The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1933-09-21

one OF the arguments ADVANCED 1Ol
the passage of the sales tax at the
time it was before the legislature wal
builded around rumor that II the
League was in power in North Da-
kota the state would so suffer in credit
that we would be unable to negotiate
needed loans with the Reconstruction
Finance Corporation. This argument
was disproved by the fact that we
have been able to make $1,000 ,00(
loan from this corporation, largely
due to the fact that the Bank of North
Dakota was 52co solvent. Under the
provisions Of the law taxing the power
companies at the rate Of 1870 Of their
gross earnings; 200 OF the tax SC
collected is to be credited to the State
Equalization Fund. This, in addition
to the three and one-half millions
to be raised through other new legis-
lation, should more than take care Of
the Interest and Sinking Fund re-
quirements without resorting to the
sales tax method.
Analyses Sales Tax
Let us devote few moments to an
analysis of the practical operation Of
this new and painless form of state
financing, this measure that is to
make the school bells peal without
any new burden being placed upon
the backs Of the public, and that We
are promised will overnight transform
the financial status of hundreds Of
school districts from that of dire dis
tress to one of comparative affluence.
After all of the expenses of admins
tering the act are cared for, after all
of the collectors and the inspectors
and the myriad of other appointees
will have found haven of political
refuge in the machinery of enforce
ment under this measure, then and
not till then. will any of the collec-
tons made be credited to the State
Equalization Fund. On September
of 1884, almost year from the present
date, we find that 25ro Of the taxes
raised under this act will be avail
able for the relief Of our public
schools. And out Of this 25eo one
half. or 12lars, will be distributed
among the counties on basis of
school population, regardless OF need.
So that If 100000 is collected an
nually through the operation Of this
act 100000 will be allocated among
all of the schools of the state and
$5OO,OOO will be available for those
districts which are in dire distress.
It requires approximately thirteen
millions of dollars to operate the
schools of this state for one year, and
hence on the basis Of the figures just
quoted the statement of Arthur E.
Thompson, superintendent Of public
instruction, is substantiated when he
asserted that it would relieve the
taxpayers of less than ten per cent Of
the cost of maintaining our schools.
Says Governor Vacillates
The vacillating attitude Of the gov
ernor OH matters Of legislation Is apt
ly illustrated by his action on another
measure passed by the last assembly.
BY a tremendous majority the legis-
lature passed a bill providing for the
weighing and grading Of livestock at
all packing plants within the state.
The governor stated to me In the
presence of 10 or Is witnesses that he
had signed this bill, and then, for
reasons best known to himself, he
placed his veto on the bill seven or
eight days later. This action was tax
en- in the face Of the fact that this
measure was passed by his own politi-
cal group for the benefit of the farm
ers and livestock raisers Of the state.
What pressure could have been
brought to bear upon the governor to
commit this act Of political perfidy
I am not in position to state, but !
am prepared to assert that 1t was an
inexcusable and treacherous act to his
own political associates and to those
whose efforts and loyalty made it pos
sible for him to attain the office he
now holds.
There is one other matter to which
I desire to call the attention Of the
voters of. this state. While the gov
ernor declared moratorium on the
foreclosure of farm mortgages, he has
consistently placed in high position
some of the very strongest opponents
of the Farmers Union moratorium
measure, voted upon by the tax pay
ers In two consecutive selections. The
very men in our own organization
who took part in helping to defeat the
moratorium are now enjoying the
smiles of the administration and the