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Show THE UTAH STATESMAN, JANUARY 17, 1929. . Dem On the Colorado River u Whll th UiUttni la aasrion two jnwi ago there waa MU, pandiag la Congraaa a measure knowa aa tba which provided tor tha conatnictloa of a high dam on aha mala stream of tba Colorado River at Boulder or Black Canyon. Tha MU la lti than form contained provialona that ware eo eubvoralve to the rlgbu and interests of tho auto that tha legislature paeead a memorial to Congress, proteat agalnat Ita paaaage ha a further means of pravanting tho paaiaga of tba MU and to protect Utah from accenting to lie dangeroua provialona tho Leglalaturo alao read oompaot. which had pealed ita adhaelon to the ll been enacted In lilt, and which provided that whenever tho Colorado River compact ahould have been ratified by ala atatea It ahould become effective aa between the ratifying atatea. By thla action Utah took an uncompromising poeltlon in demanding aeven-otal- e of the Colorado River Compact. Mil failed of paaeaga at tha aeaalon of ConTho graaa which ended la tho aprlng of 1117. In tho autumn of that year a conference of tho governor! of tho aaven Colorado River atatea and their advlaere waa bald at Denver for the pur pace of devising waya and meana to bring about aaven state ratification of tho Colorado River Compact. It waa plain that thla could only ho accomplished by means of a subsidiary compact between tha states of tho lower basin, so that each would be assured of definite benefits. This conference lasted some four weeks and considerable progress was mads toward bringing Arlaona and California into an agreement respecting the division of the water allocated to tha lower basindidby tho not Colorado River Compact, but in tha end tha conference achieve tho object for which It was assembled. At tha ensuing session of Congreaa tho sponsors for the bill made a very determined effort to get tha measure the through Congreaa. I went to Washington and appeared before emcommittees of tha House and the Senate where I lodgedX tho a a had bean Utah of the bill, of State tho against phatic protest mandated to do by tho Legislature, and X ndnouaced tho following of Bwlng-Johns- ao-ca- alx-ata- tc oa Bwlng-Johne- Swing-Johns- ' on Utahs I. I. demands: A treaty with Uexlao pro tho Santa Fe Compact. treaty with Mexico preserving to tha United States tha rights to any water of the Colorado river made available through development la tha United States, Including equitable rights to the natural flow. I. Acknowledgment that water within tho state Is the property cf tbs lUtf 4. Acknowledgment that tha State of Utah la tho owner of that portion of the bed of tha Colorado River which lias within its bor- ders. I. FuU acknowledgment that the states have the right to demand and receive compensation for the use of their lands and waters. Notwithstanding thla protest tha bill passed tho House of Representatives, and when Congress adjourned it was made the unfinished business of the Senate, to be taken up Immediately upon the reconvening of Congreaa. in tha short aeaalon In December, 11X1. my Just before Congress convened I went to Washington where gained from memInvestigations confirmed the opinion that I had was bill effect tha to that tha our bers of Congressional delegation, certain to pais the Senate whenever it came to a vote. I had alao reaohad tho conclusion that the tendency of the Supreme Court Is such controversy Into the that It would not bo safe to rely upon taking thaunconstitutional. The courts and expecting to have the law declared protecsafest course, therefore, appeared to lie In securing as much X tion as possible through amendments to the pending bill. discussed the measure, and this subject at soma length with proponents of memorandum with when I left Washington I left the following Senators Smoot and King: n bill Is going to pass. I taka Assuming that tha amendments for the the liberty of suggesting certain changes orstates of the Upper Basin. greater protection of Utah and the other 1 should be glad to sea the Upper States unite on these points as protection. part of a program for mutual should be mads to have the pawl I. I think another effortsevsn-state ratification for which Utah of tha bill predicated upon has always contended. The attaehed Form B would accomplish the haa tha approvals 1 bolitva of tho aovornoro of tho purpoit. and basin statsa California will raioa strenuous objection to four upper to her, and will Insist the proposed allocation of 4.200,000 acre-feI believe It would be a reasonable comproupon e.COO.OOC acre-fee- t. U the upper mise to split ths difference, and it is my opinion that for California, states unitedly tsks a firm stend on 4.400.000 sere-fe-it. to accept and California they can Xnfores Arisons of of secure Farm B. the to adoption failure the event t. on a and tho consequent likelihood of pnealng the bill should firmly units In attempt basis, then the four upper etalu attached Form A, which to based of ths Ing to secure the adoption ratification- This form was drafted by Dslph S. Caron Governor Adams penter. and has the approval of Governor Emerson. Dillon, also endorses and myself. Mr. Wilson, representing Governor should bo accepted by the upper it. No emasculation of this form then California compact, states. If we cannot get the eoven-etaought to glva us this substitute at the very toast. liceneee on the ColoI. The embargo on tha Issuance of power should be extended, rado river by the federal power commission compart becomes effective. preferably until the seven-stat- e section in the bill giving formal notice u4. There should is a that In no to Mexico (or directing the department ef state to do oo water made event shall she svsr claim, or be entitled to clslm, any and nt the expense of available through storage works built within Government or by one whether by ths National ths United Ptates,states or by private enterprise. The present bill or more of the need exclusively water shall be provides that the stored Is This good within the borders of the Unitednot Staten. us forLet far does It hut go enough. os a declaration of policy, conference passed a strong mally put Mexico on notice. ThaI Denver am aura It to the wish of tho upper memorial on this point, and atatea that this action be taken I. To my mind eectlon I. of the Mil is obscure. I think w bill provides that all appropriations of ought to he very aura that thestate laws. I am sura none of ths weet-water shell be mode under want to support a bill that asserts federal control asof ths does waters of Its streams. The Mil ought clearly to acknowledge, tha federal water power act. that tha right to appropriate water. Swlng-Johnso- et et slx-ota- te six-sta- te te m r compact. "T. As evidence of good faith In ths foregoing declaration, lot tho MU provide that all excess revenue over and above what to required to repay ths governments Investment with Internet, ahaU go Into a revolving fund or n special reclamation fund for ths further development of the Colorado river system In ths other states. MU to not solely a CaliforIt could then he said tha nia measure. X sm not unmindful of ths feet that ths preceding suggestion to nt variant with my past position, for X have eontandsd for stats ownership of ths ths water end power resources, end for turning all the profit over to the etates when ths government has been fully paid out. I so staled before the Senate committee last winter, and Senator Kendrick said, "That to my attitude exactly." The MU. however, contains no such provision, and I am laboring under the Impression that Ita proponents wUl not consent to nuch n change. am, therefore, making a suggestion that I think to In harmony with the theory and spirit of tha present M1I. X fear, however, that thla proposed change will drive Arisons farther away than aver, whereas n provision to turn tho project or Its profits hack to tho states might bo an inducement to her to coma into tha compact. I. To protect Utah from the unfair competition of having tho federal government furnish electric power to Southern California at extremely low rates, I think tha bill might wall provide that ths power shall be sold on n competitive basis rather than on n cost basin This would also protect tha Interested states In their demand for power revenue. If the secretary of ths Interior to only Interested In getting back tha government's Investment plus the cost of operation. ths provision allowing Arlsona and Nevada certain power royalties will be defeated." On ths floor of tlis Senate ths bill waa materially amended and then passed. The amendments were concurred In by the House, and bill waa promptly signed by the president. the In ita final form it allows six months to secure seven-stat- e ratification of ths Colorado river compact, but at the end of that period It authorises the construction of ths project whenover six of tha states. Including California, shall have ratified tha compact and shall have waived the provision of the compact ittelf, making It Mnding and obligatory only when it to approved by the seven states. California ratified the Colorado river compact unconditionally a few days ago, and hence all cf the states exceot Arisons have now ratified. to out of the Utah, however, compact, end the construction of the Boulder Dam cannot be commenced until either Art-soratifies the Colorado River Compact or else Utah goes back into tho agreement. Without going Into a lengthy analysis of ths blU at this time. I will soy that tha second, third, sixth and seventh points In my memorandum were substantially Incorporated into tha bill, tha last two embracing Commissioner Wallace's plan for a oomprehinaJve development of the Colorado River. The fourth point was not inserted In ths explicit manner that was desired, on account of objections from the Department of State, but X am told that tha point to fairly well covered. As for the fifth point there to doubt In my mind about tho recognition of tha principle of stats ownership of water At any rate, our efforts of the past three or four years have brought about marked Improvement In the bill We are now confronted with the necessity of dscldlnt what Utah shall do next. In my Judgment we ehould not do anything, at least for ths present. Utah has oonslstantly held out for seven-stat- e ratification of tha Santa Fe Compact, and even today tha most ardent supporter of the bill will admit that, notwithstanding all tha amendments that have been secured, our rights will be better Insured under t mpleta icvan-staratification than under the The amendments that wera forced into the Mil were net allplan. for the benefit of the atatea of the upper bailn. Several exceedlnsly important ones were for the benefit of Arisons, end ths Arlsona Senators achieved n great deal In behalf of their state. For example, Arisons to new guaranteed practically ths quantity of water that aha asreed to accept at the Denver Conference, and aha also secured n signal victory in tho matter ef tho Gila River. Unquestionably - tha final Ml) must be far leas objectionable to Arlsona than was tha original MU. Whtls thsre to an Irreconcilable group In Arlsona, yet there have been some political changes In tha (Matt, and new developments have resulted which undoubtedly affect the attitude cf the' people cf Arisons toward the question of ratifying ths Compact. In view of ths situation I hops and Indeed believe Arlsona will ratify tha Compact In which svent no further acUon by Utah will bs necessary. .. I therefore think It would be unwlee for us to da anything until ws ses whet Artoons's attitude u golns to bs. If shs displays s disposition to enter into fair and reasonable negotiations with California and Nevada for a compact. It will claarly ha to Utah's Interest to stend aloof until tho outcome of such negotiations to known. ,, If ws rush hack Into the compact California will loss 11 Interest In a streams nt, and ths chances for state ratification will bo gone. We are therefore Just as much Interested In watching California's attitude as we are in watehlns Bwlng-Johna- X- .! t ort six-sta- ts ht an-rit- ual en te br leg-Mat- ns Swlns-Johns- six-ate- te - tri-sta- te six-sta- te trl-sta- te Art-xona- 's. We shall continue to extend cur friendly offices to helps our tws good neishbors Into sgreemont, and I think I have sufficient reasons for feeling optimistic about the probable outcome. X may poeslbly. at a later day. submit n comraupfcstfen dealing with tha question further. Other Governors Recommendations - bn MWMWaii.s.sisnwV'es give ovary cesrideratlen PETOMJNG yiyv; to tha taxpayer, Gov. William K. Adams to a sdralstotrntien pledged his policy sf rlfid economy during ths ensuing two years In an inwts augural address delivered before CKETENNE Th need of roeds In Wyoming stressed hy Governor Frank Emerson in his message to ths Wyo- ry n Joint session of the two houses. HI Program. 1 ths Keep appropriations Governor within ths Income of ths state. ming legislature. lieu bond n an I Aveld increase In propsuggested flret taxes. If additional revenue conetltu-tioerty the set hy limit to ths up to needed, find other eeurccs. nuch $2,100,000. Second he sug- as n luxury tax. amendment S. Repeal all continuing apconstitutional gested n amounting to $illa-21- 0 which would rale this limit. Third propriations. for ths bltnnlum. tax b ha urged that the gasoline to 4. Change tha fiscal year raised from three cent to four close on anm other data than Nocents par gallon. and as at vember present,, Ha recommended an appropria- avoid ths$9,Msnntol financial strintion of $971,000 for statstwoinstitu- gency. years tions during ths 1 coming s. Take steps te amend the M as against the The Un- constitution as that tho governor propriation of $719,000. tn may have a sufficient length of iversity of Wyoming asked for to pass on appropriation Increase of $97,000 hut ths gover-of time Items. nor recommended an Incresee a. Abolish ths remaining de$19,000. eonsoJi-datlo- n partmental "cash funds and ' turn Ha also reeomminded livestock Into the general fund. them of ths various T. Reorganise ths reversl decommission with the etate departpartments of go varamsnt. ment of agriculture: the enactment g. Enact legislation to prelect of legislation which would make mors the highway! frem improper and taxation of automobiles a use. destructive than at present; general thingsoma f. Enact legislation to curb method bs workthat ed out whereby tli automobile tha reeklrea driving of automotime bile. tax ba collected at tha same care A tha license fee to paid: aeked of proposed leg IDAHO. ful consideration buiees tax would which islatlon etete: this in trueks eperallny and BOISE G4vsrner H. C. tuneeted a thorough revision and of Idaho md the fallowcodifying of all law relating to ing recommendations to ths state i No tearing of steta tends. L. Btehep. legislature: In tho House Marvin waa Require naiieaat banks to pay elected county, Jr. of Natrona vote, Tn taxes. speaker by unanimous Empower ths supreme court te nomination ws seconded hy A. make rules cf practle and proRevelle McMIrken. rarhon county. cedure for trial courts. McMicken to a Democrat and miAuthorise ths supremo court to nority leader. A. W. McCollough of Albany sit in department. Appoint an Insurance ends asm' leader in county to minority iloor tho House, which ns IX Republic-or mission. Oil more highways and dtvslop ans and 11 Democrat. Three reeds. the XI Democrat aie from Sweet-wat- market Pore an operators and chsuf county. set, revoking Hennas In the aenste, A. J. Rosier of fours license excessive carelessness or Carbon county waa oloctsd vie for T. Lasear, drunkenness. president and Edward Nsls PearRequire all cemmerctol ueers of majority floor leader. highways, both pubUa and prlvat son of Sheridan Is minority leader. 1 rarrler. te pey amountns that will There am 17 Republicans and ef roads. compensate for thslr Democrats. Urge waterways development nn COLORAPO the Pnsk River before Cnngreee Joining with oilier western aretes ths In a Tech system for tha ColumDENVER. Celling tips general assembly bia Elver. 11 Aashorto dlBEgVriSt d m w astfUvtfoHBsg and to ' n, eug-seet- Bsl-drld- er i miy-seven- th works to recommend instillation of emargsney landing Raids for alrplanre. Authorise public utilities commission to msko closer study of freight rates and employ n statistician. Correct the errenpoue Impression that tha etate guarantees the validity and payment of irrigation district bond. Continue tho stats-wld- o publicity campaign. Investigate personal servlet appropriations. tax russification Concerning Governor Baldridge said: to In Idaho and throughThera out the nation a feeling that too much of tha burden for tha support of all state governmental geneles to borna by real property. The tax charged against the holdings of publle utilities, corporations, manufacturers and similar industrial concerns, to passed on by them to be paid by tha goners! publlo the consumer. But tha tax Imposed upon a persons home or Jito farm cannot ba shifted. It must be paid hy ths owner. "In the final analysis, thsre to but one real eourra of taxes, that to tha pecplo of our slate, their labor and their property. With thla phase of prlvata ownership w are mast concerned. The home is the most sacred Institution in tha social structure, and I believe that any system whlrh penalises hem ownership by excessive taxation to fundamentally unsound und Intolerable." CANADIAN TRtfrFRA AVER. AGE MORE THAN $6,000 A YEAR. With n per eapitg annuel Income of frem $1,600 to $10,000, trappers In ths Canadian Northwest earn an Income which ranks among tho hlghset In tha dominion. tha assistant trade commissioner at Ottawa. A. H, Thiemann advised ths department of commerce. January 0. The following ths full test ef ths statement. Increased buying power to reflected In the comparatively elaborate manor In which tha Inhabitants are equipping their shacks. Rad toe, vict rotes and sewing machine. are no longer uncommon, radios being particularly desirable since this region to cut off from for many month In civilisation the year. Even the native Eskimos erg ld t bs sharing In this prosperity and sows of them hers t WMhisod xwoey Is Mo Headless Ballot j Fran Gorarper Utah still retains ths antiqnated systsrn of putting ths ticket of each political party in a separata column on tho official ballot, with a party emblem at the top, so that a straight ticket mav ba voted by putting a cross In the circle under tha emblem. This Implies that our voters are so Ignorant that they either can not read or else can not make an Intelligent rhoire between the vsriou names on the ticket, either of whlph to an Insult to the electorate. The Utah form of ballot la designed to promote unthinking wholesale voting, and to rrevent a free and honpet expression of the Judgment of tha electors as to tha qualifications of persons who ar candidates for publlo office. It ths duty and tha proper function of ths electors to psM upon these qualifications, and unless facilities re afforded for comparison of tha name of the candidates, and for the recording of the actual Judgment and preferencs of the elec-tor- e, the elections do not function Freedom of election to properly. the cardinal and fundamental principle of republican Institution, and It to highly impolitic tor the etate Itself to put Impediments In the way of tha frea exercise of the elective Judgment cf the people. There should be complete liberty of nomination .by parties, and complete liberty ef election by the voters. Nothing less than this will assure ths rights of the people and ths Interest of tha commonwealth. The correct form of the Australian ballot to net the form used in our state, but the one that has been used in Massachusetts fur 10 years or mors. An Improved form was adopted In New York upon the recommendation of Gov. Cher Is Evens Hughes. If the voters do not honoetly consider and pasa upon tha qualification of candidates for office, they art derelict in their duty to tho rommnnwealth, and tha state to effectually prevented from havef their honest ing tha benefit Judgment, and to likewise prevented from having any adequate or effectual examination of tho fitness of tho persons who are to exercise If the voters publlo authority. do not perform this duty they too frequently promote Inefficiency, connive at dishonesty and wink at The votr ought, rerruptlr.n. therefore, to ba able, eaeily, to ssft-llXS- gUJ.sto lO PPtO XNURll! Id thr, ns. yt More Urged 'is ed to-w- n-c- .naVcSdncta pro-scri- gln ilTT. Inter-count- msg. a I 1 . sr six-ata- te ed "gpy per-mini- m m X - six-sta- te Tbs tax problem, always with us. is rather aautn in Utah lust iToa b.r,ulrd to give tt much of your nj? prtMDt tax system isldr?in. and to decide whatiwr or set sotlsfootory ' wlwr n taxation has told down th following sound tax system: , It must ensure fiscal adequacy That la bo nrodaettre gf sufficient revenue to most tha needs of th state. must bo economical in administration. A tax tkif Oort fifty per cent to oollsct to a poor tax. Third, it must ba Just and equitable In Rs application, so that aU 52"!!, share of tha burito mlll'i.i1 must b elastic, so that It has tha capacity to y ,n. ? dsmand for revenue, i 1 terms and in ths proctss of ode minlrtratfoik d.ee.?iXt.h U muilt 11 aivwsKtod so that thsre wlU bo n numbor of co'ordln4t1 wgsthor, to form a unlftod aba eonsiMsnt wools. Seventh, it should bo flexible, so as to permit ths ftpln ftft changing social and economic ooa dlliona 11 "will bs helpful to measure our Utah tax system by thoao J1 f!114 test, for it In not yielding sufficient revenue for under ths first needs tho atetn. Th inadequate buildings and qui pmVnt t our State of tartRisUMO Peak eloquently on this point. It stands up fairly well under th sseond tost, for in th moln. tho costa of collecting our taxes Is reasonable. It foils under tha third teat, that of Justice and equity, for oomo classes of property are overburdened, whilst n large amount a Ppop,rty. escape taxation entirely. Moreover, many citteens who receiving eonforubto IncomM pay littla or no tti It partly Mia undtr tbo fourth taat that of olaoUetty. Tho prop orty tax lovy te adjustable, but ao far aa tho atato fftaaral fuad or year been levying tha maximum and tt in g?.g?.,.4.wL.hY fixed Tht P.cU1 rigidly hy statute, wtth no authority in administrative offleors to vary thsm. control ever this most Important wtofoctory by th fifth test, for with miner mm It to n matter of history that of natural resources. to simple. eeptions .rV!?'1. tha real reason why tho federal No Model law Has Reen Prepared. olxth th toot, that of diversity. It measure By mil far atetn I have corresponded with tha exgovernmsnt began to assort title but poorly for local purposes, Ths stateupreeatran not only to mineral bearing state school ecutive secretary of the federal apurposes, but also property teg, Inheritance taxes, motor vehicle taxes, gueoHno lands was that tha states, instead power commission, and ho informs UxM corporation tax as and othar oxctoasL of appreciating and guarding tha ms that white n study has bean taxr.ciRrt folia R under tho oovonth teat that of floxlMUty. for th octet!-tutl- on no state of mads model legislation, invaluabto heritage that had been contain n number of provialona that restrict th potoor of tbo law of slat legislation a tow has granted them upon their admis- been with leglalaturo roapoct to taxation, sion into tho union, were frittering prepared. He suggests, howThto outUna to sufficient to ohew that our tax system to deficient. that scat legislation, in or. it away and practically giving it ever, I otato to to take " enable th ft axiomatic that no tax system to perfect, yet it to to private Intonate for exploita- der tn1r set, should, uot our duty to permit obvious evils to persist tion. WUh tha growth of tha con- advantage of tho cover without making an ef-ffolother tho among to correct thlnga them. Instead of laying down certain broad, general servation movsment, tho governmatters: ment moved to put an and to this lowing principles, our Constitution to ao full of tax legislation that tbo 1. Th to tho in engage to right availed about hedged and, therefore, with restrictions, and does not have n freo prodigality, business of developing, transmit- hand in remedying evils of itself of n technicality to taka ting tho present system present and power, distributing with on better suited to th conditionssupplanting back tba coal lands and other of tho tint. X, Th us and appropriation mineral bearing school section. Whll th stats has ocvsrel sources of revenue, yet Its mote re-- !. water for power purpose where In 1919, ths state of Utah went of tow of appropriation applies. f. upo.n Ift general property tax. Taxation exports are pros-tlcal-ly over to ths conservation Idea by th I. Authority unanimous in declaring that ths general property tax is not to condemn pritow. mineral Its leasing enacting vet for power develop- masting present conditions. The trend In th United State to strange If this had not boon done. It to ment.property .Jn .? s,rct,n of classification ef property for taxation purposes. doubtful that tha set of 1917, 4. Regulation Utah was admitted to the Union, thirty-eigstates adhered te are services and rotes. of securities, When whereby these mineral lends ever rules that all property shall ba messed uniformly for taxation th could returned to tb( state, f. Limitations cf rights granted and only ten remitted classification. In 1921, only fifteen states rehave been obtained. hy tha state to a spedflo period tained tho uniform rule, whilst thlrty-thr- e had adopted elaariflaa-tlo- n. It to the same story with respect with right of recapture at expiraThe chamber of commerce ef Ohio to making a strenuous camto water power. Ths states did tion, or Indeterminate grants with paign. for classification, but It to opposed by th formers, and th oomo not appear to grasp ths fact that right of recapture upon reasonable to true in Illinois, Washington, Nevada, Utah, Wyoming, Texas and their water power potentialities notice. tea wort of th Mississippi rlwr whore Iy .rk.1f..ar tonownotth were an Important stats resource, Restriction on Valuation. classification As a matter of fact, w hdvo somepermitted. from T. them to on did valuation Restriction for nothing keep sqd what of a classified property tax In Utah now. on account of tho without Into rat hands and to recapture prlvata regulation falling standards or assessment, favoritism, and flxsd prieas for setAs n result of this actual prudent Investment: compensation. indifference, congress passed the (a) Actual costs of physical tle, sheep, horses, goats, etc. History, practice and Justice would appear to approve of thaclao-rifle- d federal water power net of 1120, preparty plus prudent Incidental property tax as n supplement and aid to tho gonoral piepsikf expenditures. whereby tbs federal government for th purpose of euring It of the lnequalltlee and (b) Investment not to Include tax, unethical feagoes to extrema lengths to conture occasioned by the uniform rale. serve tho water power of the or ho affected by the permit or licenee Bo tong ns hy public property authorIn Utah was principally of n vlsibta chare country. ised to be need, or by good will, actor and hence property discoverable UureK of States readily by th nseisliir offioern tbf reveor going value, stoepeetlvo vystem of aeaeoolng and taxing all property uniformly seemed Tho federal power commission, In nue. prflnl unIts annual report for 1137, particularly whll ths revenue required wore small. But Value ef water rights end satisfactory, with our Industrial development publlo azpandlturao reservedly indorsed ths principle of (e) grew, whilst lands or Interests In lands ac- b01 more in an states Interest have that the property became Intangible In form, Mali an money ftjd by purchase or condemnand credits, notes stocks, tho water power resources situated quired and bank bonds, deposits. This sort sf tion not to exceed actual rea- property to within thslr borders, and urged sonable cost thereofthe easily concealed from th assessor, and It to at tha tlma of so concealed when the tax rots to high. This Is true tnInvariably ths states to onset legislation to acquisition hy tho license. Utah, an assert and protset their rights. Ths I. Establishment of accounting wn os everywhere ale where tha uniform rule prevails, and ndl-ilo- ns enactwas ef dollars worth of property of thto class folia pon ns! estate federal water power act system and supervision of conand tangible personal property. ed because ths states wars sleeping struction costa. on their rights.- Congress, there6. Th theorist may say that money on deposit In banka should ho wtth. agencies fore. decided to exercise the pow- ef federal government with re- ksmed and taxed the asms ns other property, but th practice! ers of ths federal government un- spect to projects requiring federal men knows that if thto were dona depositors would withdraw thslr der ths commerce clause of ths license. banks th money, foe would bankruptcy, and business stagnadoa Whenever n power project to would ensure. constitution, and tha powers conferred by tho constitution with re- built on th publlo domain, tha Tbs remedy appears to be to claioify property and to tax different spect to federal property, for the federal government and the state classes at different rates according to ability to pay. It to claim ad and purpose of securing a comprehen- each contribute something, nr naoMiad at a lew flat rate, sueh pvoreity Int,nIl,l" sive development of water power there should ho Joint action, with will .wh?" ba doctored taxation, and tha revenue derived, even tho reeourcea under conditions which equitable division of tho benefits. rata la tow, will for ba mere than under ths uniform reel though and that Ths appropriation and us of would prevent their exploitation by Juriles end greater equity are also obtained. To th extant that thto water for power purposes under But, as I have prlvata interest.states In most In- Uw of appropriation nhould bo la truo will ths burden on real estate, livestock and other tangible indicated, ths b lessened. pononal property stances are primarily the proprie- controlled in harmony with tho The argument for claeriflcatton seems convincing. In actual prno-Ue- o, et conservation that Intors of. and have sovereignty over principles of heres In ths proposed legislation. however. It does net ths beds, banka and waterstheir produce Increased revenue, although The state should assert its para- It enhances equity. From always the standpoint ef giving th legislature sufnavigable streams within mount to water of ficient recapture waters latitude onset right measures to as well tha ss designed to equalise th tax burden, borders, power projects licensed under the the to ths electorate of n proposed oongtttu- unnsvigable etreome. Ths federal federal act. power tuUonal amendment classification scams water power act recognises thereauthorising Th atet should declare that no This procedure, however will not afford any Immediate rights, and to intended to supple- power project shall be undertaken tor ths following reasons: benefits, hy ths federal power commission 1. There Is no certainty that ths proposed amendment, which until tho 'state first gives Its 5f.. wt4 flwn by th poopit a number ot time heretofore, The state should resist ths ten- rill bo approved now. 2. It to approved by tho people. It cannot beoojn effective If dency of tho fedsral government to use Ita right to regulate navigation fas more than two years, assuming that tha next Legislature would os a msrs subterfuge to secure con- avail Itself of ita new authority to onaet th appropriate UgtolUlon. Dare's Message. trol. where th control property bewtthi Judging by the expariane ef other state Utah, those who expect a largo insrsss of revenueroinparabja on a aunt of longs to th stale. X Invito classification will bo probably your serious consideradisappointed. he pleat as wiihsut gertehinr any tion of this highly Important subIn thto connection the Legislature ahould he advised relative to name on the ballot. He should net Suitable enacted tho ject. two, legislation n Into effect ef classified tax on tha taxation sf honhs probable bo compelled to look may sore future embarrass- Section 6219 of tho United States Revised Statutes fires ths states or four columns to find ths now ment. and may prove a source of power to tax tha sharas of national hanks, at n ret net hlgbor Oils names ef ths candidates for govthat Imposed on other moneyed capital In the hands sf Ita own ctu-seImportant revenues, ernor, for senator, fur sheriff, or to Th Supreme court has decided that Individuals who Inreat In for any other office. He ought dishonest. If th Nevertheless, or othtr securities of n character In which n national bank under mortgages find them grouped together revoter believes In strict party may invest, compete with tho banks, and that, therefore, tho tax an the title of the office, with tha sponsibility, n can h vote still hank shares may bs no greater than tha tax bn eueh private Inof each designation political ticket hy voting for all vestments. if in th aggregate candidate after hie name. He must straight they ar substantial in amaunt- - Ths own the candidates of his party. each effect of thto derision was te render null and veld the tax laws ot then vote for a candidate for From every except standpoint state In Union and the can which assessed banks at a higher rate than consider every office, end ho standpoint of the selfish poli- that imposed upon eueh other classes of investments as are Usually incompare them and make an in- the tician emblem the party system cluded in the term 'Intangible property.'1 telligent choice. The candidates ef voting is harmful If not disare certainly entitled to have the While ths Federal law relates only to national hanks. in Instead of graceful. names appealing to its effect it would Include state banks elector at least read their because ths stats could not wo and Ignorance, fear, pre.ijidlr before he makes his selection. own tax it banks banks than without national them higher driving Intelligent, Inde- out of the state This plan Involves no intention should stimulate and banking system Into the national linking system. Tho this can only voting, whatever to Interfere with party pendent therefor ar that it we enact n claealflad property tax. done hy adoption of the head probabilities Let tho party con- ls nominations. whereby Intangibles were taxed at alow rat, all banka would alalm th ventions and tenders propose their less ballot. right to bo inoluded In eueh rate, with resultant toes of revenue. eleccandidates, and than 1st tha Tha situation with respect to tha Mate taxation of national bank se of them tors dispose they freely to grave, and th present rule to n serious Invarien ef the rights of Election will. Th Improved ballot Is fair ths slates to levy n suitable tax un institutions organised for prito the parties, fair to tha candidvate pcoflt. I therefore urge that you memorise Congress to amend Districts ates and fair to ths voters. It Is Section 6110 so as to establish n new basis for limitations of state adapted to the requirements of on taxation of national hanks. There Is no deubt that It would ho wto Redivtaion election ws ef should district! and intelligent people, to classification Into effect until th Federal law to amended. At not ester to any other rises. I am would eliminate tha Inefficiency tha put Governors' held at New Orleans tost November, Govconvinced that It will be approved and congestion ga experienced In ernor Paulsn of Conference, Ksneoa. himself strong advocate of classification, by sound thinking and patriotic some districts during th last elecan address on "Intanglblo Taxes, In which ha stressed the diftion. County Clerk Alonso Mackay citlxens. with respect to hanks, and In a subsequent letter he write mo, ficulty Informed ths commission county there In tha recent campaign and It leaks very much are having a serious time In our waa the usual appeal from party Friday when ho made n formal re- "Ws for permission tn undertake a If It will bs necessary to repeal tha intangible tax law and th ' managers to vote a straight tlrket quest the prodigious work. The commie mortgage registration law." by putting n cross under th em- elon Tou may conclude that It to desirable to submit n prapssod olao-sifttook tha matter under advise blem. property tax amendment to th people, but In my eplgtek One of the reasons advanced ment. Confusion was especially nottee-abt- o you will not have gone very far toward curing Our tax ailment by waa that tha legal methods of In tha city districts, County that action alone. Every analysis of th taxation toada to the conscratching a ballot are so technical Clerk Mackay lie pointed clusion that th property lax must ramtin our most important seqroa that to do so la that it la often- out that ths asserted, city's first precinct, of revenue, snd It is futile to say that thto tax to a failure. Great times confusing, and if it is dens hounded Sixth of tha South street, improvement ran h obtained by a better admlnetratlon incorrectly the whole ballot Is in Main streetbyand city limits, con- property tax, and I therefore endoiae for your careful consideration dangerI of being thrown out. Ths tain twenty-fiv- e the embiennial of tho But tho recommendations contsinsd in tha district, but report voter therefore frightened into braces lt: voter for thro Board of Equalisation and Assessment, enough voting for candidates whom he dis- times that many districts. 1. That a law ha passed requiring th tax on autamsM) te approves. This danger is removed Ha recommended major changes h paid, or mada n lion on real estate at th Ubm or befoy n by the Improved ballot. to Issued for uso In th State of Utah. Another argument advened for 2. That tha County Commissioners of sub county bo required id Lfto &i?ry Ti' 2 reS- easy straight voting to that w should hare government hy party classify all real estate within tha county for taxation purpogon ns 0d rather than hy Indiviuato. and that A strict Interpretation of the tow least every five years. If deemed necessary by the State Beard of as tt shall the public.! better protected by that a redistribution of Equalisation, and undtr such rules and regulations s party responsibility then by In- requires rlertlon ehould district he made dividual responsibility. The trou- soch year, a matter S. Tliat authority b tha State Board to squalls tha propwhich was ble with this pretty theory is that neglected in lilt because erty of Individuals or corporations of any class within a, county. If of lack It seldom works. When a publle of'fu'nds (learned necessary by said Board, so that blanket ralaoe sad re00 f been ductions of squsllslng property for taxation, may result In InrileO !prttla,t already VielthlriproriiulTrrr and equality, and not in their opposite injustice and Inequality. ty that made for tho work this yean 4. That th State Board ba given asssssmsnt Jurisdiction svsd pudiatea him, claiming that guilt 1a personal, and that tha whol y and Inter-stat- e WOMAN RCCCTEDX JIl'MIAM). bu. truck snd nut psampgsr lines. In addition to tho fortgoing I also doom It Important to ogget party ehould not be condemned WASHINGTON William Mra because one of He member ha certain new cxrt tax, to which 1 have referred elsewhere In thin th of gone wrong. An appeal to MlndjA. Oldfield today look the tn succeed her late husband shall net nlv relieve tjio severs! step If a- - take tb-- s party totally not Infrequently tor on Improved lid more down to an attempt to elect s a DomocrsUa foundation representative present nutation, but jbU lay V ra fcWWffept Klfro Artsago, pnpctaia itt tit fittotsoi . $n)lnol Two years ago In discussing ths msnt .late legislation having tho Colorado River problem X stated purpose in view. It that ws had claimed that ths Col- Intended that ths .federal power ahould exercise us auto commission orado river n stream In Utah and that navigable hcncs. under ths thority la oooeptratlon with state sstttod lew of ths country, the iftnoMio Commies Ion Report mats owns its bad end banks. Ths United Sums has contested this In ita report for 191, tho fedclaim, and n caaa Is new ponding eral power commission says: In tha supreme court of tha "Tho federal power commission United Statsa whteh will settle the would welcome tho passage by tho question. tateg ef laws under which tho Assuming that ths stats owns sutee would take n far greater ths had and basks of tha stream part than any of them are paw and asserting that ths states own taking In the control and reguths waters of aU streams whether lation of water power development navigable or unnsvigable, I raised and use. Th commission hoe po tha contention that ths power that desire to outer tho field of rate could bs generated by using ths or oervloo or securities regulation river bed and tha water waa a In any cases where tho states can tots resqurpt, which should b act. It would prefer that tho treated as one of ths state's most tote should assume primary revaluable assets, and handled for sponsibility for Inspection of contha benefit of. ths people. I there- struction end for auditing of acfor, advocated that thla resource counts. "It would welcome tha determinhe treated m tha same conservation principle that we have ap- ation by tho state of tho project to tha ageusias by plied to the minerals contained be developed and bo dons; and It In state land, namely, that title which it should In will Its fullest give to all power litre be perpetually th states n muretained hy tha state, and that working out wUh tual program of power developthey could only be leased on in th publoe Interest. It rental nr royalty basis. X caused ment but few states In n a hill to bs Introduced that cover- finds however, ed this policy In an elementary position to do thin and It thereurges th postage sf compreway, but tt was paver reported fore, tows hensive stats wotor-powout of committee. based on th policy of full publlo Real Reason svsn by ths United Elates, dspsnds upon compliance with slats tows. ", 1st ths MU doctors that tha Bouldar canyon project to the first step of n comprehensive plan for tha development of ths Colorado river wstea. Ths purpose of this to to offset, ths objection that ths Boulder canyon project to a place of favoritism for California and that ths government ought to be impartial. It docs not seam quits fair to asset ths Ewing -- Johnson Mil, which proposes to us ths meat available power alts on ths river, ths waters of tho river, tha proeent market for power, tends of tba United States and tha credit of the United States, all for tha benefit of the lower basin states to begin at once to put their shore of the Colorado river water to beneficial use and to make their complete and utlmate development within a period of probably not mors than fifteen ytsrs, whilst tbs upper states gat nothing but tho Imperfect protection of ths I Dem On Taxation' |