Great Falls daily tribune. [volume] (Great Falls, Mont.) 1895-1921, 1919-09-05
FORD TAXPL Ian
|SCHALLENGED
BY EQUA[|zERS:
Right to Levy Revenue
on Intangible Values
Is Disputed.
BASIS FOR RAILROADS
HELD PROPER NE THOD

Helena, Sept. 4,-Governor Stewart
and two other members Of the state
board of equalization, today. took issue
with Attorney Ford at a meeting OF the
board, when the matter of various as
sessments of properties already made
We're considered. The assessment of the
Montana Power Company, the Thompson
Falls Power company and the Great
Falls Power company were taken up.
especially in the light of the statements
made by Mr. Ford in a speech at Great
Falls. Ford admitted the physical
valuations We're probably correct. but,
IN addition. sought to tax the intangible
values of the concerns. which the other
members of the board held to be Illegal.
the majority of the board, including the
governor. the secretary of state and the
state treasurer holding that the power
companies should be assessed similarly
as the railroads and other properties in
the state.
The majority Of the board urged that
a test case be started to determine this
phase of the assessment work. which. it
is stated. will be done by the attorney
general. The board already assessed the
power companies far in excess of the
assessments last year.
Power Assessments S32, ,Se7 002.
It appeared that the assessors OF tho
various counties of the state had assess
ed the physical property of these COM
panies at $27.4IS.1 .12a
The state board of equalization. at its
meeting last week. assessed the pole
and tower lines of the companies at
Sio15.S13. making a total assessment Of
S32,39i ,oo2. 1t was stated that some
increases made by county boards and
some land valuations might alter these
figures somewhat.
The assessments of last year were
o,139, ,6S4. Attorney General Ford cop-I
tended that it was not proper to take
the physical valuation of the properties
alone. but that the valuation for assess
ment purposes should be based upon
added intangible values. consisting Of
franchises. good will and other elements.
which, be asserted, We're proper to
consider.
The majority Of the board, consisting
of Governor Stewart, State Treasurer
Hart and Secretary of State Stewart.
State Auditor Porter being absent, took
the position that, under the law, they,
only had right to assess the physical
plans and could not take into consider
alton the intangible values urged bv
Mr.. Ford. 1t was admitted bv Mr.. Ford
lhat tile physical valuations were prob
ably correct. but that the other clements
should be taken into consideration
No Appeal From Real Values.
1t appeared that there has been n,
appeal from the assessments Of tho
county assessors and county boards of
equalization in the matter of the various
sounty assessments. aggregating the sum
y s-f,fiS,129. 1t further appeared that
mere was no controversy about the
physical value of the lines. which the
board assessed at S4a15.o73. Therefore.
ne whole controversy depended upon
of the law as to whether
Or not intangible values should be taken
INTO consideration, the majority of the
board taking the position that they
could not be.
The board members. however. urged
that a test case should be made IN the
courts, in order to construe the law,
so that there might be no question hs
10 Just what elements should be con-
sidered in making up the values. Tbs
ma iority being of the opinion that the
of these companies had to
10 assessed Just as other properties in
the state. The power companies as
;essments were made upon the same
,asis and in the same manner as the
assessments of the properties of the
airoads. and if Mr.. Ford's views had
revailed as to the properties of the
over companies, it would have been
Y Continued on Page Twelvel