The Daily Alaska empire., 1937-02-11
6. OF 6. HONORS SENATOR'S AND
 OTHER GUESTS
Mine Tax, Board of Educa- ton. Fisheries Among
 Items Discussed
Continued from Page ..le)

could operations continue, and give to the residents of that area
 In the early days the rich ground was worked out, the Senator said, and now only through expensive operations coupled with the increased price of gold could a margin of profit be reached. He said that Nome produced approxi- mately $4,0OoOoo in gold last year and that indications point to greater increase during the coming year, resulting in additional To- cal employment and general pros perity to that area.
 Senator Cochran concurred with Governor Troy that the time has arrived for the Territory to assume its share of expense in developing the Territory, but he expressed that it was his strong personal op- inion that gre IS tax on gold pro- ddction would create an inequity and injustice on large scale opera tors and have a tendency to keep capital out of the Ter ritory, and restrict that which is now active in the Territory, result ing in the curtailment of mining activities and development. The Senator pointed out that the Alaska Juneau Gold Mining Company must operate many years yet to pay off the investment it has made, and that under gross tax, mines in development would be forced to pay taxes out of losses. which in many cases would prohibit operation and development.
 The Senator urged all interested to attend the public hearing on the gold tax before the Senate as committee of the whole this after noon.
 School Administration Told
 H. L. Faulkner, president of the Board of Education, gave a brief history of the school administra- tion in Alaska, and explained in brief manner, because of lack of time, the functions of the Board of Education and the problems with which it was confronted.
 In the early days the schools were supported locally in incorporated towns, and from the Alaska Fund, in un-incorporated towns, MT. Faulkner explained. The revenue for schools before 1918 in incor- porated towns was received from saloon taxes. Prohibition changed the situation and in 1919 the Leg islature created the position of Commissioner of Education, with an appropriation of $80,00O.
 Since then the schools have grown to need of approximately $500,000 per year. In 1883 the Board of Education was created with one member from each Di- vision and one member at large, MT. Faulkner explained.
 MT. Faulkner praised Governor Troy for his selection of board members and pointed out that he believed the Board of Education was the only Administrative Board which had cut its Budget. MT Faulkner said he believed this year the school budget would be about s1O2,000 less than the estimate made by the Board of Budget.
 MT. Shields Introduced
 Introduced by President Folta as a real Alaskan and consistent friend of the Territory whose generosity came sincerely from the heart, Ar chic Shiels replied that whatever generosity he might have he learn ed that generosity while living and working among the people of this Territory.
 MT. Shiels said that in many ways the Territory was like corpora ton, with the Governor as chair man of the board and the Legis- lative bodies as meeting biennially as directors. He also pointed out that the fishing industry and the Territory had many things in com mon for their mutual benefit and that he felt the spirit of coopera- tion between the two, one as the largest taxpayer and the other as the receiver of taxes was grow ing. In conclusion Mir Shiels said that in a broad sense the fishing industry stands for the same kind of service to Alaska as does the Chamber of Commerce
 Judge s. HelIenthal Is Speaker
 Judge Simon Hellenthsl of the Third Division, formerly longtime resident of Juneau and active Chamber of Commerce worker, when called upon by President Fol- ta, said that he had always been a working member of the Chamber and consequently not talking member. He discussed the econ-