New Britain herald., 1927-01-05

farm products.
 Motion Picture Film Tax
 I call the attention of the legisla- ture to the problems which have been raised by the film tax law, passed in 1925. Experience discloses that the revenue from this tax Is un- expectedly small and its administra- ton has been relatively expensive. Although the statute was intended to impose a tax on producers and dis tributors of film, it has resulted, in practice, in throwing the burden on exhibitors, and has worked great hardship on hitherto profitable enterprises in the smaller communi- ties. I recommend the amendment of this law so that it may provide for large income to the state, and so that it's burdens may be more equitably distributed. The motion picture industry is obviously pro- per source of revenue to the state by way of taxation in some form, and believe that the legislature may reasonably seek, and expect the full cooperation of both exhibitors and producers in working out a law which will be financially beneficial to the state without being in any sense confiscatory to one of it's valued industries.
 Federal Estate Taxes
 The assumption by the federal government of activities universally regarded for more than a century after the adoption of our constitu- ton as being exclusively of state concern, is disturbing to the minds of thoughtful people of this and of many other states. The extra pre- caution which the framers of. the federal constitution took to prevent standardization and encroachments by the federal government upon the re- served powers of states appears to have had little consideration in very recent years. The tendencies of con- gross point to the increase of such encroachments and further centrali- zation of federal power.
 The provisions of the Revenue Act of 1926 which impose death taxes at excessive rates in times of peace, making allowances to estates on account of death taxes imposed by the state, in effect serves to coerce states with respect to state revenues. This enactment in particu- lar and the federal government pro- gram with respect to state aid ap- propriations have served to accentu- ate the feeling that the federal gov ernment has already gone too far in carrying out an unsound policy. Bills proposing federal legislation similar in principle and in great numbers are pending before the congress. Acting as did number of other states, the general assembly not being in ses- sion, in the fore part of the current year I appointed a committee of five of this state to study this sub ject. The committee has been active, though it's work is by no means con- pleted. The subject is an important one. I suggest that the general as- sembly lend its sanction to this un- dertaking by authorizing the con- tinuance of this work.
 Welfare
 A civilized community comes to recognize more and more that 1t owes a duty to certain unfortunatcs among it's citizens. The care of chil- dren suffering under physical or mental handicaps or rendered desti- ute by circumstances beyond their control pays large dividends by way of men and women made capable of useful lives. The care of the aged and the mentally infirm is a hardly less important obligation of civilized society.
 It has come to my attention that many of our state institutions arc in- both as to space and equip ment, to care for the cases which should properly be referred to them. I believe that this entire matter de- serves a careful investigation and your serious attention.
 Conclusion
 It will be noted that many of the recommendations which l have made to you necessitate substantial expenditures of the states funds. I have, however, made no suggestion involving substantial money outlay unless to my mind, such expenditure is amply justified in the interest of administration of the states affairs. The expenditure of public funds is only warranted by the ex- pectation of substantial returns by way of the we'll being of it's citizens. If such returns are foresecn, the eX- penditure is not only justified. but obligatory. The legislature may find the adoption of some of the princi- ples of this message would require m appropriation in excess of the esti- m event, action must be postponed o such time when funds are avail ,ble. No recommendation of this message is more important to the ultimate welfare of our institutions han the business policy which ] nave already oulined. The demands of public necessity must, of course, 1e met. If at any time the revenue or such demands is insufficient, the egislature must provide for an in l ,rease of that revenue, but, in any went, the budget must balance. | Proper economics are secondary in | only 10 proper econo- 1 nies. The prosperity of the state can ,e maintained only by wise expendi- ure coupled with wise conserva- l ion.
 IL is my earnest purpose to ad | nipister the executive branch of our | government in accordance with the | oregoing principles, and in so doing |
 feel that I can rely, with confi- Ience, on the cooperation of this |