The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1939-06-22
CAPITOL
&@-WeWS
House Passes Relief Bill
BY CONGRESSMAN KnutsOn

weekly letter last week because
was out in Minnesota and while
there was too busy to dc so. During
my absence from Washington
delegation Of the Workers Alliance
from Minnesota called at the office
to enlist my support of their relief
program. My secretary tells me that
with enc exception they were a gen.
tlemanly lot of men. The exception
was a quarrelsome chap named Ed
win Swanson from Milaca, who de-
manded to know if had left town
in order to avoid seeing them. This
is about the first time that I have
been accused of running away from
anyone. The Workers Alliance
would get further if they used bet
ter judgment in selecting their
leaders. Some of the leaders whom
1 have met are mouthy windjam-
mers who have never done an hon
est days work in their lives, and
are faring better under the present
relief set-up than they ever did be-
fore. How their families can get
along with some of them is beyond
my understanding.
Last Friday the House was in
continuous session from II A. NJ. I'M
til after one the following morning,
in consideration of the WPA pro-
gram for the next fiscal year. The
amount recommended by the
President was billion ATT million
dollars, which is 773 million dol
lars less than the sum appropriate
ed for WPA during the current
fiscal year. The present program
calls for an average employment
CT about million workers. The
program under the bill passed by
the House last Saturday morning
contemplates an average WPA en-
ployment of about 2 million work
erS.
During the consideration of the
relief bill a number of gross mis-
uses CT relief money were brought
out. Too much of the money spent
in the past has been wasted on pro-
jects that called for the employ
ment of machinery, and skilled la
Dor who were not on relief. It was
disclosed that millions of dollars
have been thrown away without
any benefit to those whom we seek
to help. For instance, in the city
of New York skilled laborers were
employed on WPA projects who
worked 40 hours a month and
drew from IT'S to $50 dollars per
month, while around the corner
would be a long line of needy per-
sons who could not so much as get
enc days employment.
Millions of dollars have been
squandered in the name of Art. In
New York City they put out a dir
ectory containing the names and
addresses of female artists models,
and each description was illustrated
by a photograph of the model in
the nude. OF course, this was put
out for the convenience of artists
who employ models. Some wag
suggested that this literary effort
should have been issued in vest
pocket form for convenience.
The New Tax Bill
The new tax bill which has Just
been reported to the House by the
Ways and Means Committee COM
bines "relief" for corporate bust
ness with "grief" for the average
taxpayer.
The relief fer corporate business
is in the form of notifications of
the existing corporate tax struc-
ture so as to remove certain tax
deterrents to business. The pres
ent undistributed profits tax will
be allowed to expire at the end CT
the current year, as now provided
by law, and next year there will be
substituted flat 10 per cent cor
porate income tax on those cor
porations which at present are
still subject to the undistributed
profits levy, namely, corporations
having net incomes in excess of
$4,000. Smaller corporations will
continue to be taxed as at present.
Perhaps the greatest benefit to
business under the new bill is the
provision allowing concerns which
have a net loss enc year to offset
1t against their taxable income in
the two succeeding years. Original
ly 1t was proposed to confine this
relief provision to corporations. but
Republican members of the COM
mittee forced its extension to BUSH
nesses operated by individuals and
partnerships which are perhaps
more in need Of it than the large
corporations whom the Democratic