New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-10-17
MIR. GRIGGS AND TAX REFORM
HIS SPLENDID RECORD IN CORPORATION
LEGISLATION.
THE STORY OF THE PASSAGE OF THE GRIGGs
BILL PLACING THE RELATIONS OF THE RAIL
ROADS TO THE STATE OF NEw-JERsEY

on A BUSINESS BASIS.

ROADS TO THE STATE OF NEN-JhhSTi
on BUSINESS BASIS.
The confidence Of Republicans in the lection OF
John w Grggs is based upon hard and colo pohticai
facts upon the developments OF a campaign three
weeks Old and upon a belief that Jerseymen know
a good thing when they see H. The people OF the
State have considerable familiarity with the political
career OF ex-senator Griggs and 1t was Repuohcan
admiration for him and his work which caused MS
nominal ton One OF the reasons why MT. trlsss
has the entire confidence OF the people Is that ne mas
rendered actual service. which IL mucn better imam
any promise. Certain Democrats In the present
campaign have suggested a revision OF the corpora
ton tax laws as among the issues that might be
considered. This will meet Republican approval
II there Is any who can be trusted TO perform
such a task with fairness. knowledge and indie
pendence, Mr.. Griggs is that man. II 1t were true
that the late Governor Albeit did as much service
others in reforming the old laws eleven years
ago. Democrats alege. the fact that Governor
Albeit Is not the Democratic candidate now, and
that death has removed him from this sphere, mas
ade the claim OF historical interest only Nothing
can make Chancellor McGi the heir OF Governor
Abbett's claims to distinction in State tax reform
Democrats themselves admit that of living men no
Inquire in the great of 1884 compares with
that OF John W. Griggs. the Republican candidate
for Governor and II any change Is now to be made
in the tax-reform laws. the State knows well whom
to choose for the task.
The contest eleven years ago was not merely
vindcation Of Mr.. Grggs's great ability as legis-
lator. Speaker. constitutional lawyer and
faithful servant Of the people. but 1t demonstrated
then and finally his complete independence OF cor
porate control. and his ability not only to uphold
popular cause but 10 win victories for it, The
dition of affairs in the State Government
tremey bad. There had been State taxation upon
private properties TO maintain government
meagre basis. while the great corporations OF the
State escaped their share OF the general burden
Their charters had been granted in the early days
and had contained clauses exemptng them from the
ordinary taxes. This especially true OF the
great railroad companies. and these corporations
had secured Interpretation OF their charters which
made II appear not only that they had exemption
by law. but that their charters gave them an ire
pealabe contract with the State. The problem was
to make them pay just taxes. TO compel them to
surrender their claims to exemption. and to act
without infringing upon constitutional rights. II
necessary to proceed with caution The rail-
roads doing the State good service and there
public desire TO interfere with their business
and to go too far dangerous as to abandon
the attempt at reform-lf indeed. it did not amount
to the same thing. The power OF the railroads and
other corporations In the State tremendous
and was supposed to be absolute in legislative halls
Such the reputation OF New-Jersey all over the
country. The necessity OF action for financial rea-
sons for fairness. for the States reputation for
Subduing by just laws a growing spirit or angry OPP
position TO all corporate business. was Overwhelm-
ng.y evident when. early In lSS. Senator Griggs
introduced the first bill intended to meet the case.
The campaign OF 1883 for Governor fought
largely upon this issue and it's result was that
when the Legislature assembled both parties stood
pledged TO enact reform OF State taxation
which would give the State sufficient revenue
and would distribute burdens more equitably
Senator Grggss bill OF 1888 made the model for
Of roro ne began
forthwith The House Democratic and the
Senate Republican. Governor Albeit had
bill prepared. and II Introduced by Assembly
man Prall OF Passaic County while In the Senate
the Griggs act already under discussion
The Albeit measure VIGOROUSLY mpracticable
and the DISPOSITION OF the railroad companies was
first to allow It pass. take it into the courts and
haze IT declared unconstitutional. hoping that by
that time the storm would have blown over. The
political objects OF the Democrats in the Assembly
would have been attained, and this would have
made them ready the following year to enter upon
some compromise which would have secured them
the corporations friendship, yet have given the
party temporary glory. Senator Griggs, leading the
Republicans who desired a settlement of this tax
question on a basis which would be equitable and
would remove the question from public agitation
for a period of years determined that the new law
should be practicable and should compel the cor
porations do their duty to the State.
The Albeit tax bill passed the Assembly and came
to the Senate, where it was admitted by all that
the real contest would be made. 1t was alleged and
generally believed that the Senate, as body. was
under the control OF the corporations with Re-
publican majority II was supposed TO be easy FOR
The Democrats with the aid o, rev hepupLe e
the whole blame upon me L, a1oriy, ~ Mas MT ar
with its pull" and its agent, but also to oppose
tricky politicians and secure the aid of Democrats
As well as Republicans Tor his cause. Then there
were the tremendous legal and constitutional DIM
culties to be overcome. There were no precedents
The State was bound down and gagged by charters
nfty years old. which had been declared contracts
ANY system that would stand the test OF the courts
must be on "A basis radically different from that OF
anv other State. II there had been no corporate
lobby and no political complications the legal prob
lem would have been staggering complication Tor
any set of men to unravel and most OF the leading
lawyers of the State were retained by the raIl-
roads
out Of that desperate condition. Senator Grsgs
hroIlght the Corporation Tax law OF 1884 1t was
one iong bitter struggle from the beginning 10 the
end II was constantly in peril OF coming TO nausht
mn 10 the last moment. The more vital features
we're saved by tie vote. parliamentary manpuvres
having so placed the bill that the corporations had
to secure a majority TO make changes There were
absentees whose votes would have prevented the
reform and there was constant peril OF desertlon
from the standard raised win tne gallant ara Of
able men now his ardent supporters, the response
bility for all st fell upon the shoulders OF senator
Griggs and in long professional career ne neNel
worked hard and never used ms highest tacui.es
to such advantage The Grsgs OH pas asa oa .de
a law by the Governors action IL was taken INTO
the by the corporations ana sustdneu tuelt
II remains upon the statute BOOKS to-day WITHOUT
| substantial alteration.
The effects of this legislation have been trenen-
dous The State has never had 10 impose taxes
upon private property; the municipalities nave had
vasi Increase OF receipts from corporations: the
States income has been so large That a surplus
of 81 900 600 was accumulated in face or extraVa-
9ance ana theft by Democratic administration UNI
eoualled in the history OF New-Jersey. The ques-
tfon of corporation reform ceased 10 be an
issue for ten years The railroad and other COM
panies adjusted their relations with the state to
l,aufe he Lob o.
remarkab bic degree. and the irrepea!able contract
and the various claims which made each corpora
lion imperium in mperio have been practically
abandoned And this in the State o. Camden and
| Ambov' The achievement ranks among the best
In the annals OF craftsmanship, and II was done
without violence. without demagogy without
crankiness and in a manner TO compel the obedi-