Evening star., 1944-04-02
Darden Reveals Extra
S1,666,667 Take
From ABC Profits
WindfoII' Is Expected
To Be Distributed to
Localities in August
Ry the Associated Press.


RICHMOND, April /. Gov
Darden announced today an extra
"windfall" of $780, 1867 of ABC
profits which accrued during the
current fiscal year and will be dis
tributed to Virginia's counties, cities
and towns, probably in August.
The new money, the Governor
said, is to come out of the States
initial take of $2,500,000 for the
fiscal year 1884. Added to simila,
sums diverted for the biennium be-
ginning July l, and the estimated
revenue from the new wine tax, the
localities will receive $3.50, 900 in
new revenue by June 30, 1916.
Gov. Darden explained that the
money is allocated to the localities
under the "Daughtrey bill" enacted
at the recent session of the General
Assembly. Attorney General A. p
Staples has ruled that this meas
ure shall become effective June Is
five days before the close of the
current fiscal period and therefore
applies to the ABC net profits &C
cruing in this fiscal year. It also
applies to the two years comprising
the new fiscal biennium which be-
gins July /.
misunderstanding Arises.
In announcing the additional dis
tribution today, the Governor sale
some misunderstanding apparently
had arisen regarding the increased
funds that will go to the 100 coun.
ties. "a cities and 1876 towns be.
tween now and the end of the mex
biennium, June 80, 1916.
Under the Daughtrey bill, he said
the localities will get $1,166,66 from
ABC profits previously taken BY
the State for the fiscal year end.
ing June 80, 1914, and a similar
sum for the fiscal year ending JUNE
80, 1945 and June 80, 1916. Thu
total for the three years is $780,.
600 above the sum the localitie.
would have received under the oae
plan Of distribution. -,
In addition, 1t, was explained, thu
localities will continue to receive
their proportionate shares undel
the regular distribution Of ABl
profits in excess Of $4,000, 900 an.
/ nually heretofore reserved to tn,
States general fund. The 'Daugh.
trey bill" divides that portion ot
the $2,500,000 "cut" which is di.
verted to general distribution aftel
reserving to the State the frs
$750,000 Of the net profits.
Wine Tax Made Effective.
The Governor also said it was
estimated that those localities
charged with the responsibility Of
financing the public free schools
would receive $233 1888 in wine taz
revenues anticipated for the las,
three months Of the current bien-
nium-April May and June-anc
approximately $s33,33s for each veal
of the new biennium beginning
July l.
The $233 1888 item is explained BY
the fact that the Stuart-Long wine.
tax bill levying a 35-cent per gallon
tax on wines in the hands of dis.
tributors for resale, in addition tx
the current "markup" of Is cents
a gallon collected by the ABC board
was made Immediately effective by
an emergency clause.
Gov. Darden figured that the To-
calities would receive between July
l, 1914, and the end of the fisca
biennium June 30, 1916, 5,599, ,00(
from the extra ABC profits and the
wine-tax revenues together.
Mr.. Staples has ruled that the
"Daugherty bill' becomes effective
June Is and is applicable to ABC
profits accruing subsequently tx
June /, 1943.