PAGE TWO
HEPPNER GAZETTE TIMES, HEPPNER, OREGON, THURSDAY, DEC. 17, 1936.
STATE
CAPITAL
NEWS
o Lost Millions
O Martin and King
o Welfare Cost
By A. L. LINDBECK
SALEM. Inability of the state
and its numerous political subdivis
ions to take . advantage of present
low interest rates by refunding out
standing bonds is costing the tax
payers of Oregon millions of dol
lars, according to State Treasurer
Holman.
Holman blames this situation on
the policy of issuing non-callable
bonds and will attempt to correct
this situation by sponsoring a meas
ure before the forthcoming legisla
ture authorizing all bonding units to
issue callable bonds in the future.
Not only is it impossible to refund
bond issues at lower interest rates
under the present policy but it is
also impossible to call in these bonds
for retirement by cities, counties and
school districts which are in posi
tion to reduce their debt burden.
Many of these subdivisions, Holman
points out, find themselves in some
what the same position as the state
with substantial cash balances lying
idle in local banks drawing little
or no interest.
Holman calls attention to an addi
uation in that "accumulated funds
uation in that 'accumulated funds
for bond retirement may be diverted
or lost or injudiciously invested, with
the result that the taxpayers again
may have to provide the funds with
which to liquidate the indebtedness."
Accession of Duke and Duchess of
York to the British throne last week
recalled to Governor Martin the fact
that he had entertained the royal
pair on their visit to the Panama
canal zone ten years ago. . The gov
ernor at that time was in command
of the American troops in Panama
and the Duke and Duchess were on
their way from England to Australia
to open the new parliament house
at Canberro. The governor describes
the royal pair as "most charming
English young people entirely lack
ing in any of the haughtiness or re
straint generally ascribed to the aris
tocracy." Governor Martin predicts
that George VI will make an ex
cellent king while Queen Elizabeth
has already won a place in the hearts
of her subjects.,
Compulsory arbitration of labor
disputes is favored by Governor
Martin who is expected to sponsor
a measure before the forthcoming
legislature looking to this end. Ap
pearance of the measure, however,
can be expected to draw the vigor
ous opposition of labor representa
tives in the House and Senate al
though it will probably receive the
support of members from agricul
tural and horticultural communities
whose constituents are now feeling
the pinch of the long drawn out
maritime strike.
A "material improvement" in the
state's financial condition is noted
by State Treasurer Holman in his
biennial report, just off the press.
On December 31, 1932, the general
fund had a deficit of $3,924,011, the
report points out. By March 28,
1934, the fund was back on a cash
basis and on June 30, 1936, the fund
showed a credit balance of $1,697,390.
On June 30, 1936, cash in the treas
ury department to the credit of all
state funds amounted to $10,811,600.
20. Checking accounts totalling $1,
449,852.52, not allocable to any par
ticular fund brought the state's cash
total as of June 30 up to $12,261,
452.73. Social and welfare activities fin
anced by the state account for 53
percent of the budgeted total which
will be presented to the legislature
for appropriations out of the general
fund. That is of the $13,868,177 in
budget requests which Budget Di
rector Wharton has approved $7,
462,041 represents expenditures for
maintenance of the 11 penal and
elemosinary institutions, old age pen
sions, care of orphans, foundlings
and wayward girls, etc. The com
parison, however, takes into con
sideration only those state activities
financed out of the general fund
which, after all, constitute only a
small part of the state's total bud
get. The highway department, for
instance, expects to spend nearly
$26,000,000 of state money during
the next biennium. That is nearly
double the combined budgets of all
general-fund-financed activities and
more than three times the amount
allocated to social and welfare ac
tivities. But that money will come
out of the pockets of motor vehicle
operators through gasoline taxes,
registration fees and fees and li
censes paid by operators of trucks
and busses. Motor vehicle operators
will also finance seven-tenths of the
nearly $1,000,000 necessary to the
maintenance of the state police dur
ing the next biennium. Then there
is the public utilities commission,
supported by fees paid by the util
ities, the motor transport division,
supported by bus and truck fees;
the banking department, supported
by the banks; the insurance depart
ment, supported by insurance fees;
the corporation department, the bu
reau of labor, the liquor control
board, the milk control board, and
a score or more of other so-called
self-sustaining activities. All of
which adds up to a grand total of
more than $70,000,000, the big end
of which will be paid through fees
and licenses rather than through
taxes.
: '"
Increased cost of supplies and the
necessity for renting temporary
quarters for the legislature may con
tribute to make the forthcoming ses
sion the most expensive in the state's
history, according to Secretary of
State Snell. So far the 1931 session
has the record. That session cost the
taxpayers $134,811.30. The 1933 ses
sion cost $102,172.05 and the 1935
session cost $116,572.80. Clerks and
stenographers on the House payroll
at the '35 session drew $38,278 while
senate employees at the same ses
sion drew $21,644.50. The printing
bill for the 1935 session amounted to
$18,602.01, statonery and supplies,
$5152.41, and postage, $3883.33. ,
A cloud was cast over Senator Del-
more Lessard's title to his legislative
seat this week when Attorney Gen
eral Van Winkle ruled that attor
neys for the World War Veterans'
State Aid commission serving by
"appointment" only cease to be a
member of the legislature upon ac
ceptance of such an appointment.
The opinion was given to Thomas
Graham, Jr., senator-elect from
Multnomah county, who is also an
attorney for the Bonus commission
but applies with equal and proba
bly greater force to Lessard's case.
Graham who has just been elected
to the senate can resign his bonus
commission job before qualifying for
the senate, it is believed, but Les
sard's case presents a more compli
cated problem. Lessard is a hold
over senator. He qualified in. the
1935 session and his employment
with the Bonus commission has been
subsequent to tru , time. Accord
ing to Van Winkle's opinion he re
linquished his right to the senate
seat when he accepted "appointment
under the state." In that event it
may be necessary for Lessard to se
cure reappointment to the senate
through the Multnomah county com
missioners unless the senate, acting
under its constitutional right to sit
in judgment upon the qualifications
of its own members, overrules the
attorney general. t
Little prospect is seen here for any
substantial state aid for Bandon ex
cept through an outright appropria
tion from the general fund. Officials
of the fire-ridden coast town this
week told Governor Martin that they
expect to ask the lawmakers to re
fund to the city all state taxes paid
on property in that city for the next
seven years. They cite the case of
the city of Astoria as a precedent on
which to base their claim. Astoria
received refunds aggregating more
than $411,000 under a similar con
cession. But that was during a time
in which a major portion of the
state's revenue was realized from
property taxes. Increased revenues
from income taxes have now near
ly wiped out the property tax for
state purposes. As a result prop
erty owners of Bandon will pay very
little toward the support of the state
and there will be little to refund un
der the proposed program.
Charles A. Howard, state super
intendent of public instruction, was
honored this week by election as
vice-president of the National Coun
cil of State Superintendents and
Commissioners of Education at their
annual convention at Chattanooga,
Term.
A conference on. grade crossing
accidents has been called by. Public
Utilities Commissioner McColloch
for Friday in Salem. Chief engineers
and signal engineers of all railroads
operating in the state are expected
to attend.
CHRISTMAS PLAY SET.
"The Kidnapping of Santa Claus"
will be presented by pupils of the
Lexngton grade school in the Lex
ington high school auditorium next
Tuesday evening, Dec. 22, at 7:30 p.
m. No admission will be charged
and the public is cordially invited.
Miss Jean Crawford is coaching the
production.
TEACHERS' EXAMINATIONS.
Notice is hereby given that the
County School Superintendent of
Morrow County, Oregon, will hold
the regular examination of appli
cants for state teachers' certificates
at her office at the Court House in
Heppner as follows: Commencing
Wednesday, December 16, 1936, at
9 o'clock A. M. and continuing until
Friday, December 18, 1936, at 4 o
'clock p. m.
Wednesday Forenoon U. S. History,
Writing, Geometry, Botany.
Wednesday Afternoon Physiology,
Reading, Composition, General
History.
Thursday F o r e n o o n Arithmetic,
History of Education, Psychology,
Geology.
Thursday Afternoon Grammar,
, Geography, American Literature,
- Physics.
Friday Forenoon Theory and Prac
tice, Spelling, Physical Geogra-
phy, English Literature.
Friday Afternoon School Law, Al
gebra, Civil Government, Bookkeeping.
No further teachers' examinations
will be held in this state after the
one given on the above ' mentioned
dates. All teachers needing certifi
cation in this manner must take the
examination at this time. Otherwise
no certificate will be granted them
except upon graduation from an ac
credited normal school, college or
university, or teachers' college.
Thanking you for the patron
age.you have given us,
and wishing everyone
A MERRY CHISTMAS AND
A HAPPY NEW YEAR
HEPPNER BAKERY
advances into 1937 with the
STPEIC
The addition of a new 60-horsepower
engine to the Ford line for 1937 brings
you a new, low price and gives you a
choice of two V-type 8-cylinder en
gines. 85 horsepower for maximum
performance. 60 horsepower for maxi
mum economy.
The 60-horsepower V-8 engine was
originally developed for use in Eng
land and France, where fuel costs are
high. It has been proven there for two
years with brilliant success.
Now, brought to America, it
creates an entirely new standard of
modern motoring economy! t
The "60" engine, available in five
body types, is built in exactly the same
body size and wheelbase to the same
advanced design with the same com
fort and convenience as the "85." And
it delivers V-8 smoothness at speeds up
to 70 miles, an hour.
Two engine sizes but only one car
and one purpose to give you more
miles and more satisfaction for
your money in 1937.
FORD BASE PRICES FOR 1937
480 1
D UP
Dearborn
Plant
Taxes, Delivery and Handling, Bumpers, 1
Spare Tire and Accessories Additional
.
AUTHORIZED FORD FINANCE PLANS
$25 A MONTH, after usual down-payment,
buys any model 1937 Ford V-8 Car from any
Ford dealer anywhere In the United States. 4
Ask your Ford draler about the easy payment
plans of the Universal Credit Company.
FORD FEATURES FOR 1937
APPEARANCE Distinctive design.
Headlamps in fender aprons. Modern lid
type hood. Larger luggage space. New in
teriors. Slanting V-type windshield.
BRAKES Easy -Action Safety Brakes
with "the safety of steel from pedal to
wheel." Cable and conduit control. About
one-third less brake pedal pressure required.
BODY All steel. Top, sides, floor and
frame welded into a single steel unit.
Safety Glass throughout at no extra charge.
COMFORT AND QUIET A big,
roomy car. Center-Poise comfort increased
by smoother spring-action with new pressure
lubrication.. New methods -of mounting
body and engine make a quieter car.
FORD MOTOR COMPANY