The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1877-09-13
RAILROAD TAXATION.
Representatives of Loading Cornpa'
MES Before the Board Of
Public Works.

nleS bElOFe IHc ia
Public Works.
VIEWS OF THE RATLROAD-AIEN AS TO HOW
THEIR PROPERTY SHOULD BE ASSESSED.
FACTS AND FIGURES A5 PRESENTED
THE ROADWAY AND TIE TRACK THE
ONLY DEBATADLE SUBJECT.
The Board OF Public Works met at the
Capitol yesterday-thc Governor in the
cbair-to hear q committee representing
several railroad companies as to ascertaln-
inc the true value OF railroad property for
taxable purposes. Besides the members OF
the Board there were present: Colonel f.:
F. Portlock, Of the Atlantic, Mississippi
and Ohio Railroad Company; Major Pey..
ton Randolph and Francis Smith, Jr:, OF
the Midland Company; Captain William
W. Chamberlayne, OF the Seaboard ROAD,
and Colonel W. W. Gordon, representing
the York River road.
Colonel Portlock, in the absence OF Judge
n. W. Sheffey, chairman, on behalf OF
committee Of railroad-men presented COM
munication reciting the provisions OF the
law and stating the points at issue, as fol-
lows:
The only real difficulty arises in connec-
tion with "the roadway and track" which,
so far rs the interests here involved are cor
cerned, constitute the items to be valued
and reported as the first class.
It may, however, not be amiss to note the
restrictive words used in connection with
the property Of canal company to be re-
ported for taxation. 1t is not the value OF
the canal which is to be ascertained, but the
value OF the " canal-bed-that is, the value
of the land occupied for canal purposes
must be ascertained; and in like manner
the value of the broadway" or OF the land
occupied for railway purposes must, in the
case OF railroad companies, be ascertaned.
The act does not propose to tax the water
flowing in the " eanal-bed," it being destl-
tute of property value, but it does propose
to tax the "track" upon the " roadway"
because it possesses ascertainable property
value.
Now, it would seem to be- clear that the
value OF the canal-bed," or OF the "road-
way," or OF the railway "track," should
be no more enhanced or lessened by reason
OF cXtraneous circumstances arising from
profits or losses in their use, or from the en-
crcise OF the franchise, than that the values
OF the dep0ts, dep0t-grounds, lots, rolling
stock, stores, and property mentioned in
considerations.
In such case the value OF the things direct
ed to he reported and estimated for taxation
must he asccrtaincd by considering the pro-
pcrtv value OF each in its class. The rail
road. as an aggregate entity, is no more to
be taxed than the canal; but only certain
constituents, which. in connection with
others, 60 to make up the railroad or the
canal. are specified for taxation.
TRUE ESTIMATE OF VALUE.
II these views be correct, then it would
seem to follow that az the canal-6ed" " can
be valued only as land by comparison with
the values OF contiguous lands along the line
of the canal, and fair average he thus
made (thc true quantity being readily ascer-
tninablel, so the value of the BROADWAY" /"
must in like manner be found, and the
"track" must be valued in the same way.
The iron and other materials should be esti-
mated according to their market value,
whether as old iron. on account OF the long
continued use OF the rails, or as railroad
iron fit for like uses elsewhere; or rs old
timbers tit only for fuel, or suitable for like
(railway) uses elsewhere, as the case may be.
And hence, having due regard to the MT
ture OF the property to be estimated, neces-
sarilv varying much in value; to the pre-
scription OF the law requiring the property
to be valued in detail and in classes and
to the rules and limitations OF the Consttu.
ton before referred to, no arbitrary rule
affixiug the same rate per mile can be fairly
and legally applied to all Of the railroads OF
the Commonwealth.
AS before stated, we do not propose tC
consider the constitutional pO,cer OF tho
Legislature to prescribe a fixed rate pei
mile, upon the basis OF which, irrespective
of values, taxes shall be assessed against
the railroad companies OF the State. 1t il
not necessary to do so, because the arbitra
" rate indicated by the act is penal in its
character, and is not intended as rule OF
constitutional assessment, to be made
"upon the best and most reliable inf0rma.
ton that can be procured" either for the
officers OF the companies in their estimates
or for the Board OF Public Works as the
final Board OF Assessors in reaching their
conclusions.
DUTIES AS ASSESSORS.
We feel we'll assured that the members OF
the Board Of Public Works need no suS.
gestions or arguments from us to satisfy
them that, as assessors, they are called upon
to discharge duties prescribed by law and
defined and restricted by the Constitution
and that the views OF those, if any there be,
who labor under some vague idea that cor.
Dorations have no rights which the LegiSla-
ture is bound to respect, or that their pro-
pertv may be taxed at discretion, and not as
other property is taxed, are not only favored
bv those to whom this communication is ad-
dressed, but will be rejected by them as not
merely unsound, but dangerous in their
tendencies.
We will add that it is not only clear that
the Legislature intended that the property
of nternal-mprovement companies should
be assessed and taxed as We have indicated,
but that it was the only wise and practical
mode Of providing for the taxation OF such
property. There are no standards or mea-
sures of value for railroads or canals as
such-there is no competitive market Tor
them. Sales are rarely made, and when
made they afford no certain rule either OF
market value or of intrinsic worth.
4 CASE IN POINT.
We submit herewith, as part OF this COM
munication, letter from James X. Nerth,
superintendent and treasurer OF the Bright
hope Railway Company, and statement OF
a snle, recently made by commissioner OF
court. OF the valuable mining property,
roadway, and track, and equipment OF said
company. The franchise, roadway, and
track, altogether. brought only sl,295 pei
mile, and the equipment, although compare,
lively new, brought only thirty-three and
one third per cent. Of its original cost.
We further submit, as part OF this com
munication, a document prepared, in part
in response to request made by member
OF the Board to one Of the members OF thu
committee, which will show how the ditti
cult subject now under consideration ha:
been dealt with in other States and by othel
tribunals.
We will be excused from suggesting, il