Evening star., 1942-02-11
Milk and Vehicle Tax
Bills Weighed by
House Committee
200 Attend Hearing on
Rosenberg Measure to
Abolish Commission
By . Staff correspondent of Tn. Star.

By Staff Correspondent of The Star.
RICHMOND, Feb. 1.-Two House
committees today had under advise
ment legislation by Delegate Maui
rice D. Rosenberg of Alexandria to
abolish the Virginia Milk Commis-
sion. and a bill by Delegate Charles
r. Fenwick of Arlington County re-
vising the tax schedule for motor
vehicles, following public hearings
on both proposals yesterday after
noon.
Mr.. Fenwick headed q special
commission appointed by the 1910
General Assembly to bring In the
motor vehicle tax proposals. They
we're incorporated in bill consid-
cred yesterday by the House Finance
Committee.
The hearing on Mr.. Rosenberg's
milk bill drew about 200 persons.
Almost all of those present, repre-
senting organized producers and
distributors principally, opposed the
Rosenberg bill.
The Alexandrian, who has un-
successfully introduced similar legis-
lation for the past several sessions
of the Assembly, said his complaint
Is not with the administration Of
the milk commission, but with the
necessity for its existence. The
commission was created by an emer-
gency act in 1884 for economical
reasons, he said, and the economic
emergency has long since passed.
Criticizes Setup.
The Milk and Cream Act tears
down the very thing you are trying
to do; it destroys open competition,
Mr.. Rosenberg declared. He said
the consuming public is not ade-
ouately represented in the admins
tration Of the act.
Il have never yet seen the Milk
Commission decline an increase in
prices upon request OF producers or
distributors" he asserted. When
you have commission that depends
for its very existence upon high
prices for milk, it will continue to
act as it has in the past"
He flayed the 1884 Act as a price
fixing bill' which, If attempted by
private enterprise without legal
sanction, would result in prosecu-
tions against establishment of
monopolies.
Frank L. Walter of Washington,
president of the Maryland and Vir-
ginia Milk Producers Association,
disputed part of Mr.. Rosenberg's
statement by declaring that an
emergency now existed and there Is
every reason for the continued
functioning of the act.
Virginia is exerting its rights in
regulating milk" he said, "and If
Virginia did not. undertake to reg
ulate it, you would have a Federal
commission in here regulating it for
you"
Chairman c. G. Quesenbury of the
committee said he would name q
subcommittee to study Mr.. Rosen-
berg's bill
Delegates Stuart B. Campbell of
Wythe County, Floyd Daughtrey of
Greeneville County and E. H. Will
liams, jr., Of Isle Of Wight County,
were named to a subcommittee to
study the commercial motor vehicle
tax measure proposed by the Fen
wick Commission.
Work Commended.
In a hearing which continued for
more than two hours, the legislation
was indorsed and the commissions
work was commended by Chairman
James A. Anderson of the State
Highway Commission, Burton Mayre
of the Highway Commission Plan
ming Survey, Col M. S. Battle, COM
missioner Of motor vehicles; State
Tax Commissioner H. c. Morrissett
and Thomas w. Ozlin, member of
the State Corporation Commission.
Mr.. Fenwick explained the legisla-
ton is designed to substitute a
| gross weight base for licensing COM
mercial motor vehicles to replace
the present method OF taxing on
manufacturers rated capacity for
such vehicles. Also provided is a
2 per cent gross receipts tax on
common carriers, contract carriers
and private for-hire trucks, with the
first 81 600 of business done in any
year exempt from the tax. A
reciprocity commission of five men,
bers would be established to work
out licensing agreements with other
States.
j. Vaughan Gary, representing the
Virginia Highway Users Association
and ]. Tinsley Coleman, representing
the Virginia Agricultural Conference
Board, were the principal speakers
opposing the proposed law.
The Senate Finance Committee
unanimously reported the House bill
to repeal the 10 per cent tax on
! wines and liquors which has yielded