The Sunday morning news. [volume] (Jersey City [N.J.]) 1886-1891, 1886-12-26
WHERE THE DECISION HITS.
HOW IT MAY ROB JERSEY CITY OF
HER JUST DUES.

Victory For The State. yet a BIew as
the northumberland At
Jersey City-The Worry Tndesfnate
Clause Enunciated by Chief Jursse~
BeasIey.
The recent decision by the Supreme
Court on the system of valuation adopted
by the State Board of Assessors under the
railroad tax act of 1884, which, by the way.
it viii be remembered was declared
unconstitutional by the Supreme Court,
and the decision afterward reversed by
the Court of Errors has created no little
uneasiness among State official circles as
well as in railroad circles. 1t is true that
the decision was a great victory for the
State in that it declared the system of valu-
alton in general to be sound But there
are two clauses in it which, if construed
literally and upheld by the Court of Errors.
will rob Jersey City of at least one-half
of the amount to which she is entitled under
the amount levied against the railroads by
the State Board. The decision SAYS in
effect that that clause of the Act of '84
which declares that in any municipality
where any corporation shall have more
than one line of railroad, even though such
roadway have ter ninal, only one line
shall be classified as "maln STEM and all
ether lines belonging to the same corpora
ton shall be classified as railroad proper
ty ether than main stem, }" is I'm onstitu-
tional, and that the Board has been arbitrary
in its classification of such property. 1t can
be readily understood that, even though
this clause in the decision should be con-
strued IN its brca lest sense, the State
would not be a loser by a single dollar;
and it can also be readily observed that, il
railroad company can have any number
of main stems in a municipality, Jersey
City viii lose heavily, for no municipality
is entitled to revenue from the main stem
of any railroad. The main stem tax goes
to the State.
In conversation with a gentleman thor
oughly versed in the whole question, the
SUNDAY MORNING News representative was
told yesterday that this clause in the de-
cision, construed in its broadcast sense,
would roo Jersey City OF at least one-half
of the tax she has SO long been looking for
ward to receiving. IS it would make every
strip of railroad running down to every
pier in the city main stem.
"And, he continued, ''putting the mar
rowest construction on it, we will lose
SS, 106, our share of the tax imposed on the
National Docks Railway, and $500, our
share of the tax on the Northern Railr BAD
of New Jersey, which is operated by the
Erie. And I don't see why it won't wipe
out Jersey City's proportion of the tax on
the Harsimus Branch, which amounts TO
some SO, COO or So. 000."
1t is fact, however, that Governor Alb
bett has ordered the Attorney General to
appeal from this clause of the decision, as
well as the clause which declares that New
Jersey is not entitled to revenue from the
rolling stock of foreign corporations for
the time they are within her borders.
While the decision Is distasteful to the
State in these two respects, it is other
wise a great victory for her and
the railroad corporations great and
small alike-are correspondingly standing
on their heads. Attorney General Stock
ton has asked that judgment be entered on
| the decision, and, the moment judgm snt ID
| entered, the State will be enriched there
| by to the extent of no less than million of
| doll ars, as the railroad companies have
| paid only SO much of the tax levied as they
| were compelled to by the order of the court,
pending the decision which has fust been
rendered.
81 don't know whether we will carry the
case up or not" said Robert W. DeForest,
the Philadelphia and Reading attorney
land this is the road most affected by the
decisionl, the other day. LAS it stands
now, the State has won a signal victory,
and 1 don't know bst what the decision
will drive us into irretrievAble bankruptcy. y
1t is more than probable that the Phila-
delphia and Reading Ca@pany viii appes'
to the United States Supreme Court, On
before that can be done thu decisir q ran
dered the other day by the New JERSEY Sn
preme Court will necessarily nave to i.
carried to the Court of Errors, the hiyhsSt
authority in the State