Indianapolis Times, Volume 48, Number 1, Indianapolis, Marion County, 12 March 1936 — Page 3

MARCH 12, 1936

RETAILERS MAP CAMPAIGN FOR REPEAL OF TAX Indiana Business Men Swarm Through Statehouse, Lose Skirmish. Repulsed in attempting to sain legislative redress from what they term inequalities of the gross inrome tax law, as it applies to their business, retailers today were laying out a campaign to obtain tax revision at a later special session of the General Assembly this year or in the regular 1937 session. Retailers swarmed by hundreds on the Statehouse yesterday in an organized demonstration before the Legislature, and succeeded in setting oil in the House the most exciting fireworks of the session. Appearance of retailer spokesmen in the House in a demand for gross income tax repeal, resulted in a motion from Rep. Will J. Price <R„ Onward), that the Kirch-Patterson gross income repeal bill be brought out of committee immediately without recommendation. Then Rep. Carl Woodward <D., Michigan City), moved to table the motion. Evans Is Applauded Rep. IT. K. Evans, Newcastle, Republican caucus chairman, and announced candidate for Governor, indorsed repeal consideration in an impassioned address to the accompaniment of repeated bursts of applause from the hundreds of retailers packing the galleries. Rep. Joseph A. Andrew’ < RLafayette), one of the most astute, both politically and legislatively, of the minority, immediately put the majority “on the spot,"’ by demanding a roll call on the motion to table considerations. As the call proceeded, Democratic Representatives sprung up like mushrooms to explain their votes. They were unanimous in insisting, they felt they must vote against considering the repealer now, because the session was called for social security purposes solely. Republicans Explain Votes Republicans explained their votes in favor of consideration, saying they were not consulted in calling the session, and that they felt tax repeal or any other legislative action was pertinent. When it appeared the retailers might gain their objective, two majority members, Rep. William J. Black, Anderson, and Rep. Edward J. Braun, Fort Wayne, switched their votes and sw'ung back to the administration. The final vote was 47 to 41 to table consideration at this session, and a clincher motion was applied by Rep. Woodward to prevent attempts to revive the bill. Retailers left, muttering threats of political retaliation against representatives who “voted wrong” in their opinion. The repeated comment was: “Just wait until the election.” Earlier. Walter J. Mercer, local Retail Meat and Grocers Association president, and Edward Dirks, association legislative chairman, had spoken in the House and Senate for repeal. Group Calls on Governor While hundreds of retailers, crowded the Statehouse corridors in noisy confusion, a group of approximately 100, mostly grocers, talked to Gov. McNutt in the executive offices, and asked him to do something about the law which they said is confiscatory and driving them out of business. Crowding closely around his desk, they hurled questions from all sides, which he answered. The session was enlivened when the protestants began airing apparent differences in their own ranks. When it was suggested a, sales tax would be the inevitable result if the gross income tax law were repealed, one protestant loudly asserted: “A man with nine children can't pay a sales tax.” A man in the rear of the group crowding the Governors desk rejoined: “What about me. I've got eight.” The Governor told the grocers he was fully cognizant of the difficulties they face under the law, but insisted the income levy is more equitable than a sales tax that might be necessary if the law were repealed. While the Governor sparred verbally with his questioners, a police guard withheld hundreds of other protestants who crowded lower floor corridor near his offices. Roll Call Result The vote to table consideration of the bill follows: AYES Democrats—Barrett. Barry. Bauer. Baumgartner, Black. Braun. Colbert. Datterer, Downey. Emig, Gettinger. Gibbons. Griffith, Gutzwiller, Hill. Hoffman. Kent. Linke. Lomont, Lutz. Modisett, Moore. Morgan. Morns. Nicholson. Nordhoff, Pickens. Radabaugh, Randall. Relchmann, Richardson. Rockey. Sahm. Shaffer. Sigler, Smith. Stanton. Stephens, Sturm, Thompson of Adams, Wolf.

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INDIANA RETAILERS LOSE FIGHT FOR GROSS INCOME TAX REPEAL

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Despite then* determination to obtain repeal of the gross income tax law, Indiana, retailers yesterday found the power

JOB BILL MAY HELP STRIKERS Amendment Is Drafted to Give Aid to Workers Locked Out. (Continued From Page One) has passed the House. Others objected against what they termed “too hasty consideration.” The result was that the majority agreed to confer before reconvening at 2 to decide future procedure. The demand for “more action and less talk” was voiced by Senator William B. Janes (D., New Albany). Senator E. Curtis White (D.. Indianapolis) countered with the assertion that “if we stay here the entire 40 days possible and get a good bill, the time and money will not be wasted, if we hurry things through to save time and expense, and get a bad bill, we've wasted just that much time and money.” The insurance bill is to be passed finally by the House tomorrow and sent to the Senate. The public health bill also is scheduled for passage tomorrow by the House and will be ready for the Gc-’ernor, the Wood. Woodard, Flock, Carter, Lee, Treadway. <47). AYES Republicans—< None). NOES Democrats—Byers, Dyer, Kirch. Krueger, Reisinger. Rowley, Strickland, Thompson of Brown, Patterson. t9 1 . • NOES Republicans Andrew, Babcock, Brembaek. Coffin, Coons, Creighton, Dilley, Evans, Gilbert, Goddard, Guernsey, Harris, Harrison, Hoover, James, Jeffrey, Johnson, Jordan. Knapp. Matthews, Mayhill, Millis, Mills, Moody, Neumann, Nottingham. Parker, Price, Roberts. Schermerhorn, Shull, Stearns. (32 noes.) The Indianapolis Chamber of Commerce issued a statement today attacking results accruing from methods of distribution under which gross income tax collections are returned to the local units. The chamber pointed out what it termed the “serious and unfair” discrimination against taxpayers in the more densely populated areas. The statement said, in part: ' In 1933 Marion County gross income taxpayers were forced to surrender approximately $4,000,000 to the state tax treasury. Os this large sum less than $830,000 was returned by the state to Marion County to apply on governmental costs by local units of government. Marion County, therefore, paid five times the amount of money into the state treasury that it received for application upon local government expenses. “Obviously any odds which are as great as five to one against any taxpayer, under any law. is unfair. unjust and indefensible and, obviously, no real property tax relief can be forthcoming under any ouch discriminatory plan.”

of the state administration too strong to whip. This photo part of the more than 1100 members of the Indiana Retailers’

OFFICIAL WEATHER , United States Weather Bureau Sunrise 6:01 | Sunset 5:4!) TEMPERATURE —March 12, 1935 7 a. m 29 1 p. m SO —Today—--6 a. m 33 10 a. m 31 • a. rr> 31 II a. m 32 K a. m 31 12 (Noon) 33 9 a. m 32 J p. m 32 BAROMETER 7 a. m .... 29.51 1 p. m 29.58 Precipitation 24 hrs. ending 7 a. m... .00 Total precipitation since Jan. 1 4.72 Dellciency since January 1 2.37 OTHER CITIES AT 7 A. M. Station. Weather. Bar. Temp. Amarillo, Tex Clear 30.20 30 Bismarck, N. D Clear 30.08 20 Boston Rain 29.44 52 Chicago Snow J 0.36 30 Cincinati Cloudy 30.56 34 Denver Clear 30.08 24 Dodge City. Kas Clear 30.24 22 Helena, Mont. PtCldy 29.76 44 Jacksonville, Fla PtCldy 29.82 62 Kansas City. Mo Clear 30.00 32 Little Rock. Ark Clear 30.04 42 Los Angeles Clear 29.92 52 Miami. Fla PtCldy 29.96 66 Minneapolis Snow 29.62 22 Mobile. Ala Clear 30.06 48 New Orleans Clear 30.12 54 New York . Foggy 30.36 50 Okla. City. Okla Clear 30.20 34 Omaha, Neb Clear 30.00 30 Pittsburgh Rain 30.48 38 Portland. Ore Cloudy 29.98 46 San Antonio. Tex Cloudy 30.20 50 San Francisco PtCldy 29.96 52 St. Louis Clear 29.76 31 Tampa Fla Cloudy 29.92 64 Washington. D. C Rain 29.40 43 bill having been passed several days ago by the Senate. Labor met defeat on two amendments when efforts to strike out employe contributions and lower the employer affected to one employing four w'orkers, were tabled on a voice vote by the House. Both received support of the labor federation in a public hearing before a House committee during yesterday afternoon’s session. Simplifying clerical work under the unemployment insurance measure and erasing clerical errors, the House passed a group of amendments to clarify the bill. One bookkeeping amendment, said to aid employers, fixes the benefits to be derived by employes at 1 per cent of the wages earned in the preceding 52 weeks, with a worker earning SISOO receiving a sls weekly benefit, maximum aid under the bill. It enables the employer to compute easily the employe's benefits, explained Rep. Downey.

FORMATION OF LAW GROUP UP TO SENATE Commission Would Co-operate With Other States on Legislation. A resolution to establish a commission to act on behalf of Indiana with other states for a uniformity of laws is in the Senate today after passage in the House. The commission is to consist of five members of the House, five from the Senate, and five persons appointed by Gov. McNutt. Interstate co-operation in all legislation is to be sought. The commission members are to serve without pay. Attorney Is Bankrupt Albert Asche, attorney, 3241 N. New Jersey-st, today filed a petition in bankruptcy, listing assets of $10,337 and liabilities of $17,917.

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THE INDIANAPOLIS TIMES

Association who thronged the Legislature. They climbed the stairs time after time, buttonholing their Senators and Representatives.

WEISS, MURRAY TRADE PUNCHES 'My Boy Win Easy,’ Claim of One of Senator’s Seconds. It’s Battling Weiss now instead of Senator Jacob Weiss (D., Marion >, president pro tern, of the State Senate. The Senator and Frank Murray, South Bend, head of the Indiana League of Civic Associations, indulged in a short setto yesterday afternoon in the Senate cloakroom after the word “lie” was passed. Senator Weiss was discussing possible tax results of the social security legislation being enacted by the special session and was reassuring a group of North Indianapolis property owners, mostly women, that the three social security bills will not raise taxes. Mr. Murray, standing nearbv, was reported to have interjected the opinion that the bills will raise taxes. There was further argument and then Mr. Murray was quoted as having made the following remark : “Gov. McNutt told me he would call this special session for trix purposes only.” “That’s a lie,” Senator Weiss retorted. Mr. Murray backhanded the Senator in the face and Senator Weiss swung one to his opponent’s mouth. Both big men they were preparing to square away for further action when doorkeepers separated them. “My boy win easy,” said one of Senator Weiss’ self-appointed seconds. “The other guy’s a sucker for a left hook.” Socialite Ends Own Life LOS ANGELES, March 12.—Mrs. Florence G. Lucey. Dallas, Tex., and Minneapolis socialite, was found shot to death in her apartment here last night. Police said she apparently had taken her own life. Light Demonstration Outlined A demonstration of light and color is to be given by R. J. Kryter, engineer of the Esterline-Angus Cos., at the Exchange Club tomorrow noon in the Washington. Mark Pangborn is to be in charge of the meeting.

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RUST BROTHERS | ARE ACCLAIMED i FOR AMBITIONS Praise Coupled With Some Skepticism About Cotton-Picker. BY DANIEL M. KIDNEY Time, Stall Writrr WASHINGTON. March 12.—Universal praise for the Rust brothers of Memphis, who have revealed their intention to socialize the profits and labor-saving advantages claimed for their mechancal cottonpicker, was voiced here today by government and labor officials. But the praise was coupled with seme skepticism about the extent to which such a machine might supplant men. One of the New Deal's chief social planners said that machines already are displacing labor on the plantations and that perfection of the cot-ton-picker is bound to augment the problem. This official, who declined to be quoted by name, suggested that the government, through its taxing power, is the best agency to solve such social problems. Aim Seen as Difficult While praising the Rust brothers, he declared that it would be difficult for any individual concern to socialize the benefits of its product. The only avenue the government offers for altruistic inventors is to establish public patents, he said. This would permit any one to manufacture the picker, but it would not accomplish whats the Rust brothers seek. He indorsed the Rust idea of establishing worker-owned corporative farms where all mechanical aids to production could be utilized for the benefit of those who labor on the land. Experts at the Bureau of Agricultural Engineering asserted that a European war, re-estadishing the war-time export cotton market, might speed up the use of mechanical cotton pickers, but they saw no immediate danger of their use becoming widespread. “The problem of labor displacement by mechanical pickers seems remote,” said R. B. Gray, chief of the mechanical equipment division. “None of them has reached the point where its use is about to become widespread. They never have been perfected to that point, although one of the big farm machinery concerns has spent three million on the problem.” W. M. Hurst, of the same division, who has made many field inspections ot various cotton-pickers but has nut seen the Rust brothers’ work, declared that the delta country around Memphis is ideal for introduction of such machines. • “But there are sociological problems in the South that must be considered deterring factors,” he declared. “One is the large Negro population, which many planters feel must be fed and provided with work. They Are Indispensable “They are indispensable in 'chopping cotton’ and other techniques of cultivation and therefore they will continue to be employed in picking, since the cultivation requires more hands than the picking of cotton. “In addition there is the small white farmer, whose 20 or 30 acres isn’t large enough to support mechanical equipment.” Mr. Hurst said he had heard, of the Rust brothers and knew them to be genuinely interested in preventing any social suffering being caused by their mechanical picker. Gardner Jackson, formerly with the AAA Consumers' Counsel and now chairman of the National Committee on Rural Social Planning, expressed “profound admiration” for the Rusts. “The program of co-operative farming which they preach is one in which w r e firmly believe. If their attitude of denial toward monetary profits and self-aggrandizement w’as shared by any of the important cotton plantation interests, the Sbuth would not now be facing a situation wffiich threatens to resolve itself c ly through bloodshep and more misery.” The brothers’ offer was highly

LOOK OUT! IT’S SNOWBALL TIME IN INDIANAPOLIS

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The weather man's signals were all crossed up for a while today and the approach of spring was thrown for a loss with several hours o snow. Miss Betty Wells (above) of the state auditor’s office couldn’t resist the temptation of hurling one snow ball. The photographer caught her in the act of rolling up a dandy.

praised by John L. Lewis, United Mine Workers president. “The Rust brothers apparently are sociafiy minded and it is to te hoped that out of their deliberations some way will be found whereby the worker and the community may have an increasingparticipation in the fruits of the invention,” Mr. Lewis said. “That is a serious problem which we face in this power age—assuring adequate participation in the bril-

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liant achievements of science and invention. The action cf the Riut brothers is really encouraging.” ARRAIGNMENT DATE SET 46 To Answer Federal Indictments Here March 20. Arraignment day for the 46 persons indicted by the Federal Grand Jury yesterday is to be March 20, Federal Judge Robert C. Baltzell announced today.

FINANCE REPORT SHOWS BALANCE 0F510,357,327 State Treasury Statement Given to Members of Assembly. A detailed financial statement indicating a balance of $10,357.327 38 in the state Treasury as of June 30. 1936. today was placed on the desks of members of the General Assembly. Administration leaders pointed out I the report confirmed the estimate made by Gov. McNutt in his perj scnally delivered message at the opening of the special .session and refuted claims made by Frank Murray. Indiana League of Civic Asso- ; eiations head, that the balance would approximate $16,000,000. The report was timed with a demand by House Republicans for an | itemized account of the state's financial position which has been made a special order of business for this afternoon at 2:30. Rep. James M. Knapp. Hagerstown, who spon- : sored the motion, had insisted the House could not vote intelligently on j the public welfare bill unless legislators had definite information as to what the state balance would be. The report, showed that the cash balance March 1 was $5,815,917.73; estimated general fund receipts to June 30 would be $9,775.00100 for total assets of $15,590,917.73. Against this appropriation balances unexpended as of March 1, were $5,058,590.35; cost of blind pensions to June 30 were estimated afc $75,000 and it was estimated other statutory and special payments would require SIOO,OOO. making total liabilities $5,233,590.35. Accompanying the financial report was a statement showing expected increase of expenses under the proposed social security legislation. Welfare laws now costing the state $1,400,000 would be hiked Oo $4,980,000 under the proposed welj fare legislation, an increase of $3,780.000. including east of adminisI tration. according to the report.

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