The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1909-05-01
PROPOSES TO TAX ORE IS CENTS
AND COPPER IL CENT
OPPOSED BY UPPER COUNTRY
Bill Was introduced Last Friday by
Representative Farmer Of Livingston
County.


terested in mine and mineral lands in
this district that a bill was introduced
In the legislature last Friday TO levy a
tax of 25-cents per ton on each ton OF
iron ore mined in this peninsula and
H-cent per pound on each pound OF
copper mined. The tax is a para
mount lien upon the property and
every stock holder Is made liable for
the payment Of the tax.
This bill is said TO be fathered by
the state grange and is another effort
of the lower peninsula farmers to get
out Of paying any taxes by having all
their taxes payed for them by the
mines OF the upper peninsula.
The injustice of the thing can be
best understood by example. Take the
Great Western mine. This Is an ex-
pensiye property TO operate and the
operators are doing well when they
break even and get fair return on
the money that they have invested in
the property. This mine pays It's
share Of the taxes to support the public
schools, build roads and pay the con-
tinsept expenses of the county and
city. The property is capable OF pro-
ducing about 300, 900 tons of ore. II a
speciHc tax were levied as proposed 10
the bill the Great Western mine would
nav $40, 600 into the state treasury, that
Is. provided IL was operated under
such condition. provision that is
very improbable.
Should the specific tax be levied In
lieu OF the other tax this property
would escape paying any local taxes
and our school would have 10 close.
our city improvements be suspended,
in short all our local institutions and
government crippled for we have no
other form OF property here to take The
place OF the mines for public revenue.
Our lands are not improved and con-
tribute but very small proportion OF
the total revenue
A similar bill has been bone OF
contention for nearly month past in
the Minnesota legislature but the good
sense and love OF justice displayed by
Governor johnson in vetoing the bill
defeated il in that state Governor
johnson declared the proposition to be
a great injustice in that il levied tri-
butte 20 one section of a state to assist
those Of another section.
That is just what the southern
Michigan folks are asking for They
figure that IL they can SOAK the
mineral producers of the upper penin-
sua they viii have less to pay them
selves
Atty. Chas. II. Watson left for Lans-
ing last Sunday night and was TO be
accompanied by many other mining
attorneys and mining men down The
line who are going 10 the capital "a
make determined 6ght against the
measure.
Horace j. Stevens. the well-knowr
copper statistician, says that the bill
is ridiculously unjust. The tonnage
tax on copper and iron was tried many
years ago and was found TO be IA dis
NAL failure, which resulted in it's be
ing repealed. Now the state grange
Is endeavoring 10 have a similar meas
ure passed
In the iron country. said Mr., Stevens
there are nigh grade and low grad,
producers Some of the high grade
producers could stand tonnage tax
although IL would prove mighty dis
agreeable to them. while the low grad,
mines would practically be forced ou
OF business IN vetoing the tonnage
tax bin on iron In Minnesota Governor
johnson realized the ipjustice of tn,
measure and promptly placed hii
star'o OF disapproval on Il, by return
ing Vne bill nnsigned.
The advalorem method OF taxinl
mining properties is the one believed
ocally TO be the most ideal, as a prop
erty ia then taxed on what ii really II
worth. and not on what II produces
There are several instances of tw,
mines producing an equal amount o.
ore. yet one is barely getting along. tn'
other on the high road 10 success Th'
injustice Of taxing ths former compan,
on the same basis M the latter IL read
lily apparent.
There IL not the sllghest doubt tina
prominent mining interests Of the en-
tire peninsula will shortly take step
towards bringing anout conoertet
hght on tho measure now before th'