Inaugural address of  Franklin S. Billings    As it appears in the  Journal  of the  JOINT ASSEMBLY  BIENNIAL SESSION  1925  Thursday, January 8, 1925 Inaugural Message  Members of the General Assembly: Agreeable  to  custom  it  is  my  duty  to  bring  to  your  attention  matters  that  in  my  judgment  require  your careful  consideration.  I  trust  that we  shall work most  harmoniously  together  and  accomplish much  for  the  best interests of Vermont. Governor  Proctor  and  the  last  Legislature  accomplished  an  immense  amount  in  the  way  of  placing  our financial  system  and  our  various  departments  on  a  sound  business  basis.  The  creation  of  the  office  of Commissioner of Finance was a distinct forward step and the present incumbent has accomplished much. In my judgment  nothing  should  be  done  to  lessen  the  importance  of  the  office.  The  Legislature  of  1923  realized  that the State must be  careful  in  her  expenditures  and  I  trust  that you will  agree with me  that  appropriations  should be kept within the income of the State. We should make a strong effort to have our expenditures such that no State tax will be necessary. LAW ENFORCEMENT This  is  one  of  the  greatest  problems which we  have  confronting  us  at  the  present  time. A  number  of  states have had to resort to what is known as “State Police”, for the purpose of a better enforcement of the laws. To enact  laws and  then fail  to enforce  them shows an  inherent weakness  in  the government. I hope  that you fully  realize  the  seriousness  of  such  a  situation  and  that  you  will  agree  with  me  that  we  cannot  afford  to  lose sight of our duty to restore, through the instrumentality of our present law officers and a sentiment of respect for our legislative acts, a high standard of efficiency in the enforcement of the law. It is my duty, under the constitution, to see that the laws are enforced and with this end in view, I ask for and shall  expect  the  hearty  co-operation  of  all  good  citizens  and  especially  from  those  whose  duty  it  is  to  take cognizance of  all unlawful  acts  committed  against  the State.  I  shall  expect  that  all officers of  the  law  faithfully perform the duties of their office in accordance with the oath which they have taken. If we do our duty as the law requires, there will be no necessity for “State Police” and the taxpayers will not be burdened with the additional expense incurred if we increased our police force. SECRETARY OF STATE The  Automobile  Department  has  been  as  efficiently  administered  as  the  available  funds  have  allowed  but this  traffic  is becoming  so great  that  it  seems  to me  that  some action  should be  taken  to conserve  life and  limb. People financially irresponsible as well as those responsible should be compelled to carry liability insurance, or be bonded. This whole  subject  is  so  important  and needs  such  careful  study,  I would  recommend  that  a  special joint  committee  be  appointed  to  take  up  the  entire  automobile  question  including  the  codification  of  the automobile laws. I recommend that the gasoline tax be increased to two cents per gallon. This tax is collected with very small expense and part of it is the only income that the State receives from automobiles from other states. The suggestion has been made  that  the Automobile Department be  taken from  the duties of  the Secretary of State.  I  feel  that  this  would  be  a  grave  error.  The  department  is  now  well  organized  and  being  efficiently administered and the expense would be greater if the change was made. Publicity There are 116  towns  in  the State  that have a  smaller population  today  than  in 1820. Those  towns  surely are as  attractive  now  as  then.  We  know  that  there  are  people  all  over  the  United  States  looking  for  homes.  I, therefore,  recommend  an  appropriation  of  $10,000  per  year  for  our  Publicity  Department  to  be  used  for  the purpose of advertising our agricultural and industrial advantages as well as attracting the summer tourist.  Bill Boards The  law  governing bill boards  should be  amended  to  allow  the Secretary  of State  to more  fully  control  this objectionable evil and more easily collect the license fees. MILITARY DEPARTMENT I trust that the policy of building one armory every two years will be continued.  On March 4th, a native son of  Vermont  will  be  inaugurated  President  of  the  United  States  of  America.    I  consider  it  the  duty  of  the Legislature to decide whether or not our Infantry Regiment shall be sent to Washington to do honor to President Calvin Coolidge. AGRICULTURE This is the basic industry of our State and should so be kept. I have urged co-operation among the farmers and this, I still believe to be of the greatest importance, not only in their selling but in their buying. The  fight  to  eradicate  bovine  tuberculosis  in my  judgment  should  be  continued  to  the  extent  that  the  State can  afford  and  that  I  believe  to  be  at  a  cost  of  not  over  $100,000  per  annum.  Former  Commissioner  of Agriculture,  E.  S.  Brigham,  states  in  his  biennial  report,  “It  will  be  seen  that  in  some  counties  of  the  state considerable  progress  has  been made  in  placing  the  herds  under  supervision.  I  believe  that  a  bill  providing  for township area testing should be considered by the next legislature and should be enacted for the benefit of those sections  of  the  state  where  almost  complete  eradication  has  already  been  accomplished.  If  the  areas  could  be completely  tested  for  a  few  years  and  quarantined  against movement  of  infected  cattle  into  them,  it would  not be  necessary  to  test  herds  as  often  as  once  a  year,  and  a  considerable  saving  would  be  effected  thereby  in  the expense  of  making  tests”.  In  October,  1922,  in  a  public  address  I  made  a  similar  recommendation  and  am  as strong now as I was then for this area testing. I believe greater progress can be made in this way. EDUCATION This department  reorganized under  the  laws of 1923  is giving good  service  and now  the great  thing needed is stability. To change the laws governing a department every two years weakens that department and makes for inefficiency. Therefore, I urge you only to amend these laws in a very few minor particulars. I will suggest one. The present  laws have  increased  the burden of  the  smaller  towns as  to  supervision. This  should be  changed to more fairly equalize this expense. Our  rural  schools  have  greatly  improved  during  the  past  year. There  has  been  a  sincere  desire  among  them to  become  either  a  Standard  or  Superior  School,  and  the  one  who  proposed  the  plan  should  feel  great satisfaction in the results. Everything should be done to encourage and improve these community centers. Free  Public  Library  Department  is  now  under  the  State  Board  of  Education.  It  has  done  splendid  work throughout the State but during the past two years has been greatly handicapped by lack of funds. Four changes have  been  made  in  the  office  of  Secretary  during  the  past  two  years  as  too  small  a  salary  had  to  be  paid.  I, therefore, recommend an appropriation for this department of $10,000. STATE INSTITUTIONS Under  the  efficient  direction  of  our  Commissioner  of  Public Welfare  these  have  functioned  as  well  as  the appropriations  and  the  size  of  some  of  the  plants  would  allow.  If  Vermont’s  income  were  larger, many  things could  be  done  to  improve  them. Although  I  feel  that  the greatest  economy  should be  exercised  in  the  affairs of the  State,  I  think  that  a  new  dormitory  at  the  State  School  for  Feeble-Minded  at  Brandon  would  result  in economies  to  the State  and  I  strongly  urge  the Legislature  to  provide  a  proper  sum  for  this  purpose.  I  have  not included this in the Budget, however. HIGHWAYS The Commission plan has now been in force for four years and I consider that it is working well. During the past  two  years  great  improvement  has  been  made  in  our  highways,  not  only  in  many  stretches  of  newly constructed  roads,  both  gravel  and  hard  surface,  but  also  in  new  bridges,  dust  laying  and  the  efficiency  of  the patrol system. I believe that this same policy should be continued and that all monies received from automobiles and the gasoline tax be expended on our highways and Highway Department, I still do not believe that it is wise for the State to bond for this purpose, but as much money should be spent for hard surface roads in places where the travel or natural conditions make gravel roads unprofitable as the State can afford.  The suggestion has been made  that  the  State  take  over  some  of  our  highways  and  I  stated  in  my  campaign  that  I  thought  “the  next Legislature should give careful consideration to the taking over by the State the Federal Aid Roads either in part or in whole.”  I have examined during the last months the feasibility of this proposition, and I find that it is more complicated  than  it  at  first  appears.  I  therefore  recommend  that  the  committees  on  Highways  and  Bridges  in careful consultation with the State Highway Board make a thorough investigation of the proposition. RAILROADS, BUSSES, AND TRUCKS As we  look back over  the history of Vermont, we may well wonder what progress  she would have made  in her  development  if  she  had  not  had  the  railroads.  Even  today  in  some  of  the  winter  months  the  railroads  are practically  the  only means  of  transportation  (both  passenger  and  freight)  that Vermont  has.  The  railroads  have had  to  build  their  own  road  beds,  have  paid  very  large  sums  in  taxes,  and  are  now  very  strictly  regulated.  In competition  with  the  railroads  the  State  now  has  the  jitney  bus  and  the  truck.  These  have  their  road  beds furnished by the State and towns, and are taxed (by registration) a very small sum. They are regulated very little in comparison with the railroads. We certainly do not wish to drive the railroads out of business and ought to be fair  with  them.  I,  therefore,  recommend  that  the  busses  and  freight  trucks  be  more  adequately  taxed  and regulated in a way that will be just to the railroads, to the busses, and to the trucks, and will also be a protection to the public. PUBLIC SERVICE COMMISSION Considerable  criticism has  arisen because of  the manner  in which public  service  corporations  are permitted to  issue  securities.  The  law  requires  that  the  Public  Service  Commission,  after  hearing,  approve  the  issue  of stock,  mortgages,  bonds  or  other  securities  of  such  corporations  in  order  to  prevent  overcapitalization.  For several  years  no  funds  have  been  placed  at  the  disposal  of  the  Commission  or  the  Attorney  General  for investigations  in  such  cases  and  the  hearings  have  necessarily  been  more  or  less  ex  parte.  Because overcapitalization  affords  a  basis  for  higher  rates  to  the  consuming  public  and  in  view  of  the  fact  that  such Corporations  advertise  that  their  securities  are  approved  by  the  Public  Service  Commission  of  the  State  of Vermont,  I believe  that  the  companies  should pay  a  sufficient  sum  to  enable  the Commission  to make  a proper investigation before  their approval  is granted  in each case, and  that all  such hearings  should be attended by  the Attorney  General  or  the  State’s  Attorney  of  the  County  that  the  good  name  of  the  State may  be  protected  and that  it may be more nearly  impossible  to put out  such  securities  for more  than  their actual value. Otherwise  the law requiring such approval should be repealed. Since  1917  no  railroad  grade  crossings  have  been  eliminated.  Conditions  largely  due  to  the  war  made  it unwise for the expenditure of money in this way. Now, matters have so adjusted themselves that it seems to me wise  for  a  reasonable  appropriation  to  be made  each  year  for  a  continuation  of  the work.  It  is  certainly  for  the safety of the people. TAXATION Taxes  should  be  kept  at  the  lowest  possible  point  consistent  with  the  proper  needs  of  the  State.  Attempts every  two years  to enact new modes of personal  taxation upsets  the business  interests of  the State and creates a feeling  of  instability.  In  the  past  a  number  of  bills  have  been  introduced  creating  an  income  tax  law.  It  is  my opinion that such a law would be injurious to Vermont. Florida has recently amended her constitution to provide that  there shall never be an  income  tax  in  the State. Oregon has  recently  repealed her  income  tax  law. Vermont may well learn a lesson from such movements. TAXATION OF HYDRO-ELECTRIC PROPERTIES On  January  4,  1917, Governor Charles W. Gates  in  his  retiring message  to  the General Assembly  said,  “A situation  confronts us  at  the present  time; which  should  receive  the  attention  of  your  body. During  the  last  few years  we  have  witnessed  the  development  of  several  of  our  water  powers  by  foreign  and  other  corporations. These corporations have spent immense sums of money in the development of these water rights, and as a result the state will be immensely benefited if a proper policy of control and taxation is adopted.” “In  the  future  there  is  bound  to  be  more  development  along  these  lines,  and  it  is  to  me  that  the  time  has arrived when  the  state  should  adopt  a  definite  policy  of  taxation  of  these  hydro-electric  plants  and  other water power developments.” Little  has  been  done  along  this  line  since  then,  although  there  have  been  further  large  developments  of hydro-electric  power.  The  State  should  receive  more  benefit  from  her  water  powers.  I,  therefore,  recommend that  the  local  property  tax  be  left  undisturbed  and  the  State  impose  a  very  small  per  cent  tax  on  the  gross receipts of these companies. If this mode of taxation should prove difficult to assess on account of plants in this State being “hitched up” to plants outside the State, then some other plan should be found.  BUDGET Section 25 of No. 7 of the Acts of 1923 requires the Governor not later than the third Tuesday of the session to  submit  a  budget  “which  shall  embody  his  estimates,  requests  and  recommendations  for  appropriations  or other authorizations for expenditures from the treasury of the State for the next biennial fiscal period”. Wishing  to  assist you  in  all possible ways  to hasten  the business of  the  session,  I have  the Budget prepared and herewith submit it. --------------------------------- In  an  effort  to  expedite  the  business  of  the  session  and  to  keep  its  length  within  proper  limits,  I  have requested  the State Officers  and  the  heads  of  departments  to  have  ready  at  the  opening  of  this  session,  all  bills covering  changes  in  the  law  respecting  these  several  departments  which  they  recommend.  It  is  hoped  that members  of  the  General  Assembly  intending  to  introduce  bills  touching  the  law  respecting  these  State departments  will  introduce  them  within  the  first  two  weeks  of  the  session  so  that  the  Committees  may  have before  them  very  early  in  the  session  all  proposed  changes  in  the  laws  respecting  the  general  administration  of the  business  of  the  State.  If  such  a  course  is  pursued  and  the  time  limit  for  the  introduction  of  bills  is  really made a limit as the rules provide, it should be possible to give ful1 and fair consideration to the simpler and less complex  bills  early  and  the  last  part  of  the  session  be  given  over  to  the  appropriation  bill  and  other  very important measures. Furthermore, to press the consideration of a large number of bills upon the Governor in the closing hours of  the  session may  compel  immature  consideration  and  the  failure of  some meritorious measures which might have become law had they been brought forward earlier. I shall be glad  to confer with members of  the General Assembly at any  time, and I am sure  that we all wish to do our part  to make  this  session  a  profitable one  for  the State. Please  remember  that  there  is more danger of making too many laws than of making too few. FRANKLIN S. BILLINGS.