CHAPTER XII.
IDAHO ELECTS A SENATOR—PARALYSIS OF THE COMPETITIVE SYSTEM—BLIGHT AFFECTS THE CAPITAL CITY—CAPITAL WITHDRAWS FROM THE STATE—A SESSION OF THE LEGISLATURE—CO-OPOLIS ESTABLISHES A DEPARTMENT STORE AND HOTEL AT BOISE CITY.
Governor Thompson was inaugurated at Boise City January, 1903. There was no demonstration on the occasion, the Governor being sworn in by the Chief Justice of the Supreme court of the state without display. The Legislature convened the same day, the Lower House elected its speaker, and the next day the various committees of both branches of the lawmaking body were appointed. The third day the entire political machinery of Idaho, with the exception of some minor officers and some members of the judiciary, was under the control of the Co-operators.
The work to be performed by the Legislature was regarded as pressing and important. A senator was to be elected to represent the state in the United States senate. The complexion of the two houses made it certain that the new senator would be a Co-operator. As for that matter so was the then incumbent. He was a member of the People’s party and also a member of the Brotherhood and of the Co-opolitan colony. He was a man of wealth and, being past the age of forty-five, had transferred property to our colony worth twenty years of a Co-operator’s income, estimated upon the basis of such income January 1st, 1902. In addition to this, his assistance as senator from Idaho had been invaluable to our cause. When a man became a member, in this manner, the Association, while leaving him his own property and the income which he derived from it, required that all wages, salaries and compensation, which his skill, labor or use of time might earn should be the property of the Association, so that the senator’s yearly salary belonged to it. We took but one vote on the senatorial question, and the sitting senator was by that vote elected to succeed himself.
But this Legislature had some really serious questions to consider besides that of electing a senator. It was confronted by a condition which to all individuals in the state seemed appalling. The public, outside of the co-operative colonies in the state, and outside the Brotherhood of the Co-operative Commonwealth out of the state, was filled with alarm at the prospect of certain radical reforms being initiated.
The election of Governor Thompson and a co-operative Legislature was the signal for all banks, competitive business houses and money loaners to draw in their loans and investments, as far as possible, and many of those who were engaged in the various lines mentioned proposed to depart from the state. In such cities as Boise City, Shoshone, Ketchem and a few others of like description the saloon men and money loaners endeavored to sell out and leave the state at once.
The banks refused to make any new loans and insisted upon the immediate payment of such indebtedness as was then due. The railroad companies began a course of discrimination against the people of the state and business houses reduced their stocks of goods. Money, gold, silver and paper, became very scarce.
Boise City, the capital, before January 1st was in a condition of business paralysis. As for the several Co-operators, who made up the Legislature and occupied other government positions, they had no money—that is, United States gold, silver and paper. Their entire exchange consisted of the orders and checks already described. It was evident that they would not be able to pay cash for what they purchased in Boise and the merchants and other business men realized as early as December that they were not likely to reap a harvest from the new administration.
This was also anticipated by the Department of Commerce at Co-opolis, and an agent of the Legislative Council was sent down to Boise, who speedily closed a trade for a lot of land on Boise’s principal street. Then came carloads of lumber from Co-opolis, and a force of Co-opolitan carpenters was speedily at work, even in the dead of winter, constructing a good, substantial and commodious three-story-high building. One-half of this building was a hotel and one-half a department store. By January 1st such was the energy displayed by the Co-opolitan workmen that it was completed and furnished and the store part was stocked with a large assortment of groceries, hardware, cutlery, drugs, clothing, dry goods, fancy goods, millinery, fruit, meats, boots and shoes, dairy products and many other of the manufactures and products of Co-opolis and the Co-opolitan farm.
This, to a very large extent, solved the problem of comfort and supplies for our representatives. The orders and checks of the Association were all good at the hotel and store. A few motorcycles with runners and others without and some horses and carriages were provided later on. The inferiority of the streets and roads in and around Boise at that time made horses indispensable in the conveyance of passengers in the winter time. The department stores undersold every other business and in a very short time its trade from the citizens and from the surrounding country was enormous. The competitive stores could not compete with them. The same was true of the hotel. The table creaked with the finest of Co-opolitan foods and delicacies prepared by the most expert of Co-opolitan cooks. The service at the hotel was excellent, the beds were clean and soft, and the attention given by our hotel attendants made up for the somewhat temporary character of the buildings.
Notwithstanding the complete prostration of town business and the absence of work for workmen, skilled and unskilled, the farmer and the cattle men around Boise began almost immediately to realize that it was an advantage to them. They obtained all manufactured goods at our department store cheaper than ever before. They were also able to exchange their products for department store wares. The wheat, corn, oats and other staple products of the farm and cattle from the ranges still found as good a market abroad as ever and commanded as good prices. That was not saying very much, however, for prices everywhere ruled low.
State, municipal, county and other public bonds depreciated until their value was scarcely more than nominal. Miners and cattle men were nearly the only classes who were now able to pay taxes, and both classes were notoriously expert in evading this duty by false statements of their wealth. It was evident that before another year passed, if Idaho depended upon the money of the United States in circulation within her jurisdiction, for the payment of public expenses, that her condition was one of hopeless bankruptcy.
This condition did not much interest the rank and file of the Co-operators, because they were well satisfied with their labor-credit checks and industrial orders, which enabled them to obtain all they needed, even money, under certain restrictions. But the individualists were in despair and many of them emigrated with their flocks and herds to Wyoming. Others who considered that their holdings in Idaho were too valuable to leave, not understanding the Co-operators’ plans, contented themselves with abusing what they called the stupidity of the administration. They knew it was the unalterable purpose of our people never to issue public bonds and this was the only method of raising money for public uses of which they had any knowledge. Some of them proposed the issuance of warrants upon the treasury, bearing interest after demand, but this was immediately rejected.
The proposition was made by one prominent individualist newspaper to issue treasury notes to circulate as money, but this was at once declared impracticable as being an encroachment upon the authority of the Federal government to coin money and the provision of the Federal constitution prohibiting the emission by the states of bills of credit. Turning then to state-bank issues the individualist found no encouragement from that quarter, as he was confronted by the Federal tax of ten per cent of such issues. Be it noted, however, that some of the bankers were inclined to favor the issue of state-bank notes and strongly advised that it be done, arguing that it was better to have money with the ten per cent tax rather than no money at all. But the administration simply declared that Co-operators did not feel the scarcity of money and a far better plan than any proposed would doubtless be discovered.
The Legislature remained in session just thirty days. Very few new laws were enacted. Of those which were enacted, the reduction of all salaries of public officials one-half, the law providing for a constitutional convention, the delegates to which were to have no compensation except traveling expenses, the abolition of several offices, such as insurance commissioner, labor commissioner, etc., the repeal of the law authorizing corporations and the enactment of a law respecting the organization of Co-operative Associations and their regulation, were the most important. Some appropriations were made, but it was admitted to be one of the most economical sessions ever held by any legislative body, so far as results to the state were concerned. The law reducing salaries one-half, although not strictly applicable to existing officials, was effective because all Co-operators in office willingly complied with it, and that general compliance influenced individualists to do likewise.