The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1924-09-18
If Uncle Sam Owned the
Railroads


..
The LaFollette campaign is tn he
conducted with special appeal to the
farmer vote. especially the farmer
vote OF the Northwest states.
There arises the question: Do the
Farmers wish the government to own
aid operate the railroads?
A very illuminating editorial on the
subject of government ownership OF
railroads in it's bearing on taxes an.
pears in the August 30 number of
The Country Gentleman"
aforementioned railroads and
railroad, property. like federal build
ings, would be exempt from taxation
by states, counties or municipalities
On this phase of the subject the edi.
torial referred to comments in parts
as follows
That would mean a loss Of S.
425,S92 tax revenue for Mime
sofa; 1921 ,976 for Wisconsin;
$6,849,7O3 for Iowa; $6,739, 346 for
Kansas; 1886, 800 for Nebraska;
$4.679.693 for Montana, and s4,-
072.282 for North Dakota.
These losses, which would have
to be made up by increased taxes
on other forms of property, are
or $3.50 for every man, woman
and child in Iowa.
To $40 for every farm or $3.50
for every person in Minnesota.
To $52.40 for every farm or $3.50
for every person in North Dakota.
And to $81.25 for every farm or
$3.50 for every person living in
Montana
CVIr in
based on official records
The bulk of more than $780,.
100000 annually distributed by
the railroads in taxes goes to the
states and counties-S24S.6 O5, O94
out OF s300,452,723 in 1922, and a
still larger amount last year.
1t Is pointed out that drying up rail-
road taxes would have a particularly
adverse affect on the agricultural
states, notably those of the North.
west.
lon the basis of the 1923 collec-
Eion," says the treasurer of Rosebud
bounty, Montana, "the loss Of railroad
taxes would increase the levy on re-
manning property S. per cent, thereby
becoming an unbearable burden on the
Eaxpayer''
For dozen North Dakota counties,
chosen at random. abolition of rail-
road taxes would increase general tax
tevies from 1856 per cent to 23F per
cent.
Says the editor of 1.-THE Country
Gentleman:
Railroad taxes, in effect, have acted
as medium for equalizing the social
balance between the newer localities
and the older and richer industrial
regions. It il in these older and rich
Ter regions that most of the stock
holders of the railroads reside. So
railroad taxes act as a means Of
|siphoning funds from these regions to
pay for improvements In localities
That could not otherwise afford them
|at this time"
Some may contend that there would
be for the farmers a compensation for
Ehe loss ne r3iiroad taxes in the fact
|of lowered freightrrate under govern
Rmert ownership and operation The
credulityEhat uailerlies this argument
ks of part with the credulity of the
child that goes in quest Of the pot OF
gold at the end Of the rainbow. What
IS there in the transportation expert
hnce. of the country to bolster this
nlacid faith? What has there been in
khe shirt and workings of American
'affairs to give it substance?
Not only would hundreds of millions
III state and local revenue in taxes
cease with government ownership of
ia railroads., but federal taxes would
~ M to take care Of interest and
6rinefpaI ON the purchase price Of the
hrnnertiAe. As between the West and
Fha East. as between the farm COM
aid the Industrial community
IA fpr,nHk aiazskts $780,. $3.50 - =.
lacking away ffoh1 naEo'Sotte
PLATFORM proposal regarding the rail-
roads.