The Daily Alaska empire., 1951-03-23
, MILLION DEFICIT IS
 PREDICTION
By JIM HUTCHINSON

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 Alaska's 20th Legislature wound up it's work at 6 am today after passing record appropriations total- ing $19,544,136 and approving Governmental Reorganization Bill.
 Heads of budget-framing com mittees of Senate and House esti- mated the deficit at the end of the 1951-53 bi.Enoum will be slightly above s2,CooOO0.
 The two legislators. Sen. John Butrovich. Fairbanks Republican. and Rep. Glen Franklin Boundary Democrat, said however that the expected deficit might be reduced by large salmon pack or likely increase in income tax collections.
 Actually, expenditures outlined for the biennium are in balance with expected revenue, but $2.662- GOO in frozen appropriations from the current biennium accounts for the threat of red ink over the com ing two-year period.
 Threat Facts
 The threat of major new gen. eral tax bill at the 11th hour failed to develop The only major new rev enue measures passed at this session were 50 per cent increase in the salmon pack tax and boost in the cigaret tax from three to five cents pack.
 In the final hours, the two Houses agreed on general appropriations bill of $17,973, ,654 which includes per cent salary increases for teach 1 CTS, and for Territorial employees earning under $5000 year; agreed on a compromise Civilian Defense appropriation of $400,000; and whooped the Reorganization Bill through the House by unanimous vote after the Senate had amended it to make the proposed powerful Commissioner of Finance responsi- ble directly to a revised Board of Administration instead of the Gov ernor.
 New Board
 ] The new Board of Administration will have two members of each House on it, but there was wrang- ling over it in the Senate to the bitter end The bill, drawn by Ken lucky Revenue Commissioner H. l Clyde Reeves, now goes to the Gov ernor His approval is expected.
 Other actions in the final hours included agreement of both Houses on aid to dependent children - a compromise at $60 monthly from the present $50 after the House had voted for $70 and burial Of the 1 40-hour work week bill after three Conference Committees failed to break deadlock over exemptions.
 Legality Challenged | Even before the shade was dropped over the legislative clocks at mid- night, there were challenges of the legality of legislators serving on the Board of Administration.
 The other members of the board, under the bill, will be the Governor, the Tax Commissioner and the Att torney General. Should there be a court test as some critics predicted, and should court rule against the legislators membership. there would remain and elite board of three.
 New Territorial Set-up
 The financial Reorganization Bill went through the Senate late yes- terday by an II to 5 vote; then was returned to the House for action on amendments. The bill, in effect, would set up a Territorial general financial manager. accountable to the Board of Administration
 The bill will eliminate the present office of auditor and the treasurer's office. This elimination is to be eff fective at the end of Treasurer Henry Roden's present term In it's place will be provided an independ- ent auditing office. The new aud itor" would be elected by the legis- 1 lature but the lawmakers did ,noth- ing about it before adjourning.
 Critics of the bill objected to the legislature taking action which would eliminate the offices of treas urer and auditor. both of which are elective
 Those voting against the bill were Senators Ed Anderson D-Nome); A. F. Coble R-Fairbanks); Engstrom, Lyng and Gerrit Snider R-Wa- silla).
 Civilian Defense
 The other principal final night contest came over Civilian Defense. After the, House cut the defense ap- propriation to $3O0,O0O, Sen. Frank Barr told the Senate apparently