The morning news. [volume] (Savannah, Ga.) 1887-1900, 1897-02-24
CENTRAL'S DEBT TO THE CITY.
OVER $1,000 INTEREST DUE ON
BACK TAXES SINCE 1890.

The Council to Determine Tonight
whether II VIII BE Remitted-City
Treasurer Hardee Has the RAIL
road COmpnny's Check For So, 900
Back Taxes and is Waiting
TO See whether the S4.HID
Interest VIII he Added to It-How
the Railroads Came to BE Made
Liable For Municipal Taxation.
The new council will hold its second
regular meeting tonight. About the most
important matter which it will pass upon
is the question of renting the interest
upon the back taxes due by the Central
railroad for the years 1891 to 1895 inclus-
i've
City Treasurer Hardee has had H. his
possession for several days a check for
$23, S2.99 from the Central railroad, being
the amount of back taxes due for the
years stated without interest. the com
pany having petitioned the city to relieve
it of the interest due upon the back taxes
The back taxes are due upon the main
line and rolling stock Of the Central with
in Chatham county. 1t is well known that
the Central contended that being exempt
by its charter from taxation by the state
it was not liable for either county or
municipal taxation In fact, it was
question of doubt as to whether any Of
the railroads of the state were liable for
municipal and county taxation.
In 1880 bill was introduced in the legis-
lature by Col w. c. Glenn making rail-
roads subject to county taxation. Mai.
G. VI. Ryals was in the Legislature from
Chatham at the time and when he saw
that the bill making the roads liable to
county taxation was about to pass he in
troduced a similar bill making the rail-
roads liable to municipal taxation on the
idea that if 1t were equitable for the.
counties to tax the railroads ii was equally
so for the cities and towns. Both bills
became law.
The Glenn bill is frequently heard of,
but the Ryals' bill seems to have dropped
out of sight. AS matter of fact Maj.
Ryals is due the thanks of the cities and
towns for the share of railroad taxes
which have been and are now being re-
ceived by the municipalities. Maj. Ryals
was generally regarded while in the leg
stature as a friend of the railroads, but
the railroads viii hardly thank him for
this measure. The railroads fought this
new taxation, of course, and the litigation
court, where the laws were upheld by a re-
cent decision. The railroads are now pay
ing up their back taxes. The county has
already gotten its share including interest,
and the city is now about to get its share.
The Centraps check for 1928 6S2.99. which
was received by Treasurer Hardee several
days ago, has not yet been turned into the
treasury. Maj. Hardee preferred to wait
until the question of interest should be
settled. The amount of interest due on
the back taxes is about $1,000 being
calculated at the rate of per cent from
the time the tax was due. There was also
some uncertainty as to the figures. I'm
der the Glenn and Ryals' laws the rail-
roads are assessed for taxation by the
controller general ana the amounts pro-
rated to the different counties and cities
according to the mileage and other prop
erty located within the city or county
Savannah, having the terminals of the
Central located within her borders gets
larger sum for taxation out of the COM
pany than any other city in the state.
As a matter of fact the Central has been
paying taxes to the city regularly for
years past, all of its real estate and i'm
provements, with the exception of that
portion which was held to be exempt I'M
der the charter. being returned for taxa
ton. Thereby hangs a tale. When the
new legislation affecting railroad taxation
went iiitO effect III 1884, tne city $ receipts
from this source were very largely in
creased, the Central being required by the
controller general TO return for taxation
large amount of securities held in it's
treasury, and the headquarters of the road
being located here it was decided that these
securities must be returned for taxation
in Savannah.
The city's check from the Central rail-
road in 1895 was 14,5S575 In 1896 the city
only received from the Central Sc, 0O4. 26.
Before accepting this decrease there was
some correspondence between the city
treasurer, the controller general, and the
Central railroad authorities. The explana-
ton was that the Central railroad had been
reorganized and that the securities which
had been held I'm the treasury at Savannah
had been disposed Of Being no longer
in the treasury the securities could not
be returned for taxation, making a differ
ence of nearly $l,0OO,OO in property availa-
bic for taxation by the city. What dispo-
sition was made of these securities would
doubtless make an interesting article, IL
all the facts were gotten at.
NO MONEY FOR NAVAL RESERVES.