The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1902-10-04

,
Emerson Cole, the Minneapolis MEM
Der, hoped the report of the committee
would be adopted. He said he had only
the interest of the consumer at heart.
If the assessment was raised it would
affect the cost Of the light furnished
by the company.
Auditor Dunn called attention to the
practice the corporations made OF kick
ing on the assessment.
1T matters not how small or large
the raise is they always kick" said he.
when we raised the iron range mines
from one to two millions they protested,
and now we have them paying $3O,0OO,-
600; there is no argument in saying
that this company has been increased
from year to year. Why single out cor
porations and give them favors?"
George S. Brainerd, of Blooming
Prairie, and Henry M Palm favored the
corporations being assessed at one
third of their true valuations, the same
as farms or household property. Mr..
Palm could see no force in the argu-
ment that the company would raise
rates in Minneapolis.
1--WE have raised goods and merchan-
disc, farm lands and persistently stuck
to a basis Of actual value. We have
stuck to our text in banks and why
does it not hold good in public service
franchises? ?"
His Opposition Vain.
Chairman Sprague said $320O0,O00
was not third of the value Of the
iron mines and there was no sense IN
talking about assessing public service
corporations at one third the value of
stocks and bonds as the board could
not say what the market value of them
were.
Auditor Dunn said only $4,000 was
for the personal property and franchise
of the electric company as the re-
mainder, $249,99O, was real estate.
On the roll call the report of the
committee making no increase from the
return of the Minneapolis board of re-
view was adopted by a vote of II to 8.
Those voting to adopt the report were
Gov. Van SAINT, McKibben, Johnson,
Cole, Sprague, Grenier, Hodson, Cooley,
Shook, Thorps and Anderson. Those
favoring an increase in the assessment
We're Auditor Dunn, Lawrence, Brain
erd, Nelson, Laugon, Philley, Palm and
Strong.
Gas Company Protests.
The Minneapolis Gas company was
the next corporation tackled. A reso
luton from the committee placing the
| of a long discussion. The figures as
returned to the board were $751,860
Manager Levings, of the company,
said he had no objections to the as
sessment if all the public service cor
porations were treated alike. An as
sessment of 100000 would make the
company pay the highest gross earning
tax. Last year the company had paid
on $652,000 and this year after return
ing an increase of 100000 by the Min
| neapolis board of review the state
| board wanted to increase it another
! $150,0O0 The company made no more
money now, although it sold more gas,
as the cost of coal oil and labor had in
| creased and according to it's charter
i the price remained the same. Mr.. Low
| ing admitted that the company paid
per cent on a capital stock of $780,
600 and had done so for the past eight
years. The company was also bonded
for 100000, but this had been spent
in charging the plant and laying new
mains as the city grew. Mr.. Levings
i contrasted the assessment of his COM
pany and the gas company of st. Paul
which furnished both gas and electric
| could escape with 100000 there was
! neither business nor fairness in assess
| ing his company $3.50, 900. He was will
ing to pay on 100000, but objected to
the extra 100000.
Escapes Portion of Tax.
Auditor Dunn explained how the
company last year by a mistake had
escaped paying taxes on $4,000, which
the same board had intended to in
! crease it. The capital stock of the
! company was 100000 and paid per
cent dividends. This meant $1,600,000
on a per cent basis.
| Mr.. McKibben could not understand
how the company could be bonded for
$2,SOO,OOO and not have that amount Of
property.
Chairman Cooley of the committee
wanted to read a letter from Frank N.
| Stacy, published in T h Glob e sew
eral days ago. but Auditor Dunn OBJ
| jected, saying he would not believe the
writer and that it was personal mat
| ter.
Gov. Van SAINT thought probably the
committee would be willing to reduce
| the figures to $S50,000, as suggested by
Manager Lovings, but the committee
did not take to the suggestion.
The assessment was finally fixed at
| 100000, eighteen of the members vot-
| ing for and only tWo-Dunn and An
derson-against it.
! Transit Companies Protest.
The street railway assessments were
! taken up when the board reconvened at 2
! o'clock. There was a full attendance Of
members and M. d. Mum, representing
the company, was also present to do what
| he could in the way of influencing the
! board by an explanation of the company 8
! side of the case.
Resolutions were presented by the fran
] chiSe committee fixing the assessment Of
| the Minneapolis company at So, los, 065, an
| increase of 100000 over the return, and
| fixing the assessment of the st. Paul COM
! pany at $2,356557, an increase of 100000
! over the return by the county assessor.
Chairman Cooley, of the committee, said
| the increase was about 1219 per cent. The
! committee has found it hard to decide
! just what to do in the matter, but had
! finally decided that the increase of $780,,
900 was fair and just.
NJ d. Num-, representing the company,
said it wanted to pay every dollar that
was just and right, but it appeared to be
difficult to get a fair basis. The st. Paul
and Minneapolis companies, he said, had
a capital stock of s5,OOo,0O0 each. The
| taxes of the two corporations had regu
! larly and literally increased in the past
! five years. In fact they had quadrupled.
The company was now paying AZ per
cent e, on nit, its gross earnings. while no
ing anything near that sum- The in
crease now proposed by the board would
make the company pay per cent on its
gross earnings This was higher than
2S1O; Toledo. $50; Chicago and Cleve-
land paid the same, and in Milwaukee
there was a graded tax on gross earn
ings ranging from ~ to per cent. In
companies have to pay special as
| SeSSment.
Would 'NWpe Out Company"
In the Twin Cities the company had ex-
pended in paving last year 100000, and
this year in pavlngS and construction
$l,300,O0O. An assessment of over so per
cent on capital which the increase pro-
posed by the board would mean was too
heavy and tax that amounted to more