The sun. [volume] (New York [N.Y.]) 1833-1916, 1904-10-20
Valuation on
Independent Valuation on

Mayyille 1850 1900
I,ockport ............. l2Ooo 1000
Niatarn FaIls...,......... 5000 10000
Governor Chairman Odell was In the Far
West at the time on vacation tour with
Edward H. Hartman.
The Neu York Tribune Of July 80, 1908,
commented as follows:
In series OF carefully prepared articles the
Brooklyn Eagle has brought an indictment against
the State Tax Commissioners on account OF the
assessments OF telephone companies for purposes
OF franchise taxation. II makes spechc charges
OF wholesale disc Elimination against the Independent
companies in various cities. and Of favoritsm Tor
the Bell com panics. which demand the most search
ing Investigation by the proper authorities. 1t
also states that one OF the Tax Commissioners
Lester +. Stearns OF Dunkirk, was formerly coun
sci for the Bell telephone interests In this State ana
that the discrimination against the Independent
companies Is particularly glarng In his home town
OF Dunkirk and in other parts OF western New YORK
These serious charges. II the inequality OF as
sessment Is as real as the Eagle makes II apparent
thorough going reform not merely OF the assess
mcnt but Of the assessors Is needed. IL the In
equality Is due not TO error but to corrupt motives
which the EAGLE plainly nslnuates have controlled
the assessments. then punitive as well as reforma
tory measures will be In order. When Governor
Odell returns from his well earned vacation he Will
no doubt Investigate these charges with diligence
and impartiality.
The EAGLE marshals figures from all parts Of the
State sustain Its charges of systematic discrmi
nation. In Dunkirk the Bell company hos 40
telephones and In 1902 assessed for $500 The
independent company, with only $50 telephones
assessed for S 900. In WATERFOWL the Bell
company has about twice as many telephones as the
independent company, but Its franchise assess
ment Is 50 800. as against $4,000 on Its smaller rival
In Niagara Falls the independents have only ss5
telephones and are assessed for $4,000. while the
Bell people. with 1880 telephones. are assessed
for only $40 600 Similar figures are given respect
ing other cities. In some places where the assess
ments are not actually higher on the independents
they are said to be proportionately higher. In
Rochester the Bell assessment for 1907 Is s22l 900
and that OF the independent company is S7ioOoo
II the Bell assessment is correct then the indie
pendent assessment. 1t is declared. should be. In
proportion to Its business only 50 600. Variations
also pointed out In the valuation OF franchises
In different places. Thus In Cortland the indie
pendent company Is assessed for 10000. while In
the neighborng city OF Elmira the Bell company
with 500 more telephones and what would seem to
be a more valuable franchise. as the population
and the business are much larger Is assessed for
only $4,000. In regions where the Bell company
has a monopoly Its assessments are much lower
than where there Is competition, as Is shown by
comparative tables one item Of which indicates
that In Avon. where the Bell has exclusive service
with ESQ people the assessment is 81, $50, while In
Sennett competitive point, with only LAO people,
the assessment is 81 800.
Now. these figures look bad They may perhaps,
be explained and Justified and possible they should
be. 1t is not necessarily true that. as the Eagle
says, The greater the revenue the greater. of
course the value OF the franchise though II might
be expected generally that the company having the
most telephones would have the most lines and the
largest franchise privileges. Franchise assessments
are not based on earnings. The tax Is not one on
gross Incomes such as the corporations have asked,
but on the value OF the rights owned In streets.
II Is meant among other things to penalize COM
panies who hold franchises which they do not
improve. II Is possible that these gccm!ngly over
taxed independents have blanketed their towns
with franchises. or have lines utterly out OF pro-
portion to the telephones working on them. while
the Bell people have their business concentrated
and carry no unimproved franchises This. In
deed, does not seem probable .sfor It would be
natural to expect that the old companies, existing
long before franchises were taxed. would have
secured the largest street rights aud that their
rivals established in the last two or three years
would not only have been able to secure much
less valuable privileges. but also would have been
careful about acquiring useless franchises subject
to taxation.
In view Of the many unknown factors In these
valuations, we arc by no means ready to condemn
them. but the Eagles figures show such apparent
Injustice as to require explanation In detail Of any
facts which can Justify the seemingly unequal
assessments. The administration OF the State
Tax Commissioners. with their enormous power
over corporations. must be put beyond suspicion.
The enemies OF franchise taxation have predicted
abuse OF authority. and anything that even sug-
gests 1t must be unsparlngy Investigated.
Governor-C Chairman Odell on his return,
made no investigation OF the charges against
Tax Commissioner Stearns, and the Tribune
said no more about the matter.
On Jan. 0, 1901, the jamestown Bar As
ISOLATION met and adopted resolutions de-
manding that Justice Warren B. Hooker
of Fredonia, whom Governor Chairman
Odel designated as one of the Associate
Justices OF the Appellate Division Of the
Supreme Court, Second Department, should
reply to the charges OF the Brstow report.
The action OF the jamestown Bar Asso-
citation was the direct result Of meeting
of the Chautauqua county Republicans,
who met at Fredonia In G. A. r. Hall on
Jan. 8. circular had been sent to the
Republicans OF the county calling them
together. It said that crisis had arrived
involving the good name and future success
OF the Republican party and quoting Presi-
dent Roosevelt in regard to the Bristow
report that "the federation Of the wrong,
not the exposure, is the real offence"
George E. Tiffany former political
lieutenant OF Justice Hooker, was made
chairman OF the meeting. In opening the
meeting he said Of Justice Hooker:
The gentleman WAS raised in Cattarausus but
he spen, his youth and got his political Impetus
among He rpened In Washington and now
smells to heaven.
Henry c. Drake was made secretary, and
there were speeches made by A. N. COL
burn, S. S. Crissey, the Rev. E. p. Oeve-
land and Capt. Curtis Mr. Tiffany vacated
the chair and spoke on the resolutions, of
which he was the author.
Mr.. Tifany's resolutions were unani-
mously adopted and were as follows:
CALL ON THE BAR TO ACT
Whsreas The oflcial report Of Fourth Assistan,
Postmaster General Brstow shows that Maurice
Hooker, nephew OF Warren b, Hooker Justice of
the Supreme Court, hns been carried on the rolls
OF the Fredonla post once and that he has drawn
hundreds OF dollars OF salary for which no services
were rendered or intended to be rendered: and
Whereas. Frank p. Ball. who Is undetstood 10
have been debtor 10 said Warren r. Hooker, has
likewise been carried upon the rolls OF the said
post once without giving any return for the salary
whieh has been paid him: and
Whereas. One Miss Minerva JEFFREY woman un.
known In this community and said 10 have been