Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1900-08-25
MORE RA|[ROAU|SN'
The Executive Council Makes an
Arbitrary Assessment Of Ex-
press Companies.
Assessment Raised, Cheshire Law
Ignored Dobson, Merriam and
Shaw Oppose Herriott.
Cheshire Wanted Remley's Opinion,
But Council Refused Rail-
road Influence Felt.
special TO Time s. Republican.

Special to Times Republican.
Dea Moines, Aug. 25.-The executive
council of iowa yesterday get aside the
plain provisions of the Cheshire assess
ment law and made purely arbitrary
assessment of express companies, the
majority. Shaw, Dobson and Merriam,
justifying themselves on a slight tech
ilicality. The new LAWS Interpreted by /
Senator Cheshire, who stood sponsor for
it in the legislature by Treasurer Her
rio;t and by Attorney General Remley,
who would raise the assessment ma
teriaily. Governor Shaw, Auditor Mer-
rianl ana Secretary Dobson held, how
eyer, that stocks and bonds and other
securities held by the companies should
be exempted from ASSES ment in Iowa.
But after deducting the values of these
securities, from the valuation of the /
l.co,npanies' properties previously ar
rived at in acordane With the provision
tof the law. it was found that a value 4
/ would be given as a basis. for asssss'-
ment which would yield far less taxes
lin Iowa than the old law taxing the
companies 2 per cent on their gross re-
1 cepts in Iowa. Rather than face q
istormsof public opinion thru sucil action
4 the. majority of the council adopted an
! arbitrary assessment, which in effect
.iwill raise the taxes about 80 per cent
/ above last years asse-ssment. altho not
80 high noi, so soeauitably as the terms of
THE Cheshire law provide.
4 Thruout the consideration of the eX-
\ press, companies assessment the major
aEity of the council took a position in de-
4 Tense of the companies. In the final
lpreamble and motion adopted it was de-
lclared that no one having appeared to
show that the affidayita presented by
4 Officers OF the companies to the effect
that the securities held by them which
4 they clamed should be deducted from
a thetyalues previously arrived at these
y afIidayits would be accepted az correct.
Those who hold the law should be en-
slforced as understood at the time of its
= passage point out that the council itself
Z as a servant of the people ssnpuid have
Q made sufficient investigation to assure
t itself of the accuracy of the statements
tlnadeSin tffs- afffdavita. Senator Cheshire,
4 for instance. suggested to the council
e that it learn IL these securities We're
/, LISTED for taxation in other states. but
S this vital suggestion was not acted up-
5 on.
The controversy related to the reduc-
S ltion of the visible assets of the compa-
S nies,s on account of securities and bonds
S owned by them but used exclusively
Il outside of their huajnesssi, as shown by
i, their sworn reports accompanied by af.
h fidavits Treasurer Herriott and Sena-
i tor Cheshire the author of the bill. in
~, nj
securities which We're not used in theil
s business and therefore they should no
e be allowed this off set. which amounts 7
81 about s2S,oeOeo0 for all companies. Mr.
lss 1ierriott proposed the following assess
d. i1nent per mile:
ls Wells Fargo s.. ......5 ...... $1,000
3 Pacific. e..s.g..s5... $3.50
of Great Northern ....s.. .... 20
American . ........s.. 49,. 90 4
IS limited States ..s...... .......a.. Il. 1898
"a Atarlia j. ....3.. 1854
tx The decision as t6 the assessment /
m be made was reached by tila maiorit
tn lof the council before MIR. Cheshire wa
he heard. His arguments had no effect o
=. them. He urged that Attorney Geners
f Remley be asked to interprete the Law
bas but tlls. ma jority8 refused to ask for a
nf nflopinion, holding that all that was ii
i, 4 VOWED VAS "a tiuesllOn eof fact as to III
is,lf,icisncy of the statement presente
he by tie companies and that as to que:
u, ticns Of fact Attorney General Renlley
NJ opinion VAS of no more value han the
~,
',s curitiaa were not used il the. conduct
of 1.-The business as final. and made the TO
tof lowing arb!tarary assessment:
ne Wells Fargo ....s =. ....s 81
ne Pacific .. J. !. j. ). ...... .........
ier y sa ~. - 80 ssiS' : s'
United Statea.s. ..... ..i.... ........
adams ... ..s.....y....... /
Until last year express compani
were directly taxed . per cent UP,
Their gross, earnings. the taxes goil
in into ths. state treasury The suprer
court held this law 10 be unconstit
tienal. The last legislature pass
y what is known as these,f salre3 pill pr
IN. Vieihs loi, ne as,s's's''t,ll q tlle Na
rd ot ms i,ssislss pI9i'siss z IN =
mus me as''tssills.lil !. oe e'1.slilSsSi
me enlnts auai,9, apa ~ .iis,, -