The Owosso times. (Owosso, Mich.) 1897-1926, 1899-05-26
is STILL UNSETTLED
The Taxation Question Hangs
Fire at Lansing.
ADJOURNMENT REMAINS FAR AWAY

ADJOURNMENT REMAINS FAR AWAY
Judges tn Whom Was Referred the Matter
by Governor Pingree Propose Extra
Session OF the Legislsture-Laboring
Men Secure Favorable Reports on Two
Bills-Appropriation for New State
Building and Armory.
Lansing, Mich, May 23.-It is stfll a
desperate case Of taxation that ais the
legislature. In common with pretty
much everyone else in the state, had
hoped that this important matter might
have been definitely settled during the
past week and the decks cleared for
final adjournment within the next few
days. but there is no hope for any
such good luck now, and so far as sur
face indications go, the end Of the ses-
sion is as far off today as 1t was thirty
days ago.
In my last letter 1 announced that the
tax programme. so far as the governor
was concerned. was. in the language of
the highway. ''up to" Judges Cahill and
Speed, whom the chief executive had
retained to draft a valid Atkinson bill.
These two gentlemen have spoken and
the result is the announcement of an
entirely new plan, involving a special
session Of the legislature by the gov
ernor. In a second special message,
Governor Pingree announces the de-
termination of his lawyers that under
the present constitution, and because Of
the Interpretation by the supreme court
In the telephone cases, 1t is impossible
to frame a valid law to make rail-
roads and other corporations pay their
just share Of taxes upon the basis of
the actual cash value Of the property,
the same as all other property in the
state.
Governors Recommendations.
The governor expresses regret at this
unfortunate condition of affairs and
recommends to the legislature the fol-
lowing course Of procedures:
i. Pass a joint resolution providing
for amendments to sections TO- IL and
IL, of article IA, Of the constitution, sc
that the property of railroads and 9TH
err corporations can be taxed upon its
actual cash value.
2. Provide for a special election to
submit to the people the question Of a
general revision of the constitution. /
understand that there is no bill intro
duced in this legislature under which
the question of general revision can be
submitted. Such being the case, l will
call special session of the legislature
to convene Immediately upon your ad-
journment for the purpose of enacting
such law.
3. Enact law providing for the ap-
pointment of a state board of assessors,
primarily for the purpose of reviewing
assessments throughout the state, plac-
ing on the rolls property that has here
tofore escaped taxation, raising and
lowering assessments, enforcing the
present tax laws and providing, Sec
ondarily, for collecting information re-
lating to the value of railroad and 9TH
er property, so that specific taxes can
be increased to just amount, pending
the amendment or revision of the. con-
stitution.
4. Amend the present Merriman law
SO that at least $1,000, 600 additional tax
es can be collected from railroads by
means of an increase Of specific taxes.
This is rendered necessary because of
your inability, under the decision of the
supreme court, to enact law taxing
the property of railroads upon its value
and such increase should be made only
temporarily until such time as a con-
stitutional amendment or revision
makes it possible to tax such property
upon it's cash value. The people clear
ly expressed their desire in this matter
Asks for an Income Law.
In concluding his message, the gov
ernor says: THE present necessity for
an increase in the revenue of the state
leads me to renew the recommendation
contained in my annual message to
your body, that you enact an income
tax law"
1t will be observed that the governor
has two strings to his bow. In the
first place he wants certain sections of
the constitution amended so that rail-
roads and other corporate property may
be taxed on it's cash value, and he also
asks for a general revision of the con-
stitution so that this end may be ac-
complished. In this he Is very foxy,
for history has demonstrated that the
people of Michigan are decidedly averse
to ratifying any general revision of the
organic law of the state. They will
occasionally consent to amending GER
tain designated sections in a specified
manner, but they have always baked
on the matter Of general revision. Sew
eral revisions have been made by con-
ventions made up Of the ablest men in
the state, but their work has always
been rejected leaving the constitution
Of 1850, with the exception of various
amendments, still standing as the or
ganic law.
Still Far Apart.
In view of the fact that the senate,
as stated last week, has already passed
a specific tax law increasing the rail-
road taxes only $4,000 annual y, and on
the very day the governors message
was written, the house railroad COM
mittee recommending that the increase
be fixed at 100000, 1t will be seen that
the governor and the legislature are
still very far from being together on
the plan to be carried out. So far as
the house is concerned, ii must be con-
fessed that a majority Of that body are
much more likely to line UP with the
governor than with the railroad COM
mttee, but ii is doubtful IL a bill
doubling the railroad taxes, as recon-
mended by the governor, will pass that
Il hn1 ho ha1f ho