The Daily Alaska empire., 1941-01-29
TEXT, GOVERNORS MESSAGE
Continued from Page I'hree)


 me hod than taxing this property however lightly and pc mttng foreclosure for of taxes after period ot years An inventory by the Alaska Planning Council of May 3O 1889 showed total of l32476 of mineral lands and 64 of non-mnera lands surveyed tor patent within the Territory Only small fraction of these surveys not perfected and patented Some of these tracts owned by corporations now dissolved or not but their have left Alaska in most instances their whereabouts unknown These lands fall into three types mineral, agricultural industrial
 Among the mineral lands are numerous lode mining cims located mainly in southeastern Alaska. Virtually all Douglas Island and much of the mineral area in the Keteh placer ground found in almost section of the Territory.
 To a more limited degree this is true of agricultural land factor of increasing importance that agriculture
 beginning to develop in central Alaska and the need for food production being accenated both military grounds and for the general of increasing the sef-suffcenc of the Territory In the Matanuska Valley progress is de ney mpeded because considerable of good farm nd required for the extension of existing farms held by vanished owners
 Among the industrial plants abandoned salmon can and other fishery manufacturing plants In number places the equipment has been removed from the buildings which not kept in repair and evidently abandoned Others have not been operated for years
 The problem of restoring these properties to use is being steadily aggravated with the passage o time and has subject study and by former executives of the Territory and legislators The tax and foreclosure method is apparently only practical way in which this important situation be met and is one of the most compelling for the enactment of general property | tax.
 Likewise it possible classify lands for tax purposes should be classified at purely nominal rate for
  speculative purposes whose have disappeared general this form of taxation will usefuy to prevent speculative holding of land and interests tneren at no cost whatever to the holder.
 To avoid unduly increasing the tax burden mines and fisheries that the property nnd nn uT m .s credit against the mining tax and the pack tax on fisheries products.
 To recapulate this program consisting of personal net income tax corporate net income tax and general prop ery along the lines here suggested together with the existing mining and the existing gross pack and fishing license axeswl permit the outright repeal of the territorial license taxes cold storage pants meat mar kes bakeries power light telephone and water companies sawm optonetrss dentists oseopaths attorneys under takers employment agencies and public messengers Further against the tax, of the miscellaneous federal license upon hotels and restaurants theatres drug stores jewellers, agents public has bowling alleys pool and billiard rooms abstract offices real estate dealers transfer companies tnerant physcans patent meoiche vendors, peddlers taxidermsts and pawnbrokers
 The enactment these three revenue laws, should the legislature fit to adopt them would of course involve expansion of the existing machinery of tax admin sraon and collection in the Territory For purposes of assessment final authority board of review neces sary It has occurred to me that such board might well enerathree officials having the confidence of the community whose functions exoco qualify them supreme measures They will probably require executive secretary administrative officials whose selection may De et to them legislature desires be appointed by the Governor subject confirmation by the legislature you prefer or some third alternative These are details of administration, though important ones.
 The drafting of legislation indeed of any legls ation technical and often somewhat complex assign ment Certain members of the legislature during recent months have the desire to competent legal Craftsmanship for the assistance of the legislature dur it's session. Following this indication sought to obtain such service approached the Public Administration Clear ing House Chicago we'll known highly reputed endowed noprof agency which has specialized in furnishing assist nce of various types federal stae county and municipal governments Through this was fortunate in ecur ing without expense to the Territory the loan for period of three months of Mr. Alfred Harsch Professor of Law at the University of Washington, who has specialized in prob of taxation and is the author of several the subject He began his tax work over IF years ago m the State of Washington participating in the drafting of that States tax initiative, which was approved
 932 Mr. Harsch in 933 acted as technical advso to the committee of the Washington House of Represen atves and assisted the preparation of the Business and Occupation Act From 1883 to 1885 he acted as Counsel for the State Tax Commission and prepared complete revision of the tax laws of the State including corporate personal net income tax measure winch the Legislature adopted in 1885, Since the fall of 1853, Mr. Harsc while acting Professor of Law at the University of Washington teaching axation has also acted as consultant upon local tax problems.
 While Mr. Harsh has been engaged during the last few preparing for consideration drafts o these
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