, 1877-01-08
TIE TIME Is UP,

THE TIME Is uP.
Tho Michigan Central and Lake Shore &
Michigan Southern Railroad Cumpaulca have
reached IN Important csisfa In their career. III
giving the charters to tue nboye-na1nel Conl-
pancs, tho Michigan Legislatures reserved tho
right, at my t!no aftcr thirty years from tho
tsmo OF granting them, to repeal, amend, OF
alter tisem by n two-th!rls votc ot the Lcglsla-
turc, provided TINT sa!d Companies should bo
compensated by the State for hll damages sus-
tatned by reason OF such alteration, amend
lle1lt, or repeal.
The thirty years have now expired, unil there
IL some speculation ~ to what steps, 4
t!on whics, will cngvoss the attcntlou
ot the present Legislature. THIS Es tho question
of taxatioIi Tho charter Of the Michigan Cen
pay to tho State Treasurer m anuual tax Of half
1T tcr cent upon tho cnultal at4pk paid III,
Including the two millions Of purchase money
paid to tho stasr, until Feb. l, 1851. and there
cent on The same basis, anil Mao upon loans
made to the Company for constructing tho rnad,
or purchasing, constructing, charterng. or mir
ing tho right steamboats, which tho Company
ell property Of the Company WIS to be "exeu'pt
frotn all arid overy tax, charge. ai,u exacton by
virtue ut any laws ol tho State now or here
after to bo ~ fore, except penalties"
was empowered 10 repurchaso tho railroad md
al! property Ut the Company nftHr Jan. !, 1877,
takin: everything, subject to liens thereon for
fnans invested IN the road and It's work, and was
+, Ialy therefor ths market valua nf tho entire
stock ot ati shares III tilt Company, an,l ~ per
CENT in R.ts!ltaon tic market value " hc asrcr
taiNcd by taking the average OF thv public sala
Prizes u ttac stock br shares as made in sstots
aud New York during tho twelve months pre-
redLng tlle year III which the State should 50
purchase, but III no c:.sc should tho amouut to
be paid he less than tho ainhui.t Of curital
actually pull! III hy tl.u Stockholders.
The ts"stsl"aa " llls oIIs!tla! charter OF tho
Lake Stlure l. Michigan Southern in regard u
taxation, the repurcase OF tlsu r0ad by thu
State, ctc.t are precisely tic hui,e ~ thoSu cou-
tali!cti III tho charter VI tho Michigan Ccutral.
OF course, the Siate las uo intention At this
period to purchase tbs rou!, hut IN regard to
taxation siu1e utttUn will prubatly be taken II .
be ntsainr'l., Thu thrceNuartc1s Ut per cent
which Is paid by tho railroads. ia, according to
the Detroit Tribune, nut considered by thu tax.
payers \ fair tltysinn OF tho putltc burden. ut
the poor peasant" that Na1cr sa5s, pays per
rent on Ills ls,U9,tAU wortl Ut property, why,
e9usI sY' sum o.. ts aanc % at!ounf Last 5eat the
member Of tau LaEu shoru consolidation,
235, ,544.p 10. Tho tux OF the Central Ia $597. ~
per mile, md that of the Snntl,ern 1905. atak-
Ing allowance fvr the difference in cost and
value aud tn difference i! mileage hrtwten tl,e
lwo, tle Southern should have pa!d $y1, 1,05l9.J
hal II bccn ta1e,l equally With tic Central.
This Is difference Vi nearly BIO per cent, uLli
II I'll annual loss to the State III u.s. 4ul93 Tho
claim Of tic Southern IL tbat but 4 snail pro
purtton Of it, roals, shops, and property Is To-
cate! in this state, and cansiot, therefore, b.