The San Francisco call., 1897-07-22
First City in America
to Try the New
System.
The Initiative and Referendum
Also in Practical Ope-
ration.
Arzona's Largest Mining Town
BristIes With New Ideas and
Progressive Mayor.

PRESCOTT, AR1z., July 21.-Prescott is
undoubtedly the first city in the United
States to adopt a modification of the
single-tax theory. This was done on
Monday evening, when the Council voted
tax of 81 year on all real estate hold
ings, irrespective of Improvements. That
the Council knew exactly what it was do
ing may be judged from the fact that it
acted almost unanimously upon the sug-
gestion of the Mayor of this city, General
William o. O'Nei!l, who is not only an
avowed and outspoken sirgle-ta1er but
one of the most popular men in this
county.
In an interview with THE CALL CORE
spondent to-day Mayor ONeill said: ut
is our intention to abolish all commercial
licenses, which are merely fines on indus
try and enterprise, and to increase the tax
on real estate until all Improvements and
personal property are exempted from
municipal taxation.
1.-The revenues OF Prescott have hereto
fore been derived chiefly, if not entirely,
from two sources-taxes and licenses. The
first is paid by ell classes OF property
owners; the second only by those engaged
in mercantile and industrial pursuits.
During the year 1896 the amount OF
each class collected was: Taxes, $S764 68;
licenses, $6572 20; making a total of SIS
1856 So. OF the total taxes collected there
was paid on lots but $1943 81. All other
classes of property, including stocks OF
merchandise, Improvements, tools and
fixtures, etc., paid $3.50 II. You can see
at once from this that the business and
industrial pursuits of this city have been
paying what l believe to be an unjust and
excessive tax, in the ito of about z to l,
while the owners of real estate. many of
whom are doing nothing a all to increase
or contribute to the prosperity of the city d.
but are merely holding their land for
speculative purposes, have borne but a
very light share OF the burden. How
light their burden has been will be real
lied from the fact that there are at
present 1910 lots on the assessment roll OF
Prescott, the average annual assessment t
on each of which has been but 81 o.. We
have raised this tax to 81 per lot, and this
only the beginning.
IAN examination OF the assessment roll
will show that OF these 1910 lots. 1904 of
them have a frontage of so feet each and
206 of them have frontages of but % feet,
yet the smaller lots pay more taxes IN the
aggregate than do the larger ones. and
this is due simply to the fact that IS per
cent of the larger lots are unim proved and
are held chiefly for speculation.
NOW the man who has held his lot idle,
refusing either to improve it or to sell it
low enough to encourage some one else in
building upon it, is like the dog in the
mauger. He does nothing to build up the
city, and is nowise public benefactor.
Not only this, but he sits in idleness only
10 enjoy the fruits of his Industrious and
enter prislng Deighbor who builds upon
his lot. AS soon as the nelghborhood is
holders the speculator finds his idle land
increased in value, though he has done
nothing to contribute to that value. This
is the condition we have in Prescott, and
l think the City Council appreciates the
injustice OF sucn a system of taxation and
means to put stop to it.
"These men who hold vacant land have
been paying but one municipal tax, while
the property-owner who builds and en-
cages in business has to pay O a tax on
his lot, (2l tax on his building, ~ tax
on his stock or tools, a. license tax.
Through this system, in addition to
the risks of loss through failure or mis-
fortune in business, the industry and
energy Of this class of men, who add
wealth and prosperity to the community,
is taxed fourfold to the real-estate specu-
commercial and industrial classes that
alone gives value to any lot in Prescott.
Now to start in to cure this state of
affairs we have fixed tax of 81 year on
each single lot for the purpose OF main
tanning public lighting and water works,
as such works add equally to the value of
improved and unimproved lots. But we
shall not stop here. You will hear from
Prescott later on the question of taxation.
ana Prescott will become the most pros
porous city, in proportion to its size and
situation. on the Pacific Coast"
In connection with the action of the
City Council a noteworthy fact is that not
a single member of the board, other than
Mayor O'NeiIl is either a single taxer or
a Populist, but was elected on a straight
Democratic or Republican platform.
Aside from being the first city in Amer
lea to adopt the single-tax principle Pres
colt was also the first city to put into
practical operation the initiative and ref
erendum system, and also to extend to
property-owning women the right to vote
in all city elections. What made all these
things possible, not only to Prescott, but
to all other cities in Arizona, was the per-
suasive power of Mayor O'Neill with the
last Territorial Legislature.