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The producers news. [volume] (Plentywood, Mont.) 1918-1937, August 01, 1924, Image 2

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Persistent link: https://chroniclingamerica.loc.gov/lccn/sn85053305/1924-08-01/ed-1/seq-2/

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1. In order to be a candidate *
for election to the position
representative from
county to th'3 Queen of Montana *
tontest to be held in Helena dur- *
ing the week of the Montana *
State Fair, September 23rd to *
27th, each girl nominated must *
have been a bona fide resident of *
the county for at least six *
months prior to the election, *
2. Nominees must be between *
the ages of 18 and 25.
3. Nominating ballots will be *
run in Producers News, exclu- *
sively, for the election of a coun- *
ty representative commencing *
with the first issue in the week *
of August 1st to 15th, inclusive- *
ly, and all nominations received *
up to the 21st of August will be *
allowed to enter the race. *
Voting ballots will be run in *
all subsequent issues of the pa- *
per up to and including Saturday *
September 20. Each ballot is *
good for 100 votes. *
4. A hoard of tellers, consist- *
ing of three well-known men, *
will be appointed by the editor *
to count (he ballots and certify *
to the election. *
5. The entire expanse of rail- *
road fare and entertainment *
while in Helena will be paid by *
the Que?n of Montana Contest. *
6. Immediately after the con- *
elusion of the contest this office *
should be notified of the result *
and the winner should be re- *
quested to send us a photograph *
so that we may have a cut made *
for use during State Fair week. *
This is particularly important as *
if the girl from your county is *
elected Queen of Montana we *
should have her cut on hand.
7. Lewis and Clark County's *
repensent at ive will be hostes to *
the visiting girls from other *
counties and is not elegiable to *
(he honor of Queen of Montana *
of *
Sheridan *
Sen. McCone Locates
Grave of Mai! Carrier
That Indians Killed
Cone of
called to
cate th° grave of a mail carrier who
was killed by the Indians many years
ago, whom tho Senator assisted in
hurrying. The occassion being a part
of a frontier day celebration at
Plevna. Senator McCone came to
Montana many years ago, during the
days of Sitting Bull.
Baker last week to lo
25.—Senator Mc

By installing Delco
Light you will have
your own electric light
and power service,
complete and depend
able. You need elec
tricity. Why not de
cide now to make that
tion at once.
Fire, Lightning, Cy
clone, Windstorm
Get a
For Rates
See "Jerry" the lit
tle agent.
Call or Address
Plentywood, Mont.
Hon. Erank J. Edwards Lampoons Gov. Dix
(Continued from page 1)
you declared to be insuperable. This was the fore-runner of your
apologies and explanations which followed, and on which the
situation of today has been builded.
For eight years prior to the announcement of your candi
dacy for Governor, you, through your method of publicity,
gained the reputation of being an authority on State, County and
City plans and forms of government, and with the Anaconda Com
pany as your ignis fatuus, your dissertation on taxation created
for you the reputed distinction of being one of the best informed
men on the subject of taxation in Montana.
The time for conversion of your views into actualities ar
rived. You began by attacking our State Constitution. On page
20 of your first or 1921 message you said to the Legislators:
"I wish each of you would read the report of the
State Efficiency Commission as submitted in 1919. You
will then have a fuller understanding of the limitations
of any real remedies without a series of amendments to
our Constitution."
What are your objec cns to / i Constitution? You are
h we ' _.d 7 0 Constitution. Surely
tl.s provision limiting indebte j
■eiry: disregarded, and
with your consent and assistance the constitul mally prescribed
limit of indebtedness is now exceeded to the . .tent of 4,000 per
operating practically as tl
you have not been harrassed b
ness. This provision of our Constitution is I
Our Constitution is substantia' •
the ame as it ,was in
1918. On the first page of your 1923 message to the Legislature,
you pointed out that on January 1st, 1918, there w 7 as a net balance
to the credit of the general fund of $1,300,792.46. This amount
was created under your terrifying and awe-inspiring Constitution,
and, with no material change in its provisions, this handsome
credit of $1,300,792.46 has been with your assistance, transmutted
into a deplorable, illegal debt of $4,000,000 against the State's
General Fund.
Contrary to your views, this State has an excellent Con
stitution and, should real men be authoritatively placed behind it,
Montana would move forward and take her place among the pros
perous States of the Union. Therefore, all puerile criticism of our
basic laws are, to me, abhorrent.
The Constitution of this States does not encourage extra
vagance and waste of public funds. It contains nothing that pre
vents equiu.blc assessment, levy and collection of taxes and pro
vides aiequately for the equible distribution of tax burdens. Un
der our Constitution, without amendment, all of the money-mak
ing, tax-dodging institutions can be made to contribute propor
tionately to the State treasury. And all non-revenue producing
properties, and properties that have shrunken materially in value
can be assessed and taxed to conform with present conditions.
That these powers have been abused is no fault of the basic laws
and every Montanan should know that it is the man and not the
Constitution that is blamable for misgoveinment.
You stressed the importance of a so-called "Tax Commis
sion," and conforming to your wish the Constitution was amend
ed. The designation, however, is a misnomer. The amendment
provided only for a remodeled State Board of Equalization. As to
any increased powers being provided for, your attention is called
to an action of the "old" Board of Equalization dating back more
than twenty years. In 1902 the main line tracks of railways were
assessed at $7,500 a mile. In August of that year the "old"
Board of Equalization increased the valuation, for taxable pur
poses, from $7,500 per mile to $15,000 per mile. This was done
in one day and without additional Constitutional or statutory
authority. Your Board of Equalization, or so-called "Tax Com
mission, " in exercising like authority to assess (not to tax) seems
to have confined its efforts to the Montana Power Company. This
is referred to particularly, because the lav/ creating the "new"
Board of Equalization is inadequate in that it does not prevent
the continuation of flagrant displays of favoritism.
- <
The Constitution directs the Governor to "give to the Leg
islative Assembly information of the State." This you have never
done. You and the members of your Legislative Assemblies have
never known the condition of this State; nor the cost of State
government. To comply with this requirements the method em
ployed by you was by way of stating the amount of outstanding
warrants on a specified date, and, by comparison with prior dates,
you served your purpose by showing that your predecessor, Stew
art, was the more vulnerable.
Your method of informing Legislators as to affairs of State
prompted me, in my communication to them on February 13,
1923, to urge a plan of procedure, and accordingly I suggested
"A summary of the reports of the State Auditor and
Board of Equalization would serve a beneficial and neces
sary purpose and should be insisted upon. Such summary
should show the total revenue collected by the State and
itemized as to sources, and proper deductions itemized
for monies transferred to counties, and monies disbursed
which are properly chargeable to capital account. Such
summary would, with explanatory notes, furnish an in
telligible idea as to the cost of this State's government,
and would enable Legislators and State officials to answer
when questioned in relation thereto.
Too, your method of informing Legislators discloses "leg
erdemain of finance" and reasons therefor. It may be observed
1 that at the beginning of your term, January 1, 1921, you included
j an important item (deficiency claims), and on January 1, 1923,
; you purposely evaded reference to this particular item. To be
' more specific and to show how you clearly deceived the Legislators
reference is made to the following statement on page 4 of your
1923 message:
"Jan. 1, 1921—Registered Warrants.$1,682,437.02
Jan. 1, 1921—Cash on Hand. 539,843.24

Net Deficit.
Add deficiency unpaid claims to Jan. 1,1921
Net deficit, Jan, 1, 1921.
Jan. 1, 1923—Registered Warrants.
Jan. 1, 1923—Cash on Hand.
. 1,602,084.25
Jan. 1, 1923—Net Deficit...
Add deficiency unpaid claims to Jan. 1, 1923—
omitted... . .
..... 1,602,084.25
Jan. 1, 1923—Net Deficit (?).
Jan. 1, 1921—Net Deficit...
Increased debt for years 1921-1922 (?)
This acknowledged increase of debt by you of $671,835.88 is
quite at variance w r ith your statement in your Billings speech on
February 15, 1922, in which you said there had been effected a
reduction of $467,973 in the ten-month period" of 1921.
have you corrected the statement that was made at the same
time by the Helena Record-Herald under the caption, "Dixon
Saves State $500,000.
In your Billings speech you did not state that the Legisla
tors assisted in your alleged debt reduction of $467,953. But a
year later—on February 27, 1923, w 7 ith a revised statement of
outstanding warrants of indebtedness, and which revealed an
entirely different aspect, you said in your special message to the
Joint Assembly of Legi stators ;
Under the Constitution and tb%^$tatutes, you hold
the purse strings to the State treasury. I do not. The
Legislative Assembly alone can create and increase the
State indebtedness/' .
The above proclamation came from you during the closing
days of your final and last Legislative session—after more than
two years of your observation from the Governor's office, and af
ter mre than one hundred and twenty days of Legislative sessions. !
The proclamation, however, is not based on fact. However, the
"passing of the buck" and the transposition of the big "I" and the
little "u" came to late to cause the Senators and Representatives
to appreciate their real importance—too late to cause them to
start anew a State House of Financial Correction, to be conduct
ed under their exclusive supervision and direction, and independ
eat of executive interference. j
executive iiueuctciK.c.
Of equal importance has been your attitude and your dis
i L-y in iucvw.. Your devo
people was signalized by a desire to make them un
. nf fovofinn in fViio Qfofo and fm* oixrht !
play of ability in matters appertaining to taxation,
to i
derstand the inequalities of taxation in this State, and for eight 1
years prior to your State House experience you pointed vehement
ly to your "ignis fatuus" as the greatest of tax-dodging offenders,
But when you were called upon as Governor, to apply the remedy
you said, with marked timidity on page 15 of your first, or 1921,
"I do not believe that under our present system of
taxing the 'net proceeds' our metalliferous mining indus
try bears its rightful burden of government in Montana.
How to adjust it, I frankly confess is a difficult problem."
With two years additional time in the Governor's office,
and with every conceivable source of information at your com
mand, and with the assistance of an imported tax-expert, Mr. N.
P. Haugen of Wisconsin, you made another pretended effort as
evidenced on page 4 of your 1928 message, in which you said:
"I would recommend the enactment of a license tax
for metalliferous mines of 12 cents per ton on gross ton
nage of ore produced.
This, your final mines tax recommendation, met wnth no '
response. It was totally ignored by every member of the House
and every member of the Senate.
Adverting to the time of the preparation of your first, or
1921, message to the Legislature, your attention is called to your
clandestine meeting w r ith an authorized representative of the
Anaconda Company. This meeting having resulted in an agree
ment, and, accordingly, a rate of mines tax was consented to and
by you, accepted. This incident is referred to particularly, that
your mines tax attitude during your first Legislative session may
be compared with your attitude of two years later, and which may
justify a conclusion that no one can sincerely and intelligently
follow you.
Following the mines tax agreement referred to, you de
voted six pages of your printed 1921 message to the Legislature
to this subject under the sub-head "Metalliferous Mines Taxa
tion," pages 11 to 16, inclusive. Pages 11, 12, 13 and 14 contain
phraseology and figures that bear strong resemblance to the sub
stance of the arguments as publicly advanced by Mr. Dan M. Kel
ly, Attorney for the Anaconda Company, in support of his conten
tion that his Company was fully taxed or over-taxed.
And with the mines tax verdict in your pocket you were
exceedingly considerate when you timorously said at page 13:
"I do not wish to give the impression that it is easy
to determine whether the present system of mine taxa
tion casts upon that industry its fair share of the bur
den, nor to doubt that the mining interests are sincere
in their belief that they are paying proportionately as
much as owners of other classes of property,"
Ths patronizing attitude should have aroused
and caused inquiry as to the possibility of a secret compact be-1
tween you and the Anaconda Company. And you gave addition
al evidence of such compact, fourteen months later, when vou
read from your Billings speech on February 15, 1922, the follow
ing gentle paragraph :
"I suggested to the (1921) Legislature
tional license tax of 15 mills (D /> per cent) to be paid
direct into the State treasury. To the credit of this in
dustry be it said that it did not seriously oppose this
license tax and the measure became a law at the last
It was not until the Legislative session of 1923, that the facts
relative to your .secret compact were made known. Mr. L. O.
Evans, Attorney for the Anaconda Company, admitted that he
was the middleman. He stated at a public meeting, held at the
Placer Hotel, during the 1923 session, that he had met you by
appointment in 1920, and on behalf of the Anaconda Company,
consented to an additional tax of V /2 per cent on net proceeds.
What you consented to, or conceded in return may yet develop.
It is true that the Anaconda, the Montana Power, and the
Milwaukee Railroad are regarded as pecuniarily sympathetic
Companies. In this connection it may be observed that you made
no 1921 recommendation of a Montana Power Company tax. But
in 1923, two years later, and two years after the mines tax agree
ment, you concluded that the Montana Power Company, was un
der-taxed and thereupon, and for the first time, you recommended
to the (1928) Legislative Assembly a license tax for the Mon
tana Power Company. Of this trio, the Milwaukee Railroad is
still a beneficiary, and perhaps may have constitutional protec
tion, in that the Constitution prohibits the taxing of its property,
unless all other railroad properties should be taxed likewise and
i uniformly.
Had your Legislators been properly advised and properly
encouraged, they may have shown a higher regard for our over
taxed citizenry/ and, not being fearful of the veto power, they
may have shifted the proper proportion of tax burdens, by pro
per distribution, to where they rightfully and constitutionally be
long. Contrariwise, your discriminatory attitude has operated to
the advantage of foreigners who own the best revenue producing,
under-taxed properties in Montana.
Yon have stressed the necessity for forms of government
that would centralize power and responsibility.
"For forms of government let fools contest;
"Whate'er is best administered is best."—Pope.
Had it been possible, on the first day of your term, for you
to have put in full force and effect your every recommendation
relative to centralization of responsibility, you would not have
j been precluded, on the 788th day of your term, from "passing the
buck" by way of shifting to the Legislature, in a special message,
I ah responsibility and blame for the State's prodigious debt, and
I for total disregard of specific provisions of the State Constitution.
Continuing w T ith a single purpose, there now 7 appears, and
not unknown to you, an initiative mines tax measure. And with
out arguments covering the merits of the bill, the people are be
ing asked to sign petitions therefor. The ideas contained therein
of exemptions and of a graduated schedule of rates are mine—not
yours. I approve of them and I thank you for your tardy acquies
cence. I originated the ideas and by me they were given to the
members of the last Legislature. But I am not ready to accept
your "Gross Proceeds" of metalliferous mines as a basis, and shall
withhold expression until I will have heard argument in support
thereof. I pointed out to the Legislature that there is
stitutional limit as to license taxation rates, and that a hgher
rate on "net" proceeds will be equally productive in taxes when
compared with a lower rate on "gross" proceeds. Mining, like
farming, is a productive industry. These products are marketed
without the state and the difference between "gross" proceeds
--wet"- proceeds i &- distributed —amang_ Montanans. If the
"gross" proceeds basis has been selected, designedly, for purpose
exacting special taxes in times of adversity, I will not subscribe
to it.
no con
,} a trae there are scores of Millions n f n
farm lands and other non-revenue producing nm 01 ^°Uars ;
heavily over-taxed in Motana. This situation kd^ 8 th at
stupidity of officials and outgrowths of condition-^ 0
true, however, that no law has ever been, desicmai is e QUall>
Montana, with a view to exacting a special 'tax fr ^ y ' pas N iî
during a possible period of adversity. om an > T indust
tax because of the small yield of revenue
used an "extreme" period—that of the
;r :
In your 1923 message at page 24, yuiu - rec
gross tonnage" basis was accompanied bv a n S me ]! dat ion 0 f
'• You complained of the (U/ 2 per cent) fitted "Ä*
»ecause of the small vield of mmmm an( j (q •(] ls mines
uscu cm cauuuc penuu—tnat ui me year ending T sîl ^ e you
_ a time during which the chief producer had susnm i î e *922
erations. But, in your use of Dan Kelly's figures V, mine
13 0 f your 1921 message, you showed that the 12
«.IJ -în Avonoo a-F TWVX „aamI,. j _ , 4 Cornp'i^..
pa id in excess of $600,000 yearly in taxes, whether
we re operated or not. These incidences, and min v iu mil *es
for and justify the assertion that it is not within vni °î • > ^
sphere of action, as Governor, to omit references to mi • mate
a t one time and to emphasize their importance at •!ntf lal facts
engaged in the advocacy of measures where difference * e V VÎlile
ion are to be reconciled, and wherein the interests of tv opin '
are involved. " m,s State
Assuming that there is merit in the proposed mir r
providing for "exemptions" and "graduated" rates fr*®
taxes on "gross" proceeds of mines, there should'be imï lcen
withholding arguments and understandable elucidating for
thereof, and which may prepare the way for intelligent « su PP°rt
tion on the part of the people. ' 0 consi( krs.
a full analysis of your*stewardship cannot be cent • .
references alone to your favoritisms, your inconsistenriT 1 ' ned ®
shifting of responsibility, your inability to devise senS
tion remedies, and your waste of public funds Of
importance indeed, is the fact that a Governor of discern^
mind, and knowing how to proceed, could have afforded no ml
measure of relief-to the farming and livestock industries dut
their long period of unprecedented adversity. The time of th^
struggle and disquietude has not yet passed. Their ability ?
borrow more money will not alone solve their complex situation
This is a matter of State concern, and those associated with'the''
industries should not be longer permitted to drift without official
recognition and encouragement. Your flagrant and unpardonable
disregard of our banking laws may be more accurately described
by the thousands of unfortunate depositors in this State.
It is true that situations are often described by extremes
of facts, and which may be illustrated or interpreted to serve pur
poses of the parties disputant. I have referred to your messages
and utterances and results therefrom and have commented there
on. Should there be any extreme of fact or any achievement that
may be rationally referred to and which may reflect credit upon
your stewardship, a feeling of relief may be afforded those who
are open to conviction. If the present conditions at the State
House are not outgrowths of incompetency, the discovery of
rective remedies will be all the more difficult.
Awaiting your criticism of the statements and views here
with presented, I am
Very truly yours,
j *
* artiLSOolooor^hich^ included *
• $4,151,280 dividend from Chi- *
* capo, Burlington and Quincy *
! stock - th ^ ha,f *
* «sTnn^'no at> i G f and *
* other deductions,
Federal Labor Union
Great Falls, Montana.—At a meet
of l be Federal Labor union last
Tuesday a resolution was unamicusly
* *
- *
1 *
New York, July 30.—The
Great Northern Railway com- *
pany nearly doubled its net in- *
come in 1923, which reach $18,- *
* 067,947, a gain of $7,202,275 ov- *
* er 1922, and equivalent to 7.24 *
* per cent on the outstanding cap- *
ital stock, the annual report re- *
* vealed today. Net railway oper- *
ating income was $24,731,991, *
* an increase of $7,455,393. *
For the first few months of *
i *

Indorses Winterowd
rates will
Summer tourist tickets at greatly reduced
be on sale at this station daily to Sept. 15th, inclusive
Chicago, Omoha, Kansas City, St. Louis and eastern de>
tinations. ..Final return limit October 31st. Liberal stop
overs allowed.
On Sale Daily to September 30th, Inclusive
Seattle, Tacoma, Portland, Vancouver, Victoria,
North Pacific Coast points, Alaska and California.
Final return limit Oct. 31st. Liberal stopovers
Visit Glacier Park
Montana's Play Grounds
Low Rates on Sale July 15th to September 15th
For further information, reservations, or tickets,
call on, telephone, or write
R. WHITE, Agent -- Plenty wood, Montan®
L. B. Woods, Asst. Gen. Pass. Agent, Helena, Mont.
j adopted indorsing William Winter- )
owd for sheriff and aho the whole
Farmer-Labor state ticket. There !
j was a large meeting and when the ;
j last part of the resolution, ''Dont
Scab at the Polls," was read there
j was cheering. This union afiliated
1 with the Farmer-Labor party several
: months ago and as its members are
j drawn frejn every walk of life it is
i expected that they will have a big
' share in putting the workers' and
farmers' candidates in governmental
Piermont, N. Y.—"Find ray hus
band. Since he left town my chick
ens won't lay. Pve tried everything
but 1 can't make them eat"—adver
tised a Norfolk, Va., woman in the
postoffice here.
Great Falls, Montana-William
Winterrowd, farmer-labor candidate
for sheriff, was unamiously indorsed
by the Cascade Trades & Labor as
sembly at its weekly meeting at U -
penter Hall Friday night.

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