The Portland daily press., 1893-01-06


| In granting charters conveying special
| privileges, and in some instances authorizing
| the taking of private property for public uses
| the greatest care should be exercised by the
| legislature in protecting public interests, and
| ample provision should be made to fully COM
| pensate all who suffer damage by reason of
| the powers granted. Special franchises should
| not be granted unless the legislature is fully
| satisfied that those upon whom these special
| privileges are conferred actually intend to en-
| ter upon and prosecute the business included
their charter. These great privile ges are
| not granted by the legislature to be held in
allegiance. or to prevent others from prosecute
| ing the business intended nor are they granted
| to be bartered away. The law contemplates
| that the public interests shall be subsefved,
| that the people shall be more than compen-
| sateo by the resulting benefits.
| l recommend that existing laws be so modl-
| fed that all acts of Incorporation hereafter
| granted, carrying special privileges and
franchises, shall become void in two years
| from the time when the same take effect, I'M
| less such corporations shall have organized
| and actually commenced the business con-
| templated under their charters. These char
tered rights involve the interests of the people
| and frequently relate to public improvements
| within the limits of our cities and towns. 1t
| no progress is made by those enjoying these
| privileges within the time suggested, the pub
| lie welfare requires that they shall no longer
be permitted to enjoy this special favor OF the
| state and obstruct the public improvements
that other ente.prising citizens might be will
| ing to undertake.
The right of taxation is a sovereign power,
| and it is for the government to judge in what
manner and upon what subjects the authority
| shall be exercised. The fundamental idea of
| taxation is that all property, movable and i'm
| movable, visible ant invisible, shall bear its
| fair and equal proportion of the public bur-
| dens. It contemplates uniformity of rate,
and that tho valuation of the different classes
| of property shall be uniform Taxes are the
enforced proportional contribution of persons
and property, levied by the authority of the
state for the support of government and for
| all public needs" a
Our constitution provides that "all taxes
upon real and personal estate, assessed by
| authority of this state, shall be apport1oned
| and assessed equally, according to the just
| value thereof" The exercise of this import
| ant power is subject to your discretion and
| CONTROL and it is for you to determine upon
| what subject matter taxation shall be inn
| posed, having reference, however, to proper
| exercise of the authority granted under the
constitution.
| It is important that this power shall be
| wisely exercised, relieving any inequalities
| that rest upon the people. You cannot expect
| to attain absolute equality; you cannot hope
| in dealing with question of this magnitude,
affecting the varied interests of the people, to
| command in your action unanimous approval.
| Your purpose should be to pursue a policy that
| shall result in placing this public charge so
that it will bear, as nearly as possible, equally
upon ALL"
The greatest elements in the progress of our
state lie in the prosperity of its agricultural
| and industrial interests. Property of this
| character is so situated that it cannot escape
the exactions of the tax gatherer. Though it
may not be over valued. the tax is dispropor-
| tionate and unequal it other property is not
| contributing its just proportion of the public
revenue. There is no subject to which you
| will more willingly give careful attention
| than to these great interests that have con-
tributedso much to the progress, growth and
| dignity of our state and in unfolding its insti-
| buttons.
| Themanifest dissatisfaction expressed during
| the past few years that the railroad interests
OF the state, the wild lands, the telegraph tele-
! phone and some other corporate bodies, to-
| gether with large amounts of personal prop
erty, were not bearing their equal proportion
of the public assessments, is not without
| foundation. An advance was made in the
| creation of a state board of assessors, but SO
| far as many of the corporate interests are IN
volved, that board is without power.
The rate of taxation on railroad corporations
| and on all corporations, companies or persons
! doing a telegraph or telephone business within
| the state, is fixed by existing law. Under the
| present statute, the state tax against the rail-
| roads is in the form of an excise for the privi-
lege of exercising their franchises within the,
state. There is no direct levy upon the actual
| revenue, but the gross transportation receipts
| of each company constitute the means of as
pertaining the value of the privileges exer-
cised and form the basis of the state tax.
The buildings of every railroad company,
| whether within or without the located right
| OF way, and its lands and fixtures outside of
| its located right of way, are subject to taxa
| ton in the cities and towns where the same
| are situated. The taxes levied under the fore
going provisions preclude all further taxation
upon the railroad, its property and the capital
/ stock.
We are not insensible to the great advan-
tages resulting to our people from the excel
| lent railroad facilities extending from our
western borders through the various sections
| of our state, furnishing easy and rapid means
of communication and aiding in the develop
| ment of Names agricultural and industrial
| pursuits. And we may well congratulate our
selves that the active management of the
principal portion of our railroad system is at
present in the hands of Maine men who be-
| lieve in the progress and development of our
| state. These roads are under the protection
4 of our laws and share the benefits of good and
j stable government.
/ After most careful consideration, I am
satisfied that portion of the railroad corpor-
| ations of the state are not bearing their just
and equal proportion of the public expenses;
and recommend to the legislative branch of
the government substantial increase of the
revenues to be derived from such corporations
exercising their franchises within the terri
| torial limits of the state.
The method to be employed for reaching this
| desired result is for your determination. 1t
| may not, however, be improper for me to sug
gest that the existing statute applicable to the
taxation of railroad corporations, after more
than eight years of litigation, has been de-
clared by a majority of the supreme court of
the United States to be valid and not in vio-
ation of the constitution of this state or of
the United States, and the manner of raising
revenue under the present statute is within
the taxing power of the state. The existing
method will not excessively burden new
roads. nor cripple those of limited earning
capacity, but it can be SO adjusted as to
impose increased taxation upon those that can
well afford to bear it. You should also care
fully consider the laws relating to the taxation
of the telegraph telephone and other inter-
ests and ascertain if they are bearing their
equitable proportion of the public charges.
Questions of SO grave Importance to the people
should have the early attention of the legisla-
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