The Bourbon news., 1912-11-05
REPLYTO OJUsTUsGOEBEL
Gov. McCreary Writes About
Corporations and Valuation
of State Franchise.
READY TO ASSIST STATE.
Recites Law Requiring Attorney
General to Recommend Be-
fore Employing Counsel
READY TO ASSIST STATE.

tlODS Wnlcn nave lnStltute0 suits per-
sist in their efforts 1.-The State of Ken
tucky and the cause of the taxpayers
should be defended in the courts by
counsel in every way well equipped,
and by all the attorneys that may be
needed to cope with the many able at
| torneys who instituted the suits"
The Governors statement follows:
1.-The letter of Mr.. Justus Goebel ad-
dressed to me and to all administrative
and legislative officers of the State,
and to all citizens of the Common
wealth who are interested in equal and
uniform taxation, has been published
generally in the newspapers and con-
tains valuable information and impor-
tant suggestions.
"He was prenet at the meetings of
the Board of Valuation and Assess
ment, which occupied about five
months and must be well informed on
the subjects to which he refers.
1.-The Board of Valuation and Assess
ment. consisting of Henry M. Bosworth
State Auditor, Thomas S. Rhea, State
Treasurer. and &. f. CreceIius, Secre-
| tary of State, did then work well and
fal thfully.
"All persons who have made proper
| investigation know that corporations
| in Kentucky have not been paying
| their just proportion of the taxes, and
there has been unjust and burden
some taxation upon the people as COM
pared with what has been required to
! be paid by the large corporations of
| our State.
81 am opposed to discrimination, and
| believe that taxation should be uni
form, and the corporations and the
people assessed and taxed justly and
fairly.
'In my message to the last Legis-
lature | recommended the passage of
eight important bills, and all were en-
acted into law except the public utili-
ties bill, which gave the Governor au-
thority to appoint an assessment and
valuation commission to do what the
existing Board OF Valuation and AS
sessment has done; but, as the men,
bers of that board had not under fosm-
er administrations been active. | had
no knowledge that the existing board
would be active until | was assured by
the members that they would do their
duty and be just and fair. and the pub
lie utilities bill was not passed.
1.-The existing Board of Valuation
and Assessment based their 1912 as
sessment on evidence of the values
PLACED: before them at great length and
| am cure they have presented what
they believe. after careful examina-
tion and convincing proof, are just and
fair assessments and of about four
hundred corporations assessed. only
eight have protested in the courts.
The eight suits that have been
brought against the State may be con-
tested through the Federal and State
courts. and are of great imortance to
the people and the State treasury.
They involve for the State apout four
hundred thousand dollars annually. and
for the county and city taxing dis
tricts about eight hundred thousand
dollars annually, or total of about !
one million two hundred thous and dol |
lars.
when the present administration
came into office, less than one. year
ago, the States Indebtedness was more |
than two million dollars. With just
and fair taxation the debt of the State /
would soon be eXtiLguished; and | re-
gret that important and powerful cor
porations are resisting the action of
the Board of Valuation and Assess
ment and endeavoring to perpetuate
taxation which stheil own admissions
show to be. unjust and unequal.
''If the corporations which have in.
stituted suits persist in their efforts,
the State of Kentucky and the cause
of the taxpayers should be defended in
the courts by counsel in every way
well equipped and by all the attorneys
that may be needed to meet and cope
with the many able attorneys who in
stituted the suits.
Il have perfect confidence in the
ability. and known loyalty to the
States interests of Attorney General
Garnett and his three assistants, and
also in the able and well equipped at
torney, Mr.. Rich. who by request of
the Attorney General, in writing, |
have employed but will be pleased
to appoint apother attorney, or two
others, if the Attorney General, in
writing, should ask me to do SO. as,
under the law. cannot emplov coun-
sci to represent the State without bis
request.
'Subsection 5 of sections 112-l5,
article 2. page 218, of the Kentucky
Statutes provides:
1.-The Attorney General and his as
sistants shall attend to all litigation
and business in or out of the State.
required of him or them under this
act. or other existing law or laws
hereinafter enacted, and also any liti-
CATION or business that any State Off
Ger may have in connection with or
growing out of his official duty and
no State officer, board or trustees or
| the head of any department or institu-
tion of the State shall have authority
to employ or to be represented by
any other counsel or attorney at law,
unless an emergency arises, which, IN
the opinion of the Attorney General,
requires the employment of other coun-
sci, in order to properly protect the in
terest of the Commonwealth, in which
event the Attorney General shall, in
writing, setting forth reasons for such
employment, request the Governor to
employ such additional counsel.
Before such counsel is employed,
his fee and compensation shall be
agreed upon and fixed by written con-