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Show Final Act Which Checks Off Last of Platform Pledges, Save One, Is Solution of the State's Revenue Tangle; Accusations Accu-sations of Crookedness Are Hurled. VALIDITY OF ACT IS UNDEPv FIRE Lavmakers Put in Sixty Days Wrestling With Problems, During Which Time Hundreds of Changes and Additions Addi-tions Are Made. More than sixty hours behind schedule sched-ule the twelfth Ut3h legislature checked off the last of the platform pledges save one aud adjourned sine die at 12:40 o'clock this morning. The final act was the adoption of the occupation occu-pation tax as the solution of the state revenue problem. In one last desperate effort to clear the decks for adjournment both houses met in three sessions and remained on duty last night until the last of the bills approved by the two houses had been signed by the president of the senate and the speaker of the house aud Started on the way to the chief executive. ex-ecutive. "We are well satisfied," chorused Governor Simon Bamberger, President James W. Funk of the senate, and Speaker J. Frank Tolton of the lower house. "We feel that laws to redeem the pledges of the party have been enacted en-acted and that the state of Utah aud its people will long remember the work that has been accomplished during the past sixty days. M Waiting on Reports. During the closing hours of the session ses-sion there was little to do except wait for tho reports of the engrossing committee. com-mittee. Between reports the members of both houses took occasion to give everybody connected with the session a voto of thanks. The employees of boti houses and the press were tendered expressions ex-pressions of appreciation and President James W. Funk was given a handsome gold wntch by the members of the upper up-per house. Although there had been a strong 6ght against the occupation tax in tho lower house, most members of the legislature leg-islature indicated their sentiments ns to the close of the session by the grips and suitcases they carried to the capi-tol capi-tol when they returned last night from tho dinner saunter. The long procession proces-sion which filed up the capitol walk from tho street car about 7:1.) o'clock would have caused envy iu tne breast of any touriBt agent. Senate Takes Rest. After an executive session of the senate at which the governor's appointments appoint-ments were considered, the senate adopted an attitude of watchful waiting wait-ing to sec what the lower house would do with the occupation tax bill. Upon receipt of word that the bill had been passed with the amendment suggested hv Senator Armstrong giving the state educational institutions a share of tho money to tie derived, the solons were called lo order and the amendment concurred con-curred in without opposition. Keeling kindly disposed they then acted favorably noon house joint resolution reso-lution No. 8. bv Pace, providing for a a constitutional amendment on mining taxation. So generous was the disposition disposi-tion of the solons that they recalled (Continued on Taso rive.) UTAH LEGISLATURE COMES TO CLOSE (Continued from Page Ons.1 from the morgue house joint resolution No. 8, also by Page, providing for a constitutional amendment exempting small homesteads from taxation and passed it. Check Made of Bills. With the taxation measures disposed of President Funk made a hastv check of the laws to bo enacted to fulfill the platform pledges and reported that all except that for a political reapportionment reapportion-ment bad been carried out. In this check the governor's office concurred. The list showed action had been taken on prohibition, public utilities, workmen work-men 's compensation, corrupt practices, anti-injunction taxation, initiative and referendum, irrigation and other campaign cam-paign issues and questions of the greatest great-est importance to the peoplo and the state. The lone pledge yet to be fulfilled, ful-filled, and the fulfillment of which probably prob-ably will not be realized for many vears to come, is political reapportionment of the state. The members of the legislature legis-lature from the outlying districts are averse to giving Salt Lake City and Salt Lake county any more power, and as long as they are in control by abctut three-fourths majority there is every indication that tho more populous districts dis-tricts will find it exceedingly difficult to enforce the representation to which thev are entitled. But in view of the volume of work done the governor and the legislators from the more populous districts were agreeable to overlooking the ono platform plat-form plank that was not nailed down. They were satisfied to let it and a further fur-ther attempt to reduce taxes on the small home owner go over for two vears. 'That the stubborn battles of the session ses-sion were not of a personal nature aud that each senator worked for what he believed to be for the best interests of all were reflected in the pretty little sentiment expressed when President Funk was presented with a handsome gold watch by the members of the upper up-per house. Pretty Tribute Paid. The presentation came during a lull in the proceedings and while the senate was waiting to hear from the lower house as to its action on tho occupation tax bill. Senator Seegmiller, one of the holdover Republicans, asked for recognition and when it was granted he paid the following pretty tribute to the president and laid on the president presi-dent 's table the gift. Mr. President Since the sixtieth day has passed bevond the power 01 veto ana nas peen eatery ae-' ae-' posited with the secretary of time, and the clock, like all Progressive creatures, refuses to stand still, it becomes my pleasure and to me is fiven the honor to represent my ellow senators in an expression of appreciation of your unbiased, just, yet sympathetic presidency. It is not given to all presiding officers. to retire with the love anil confidence of every one over whom they have presided. But this, Mr. President, is your distinction, and as a token of our esteem and fellowship fel-lowship we wish to present this little lit-tle timepiece. It is not. as wonderful as the clock which has so merrily marked the hours of the twelfth session, in that it has not the peculiar mechanical mechan-ical ability to crowd three days into one. We trust, however, that it will serve to awaken many pleasant pleas-ant memories. May your life be filled with success and happiness as enduring as the attribute which prompts this presentation. Makes Fitting Reply. Coming unexpectedly and accompanied accom-panied by all tho eloquence at the command com-mand of the fiery senator rom the south, President Funk was taken aback and hesitated momentarily to control his emotions. His reply 'was short and fitting, and in it he expressed not only deep appreciation of the token, but of the pleasure and honor conferred upon him by having been : given the privilege to preside over and be associated with the members of the senate of the twelfth legislative session. ses-sion. As soon as the senate had concurred in the house amendment to the occupation occupa-tion tax bill, a committee was appointed appoint-ed to wait on the governor and advise him that the legislature had completed its work and awaited his instructions. In reply the governor addressed the following letter to the senate: I wish to inform your honorable body that I have no further communications com-munications for tho twelfth session ses-sion of the legislature of the state of Utah. I wish to take this occasion to thank you personally aud on behalf be-half of the state for the high service ser-vice vou have rendered the state of Utah. You are fortunate in having hav-ing the opportunity to do much for the state and the people of the state of Utah are particularly fortunate for-tunate in the manner in which you performed that service. You have discharged your duties in a spirit of high patriotism and I am sure vou will always be proud of having been a member -of the twelfth legislative leg-islative assembly. I trust that on your return home vou will impress upon your constituents con-stituents the necessity for the strict observance and rigid enforcement en-forcement of the splendid laws vou have passed. I congratulate you upon your successful completion of your labor and 1 trust that you will have a safe journey to your respective homes. As soon as the occupation tax bill and the two resolutions for constitutional constitu-tional amendment., on taxation were signed, shortly after 12:30 this morn-I morn-I ing, a committee was appointed to no-! no-! tiiy the lower house that the senate was ready to adjourn, and ten minutes min-utes later the committee reported back and the twelfth session of the Utah legislature passed into history on the adoption of the motion to adjourn ad-journ sine die. Hearty handclasps with fellow workers work-ers of the past sixty days, expressions of good fellowships and farewells and the suitcase-laden procession filed down the capitol walk, homeward bound. Buffeted upon an angry sea of oratory ora-tory for more than two hours and a half and threatened with destruction upon the rocks of income tax legislation legisla-tion many times, the joint tax committee's commit-tee's bill placing an occupation tax on mines weathered the storm of "cow county" opposition in the house of representatives rep-resentatives last night and was passed by a vote of 26 to IS. The house first defeated, then reconsidered recon-sidered and finally passed the senate substitute for Page's resolution relative to a constitutional amendment for taxation tax-ation of mines, then continued in session ses-sion until 2-A5 a. m. Substitute Amendment. The constitutional amendment, substitute sub-stitute for house joint resolution No. S, is as follows: Section 1. That it is proposed to amend section 4, article 13, of the constitution of the state of t'tah so that the same will read as follows: Section 4. All metalliferous or mining claims, both placer and rock in place, shall be assessed at five dollars per acre, and, in addition addi-tion thereto, at a value baaed on some multiple or sub-multiple of the net annual proceeds thereof. All other mines or mining claims, and other valuable mineraJ deposits, including in-cluding lands containing coal or hydrocarbons, shall be assessed at their full value. All machinery I used in mining, and all property or surfaco improvements, upon or appurtenant ap-purtenant to mines or mining claims (which shall have a value separate from such mines or min-ing min-ing claim?) and the value of any surface use made of mining claim, or mining property for other than mining purposes, shall be asssj-ed at full value. Th state board of equalization tdiall assess and tax all property herein enumerated, provided pro-vided that the. assessment of $5 per aero and the assessment of the value of any use other than for mining min-ing purposes shall be made as provided pro-vided by law. Page denounced it as the "mo.-.t damnable tiling ho had ever seen.'' Others hinted that there was pomething "'"rooked" about it. Hecker denounced this aspersion as untrue and declared that it was not a crooked deal. He declared de-clared it was placing a just taxation on the mines by the state board of equalization equali-zation and not a tax by local taxing agents controlled by the mines. The resolution was lost bv lack of a two-thirds two-thirds vote on the first ballot, but (decker moved to reconsider at once, and on the last vote it was passed by a vote of 34 to 9, with three absent. The house also passed a house joint resolution expressing tho thanks oi the legislature to tho citizens committee for its action in raising $25,000 for relief re-lief of dependent members of the families fami-lies of members of the national guard who were called on border duty, Before tho house would pars the occupation tax measure, however, it insisted upon reinserting an amendment the senate had eliminated, elimi-nated, providing that 28 per cent of the nine-sixteenths of the funds raised by the tax should go to the University Uni-versity of Utah, the Agricultural college col-lege and the Branch Agricultural college. col-lege. As it stands now the funds collected col-lected under the act, seven-sixteenth are to go to the state school funds and are apportioned to the several school districts dis-tricts as provided by law. The remaining remain-ing nine-sixteenths will go to the state general fund. Passage of the occulta ti on 1 ax measure mea-sure was the last important legislative act marking the closing session of tho Continued on Pago Soven.) UTAH LEGISLATURE GDIS TO CLOSE (Continued From Pago Fiva.) house, which nut in a long and eventful event-ful day, during -which much work was done in putting the finishing touches upon house and senate measures. The tax measure reached the house from the senate about 8 o'clock in the evening, and from then until 10:40 it was under the fire of attack at the liqnrla nf f rt rxnn'.li C 11-- house, in the ranks of which were aligned a large percentage of the outside out-side county representatives. The opposition branded the measure as unconstitutional, a thing produced at the last minute that covered a " nipger in the woodpile." and it was declared that in the enactment of it the Democratic Demo-cratic party would betray its trust to the people and fail to keep its promises-on promises-on legislation. The proponent faction declared the measure the best that could be provided in the closing days of the session and one that would operate successfully. suc-cessfully. Representative R. W. Young, Jr., assured the house that if the bill were not passed there would be no special spe-cial session for tax legislation and that the Democratic party would have to explain ex-plain as best it could its failure to pass any tax legislation. He gave further assurance that if the law were passed and then found unconstitutional in the test, there would be a special session called at which an income tax measure or some other measure would be enacted. en-acted. Amendment Adopted. When the bill reached the house Bevan of Tooele sough-t to have action deferred until the senate had acted on house joint resolution No. 9, relative to a constitutional amendment on taxation taxa-tion of mines, bnt failed. Boyden of Summit spoke in favor of ths bill as being the best possible solution to the" tax situation. Young of Salt Lake immediately im-mediately offered an amendment to provide pro-vide for distribution of a part of the fund raised under the tax to the state schools. There was some argument that an amendment would jeopardize the passage of the bill finally, but this was overridden and the amendment was adopted. Then the fireworks in oratory commenced. com-menced. Adams sought to have it tabled until the senate had acted on house joint resolution No. 9, and the motion failed. Mace of Sanpete de-clared de-clared that there was a "nigger in the woodpile" in the bill, though he was unable un-able to see just where he was. Young then assured the house that the bill was a good one and told what would happen if the bill were not passed. Decker of Iron opppsed it, declaring the members would violate their oaths bv passing such a measure. McKay of Weber sounded an echo of the income tax and declared the passage of the bill would be a blunder. For and Against. Mc.Kinney declared that the bill was constitutional and was good. Paxman of Washington said it was too bad that the legislature had not consulted McKin-ney McKin-ney as a constitutional lawver at first and followed McKinney's ideas as to taxation. Young arose to a point of order, or-der, objecting to personal reflections. In an instRnt Currie and Docker were on their feet raising points of order that Young was not in his seat. There was a grand babel of t.oncnps nnrt tho erak. er ruled all out of order and after loud rapping of his gavel finally got the excited ex-cited members back into their seats. Young took his seat and then raised his point of order and the speaker admonished ad-monished the members against indulging indulg-ing in personalities. Paxman, however, resumed his talk and declared that the point, of order rule seemed to work only one way declaring that Young and Mc-Kinney Mc-Kinney had referred to him and his colleagues col-leagues as "bull-headed animals" from the "cow counties" and no one called them to order for it. Paxman continued by declaring that the Democratic party had betrayed its trust on the tax matter. mat-ter. Wolfe Turned Down. An effort was made to extend the floor to J. H. Wolfe of the attornev general gen-eral 's office to explain the bill, but with decisive vote the majority refused this privilege. Heppler of Sexier delivered a vitriolic attack on tho measure and the house, having grown weary of the debate, consented con-sented to have the vote taken. Everyone Every-one wanted to explain his vote and took occasion to do so. Decker, in explaining his, declared that in view of the fact that he could see that a "sinister power controlled the destinies of the state he would vote 'No,'" and he so voted. Convinced that the enactment of an Income tax satisfactory to all concerned was out of the question, the senate yesterday yes-terday afternoon accepted as the temporary tem-porary solution of tho revenue problem the occupation tax bill presented by the joint committee selected from ".both branches of the legislature. While braring the name of an occupation occu-pation tax, the measure adopted was1 openly charged on the senate floor with ' being nothing more or Ipss than an income in-come tax directed against the mining j industry of the state. An income tax ! on mines, it was divided by the attor- j ney general, was unconstitutional and former United States Senator Joseph 1 L. Rawlins. legal expert of the legisia- j ture. offered an opinion to the effect that the occupation tax on mines was eipiaMv contrary to the state constitution. constitu-tion. The bill ns introduce.! and p.-issed in the somite provides lor an occupation (Continued, on Page Twenty-four.) UTAH LEGISLATURE COMES TO CLOSE (Continued From Page Seven.) tax of 3 per centum on net proceeds of mines ror the year 1917 and, of 2 per centum annually thereafter. It is estimated by members of the committee commit-tee which presented the bill that the state will derive -from this source during dur-ing the ensuing biennium approximately approximate-ly $1,750,000. The extra 1 per cent f'or the year 1917 was assessed to cover the deficit in revenue from mines during dur-ing the year 1916 because of the change in tax laws made by the 1915 legislature. Although it was practically a foregone fore-gone conclusion that the bill would be accepted by the senate unless proved unconstitutional, it was not indorsed without a stiff fight. Senator George Dern, a member of the committee which drafted the bill, led in tho attack against it. He expressed the opinion that it was another way of assessing an income tax against mines, which had ,been declared unconstitutional. Calls It Extortion, The prosperity of the mines during the past two years, Senator Dern declared, de-clared, had aroused the cupidity of' other interests in the state and as a result it had been decided to extort toll from the state's biggest and most productive industry. 11 Tho mines have prospered no more than other industries of the country," he. asserted. "The farmer and the stockgrower are receiving from 100 to 300 per cent more for their products than ever before and yet there is no mnvftmPTit or sentiment r.n nlaco further tax upon them. Furthermore, the state must have immediate revenue if we are to believe all we have been told about the condition of the state treasury, treas-ury, and the occupation tax if not objectionable ob-jectionable for any other reason will not produce funds before December, 1918.' 1 Says It Is Subterfuge. Senator Seegmiller took exceptions to the Salt Lake solons' reference to the prosperity pf the farmer and the stockman and insisted that they also were paying on a higher valuation valua-tion than ever before. The occupational occupa-tional tax he opposed on principle. He also declared that it was a subterfuge to avoid violating outright the terms of the constitution and read an opinion opin-ion from Senator Rawlins to that Effect. Senator Col ton expressed the opinion that an income tax was the only equitable equit-able and just system of taxation, but insisted that it would be impossible to enact a satisfactory income tax law at this session of the legislature. In lieu of that he declared that the occupation occupa-tion tax seemed to best meet the de- j mands of the state and of the admin- istration inasmuch as it placed the burden bur-den upon the mines which had escaped their full proportion of taxation bo-cause bo-cause of the failure of the constitutional constitution-al amendment last fall. Burden on Home Owners. "The mining interests have admitted that they did not pay their full share of the tax last year and have expressed a willingness to make un for tho deficit this year if onlv some legal way could be afforded," declared Senator Colton. "For that reason and for tho reason that we must seek in some way to relieve re-lieve the burden of the small home owners, I ftfvnr tho enactment of this bill. Tf conditions are different two years from now and we can get an income in-come tax which will be fair to all, thcro 1 is no reason that this law cannot bo 1 repealed." Senator Armstrong declared that he would vote "no" because ho believed the law unconstitutional as well hh unfair un-fair and ho made good his promise. Senator Dern offered several amendments, amend-ments, practically all of which were accepted, and Senator Armstrong tried to insert an amendment providing that the various state schools should. bo given their share of the fund, as under other revenuo laws. This amendment was defeated. Opponents Won Over. Senators Olson and Stevens opposed the occupation tax because they believed be-lieved that if it failed to pass there would be Borne chance of getting an incomo tax. .Each declared that he was unalterably opposed to the Page income tax bill as applied to local con-ditionw, con-ditionw, but expressed the opinion that a new bill could be drafted which would meet with tho requirements of all factions. When tho vote was taken several of those who spoke against, the occupation tax votfd for the bill as the only means offering immediate relief to tho stat 's financial dishes. Senators Arrant rong, ( Jlson, Seegniiller and SI c-vens c-vens were the only solons to register in the nogtit i vn and, st ra ng" as it seeini'd, it. was practically tho first timo during tho uesuiou when tliery was a I I division upon any bill that those four voted together. Throughout the discussion of the bill tho senate chamber and gallery were crowded witl members of the lower house, that body having sauntered for lack of something to do until the revenue reve-nue measures were acted -upon by the senate. Sonic of the lower house members mem-bers expressed strong disapproval of the occupation tax and held steadfastly for the income tax as the only solution to the revenue problem. It was the general gen-eral sentiment, however, that in view of the hopelessness of enacting an income in-come tax law and in the anxiety of many members to get started home, the occupation tax might be accepted by the lower house. The bill provides that an occupation tax shall be levied upon and paid by all corporations, associations or persons carrying car-rying on the business of mining or engaged en-gaged in working or operating any mines or mining claims, whether metallic or non-metallic, placer or rock in place. Employees Exempt. It is provided, however, that laborers or employees of the mines shall not be required to pay the occupation tax. Nor shall the discovery work required in locating mining claims, or any annual assessment work required by the laws of the state in order to hold possessory title to any mining claims be considered a mining occupation or business unless the annual assessment work exceeds $500. in the original draft the maximum maxi-mum exemption was $300, but was raised by Senator Dern in connection with a number of other amendments intended to clarify the terms of the bill aud lessen les-sen -the opportunity for a prejudiced' iu terp rotation of some of the provisions and thereby work an additional hardship hard-ship on the mining interests. Any person, corporation or association, associa-tion, either as lessor or lessee, who leases mining property in consideration of royalty roy-alty charged on a basis of the output of the mine or mining claims are to bo considered as engaged in the mining busines and will be subject to the occupation occu-pation tax. Every such person, corporation or association as-sociation engaged in mining as interpreted inter-preted by tho act during the year 1917, and any year thereafter, will be taxed $1 for each such person, corporation or association engaged in working the mine or mining claim, and in addition thereto, a sum for each year equal to 2 per centum of the total net proceeds derived de-rived from the business. There is an exception in this, however, with reference refer-ence to the year 1917, when the tax is to be 3 per cent of the annual net proceeds. pro-ceeds. Each person, corporation or association associa-tion engaged in mining within the meaning mean-ing of the act is required to make an annual statement showing all expenses and revenue, and the report must be filed with the state board of equalization equaliza-tion on or before the second Monday in February each year beginning in 1918. The statement must contain a correct account of the actual expenditures of money and labor in extracting ore and .minerals from the mine, transporting them to the mill or reduction works, and the reduction of the ore and conversion con-version of the ore or mineral into money or its equivalent. Salaries Excluded. In making the statement of expenditures expendi-tures there will be allowed deducted all money expended for necessary labor, machinery and supplies needed and used iu mining ooerations, for improvements necessary in and about the workings for reducing ore, for tne construction of mills and reduction works used and operated in connection with the mine, for the transporting of ore and the extraction ex-traction of metals and minerals. But the money invested in the mines or im- 1 provenicuts during any year except the year -immediately preceding such statement state-ment must not be included in the report. re-port. Excluded from the list of expenditures expen-ditures are the salaries or any portion of the salaries of any persons or officers not actually engaged in the work of the mine, or personally superintending the management of the mine. All taxes provided for in the act are to be due on the third Monday in September Sep-tember each year and all unpaid taxi? are to be - delinquent at noon on the Saturday next prior to the first Monday in December each year. The tax authorized au-thorized by the act is to become a lien upon the property. The state treasurer is to be required to publish a delinquent delin-quent list, aud unless the delinquent taxes, together with the penalty, are paid before the third Monday of December Decem-ber next thereafter, the property is to be sold from the front door of the capi-tol capi-tol building. The delinquent list is to" be published three times in a daily newspaper with a general circulation throughout the state. If any tax provided for by the act shall remain unpaid after the time it becomes delinquent, the tax will be subject sub-ject to a penalty of 5 per centum and shall draw interest at the rate of 12 per centum annually. Property sold will be subject to redemption in the same manner as other property sold fpr taxes. Of the funds collected under the act seven-sixteenths are to go to the state school fund and apportioned to the several sev-eral school districts as provided by law. The remaining nine-sixteenths will go to the state general fund. |