The Daily Alaska empire. [volume] (Juneau, Alaska) 1926-1964, 1951-03-06
SENATE SAYS
NO ON BOND
ISSUE AGAIN
BY JIM HUTCHINSON

| the Alaska Senate rejected yester-
day proposal that the Legislature
ask Congress to allow the Territory
to bond iself for school construction
The vote against Senate Presi-
dent Gunnard Engebreth's memorial
was 8 to 7.
Territorial auditing came up for
a bit of bouncing around yesterday
too.
The Senate voted. on motion OF
Steve McCutcheon, to instruct Sen,
John Butrovich and Rep. Glen
Franklin to go ahead with an order
for an audit Ct all Territorial Of
fees that have not been checked
recently.
Butrovich said a quick decision
/ was desirable because representa-
tives of Arthur Anderson e. Co. OF
Seattle are just finishing an audi
of the auditors office and could be
kept on the job. The check would
be for the 1947-49 biennium.
House Holds 1t
When the recommendation reach
ed the House, however. it decided
to hold up decision until the Ways
and Means Committee could LOOK
into the matter.
Rep. Stan McCutcheon suggested
having a representative of the aud
iting firm appear before the COM
mittee for discussion of fees in
volved.
Butrovich estimated the complete
audit probably would run to $4,000
to $4,000.
q When another senator asked II
the audit weren't mandatory. Bu-
trovich responded.
"It's mandatory but we closed our
ewes to it for good many years
Butrovieh Irked
Or returning to the Senate from
addressing the House, Butrovich was
SO irked by the House delay OF tne
auditing issue that he notified the
Senate he never again would bring
up the audit problem.
He did serve notice, however, tha'
he would bring up the previous
audit by the Anderson Company as
special order of business, pm
Monday, March IL. 1t is the aud
itor's report that took jabs at some
of the Territorial departments.
School Bond Issue
The school bond issue, however
was the main event of the Senate
afternoon.
The issue this time was over ask
ing Congress to amend the Organic
Act to allow bonding up to 30 per
cent of tax revenues from the prevl-
GUS biennoum. Engebreth estimated
his proposal would allow bonoine
of approximately $1o,oOo'ooo.
The measure previously rejected
was a request to Congress for pona-
ing up to $12,5oo,ooo for school con-
struction.
The issue still isn't dead. A House
approved memorial by Rep. JACK
Copyright (D-Anchorage) is SUI
awaiting Senate action.
Referendum
Conright's memorial proposes
asking Congress for permission Y
issue 100000 in bonds, oue cai
ries an amendment specifying the
TERRITORY would not bond without
a favorable referendum vote by tnt
people. Engebrth also has a sen.
ate bill proposing referendum a.
the next election.
Voting for the Engebreth memoir
ial yesterday were Sens. wlliiaii
| Beltz, Anita Garnick. Walter hum
! ley. Percy Ipalook, DR.. X. N. MAJ.
| Kenzie. steve McSutcheon, ah'
Engebreth. Against the propose
! we're Sens. Ed Anderson and JONI
Butrovich, Howard Lying, James NJ
Ian Gerrit Snider, A. F. Copie' FL
ton Engstrom and w. L. Lhainoii
Frank Barr was absent.
The vote came after Henry Roden
territorial treasurer, said there wa
1 hui
no way to finance schooi puiiaii's
except through bond issue. :.
Roden declined to say deliiii'ei'
he favored the measure. He saio ~
would have to have more exact III
formation on school needs.
Delays School Financing
Engebreth argued that II Congress
does not grant the Territory TN
right to issue bonds before the mex
Legislature meets it would be lou
years before anything could be oon
about school financing if the Legs
lature and the people both approved
the bond issue.
McCutcheon insisted bonding 10
capital improvements is a goo'