Evening star., 1934-01-17
ADDRESS
CHEERS SCHOOLS
Virginia's New Governor Asks
$1,000,0OO Additional
for Education.
BY LESTER N. INSKEEP,
Stan Correspondent Of The Star.

RICHMOND. Va, January 17.-1n a
radical departure from the policies of
his predecessor. Gov. George c. Peery
today advocated in his inaugural ad-
dress that $l,00O,000 in additional rev.
enue be raised for schools, that the
liquor control commissions plan for q
Control Board Of three full-time men,
berS be adopted, that automobile license
tags be reduced that the fee system be
tion OF 1nSolvent banks be removed
from the courts to the State corporation
commission.
Peery, Virginias fiftieth Governor,
was inaugurated on the south portico
of the ancient capitol Of the Old
Dominion at noon today.
1t was a tall salesman from Taze-
well who kneeled. kissed the Bible, took
the oath Of Office and succeeded John
Garland Pollard as chief executive Of
the commonwealth. the office held by
Jefferson. Patrick Henry and other
Virginians whose names now are inn
mortal. Traditional pageantry accom-
panied the ceremony.
Whereas Gov. John Garland Pollard
had provided for increased school reve-
nues Of only about $1.000,0 900 in the
biennial budget, all Of which was to be
raised through revenues from the sale
Of alcoholic liquors and a $500 900 in
crease in the tax on public utility re-
ceipts, his successor offered 10 proposed
new sources of revenue, most of which
would go to schools and double the
former proposed increase.
Would Reduce Exemptions.
Reduced income tax exemptions would
produce an estimated $260,000, the
exemptions being returned to the 1890
level; discrimination of the deduction
now allowed for dividends received by
taxpayers from corporations in Virginia
to produce $4,000; revision Of the
merchants taxes. adding a tax on re-
tail sales, 100000; SO per cent re-
duction in inheritance tax exemptions,
$4,000.
A 3 per cent tax on the miscellane-
Gus receipts of power. light, heat and
water companies. $4,000; a 1.6 per
cent tax on receipts Of buSses operated
by street railways in cities, $50. 900; a
reasonable tax on pipe line mileage
$4,000: a tax of $50 per mile of lines
of poles or conduits of telephone COM
panieS not paying tax on gross re-
ceiptS, $4,000: 2 per cent tax on
gross receipts Of sleeping car COM
panies. $22 900, and S per cent ad-
mission tax ON theaters, In addition to
the present license tax. Sl50,000.
While the recommended additional
increase in school revenues is 81 900 900,
the Governors proposed new sources
Of revenue are estimated to produce
$1.161 900 annually. He did not in his
message propose the manner in which
the balance should be appropriated.
In referring to the liquor control plan
which has been placed before the As
sembly by the liquor control commits
sion appointed by Gov. Pollard. Gov.
Peery declared that he favors the plan
for a Control Board Of three full-time
members.
Bows to Local Option Wish.
During the six-month period provided
in the bill during which a vote on local
option could not be held. he suggests
that the State be restrained from setting
up dispensaries in those counties petit
tioning for local option election.
In accordance with his campaign
promise. he recommended that auto
mobile license tags be reduced from a
straight 70 cents per hundred pounds
to $40 per car for cars weighing up to
5000 pounds; SIS over 5000 and up to
1000 pounds; S25 over 1000 and up to
5000 pounds, and $35 for those weigh
ing more than 5000 pounds
He would place Commonwealth's at
torneys on straight salaries and would
seek the elimination of inequalities in
salaries OF treasurers and commissioners
Of revenue, but believes that to place
justices of the peace and similar ofn-
cials on salaries would tend to make
them less diligent in their duties.
While salaries Of county and city
clerks might be ascertained at this time,
he said. he believes the placing of these
officials on salary basis would result
in an increased burden to the State and
localities.
He recommended that the General
Assembly adopt legislation providing for
the liquidation OF insolvent banks and
insurance companies through the bank
ing and insurance division of the State
Corporation Commission instead of
through the appointment of receivers
by the courts.