Omaha daily bee., 1902-07-18

penalties for violation OF the maximum
schedule Of rates. There was no desire to
put this value either up or down. It was
the desire Of Mr.. Berry to tell the truth,
and he told the truth. II made no differ
ence to him whether II was q rate case or
whether It was an assessment case, he sim
ply had his facts and figures, which he had
taken the necessary time to prepare. He
swore that the cost Of reproduction Of the
Union Pacific railroad in the state Of Me-
brsska would be s2S. SIS, 057, or $50, 2S9 a
mile. That is the entire cost Of the repro
duction Of the physical property Of the
Union Pacific in the state Of Nebraska.
There are s47.56 miles Of the main line and
branch lines OF the Union Pacific In the
state. and the property is assessed at
S9,s47 a mile for the main line and $500
a mile for branches, being an average Of
$6,572 a mile. II 1t is assessed as we claim
all other property in the state Of Nebraska
Is, on a ratio or standard of one-ninth or
one-tenth Of the value. the value Of that
per mile would be 5000 instead Of 3e,572
a mile. On the basis Of one-slxth, the diff
ference would be 1888 a mile.
Now, what is this difference? $3,024
a mile on the basis OF one-tenth and
1855 a mile on the basis of one-sixth was
necessarily the amount the board assessed
for the franchises, for the going, moving
concern. for earnings and earning capacity.
We have heard in this room charges
hurled against the board and against rail-
road officials, that they are in a combine
to rob the people. that they are dishonesty
working for their employers, and they
charge that Mr.. Weston and Mr.. stuefer
are moving about In the arkness Of
Egyptian midnight. Mr.. Harrington has
said to this court
1 will prove to the satisfaction Of the
court by the stock and bond issue that
the Union Pacific. is worth 100000. per
informed. It has been interesting to me.
l have appeared before these boards and
expect TO appear again, and l know what
l am talking about.
Let us see IL Mr.. Harrington is moving
in the bright light OF intelligence. / as
sert that the darkness which Mr.. sImeral
says that Mr., stuefer and Mr.. Weston are
wandering in is as a halo of light to the
darkness in which Mr.. Harrington gropes.
He moves as II he was in the inpenetrable
darkness OF the deepest dungeon that could
be found during the reign Of the Spanish
inquisition.
I would like to have the court look at
these tables, The bond and stock issue OF
the Union Pacific Is indissolubly connected
with the bond and stock issue Of the Short
Line and the Oregon Railroad and Naviga-
ton company. There Is no way and no
man, Mr.. Harrington or anyone else, can
segregate them, because these properties
are intertwined and interviewer. Because
whatever stock and bond issue of the
Union Pacific there is covers all OF these
properties.
First, what is that issue, and what does
1t Govern 1t covers many, many properties,
not only the mileage OF the Union Pacific,
but the Short Line and the Navigation COM
pany. The Union Pacific with this issue
has become the owner by purchase OF a
large number Of other properties. depot
companies, elevator companies, water
works companies, stock and bonds in other
railroad companiesai feeders to its lines,
all operated as Independent companies and
corporations. 1t purchased them at the
sale. purchased the stock Of these differ
emit corporations with these issues of its
stocks and bonds. It purchased took in
the Oregon Short Line. 1t purchased stock
in the Southern Pacific. 1t purchased stock
in the Northern Pacific. 1t purchased some
eight or nine water works companies, in
dependent companies. The elevator at
Council Bluffs, the elevator at Omaha,
union depots at Denver, Cheyenne, Ogden,
Atchison and Leayenworth, coal compa.
mics. These are independent companies
with Independent property, and are sub
ject to assessment In the different states
in which they exist, VIII your honors turn
to the map, please, found In the back of
this report, as an evidence Of this state
ment. The red Is the Union Pacific. The
blue is the Oregon Short Line. The orange
is the Navigation company, The green is
the Southern Pacific. Their bond and
stock issues cover all Of these properties,
and 1t covers the land grant lands. In
addition to the enumeration OF the COM
panies which appear upon pages IS and 10,
from which Mr.. Harrington makes his de-
duction, and asserts to this court that he
figures out the stock and bond issue at
500, 900 a mile. The companies are there
enumerated, depot companies, water works
companies, coal companies and land COM
panies.
1 have prepared two statements. one of
which appears In my brief land l thought
that was as clear and pellucid as a noun
tain stream. but it brought about so much
muddiness and obscurity on the part of
Mr.. Harrington that l prepared another
statement in another way. Take the total
amount OF the bond issue OF the Union Pa
cihc, Oregon Short Lane and Oregon Navi-
CATION company and you will find that In
the first column at the top Of page IS. the
total outstanding of the bond issue. 1t is
figured down to a total, Union Pacific and
auxiliary lines, 1891, 27s. 500; that is the
total outstanding bond issue. This, to-
gether with the stock issue covers all these
properties that are shown upon the map;
covers all Of these properties and was used
to purchase these different properties; used
to purchase an interest In the Union eleva-
tor at Council Bluffs, Union Elevator al
Omaha, the BoEeman Coal company, Green
River Waterworks company. Leavenworth
Union depot, Rattlesnake Greek Water com
pany, Union depot at Denver and at Kan
sas City and many others, and all indie
pendent companies having their properties
In different states and subject TO taxation
in the different states, but owned by the
Union Pacific and purchased by the bond
issue OF 1891 ,27s, 500 and stock issue Of $26S.
999, 900. The stock issue Is shown on the
page below and is s26s. 1888, 900. Add those
together and we hnd we have 1886 PTS, 500
as the total stock and bond issue for all Of
these purposes. Is that bond Issue to cover
simply the 1900 miles of the railroad sys-
tenn OF the Union Pacific? No.
Understand. please. your honors. we Dc
not say this IL the way 10 mud the value
and We have not insisted upon II. But Mr.
Harrington says this Is the way to hnc
the value Of the road" We say 1t Is no