Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1915-02-07
FULL VALUATION YET ALIVE
Committee that Threw it Out as I'm
constitutional May Be Forced
to Reconsider II.
ELSE MUST WAIT TWO YEARS

A large amount OF interest centers
about the progress Of the bill IN the legis-
lature providing for the full valuation OF
real estate for taxation purposes Thus-
day night the bill was pronounced dead
after the senate committee on revenue
and taxation had voted II down on the
grounds that the attorney general had
considered II unconstitutional.
Saturday morning came the announce
ment that Senator Saunders was making
an effort to save II by getting II re-
submitted 10 the committee. II was an
nounced that Senators Bushee and NAL
lery were not at the committee meeting
when the bill was killed. and that they
desire a vote I'm the matter.
The system OF full valuation Of real
estate instead Of the one-fifth valuation
Sc in vogue IN a great many states, and
has long been sought and agitated IN this
state by some. The bill in the senate
was introduced by Saunders and ouinby,
both OF Douglas county.
The bill carried the endorsement OF the
Omaha Commercial club, the Real Estate
exchange, the city commission and vsri-
Gus other organizations that believed this
system OF valuation for taxation pur-
poses would be best City Attorney Rine
drew the bill with the help and expert
advice of John z. Breen. The two be-
lleved they were taking all precautions
TO avoid any hazard Of unconstitutional
fly. They believed they had II framed
so that It would stand the test OF con-
stitutlonality ~ It we're brought before
the courts for a test n passed
ma
Much TO the surprise OF both OF them,
however. ind to a lot Of others who ia
vored II, it>was declared unconstitutional
by the attorney general before II even
went to the committee. to say nothing of
getting before the senate OF the supreme
court. Acting on the attorney generals
opinion. then. the committee on revenue
and taxation turned il down.
The killing OF this bill would mean that
IN the future. as in the past. those who
are asked to buy Omaha bonds will be shy
because when they learn our rate OF tax
alton they feel It Is exorbitant II Is diff
ficult 10 explain 20 them that the rate
OF taxation. whatever II may be. Is sim
ply on one-fifth Of the full valuation OF
the property and therefore appears 20 be
Just five times as high as II actually IL.
Then the bond buyer In tho future, as
in the past. win want 10 know why we
don't say what we mean, or why we
don't have full valuation so that mat
terB Of this Kind can DO expressed I'm
terms that everyone understands. You
have TO explain to him that this rate 10
not what Il seems; that It seems five
times as high as II would be n based on
full valuation. and he grows more ana
more Suspicious, because he wonders why
things IN the financial affairs OF city
or state are not what they seem.
Figures Look Had.
Another disadvantage IN the one-flfth
valuation system is that amid a mass of
statistical information compiled by the
federal government about the various
states Of the union. the figures on prop
erty valuation for Omaha ana Nebraska
do not show up well In comparison. They
show up spiendidly. OF course. 20 him
who knows that we. In this state are
speaking in terms Of one-fifth OF actual
valeo. while most other states are speak
ing OF full value. But the vast majority
Of the people do not know this and they
take tha figures they find at hand. They
do not know that while other states give
the valuation Of a $4,000 piece OF prop
erty as the full $4,000. we give that
value In our statistics for taxation pur-
poses a. 10000.