Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1921-02-10

the same or even a less volume Of
Our railroads must be kept going In
good shape,-railroad adversely has
brought serious thoughts to the railroad
officials in Maine, and they ara striving
as never before in railroading. to solve
the transportation problem in the In
terest Of the public. They recognize the
necessity of the general welfare of
Maine-means must be found to en-
able the railroads to match the outgo
with the income.
On January Is, 1921 at Augusta, our
organization decided to appeal to the
Legislature to help our Maine roads.
and upon investigation we found the
railroads had already appealed for re-
lief. and at later meeting we agreed
to endorse the action of the railroads OF
Maine as it was for the benefit of the
people.
Our organization has duty to the
public in seeing that the roads grant
them reasonable and fair rates. Rail-
| road investments must be made attrac-
| tive to private investors, and this week
in all the leading papers Of this Conn
| try. financial and otherwise, it showed
thirty-six roads that failed to earn
operating expenses, and when I saw
| that one OF the roads was one of our
principal lines in Maine, which is the
Maine Central, i thought it about time
| to sit up and take notice. Think of il!
Not to get enough revenue to paw
wages, coal bill and current supplies.
Think OF it. A road that has always
| paid dividends
II help is not given to this calamity
| to our State.
In conclusion. trust your honorable
| board will take immediate and ade-
quate action and see to it that the rail-
roads have abatement on their taxes,
as suggested by them.
I thank you, Gentlemen
| James Q. Gulnac, president of the
State Chamber of Commerce. told the
committee that that organization had
! intended to have a bill similar to the
one under discussion introduced in the
| Legislature, but this was introduced
before theirs was ready. He urged
| favorable consideration of the bill.
William ]. Thompson of South China,
master of the Maine State Grange, said
| that he did not represent the Grange
but himself at this hearing. He was a
| member of the taxation committee %
years ago and every session since that
| time he had appeared before this COM
mittee asking that the taxes of corpora
| tons. be increased.
But now, times have changed" said
Mr.. Thompson. 1T is time that the
State took notice of the condition of
the steam and electric roads and the
| telephone. said Mr.. Thompson.
Something must be done for the
steam roads, he said, 1.-The question is
asked where are we going to get the
| taxes to take the place of the taxes
abated. If you would cut out of the
highway appropriation an amount equal
not believe that hardly any one would
| object"
| Ex-State Auditor T. f. Callahan of
Lewiston also spoke in favor of the tax
! abatement.
''Four years ago." said Mr. Callahan,
| mo one would have thought of abat-
| ing the taxes of the steam roads or the
Maine Central. I find by the report of
| the Maine Central that for the past
year the road has paid out $105 for
| every 500 which it has taken in. We
hear a lot about increasing our re-
sources. We can't get the people into
the State unless we have new industries
and we must have the railroads to get
! r "a in ha
/ past two years or 50 has paid out thou
sands of dollars for luxuries. 1 am in
| favor of assisting the railroads If the
| railroads can't be made to pay what
| will become of the State? The whole
| State of Maine is involved. I certain
! ly favor an abatement of the railroad s
taxes
I Representative Dodge of Portland
| wanted to know what the Maine Cen
| trail Railroad was paying for coal and
| the auditor, Walter V. Reeves, replied
| that approximately 430,0 900 tons of coal
| were used by the railroad annually
| and that contracts up to the first of
April fixed the price at $10.35 per ton,
| but it was expected that when the pres
ent contracts are fulfilled that the price
| would be reduced 81 a ton
The Opposition
| Rep. Winter of Auburn, who opposed
the bill to rebate the taxes of the steam
roads, declared that no man in Maine
| cared more for her prosperity than he
| did and no man in the State was in
| terested more in the transportation
problem than was he
| Rep. Winter then began asking
questions of the various persons who
spoke in favor of the tax abatement.
would you be willing that the city
Of Lewiston would bear its burden of
this tax abatement, matter of $751;
52011?" asked Mr. Winter Of Mr.. Cal
| lahan.
IT don't understand your question"
replied Mr.. Callahan.
How much abatement does the
Maine Central want anyway" asked
Mr.. Callahan.
Rising 100000 dollars is taken
out of the budget" replied Rep. Win
ter.
Il am in favor of the roads for
they are necessary" said Mr.. Gala
han.
as the gentleman willing that Lew
Eiston should bear its burden?" ask
ed Rep. Winter.