The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1931-04-17

state, is a very carefully prepar-
ed analysis of the debenture bill
from Ernest Beaudette of Mus
selshell county in which ne effec-
lively dissects the proposed meas
ure and calls attention to the in
terests behind the same and what
it will cost the people. 1t follows:
A LAST WORD
Bundy, Montana,
April IL, 1881.
Producers News,
P1entywood, Montana.
AIr. Editor:
Permit me one last word about
the uncertainty over the 5 cent gas
tax and debenture measure we are
going to vote on next month. I
will be as brief as possible.
Three main features loom uD very
prominently in this coming refer
endum: One is to Issue debenture
bonds so as to gather the money
in a bunch in order to match the
federal allotment for Montana and
obtain it; the second provides for
the payment Of this money to the
State Board Of EQUALIZATION in
was specified in referendum NO. 81
an, third, the levy Of an addition
al cent tax on gasoline.
On Nov. and, 1896 we voted init
tative No. 81 which placed q SC
tax on gas. Later in 1929 the legts-
1ature increased this tax to SC per
gallon which is the tax we are
paying now. This present tax was
to remain until 1884 when it was to
be reduced to 3 cents again, but
last winters legislature extended
the time of operation until 1871,
which is the law as it stands at
present.
The new referendum which we
are called upon to either accept or
reject next month is wy obviously
framed and open to a most doubt
full interpretation. It is known as
Initiative Measure No. IS, and also
as House Bill NO. $50. So now let
us take q good look at 1t. first
stripping it of all confusing verb
iage and incumbranceS, and Elk
ANIME SECTION NINE which Is
the BACKBONE Of this MEASURE
and the very one causing all our
uncertainties.
Section 9. For the purpose OF
providing for the payment Of the
interest and the maturing pr1nc1-
pal Of the state highway treasury
anticipation debentureS herein pro-
vided for, every distributor refer
red to and defined in Initiative
Measure NO. 81 1855 shall pay for
the year beginning April LIST. 1881,
and each year thereafter until
March 31st, 1941, to the State
Board of Equalization for deposit
into the state reasury, q license
tax for engaging in and carrying
on such business in this state in
an amount equal TO cents, and
for each year after March 81, 1871,
equal to cents for each gallon
of gasoline refined, manufactured
produced or impounded by such dis
tributor and sold by HIM in this
state" etc.
Nothing is said in the above sec
ton about repeating measure 81,
nor of assuming the tax mention
ed therein, so the 5 cent tax exist
ing now stands permanent regard
Less of this new measurei and as
this section 9 specifically states
that cents per galoln must be
collected till 1871 and this IS a
new, separate and distinct Law, no
other construction can be logically
applied to it but that this is a
brand new and additional cent
tax which we Will have to pay
added to the one now prevailing,
which will bring the gas tax ten
cents higher till 1871 when 1t win
slide down to a 6 cent tax there
after.
We must note that this new
measure only mentions initiative
81 insofar as to pointing out the
distributors mentioned therein and
ordering them to pay this tax TO
the state board of equalization in
stead Of to the state treasurer as
was provided in measure 81. Moth
ing is said about repeating any for
mer tax, so they remain in full
force, and the new measure viii al
so create new tax IL approved
7 will not comment on this pro-
posed measure as am a good-road
advocate and as DESTROYS as any.
one for the welfare Of our state,
but I am decidedly opposed to a fur
ther burden Of taxation in these
dire times, especially one parading
behind a mask like this one; and
VIII say only this much; The au-
tomobile interests are working
teeth and toenail for this new
measure, and I regret to state that
many Of their statements have no
foundation In fact; also our appre-
c1able gentlemen Of the state high
way commission, who will be de-
lighted to see It carried, will get
$50 Of the SIS, 900 900, or 81 ,o4o, 600,
for their trouble; also some finan-
cia1 concern who Will buy these SEQ
debentures win receive further
slice OF about Se5oooo interest;
. and, lastly, we can safely figure
that the contractors clear profits
VIII be st least 2o9o or s., 500, 900
bringing the total up to approx.
mately S4,25o,ooo in privte compen-
satfoms.
Tnds looks like q tree holding
some very choice plums for some
1 body.
But we must smile and not gel
cold feet too quick, for our legis.
rafure concfusively showed its PIN:
anthorpy and magnanimity when Il
created this measure by soIeannly
providing In section az that any
Kind hearted voter who would gen.
erously offer his services free az
an election Judge on the day Of
voting on this measure would b
grectous1y accepted.
ERNEST BKAUOETTE.
RuHHW NEnaao1Rha1I Flo,,~<-