New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-04-26
FOUL BLOW AT FORD BILL.
SUBSTITUTE FRANCHISE TAX MEASURE
TO BE REPORTED
ASSEMBLY COMMITTEE ON RULES cAHhf-
ING OUT THE MACHINES SCHEME
LID Gan r,1ap ArIa>cs
TO PROTECT CORPORATIONS.
fBY TELEGRAPH To THE TRIBUNE.

| ING OUT THE MACHINES SCHEME
TO PROTECT CORPORATIONS.
! 10y TELEGRAPH THE TRrnuNE.l
| Albany April 2J.-The Assembly Committee
on Rules held an executive session tonight and
decided to report out and place on the calendar
tomorrow Assemblyman Rodenbeck's bill taxa
| ing franchises. This action will kill the Ford
Franchise Tax bill. which has the support Of
| Governor Roosevelt. Assemblyman Rodenbeck
succeeded James NJ f. OGrady. former Speaker
| and now Congressman from Monroe County and
the fact that he is an up-country member and
| that his bill applies to rural districts as much
| as TO the large cities had much to do with the
| decision Of the committee.
Five of it's members-Speaker Nixon, of Chau-
tauqua County; lothian p Aids. of Chenango
County; Otto Kelsey. of Livingston County;
Marvin J. Greenwood, OF Wayne County. and
George NJ Palmer Of Schoharie County, are
from rural districts while only one, George T.
Kelly, OF Albany is from a city. Speaker Nixon
called attention to this fact In explaining the
action OF the committee. He said the Ford bill
was intended exclusively for cities. while the
Rodenbeck bill reached the country also. The
Ford bill would the franchises Of street rail-
roads az real property, while the Rodenbeck bill
would incfide also the steam railroads which
are In the country. Moreover It would put
things back Just where they were supposed to
be before the Court Of Appeals, in the of the
Delaware. Lackawanna and Western Railroad.
held a few years ago that franchises were not
liable to assessment The bill, he thought got
around that decision completely.
He expressed the hope that an understanding
would be reached with the Senate by means Of
a conference, and that legislation taxing fran
chses would not be wanting when the session
adjourned. He declined to say what occurred
in the committee, whether 1t was unanimous
for reporting the Rodenbeck bill.
The result of the Assembly supporting the
Rodenbeck bill will probably be the failure OF all
franchise legislation this year, for large
proportion Of the Senator'S said tonight that
they would not accept a substitute for the FORD
bill There will thus be an alleged disagreement
between the two houses.
This result undoubtedly Is the design or the
Republican organization leaders. The Assem-
bly, Committee on Taxation was held back from
any action on the Ford bill. Then the Commit
tee on Rules held 1t for week. Now at late
hour in the session, the Rules Committee sud
denly favors the obscure bill brought In by AS
semblyman Rodenbeck.
Governor Roosevelt will undoubtedly make
every effort in his power to pass a franchise tax
bill before the Legislature adjourns on Friday.
He said early this evening that If the Ford bill
could not be passed Mr.. RodenDeckS measure
would be, as 1t at least made beginning in the
policy of taxing the franchises Of corporations.
The chief objection to Mr.. Rodenbeck's bill. in
his Judgment was that It taxed the personally
Of corporations rather than their real estate, and
thus was easier to evade than the Ford bill.
A large delegation Of NEWCOMERS waited on
the Governor this afternoon and expressed to
him their desire that the Ford measure be en-
acted into law.
Assembyman Rodenbecks bill follows:
Section l. Section - Of Chapter 9B OF the laws
Of 1896 is hereby amended 10 read as follows;
Sec L. The capital stock OF every company
liable to taxation except such part Of II as shall
have been excepted in the assessment-rol or shall
be exempt by law. together with It's franchise TO
construct. maintain and operate any railroad or
mains. pipes tanks. conduits or wires, ana us
surplus profits or reserve funds exceeding 10 per
centum OF capital after deducting the assessed
value OF its reaF estate and all shares OF stock IN
other corporations actually owned by such com
pany which are taxable upon their capital stock
under the laws Of this State, shall be assessed at
its actual value.
See Q This act shall take effect Immediately,