The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1906-01-25
Thomas Hulme Of the
P. R. R. Says the Contro-
versy Can Only Be Settled
On a Basis of Exact
Taxation
JERSEYS METHODS UNFAIR

DUE, BUT WANTS FAIR DEAL
ING IN RETURN-ALL BILLS
NOW IN UNSATISFACTORY.
Especial to "The Jersey city News.')
TRENTON, Jan. 25, 1906-The Judi
ciary Committee of the House devoted
yesterday to hearing what the railroad
lawyers had to say about the equal taxa
ton question and what objections, if any,
they had to the provisions of the three
equal tax measures that have been intro
duced. That the lawyers made the most
of them was accepted by the committee it
sary to state. They We're primed with
arguments and data to show that the
railroads were paying more than their
share of the taxes and that if anything
the private property should be compelled
to pay the full value of their lands. II
this was done, they contended, the cry for
equal taxation would soon be abated.
There were two things that the rail
road lawyers were agreed upon. They
claimed that the Perkins and Martin bills
were unconstitutional and that if either
of the mwas accepted by the comittee it
would have to be amended so as to con-
form with the constitution. The Calvin
bin was the only constitutional measure
now before the Assembly and as this was
unsatisfactory to the majority because It
gave the local assessors power to assess
railroad property at local rates for the
benefit of the municipality wherein such
property was located, the administration
forces are opposed to it. These latter
claim that the State should receive the
tax money and distribute it proportion
ally among the various municipalities of
the State. They do not believe in allow
ing any municipality like Jersey City or
Newark to hog it, as the Calvin bill
purposes.
The, two hearings have made certain
that an entirely new equal tax bill will
have to be presented to satisfy all SIDES
because no two advocates of equal taxa
tion are agreed to accept any Of the
+l,ao b;li ,o1xr boforo +bo T apiSlo t,1ra
The Judiciary Committee will undertake
the task of framing a measure. That
it cannot present bill that will be sat
isfaeto1y to all sides is now regarded as
almest foregone conclusion. but if they
! present a measure that will be acceptable
to- the majority they have accomplished
something that many equal takers have
spent sleepless nights in vainly trying to
solve.
At yesterdays hearing Thomas Hulme
of the Pennsylvania Railroad declared
that none of the three bills was suit
able to the railroads. He was satisfied
that the only way this controversy could
be settled was upon basis of exact tax
alton. The railroads, he reiterated, were
willing to bear their fair burden of tax
ation. but they did not want to be com
PEELED to pay more than other people.
In speaking against both Leader Per-
1 .
kinss bill and Mr.. Martins measure he
said it was impossible for any body of
men, except, as matter of guesswork,
to equaize the value of the main stem.
He also criticized Mr.. Galvin's bill and
said that any system of railroad taxation
which did not provide a system of proper
| equalization would be unjust to the rail-
roads. Throughout the United States the
railroads pay about two per cent. of gross
receipts in taxes. IF the railroad taxes
were increased in this State. as contem-
] plated by the bills under consideration,
| the rate in New Jersey would be ten per
cent. upon the gross receipts, result
which Mr. Hulme declared would be un-
fair and unjust to the railroads. He knew
of no State where such methods for tax
ing railroads were in operation as were
in New Jersey, and he never felt that
the New Jersey methods were just.
A long discussion between. Mr.. Hume
and the committee as to what is the fran
chise of a railroad followed, during which
Mr.. Hume said that .he only difference
between railroad franchise and that
of any other miscellaneous corporation
was that the railrVads had the right of
eminent domain. They had no other
right which any other corporation could
NOT obtain.
Mr.. Perkins quoted some figures show
/ ing the rate Of taxes which roads in other
States pay and when in answer to a
question by Mr.. Hume be said he took