The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1933-06-10
LEADERS TRYING TO
REACH AGREEMENT
ON INDUSTRY BILL.
Items Injected into Measure by
Senate May Prevent Early
Adjournment
MANY CHARGES ARE NOTED
House Claims Some Revisions
Will Affect Entire Purpose
Of Measure
MANY CHARGES ARE NOTED

With house and senate trying to
reach an agreement on the huge pub
lie work-industrial bill, passed Friday
night by the senate with amend
ments, congress Saturday was strug-
Cling to complete its business and ad-
,ourn by midnight.
Chief sources of difficulty were the
LaFollette amendment for publication
of income tax returns and the Borah
amendment against monopoly and
price-fixing.
Leading proponents Of the measure
contended the principal purpose would
be defeated If the Idaho Republicans
proposal was retained.
This would prevent any code Of fair
competition to be worked out In CO.
operation between the government
and industry providing for combina-
tons in restraint of trade, price fix
ing or any other monopoistic prac-
tices
Since the bill suspends the anti
trust law for two years to permit in
dustry to start up again on large
scale, advocates say the Borah
amendment conflicts to great ex-
tent with this policy.
Reject Clark Amendment
The clark amendment, making all
securities which now are tax-exempt
subject to taxation, was rejected by
the conferees on the ground that it
was unconstitutional, thus removing
one major point of difference.
Other developments of the day we're
passage by the house of a huge de-
ficiency appropriation to finance the
public work and other proposals of
the Roosevelt administration and the
reaching of new agreement on the
veterans bill with a prospect that
this controversy between congress
and the president was settled.
AS the measure finally passed Fri
Cay night, the tax section, to produce
1920 100000 year for funding the So
800, 0O0 900 public works bond issue.
was almost entirely different from the
house schedule which was built around
an increase In income taxes. Accept
tances of the senate's plan. designed
to be much easier on the small tax
payer, was regarded likely, however.
The tax choice to be made In con-
ference was between the following
two plans:
Voted by the house:
Increased normal income tax from
4 to 6 per cent on first $4,000 and from
to 10 per cent on all above: increase
of y cent in federal gasoline tax (now
one cent?; application Of income rates
against corporation dividends.
BY the senate:
A tax Of one-tenth Of per cent on
corporation net worth, with flat 5
per cent additional assessment on
earnings above 1919 per cent; flat 5
per cent tax on corporation dividends.
to be deducted at source: an increase
Of u cent on the present gasoline tax:
three year extension Of corporation
consolidated return authority with in
crease of per cent in income tax
rate on consolidated returns, instead
OF present q Of / per cent rate-up.
Grants Broad Powers
The bill vests broad emergency
powers in the president and his adj
n1inistrators to promote self-regula-
ton of all industry under federal SUI
pervision to end over production,
sweatshop wages, unduly long hours,
and thus increase prices and employ
ment.
It also provides for construction OF
public works, federal, state, local and
public benefitting private building, fl
nanced by a $1,000, 100000 bond issue
is designed to employ millions OF men
Under the unprecedented industrial
experiment, the president could work
out codes Of fair competition to be ac-
cepted by trade association volun.
tarily or he could compel their adop"
ton If necessary. and violators woulc
he subject to a $500 fine for each Of.
tense.
The president also would hold as q
weapon over recalcitrant industrial
minorities power to license indus
tries, but he would have to apply the
license over an entire industry or unit
where the fault lay and could not
single out a geographical area tor
6CONPl1lS q So1 t1O04ol O1AS4SoC.
This power would be used only as a
last resort, but 1t is sweeping enough
to ban interstate movement Of goods
of an industry by denying 1t license
To prevent flood Of imports when
prices and wages go up the president
could institute proceedings before the
tariff commission with view to de-
claring complete embargo. limita-
ton on imports or licensing Of I'M
porters which In effect would be an
additional tariff.
Singing out the oil industry, the
bill would give the president addition
al power to ban interstate shipment
of oil produced in violation of state
conservation laws
How Northwest Men Voted
The vote Of northwest senators on
the bill follows:
North Dakota-For: Nye and Fraz-
Ter.
South Dakote-For: Bulow
Continued on Page F!ve)