St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1893-03-15

save the senator from Otter Tail had
conceded this. Senator Tawney then
referred to the fact that the enemies or
the dill had continually argued that the
gross earnings system is placed in jeop-
ardy by the bill. Why is this? asked
the senator. The lawyer of one of the
principal railway companies of the
state had prepared brief OF
ninety pages to prove that the
bill will inValidate the present
system and that his company Will be
relieved from gross earnings tax, and
Mr.. Tawney accepted this fact as an
eloquent argument for the bill. lie ac-
cepted it, moreover, rs proof that even
should the gross earnings be repealed,
the railway companies are not being
benefited. He objected 10 the repeal of
the law, however, upon the ground that
he believed it the best, most effective
and the simplest method OF taxing rail-
way companies. The bill had been so
amended as TO protect under all cirenm-
S.ances the gross earnings tax, ana the
bill says the companies having lahd
grant lands shall pay taxes upon their
buildings the same as other people pay
taxes. and also pay taxes upon their
gross earnings i'm lieu OF taxes upon
other property than their land grants.
Nil Tawney emphasized the fact that
the lands had been given twenty-five
years ago, and all this time had earned
nothing to the state. The senator adj
mitted that the bill cannot affect lands
granted prior TO 1858, and Senator Me
Hale limited that the affect would be TO
exempt all the lands of the Great North
ern. Senator Tawney denied this. At
All events he was not willing 10 con-
cede II.
The Great NoFihern's Grant
passed from the ST. Paul 81 Pacific
through forfeiture, and Senator Taw-
ney doubted if the exemption passed
with the forfeiture The LANDS granted
prior to 1858 were granted on contracts,
and the courts have so construed again
and again. The Parcher case does not
reach the lands granted since 1858. But
TIE Great Northern holds lands not OBJ
tanned through the St. Paul 4 Pacific
grant.
Senator Tawney was repeatedly in
terrupted by questions from enemies or
the bill, and he was found ready with
pertinent replies. He agreed that he
would vote for any amendment to the
bill that Will make the gross earnings
system more secure.
Senator Tawney replied to Senator
Humpe'S attack when The bill was con-
sidered before. The senator from Otter
Tail had impugned the motive Of Mr..
TaWney. and Mr.. TaWney pronounced
the language used by Senator Hompe
supplementary, personal and abusive.
In reply the senator called attention 10
the attitude of Mr.. HOmpe two years
ago, when his company favored like
bill. How his company has shifted and
L., M. ~
ceeded in drastic language and Scathlng
sarcasm,
In conclusion he made an earnest ap-
peal to aid the farmers of the counties
that suffer from the law. To pass the
bill means 10 place millions OF acres OF
land upon the market, and AID IN the
development of the stats.
Senator Crandall argued that the bill
might be SO construed as 10 impose
double taxation. lnasmuch as the
gross earnings tax is In lieu Of all other
taxes, he held that the lands are being
taxed, but Senator Tawney replied that
the hypothesis was an error. The lands
do lot and cannot contribute to the
gross earnings.
The Contract Phase.
Senator Hammer asked that if the
courts shall cOnStrue the law to break
the contract that now exists between
the state and the railroad companies,
would the state lose the gross earnings
Senator Donnelly replied that the rail-
way companies are anxious to retain the
gross earnings system for the reason
that if the gross earnings system were
done away with the railway companies
will be forced 10 pay taxes upon the
same basis as other people, and the re-
suit would be that instead OF paying to
the state about S1.000,000 year as now,
they would have to pay S6,o00,000.
Senator LeaYitt followed III his well
known furcible style. He scored Sem
atOr Tawney without mercy, asserting
that the latter had eloQuently argued
upon both sides of the question. The
Minneapolis Tribune WAS not over
looked because of the cutting comments
of the paper upon Mr.. Leayitt's atti-
tude upon the bill.
A telegram, purpOTting to have been
seut to the Tribune from Litchtield,
stated that LeaVittS motives were well
understood in Litch6eld and that it ends
his political career. The correspondent
of the paper at Litchfield promptly no
titled Mr.. Leavitt that he had never
written the structures. but that his tele-
grams had been padded and tbs Ian
guage and facts reversed. Senator
LeaYitt read letter or apology from the
managing editor of the TrISune to the
Litebfieid cOrreSpOndent,andc onfeSsing
that the Introduction had been written
by the telegraph editor in the office Of
the Tribune.
Senator Eaton envied Senator Taw-
ney's position upon the bill because il is
The Popular Position
in the state, and because it will effect
the future political career. He then re-
ferred to the inSinuations that improper
means were being employed to kill the
bill. and said the bulldoZing and brow
beating would have no influence upon
his vote. Public sentiment favors the
bill. He did not oppose the bill. how
ever, because he feared TO submit to the
will of the people, for he felt confident
that when the people study the subject
they will condemn the bill.
Proceeding with the theme Senator
Eaton asserted that the railway COM
panies are selling their lands as fast as
possible.
That is not true" interrupted Sen
ator GeiSSel. The railway companies
refuse to sell their lands. In my county
lands that are worth 81 an acre are held
at $40 by the railroad company. Tax
these lands and the companies will sell
and the country will develop"
Mr.. Eaton paid no attention to the in
terruptiOn, but continued at length,
claiming that within twenty years
freight rates and transportation hay e
been reduced 80 pei cent i'll the state.
Senator Mcmillan moved to arise, and
this was amended so that the committee
report progress and ask 10 have the bill
made special order for II o'clock this
morning.
Senator Leavitt opposed this propo-
sition. He urged that the measure be
forced to vote before adjourning, but
Senator SeVatSOn gave notice that lie
had something to say, and it is known
| that John DaY Smith is loaded tor a