Morning journal and courier., 1883-05-10
The Railroad Tax Bill.


 Governor Waller Hears Arguments foE and Against the Measure.
 Tuesday afternoon Governor Waller caused notices to be sent to the railroad attornies interested in the approval of the bill recent ly passed by the Assembly which reduces the taxes upon railroads, that he would be willing to hear an expression of their views. State Treasurer Goodrich was also notified of this project of the Governors. Accordingly at II o'clock yesterday morning there was quite an assemblsge in the Governors room at the Capitol, where the quasi hearing took place. The New York and New England road was represented by Simeon E. Baldwin of New Haven, and the Consolidated and New Haven and Derby roads by Lynde liar rison A. P. Hyde appeared for Treasurer Goodrich. Among the gentlemen present were Representative Brown of Waterbury, the author of the bill ex-Senator w. Fl. Barnum, Morris Seymour of Bridgeport, and Collector Brown of this city.
 Mr Baldwin spoke first in favor of the bill. He referred to the constitution of the State in regard to the veto power of the Gov ernor and argued that it was constructed so that in case a measure passed by the assem- bly, should not meet with approval of the executive, it might be returned and receive more mature deliberation. The adjourn ment of the Legislature has made this course impossible with the railroad tax bill and it's approval now rests with the Governor alone. The Speaker then went on to speak of the bill as one affording relief to the over bur- dened railroads of the State. Out of twenty one railroads in Connecticut he said, but seven are able to pay dividends upon their stock. Continuing he said that there is $31, 100000 of unproductive capital invested in the railroads of the State. Of this $26, 6,OOO,OOO is in stock and $5 ,OO0 GOO in bonds. The bill, should it become law, will give relief to the roads con- structed by this capital and do much to ena' ble it to become remuneratlve. The strong roads are fully able to pay their taxes. It is the weaker which need help from the State. The attorney read the following list showing the roads in the State which will be benefit ted by the bill: New York and New Eng land, $31 ,792, New Haven and Northampton, S9, 877; Housatonic, $6, ,196; New York, New Northern, $4,057; Danbury and Norwalk, $3, 1855; New Haven and Derby, $2,625; Air Line, $2, 500; Norwich and Wor- cester, S1. 1.524; New York, Providence and Boston, $1, ,229 Hartford and Connecticut Valley, 1,215 Shore Line, $1,000; Con- necticut Central, $812; Hartford and Con necticut Western, $792; Shepaug, $4O0 l; New Haven and West Haven horse railroad, $36O; Colchester, $125; South Manchester, $119, and five others. The total reduction under the bill would be $72, ,466. 50.
 As shown by this statement MT. Baldwin claimed that the benefits under the bill would accrue to the needy roads.
 Mr. Harrison said that the Consolidated road is not at all affected by the passage or rejection of the bill. Their reduction is only about GA, ,OOO. But as the road is about to issue several millions of dollars worth of bonds million of which will be issued about October 1 next, they will still pay an in creased tax of $5, 900, which will balance the deduction. The Derby road will receive 8 reduction of about $2, 800 upon it's bonds and that amount will be saved to the city of New Haven, which guarantees the bonds of the road and pays the interest upon them.
 At this point the Governor interrupted Mir. Harrison and said that be had found the grand list of the State last year to be $33s,- GOO, 900, on which total tax of $5, ,00O, GOO was paid The per cent. of this tax is 13 Is mills. The aggregate value of the railroad property taxed is $50, ,o00, 900 and on this 8 tax of only one per cent. is laid, making 8 difference in favor of the railroads as against the people. The Governor also thought that the bill discriminated between railroads and made the proportionate tax of certain roads less than others.
 Mir. Harrison replied by stating that pri- vate property all oversthe State is returned to the owners far below it's real value, while the railroads are taxed to the fullest extent.
 Mr., Hyde opposed the bill as unjust to the citizens and to the railroads themselves. He urged that should it become 8 law the State would be deprived of large revenue, which it cannot afford.
 The Governor has not as yet arrived at a decision upon the bill.