Weekly independent. [volume] (Elko, Nev.) 1887-1914, 1909-12-17
RAILROAD TAXATION
In NEVADA

The following extract from Governor
Dickerson's letter to the Res:o Journal
ON railroad taxation is published that
orr readers may know the assessed
valuation of the Southern Pacific
i'll other states and the "uluattion
placed on the road in Nevada
by The state board II us<c>>urs last
January.
After quoting from the sworn tcsti.
mony of Southern Pacific officials who
placed the cost of rcco%nstructing the
road in Nevada at 1872. 900 per mile,
the governor says:
Now, as to the valuations fixed. for
taxable purposes, in other states. Ne
braska, Il prairie state, fixes the valuu.
ton of the Union Pacific. Il road owned
and operated by the same interests
and inferior. if Anything. to the
Southern Pacific equipment. at S72, 900
per mile.
Kansas places 4 valuation on the ssine
road Of $4,000 per mile
The valuation in Oregon ranges from
S2S.0 900 to $40, 900 per mile.
Washington collects taxes on a valua.
ton of SO 9l - per mile on the North
ern Pacific road in that state. Il road
much inferior i'll equipment TO the
Southern Pacific in this state.
No replies have been received to
letters sent to tn commissioners of the
state. IF Utnh and California regarding
the valuations placed ON railroads in
those states.
The sworn statement. however. of
the Southern Pacific company. showing
the amuunt of taxes paid in The state Of
California. filed with the railroad COM
mission of Nevada, shows an increase
Of taxes actually paid Of $2UG. lS9. SO in
three years. On 800 miles of that
systems road in California the following
taxes We're paid:
100 .fi2i, 53l Go
l9uo 55O,2S2 63
1908 63O, III %
The facts regarding valuations of
railroad property, as heretofore stated.
will be presented to the state board of
ASSESSORS for their consideration. at the
meeting in january, and it will be for
the board tn determine whether they
Will accept the sworn statements of the
highest officers of the Southern Pacific
company, aS To- the value of the property
Of that company, or the verbal state
ment of that compnny's iaX adjustcr.
At the meeting of the state board of
assessors, last January, | urged that
the valuation Of the Central Pacific
line he placed nj $50, 600 per mile. /
shall take the some position at the
meeting to he held ncXt month, and ]
expect to see more satisfactory results
accomplished than attended my efforts
at the last meeting. No fair.mindcd
man. acquainted with the facts, can
say that such IL valuation is unrc:Son-
ably harsh on that company.
The tax rate in Nevada appallS the
eastern investor. He knows that we
have Il statute requiring the assessors to
value property at the actual cash value
of the property, but he does not know
that this is seldom, if ever, done. The
proper thing to do is to comply viii,
the provisions OF that statute us to
valuations and reduce the tax rate
prOportiOnatcly. With such q system
in operation the property holder would
he required To pay no more taxes than
he does today, prospective investors
would not be scared away by our rate,
and the state would make a far better
showing to the outside world. 1t would
he unwisc. in my judgment, to raise
the valuations to the actual cash value
ut II swoOp. This should he done
gradually but aggressively. Under the
method that has been pursued in this
state of raising the valuations of rail
road property 800 Il year it would
require 80 years mt least to bring the
Central Pacific valuation up to the
proper figure.