The Western news. [volume] (Libby, Mont.) 1933-current, 1946-09-05
The Capitol Week
BY Ernest Immel, United Press
Staff Correspondent

Staff Correspondent
Helena-U.P)-The Montana liz.
uor situation as administered by the
state liquor control board was back
in the official spotlight this week
as the result of two opinions is
sued by Attorney General R. v
Bottomly. One was at the request
of United States District Attorney
John B. Tansil, the other for Gov
Sam c. Ford.
AS a background for the current
situation it might be explained
that for some time the board has
been purchasing liquor in consider
able amounts for individuals and
groups that were able to locate sup
plies not available to the state mon
opoly. This liquor the board has
resold to the person or group for
whom purchased. in whole or part.
Validity of such procedure was
assured by the state supreme court
in 1913. but the federal alcohol
tax unit has recently required that
such purchasers take out basic
wholesale permits on the apparent
assumption that they might be en-
gaging in wholesale traffic Five
permits were issued and then the
alcohol tax unit repeatedly began
TO question whether operations I'M
der these permits might violate
the laws That was why Tansil
asked for an official Interpretation
of the state statutes.
Several months ago the liquor
board adopted regulation in which
it said it did not oppose issuance
of basic permits to licensees of the
board, provided federal and state
laws were not violated In other
words, the board was willing to
have federal permits granted only
to persons or establishments hold
ing state retail licenses.
Bottomly ruled that the regula-
ton was not necessary to carry out
provisions Of the state liquor con-
troll act and hence was void AS to
TanSils inquiry. he found that the
board could buy liquor for Gus
toners, but he emphasized that only
the state may engage in the whole
sale liquor business in Montana.
It is said without confirmation
by the liquor board that some re-
tailers are selling whisky to other
retailers. Whether this is whole
sailing where considerable amounts
are involved is in dispute. The board
assertedly contends any transaction
by retailer is retail business. The
alcohol tax unit says any single
sale exceeding five wine gallons is
wholesale under federal law.
Presidents of the Greater Uni
Versity of Montana's six units met
in Helena to discuss budgets. These
budgets Will be recommended to the
state board of education at its meet
ing Sept. is and II in Miles City
Ultimately the board will transmit
its own conclusions to the legis-
lature.
Requests for higher education
will probably be greater than ever
before, primarily because of the
vastly increased educational load
through the mounting of registra-
ton. Revenues from the veterans
administration as fees for veterans
will help considerably, but univer-
sity system officials contend that the
state itself will have to be more
liberal than in the PAST if the in
situations are to meet the demands
being made on them.
Housing is perhaps the most
acute current problem. The schools
are obtaining quite a bit of army
surplus housing but it is far from
enough. The State College at Boze-
man would like to build q dormi-
tory but the problem Of financing
~ aailiIng one. There seems to
20 no encouraging prospec. Of get
ting mIca done in this direction
prior 70 The convcnlpg of the leg.s-
iature rcTt january
The state postwar planning and
construction commission. created bv
the l945 legislature TO make studies
and recommendation for $500.
700 general fund surplus impounded
for postwar projects, has confined
It's recommendation largely to inn
oroVements on present physical
plants and has not had enough
money in sight to justify much new
whether the state should bond
tself for Sl0,000,000 or some other
amount seems sure to come before
he l947 legislature as a means CT
meeting physical plant require
nents.
God is Father, infinite, and this t
treat truth u-hpp Updare+ool -, a.