The copper era., 1905-08-31
DOnau States His Position.

from the territorial board because he, with three other members re- fused to become party to the out rageous tax raid on all mining in- dustry of Arizona, was in Tucson lasteweek, and the following from the Citizen is given as a statement by MT. Donau of his position on the board of equalization:
 "The increased assessment on all patented mines in the territory will work great hardship on the mining industry and is an injustice. Gov ernor Kibbey's idea was to get at the big mining corporations, and in order to do this there was a general in- crease in the assessments on all patented mines, ranging from 100 to 1900 per cent. in the various prop critics.
 ''There are in the territory 2800 patented mines. Of this number five big corporations own perhaps $50. Of the remaining 245O only about 10 per cent. are being worked. Ninety per cent. of the patented mines in the territory have no immediate value. It is not equitable and it is not giving the owners of the mines a square deal to raise their assess ments in this fashion. Many of the mines are mere holes in the ground, which have no positive value until they become producers. The taxes may amount to more than the mines are worth. Later they may develop into paying properties or they may not. They are very much of specr- lative proposition. And the terri torial board of equalization has in- creased the assessment on these properties 800 per cent. in Pima and 1900 per cent. in Cochise county and varying amounts in other counties.
 ''1t is well known that a mine has no positive value until it is a pro- ducer, and it is not right to subject to injustice the hundreds of small of the big corporations. It is simply case of squeezing the many to reach-the few.
 ''I was speaking to d gentleman from Maricopa county last week in Phoenix. I explained the situation to him in this manner: Suppose MT. Smith has a farm of 1000 acres in your county. It is fine farm. It yields large crops and the land is very valuable. It is to be believed that MT. Smiths acres are not as- sessed high enough. Is it right, in order to bring his taxes up to the right figure, to raise the assessments on all farming lands in Maricopa county 15OO per cent? The Maricopa county man stated that it was not. Yet this is just what Governor Kib- bey is doing to the mining men of the territory.
 "The raise by the board will have a tendency to keep capital out of the territory and will greatly retard the development of our mines. I believe that the boards action will be held OJ LAC OO1I lS3 DuI never IuC- less great injury will have been done.
 ''I favored and still maintain that all the mines should be assessed at a fair valuation, but I am for justice and square deal for all, big or little. The big corporations which Gov ernor Kibbey sought to reach are the Copper Queen, the Arizona Copper company, the Detroit Copper com pany, Senator Clark's mines in Yavapai county, and all the Phelps Dodge properties.
 "How the percentage raises were arrived at I do not know. The pro- gram as adopted by the board was handed to us when we met. I refused to stand for it. I did not propose to be dictated to nor to be a mere fig ure-head nor a tool of the governor. When my position was known my resignation was asked for and it was promptly given. That is the whole situation and the whole story"