Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1875-03-16

/ 70 preside over, with one or two Others
paid more, Others paying less, and q mum
| Der paving nothing, the balance of the ne
earnings having gone to pay interest on th
bonded and floating debts Of the railroad:
/ and 1 feel that 1 hazard nothing IN sayin
that, from the time the money was paid il
| by the individual stakeholder, averagin!
some twelve or fifteen years in time Of pay
ment, upon an average for that period G
time on all the railroads in the State, tn
individual stakeholder has not received, il
cash dividends, over Il pei. cent. per an
nun, counting out dividends in COnfeder
ate money during the late war.
beg that 1t may not be forgotten tina
every rad in the State has bonded deb
on 1t, which is a first mortgage lien On h
road, and if the company fails TO pay tn
interest on this bonded debt, the rOal
passes into the hands Of a receiver. TIL
aggregate Of this bonded debt is abOu
thirty millions Of dollars, and these bond
are already taxed, bv the laws Of the State
in the hands Of the holders, and, in assess
ing this property for taxation, will not thii
bonded debt have to be deducted? other
wise the property viii be double taxed.
The crisis through which railroads in tht
South are now passing IS one of great in
terest and anxiety. In Georgia, where
capital invested in railroads has alWay;
paid very large dividends, it is now greatly
depressed, IS every road in that State, ex.
cept, possibly one short one, has stopped
paying dividends.
Now, before touching on our legal rights,
1 appeal 70 the Legislature if it is fair to
impose burdens upon the small per cent.
Of net earnings that 60 to the men whose
capital is used so much to your OICH per
sonal advantage. Out Of this number,
among the owners, are widows and chill
dren, the one getting their bread, and the
other their education, from the net sum
referred to. Is it just, as between man and
man, that the counties whose properties
have been enhanced in value by their cap
ital more than 800 per cent, or the towns
and villages which they have literally
brought forth in the woods, should turn
upOn them and tax their profits out of ex-
isteace? Would it be defensiele under
any code Of morals, for these municipal
ties 10 tuJn loose their tax officials and
make railroads bear their burdens? The
towns and counties without the benefit of
railroads have a much stronger claim n
equity, and certainly neither of them have
any right in law.
Upon what line Of reason can we expect
TO get more capital, if we impose unjust
burdens on what We now have? WOQld
YOU place your money in a distant State,
where you got only about /. per cent per
annum? And if you would not, how viii
you justify d taxation that would even de-
strOy that small compensation Wisdom,
gentlemen, frequently comes too ate-it
comes after struggle and trouble, but it is
sure 10 come, when it touches the pockets
Of the people. Let US be candid enough to
recognize, and just enough TO appreciate,
that herpeople have pOckest as well as our
selves, Others have wives and children, Others
have rights which are sacred, and Others
have money we want, to lift still higher the
State Of Tennessee, and open up her great
resources OF mineral and agricultural
wealth. Where does the clam0r against
railroads come f1Om2 / don't include the
man, whose COW on the track has cost the
railroad nearly a smash-up, and who COM
plains because he can't get two prices. But
l mean those who are large owners of real
estate, in cities; those who have been made
rich by railroads, and now want to keep it
all and make the railroads pay their tax for
them.
Can the people Of Tennessee, who live
BY labor on farms, afford 10 drive ont capi-
tai for the benefit Of those already itch with
the benefits railroad enterprises have
brought to their doors? The people of
White, and Putnam, and Claiborne, and
Henderson. and Hickman, and host Of
counties without railroads, may well pause
before sealing the book of capital and
closing out hope from new enterprises TO
bring a market to their doors. We all
know the value Of railroads to counties
that do not have teen; the hope Of building
one will raise property, but where We have
them, the benefit has been forgotten.
Suppose these capitalists, who own rail-
roads, were to say, that we can DO without
the nominal interest We get for our money,
and We will rest for year, or we viii not
run this year, it don't pay, and we can't
afford to support so much, and get so little,
and run the risk of foods and accidents,
costing thousands Of dollars. What would
become Of the cities. and towns and cOun-
ties? And what would be the result 10 the
whole State? No law can compel a rail-
road to run all the time; this has been tried
and failed. But such is not my purpose,
for the prosperity Of all these cities IS only
in its infancy. We hope to pour into their
laps still deeper resources of wealth, and to
contribute still more to their prosperous
development; my argument is to invoke
some consideration Of the question in
7ClvCd. have all my energies, humble as
hey may be, devoted to increase the trade
and travel, and wealth and prosperity Of
NY native State. There is not a county Of
il l would not span with railroads, if /
had the power. / only talk strongly, be-
cause 1 feel strongly, on a subject which l
know to be SO vital to all Of US.
In the interview l had the honor to have
With one Of your committees, 1 stated, as
raukly Is I state it here, that 10 end the
about taxation, and to do
What I felt was liberal, l was willing that
he railroad corporations in this State, lex
,mpted for twenty years from their compile
ion by their charters from a tax upon their |
property, having from , to y years TO ran |
et,) should pay one per cent. per annum |
N gross earnings into the State Treasury |
n lieu Of all taxation, By having their |
harteTs 50 amended (at least all whose |
tOckhOldeTs will accept such amendment, |
md think all Will) waving the exemp- |
ion referred TO, and commence paying /
rom the first Of January, 1875, and leaving
il such companies as may not accept, to |
e taxed as the Legislature may direct.
The property Of one railroad is exempt
ON taxation forever, and another one for
years from its completion, or
util it pays eight percent per aunum to its
which, under present affairs,
lay be considered decades to come.
The other railroads, as 1 am informed,
kept one, are all exempt for twenty years
ON their completion from tax on their
-CDeTty, and the Nashville and Chat!a-
Dogs road is exempt, as TO its capital |
Ock, fOreCcr, and as this was the fist
laUteT, believe, with one exception, the
hers are entitled to the same exemption. |
has been, understand, suggested that |
Iesc exemptions in the charters are not
hiding on subsequent Legislatures; / do |
lt propose to be a lawyer, but l have con-
Ued with some who know the law Of cor
lTati0us, and feel satisfied thar the chac-
z is a legislative contract, which the State |
III the power 10 make, and subsequent !
legislatures have no power to break.
hen the State needs a guardian, her con-
acts may be perhaps revoked, but in the j
ION Of her power and strength, as she was
hen these CO. tracts were made, she eau
Jt undo line without the consent Ofthose
TITLED to vested rights. The corporation
IS performed its agreement and built the !
ad, and the State has to keep the other
ID Of the bargain; Il takes tlgO sides to
axe, and t,sJ 10 5TldO contracts. OF the I