The Athena press. [volume] (Athena, Umatilla County, Or.) 18??-1942, 1905-11-14
ACCEPTED BY COURT
o. B. & N. PAY 1908 A TAXES
ON VALUATION OF $4,000.
With Interest, Approximately $7s,-
779.76, Becomes at Once Due to
Umatilla County.

East Oregonian: At O'Clock Sat
urday afternoon the county commits
sioners formally accepted the offer of
the Oregon Railroad 81 Navigation
Co., for settlement of the latter's
taxes. Under the agreement the
company's roadbed is assessed at the
rate of 100000 per mile, and the taxes
for 1908 and 1904 are to be paid up on
that basis with interest at the rate of
per cent per annum. According to
Col. ]. II. Raley, who appeared at the
meeting as the representative of the
company, the amount of the com
pany's tax will be paid Monday or
Tuesday.
Under the terms cf the latest offer
from the RAILROAD company they agree
to accept an assessment of $4,000 per
mile on their roadbed and to pay their
back taxes upon that basis, and inter
est at the rate of per cent per an
mum. Under these terms approx
imately $78, ,779.76 becomes at once
payable to the county. OF this amount
$3S, AGO. 33 is for the tax upon the
roadbed for 1903; $35, 425. 80 is for the
roadbed tax for 1904, and "a, S93. 63 is
for the interest on the delinquent tax
at the rate of 6 per cent. Already
$4,000 has been paid to the county by
the railroad in settlement of the tax
on the company's property other than
the roadbed. Consequently the total
amount of the tax for the two years,
together with the interest, makes the
sum of $87, 779.76.
The increase in the company's taxes
since Mr.. Strain became assessor is
| approximately $4,000 per year,
which sum is sufficient to pay the
annual salaries of all the county off
cials and still leave remainder of
$4,000 year.
| The action of the commissioners
brings to an end the long, hard fight
that has been made by Assessor 9. P.
Strain, backed by the county court,
for the raising of the 0. r. q N.
assessment. 1t is struggle that has
lasted through three years and has
brought forth the best efforts of the
men on both sides. When Assessor
Strain went into Office the railroad
roadbed was being assessed at $4,000
| per mile, and he at once raised the
amount to $l2, 900. However, before
doing SO he took the matter of a
higher assessment for the railroad
| property up with the other assessors
of Eastern Oregon, and in 1908 an
assessors meeting was held at Arling
ton. There rate of $500 per mile
was agreed upon, but Assessor Strain
refused to accept the conclusions of
bis fellow assessors, and made the
$4,000 mile assessment.
In 1904 the railroad company began
suit in the circuit court to knock ont
the assessment on technical grounds,
but lost, both there and in the su-
preme court, to which they took the
case on appeal.
A month or more ago compromise
proposition was made to the commits
sioners wherein the company agreed
to pay their back taxes upon that
basis, but no interest or penalty. This
was refused by the commissioners
after long consideration, and the next
event in the case was the filing OF a
suit to prove that the assessment of
$4,000 per mile was unjust. This
was then followed by the making OF
| the last offer by this company, which
was done with the understanding that
il it was accepted their equity suit
would be withdrawn.
A Later Report.
! However, when Colonel J.. II. Raley
local counsel OF the 0. r.. g. NJ, was
officially notified of the action Of the
county court, in accepting the com
pany's offer TO settle on basis oi
$4,000 assessment, he informed the
court that the company had concluded
that it could not come to terms unless
the penalty tax of $4,000 already paiC
on the assessment, be refunded
The matter was threshed out 'all day,
the company losing its contention.
At $40 Saturday night an agreement
was reached finally that the assess
ment shall be paid on basis of $40,
900 mile valuation, with 6 per cent
interest on all back taxes, with th'
payment by the company of $4700 OF
the penalty tax short time ago. Th,