Montana labor news., 1933-02-09
ON
UTILITIES TAX
p E.. ELECTRIC,
GAS, AND TELEPHONE
TAX.

With the passing of the
thirtieth day-the middle of
the legislative session-the
lines of battle become clear
ly drawn.
Perhaps for the first time
a clear-cut Progressive Leg
islative program has been
proposed in a Montana Leg
islature. The members will
now take their places either
for or against this program.
A few more than a majority of the
entire membership of the Legislature
are aligned with the Independent Leg
~islative Association
##s
This is an organization of legisla-
tors, composed of members of both
House and Senate, controlled by a
non-partisan board of directors, even
ly divided between House and Senate,
Democrats and Republicans
$40
The association has adopted as its
major work now a program which
will embody in it's essential features
the following:
l. An economy program which will
cut salaries and expenses of public of.
f%icials, eliminate useless and unneces-
sary commissions and reduce the cost
Of government in Montana, state and
county, as greatly as possible, with
out gripping or incapacitating proper
governmental functions.
2. Legislation which will reduce
the property valuations on farms and
homes both county and city, from 80
to 20 per cent.
8. Legislation which will make val
u~ations submitted for rate-making
purposes by public utilities, prima
facie evidence of the value of the
properties for purposes of taxation.
a. Raise whatever additional rev
enue is absolutely required by state
and county governments through a
series of indirect taxes to be appor.
tioned-Q) to the general fund; (2)
apportioned back to the counties in an
equitable manner through the general
school and common school equaliza-
ton funds, said indirect taxes to in
clude the following;
(a) Personal Income Tax.
d. Increased Corporation License
Tax.
(c) Hydro Electric Tax.
Id Natural Gas Line Franchise
Tax.
(e) Telephone Line Franchise Tax.
(f) Miscellaneous Special License
Taxes.
There will be little general fighting
over the first provision. All factions
favor economy. The question of how
and where it will be applied, how
ever, brings up difference of opinion.
Labor organizations and those friend
ly to them oppose cutting salaries al
ready low, favor cutting the salaries
of higher-paid officials in all branch
es. 1t was on the contention that
members of the Legislature who serve
for two years for six hundred dollars
are poorly paid servants, that the
House defeated the Senate bill to cut
the pay of the members of the Legis-
~lature.
There is sharp conflict over the sec
ond provision which would reduce
property valuations. Railroads and
farmers fought bitterly over this ques-
ton at a joint meeting of the Com
mittees of House and Senate on Rev.
enues and Taxation Friday.
A sharp fight which will draw the
lines clearly is expected on the third
provision, bill for which was to be
introduced Tuesday.
The fourth phase of the Progress
sive program introduces a new idea.
1t is we'll recognized that any effort
to cut the costs of state government
only affect the taxpayers dollar but
slightly. Since approximately nine
cents of each tax dollar paid goes to
maintain state government, a cut OF
twenty per cent in state government
expenses would reduce taxes only n
and eight-tenths cents on the dollar.
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