Keowee courier. [volume] (Pickens Court House, S.C.) 1849-current, 1902-08-06

VALUATION OF PROPERTY FOR TAXATION.
President VIM. A. courtenay Makes Pointed
Talk Before State Board.

Equalization and representative mill
men in Columbia last week, Presi-
dent VIM. A. Courtenay, of the
Courtenay Manufacturing Company,
Newry, spoke as follows:
Gentlemen of the Board of Equal
ization Under date of July 18th
received official notice. from the
Comptroller General of a large in
crease, in amount and rate, of the
property of the Courtenay Manu-
facturirg Company, which necessi-
tates statement in-reply, and clearly
warrants some general remarks on
the novel and flexible plan of max
ing mill assessments. Let me say that
do this, not in ult-finding spirit,
but only to present this important
matter, from different point of
view.
There is a public statute under
which the legal assessment of all the
property of the State is directed to
be made, in terms as plain as explicit,
why this has been summarily set
aside, for a certain part, of the prop
erty of the State, is strange indeed.
Last year under the influence of a
specious and misleading argument, a
new departure was taken in assess
ing, selected portion, of the property
of the State, what may be properly
regarded as "higher law" than the
statute, and based on the supposed
market value of shares. This has
proved very unequal in results, some
properties feeling new burdens, while
others have enjoyed sense of happy
release.
To assert that the sale of 8 or 10
shares of corporate stock, in the
course of a year, in companies hav-
ing 5000 and 10000 shares of cap
ital, fixes reliable value for the ag-
gregate of shares, will hardly be
favorably received in business circles,
as either wise or conclusive.
Suppose the whole number of
shares put upon the market, would
an equal price be realized? yet you
arbitrarily fix the value of the whole
5000 or 10000 shares, on the sale of
fraction thereof.
Note the fact, too, that during the
past year there has been a fuctu-
alton of to 40 points in some mill
stocks-is it good State policy to
base taxation on such tluctuating
figures, when the physical property
itself is in full view and readily
accessible for legal assessment
But there are remarkable incon-
sistencies in ascertaining some as
sessments under this new system,
which compel attention.
After celebrating for a year, you,
at your last meeting, decided "that
the Laurens mill be raised to $780,
OO0"-"that the Courtenay mill be
raised from 100000 to $35O,OOO :"
it might be subject of curious in
quiry how these figures were reached
AN analysis of the two properties
shows Q) marked similarity in
what is called "the plant" (2) Both
are similarity equipped with ma
chinery ; the first going to work as
in date, in 1895-the last in 1894.
(3 Both make similar line of
goods, and the original cost per spin
die is about the same; but the SINH
larity ends here.
The Laurens mill has 43,20O spin
dies; on the assessment of $49O, 900
we have spindle assessment of
S11.34. This figure has clearly not
been reached, on either market values
or cost Of spindles.
Per contra. The Courtenay mill
has only 19,400 spindles, and on the
proposed valuation of $350,000,
would show an assessment of $500
per spindle-on the basis of assess
ment, fixed for the Laurens mill,
this latter property at $11.34 per
spindle would be valued at 1920, 900,
not $350,000, Is this not some-
what incongruous form of equal
ization.
There is still another phase of
this new departure in assessments i;
it is matter of notoriety that in
certain cases where mills, that from
various conditions or bad manage.
ment, have no quotable market
values for their shares, have been
assessed at nominal figures. These
mill properties are all the same, in
buildings, equipments and cost as
other mills. They are in full view
and under the statute can be exam
ined and assessed at proper values,
yet are permitted to escape large
share of taxation.
Last year when the new departure