The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1931-05-01
LETTER TO GORDON
Senate
STATE OF MONTANA
L. p. Donovan
co,,ofOv. from TOME County

L. p. Donovan
Senator from TOole County
April 8, 1881
Hon. Geo. d. Gordon,
Ft. Benton, Montana.
Dear MIR. Gordon;
In reply to your letter of March
3Ist, regarding House BIZ 45O
Initiative Measure No. S5)s beg
to advise that I have not given ser
ious consideration to the legal ef-
feet of the Bill or to the question
whether or not 1t would add an adj
ditional five cent tax on gasoline.
Personally do not favor the
Bill for other reasons. The pres
emit gasoline license tax is yielding
approximately three and one-quart-
er million dollars per year after
refunds are deducted. IF the funds
SO received were properly applied
to new construction they would be
sufficient to match all Federal
funds available to Montana with
out loss Of any Of such funds. Un-
der these circumstances see no
good reason why the State should
incur an Indebtedness OF six mil
lion dollars and thereby put itself
in a position where It Will be
obliged to pay an interest charge
alone Of three hundred Thousand
dollars per year and will be wholly
unable to provide the necessary
money to match Federal funds a.
valuable after 1895.
with the tax rate in this state
already so heavy that the owner
ship of property is q liability ra-
Their than an asset, do not think
1t prudent to practically double the
state Indebtedness and present in
terest charges and saddle upon
ourselves also the necessity Of pro.
viding sinking fund to pay off
the principal Of the six million dol.
lars.
Furthermore, the appropriation
of two hundred Thousand dollars tC
meet the expense of special cleo
ton was, in my opinion, unneces
sary. IF it was decided to submit
the matter of the bond issue at all
it might have been submitted a.
the next general election for an ex
pense of about fifteen thousand o.
twenty Thousand dollars.
In some other respects the bill is
in my opinion, something of a mon
strosity. It will be observed tina
Section IL of the Bill specia
election is called for the purpos,
of voting upon the Bill and in Sec
ton 90 an appropriation of tw,
hundred Thousand dollars is mad
to meet the expense of the election
Section 20 is penal provision
providing for punishment of off
GERS who fail to carry out the act
Yet, by the provisions of Section q
of the Bill it is expressly declared
"This act shall be in force and eff
feet from and after it's passage an
approval and proclamation to tina
effect by the Governor, providin
the same shall have received a ma
jority of the votes cast for and a
gainst 1t at the election herein call
ed" In cher words, no part of tn
Act is in force and effect unit!
afer the election. How then ca
ing the appropriation, or Sectio
90 prescribing punishment for OF
ficers who disobey the provision
OF the Act? In m yopinion, n
part of the Act is in force or Ell
feet at this time. ANY view to I'll
contrary Is, in my opinion, a dis
tcrtion of the plain provisions {
Section IS to the effect that the az
as a WHOLE is in force and effeC
only after passage, approval an
proclamation by the Governor sui
sequent to the election.
For my own part, I cannot SO
that the election has been legal
held, because the provisions of Il
Act calling the election are not v,
in force and effect.
The whole act is a part of Il
hipp-o-ray of the Highway Con
mission poorly considered, and
my opinion imprudent and inadvi
agile
With personal regards, I rema
Very truly yours,
LOUIS p. DONOVAN