The Providence news. (Providence [R.I.]) 1891-1906, 1903-04-03

a. Market SQUARE. Providence. r. I.
except a few Of the Oldest The strike.
possibly injudicious. and at any rate not
we'll managed, was broken by the I'm
portation Of professional strike break
ers" furnished by a combination OF the
street railroad companies OF the country.
The old men are now nearly all back at
work again.
Several indictments were found against
the company, and the cases we're TO be
carried to the United States supreme court
10 determine whether the law In const-
tutional. But the same legislature that
passed the law In the spring repealed
II at the post election session In Deoen-
Der. and the 1o-hour law is no more.
MOSTLY WATER
Our street railway Is capitalized for
about three times Its value. IL could De
duplica ted in toto for five or six millions.
BY its own sworn returns to the assess
ors the value Of its poles. wires and rails
IN this city is S73,9so. At that rate the
whole equipment of these things IL
worth only 31.06s, ,o0o
It's stock Of IS. 600. 600 is all water It's
bonds OF 3s,7oo.ooo are partly so. Very
/ and OF that received from its sale of
bonds a part went TO pay for the water
/ in the old Union Railroad Co.
II must be remembered that the Trsc-
! ton company paid $3.50 for the Union
company's stock. That meant that three
OF the fve millions II paid for that stock
l were water. 1t IL probably fair esti-
mate that there are now 10 millions OF
water In IL.
II pays per cent. on its stock and
bonds; s per cent. of $4,000. 900 is $500.
600. which represents the yearly gift the
people are making the company.
In the matter OF taxation, too, the city
loses $4,000 every year The tax law
OF the state, as interpreted by our court,
applies only TO the real estate and ma
chinery OF corporations. Their other per-
sonal estate is not taxed. Accordingly
the cars OF the railway company. worth
probably s2,5o0.oo0. are exempt from
taxation.
The farmer Is taxed on his farm wagon
and the teamer on his teaming wagon.
Why should not the railway company
be taxed on its cars?
or course the law ought 10 be changed
few years ago the statutes of the state
were revised. but this law was not
changed. l will not affirm that the fan-
ure TO change II was in any way con
nected with the fact that one OF the
members OF the committee which revised
the laws was a large stockholder and
however. may find II hard not TO dra"
an inference,
II IS possible that under the law as II
now stands this tax might be collected
The law ch. 10. sec. IL, does not In Ns
terms limit the taxation of the persona
estate of corporations to maohlnery, pu'
only impliedly, and when passed II un'
donbtedly contemplated manufacturing
, corporations only.
THE nresent construction OF the law Is
due to court decision IL years ago. IN
volving a manufacturing company u6 X
> l. Ref, 235) AS far as l know, no al
8 tempt has been made - test the law II
the case OF the Rhode Island. IL might b'
worth the while OF the city 10 make 9
test case and determine the cars or Z
, wealthy corporation are 10 slip througi
) the net OF tsxation. while the poor man
, wagon is caught therein
) Now, as to the greater question, Wha
r nolicy should the city of Providenc'
: adopt as to the future of electric trans
? portauon?
q AT COST.
. Well. my bottom proposition is that
: | should see that transportation Is furnish
r ed at cost Even now, the ride for whicl
We pay five cents only costs between
q and 4
o tai receipts OF the Union Railway an
. Cable Tram Co. were H,1@,N. III rare
I had been reduced to I cents, and no NOR
a people had ridden on the cars II woul
a have reduced the receipts by l-5 or tina
a sum, or $3io,0p.
The capital OF the two companies wa
1900. .OOO0. OF which at least A,oom wa
!, water, and paid s per cent Had the fou
u millions OF water not been there the
= per cent saved on " would have bee
y enough within few thousand dollars I
:, balance the loss OF income.
I But besides paying dividends, the com
pany lays by surplus each year. a
e. the beginning OF that year II had sur
: plus Of $50. 900, and ~ added $4,000 durin
the wear But we made the sssumptio
that no more people will ride at tou
cents than at FIVE. and everybody know
that that assumption IL sratultous MOT
people would ride and the receipts Will .
Increased by fares amount they paid.
fares should he reduced 10 three cents
traffic would he even more increased
without a corresponding increase I'm cos
Moreover per cent dividends are nc
n sine quo non. Were the dividends .
the actual capltal brought down to mo-.
crate rate. say per cent. there woul
be further saving ,f siSa Tnnn- a year
FOUR CENT FARES
From the returns OF the company !
self 10 the railroad company, II is den
, onstrated that reduction 90 four cent
would be posslble And II we take a,
n count OF the annual surplus. the increa'
a. "a revenue from tho greatly increase
., traffic. which would result from thr'
e. con, fare. and tho reduction Of "
~ m.o esu, dividends 10 per cent. taking the'
things into account, it is evident that