PAGE TWO
THE FRANKLIN PRESS and THE HIGHLANDS MACON IAN
THURSDAY, FEB. 2 1135
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Published every Thursday by The Franklin Press
At Franklin, North Carolina
Telephone No. 24
VOL XLIX
BLACKBURN W. JOHNSON. EDITOR AND "PUBLISHER
Entered at the Post Office, Franklin, N. C, as second class matter
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"Our Bob's" Senate Record
SENATOR BOB REYNOLDS' constituency is becoming
more and more perplexed and not a little riled over
what seems to have become a habit with him- namely,
voting against President Roosevelt in vital crises.
First it was the bonus issue; but there was some
reasonable explanation for "Our Bob's" vote then, for he
stood committed to cash payment of the bonus, and the
first law of practical politics 'is to stick to one's cam
paign promises. When the World Court issue developed
the junior North Carolina senator again was found in
opposition to the administration. Forgetful of the prin
ciples of his party and the leadership of such of its stal
warts as the immortal Woodrow Wilson, he climbed
aboard the isolationist bandwagon, made a spectacle of
his own provincialism with senate tirades which would
insult the intelligence of a high school debating society,
and cast his vote with the ilk of Cabot. Bufc perhaps,
he could claim some justification for his action in this
respect. Anyway the folks back home were inclined to
forget and forgive Bob's variance from the administra
tion on the bonus and the World Court issues, notwith
standing their strong faith in the guiding hand of Frank
lin, Roosevelt.
But when Bob bolted from the administration ranks
in the senate last week to vote for the prevailing wage
amendment to the President's work' relief bill, an amend
ment which stands fair to kill the whole four-billion dol
lar program of public improvements, then North Caro
, linians sat up in amazement. Didn't Reynolds know that
sentiment in this state was overwhelmingly m favor of
backing up President Roosevelt's recovery program, espe
cially in this instance? Could it be that he did not real
ize that even if the four-billion dollar relief bill was adopt
ed, the senate amendment would work untold damage
both to North Carolina industry and agriculture. How
could thousands of private employers, including many
farmers, afford tb pay the insupportably high wages
which inevitably would result? Couldn't he see that such
a situation as would result from a fictitious wage scale,
which most likely would be dictated by the American
Federation of Labor, would result in greater unemploy
ment in the long run?. If Mr. Reynolds represented an
area where organized labor predominated, where living
costs were considerably higher, his attitude would be
more readily understandable. Had he been out-and-out
opposed to the President's work relief program, which is
the best alternative yet offered to a forthright dole, his
vote might have been more consistent. As it is, it appears
that his strongest point of consistency is similar to that
of Huey Long,sT-opposition to the administration at
crucial times.
All Money Is Good Money
WE have just discovered that it is now legal to pay a
bill of $100 with ten thousand pennies. We haven't
yet discovered where to get the ten thousand pennies, but
it is cheerful to know that if we had them we could use
them to pay for anything that costs $100, if we knew of
anything priced at $100 that we were willing to spend ten
thousand pennies for.
David Lawrence pointed out the other day something
that most folk had overlooked in the so-called "Thomas
Amendment," enacted in April, 1933, which gave the
President authority to cut the gold content of the dollar
and to remonetize silver. That is a clause which says that
"all coins and currencies" shall be legal tender for all
debts, public and private. It used to be that you couldn't
compel a man to take more than 25 cents in pennies, nor
more than $10 in silver. ,
Now all that is changed. If the Government offers us
a million dollars all in dimes we'd be obliged to take it.
Likewise, we can think of circumstances under which it
might be a real pleasure to pay off, say, a mortgage on
the old. home or the last instalment on that last year's
car, all in nickels, and put the othe fellow to tb trouble
of counting them.
The only fault we can find with the Thomas Amend
ment is that it didn't tell us how to get the pennies and
dimes.
Number 9
THROUGH
CAPITAL
KEYHOLES
BY BESS HINTON SILVER
UPS AND DOWNS ;
The McDonald - Lumpkin anti
sales tax plan to tax corporations
more, tax dividends from all cor
poration stocks and levy a tax of
from $5 to $900 on all individual
incomes above $1,000 per year, ris
es and falls in popularity like a
thermometer. It didn't have much
visible support in the early days of
the present legislature, then its
stock rose as the two sponsors ex
plained its workings and estimated
its revenue yield. It took a drop
when the lobbyists had their day
in court before the finance com
mittee. But merchants came to the
rescue an boosted the proposals
with their endorsement. It hasn't
been adopted yet and you can find
plenty of prognosticators that say
it will not become law. On the
other hand, the McDonald-Lumpkin
bloc is still hopeful and working
industriously.
SPEAKER-
The grapevine reports renewed
rumors that Representative R.
Gregg Cherry, of Gaston, chairman
of the house finance committee,
will be a candidate for speaker
next session. Everybody agrees
that he is doing his best to make
a record for speed on the money
bill but sales tax opponents feel
that the matter of a month or so
is not so important if they can get
out from under the tax for the
next two years. They are making
it tough for Mr. Cherry's political
aspirations and he shows no little;
irritation in committee at times.
That isn't calculated to aid his
chances in legislative politics.
WORRIED
Senator W. P. Horton, of Chat
ham, is worried about the state
forcing parents to send their. chil
dren to school in busses that grand
juries say are unsafe and then re
fusing to pay expenses in cases of
death or injury. He has introduced
a bill to require the state to pay
up to $600 damages in school bus
accidents. From all indications at
present his bill will pass but it may
be amended to cover only actual
expenses and with maximum or
minimum amounts not mentioned.
MUD-HOLES
It looks like you boys and
girls living off the concrete may
got your roads and bridges re
paired pretty soon. The gen
eral assembly has made a spe
cial immediate appropriation of
$3,000,000 for that purpose. A
Int of folks are still hanging
round the capitol hoping to
get a slice of your gasoline tax
for this, that and the other and
nothing but a stiff fight apd
constant vigil is going to pre
vent a raid on highway funds
before the legislature adjourns.
The highway department could
do bettor if it didn't have to
devote so ratoch time dealing
with propaganda dished out by
those who would divert road
taxes.
BIG SCRAP
The public school fight will be
iust half over when the biennial
appropriation is agreed upon. The
school machinery bill, which is the
rules and regulations of the state
system, must be drafted and it is
already apparent from many indi
vidual bills introduced that consid
erable liberalization of the present
law is going to be demanded. The
school forces want the question of
local supplements arranged differ
ently from the present law, which
requires local elections. So far
these elections have been so well
for the school folks.
TRANSPORTATION-
Something else that may happen
to your gas tax has been mention
ed more than once in the legisla
ture. There appears 1 to be some
sentiment for placing transporta
tion of school children on the back
of the state highway and public
works division. Highway officials
say this would be expensive and
would just about wreck the or
ganization they have left under the
hand-to-mouth .appropriation of
their own money by the last gen
eral assembly.
CHEAPER BOOKS
The bill to establish a state sys
tem of renting public school books
at nominal rates has considerable
support in the general assembly
and Governor Ehringhaus has wish
ed it Godspeed, but it will have its
troubles before it ever becomes
. . i. . ' i
Uw. Representatives of book pub
lishing houses, which would stand
to lose business by a rental sys
tem, are in Raleigh for some pur
pose. Astute observers say they
are opposed to the book rental bill.
You might inquire of the lobbyists
their business in the Capital City.
They have been very successful in
past sessions.
ANTI-SALES TAX
The bloc headed by Representa
tive Ralph McDonald, of Forsyth,
and Representative Lumpkin, of
Franklin, will not cease its fight
on the general sales tax until the
biennial revenue bill becomes law.
They plan to carry their fight to
the floor of house and senate
where they have no little strength.
Leaders of the Ehringhaus admin
istration still , avow the sales tax
is necessary to properly support
schools and other essential state
services and predict it will be re
enacted, v
LIQUOR-
Opinion among many legisla
tive leaders is that legal liquor
has little chance of approval by
the present general assembly.
Some measure celling a refer
endum on the subject may get
by but the odds at present are
against even that sort of a bill.
Too many uieuioei' i come from
counties that voted overwhelm
ingly dry in the repeal ejection
of 1933 and the lawmakers still
interpret that, in most cases,
as a dry mandate. Those en
tertaining future political as
pirations are not so hot for
kicking mandates over board.
CREDIT
When the first hearings on in
creasing the price of tobacco were
held in Washington back in 1933
Governor Ehringhaus, Congressmen
Warren, Hancock and the late
Edward W. Pou were present with
farmers, warehousemen and federal
officials. Since that time the to
bacco program has been a practical
political proposition and recent
hearings have been attended almost
one hundred per cent by the North
Carolina delegation in congress.
lhe old band-wagon ride, you
know.
DIVIDENDS
One thing the McDonald-Lump
kin bloc has proposed is catching
favor with the general assembly
and has wide popular appeal. It
would put dividends from domestic
corporations in the same class with
dividends of foreign corporations
and tax them at six per cent
straight. That may not pass but
it is probable that domestic divi-1
dends may be put in the same pot
with all other income and taxed at
the graduated income tax rate with
the same exemptions allowed. A
big fight is being waged against
the proposal but the legislature
hasn't adjourned yet.
GOVERNOR
As the general assembly has wax
ed warm speculation on probable
candidates for governor on the
Democratic ticket next spring has
waned. It is generally accepted in
Raleigh, however, that Shelby's
silver-tongued Clyde R. Hoey and
Lieutenant Governor Graham will
make the race. Congressman R. L.
Doughton is a more uncertain quan
tity and some politicians predict
that former Lieutenant Governor
R. T. Fountain will change his
mind and not run against Senator
J. W. Bailey. Mr. Fountain re
cently said he intends to do that
little thing. Governor Ehringhaus
is still being urged to oppose Sena
tor Bailey but answers all ques
tions with the statement that he is
now busy trying to be a good gov
ernor. Letter-Press
N. C. GETS RAW DEAL
FROM NEW DEAL
Editor, Franklin , Press :
I see in this week's Press an ac
count of the reaction of the Coun
ty Commissioners of Macon and
the Board of Aldermen of Frank
lin te the request of the State
Planning Board for a program of
public works for the county to be
financed from the proposed four
billion dollars federal appropriation
for relief. While this appropriation
is still encountering opposition in
Congress which may. wreck it in
whole or in part, the probability
seems that some amount will be
allotted by congress to the Presi
dent for distribution among the
states. If and when this is done,
North Carolina certainly should
come in for a substantial portion
of the fund.
There are considerations both for
and jainst the Government's fur
ther distribution of funds of the
tmgury amongst tbe states for re
MPSks, but there in be no de
bate; -hi case thU pmaal l car
ried out, that North CaVoftia is en
titled to stand at '6rnear the flop
in the amount to be distributed per
capita among the states. Up to
this time, in appropriations for fed
eral relief she has been given a
"raw deal," as the following fig
ures will show:
In 1934, the grand total of federal
taxes paid by North Carolina was
$260,405,991.00, being second only to
New York with $568,022,279.00. The
population of New York is 12,852,
000 and of North Carolina, 3,244,000.
North Carolina, paying practically
one-half the amount of New York
in federal taxes, and with only
one-fourth of its population, con
siderably out-pays the Empire State
per capita by the ratio of $8027 to
$43.88, almost two to one. In fact,
the per capita federal tax of North
Carolina ($80.27) leads every other
state, the next nearest being Dela
ware with a grand "total of $18,018,
630.00 and a per capita rate of
$75.17. At the other end of the
list is Mississippi with a per capita
tax of $1.13, Arkansas with $1.52,
and South Dakota, $1.90.
When we examine the records as
to where these federal taxes go, we
fina that the situation is practically
reversed. The heavy paying states
are down at the foot of the list as
beneficiaries. Including allotments
up to July 31, 1934, for F. C. A.
(Farm Credit Administration), to
October 1, 1934 for building fi
nanced by the U. S. Treasury, to
August 31, 1934, for A. A. A.
(Agriculture Adjustment Admin
istration), to September 30, 1934,
for F. E. R. A. (Federal Emergen
cy Relief Administration), to Oc
tober 12, 1934, for H. O. L. C.
(Home Owners Loan Corporation),
to August I, 1934, for C. C. C
(Civilian Conservation Camps),
and to August L 1934, for P. W. A.
(Public Works Administration),
there had been distributed on these
dates by the various agencies to
the inhabitants of South Dakota
$74.93 for every dollar of federal
tax paid by that state. North
Carolina had received 43 cents for
each dollar paid in taxes, which
placed it at the bottom of all the
48 states as beneficiaries of federal
relief. The nearest state to it is
Delaware with 61 cents received to
the dollar tax paid. You will notice
that Delaware stood next, to North
Carolina as the second highest
state in tax paid per capita. These
two states with Virginia, which re
ceived 79 cents back from each dol
lar tax paid are by a large margin
below any other state in propor
tion of federal relief received to
federal taxes paid. On the other
end of the list, standing next to
South Dakota, is North Dakota
which received $68.97 from the
Government for every dollar paid
to it in taxes, and next to it New
Mexico with $44.90 and Idaho with
$44.31 received to every dollar
paid.
There may or may not have en
tered an element of politics in
these apapropriations, but the out
standing fact these figures show is
that North Carolina has been left
far behind in the distribution of
funds by the "alphabet" agencies.
The state is justified in bringing
all the pressure she can on the
Federal Administration for a just
allotment in further relief, whether
through the proposed further grant
to the President or through the
agencies alredy established. North
Carolina taxes have been used to
fipance strikes in Rhode Island,
Georgia and Massachusetts, to build
model villages in West Virginia,
tenements in Atlanta and dams in
Tennessee. It is time more con
sideration be paid to the source of
these taxes.
Yours very truly,
T. B. HIGDON.
Atlanta, Ga. -
February 25, 1935
ANCIENT NEWSPAPERS
Newspapers can be traced back
to antiquity. The Romans and
Chinese had issues similar to our
modern newspapers. The most not
ed in Rome was the Acta Diurna.
The Peiping Gazette was published
from 714 to 741. The earliest
newspaper in the United States
was Public Occurrences issued in
the year 1690 in the form of a
small quarto sheet. The first daily
in the United States was the
Pennsylvania Packet and General
Advertiser, published at Philadel
phia, September, 1784.