The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1937-07-22

heavy industrial taxes, had prevent
ed much industrial growth in the
last decade. But when the new gov
ernor, Richard w. Leche, was elect
ed he outlined plan to revive the
state industrially.
The plan, which was adopted, re-
pealed the Objectionable license tax
on manufacturing establishments;
effected a more equitable tax on oil
refining; encouraged establishment
of livestock industry by removing
the tax on cattle, sheep and hogs;
created a board of commerce and
industry to court industry; appro-
priated 100000 for promotion, and
proposed a constitutional amend
ment giving the governor permits
sion to grant tax exemptions for ten
years to new plants and additions to
existing plants.
Effects were not long in coming
to notice. Building permits scared;
so did department store sales, cleo
trio power consumption, manufac-
turing sales, post Office receipts,
wholesale grocery sales and other
induces. Problems of state finance
and legislative problems kept Gov
ernor Leche from starting his in
dustrial program with the full gusto
he would have liked, but his own
personal efforts brought into the
state Is new industries ranging in
value from 100000 to $4,000, 900,
employing 5000 in their construc-
ton and giving permanent employ
ment to nearly 5000.
Mississippi Follows Lead.
Florida is wooing industry with a
tax exemption law and is granting
municipalities permission to erect
buildings for manufacturers. Cities
are vying with each other to attract
new factories, although insisting
that they must be engaged in light
manufacturing, such as garments,
small housewares, etc.-no plant
which emits Objectionable fumes
need apply.
Agricultural Mississippi, eager to
replace the lumber mills that have
left ghost towns" along the rail-
roads, has adopted a plan to "bal-
ance agriculture with industry"
which was sponsored by Gov. Hugh
White. In addition to tax exemption
for five years, it offers free facto-
ries and free factory sites which, if
the manufacturer maintains a speci-
fed payroll for a stated period of
years, become his property in most
cases. The factories are built by
the municipalities in which they are
situated, the cities issuing bonds to
cover the cost.
Other states are proceeding along
the same lines. Alabama offers ten
years of freedom from taxes. Mary
lands countries may grant perma-
nent tax exemption on manufacture
ing machinery. Arkansas, with
population 70 per cent rural, has
thrown its working cap in the in
dustrial ring with a large fund to
advertise the states natural re-
sources and manufacturing advan-
tages. North Carolina has just -ap-
propriated $250,0 to herald its at
traction as a field for industrial ex-
pansion. Texas is now considering
an appropriation of 81 10000 year
for the next five years to advertise
the states resources.
Southern Markets Grow.
To date efforts have been concen-
trated upon attracting industries
which could process the raw mate
rails of the various regions. Louisi-
ana, with it's thousands of acres of
rolling pine land, now leads the
South in the securing of paper and
pulp factories-largely a new south
ern activity. The textile industry
has moved almost en- masse to the
Carolinas; the South now produces
So per cent of the nations textiles,
while New England, for more than
a century the seat of this industry,
now produces only 38 per cent.
AS industrial payrolls provide a
constant stream of wealth for south
ern workers. the markets below the
Mason and Dixon line are constant
ly gaining in Importance.
Advised opinion of many indus
trialists and economists is that the
North. and East, as well as the
South, will benefit from the greater
prosperity of Dixie, with each Sec
ton of the country supplying the
products it can best produce.
g Western Newspaper Union.