The Wrangell sentinel., 1949-01-14
THROUGH THE SENTINEL PERISCOPE

party line, the Territorial Senate of the 18th legislature got down to business this week and elected Frank Peratrovieh of Klawock, as President for the special session and agreed on Gunnard Engebreth of Anchorage as President for the regular session. Before delivery of the compromise, however, the Sen ators had plenty of labor pains. Divided in an eight and eight tie vote eight Democrats and eight Republicans. the upper house could have sat all winter; accom- plished nothing But better judg- ment prevailed Finally, Monday afternoon, after five days of jOckeying for a weakness in the opposition's defense, the Senators locked up their chamber doors and decided to do something about it; some of the constituency, like spectators at a ball game, were beginning to cry for little ac- tion. Out of the huddle came Dem ocrat PeratrOvich to preside at the special now in progress. and Re- publican Engebreth for the regular session. After deciding on their candidates, the Senators drew lots for the short and long term and the GOPers won the toss for the 60-day long term.
 While the Senators could be compljmented for getting together in the interests of the Territory, the problem before the Legisla- tors was far more important than party lines or party honors. As the Governor pointed out in his message to the joint assembly on Tuesday morning. the Territory owed about three quarters of million dollars it wasn't able to pay. Despite fish and liquor tax money coming in now, since the first of the year, unless remedial action was taken by the Legisla- ture. the Territory would still be in the hole about $35O,000 on March 31 at the end of the Terri tory's fiscal year As a result, Al askans could look forward to new taxation.
 Five bills aimed to raise money were thus far before the special session, summary of which may be found elsewhere in this peerless family journal. An income tax ap- peared to have good chance of being enacted. The one being con- sidered provides for a 10 per cent levy on the amount the taxpayer would pay the Federal govern ment under the internal revenue law with an exemption of $45 to resident taxpayers. If D assed in it's present form, it would be eff fectiye as Of the first of January this year, 1949. What it would raise was anybody's guess. There were estimates mp to ten million annually.
 Also being considered was a real and personal property tax of two per cent on true value, half of which collected within incor- porated towns would revert to the municipalities for school purposes It, too appeared to have consid erable support. Both measures had been recommended by the Gov ernor.
 The other potential revenue raisers were aimed at the fishing industry. One proposes to levy four per cent on fish purchases made by canneries, cold storage plants and herring processing plants. Act ually, it was a two per cent tax as it provides for the dollar value to be fixed on basis of 50 per cent of the average wholesale price in Seattle. Two other fish bills would double the present license tax on traps and boost fishermen's license fees to $10 for residents, $1OO for non-residents and $250 for aliens.
 The House, under the leadership of Speaker James Nolan, of Wran- gell was rolling along in high gear. It's organization clicked from the start. With Stan McCutcheon of Anchorage and Warren Taylor of Fairbanks sharing the floor leadership the House had its committees appointed and its tax bills in the hopper and before the committees. It even tried to give the Senate hand Monday by sending over a resolution offering to mediate the Senate differences .The only place you'll probably evel see that resolution again will be in the House journal. The Senate wasn't having any. but. the House was enjoying an unconceale' chuckle as red-faced Senator chomped on their cigars or triet to hit spittoon at six paces.
 House arranged to have commit tees name their own chairman, ana most of them have been selected as follows:
 Andrew Hope of Sitka, fisheries fish and game; Frank e. John son. Rake. expressing and enroll ing; Mrs. Amelia Gunderson Ret