Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1885-08-25
WHOLE NO. lO,76

thy for payment into the treasury is not
| the amount due-but is 1925. .291 36 less
than the amount due-for me to give the
Iallroads discharge would, in my iudg-
hleht De palpable violation of the law. /
dnl StrelfStnened IN this view of my duty
of she auFlee OF the attorneys then em-
Ployeu Dy me 10 prosecute the case. In
November 1883, f. B. RYAN, the tax agent
Tor the railroads, requested me to issue a
ceruhcate TO the State Treasurer to receive
me SUM OF S226l7 OF, as payment on ac-
| COUNT ior taxes due from the Southern
Pacific Railroad Company to San Diecc
| county-me amount due being $50. .I5S 9S.
me attorneys then employed by me ad-
l!seu me tnat, under Subdivision II of Sec
tioh 4oo of the Political Code, ii was my
outy 10 certify only the entire amount due
from the railroad company to the State and
| me several counties through which that
road runs.
know of no law authorizing payment of
taxes " on account" YOU have never re-
terTed me to such law; and if any such law
Is to be found on any statute of this State.
you Will do mc favor by poirsting me to
H. Anu II such Law exists for the Cen
Tal and Southern Pacific railroads, why
not tor the small roads? Why not for the
Spring Valley Water Company? Wbv not
for gas companies? Why not for capital
lists, banks, and large land holders? And
II for any or all these, why not for the less
fortunate?
The mere statement of the onestion
establishes its absurdty. To adopt it, is TO
Destroy our entire revenue system Let
any one ana every one pay just such
amount as may suit his own convenience,
| or not pay at all, and " hat would become
of the fund sacred to the education of tbe
| people," Where would the money come
! from to pay the interest on State bonds
| What would be the condition Of the zen
| eral fund, which even now exotes your
| lively solicitude? And what would be the
effect upon our charitable institutions and
prisons ?"
And why shall 60 per cent. of their taxes
4 be paid by. these corporations? If they
are minded now to pay but go per cent.
why may they not next year be minded to
| pay only JO or 10? or even 20? or 10?
or :?
| l have before me certificates of redenlD-
ton OF real estate sold to the State for non
payment of taxes. They are but SAMPLES
of the many daily received at this office
These few are as follows Land in Alane-
da county-Original tax, 81 cents: cost of
| redemption, 50 70. Los Angeles county
Original tax, IS So; cost of redemption.
$40 o. Same county-Tax, S11 I6; re-
| dempuon, S24 Shasta county - Tav
| Sl4 90; redemption, $l07 81 San Bernar-
dlno county-Tax, $32: redemption.
| P22o 81. Through forgetfulness or misfor-
| tune, these taxpayers became delinouent
| their land was sold, and. when wishing 10
| redeem, were met by this enormous in
| crease III costs, penalty and interest. Would
| you, as Attorney-General,a accept from them
| 90 per cent. on account of the original tax
and have the State sue for the balance? or,
| would you, rs the law commands. insist
on the payment of the full amount due
| before their lands could be redeemed?
But there is more involved in this cues
ton than the single matter of dollars and
cents. 1t involves the power and soy
erejgnty of the State to collect its revenues
| from these railroad corporations as fully
! and promptly as II does from all other tax
! payers.
In newspaper report of an interview
"lth you, You are represented as saving:
As l said in my last report. can but
congratulate the administration upon its
success IN borrowing at high interest from
parties debtor to the State money to sup
| pert the State Prisons, in exhausting the
fund sacred to the education of the people
and IN tioodIng the country with warrants
upon the treasury, discounted at ruinous
| rates by employees of the State, while more
than enough coin to meet the obligations
OF the State lies with me- without interest
anu ''I4ltSl NllAOll ScCUIliN.
The amoUnt you ask me TO certify for
payment into the State treasury is S474.-
O62 80. OF this sum the amount that
would 20 into the general fund, to meet
these outstanding obligations, would in
round numbers amount to but about Si3O.-
/ UOO. The remainder, except what Irnuld
! go TO the various counties, wotEd 20 into
| the school and interest and sinking funds
both OF which have money to their credit
al She time. On The contrary, the general
tund Is now oyerdraWn $4,000. and. de-
ducting the S13O,000 that Your payments
on account would put into the fund
would leave it yet oyerdrawn $eS2. 600.
In the quotation from you, above, YOU
| charge that the administration is exhaust
| ing the fund sacred to the education of the
people "a charge of the gravest possible
import, If true, and which if true. would
| involve the honor of every member Of the
State Board OF EXamiEers-of which you
are one. But it is not true in any one
single element Not single cent of this
money has ever been misappropriated or
| lost. When this administration came into
pow er, ti4cre wee large a,nop.ss 1,f,5fieV
lying idle in this State school land) fund
1t Is constantly increasing and will continue
to increase. If it be not invested the
school fund suffers to the extent OF The
interest not earned; and it is your duty SIS
a member of the State Board of EXAMINE
eTs, to see to II that this money is Invested
III interest bearing bonds for the benefit of
the school fund. Three hundred and
seventy-1iyc thousand dollars from this
fund has been invested by this administra-
llon, ana there IS over half a million more
in the State Treasury subject to investment.
So, instead Of being in a state of ''exbaus-
ton, there has never been time since
TINS administration came into power, when
there has not been over S350,Oe0 10 the
credit of this fund
You also make the charge that. because
the money you claim to have received from
the railroads was not certified into the
treasury, 1t became necessary TO borrow
money to run the State prisons. This is an
amazing statement when it must be sun
posed that the Attorney General of tbe
State knew tDat the Controller draws his
warrants against appropriations, and that
he continues so TO draw until the appro-
pnauon becomes exhausted; and that. so
soon as 1t becomes exhausted, he can draw
no warrant against it. even though there
were million dollars lying idle in the
general fund. Last year the appropriations
Tor prisons became exhausted; no war
rants could issue for their support the
prison doors could not be thrown
open and the prisoners turned loose;
and the Board of Examiners, doing
tnelt uutE under the law, borrowed
the money t. run them until the Lepisla-
ture could meet aGd make further appro-
ppriations. And if every dollar YOU claim
to have received from the railroads had
been piled up in the treasury. not one cent
of II could have been used for lifiesupport
of the prisons. Besides, if there was any
thing wrong in borrowing the money, how
IS it that your name, as a member of the
State Board Of Examiners, is signed to the
papers authorizing the loan
In the same interview you state, and
would have people believe. that / have
avoided making the issue in the Courts ofa
the State as TO whether or not ! should re-
ceive these payments of taxes 'scn account"
As | understand It you abandoned the
Contra Costa county case. having that very
issue for its purpose, because you did not
desire to submit to the Court the question
as to whether or not your action in these
cases amounted 10 a :. compromise" Asto
myself, / am now, as I have ever 5eep, ned
honly ready, but anxious, TO have the Courts
decide whether or not 1 shall certify to the
State Treasury these payments you claim
to have received on account.
Respectfully yours,
JoHN 2. DUNN, Controller.