The Detroit times., 1912-05-29

Ida NJ Covey, 1881 Third avenue
Edward ID. Clarke. INA Michigan
charles A. Dutton. 32s Myrtle street
Mathew II. Douglas, ass Lincoln ave-
Geo Hubert Grommet. 2oOl Jefferson
William C Marx. 4s5 Jos. campau
avenue. -. ~,
Robert w. Rennie. 77l Third avenue
Matthew j. Ryan. 3IS Moran street
Alexandsr Reid. 81 Henry IN,Nisr streer' aud
3s9 Wood ward avenue.
Woodmcre Pharmacy, 2494 Fort street
. w W. n. Young. SIS Greenwood avenue;
Carl q. Granacher. e3ls Woodward
BurwelI and Potter. i24i Fourteen
Respectfully submitted,
GEO. s. ELLIS.
JOHN HARPER.
Accepted and adopted as follows:
Yeas-Ald Brozo. Burton. Ellis.
Field, Garvey. Gilman, Gutman. harp-
fer. Hindle, keating, keuscn. koenis'
Littieheld, Lodge, Lynch. McCarty, Ma
SON Merritt. OBrien. OstrowskL owen
Rosenthal. schultz. Skrzycki. Iheisen'
Thompson. Tossy. Walsh watson
Nays-None.
To the Honorable. the Common Councli:
Gsntlemen-Y6u 6ur Special Committee
appointed by the President under reso-
luton presented by Aid. Koenig at
session held on April 1s. 10 confer, with
the officials of the Pennsylvania IL.
II. Co. with view OF ascertaunns
whether said company Will be able 70
extend terminal facilities into the CITY
of Detroit and urge upon the otnciaIs
OF said company the needs and require
ments of the city, respectfully report
that your committee, In accordance
with the instructions OF the common
Council. conferred with the officials OF
the PENNSYLVANIA r. r. system and ar
ranged for conference at their oinCe
in Pittsburgh on Monday. May ~,
which conference was attended by your
entire Special Committee. his Honor, the
Mayor: Homer Warren president Boaro
OF Commerce: Thomas Nj. Neal presl-
dent General Motors Co.: A: I. water
fall, traffic commissioner OF the Board
OF Commcrce. and other members OF
said BOARD as representing the inter
ests Of the City or Detroit; while fIfst
Vice-Presiaent Joseph Wood ana sec
ond vice-President James j. Turner
represented the Interests OF the Penn
sylvsnia r. n. Co. The conference was
called together in Mr.. Woods otnce
and your committee was most cordiasIY
received.
After your committee and members
Of the Board OF Commerce had fullN
outlined the policy OF the city and mao
extended an invitation TO the PennsyI-
iral facilities into the City OF Detroit
had pointed out the needs and require
ments of additional railroad terminal
facilities 10 handle the tonnage ema-
mating from this city, which existing
roads are unable to cope with, ana the
personal assurance upon our part, as
representing the people of the CITY OF
Detroit, to cooperate with the officials
of the P.nnsylvania system and grant
lany raa sonable request which the COM
pany might make OF the city Insofar as
the city's interests are concerned IN
their securing terminal facilities win
I'm the city Of Detroit, we were in
formed by Mr.. Joseph Wood. first vice
president OF the Pennsylvania system,
that while they appreciated our COM
ing and our offer OF hearty CO. opera
ton there was one difficulty which
was of such magnitude that the
Pennsylvania system has been loathc
to make any further Investment in
Michigan, calling particular ATTENTION
10 the fact thar they do not like the
way the railroads are taxed In our
state and unless there Is some change
In our taxation laws, they would nave
10 think very seriously before making
any further Investment anywhere IN
the state o. Michigan: that the ratl.
roads have investigated conditions and
have found that ordinary property IS
assessed at 80. 30 or 80 per cent of its
value, while railroad property Is assess
ed at practically its full value. while
railroad property il assessed at prac-
u
on the same basis. no one would have
any cause to object: that II the Penn
sylyania Railroad system should build
a new line into Detroit IL Is perfectly
willing 20 pay a fair share OF taxes.
but would not want to be taxed out
of existence and In conclusion stated
that the Pennsylvania X. X. system
fully appreciates the tonnage posst-
bilIties OF Detroit and wants TO get It's
fair share OF that tonnage some way
or other Mr.. Woods remarks 10 your
committee led US TO believe conclu-
sively that the Pennsylvanla X. r. Is
eager for an entrance to 1Strott and
The City OF Detroit Is as eagSr to have
the Pennsylvania system extend its
tracks and establish a terminal in this
city as the Pennsylvania ofhctals arr
tu gain an entrance here and get its
proportionate share OF the vast tonnage
which annually leaves this city, and
that the officials Of the company have
made some Investigation IL borne out
estimated the cost OF a double track
extension from Toledo 10 Detroit at
1000. 200 with an additional expendt-
,urn,Da, tnre O 'vItH 'sasIlities Therefore. IL is
apparent to us from the tenor OF
these remarks that the main objection
which the Pennsylvania r. r. voices Is
the taxation problem and this general
complaint in substance IL that the rail-
roads are taxed close TO 100 per cent
because ;hey are railroads; that real
and persoual property belonging TO prl-
vate individuals is taxed considerably
below par. because local assessors or
supervisors favor local owners. which
low valuation OF general property
makes a high tax rate for the railroads
and that this high tax rate draws more
school money from the railroads than
the schools OF the state can or do act
ually use. The basis of taxation,
whether II be 80 so. so or 100 per cent
OF the actual cash value OF property,
makes little difference. IL all the prop.
erty in the state, whether u be owned
by private individuals or corporations,
Is treated alike and this I'm substance
seems TO be the bone OF contention
Mr.. George Lord. Wayne County's tax
expert In discussing tho Pennsylvania r.
r. Co.'S reply 60 the Detroit delegation,
says that the railroads In Michigan are
paying more than their fair share OF
taxes 10 the State. but .he situation Is
not as bad as has been represented, for
the roads are not paying taxes on their
actual cash value or even CLOSE to actual
cash value; that the fault II no. with
the laws OF the State OF Michigan, as In
HIS Judgment Michigan has the best ad-
vnIorem tax laws IN the United States,
hut the fault lies cntirsly IN the 1dmin-
SCISSORS grossly undcr-value property I'm
their districts and when the totals are
made up and the rate is computed IL IL
way too high because of many UNDER
so that the railroads get "
going and coming. ior they are taxed at
the high rate on already high valuation
aud the CITY OF Detroit gets the same
cent valuation here. ktr Lord states
that the farmers are not TO blame. as
they are paying ON their farm lands
practically az much as property own