Evening star. [volume] (Washington, D.C.) 1854-1972, 1880-03-29
The Baltimore and Ohio Railroad
Taxes.

BASIS OF SETTLEMENT WITH THE COMPANY.
The following is the letter of the District
Commissioners, addressed to Chairman HuntOn,
touching the settlement between the District
and the Baltimore and Ohio Railroad Co. The
Commissioners say:-"They find that the case
has been in litigation since 1858. IL was sup
posed that a flnal decision would be reached
during the present term OF the supreme Court,
but it now seems most probable that the case
will 60 over for another year. The company
filed It's bill and secured restraining order In
1858, and for seventeen years the cor
poration OF Washington and the District
seemed to acquiesce In the claimed ex-
empuon of the company's property from
taxation: During these years the company
of It's property, and might suppose that no fur
ther effort would be made to enforce the taxa
tion against 1t. 1t would seem that the renewed
effort Of the District authorities to enforce taxa
tion upon the property OF the company In 1875
ought to have been notice sufficient to put IL
upon its guard as to the assessments since that
seem most probable that the District may in
time enforce the collection of the entire tax
heretofore levied, with full penalties and ac-
crued interest. It lies with Congress to
to determine whether any compromise is adj
visable In such case. In the absence OF specific
law defining basis upon which the property OF
steam railways should be assessed, the valua-
tons were for some years irregular and exces-
sive. In the matter OF the arrearages Of general
taxes which are now in litigation, 1t would seem
to be to the interest Of the parties concerned 10
eUeCU q cOIQDrOmlSe, rs, Ill Uuc ldllSudSC VI tuC
attorney, "will substantially secure the claims
of the district and equitably respect the rights
Of the company. The amount now standing
on the books OF the assessors ONCE as que
from the Baltimore and Ohio r. X. TO July 10,
1879. is 800, 545.26. with interest and penaltleS
included to March l. $780, the total Is Sl36 e26 ~
The company claims that the assessments
against the road and upon Its real estate and
improvements have been excessive, ana ask
that they be reduced. The Commissioners ind
that by joint resolution OF city council, ap-
n O. t1nn fr0n n
company was exempted from taxation for thirty
years. The state tax of Maryland is one-half
Of one per cent. upon the gross receipts and
the county taxes are on the basis OF s,2,5OO per
mile for double track main line; s., 500 for single
track main line and 81, 500 per mile for sidings.
The Commissioners are of the opinion that the
sessed within the limits of the District at SIS 500
per mile for the double track main line at ST. 500
for the siI gle track, and 81 500 for spurs; that
the real es ate n may be placed upon the mean Of
exempting such ground as is used purely as
right of way, and that buildings and improve
ments may be assessed st three-hfths OF origt-
nal cost, readjustment OF the assess
ment valuation as accurate as can be
made within the limited time allowed, ad-
ding per cent interest from the date at
S69,524.6s. Considering. the past history Of the
case and the prospect OF future litigation the
commissioners think that the sum Of $4,000
represents a fair basis Of compromise for the in
VI tuC lodu up ouiy L, loto. lHO
company have placed In the hands OF the Com
missioners the sum Of 900, which amount is
to be turned into the treasury Of the District
when the District committee shall have ap-
proved OF the proposed settlement and shall
have agreed to recommend to the House the pas
sage OF a resolution authorizing the compromise.
The following resolution was adopted by the
District committee to-day and was transmitted
to the District Commissioners:
ReSOlred That the chairman OF the committee
be instructed to report bill or joint resolu-
ton to the House for the approval and ratifca-
ton of the settlement made by the Commits
sioners of the District with the b. & .. r. II.
Co., of the taxes past due and unpaid upon the
part of said company to the District of COluul-
bia up to July 1St 1879