The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1891-02-27
IMPORTANT DECISION.
Railroad Lands Subject TO State and
County Taxation.

SACRAMENTO, Feb. &c. - Attorney General
Hart rendered an opinion tonight that will Gre
ate wild uproar in railroad circles. AS stated
by The CALL several weeks ago, the Attorney
General was asked by the District Attorney of
SiSklyOu 10 decide whether railroad lands and
lands sold by the railroad are assessable, The
railroads and the purchasers holding that these
lands could not be assessed, because no patents
were Issued for them by the Government.
The Attorney Generals decision is against the
railroad aud the purchasers ana unless over
thrown viii compel the company TO pay tax on
100000 acres OF land. much of which is
worth 80 per acre, ami 10 compel all persons
who have bought lands from the railroad to pay
for them.
Tie taxes to be thus gathered by the State
and counties Will amount to more than $500, 600
per anuum IN the aggregate. SiskiyOu's motive
Tor ask ing decision Ia The matter was a selfish
one According 10 The Attorney 81 neraI the
railroad viii be compelled TO pay twO-thirds OF
Siskiyou'S taxes.
Following is synopsis OF the opinion, which
covers sixty pages:
First That all property 10 the State not ex-
empt under The laws of The United States shall
be taxed IN proI%Stion TO its value, TO be ascer-
tanned as provided by law
Secondhand tile State Of California has no
power 10 tax lie property OF the United States
within It's limits.
Thlrd-Whrre the right to patent has once
become vested in a purchaser of public lands 1t
Is equivalent, so far as the Government IS cou-
cerned, To a patent actually issued. The eXecu-
ton and delivery OF the patent after the right to
II has become completed are the mere ministerial
acts of the officers charged with that duty.
Fourth-TEe grant made to the Central Pacific
Railroad Company by the act Of July l, 1862,
United STATES Statutes, Volume IL, page 4S9,
aud amendments thereto, and the grant made TO
ne California ana Oregon Railroad, by the
Volume l46, page 239 TO aid IN the con
struciion OF the roads. and when The routes OF
the respective roads became definitely fixed the
sections granted by the respective acts there
upon became susceptible of Identification and
the title attached TO IGen look effect the date
If off In,
terYeDlng claims. Thereby the lands became
the property of the railroad companies and there
was nothing 10 hlnder their use and enjoyment
ana II was lmmateTlal whether the respective
companies then had the legal and Indefeasible
tile TO the lands or merely the equii able title to
them, 10 be subsequently perfected by patents
from the Gov rnment and from that time The
same were subject TO taxation.
finh-A legislative grant OF public lands is the
highest munlment OF title, aud is not strength
ened ny subsequent patent on the same land.
SNth-IHat SO lar as said acts of Congress
late TO indemnify lands TO be given to the railroad
companies, no title to sucn lands became vested
In the cOmnanies until the selections were made
aud approved, as provided by the statutes, and
upon The making OF such selections the lands
thereupOn became the property of the railroad
companies and subject to taxation, whether or
not the United States patents had been issued
Sfveutil-Ihat where Congress has prescribr d
the conditions upon which portions OF the public
domain may be altenated and all such condition
nave been complied with and the tract TO be
allenated Is distinctly defined, and nothing re-
mains but 10 Issue The pareut, then the donee or
is 10 DC treated as the beneficial owner
OF the land, holding 1t as his own property SUBJ
ject 10 State and local taxation.
Elghth-Wheneyer the title to Government
land becomes vested in person or CORPORATION
the United States only holds the legal title IN
trust for that person or corporation, and such
property ceases 10 Be the properly OF the United
States and Is subject 10 Stale and ocal taxation
that an equitable lille determines the ownership
Without respect TO the legal title within the
meaning OF the Constitution of the State of Cali
iofnla; mat lands shall be assessed 10 tue owner
Nihtu-W heneVer a purchaser OF Government
lanu mas pald Tor tue same and a Certificate of
purchase has been issued thereon the land Is
subject 10 State and local taxation before the is
suance Of patent.