Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1905-08-11
KEICBUN Talks ON
RAILROAD TAXATION
Railroad Commissioner Has
Some Views as to How AS
sessmentS Should Be Made
WOULD GET COST OF BUILDING
Thinks Cost of Construction and
Equipment Would Be Fair, Basis,
Takino Into Consideration to Some
Extent the Earning Capacity Of the
Line Being Assessed.
speclal to Times-Republican.

SDoclaI TO I1meS-16puUllCd
Des Moines, Aug. 11.-After discuss
ing the matter with a great many peo-
n,e state Railroad Commissioner N. S.
Ketchum of Marshalltown has devised
plan for making railroad assessments
which he believes presents the most
practical solution Of the question. 1t
eliminates all the idea Of uncertainty
and guess work as to the value OF rail-
road property 1t is Mr.. Ketchum's
idea that the actual cost of the rail-
roads in each county which is taken
into calculation in the matter OF max
ing railroad assessments should be as
certained 1t being matter merely OF
figuring on the part of skillful engl-
neering. competent engineer would
develon matters which could as we'll be
known with certainty as by estimates
and guesses.
With this as the basis of the idea
Mr.. Ketchum argues that there shouAo
be: First, board Of supervisors OF
three in each county; second. compe-
tent civil engineer appointed py the
board whose duty it would be to ascer-
tain with certainty the value OF all the
constructed property in the county, IN
cluding that of the railroads, including
all the right -of-way, actual value OF
the roadbed, main line tracks, switch
tracks bridges, depots track rights 70
streets, interlockers. roundhouses, turn
tables. water tanks and everything
that belongs to a railroad running thru
his county, whether steam railroads,
electric roads, street car lines, electrlc
or otherwise
TO the mileage found he would add
the enuipnent per mile of the rolling
stock belonging to the company In
speakine of the idea Mr. Ketchum said
today: "The one great point In raft-
road assessments Is to get down as
near as possible to something tangible.
To actual facts. I would not be un-
mindful Of the earning capacity Of the
railroads. This should be taken into
consideration to some extent, as II Is
now. the actual physical condition OF
the different roads should of course be
taken in consideration as to Its tax
able value But first, as basis, get
the actual value of the construction OF
the railroad and it's appurtenances as
it lays in your county. That can oe
known with a certainty and since II
can he known it should be known.
"r ho1;eve that the railroads should
he required to make reports to the ex-
ecutiye council, as now, of their earn
ings. but the earnings should oe TAKEN
into consideration only as they bear
on the condition of the property OF the
road. In the case Of big terminals sucn
as are in Chicago and other large Cit
ies. those cities would get the benefit
of that much extra -trackage In the
taYes A county that had the most rail-
road tracks would get the greatest
amount of taxes paid by the railroads.
Since the rolling stock and equipment
would be divided up and allotted 10 the
counties according to the number OF
miles each county had Of tracks the
county having the greatest amount of
trackage would get the greatest
amount of that form Of railroad prop
arty to drag taxes from also. But the
tracks and other property should be
assessed to the county in which they
are located. There is no reason why
one county should be paid taxes on
railroad property in the form of tracks
that are located in another county.
"My idea is that the railroad prop
erty itself is the main thing. All other
kinds of property is assessed on lts
physical condition primarily. What
newspaper plant pays in profits is new
er inquired into. What a store or mill
paws in profits is never inquired into.
/ would apply the same principle to the
railroads and while would require re-
ports on the earnings, I would consider
such earnings only as bearing on the
condition of the railroads property.
For instance a road might make big
profits one year but it's property be In
such condition that another year would
demand a big expenditure of money to
put it in shape Again the reverse
might be true and the road make but
little because Of big expenditures on
its roadbed or for other reasons. Those
things would be shown in the report.
A competent engineer in each coun-
ty. after he had ones prepared the da-
ia on the cost of construction Of all
the roads in his county would have lit
tie difficulty in keeping in touch with
improvements and additional con-
truction from year to year,
The Iowa railroad commissioners
will attend the meeting next week at
Deadwood. S. D., of the national asso-
citation of which the interstate COM
merce commission is part. An elab-
crate trip has been planned following
the meeting there which will take in
the Portland exposition and many OF
the attractions of the Pacific coast.
The Iowa commissioners will not at
tand tho excursion further than Dead