admitted and
whose loyalty to the state can not
be cushioned.
That man was L. A. Rossman,
we'll known editor of Grand Rapids,
who spoke before the Transportation
Club of st. Paul on 'The Iron Ore
Industry" a subject on which he
may lay claim to authoritative knowl-
edge.
Some of the speakers statements
were so surprising and at the same
time so Illuminating that l believe
they are worthy of a larger au-
dience, hence Pm going to quote
just few of them:
| "The iron ore industry in Mime
sofa pays a larger percentage of the
gross value of it's products for taxes
than does any other industry in the
United States.
During the past five years the
Minnesota iron mining industry has
paid $113,0OO,OO0 in tases-oc.
cupational taxes of $17,0O0,00C
royalty taxes of $3,O00,OOO and ad
valorem (direct) taxes of $93, ,OOO,.
900.
"This total of $113,000,000 is
by a coincidence, just a million dol
lars MORE than the labor and every
other item which enters into the
cost of making the ore from the
ground.
During the past five years the
value of the ore at the mines wa:
close to $5OO,OOG, 900. The taxes
paid amounted to 22.8 per- cent Of
) the value of the ore-almost one
|, quarter
eff every time farmer milked ;
gallon of milk he had to give a quar-
} for taxes THERE WOULD BE 4
REVOLUTION IN MINNESOTA"
And l believe Mr. Rossman i
right and that every farmer wh'
reads his statement will be strongl.
inclined to the same belief.
What would the average farme
think if he were called on to pay IL
taxes one bushel out of every fou
} he raised? Or one-fourth the valu
of every hog or steer he sold?
/ holdno brief for those engaget
in the iron mining industry, but an
frank to admit that Mr.. Rossman'
speech (which / have before me il
its entirety has set me to thinking
along a somewhat different line thai
had been my wont regarding iron or
taxation.
l wish every thinking citizen il
Minnesota could have opportunit.
either to hear this address or rea'
y it in full. And certainly trust
copy of it will be placed in the hand
of our legislators.
"Iron ore has been a political play
thing in Minnesota" furthur declar
ed Mr.. Rossman. "The people of thi
state nave had visions of the tax dol
lar, not the industrial dollar.
"We must realize that the prob
lens of iron ore production are es
sentially economic problems. Ol
the range the sentiment has devel
oped that the problem of mining
rest in the relationship between
mining company on one hand am
the municipality on the other.
ga mining company represent
but a condition. If economic condi
tions are favorable it will emplo.
people and these people will bu,
goods. If conditions are not favor
able, as in Michigan and on the west
ern Mesaba range, it will transfe
its operations to other sections, an
if all mining proves Improbable
will cease it's work. The loss, how
ever, to mining companies and thei
stockholders is but mill on the dol
lar which is lost to the community.
And then he proceeded to call at
tention to the development of tn
iron mining industry in India, Sout
America, Belgium and other places
and the resultant competition wit
the Lake Superior region. Becaus
of subsidy of $3.50 a ton by tn
government of Great Britain, h
said, the mines of India can under
sell the Minnesota mines ON both tn
Pacific and Atlantic seaboards.
/ can't leave this subject befor
giving just a few "close to home
figures, as given by Mr.. Rossman
which throw considerable light OF
actual conditions the range
brought about largely by the pas
policy of "super-taxing" the irol
industry.
Quoting from the report of tn
mine Inspector for st. Louis count.
the speaker said the number of mel
employed in mining on the Mesab;
range is today only about 60 pc
cent of the number in 1915, and tina
in the Canisteo district the numbe
has decreased from 1900 to less thai
500 in decade.
Families are moving out O
Virginia almost daily" he said, "Il
Hibbing there are 335 empty house