The record-union., 1893-02-15

/
cases are affirmed"
! THE STATE HAS NO CLAIM.
AS matter of law, the committee is of
the opinion, from the adjudications in
these cases, that as to the taxes of 1880,
! 1881 and 1882, judgments having been en-
1 tered for the lace of the taxes, and paid,
and the Supreme Court OF the United
States having decided that the assess
ments were void, the State has no claim
for taxes, penalties, interest or attorneys
fees, either in law or equity, for said
years, or any standing upon which to re-
assess said properties for said years.
The committees further of the opinion,
as matter of law, that as to the taxes for
1888 and 1854. suits having been brought,
the causes removed to the Circuit Court,
and tenders having been made ola part
| OF the amount claimed, by the defendants,
those tenders paid into the said court
upon its order, and having been accepted
by the State, the Judgments in said causes
having been rendered in favor of defend
ants and against the State, and upon APP
poal to the Supreme Court OF the United
States those judgments having been
affirmed, the State has now no claim,
either in law or equity, for the taxes,
penalties, interest or attorneys fees
against the defendants, for the years 1888
and 1884, or any standing upon which to
reassess said properties for said years.
Suits We're brought in the Superior
Courts OF the State by the people of the
State on the relation of the State Control
Ter against the Central and Southern Pa
cific companies to recover the taxes of
1855. The cases were transferred to the
United States Circuit Court for the Ninth
District, and judgments were rendered
therein against the State in all the cases.
The judgments in those cases are final, or
! have been taken to the Supreme Court by
writ of error, and affirmed To pass a
law attempting to reassess the properties
and collect the taxes thereon for any
period of time prior to the year 1885
would place the State of California in the
attitude OF being in conflict with the judg-
| ments. orders and decisions OF the courts
of the United States, and would result in
nothing except extended litigation eX-
ceedingly expensive to the State without
; adding anything to the revenues of the
State.
The committee finds that for the years
1885, 1886 and 1887 the Central and South
t ern Pacific Companies paid nothing on
account of State and county taxes as
, sessed by the State Board of Equalization
5 against them, except 200, the taxes for
the three years upon three small railroads
f of their system, which, as to such roads,
f was payment in full. Also, that a suit
was brought by the proper authorities in
3 the Superior Court Of the City and County
3 of San Francisco, for the taxes claimed to
f be due from such companies for the year
. 1886. The case was appealed to the SUI
preme Court, and that court held that the
f scheme for the assessment, levy and col
t lection of taxes on roads situated in mora
than one county, prescribed by Sections
1866 to 1910, inclusive. of the Political
9 Code, was unconstitutional as being
9 special legislation, not authorized by Sec
$ ton %, of Article w.. of the Constitution.
= The court, speaking by Justice Fox,
said: "This legislation also provides a
: mode of collection differing from that
found in the general law on the subject;
Z; not necessary for the purpose of carrying
into effect any of the provisions of Arti-
l Gle XIII. ofthe Constitution, and special
/ because not applicable to all property, OF
= even to railroad property generally, but
: only to such railroad property as is stu
@ ated or operated in TWO or more counties
S For this reason it is in direct conflict
t with, and is specially forbidden by, Sub
n division 10, of Section %, of Article W., Of
+ the Constitution. 1t is therefore void
: and furnishes no cause of action upon
: which suit can be maintained under it. u
o BEEN NO CHANGES.
g The same laws were in force in the
: years 1885, 1856 and 1887 and still remain
s and in the principal respect declared by
It said court to be invalid, have not been
: altered by subsequent legislation.
o There is, therefore, now no means pro
70 vided by law for the enforcement of the
claim of the State for taxes claimed upor
y said properties for the year 1885 or any
n subsequent year.
IS From the evidence before the commit
= tee, it appears that, upon the advice O
is the then AttorneyG General and othel
e counsel employed by the State, the assess
ment of said properties for said thre,
years, as to each of said properties, wal
n an assessment in gross fixing the yalu,
e in a single item for the franchise, road
n each of said roads. Included in said as
= sessment of the Central Pacific RrailroaC
d and Southern Pacific Railroad was al
re estimated value of the Federal franchise
Is an element of value, which, as has beer
81 before shown, is not subject to taxation
it That, therefore, the entire assessment O
l. said railroads for the said three year
* 1885, 1856 and 1887 is, i'll the judgment O
30 your committee, invalid and void, ant
lie that no tax upon said property for salt
rs wears can be collected by law until sail
or properties shall have been reassessed AM
taxes levied in accordance with the Con
S. stitution of the State and of the Unite,
s. States.
l. Subsequent to the year 1887 the assess
ID ment of said properties did not includ
I'd an assessment of the Federal franchise
" and that since that year all of said prop
< critics have paid all the taxes claimed t
lg be due from them for said years. Tha
I'd all the local taxes upon the depots, sta
ut ton grounds, shops, buildings, grave
le beds, etc, of said corporations, amount
er ing to from $780, goo to Sl50. 900 per annum
IN have been fully and promptly paid a
le they became due since the year 1875
b. There are now pending in some of tn
ar Superior Courts of this State suits 70
er such taxes, in some instances there bein
u two suits in different localities GOVERN
Us the very same taxes. That to continu
n said suits for such taxes for said years
ty and also to reassess said properties fc
q Sop,a wang v-Ou1d ha 70 ipxol,,