Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1882-03-24

1871, TO authorize the issuance of two thou.
sand shares of special stock, to Henry T.
Wells and VIM, D. Washburn, for the very
purpose of building that part of the line OF
the Minnesota Western. the Is miles from
Minneapolis to White Bear, concerning which
we are inquiring. The proceeds Of this stock
constructed and equipped, the White Bear
line showing still stronger, how under the
original franchise this link is q part OF the
original parent stem, viz: the old Minnesota
Western. It Is true that after having thus
endorsed its offspring with these two thou
sand shares from the paternal treasury, the
two parties thus entrusted with this
stock. for the express purpose OF
building this White Bear link, pro.
ceeded, by virtue of having special authority,
contained in the original charter and amenda-
tory acts, to organize, and did organize the
Minneapolis Il Duluth railroad company, on
the basis of this stock. The Minneapolis &
Duluth line Is thus attached back apd has its
legal existence in their original Minnesota
Western. The acceptance on file with the state
shows all this to be true.
All the subsequent history does not affect
the case. This fifteen miles of railroad was
then leased to the Lake Superior q Mississippi
railroad company for 999 years, and subse-
quently BY that line to the North Pacific. and
the last mentioned road defau!ting, the lease
was cancelled, and 1t came back to the origi.
nal parent line, the NJ. & st. l. by "formal
indenture."
The detail exhibits the fact that these lines
were parts of one whole; that the Minnesota
Western owned and held all these lines and
braches for all purposes; that the Minnesota
Western accepted the conditions OF an award
payment of per ceutum upon its gross earn.
ings, in lieu of all other taxes;
that this privilege was in the nature of grant
appnytenant to its several lines of road, anu
that the beginning of the payment of this tax
was to date from the time when any portion
of such lines, equal in extent to thirty miles.
should be completed. These two lines make
the thirty miles and more.
The doctrine of the courts Is this: No rail-
road can be permitted thus to be cut up in
sections in the process Of construction, so
that no thirty miles can ever be completed,
and thus defeat the ends Of taxation. Under
the provisions Of your original charter, the
company accepting it had the right Of effect
ing division of its lines, SO that separate and
distinct roads might be created therefrom un-
der other and exclusive Ownerships. Under
this authority many roads might be brought
into existence, and your entire line might
have been cut up into separate parts; and If
each such new corporation were less than
by your reasoning would be exempt from
taxation, and the state would have parted
with its power of taxation, which the legis-
lature manifestly never intended to do. In
determining the age OF railroad for the pur-
pose of taxation, we must count each and
every mile built under and by virtue of the
original charter. The privileges which have
governed is6fice in reaching these conclu-
sions will be found in the case of the C., M. &
St. P. Co. vs.. VIM. Pfander, MINI. reports,
vol. xiii, page 2l7. .
This office can not, therefore, recede from
its position, but must respectfully insist that
the rate of tax on your whole line shall be
per cent. from Nov. LIST, 1881, as heretofore
certified. Very respectfully,
J. II. BAKER, R r. Com'r.