The Greenville times. [volume] (Greenville, Miss.) 1868-1917, 1884-09-13
The Protection Theory Localized.
[BaItimore Manufseturers, Reeord.I

baltimore Manufacturers Record
AS the question Of exemption of
manufactures from taxation has
attracted considerable interest in
the South, the following state
ments made by Mr.. II. P. Ham
NETT, of Greenville, S. O., presi-
dent of the Piedmont Cotton Man.
ufacturing Co., who is everywhere
recognized as one of the ablest
cotton manufacturers in the South
may prove of value. Mr.. Ham
nett in a letter to the Greenville
Enterprise, says:
l have been requested to state
some facts in reference to the in
fiuence, or effect, which the Act
of the Legislature entitled, "An
Act to aid and encourage manu-
factures" had in raising the capi-
tai stock of the Piedmont Manu-
featuring Company and building
their Mill and property.
AS l did all the canvassing for
the stock, and received every SUBJ
scription that was made to it, l
know all the influences which in
duced capitalists to invest in it,
and am quite positive in my opin-
ion that none were stronger or
more influential than the law
which partially exempted their
property from taxation for ten
years. l think the question was
asked me by every subscriber for
the stock at the North, whether
we had any; if so, what exemp-
ton laws in this State for such in.
vestments And my statement
of the provisions of the existing
law generally decided the ques
ton in his mind. My opinion to-
day is very decided, that but for
the exemption law, the Piedmont
Mill would not have been built.
And while | do not know enough
of their early history to speak as
positively, / believe the same
would apply with equal force to
Clifton, Pelzer and Pacolett.
1t is q fact we'll known to every
one at all familiar with the con-
struction and starting of cotton
mills, that no dividend or return
upon the capital invested, is, or
can be made, or is expected 10 be
made, under from three to five
years from the time the capital is
paid in it. 1t requires this time,
under the most favorable circum.
stances, to build, organize, and
get fully under way and prepared
to make money by its operations,
and this exemption law is intend
ed, and has the effect of partially
compensating for the loss Of any
income upon the money invested,
for the time that nothing is real
lied from it.
The taxes upon tho lands now
owned by the Piedmont Manufac-
turing Company, and upon which
their Mill and village are located,
would probably be from $50 to
$75, If there were no improve
ments upon 1t. The Company
paid tax of 1923 last year, while
the merchants aud other taxpay.
ers on the premises, brought there
by the Company, paid perhaps
300 more. TO this add the poll
tax say 5000, and you have a tax
of $1,000 or HOO paid as II is with
the exemption law in force. And
as their exemption will now soon
expire, their taxes will not be less
than $4,000 year. SO that as a
financial operation for the taxpay-
ers of Greenville county, it is the
best one they ever made.
The Company pays for services
for various kinds to their employ
ees about $4,000 a year, in mon
ey, all which is expended in this
county, the effect of which is that
real estate has advanced fully 100
per cent. in value all around, for
a distance of five miles, and its in
luence is felt a much greater dis.
tance.
As the time for which the prop.
erty of the Piedmont Manufactur.
ing Company is partially exempt.
ed under the law. will now very
soon expire, they have little inter.
est in its continuance. Besides as
they were organized and built
their property under its provis-
ions, they have a vested right and
cannot be affected by its repeal ;
therefore | am in a position upon
the subject, the same as any other
taxpayer who has investigated it,
and l am clearly of the opinion
that it is of the greatest import.
ance to the people of this county
and State that all fair and honora.
BILE means should be employed to
invite capital into this State for