justice of this tax rate. At a conference in Judge
Wickersham’s office. Representative William L. Paul
asked Mr. Sumner S. Smith what tax rate he
thought would he fair. Smith answered “3“Will
you stand for this rate?” he answered “Yes.”
Ben Grier was also present at that meeting. He
answered flatly “I will not stand for a raise in tlie tax
on the mines.”
When (he mine schedule was before the House,
(House Journal for May 3rd), “Mr. Ross moved, second
ed by Mr. Fred Johnston (both members from Fair
banks), to amend as follows: “Mining: one per cent
of the net income in excess of five hundred thousand
dollars, and on all net income in excess of five hundred
thousand dollars, two per cent.”
“Mr. Paul, supported by the required number of
members requested roll call. Roll Call.
“Yeas, (5; Benjamin, Johnston, Paul, Ross,Sund
quist, Worth.
“Nays, 10; Ferguson, Fisher, Gaffney, Grier, Lomen,
Murray, Rydeen, Scott, Sheldon, Sumner Smith (Mr.
Speaker).
“And so the motion was lost.
The amount involved was $14,000.
Upon the defeat of this attempt to raise the Ken
necott’s tax, the Juneau Empire congratulated the men
who voted “no.”
The usual cry “you will scare capital away” was
used with great effect. It is most unjust. This year
when the canneries are hit so hard, many fatally, they
still must pay their tax even though they suffered
great losses. But the Kennecott, that pays NO TAX
unless they show a profit of over $10,000. pay3 only
$08,000 on a net income of $4,500,000 last year’s
figures).
THE SOLUTION
The solution of this unfair situation lies with the
voters of the Third and Fourth Divisions. (The Se
cond or Nome Division seems hopelessly to have sold
out to the Lomen Reindeer Corporation body and soul).
Ben Grier and Sumner Smith would like to vote for
a raise, but they are afraid to unless strongly backed
by their own Division. If these men come back to> the
Legislature, let it be in such a way that they can vote
for a fair tax.
SENATOR HECKMAN DENOUNCES USE OF
HERRING FOR FERTILIZER
In a public statement recently, J. R. Heckman, ac
cepted by many as the foremost authority on fishery
matters, denounced the use of herring for fertilizer.
We^ have not heard anybody call him bolshevik” or
a “red” for that. Yet two years ago, Honorable
Charles Ferguson, of Craig, in The ALASKA FISH
ERMAN, did the same thing, an<J the whole power of
government was used to discredit him.
In the last Legislature, Messrs. Ben Grier and Sum
ner Smith refused to follow tne ieaa oi me
vision men led by Mr. Ferguson to stop the use of
herring for fertilizer by increasing the tax on the
same, 500%. “No,” these men said, “We believe
“Herring” Johnson is right. Herring cannot be de
pleted.”
The following report is interesting:
“Herring plants as a whole, have had a bad year.
As an example of the disappointing run is the pack
of the Fidalgo Island Packing Company at Pillar Bay.
At the beginning of the season the minimum estimate
was* 300,000 gallons of oil with hopes of 400,000.
When the plant closed last week, it had 166,000 gal
lons and up to the present time this is the leading
output on Chatham Straits. This is the average
throughout the reduction plants on the Straits a
pack of about one half of the minimum estimate.
“In sharp contrast to the big runs of the two pre
vious years is the 1927 run, but th© belief of the re
duction plant heads is that the season is an off one,
and they say that there is not much chance for any
big increase AS THE RUNS ARE STEADILY DE
CREASING.
“The pack at Killisnoo Fisheries is regarded as next
to nothing. * * * One of the Killisnoo Fisheries
boats made only $2.00 for full two weeks work. At
Red Bluff Bay a worker disappointed with the sea
son, took the $6.45 due him and left.”
Herring Industry Important
“In Chatham Straits alone, there are about twenty
plants with total outlays of millions of dollars, and al
so hundreds of herring boats and many times that
number of men relying on the industry.”
We should note here that every one of the hundreds
referred to above are non-residents. Th© only thing
these men buy in Alaska is gasoline.
An Issue For 1928
In the next legislature, the question of protecting
our trollers and halibut men whose business depends
entirely on herring, will again come up.
We invite Ben Grier and Sumner Smith to study
this question so as to be ready to vote “For Alaska *
and not at all for “Seattle.”
ALASKA WEEKLY ADVOCATES HOMERULE
ON FISHERIES
“We have long felt that the administration of Al
aska’s fisheries should lie in the hands of the Terri
tory of Alaska and we wish to once more express the
conviction that Alaskans themselves are, by reason of
close association, first hand information and vital
community interest in the industry, capable of ad
ministering their own fisheries to the best interests
of all parties to the industry in a more efficient and
intelligent manner than is possible under administra
tion from Washington.’*