The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1935-11-07
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that IS puZZllng meHlpeIS OF
the Legislature with their eyes fixed on
December End
The two outstanding legislative prob
lens in Minnesota today are social
security legislation to dovetal with the
federal Social Security Act and the
unsettled tax problem. The former is
the more Immediately urgent, but the
latter is the graver The first must be
attended 70 at the special session; the
second might be put over until the
regular session only a trifle more than
year away.
Two reasons have been advanced for
postponing the solution of the tax
problem: Cd 1t is geenrally expected
that the people in November 1886 will
approve the proposed constitutional
amendment forbidding the levy of taxes
on property for state purposes. If the
amendment should be approved it will
be necessary for the Legislature Of 1897,
which viii meet in a little more than
a year, to completely revamp the tax
structure of the state. Why then, Is
the argument advanced. should time
and money be spent for tax solution
which in all probability must be re-
vamped anyway a year hence? Cd
There is a growing opinion that no
additional funds need be provided for
the enforcement of any social security
laws which may be enacted by the
special session The 100000 voted
last winter for old age pensions is
available; many believe that will be
ample for the y months following
January 1st, 1886; if it is not, such ad-
ditional funds as may be necessary can
be authorized by the special session
without resorting to an immediate
change in the tax structure.
There is a very general agreement
that the enactment Of Minnesota legiS-
lation to meet the federal old age
pension scheme will in the end cost
many millions of state money, and the
permanent solution of the states critical
tax problem will finally be greatly ag-
grayated by the old age pension under
taking. There is, however, some diff
ference of opinion as to the immediate
cost Chat is, the cost for 1886 of
statewide old age pension law to CO.
operate with the federal Social Sc
curity Act
George Nordlin, former state sena-
tor, a member of President RooseveIt's
Advisory Committee in the drawing of
the Social Security Act, and a pioneer
advocate in Minnesota of old age pen
Sions, is firmly of the opinion that the
1886 operation of any Minnesota state
wide old age pension act cannot pos
slbly cost more than 81 COCOON His be-
lief is supported by pension experience
IN the three big counties Of the state
Those who have been administering old
age pensions in Hennepin and Ramsey
counties declare that it will be July 1st.
1886 before a new statewide pension
act can actually begin to function. ana
they point out that time must be con-
Sumed in the examination of appEca-
tons. and that experience has shown
that progress toward the maximum
pension load is slow.
On the other hand. the Interim Tax
Committee which has thus far had
three sessions, and is due for another
November 9th, is impressed with the
need Of caring at once for the states
unemployables and with the figures
adduced by the Minnesota Institute of
Governmental Research to the effect
that such care will involve heavy ex-
penditures at once.
The institute thinks that the min
imum number Of eligibles So years or
older in Minnesota is 2.I85. On the
basis Of one-half payment by the fed
eral government, as provided III the
Social Security Act, and the other one
half payment by the state and county.
the total Minnesota cost per year for
these 32,185 "a number which is bound
TO increase) would be as follows: Fo-
a pension of $50 per month. a total
state and county cost of S. ,793 300 per
year; for a pension Of SD per month
practically the highest now paid. 4
total state and county cost of s4,248. 400
per year; for pension Of SIS per month
(which is more than the average new
paid a total state and county cost of
S2,a96,650 per year; for a pension Of
So per month, a total state and county
cost Of s2,317, 800 per year.
These figures are for the minimum
present pension load. If the maximum
number Of eligibles in Minnesota. b.
49S was Immediately placed on the I'D
age pension rolls the yearly cost to
state and county for a $50 a month
pension would be SIOOO0.OO0.
Members Of the Executive Council.
under warrant Of a law passed last
winter, last week sold AZ millions of
Minnesota highway bonds with which
to match federal funds. Minnesota will
pay ~ per cent for this money. It
gets, incidentally, a premium gift of
S2l $3.50. The Legislature last winter
authorized the Executive Council. in IT'S
judgment, to issue during the bienniur1
not TO exceed S12.0OOOO0 of highway
bonds to match federal contributions
to the state, and of that amount not
more than S80OO.OO0 may be issued
during the fiscal year ending June 30th.
1886.
Two departments Of the state govern
ment are clawing at each others threats
over proposal to scrap the present
telephone system at the capitol and 20
install a more modern system. The de-
partment Of efficiency and economy.
which hasn't done much in the ecor-
oIly line for some years, wants TO make |
the change, but that rough and ready
fighter, Harry Peterson. attorney gen