The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1928-08-03

the children 100000, 00O-and as
much more invisible as one may wish
to spin into rainbows. The 5000 000,-
reach at present.
To attain that $2Oo,OOO,OoO from
resources now in sight requires new
policies. New policies for handling
state forest and new policies for
handling state ore properties.
In each case, the development of
the states policy for its own lands
ties in with the state tax policy and
land. The development of the state
property affects, or even controls, the
development of private property.
In fact, when the state of Mime
sofa decides what is best for the de-
velopment Of the $200,000,000 trust
funds, 1t is actually deciding what is
to be the future of one-third of the
state. For the whole development
proposition hangs together
The problems of forest taxation are
being studied by the interim COM
mission. The state has about half a
million acres in public forest reserves,
which is likely to be increased to a
million. Public forests, state and ma
tional, will probably be the main reli-
ance for saw timber hereafter Pri-
yate holdings are more likely to sup
ply the bulk of the pulpwood which
is coming to be the more important
item. But the public forest is the
key to private development.
In the same way, when the state Of
Minnesota decides what is the most
profitable policy in regard to its min
eral properties by what methods the
largest sum will be realized for the
trust funds, it will have gone long
ways toward deciding what is the best
permanent policy for all mineral prop
critics in the state.
If not new policy, there is new
point of view implied in handling the
states mineral wealth. That $42,-
100000 from the richer deposits of
iron ore now under lease by the state
will come of itself. But the creation
of values in the immense deposits Of
low grade ore, which are now worth
nothing, is another matter. 1t has
been argued, and it may be SO, that
the realization of those vast low grade
values depends on the judicious
handling of the smaller high grade
deposits.
And, though the states ownership
is less than one-tenth of the total, It
may be in the case of ore, as with
pine timber, that values buried in
public properties are the key to devel-
opment Of private holdings.
And, as has been frequently pointed
out, the state as the largest landlord
in northern Minnesota, has a decided,
perhaps determining influence on
settlement, on delinquent taxation, on
every other phase of development.
Dimly perceived twenty-five years
age, the effect of the states role as
| absentee landlord on the develop
ment of northern Minnesota has been
brought into sharp relief in recent
years.
Twenty-Five years ago, Iversop,
speaking of the swamp lands, pointed
| out that these lands are "in a state
of nature almost without value, in
fact, retard the development of these
districts. These lands contribute
nothing whatever TO the local cost of
government.
Since then the principle has been
recognized both by the state and fed
eral government. Where lands are
permanently removed from the tax
| roll, especially when it is revenue
producing property like public forest,
| some contribution is due in lieu of
taxes, at least for roads and schools.
The state has made small allow
ance for school districts smothered in
state lands ever since 1912, and the
federal government turns over to the
local counties one-fourth of the re-
ceipts from national forests. The in
term commission is now considering
how that principle should be applied
in the balanced development policy
for the cutover country. 1t affects,
and in some instances perhaps con-
trolls, the future of one-third of the
states area 1t is that important.
The state has thus far accumulated
$50 900 900 in the permanent trust
funds. OF that sum, rs per cent came
from the cutover country. There re-
mains about 100000 acres of which
95 per cent is in the cutover country,
and from which is to be derived the
remainder of the $200,000,00 in sight
for the children's heritage.
| The handling of these properties TO
produce the largest potential sum for
the trust funds, and the formation of
state policy which will result in the
best and happiest development of the
latent resources of one-third of the
state, will be a worthy continuation of
gained the land, protected the fund
and kept the trust