St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1892-09-10

land in the state. but until he associate.
others with him and becomes IL corpora
ton ne is. taxed as other people. In my
remarks shall deal only with the Min.
Desota Iron company, for the reason
that it is the only company working TN.
der this law. the only one paying taxes
according to its provisions, or deriving
any advantage from it.
This company. as shown by the st.
Louis County Abstract company, of
Duluth, owns 1856 acres of rich min
eral land, 1000 acres of which are ex-
empt from taxation under this law,
worth at least So per acre, lying as
most of it does, unimprOyed and unde-
veloped, which would make the land
not exempt under this law worth S107.-
IT'S. According to a statement of the
company they have machinery and other
personal property worth S500,O09 The
1000 acres of land exempt under this
law, upon which
Their Valuable Mines
are located, is pronounced by compe-
tent Judges to be worth $1,000 600. Bv
the statement of their agent, before the
tax committee of the senate, they made
net profit upon 532.2 $50 tons of ore
mined last year of S1.5O per ton. This
would equal i'll round numbers S79S, $40,
or a grand total of S2,4O6. l45
of property we know they possess. But
the Minnesota Iron company has paid
up capital of $14.000,0G0. This capital
lZatiOn has since been increased to S2l,-
100000. We know by evidence before
the committee that this stock was sold
for S10.000.000 in cash. and upon this
valuation they should be taxed. Prop
erty in this state is assessed at little
more than one-third Its actual value, so
we will for the present purpose assess
them on valuation of $500, 900 and at
a rate of twenty mills, the average rate
in st. Louis county. BY this calcula-
ton we find that they should pay tax
OF $4,000 per year. They actually pay
SS.SsS. a clear loss to the state, county
and town of Sol, 900 each year.
But this is not all. We fnd.that the
stock Of the Duluth & Iron Range rail-
road is owned by the same parties as
the stock of the Minnesota Iron COM
pany. We further find that the state
made this railroad company a grant of
100000 acres of its richest mineral lands
with which to build its road, and if we
value it at the very low valuation of
other land in that locality, IS per acre,
we find the valuation of the land to be
100000; and. as that is but third of
its true value, as before stated, the
actual value of the grant would be
S9.O00.000. But we do not wish TO be
hard on this poor corporation, and we
will leave it at $1,000, 600. In other
words, the
State Has Exempted
the property of this Minnesota Iron
company from taxation to the extent of
100000 per year, and in addition
Ia, - al.
which to build railroad over which to
market their product. Truly is Mime
sofa generous state, especially to cor
pOratiOnS, and If the Minnesota Iron
company were equally generous it
would pay tax upon the land grant
before spoken of, which would bring
100000 more into the state, county and
town treasures. or $4,000 in all, each
and every year. Deduct; from this the
$4,000 paid by the Duluth IL Iron Range
railroad upon its gross earnings and we
find the state is annually wrOnged out
Of $4,000 by means of an unconStitu-
tional law. What sight it is then to
see the attorneys upon this floor, under
their oathS as senators to support the
constitution of the state. pouring out
their floods of eloquence in the defense
of law known by them to be uncOnSti-
tutional, and not worth the paper upon
which it is printed if once it could be
brought before the courts of our state"
And in addition to the above | found
the Minnesota Iron company" were
paying an annual dividend of per
cent upon a capitalization of SCI, 00O.-
600. Nearly all the stock is held by nom
residents who, ITO encourage an infant
industry" we allow to come into our
state, gobble up $3.50 acres of our rich
mineral lands, and carry away S1,O00.000
per year as profits for the beggarly tax
of SS,SSS. Pardon me. Mr.. Editor. tor
taking so much of your time and space,
but feel this is important to the people
of the state, and hope to see ADLER pens
than mine take up the good work. and,
aided by true reformers upon the stump
and loyal papers throughout the state,
carry to the voters of Minnesota a
knowledge of the iniquity concealed in
the proposed amendment to our consti-
tuition. Yours truly,
S. w. LEAVITT.
Iitchfield Mimi