The Wrangell sentinel., 1947-07-04
THROUGH THE SENTINEL PERISCOPE

 employees received their pay cheeks on June 30. Had not liquor excise taxes started to come in to bolster the Territory's general fund in the final days of June, the pay cheeks, amounting 10 some S7O,00O, would have been delayed. That's how financially embarrassed the Territory was a short three months after the 18th legislature had adjourned after appropriating some ten millinOn dollars but without making pro- vision for raising additional rev enue to meet the bill. To be sure, there was money in the Treasury, nearly a million dollars of it, but it was ear-marked for specific use and couldn't be used to meet gen eral operating expenses. Now that the Territory was meeting its payroll from liqpOr, it might oe an idea for the next Legislature to consider legalizing gambling and ladies of easy virtue and go into competition with Reno. Mean while, the financial situation HOu4u 6EL LOuEutl. EAAdohau6g AOy- al as they are to their Territory, couldn't be expected to guzzle the payroll forever, and the bigger fish taxes wouldn't be showing up in any volume until fall.
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 While the general fund was gasping for an extra dollar, .he World War II Veterans Fund was showing a good return from the gross revenue tax, commonly known as the sales tax. It was an ticipated that by this time next year the limit of $3,25O,OOO, as provided by law, would be reached and the tax would go out of exist ence. The last Legislature wrote three amendments to the sales tax bill but in its final action, Chap ter 96 of the session laws of 1947, left the law just about the same as it was originally with the pro- viso that when $3,25O,O0O has been collected it expires. Indica- tions are now the peak collection will be reached a good six months before another Legislature meets III January or 1S4J.
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 The possibility of H. J. Res. 205, aimed to get the pulp and paper industry started in Southeast AL askap passing Congress this ses. sion seemed remote this week as that body went into its final month before planned adjourn ment at the end of July. Territor- ial Senator Frank Peratrovich ana Representative Andrew Hope ana Frank Johnson were in Washing ton in behalf of Indian claimants appearing before the Congressional committee considering the bill but there appeared to be no meeting of minds on the Indian possessory rights issue. Among other things, the Indians were holding for a I0I percent cut of any sales of timber made by the Secretary of Agricul- ture in areas where they clai n possessory rights. They were afso insisting that the Government guarantee expense money forI bringing legal actions to establish their claims. Government agencies were objecting to the royalty pay. ment on ground it would set d precedent and virtually establish the Indian claims which never have been adjudicated Purpose orI Il. J. Res. 205 is to authorize the Secretary of Agriculture to make extensive timber sales over long time period to paper and pulp in- dustry interests, the proceeds from which would be held in escrow un- til such time as the Indian claims are settled. If claims are upheld. the money would go to the h. dians; if rejected, into the Feder- al Treasury. Time was running out and the prospect was getting dark CT for early establishment of the pulp and paper industry in this area.
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 There was turmoil in the Mat anuska and rail belt area. Army had invoked an old system. It was demanding that Alaska producers compete with Seattle markets in selling food to the Army - and without computing the freight haul costs from the Queen City to the Territory. The last was the sticleler. Army was taking the un- tenable position that cost of trans portation from Seattle should not enter into the cost because it. brought supplies on it's own boats
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