PAGE EIGHT Eastern Oregon Wheat League Report and Recommendations of the Finance, Taxation, and State Legislation Committee Heppner, Oregon, December 4-5 1936 . Old Age Pensions The Committee feels that the pres ent method of handling old-age as sistance by the county and state re lief committees is working satisfac torily and provides adequate and equitable assistance to those persons 70 years of age or over who need some help. The present system in volves case study and a separate consideration of each individual's situation and avoids the emotional unsoundness inherent in many of the recently proposed old-age meas ures. , , The announced WPA policy of es tablishing a 65-year old age limit for workers enrolled on WPA projects seems to the Committee to be un fair and unnecessary. There are many unemployed, able-bodied men over 65 who are anxious, willing and , able to work. Old-age pensions can not, under the present law, begin before the age of 70. There would, therefore, be a five-year gap which would probably work a hardship on a considerable number of people. Those over 65 who are physically unable to participate in WPA work are already provided for in existing relief set-ups. . We, therefore, strongly recom mend that the 65-year age limit for WPA work, be removed and that a copy of this recommendation be sent to our representatives and senators at Washington. . Tax Collections and Delinquencies During the last year the legisla ture has not been in session and there has been no opportunity for action to be taken upon the recom mendation made by this Committee as the 1935 convention regarding tax collections and delinquencies. Our Committee, therefore, feels that thi3 recommendation should be repeated: "The tax delinquency problem is more and more acute. The present plan of forgiving interest and pen alties, providing current taxes are paid, may help some. Oregon's tax collecting history is a poor one. Practically every legislature since 1907 has changed the law, lightening penalties, removing discounts for payments, reducing , interest, and abolishing interest .and penalties. The situation is now that although on the whole we have lower levies than neighboring states, our delin quent tax list is far larger. In Washington, for example, for the past five years their tax delinquen cies are 12 percent whereas ours are 20 percent nearly double. Our tax delinquent list is now at an all-time high of $46,000,000, which is $5,000,000 more than the total 1934 tax. "We therefore request the next legislature to appoint an interim committee to study the question of tax collections and tax delinquencies and report at the following session. As possible lines of effort, we rec ommend to such a committee for study the following: ' "1. Our tax foreclosure procedure is expensive, clumsy, and out of date. The Idaho system should be studied where there is practically no ex pense. "2. Frequent changes in rules gov erning penalties and interest keep people hoping for more changes. If we can find a workable system, we pledge this organization to lend its . influence toward sticking to it. "3. It might avoid buck passing if the same county office made the as sessment and collected the taxes. This would centralize tax authority in one office, tend to make that of fice more expert in dealing with tax matters, and tend to put assessments more in line with actual values. "4. Much of the delinquency is due to assessments which are now entirely out of line with property values. "5. Some counties let taxes run un collected for ten years or more be fore starting foreclisure. Such a procedure is of no help to a hard pressed land-owner because before that time the delinquent ' taxes are .invariably so high that payment be comes impossible. Moreover, this tempts other people to let their taxes run. , "6. Perhaps the state could han dle tax foreclosures better than the counties. The state could then in sure and guarantee title when the properties are resold." We should reaffirm the stand tak en last year against the further issu ance of municipal county and state bonds. The Committee feels that government business within the state should be handled on a pay-as-you-go basis. , A very considerable portion of the total county tax goes for the sup port of schools. The Committee feels that here is a fertile field for saving. We would do nothing to in terfere with the adequacy of our school system nor to limit the op portunities of any child for secur ing an education. We feel, however, that with the development of roads and transportation facilities, that certain of our methods of handling school matters have become anti quated. Material savings could be realized and much duplication of function could be avoided through consolidation of school districts. We therefore favor consolidation of school districts where practicable. At the present time nearly all of the expense of operating our schools falls upon real property within the county. We feel that it is vital that this load be lightened. We, there fore, favor partial support of our public schools from state and fed eral funds. . Labor Controversies During the past several years nu merous instances have occurred where producers and the public, in general, have suffered material dam age from controversies between va rious labor and employer groups. We realize that in the course of events it is inevitable that legiti mate differences will arise between such groups. We further realize that each group must be conceded the right to defend its interests and to seek remedial measures. In our present complex civilization the de pendence of the public on the smooth operation of all branches of indus try and commerce is such that any one group cannot cease to function without causing damage to the oth er groups.' We can see no reason why any group of men urging a le gitimate cause should object to ar bitration before an impartial trib unal. We commend Governor Mar tin and the State Police for their service to Oregon in labor disorders during the last tyo years. We therefore strongly recommend that the 1937 session of the State Legislature and the next session of Congress pass such state and na tional legislation as will compel ar bitration of disputes between labor groups and employer groups to the end that the flow of commerce will go on uninterrupted and that the public welfare will be protected. Production Credit Associations We feel that the Production Credit Associations are furnishing a type of credit which is of tremendous value and could be of still greater value to the wheat farmers of the Pacific Northwest. We strongly urge on the part of the Production Credit Asso ciations and farm organizations a campaign of education to thoroughly acquaint farmers with this type of credit. We feel that farmers should anticipate their credit needs just as they anticipate other seasonal re quirements. There has been but little criticism of the Production Credit Associations in the speed with which second and later loans have become available. We feel that a low rate of interest can only be con sistent with sound loans and that adequate friendly investigation of the borrower's financial condition is necessary if the Production Credit Associations are to be continued on a sound basis. We urge that such preliminary investigations be made with such speed as possible, but we also suggest that applications be sub mitted as far as possible in advance of the actual need. . ' Dredging We reaffirm the stand taken by this committee last year on the sub ject of dredging.' In line with the recommendations of the 1935 con vention, we strongly oppose the dredging and consequent permanent ruin of fertile mountain valleys such as those in Grant and Baker coun ties. Invariably this land goes back to the county, through tax delin quency as soon as the dredging is completed. Already the tax levy in these counties reflects the removal of this dredged land from the tax roll. If such dredging must be done we favor a law by which the dredg ing companies would be required to deposit with the county sums large enough so that if invested in Gov ernment bonds the trust funds would earn enough interest to compensate for the loss in taxes. , , Gasoline Tax ? We feel that the state revenue from gasoline and license fees should be expended only for road purposes and should not be diverted to any other use. We feel, however, that since a large sum of the state gaso line tax is collected "from logging and heavy commodity ' trucks op erating practically 75 of their mileage on county roads, and since only about 10 of our public roads in the State of Oregon are desig nated as primary highways, we are justified in asking that a consider able portion of the gasoline and li cense revenue should be distributed to the various counties for road building and maintenance purposes. We therefore recommend and urge that 15 of the total state income from gasoline and license fees should be returned to the counties on fthe same basis as the present division, provided that at least two million dollars be so divided. Improved Accounting Systems , in Counties , Feeling that an improved account ing system would make possible more accurate budgeting, we urge our county courts to study possible improvements which could be made in our respective counties to the end that savings in total county expense could be realized. Agricultural Legislation 'We feel that the production con trol feature of the old wheat pro gram was one of the most forward steps in farm legislation that has been made in many years, and that some form of production control should be an integral and basic part of any future agricultural legisla tion. We urge the legislature of the State of Oregon in this coming ses sion to work out a state act incor porating the provisions of adjust ments in crop production and har monizing with the Agricultural Con servation Act so that Oregon may be in a position to cooperate one hundred per cent in future agricul tural adjustment and conservation programs. ' We regret the tendencies shown during the past few years to make agricultural legislation a political issue. Our committee recommends that the administration of such an act within the state be placed in the Land Grant Colleges through the Extension Service. The Extension Service, being divorced from politi cal influence, is better qualified to handle this Act than any other state agency. Further than this, the ob jectives to be attained by the act it self make it fit logically into the pro gram of the Extension Service with the least possible additional expense, as has been evidenced by the carry ing out of the production control and soil conservation programs. We feel that the allotment committee feature of the production control and soil conservation programs has been a good one and that the administra tion of these programs would have been even more successful had the county committees been given more authority. We favor as great a measure of authority as possible in the hands of the farmers through such committees. Weed and Seed Legislation We recommend revision of the Oregon seed law to- provide for standardization and labelling of all agricultural seed and to prevent the sale of lots of seed containing nox ious weeds., We further recommend continuance of the seed testing work at the Experiment Station and that the State Department of Agriculture be charged with adequate enforce ment of the law. ' - We recommend modification of the Oregon weed law to place en forcement with the" State Depart ment of Agriculture and that addi tional provisions be made to contro! movement of weed infested products along highways and from farm to farm. ' Erosion Control Districts The Eastern Oregon Wheat League strongly recommends early passage in the 1937 session of the State Leg islature of a law enabling the set ting up of erosion control districts, upon the favorable vote of two thirds of the farmers within a given area, forthe establishment of such a district. ' , , , We recommend . that such a law follow very ; closely the provisions and procedure set forth in the draft of a bill, a copy of which is append ed to this report, which already has been prepared by members of the Lexington Erosion Control District The Lexington Erosion Control District, organized in 1931 for the voluntary control of wind erosion, has" found this proposed legislation to be necessary for the effective con trol of blows within their district, This bill has the endorsement of the farmers within that district, the Lex ington Grange, and the Morrow County Pomona Grange. Property Taxes Our Committee feels that taxes on real property have reached the point where further increases would ag gravate the present serious tax de linquency situation. We commend Governor Martin for his announced opposition to any in creases in tax rates of whatever na ture. We feel very strongly the de sirability of a county and state pol icy of living within our' income. We favor the present arrangement whereby intangiple and income taxes which tend to broaden the tax base must be used as an offset to reduce property taxes. . ', ' The Eastern Oregon Wheat League puts itself on record as unalterably opposed to further increases in taxes on real property. We feel that some of the resolu tions passed, by this and other com mittees of the Eastern Oregon Wheat League could have been more ef fective if we had been in a position to promote them more energetically. Those resolutions bearing on legisla tive matters should be followed through and favorable resulting ac tion should be insisted upon by some representative of the Eastern Oregon Wheat League. To this end we urge that the ' Eastern Oregon Wheat League energetically promote at Salem legislative, measures fostered or favored by it. In line, with this, 'we recommend that we again accept the offer of the Oregon Shippers & Producers Asso ciation to serve as our legislative contact agency as was done at the 1935 legislative session, it being un derstood that this organization will keep us in close touch with all legis lation affecting agriculture and par ticularly wheat growers, without cost to the League. . , L ' " ' Erosion Control Districts Recognizing that unchecked ero sion may seriously threaten the val ue of property, not only of the in dividual immediately affected, but of adjacent lands, just as unchecked fire may threaten adjacent build ings, and recognizing that to protect property within any erosion control district, effective preventative meas ures must frequently be taken be fore damage has progressed to the point where actual harm is being suffered by such other property, it is hereby declared that the control of erosion, as herein provided, is a proper exercise of the police power of the State of Oregon, and that it is for the best interests of the state and all persons concerned that soil erosion be reduced to a minimum. It is further declared that the pro tection of the land and property values in the community shall be a primary consideration in guiding the policies and actions of the Advisory Board of any erosion control dis trict hereinafter set up. It is recog nized that improper cultivation prac tices may be destructive of neigh boring farm land and that the pur pose of this Act is to protect the tax-. payers and permanent .residents within such districts.- It is further recognized that the establishment of such an erosion control district is admission, on the part, of the free holders resident within the district that few constant rules of farm practice are applicable to all condK tions, or to the same land under dif ferent seasonal and physical condi tions, and said freeholders, by es tablishment of said erosion control districts do set up an Advisory Board in the manner specified in the Act for the purpose of exercising the best Judgment of its several mem bers in determining the most effect-, ive procedure to the best of their abilities. , . ' ' - ' County Erosion Control Board Es tablishment of Erosion Control District Petition. , , In any county in, which this Act shall become ' effective the. County Court and the Board of County Com missioners, if this Board is a separ ate body, shall constitute the Board for the laying off in their, county of a convenient erosion' control district, or districts, such Board tQ be known, as the "County Erosion Control Board." -The said County Erosion Control Board shall establish, alter and abolish the boundaries of Ero sion Control Districts' when petition ed so to do in the manner herein after specified. The County shall make a record showing the boun daries and numbers of the erosion: control ' districts in the county so- established and , organized. The County Judge shall act as ex-officio- Chairman of. said Board and shall appoint an ex-officio Secretary of said County Board. . The Secretary-' and two. members of the County Erosion Control Board shall consti tute a quorum for the transaction of business.- The County Erosion Control Board may establish an ero sion control' district' on' petition of twenty (20) per cent of the electors residing in the territory included in the proposed erosion control district, and may, at its .discretion, upon the petition of twenty (20) per cent or, more of. the electors in the district affected, change, divide or abolish any erosion control district within the county. Before any new district shall, be- established or any change shall be made in' the boundaries of any existing district, the County Judge shall cause to be posted in three (3) public and conspicuous places in such proposed district, or in each of the existing districts, at least ten (10) days before action is xi i i i - 1 1 wmii as nerein proviaea, wriuen or printed notice of the boundaries of the proposed new district, or the -changes to be made in the boundar ies of any existing district, and of the date of the meeting of the Ero sion Control Board when the same will be done. ' III , Election Notice Ballots Es tablishment of District. When the petition of twenty (20) . per cent of the electors of any ero sion control district established as herein provided shall be filed with the County Clerk, the County Clerk shall forthwith give notice of an election to be held in said district, at which election a vote will be tak en for and against the establishment, organization and operation' of said erosion control district. Such notice shall describe the boundaries of said erosion control district and shall be published once each week for at least four (4) Consecutive weeks prior to such election in a newspa per of general circulation within said County. Such notice shall re quire all electors, as defined by the Statutes of the State of Oregon, in said proposed district, to cast , bal- ots which shall contain the words: "For the establishment, organization and operation of an Erosion Control Districtr--(Yes); For the establish ment, organization and operation of an Erosion Control District (No)." Such election shall be conducted as nearly as practicable in accbrdance with the general election laws of the State; provided that the provisions of the election laws as to the form of ballot shall not apply. The County Court shall, at its regular or special meeting next succeeding such elec tion, proceed to -canvass the votes thereat and enter an order declar ing the votes of said election. Such court shall cause a copy of such or- . - (Continued on Page Nine)