The Nonpartisan Leader Newspaper, December 17, 1917, Page 17

against this state management law, and started a fight in the North Da- kota courts. The case finally reached the state supreme court, where the law was promptly upheld, and the insur- ance companies appealed to the United States supreme court. They knew they had small chance of winning. They knew it was wholly a state matter and that there was little liklihood the United States supreme court would in- terfere, but by delaying the operation ., of the law for a year or two while the case was pending, they could continue to reap a rich harvest from Nerth Da- kota tax payers. That is just what they succeeded in doing. They got the agreement of the then attorney general, H. J. Linde, that he would delay tak- ing steps to organize the department even after the law was upheld and let _them bring their suit in the United States supreme court. FIRST STEP TOWARDS OTHER STATE ACTIVITIES Now the case has been decided against them, and North Dakota will shortly bond the officials of all its sub- divisions. This is but a step towards other kinds of state management, such as the Nonpartisan league has advo- cated and seeks to pat into effect, hail insurance, rural credits, mills, market facilities, etc, The operation of the law is simple. The premiums of the bonds are 25 cents per $100 per-year, and the bends run for the term of the incumbent and in favor of the subdivision for which he ‘is working. ‘Each bonded official shall name the commissioner of insur- ance as his attorney to receive service - in all cases where papers need to be served upon him under his bond. This is to provide immediate machinery for clearing up any defaults in case an official defaults and absconds. Any person, civil subdivision or surety company (in case such company is in- volved) can make the insurance com- missioner a co-defendent with the de- faulting official. In case of default the executive au- thority of the community in which the default occurs, notifies the commis- sioner of insurance, the commissioner notifies the state examiner and he im- mediately checks the defaulting offi- cial's accounts, and files a report with the commissioner of -insurance. The examiner, however, does not need to wait for default. He has authority to examine the public records of any state bonded official, and in case the exam- iner has reason to believe that an official is too great a risk, he can ask the governor to start proceedings to remove him from office. This is for the protection of the fund. The fund Is also further protected. If the com- missioner of insurance becomes con- vinced that any official who applies for bonding, would be a bad risk, he can refuse to bond him. The state’s fund is not open to a raid by persons who are believed to be bad risks. STATE BONDING FUND TO DRAW INTEREST In order to prevent the power thus given the commissioner of insurance from being used as a political club by him, there is provision for appeal from his decision to the district court. Both sides will then be heard by the judge and a decision be rendered in favor of the state insurance commission or the applicant who was denied the bond. Such cases are not to be tried by a jury, but by the judge. If the decision is against the official there is then noth- ing left for him to do but to get a bond from some private person sufficient to satisfy the law’ or from some honding company—but his premium can not be paid from public funds. No tax-levy is made to build up this insurance fund. It grows up gradu- ally out of the premiums, Thus tax- payers have no greater burden than if the premiums were going to private companies, with the added advantage that the whole fund draws interest all the time at the same rate as other funds deposited by the state in various banks. This interest is added regular- ly to the state bonding fund, thus further slicing the cost to the various civil subdivisions. Under the practice recently estab- lished by the present administration, all in excess of $10,000 in this fund will draw interest—not at the usual 3 per cent rate, but at 5 per cent. There is a law providing that all state funds not immediately needed shall be deposited on time certificates at the higher rate, and banks have shown their eagerness to pay this-higher rate by grabbing up all such funds available, some of them bidding 6 per cent for them. It was mandatory upon former administra- tions to see that funds not wanted drew 5 per cent, but such funds con- tinued to draw 3 per cent until the officials elected by the Nonpartisan league got into office. Ten thousand dollars of the bonding fund must re- main subject to check, at 3 per cent interest, but additional amounts not immediately needed can be placed at 5 per cent. Keep Home Fires Burning “Red'Stocking' Christmas’ Appeal Is Made for Florence Crittenton Girls, by Miss Topping Money, dressed hogs, a quarter of beef, or vegetables aside from potatoes, arc. the contributions towards a _“red stocking Christmas” being sought by "the authorities of the Florence Critten- ton home of TFargo, North Dakota. Unless there is a generous response on the part of country and city people the girls and children at the home will have but a poor Christmas. This ap- peal is being sent throughout the state by all papers that will carry word of it, and is to be followed by letters to Sun- day schools, lodges and similar organ- izations, Although the state of North Dakota annually contributes $3000 to the up- keep of this home, it is always in need of funds. It costs $21,000 a year to keep it going. The average ‘family’”’ is 75 throughout the year, making the average cost per individual $280. Of this $280 only about $100 a year comes to the home through regular channels, g0 that the balance has to be made up in various ways. Tag days, “potato week” (such as was held a short time ago and brought in enough potatoes for the winter), direct donations of so- ciefies and individuals, and the small sums contributed by counties that send delinquent girls to the home, are the gources of revenue. This home takes care of young girls sentenced in juvenile courts, and each county pays $15 a month for each one kept there. But this $15 a month does not pay nearly all the expense and in addition to the girls there are always from one dozen to .two dozen babies and small children. At this time the home is taxed beyond its average capacity, and Miss Lillian Grace Top- ping, the superintendent, says that the work has increased during the past year. “We can not close the home up just because we are at war”, she said. “Now if ever we should make the attempt to ‘keep the home fires burning.’ At least half of the cases and wholly publie charges—the home must support them wholly. Some of the girls work and Ppay back what they can towards thelr IS expense, but this does not go very far and there is always a shortage. “A good many of our girls are un- able to earn anything because they are young and untrained. Of the 41 girls now in the home, 20 are less than 18 years of age, and they must be taught before they can support themselves.” The “red stocking Christmas’” will be heralded to many- societies by letters bearing a red stocking at its head. It is hoped that $1000 may be raised in this campaign, between now and Christmas, Last year a similar cam- paign brought in $959 at an expense of $60. While cash is preferred, those having farm produce of any kind would find their contributions welcomed, Miss Topping said. AFRAID OF FARMERS The politicians of the cities are get- ting together to try and elect the next “safe” governor of Minnesota, for fear the Nonpartisan league ‘will elect one. But the trouble with them seems to be that there is not an agreement among themselves as there are about 10 can- didates who are of the opinion that they are the one that all factions should unite on. The daily papers of the three big cities have all agreed on Burnquist, but the fellows who are left out of the deal are certain to put the knife into him by voting for the Non- partisan candidate, so we are pretty sure that the next governor of Minne- sota will be a man chosen by the peo- ple, whose name has not yet been men- tioned.—SUNBEAM, Sunbeam, Minn. LET’S HAVE NEW OFFICIALS The editors of Minnesota have asked the state officials to establish and operate a state print paper mill, with the idea that they will be able to pur- chase print' paper at a reduced cost from present prices or at least at a fair profit margin above the cost of production. The Leader would.like to see something of this kind inaugurated and maintained, but it has no more faith in the officials of the state than it has in the individual manufacturer or the government in controlling prices, =5LAKHE CITY (MINN.) 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