Page 8


IF LIBERALS WIN IN PORT ARTHUR Page 8, March 21, Texas Observer Industry To Pay More Solons Approve $115 Million Two-Year Spending Hike AUSTIN Now : who can spare the sixty million dollars ? That’s the question preoccupying the 181 men and women of the 54th Legislature today. In five short hours, the House of Representatives adopted a bill that spends $115 million more in the next two years than has ever been spent before in any biennium. The Senate Finance Committee’s figures are comparable to those of the House. The total budget of $1,550,000,000 will ‘likely be cut some in the House-Senate conference committee, but as it stands now it is an increase in State spending over the present two years of eight per cent. That hardly adds up to the bold new program to accomodate the growing needs of a growing population that everybody has been touting, but even the liberals are fairly satisfied. $60.5 million for state hospitals and special schools, $38 million for state departments, and $8 million for junior colleges. There is a clause in the bill that if the Legislature increases the college tuition fee, the money thus raised can be kept by the colleges. Turned down were a 10 percent increase in state employees’ salaries and a mileage allowance increase from seven to nine cents; a $30,000 increase in funds for the Goliad State Park \(“Remember Go Called “Stockholder Profit Sharing Plan”, and available only to ICT Group stockholders, this plan offers: 1. INCOME-PRODUCING INVESTMENT Z. SAVINGS BANK SECURITI 3. LIFE INSURANCE PROTECTION All who participate in the Stockholder Profit Sharing Plan create piofit for themselves in two ways: 1.FROM CASH DIVIDENDS PAID ON UNITS OF THE PLAN 2.AS STOCKHOLDERS IN ICT IN-SURANCE COMPANY OR ICT DIS-COUNT CORPORATION, YOU SHARE IN THE PROFITS MADE BY ICT LIFE INSURANCE COMPANY. flexed or would sign a contract with the city agreeing to pay an amount equal to the difference between the annual tax revenues that are derived from taxes paid by “small” businesses and home owners, and the amount needed annually to run the city and finance new facilities and improvements recommended recently by consulting engineers. Such a contract, in the long run, probably would cost these industries more than through annexation, which would require them SHEPPERD LOSES ROUND IN FIGHT WITH REA CO-OPS AUSTIN Attorney General John Ben Shepperd lost his first skirmish in his involved legal fight with the state’s rural electric cooperatives last week. District Judge Jack Roberts of Travis County overruled a Shepperd motion to remove 50 cooperatives as intervenors or voluntary defendants in a suit filed by the Attorney General against the Upshur County Rural Electric Cooperative. only to pay the normal tax rate on real and personal property. The Chamber of Commerce has said it is opposed to annexation outright. But the normally-conservative Port Arthur News, while stating it does not want to drive industry away, declared in an editorial: “… We wish our major companthe physical improvement of Port Arthur.” Observers feel Kutcher’s proposal was tossed out as a feeler to get public reaction, and as a bid for the vote of the “little man” in the forthcoming election. Under the city’s new ward system of electing its representatives, all seven commission seats will be filled next month. Voters will have a clear choice between a liberal slate nominated by Democrats and a more or less conservative slate of six backed by the “People’s Committee for Good Government.” As it stands now, Democrats have a good chance of capturing four perhaps fiveof the seats, thereby obtaining a majority. REMEMBER, STOCKHOLDER PROFIT SHARING PLAN IS FOR 1CT STOCKHOLDERS ONLY! I C T LIFE INSURANCE COMPANY T GROUP BUILDING A BETTER AMERICA A vitally important message to all ICT Group stockholders . YOU ARE ENTITLED TO PARTICIPATE IN THE NEW. TOCKHOLDER PROFIT SHARING PLAN In $60 Million Needed State Taxes “I voted against the bill because it doesn’t provide enough for mental hospitals,” said Rep. Maury Maverick of San Antonio, “but comparatively it’s about the best appropriation bill I’ve seen the House pass.” At week’s end many legislators were feeling that the session is suddenly on schedule after two months of leaderless drifting. There is very little serious talk at this point of a substantial increase in natural resources taxes. Rep. Jerry Sadler’s gas processing tax is the rallying point for the opposition to the two-cent gasoline tax. Sadler said he spoke for a majority of the House last week in declaring that such a tax would not be passed. After an elaborate twohour presentation by Highway Commission Chairman E. H. Thornton on behalf of the gasoline raise, Sadler stood up and said of the majority he claims: “We Yaave signed a solemn agreement we will stand firm against any threat of defeat.” Sadler’s beer tax increase is also much discussed. Natural resources taxes have been introduced, but the liberals are not rallying to the proposals as they have in sessions gone by. In 1951, the Sewell-Nokes natural gas gathering tax became law, but the subsequent declaration that it was unconstitutional causes caution in that area now. Even as Shivers now has little prospect of getting his two-cent gasoline tax, the chances seem good for his one-cent increase per pack of cigarettes. A hard floor fight is in the offing against the raise in college tuition from $25 to $50 a semester he has requested, but some of the earlier opposition has been wavering. The cigarette tax would raise only $20 million a biennium. With experts saying between $51 and $62 million will be needed, the legislators will be forced to adopt some other specific sales tax increase; put a larger tax weight on natural resources; pass an omnibus increase \(a strengthening possibilfor the policy program they have a pproved. ‘i’he liberals fought hard for more money for the eleemosynary institutions. Maverick wanted more money for the San Antonio State Hospital, which he called “a broken down booby hatch.” Rep. D. B. Hardeman of Denison wanted to raise the daily meal alowance from “-e present 58 cents a day for men I patients and 90 cents a day for tubercular patients. All those causes were lost two-to-one as Rep. Max C. Smith of San Marcos marshalled Administration forces in defense of the budget as proposed. The House bill provides for the ollowing increases over the next .wo-year period: Highways, $27.5 million; colleges and universities, $18.5 million; public schools, $20 million; public welfare, $14 million; state hospitals, $10.5 million. In flat figures, the bill as it came ‘rom committee provides for spend $98 million for higher educa1, $8 million for the judiciary, had as you remember the Alamo!” shouted Rep. Tom Cheathambut million in old age assistance payments. It was charged that the formula approved by the House for junior college appropriations $230 each for first 250 students, $189 for each additional studentwould discriminate against the large’ Negro branches of junior colleges at Tyler and San Antonio. Also last week, the Senate: Passed, 25-3, and sent to the House a proposed constitutional amendment to permit the State to spend money on advertising to attract tourists, rejecting an objection from Senator Crawford Martin, Hillsboro, that the plan might turn into “a million-dollar pork barrel” with area interests asking for money to advertise their local features; Passed and sent to the House Martin’s bill to require stock companies to have $100,000 in capital to do fire insurance work, $150,000 for casualty insurance, and $250,000 for all lines of insurance other than ife, with similar sums in surplus; except that existing companies have ten years to reach such capitalization in ten-percent-per-year steps; Passed and sent to the Governor bills requiring water districts and river authorities to register boundary and other information with the State Board of Water Engineers and requiring the board to hold public hearings on proposed federal projects on Texas rivers. The House: Passed, 124-23, and sent to the Senate a proposed constitutional amendment to permit commitment to institutions in lunacy cases without trial by jury on medical and psychiatric advice; Refused, 34-98 \(100 votes being stitutional amendment providing that a board would redistrict Texas judicial districts automatically after a federal census if the Legislature did not do so; Returned to committee “for further study” Rep. Garth Bates’ bill which raises the minimum workmen’s compensation payment and then makes it much more difficult for injured workmen to get it. Governor Shivers: Asked that a disaster fund be set up to help areas struck by natural calamities or civil defense crises; Asked for legislation to let state employees get under social security, reporting that the employees voted for social security, 20,962-to2,210. A House committee reported favorably Rep. Joe Burkett’s bill to declare workers ineligible for unemployment ‘ compensation if they’re out of work because of a strike in another related plant \(a measure called the “Lincoln-Mercury bill” A Senate committee reported favorably, in the absence of an opposed majority, a bill to leave insurance stock under the Insurance Commission instead of putting it under the securities division of the Secretary of State. By JACK MORGAN Port Arthur Correspondent. The Texas Observer PORT ARTHUR Liberal Democrats are making it plain that Big Industry will be askedor requiredto do more for Port Arthur’s well-being if Democrats gain a majority of seats on city commission in April’s municipal elections. Last week, Commissioner, B. N. Kutcher, who was elected with the party’s endorsement last year, introduced an ordinance aimed at annexing six major industrial plants heretofore ignored by the city. These are the Texas Company and Texaco Island, Gulf Oil Corporation, Atlantic Refining Cornpany, Koppers Company, and Great Lakes Carbon Company. Annexation would bring several hundred thousand dollars of additional tax money to the city coffers. Liberal Democrats constitute a minority on the present commission. The proposal by Kutcher was tabled on a five-to-two vote “for further study.” Under terms of the ordinance, these industries would either be an After many months of hard work and careftil study, The ICT Life Insurance Company is ready to announce an exclusive personal benefit plan for ICT Group stockholders only! If you are an ICT Group stockholder, Home Office Representatives will soon be calling on you to fully explain your rights under the Plan and show you how to exercise them. For your own benefit and profit, give these Representatives an opportunity to point out the many exclusive advantages the Plan offers. Many of you may want to have the Plan explained in detail to you before a Home Office Representative has the chance to contact you personally. Below is a coupon to be filled out and mailed if you would like to have complete facts on the Plan as soon as possible. ase mmmmmmmmmmmmmmmmmmmmmmmmmmm 111111 Gentlemen: I understand the Stockholder Profit Sharing Plan offers me as an ICT Group stockholder many exclusive,unprecedented benefits. 1 want to be among the first ICT stockholders to hear all about the Plan and receive my Allotment Certificate. So, please have a Home Office Representative call on me as soon as possible. Name Addreee City State ga952,4oa Ad No. D218-6N-1955, 3 col. x 10″ B&W