The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1933-01-21
TREASURER ASSERTS
SUGGESTED SYSTEM
WOULD HELP FARMER
Also Sees It as Remedy for De.
linquent Taxes and Saliva.
ton for Credit
STATES FINANCES POOR
Analysis Shows Huge Tax Lev
les Necessary to Finance
Bond interest

DSCldIlu8 Cu6L NoTC0 Dakota tax.
payers viii be called on for between
20 and Is million dollars in taxes this
year. State Treasurer Alfred 8. Dale
recommended to the state legislature
In . special message Saturday after
noon that system Of scrip money
be established in North Dakota.
Dale said interest on North Da-
kota bonds delinquent or falling due
this year opportunities $4,000, 600
while 1t will require approximately the
same amount for the operation Of
state departments. In addition, he
said, other taxing units throughout
the state will be demanding not less
than $2o,0oo,O0o.
Realizing that further delay will
leave our state finances in q chaotic
ctndition," he said, Dale recon-
mended three specific suggestions to
the legislature:
l. Transfer Of one cent Of the gaso-
line tax to the general fund for the
next two years to furnish funds to
pay off legislative members salaries
and expenses and to conduct the
other necessary governmental func-
tons Of the state.
2. Transfer of state bridge fund
and any other funds not essential
for immediate needs, approximating
$780, 200, to the general fund or to
the real estate interest fund.
3. Provisions for continued liuuid-
ity Of the Bank Of North Dakota, In
addition to insuring sufficient funds
to make interest payments.
Regarding the third suggestion
Dale said he does not favor a tax
levy on real estate and declares q
sales tax would be resented.
Painless, Self Liquidating
He offered the scrip plan as pain
less and self-liquidating." Under his
proposal, q farmer would bring 1000
bushels to town and sell at regular
market prices. receiving say $3.50 In
cash.
II he has q loan at the Bank of
North Dakota he will turn the $3.50
over to the bank. The bank credits
him with $3.50 paid on his obligation
and issues to him a series Of 81. IS
and SO negotiable certificates total
ing $3.50. It Is unconstitutional for
the bank to issue currency.
Under the scheme the farmer gets
double pay for his wheat, pays his In
stallment to the bank In caSh and re-
ceives an equivalent In negotiable
bonds.
A stamp scheme, similar to that in
use In many sections, Is recommend
ed to make the plan self-liquidating.
Dale'S plan proposes three pei
cent discount with each transaction
When the farmer takes his certificate
to his merchant, that merchant buys
the three-cent revenue stamp, issued
by the state, which must be attached
to the certificate.
These revenue sallps would be pur.
chased from the state treasurer. Each
certificate would be liquidated after
IS transactions. With IS stamps the
certificate could be turned over to the
treasurer and cash received, the
money being provided by collections
from stamp sales.
In this manner the certificate
would serve as q medium Of exchange
With q small service charge. Dale
would require each farmer to sign ar
agreement, when he gets his certifi-
Gates, to reduce his acreage in accord.
ance with specified agreement. Dale
thinks all farmers would be happy X
do this II they could get . doubled
price for their grain.
It Is fundamental to the plan, thu
treasurer said, that all individuals. or.
CARNATIONS and institutions In thu
state be invited to assist In furtherinf
the proposal.
III adopted By the present progress
sive legislature" Dale said, this plar
will no doubt be adopted by the fed
eral government In connection witt
It's vast system Of farm loans and seet
loans, as well as It's taxes"