The Western news. [volume] (Libby, Mont.) 1933-current, 1938-02-17
Discusses Tax
Problems with
Libby Club
Fred Benton, Expert, Tells
Condition of County, State
and Federal Finances.

SAYS PEOPLE MUST
TAKE MORE INTEREST
That the system of county gov.
eminent now in operation through
out Montana is cumbersome ano
expensive was one OF the many
statements made by Fred Benion
executive secretary of the Montana
Taxpayers association while speak
ing before the Libby Commercial
club Tuesday night in Moose hall.
Something will have to be done
to do away with and improve these
out-of-date systems If county taxes
are to be lowered" said Benion.
do not misunderstood me. I do
not mean that county officials are to
blame. They are the victims of a
system that has grown up through
out the years and they must follow
laws many of which pile up un-
necessary expenses. Many new laws
result in added tax burdens. AS an
example | cite one of these, the
new auto tax law. The old law
was bad enough, but the new statute
is much worse. As a matter of fact.
it is costing the state about $50. 600
to collect $350,000 in auto taxes"
said Benton.
Many In Association
The Montana Taxpayers associa-
ton, said Mr.. Benion, is composed
of from 500 to- 900 business con-
Germs in the state. The member
ship includes not only large and
small corporations but hundreds of
small business men and private in
dividuals.
Mr.. Benion was most interesting
speaker and gave world of in
formation. He spoke at length
and delved into county, state and
national taxation and finances. His
address while highly instructive, but
of too great length to be adequately
reported in weekly newspaper
article 80 =
In referring to Lincoln county he
said the county was potentially In
good condition. However. he said
an unsatisfactory factor was that the
county has been living beyond its
income for some time. This should
be corrected, he said. He used many
charts throughout his discourse, one
OF which pictured the county's fl
nancial condition for several years.
Former heavy bonded debts had been
paid off and the county eventually
was on cash basis a few years
ago. Then came the court house in
1ahfaIracc
lures, which had raised the county
indebtedness considerably. He said
the bad thing about this was the
growing expenditures while the tax
able value had been declining. How
ever, the shrinking tax value had
evidently now reached bottom. he
said. While the taxable valuation
went down, the tax rate went up I'M
til last year, Benion pointed out.
Taken as whole, he said Lincoln
county's financial condition was not
bad but 1T could and ought to be
improved
State Finances
State finances show some i'm
provement, the speaker said. He
explained in detail financial con-
ditlons IN state government Appar-
entity the general fund shows big
improvement, he said, but this IS
somewhat offset by an increase in
bonded Indebtedness. Much great
er sums have come into the gen
eral fund, Benion said, from the
liquor law, unemployment compen-
sation payments, increased income
taxes, and other sources. But while
the income has increased, expendi-
lures have also gone up, The state
general fund, he said, is in not too
bad condition.
Benfon argued in favor of the
manager form Of government, both
IN city and county. He SAID WfleT--
ever tried, it has resulted in a great
saving and lower taxes. He cited
instances in Montana where it has
been and is still being used. There
are over 500 towns. cities and coun-
ties in the United States now under
the managerial system. -.-----.----
Favors Consolidation
There is also a strong trend to-
ward consolidation of county offices
Benlon said. Several counties are
combining two or more offices and
are making substantial savings
thereby. He said bookkeeping sys-
TENS now in use are antiquated and
unnecessarily costly because too
complicated. Work is under way to
simplify them, he said. He also
favored consolidation of school dis
tricts where advisable and told how
that is bringing lower taxes in
places. He also favored county con-
solidation under certain conditions
He spoke only briefly on national
affairs but pictured the mounting
debt burden on the national govern
ment. He said the debt at present
was not SO dangerous in itself, but
that the trend was highly dangerous.
By that he meant that costs of gov
eminent are not growing much less,
II at all, and the government con-
tlnues to spend much more than it
takes IN. That trend-to spend more