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.