Omaha daily bee., 1907-03-19
RAILROAD FIGURES FALSE
Statements Published in Lincoln Paper
Do Net State the FaotS.
rAA EXPERT TABLES UNDER SCRUTINY
Analysis shows His Conclusions 20 Ne
Far from Correct, ms Towns VIII
Gain and County VIII Not
Lose Under Law.
cFrom a stan oprrespondent.D


LINCOLN, March 1s,-(Special )-Another
tax expert, not in the pay of the railroads,
has given out a statement for publication
in answer to the railroad argument against
the terminal tax bill published In Lincoln
papers last Saturday. This expert said:
"The whole question of whether a town
will gain or lose by assessment under II.
r. 192 turns on three items of property
balanced against what may be distributed
for terminals. Divide the tangible railroad
property into Ave items and they will in
clude all of IT, Roadbed and main track,
not including right-of-way; rolling stock;
right building and structures; side
and spur tracks
The value Of the roadbed and main track
and rolling stock, whether in country or
city and village, will be the same. But
right in cities and villages Is much
more valuable than right-of-way in the
country. Nearly all buildings and struct-
ures are in towns; nearly all side and spur
tracks are in towns. II the greater value
Of right-of-way in a town added to value
of building and structures and value of
side and spur tracks is greater than the
towns proportion Of the terminals dis
tributed, the town will get a larger assess
ment under II. r. 1872. II these three items
added up total less than the towns share
OF terminal distribution, the town will get
a less assessment under II. r. 1872 than
under present system. OF course franchise
value distributed on main line or attached
to property where found must be consid-
cred.
Take the Burlington system It has 26l1
miles Of road in Nebraska and but two
considerable terminals. The terminals at
Omaha are possibly worth 100000 The
terminals at Lincoln are possibly worth
$5,O0o,ooO, though half of the amount would
cover it Total terminal value for distrt-
button, a0OO,OOO. This spread over the
Burlington's 26n miles of road gives less
than $4,000 to each mile. What town on
the Burlington system with a mile OF tho
main line but has more within its own
/ limits Of extra value of rtght-of-wav.
buildings and structures and side and spur
| tracks than the $1,000 its mile of main line
gets from distribution Of terminals? The
Union Pacific says the reconstruction value
Of side and spur tracks is 1900 per mile
and that is cheap enough
Union Pacific DIstribution.
This same condition is true of all roads
In Nebraska except the Union Pacific It
will be noticed that the $4,000 per mile dis
tributed is full value. including franchise
so any subdivision having one mile of the
road gets only one-ffth of 1900 or $500 upon
which to levy taxes. How good the rail-
roads are to school districts, townships and
! vlllagesl
The distribution of Omaha terminals of
! the Union Pacific over its 961 miles of lines
In Nebraska is worth talking about, and It
! Is the only one the railroads dare talk
about. The question as shown above does
not AFFECT state, county, school, township
and road district taxes The question. how
ever, is VIII assessment of railroad prom
erty within the town by local assessor give
as large assessment as it now gets under
unit system?'
THE Union Pacific last June said its 961
miles of road in Nebraska terminals and
all could be reproduced for $19 700, 900. But
the state board valued the property at S5s,-
l6o,OOO, an increase for franchise value Of
$SS' 10000 That is. the state board said
that II the tangible value Of the Union
Pacific system in Nebraska is sl9,7OO OOo
the franchise value is almost twice that
sum. The only way to get a value in
Omaha sufficient to give a dlstributive
value out Of Omaha of $4,000 per mile IS
to give the property in Omaha the propor-
tion Of the franchise value II is Of the tam
gible value. II this rule is followed the
towns on the Union Pacific even do not
lose under H. r. 1872.
How II Would Affect Fremont.
Take Fremont for example. Fremont
has the following items of tangible prop
erty within its limits, as valued by the
Union Pacific officials, and the aforesaid
tax expert used exactly these figures:
Main Main line, IL miles at $1566s. ........$ 26 6S6
Side and second track, sos miles. at
1900 :........::................ 2is2O
/ Right-Of-way, 25.S8 acres at 5000 - 81 76O
1ool mouse, lOXl4 teet.,.,..,...,........ 40
STOCK yards. ........................,,.. 100
Waterman mouse, 5X1 feet.....,...... Is
Two standpipes. s...............,........... 5000
TsssSehsei depot, .,:.............. 2 s96