Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1899-11-26
STREET-CAR TAXES.
ATTITUDE or TRACTION co. En-
PLANNED ny PRESIDENT DEniss'
A MIDDLE COURSE SUGGESTED
He Proposes Compromise ""ic"
May De Acceptable 10 the counch-
Tne plan Proposcd by streets Com
rnfftee Not just.

Tho tax which Il Is proposed 10 impose
on tho Richmond Passenger and Power
Company will. IL Is said, apply equally TO
tho Traction Company.
The recommendation Of the Committee
on Streets viii be vigorously opposed
when the ordinance IS considered by the
Common Council. II IS presumed that "a
special meeting will be held in the near
future 20 consider the report Of the street
Committee. Some idea Of the action TO
be taken by the representatives OF the
two companies may be gathered from the
following statement. made by Dir. Be-
miss, president OF the Traction Company
in response to a question asked him last
night as 10 how the company VicWs me
reports Of tho Finance and Street com
mittees, as probably bearing upon the iu-
furo taxation OF the Traction Company:
"Of course / cannot speak for the iHch
rnond Passenger and Power Company.
said AIR Bemiss "for do not know how
thew will view the tax reports. But can
speak for the Traction Company. Speak
ing for that company. / am obliged 10 say
that both Of these reports embOdy some
very Objectionable features. and l think
this IS also true viewed from the stand
point OF the city / admit That my opln-
ION H. naturally Influenced by the deep
interest / have iu the Traction company
and ] can appreciate the delicate ana re.
sponsible situation ia which the several
gentlemen OF those two committees are
placed. or course, their duty, as Wen as
their desire. prompts them 10 take thal
course which they think best. ] recognize
that there is no desire on ther part
10 iniure the Traction Company, or any
other enterprise ina the city. j recognize
that their only purpose is TO secure the
host terms for the city. but / fear thal
the enthusiasm Of their purpose mas
clouded their view Of the eject IL VIII
have upon us and through us upon inc
CITY. The difference between MS ls as 10
which IS the best course 10 pursue with
proper regard 10 the interests or polh the
company and the city. Just as / am
naturally biased towards the company
those gentlemen. owing 10 their respon-
Yible positions leaned favorably towards
The CITY. IL seems TO me that il should
be possible to follow middle course that
would conserve the interests OF both TIE
city and the company.
INJURIOUS TO THE TRACTION COM
PANY.
As / have said. / think that either OF
the methods Of taxation proposed would
bear too injuriously upon the Traction
COMPANY The difference between the
two methods suggested is that the Street
Committee considers that the tax of .
per per cent upon gross earnings and
81 40 upon the assessed value shoul- be
imposed for ten years from 1900. and that
at the expiration Of that period the
Council should have power to fix such
increase Of taxation as it might see fit.
on the other hand. the Finance Com
,nittee considers that at the expiration
of the first ten years rne tax should be
fixed at ~ per cent. upon entire gross
receipts for another ten years, ana for
the remainder of the term of the fran
chise at 10 per cent. Of the gross earnings.
The difficulty with the method sug-
gested by the Street Committee is two
fold--nrst, IT tends TO depreciate and i'm
lure the securities of the company. Any
uncertainty as to what burdens a com
pany will have 10 bear i'm the future ma
turally makes any prudent investor timid
about purchasing the securities. j am
told that the citizens of Richmond are
not buying the securities of the street
railways in this city because they have