The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1901-01-11

cases has been very great. No less
than twenty-eight hundred affidavits
We're secured to be read on the motion
to continue the injunctions till the
hearing. There have been a number of
hearings in these cases in Charleston
and in Richmond, and an immense
amount of testimony has been taken
from every county in the State, which
will be exceedingly valuable to the
| Legislature IN dealing with the problem
of taxation in the future. Testimony
j in the Western Union case has been
also taken in New York city. The la
bors of the States counsel in these
cases has been exceedingly onerous. In
! consideration of which, and of the inn
nense interests involved, it is deemed
that the amount paid to them up TO this
! time has been very reasonable.
The preparation of these cases and
I the securing of testimony through
out the State has also been attended
with considerable expense outside of
the fees of the counsel. But this has
been necessary, and the expenses,
| though large have been reasonable. The
States counsel are confident as to the
| final outcome of the cases.
! A history of this litigation will be
|
| lima Corporation Commission for 1899,
at pages 81 to 21S, inclusive, and also
| in the reporr of the same Commission
for the year 1900.
! In 1899 the General Assembly passed
an act authorizing the North Carolina
| Corporation Commission to assess rail-
road property which had escaped taxa
| ton. Counsel was employed to appear
before the Commission and bring to its
attention large amount of rolling
stock leased by the several railroads
constituting the Seaboard Air Line from
the Mercantile Trust and Deposit Com
pany of Baltimore. Several hearings
were had before the board which re-
suited in the collection of $6,173 as taxes
thereon, and the placing of this prop
| erty upon the taxation lists for future
| years.
The compensation paid counsel for
| this service is deemed reasonable.
There is merit in the contention of
the railroads that they shall not be
singled out for taxation at their true
value while the bulk of the other prop
erty of the State, real and personal is
assessed largely below its actual value
The testimony in these cases, while
it does not show that the railroads are
assessed beyond their value and while
it does not prove any general and COM
mon design among the assessors
throughout the State to assess indi-
vidual property at less than it's value,
does seem to indicate that a vast
amount of taxable property is assessed
much below even the selling price.
NEED OF MONEY AND RESOURCES
OF REVENUE.
How to establish a system which
will put on the tax books all property
at about its actual value-a system that
shall prevent unfair discrimination and
increase the revenues is a problem for
the serious study of law-makers
The revenues OF the State are not
sufficient to meet the demands of the
time. The receipts from substantially
all sources for 1899 were S1,545, III 90, |
and the disbursements were 81, 900, 03S. 3d. |
showing a deficit for 1899 of s543l561. |
The receipts for 1900 were $1.61O 00Sg1. |
The disbursements for 1900 were ST.
CAT ,S2499. showing a deficit of S29 1921. O8 |
for the year 1900 But there is included |
in the receipts for 1900 the proceeds of |
sale of certain four per cent. State |
bonds, which were held by the Treas
urer, who was authorized by law to sell |
them to meet payments of coupons on
the Four Per Cent Debt This |
amounts to about $14S,00O So that the
regular or ordinary income of the
treasury for 1900 was about $1,618, 600,
less this $4,000, which makes the de-
felt for 1900 $4,000 plus $4,000
which is $I77 ,00O
If the Charities are to be sustained |
and enlarged TO meet manifest wants |
and to relieve the sufferings of the UNI
fortunates, and abolish existing horrors,
such as the confinement of lunatics in
common jails and In private houses with
families unable to care for them and
without means of proper treatment; if
reformatories are to be established, and
if the legitimate wants of the Univer-
sity are to be met, and if the common
schools are to be enlarged the General
Assembly must find additional sources
of income
The prospects of the railroad litiga-
ton are such as to give reasonable
ground for the hope that some addi-
tional income will be derived from this
source.
1t goes without saying that another
way to augment the revenues will be
to increase tine tax rate, or to preserve
the present tax rate, but increase the
present assessment on property If
these methods of increasing the revenue
are not sufficient, then there is left
for the General Assembly only the con-
sideration Of making a sale of the as
sets of the State, or of borrowing
money by an issue of State bonds.
The most valuable property of the
State is its equity in the thirty thou
sand shares ($100 par) in the North
Carolina Railroad Company.
THE NORTH CAROLINA RAILROAD.
Certain holders of State bonds claim
ing a second mortgage on the States
stock in the North Carolina Railroad
Company have presented to the Gov
ernor a memorial, with the request that
he will com nunicate it to the General
Assembly. These parties have the
right of petition which they can ex-
ercise by direct memorial addressed
to your Honorable Body.
The contention of these bond-holders
seems to be substantially as follows:
That they own bonds amounting in
round numbers to $25O0OO principal,
and 100000 interest; that these bonds
,,,oro ;se,,ad IN tha Western North