MEMBER ASSOCIATED PRESS
\TOLUME XVI. NUMBER 47.
SEWARD, ALASKA, WEDNESDAY, MARCH 4, 1931
PRICE TEN CENTS
iOUMENT IS
KEYNOTE OF 60Y.
PARKS MESSAGE
PRESENT IN DUSTRIAL AND
ECONOMICAL CONDITION
NOT SO GOOD
JUNEAU, Mar., 4, (Special to The
Gateway!-A graphic account of the
Territory’s muddled accounting
system was given the Legislature
n his annual message by Gov.
Geo. A. Parks. While it sounded
nore like a Lewis Carrell fantasy,
t contained nothing outside of
'old facts
Said the Governor: “School ap
propriations are for the school
years (ending in June); our audit
s for the calendar years; and our
ricsal years end March 31. Elective
officers assume their duties
March 1, and their reports must
cover the last month for the fiscal
years.
The Governor renewed his plea
that the legislature take necessary
adjustments in laws to co-ordinate
the several independent methods
jnto a single accounting system.
High Lights And Recommen
dations Contained In Gov.
Park’s Messge
Drastic restriction of appropria
tions with specific cuts recom
mended aggregating $1(30,000.
Two-year suspension of all pub
ic building construction.
Budget reform, including crea
tion of a “real Budget Board”, con
listing of the Governor. Auditor
and Treasurer.
Extension for two more years oi
^resent schedules of taxation
Change in present manner oi
electing Commissioner of Educa
tion and Highway Engineeer now
elected by popular vote.
Additional duties for Highway
Engineer.
Suspension of eagle bounty for
two years.
Fifty percent reduction in han
seal bounty.
Expressed oppposition to pro
posal to increase bounties on
wolves and coyotes until present
tndustrial and economic conditions
are improved.
Recommended placing upon cit
ies of first class responsibility of
caring for indigents wdthin theii
borders with Territory providing
50 percent of funds expended for
that purpose.
Disposal of Territorial fish
natchery property by sale or oth
erwise.
Suspension for the present of
airplane landing field construction
but continued maintenance of
those constructed.
Asked for appropriation of $2,500
for expense of caring for homing
pigeons to be used by airplane
companies for emergency com
munication purposes.
Asked for deficiency appropria
tion of $6,662.
Requested appointment of com
mittee to prepare plans for build
ing a home for pioneer men and
women replacing the Sitka insti
tution now in use, to be construct
ed about 1933.
Recommended appointment of
a commission to participate in
Chicago’s World’s Fare in 1933.
DEMAND A SHOWDOWN
WASHINGTON, Mar- 4. (fP) —
Numerous democratic senators
have taken a stand against the
reported intention of John Ras
cob, democratic national 'com
mittee chairman, to compel a
showdown on prohibition wher
the committee meets March 5th
Many leaders feel that it is an
inopportune moment for the
party to go on record on nation
al issues.
NINETY PER CENT CRIMINA1
CASES N. Y. STATE RE
SULT DRY LAWS
—
I *
WASHINGTON, Mar., 4. (/P)
| The story of open-faced gang
I ster activities and far-flung gov
I ernmental corruption in wholesale
liquor law violations, was un
rolled before the Senate, whei
drawn from the files of th<
Wickersham commission by ;
Senate resolution.
Testimony was spread througl
the surveys of prohibition con
ditions in Illinois, New York
New Jersey, Louisiana.
Only in Colorado was enforce
ment termed as satisfactory.
Some of the high-lights in thi
mass included a gangster map o
Chicago. The names of 300 al
leged Chicago racketeers. Ill
now dead, and each listed unde
such headings as dynamiter
bomb thrower, booze and bee
reported, discovery o f “larg<
quantities of poison dipped bul
lets” in the reputed headquar
ters of the “Capone outfit.”
The report of gambling opera
lions in New Orleans was st
widespread as to make bootleg
ging a ‘piker’ racket
Figures showed that 93 pe
cent of the criminal cases ir
i
New York State came under pro
hibition laws.
SOLONS ADJOURN
CONGRESS AMID
STIRRING TENSION
HOOVER GOES TO CAPITOL Ti
SIGN LAST-MINUTE BILLS
AND SAY FAREWELL
WASHINGTON, Mar., 4, (/P)
Congress adjourned amidst t
tension reminiscent of the mos
exciting days of two years o
contention; the spirit that swep
the Senate from the start pre
vailed to the end with a fili
buster tying up all activities dur
ing closing hours.
The President went to the Cap
itol at the final hour \o sigr
last minute bills and to saj
goodbye to leaders.
Senator Thomas of Oklahoma
held the floor of the Senate ir
a stubborn but futile attempt U
obtain a vote on the resolutior
for an inquiry of the oil indus
try. He wanted an embargo or
oil importations.
I
E
TO
E
TERRITORIAL EXECUTIVE UR
GES ECONOMY IN APPRO
PRIATIONS
JUNEAU, Mar. 4, (Sp 'cial to The
i Gate wav)-Voicing a powerful plea
! for economy in appropriations,
j urging the elimination of every
! thing except the absolute essen
! tials of government, Gov. George
I A. Parks delivered his third bien
. nial message to the Alaska Legis
| lature, meeting in the hall of the
| House of Representatives.
( The Governor emphasized the
1! soundness of Alaska’s basic indus
tries and predicted early develop
ment of the pulp and paper indus
i try, and asserted that temporary
i setbacks resulted in curtailed
. j revenues making it imperative that
. i current grants of money from the
?: Treasury be sliced to the bone.
Responsibility Pointed Out
j j “You are confronted with a very
» great responsibility, perhaps the
t greatest that ever has been faced
by any other legislature of this
l Territory”, he said. “Those who
.1 are charged with the administra
! tion of the Territorial government
j have observed with deep appre
. j hension the increasing demands
■ on our treasury. We know they
, j cannot continue without distress
f I ing consequences; you alone can
. control them. Appropriations must
l be carefully considered and the
r strictest economy observed.
; “I regret that under present
: conditions it is necessary for me
? to come before you and recom
. mend such drastic reductions in
. ; appropriations but I am aware ot
: no such other method whereby we
. ; can provide for an efficient ad
); ministration of our Territorial gov
. ! ernment and not exceed our reve
nues during the next two years.
: Conditions Are Temporary
i j “Fortunately, we are certain
- j that the present adverse condi
tions are only tempodary. We know
that our industries are organized
on a sound basis, and a return to
prosperity is not questioned. But
our plans must be made now for
I the next two years and for this
purpose we must assume there will
not be any change during that
period.
I “The highest degree of co-opera
tion,” he added, “has been receiv
ed from all Territorial officers and
‘to this cordial support is due
whatever degree of efficiency and
> success that may have been at
tained.’ The administration of
each”, he declared, “had been
characterized for efficiency.”
• Makes General Survey
L Gov. Parks surveyed conditions
■ generally, citing the 7.7 percent
; population increase noted in the
■ Federal decennial census report,
. and declaring, “we have passed
. the period of de^line^ Proposed
. industrial developments will at
tract new residents; we may ex
. pect an increase in population
l from this source in the next
r year.
Alaska’s mines produced $16,
066,000 in 1929, a gain of $2,000,000
L over the preceding year, but in
► 1930 they lost about $2,500,000,
t due, depression in copper, other
. base metals. “There is every rea
L son to believe that gold production
will increase during the next two
years, altho there may be a de
cline in production of copper and
other base'metals.” Last year the
output of gold; mines gained about
$635,000 over 1929.
Fisheries are Hard Hit
In his analysis of the salmon
canning industry, the Governor
revealed the reasons impelling him
to appeal to the legislate/!, for the
‘strictest” euoma/. This and
mining consume tlu* Territorys
major sources of revenue, and re
ceipts to the Territory from the
latter during the p<t^t biennium
declined eight percent from the
preceding two-year period.
The packers employed 29,233
persons in 1929. Fishing products
that year were valued at $50,795
819 but as large as that was, it was
$3,750,000 less than in 1928. Offi
cial statistics for 1930 were not
available, but due to the red sal
mon failure in the Bristol Bay dis
trict and short runs at Karluk and
Chignik, the pack was smaller
than the average, and the receipts
were disproportionately lighter
than the figures might indicate.
This was due to the fact that rates
on red fish are much higher than
on the cheaper grades and most of
the super-case taxes come from
!the red salmon fisheries.
Outlook Is Gloomy
i
Out of a 5,000,000 case pack last
| year, some 2,000,000 were carried
over by the packers to this year.
Prices sagged to the lowest figures
in a decade or more. Thus the
present situation in the industry is
very similar to that in 1921.
Available reports indicate that
there will be “a reduction of ap
proximately 25 percent in the
number of canneries to be operat
ed. Probably the pack of red sal
! mon will increase over that of last
year, but it is not likely that the
| total pack of all grades will exceed
3.900,000 cases. If normal condi
tions are restored by 1932, the pad:
should be about about 5,000,000
1 cases.” in that year.
But the industry faces an unusu
| al circumstance in 1933. In that
| year occurs the off-cycle for red
fish in the Bristol Bay district, and
the Governor informed the legis
lature it was “practically certain”
all fishing will be suspended there
during that season.
Other Industrie Affected
Alaska’s fur trade, exclusive of
seals, in 1929 aggregated $3,513,863,
a gain of about five percent over
1928, but in 1930 fur sales were
much smaller. In fact, it was es
timated that the trappers received
50 percent less in that 12-month
than was paid them in 1929.
Forest products likewise showed
the effects of depression. However,
new capital is expected to exploit
this field in the near future. It
has been given licenses for water
power development, and the Gov
ernor predicted “manufacturing
plants will begin during the next
biennium.”
Banks Are Normal
Combined resources of Territor
ial and National banks, June 30,
1930, were: capital $915,000; sur
plus and undivided profits, $935,
000; deposits $12,252,000; Total as
; sessed valuation of incorporated
towns was $25,512,663.
Depression has affected Alaska
“in some degree but we are less af
fected than most of the other
parts of the United States. There
are reports of unemployed in some
of the larger communities but most
of these are recent arrivals. Steps
have been taken to meet this sit
uation by providing work on sever
(PImm turn to Pm r«u)
PRESIDENT VETOS
MUSCLE SHOALS
BILL OPERATION
DOES NOT BELIEVE GOVERN
MENT SHOULD COMPETE
WITH CITIZENS
WASHINGTON, Mar , 4, {£>)—
j President Hoover vetoed the Muscle
| Shoals bill, opposing the govern
| ment entering into business “in
: competition with citizens.”
i He suggested that Alabama and
j Tennessee set up a commisson
I with representatives from farm
| organizations and army engin
eers for the purpose of leasing
“Muscle Shoals in the interest of
the local community and agricul
tural, generally.”
The President stated, in these
words, his stand on t> ■’*' ”*
which many believe will be a poi
| itical issue in 1932.
j “The power problem cannot be
! solved by the government going
into the power business. The rem
edy for the abuses is in the con
duct of that business and lies in
regulation.”
Senator Watson, Republican
leader, claims enough votes to
sustain the veto.
FUTURE SESSIONS
! __
j ANOTHER YEAR GOES BY AND
| MUSCLE SHOALS RETAINS
SAME STATUS
—
j WASHINGTON, Mar., 4,J/P)—
; The President and the Senate
i combined to pass to futffre
Congresses the 10-year controver
sy over Muscle Shoals when the
Senate voted 34 to 49 to sustain
the veto of President Hoover
Sixteen Republicans, 32 Dem
ocrats, one Farmer and one
Laborite voted to pass the bill
which la^ed the two-thirds
majority needed.
Democrats Ransdell, Stecfc. and
Tydings supported the President
during the debate; the Southern
Democrats contended that the
President violated his campaign
pledges.
Senator Norris, author of the
bill, said the President is “with
the power trust.”
J. C. HI OF
no posses ■
JUNEAU, Mar., 4, (/P)—J. C.
Readman, 65 years of age, a res
ident of Alaska since 1899, died
last night of pneumonia.
Mr. Readman resided at various
times at Nome, Valdez and Cor
dova.
He had been employed as an
accountant in the office of the
local headquarters of the Bureau
of Public Roads for the last sev
en years.
He is survived by ,his widow
here, and a daughter, Mrs. N.
M Hayter, of Los Angeles.