The Daily Alaska empire., 1950-03-24
|HALF.M|LL|0N LEFT OVER TO
 'THAW' FUNDS
Spring Breakup by Board of Administration as
 Taxes Roll In

The Territory of Alaska has thrown it's bottle of red ink out the window-temporarily, at least-with announcement today by Treasurer Henry Roden that all money bor- rowed from private banks has been repaid. and some s80000O in unpaid warrants have been liquidated.
 Not only that. Roden said, but around $500000 will be left over as the money rolls in to the tax collectors office to enable a quick ihaw" to be placed on frozen appro- priations. locked in an ice pack since last June.
 In fact, the "thaw" has already released S26l. .564 in frozen funds, in an action taken by the Board of Administration earlier this week.
 The board has released smaller sums in past months from time to time as the occasion arose. Among these was S25,000 for use of the statehood committee early this month, to be released at the rate )f $5.000 per month.
 The board expects to release other 'ums in the near future. as soon as Tax Commissioner M. P. Mullaney's office can pin down a figure to give hem. The collection office has been literally showed under with checks. money orders, and cash on the bar rel head ever since the Ides of March and haven't been able to place a finger on how much money they'll have when the snowstorm dies down.
 Tied Up In Courts
 After the 1949 legislature passed the Territory's first basic tax law in history, to provide revenue for Alaska to operate, almost every thing got tied up in court--the fish trap tax. the income tax. the prop erty tax. and others-which tied Roden's office up so completely that contemplated thawing of frozen appropriations was out of the question.
 S When the tax questions hit court, they found some $5,500.00 frozen, which included funds already frozen in 1947 and never released.
 The whole trouble may be laid at the doorstep of the 1947 legis- lative assembly; the body passed numerous acts but failed to pro- vide any revenue producing taxes. After they went home. the Board of Administration met to look the situation over. and found revenue would be $3.500.000 short of needed funds.
 Not Enough Money
 The best they could figure for revenue was less than $7,000 .000. while appropriations were riding a topsail sum of nearly s10000.000. So they immediately froze all special appropriations. the only money they could touch under the law, which amounted to around 1.500,000. Thus the red ink bottle got big ger until the past assembly enacted what seemed to be the answer - taxes. But these were challenged from all directions, and not until recently has the cork been placed | back on the bottle-at least for the time being.
 Current expenses of the Territory now run around S220.0O0 a month. Current income will not be known until all taxes are in this year-the first time they've been collectable
 The banks-Territoria and state side-were owed s405 ,445. the money borrowed for running expenses other than wages. such as office up- keep and to keep various smaller agencies, such as the National Guard, in operation.
 Money which Roden paid back to the banks doesn't include the in- terest. which wasn't provided fol because no appropriation was made for the purpose. The next legisla- ture will be approached by tht Board of Administration to enacI law enabling such interest to bs paid off. This action was requested by banks making the loans.
 A Lot Still Out
 On the darker side of the picture despite the easing of funds .anc taxes rolling in. are many factor. which promise to plague the Ter. ritory for a long period. They'll bt paid. of course. but it will talk, time.
 1 Among these are refunds to cit, schools by the Territory, not mad for several years; the Territoria |