Omaha daily bee., 1903-01-29
7ictor Rosewater Speaks on Double Taxa
tiOn of Mortgages and Property,
OULD LIST ALL IN ONE ASSESSMENT
J, H. Mcintosh Addresses Himself to Rail-
road Taxation in Cities
ARE NOW ESCAPING MOST OF BURDEN
Perry Resolution Concerning Lob
byists IL Tabled In the House
Move 20 Dispense with
Printing Board.
F'rom a stan COrrespondentD

l4lNOOl4N, jan Ebs-lNpeClai lRlekFansl
The joint revenue committee held its
first public melting tonight In tho as
sembly room OF the Lindell hotel All
members OF the committee were present,
likewise a number OF other Legislators and
many outsiders. 1t was noticeable that
no regular or official representatives of the
railroads, who had been especially invited,
was present to submit the views OF the
corporations. In the audience, however,
were many identified as railroad hench-
men.
Victor Rosewater and ]. II. Mcintosh OF
Omaha the latter attorney for the Omaha
Real Estate exchange. and w. ]. Lamb. and
attorney Of Lincoln, addressed the meet
ing.
Mr.. Lamb the first speaker. confined his
brief remarks chiefly to the matter Of delin-
quent taxes. saying they should be made
a state fund to pay state debts. All taxes
five years delinquent, he thought should be
bid in by the state. To the end that no
question should arise as to the municipal
tiles claims to pay certain bonds, he
said. let the cities bid the taxes not
redeemed. Within two years he would
turn over to the state the property with
absolute title. Mr.. Lamb, though n "de-
voted friend" OF the present revenue law,
thought IT could be amended to embody
these provisions with profit
Avoiding Double Taxation.
Mr.. Rosewater. on invitation Of the
chairman. addressed the meeting, dwelling
chiefly on the subject OF double taxation
OF property. such as securities for mort
cages, loans and debts and the notes,
bonds, etc. and in the hands OF the lender.
He pointed out that these securities con-
stituted no addition to the taxable prop
erty, but were simply evidences Of part
ownership, citing the illustration Of cattle
paper, which represents a share OF the
holder in the cattle by which they are se-
cured. To avoid double taxation, be ad-
vocated the unit system of assessment
whereby the property and the mortgage
or note would be assessed together as Of
one valua AZ the location of the property.
He submitted to the committee draft COW
ering this part as followsi
Where any property within this state ia
mortgaged, conveyed or pledged for the
security of a loan or debt then owing the
said property and the notes, bonds, mort
cages, deed Of trust, trust deed contract
or other conveyance shall be assessed as
a unit and as one ana the same. and as
or one value and as the value OF said prop
erty so mortgaged, pledged or otherwise
conveyed only and any such notes bonds
mortgages, deeds of trust, trust deeds, con-
tracts or conveyances shall not be other
wise returned or assessed provided, that
in no case shall any property so mortgaged
conveyed pledged be assessed for less
than the market value OF the loan or debt
then owing for which II is security.
II the owner in possession Of any property
within this state so mortgaged, conveyed or
] pledged for the security of loan or debt
/ tsen owing, fails or neglects to pay the
/ taxes thereon or permits said property 70
! be sold for taxes, the mortgagee or holder
| Of any conveyance or pledge for which said
! property is security may pay such taxes
| or redeem said property so sold for taxes !;
and on payment of any such bond, mort
| gage, note or debt. any action 10 en-
! force the same, the taxes so paid may be
| demanded. with interest thereon at the
same rate specified in the mortgage. note
or conveyance. and the same shall be in
| and any taxes so paid by the holder of the
( lien on the property by which II is secured
| until the same shall be paid.
Takes Up Knnnas Bill.
| Taking up the Kansas bill and the re-
port OF the Kansas tax commission, Mr..
Rosewater declared that, while II had some
! good features that ought TO be adopted in
! Nebraska, on the main points 1t was inRp-
plicable to this state because Of constitu-
! tional limitations. While in the main
| points OF double taxation and corporate
taxation 1t was vicious and under the fea-
| lures embodied in II, which he thought
were worth copying are:
| /. County assessors instead OF precinct
/ assessors, centering responsibilities and
! avoiding inequalities; making of provision
! for removal for failure to enforce the law
/ and the appointment OF a successor from
! the same political party in case Of such
2. Fuil value assessment.
! 3. Assessment of merchandise and va.ta-
/ BILE personal property at the average for
4. Assessment of brokers and commission
men on the average capital invested.
! s. Assessment Of express and car compa-
! MES on a proportionate capital employed
| In the state, represented by the ratio of
gross earnings in the state state .,. o..
municipal taxation by municipal authori-
ties.
/ tate, at intervals OF four or five years.
Mr. Rosewater replied to many ques-
tions brought out by his remarks.
Pleads for City's Right
Mr. Mcintosh addressed the meeting at
some length. He, too, was kept busy answer
ing questions Mr.. Mcintosh is the author
OF H. r. No. III. the bill designed to give
the Omaha tax commissioner the right "a
levy a direct assessment on the railroad
property within the corporate limits, In
stead OF accepting the figures OF the state
Board OF Equalization, as at present. His
remarks we're largely along this line OF
/ thought. Mr.. McIntosh's main point was
that Omaha's tax commissioner has this
right under the constitution, and he plead
for the enactment OF the law which would
| enable him 70 exercise this right. He
I showed that the universal sentiment OF
Omaha demanded this law. He said Ne
brsskH's revenue law was good in the main
and its enforcement was all that was nee
essary 20 afford adequate relief
He insisted that the railroads OF Omaha
using the Union Pacific as an example, are
not paying their just share OF city taxes
under the present law. He completely dis
Psllcd that old Illusion palmed on on
thoughtless people by Union Pacific attor-
neys and lobbyists that, as every other
county in the state should share in thf
valuation Of the Omaha terminals Il would
be double taxation and therefore unjust tC
increase the local taxes In the city Of
Omaha Like packing houses, jobbinl
houses and all other concerns depsndeni