| Show LAWS HELPING OGDEN'S MillS AND FEEDERS CALLED VALID Growing Industries Here Unaffected By Recent Decision HOWEL HOWELLS HOWELL'S S 'S OPINION Statement Clears Up Mis Mis- Misunderstanding Misunderstanding understanding On Tax Tax- Taxation Taxation at aton on Measures The law la firm of ot Device Stine and through J JA A Howell Howell- former district court Judge gave to Th Tb Standard Standard- Ex- Ex Examiner Ex Examiner today a 1 a statement in which the opinion strongly Is 9 expressed that Ogden's stock tock feeding and milling Industry Is not adversely affected by Judge Thomas H Burtons Burton's recent de decision in a lard II lard C county feeding f case A with regard t ta the effect of the Burton was sought In view of ot the con con- concern concern con concern cern felt In Ogden O den when the tho reo re- re result suit stilt of ot the Burton decision be- be became be became came camo known The statement prepared Ly by Judge Howell Is highly reassurIng log Ing It fOllow TEXT OP 01 STATEMENT T It is not my cUs custom om nor tha that t of any of th thu thu members of o our firm litigation litigation-In to comment are t upon litigation litigation- In which we wc are Lre not liot Interested as 88 attorneys I only depatt depart from that custom aid Id comment upon the decision of ot Jug JuIge Burton de- de de declaring daring claring Sections and of the Session Laws of ot Utah 1923 because e of wh t tI I believe to thi be a mIsapprehension as to the effect of ot the same tame livestock fee feeding g Industry which has haa to such grown large lions lions in and about Ogden during the last few lew years It It Is my any opinion that this d de- de de decision elston Cislon does not In any way affect that Industry nor 1 the equally qually Im- Im Important Im mi Important and closely related milling Industry which centers In Ogden and Its vicinity TL TAXATION QUESTION These interests that 1 Is tho those e engaged in tn the tho flour lour milling Indus Indus- Industry lodus- lodus Industry try and In th the tha feeding of or livestock in this this vicinity prior to the ses- ses sesMon ses session Mon sion of or the legislature In 1911 brought to our oar attention this situ situ- situation situation atlon That II 1 I was well night im- im impossible Im Impossible possible to bul build up either cither Industry her here because the Utah tax law rendered all aU wheat shipped In here from other states and the greater portion of ot that milled here comes comas com Irons from Idaho an and other tain tam states and all livestock Ii shipped in from the surrounding states from which It for the most part comes subject to taxes for forthe forthe orthe the entire year If It found here on January 1 I as ss of which date all taxes are levied Irrespective of oC the length of ot time it may remain In the state of Utah It so happens happen that JanuarY Is the month 1 fi 11 which the greatest quantity of wheat Is stored and the largest number lUmber of livestock fed Moreover r because of the fact that tax tax-'s are not levied at atthe atthe atthe the same time In other states or because tho those o states have I e la lawa law limiting the amount of tax upon property which only remains in Inthe the state a abort time or laws taws cx- cx ex exempting empting It from froni taxation alto alto- altogether gether gather shippers shipper preferred to ship their wheat ant and livestock to states where the insupportable burden of ot taxatIon did not not fall upon them as It did in Utah The The- The consequence consequence was that although we had splendid facilities for the he storage of o grain here Iere in the way ay of elevators de elevators yards ards mills milia for tho the production as aa products by-products by of stock feed fed and stock yards ards with unequalled means of caring fort for the animals and finding a market for tor them our were empty and nd our feeding grounds barren of stock of Increasing the Lm amount of our taxable proper property our taxing sy eye eye- system tern tem was vas lessening It because all these facilities would if not used become valueless ss and be aban abandoned don ed and besides our would lose the tha th best market the they have fo for t their r hay ay IO SYSTEM In this Oils critical situation we e were asked f legislation could not be which would rem rem- remedy edy the condition and prevent the Impending death of these indus indus- industries industries industries tries We re were not unmindful of the he difficulties of modifying In any way our lax tax law laws due to the archaic of ot our constitution constitution and specially especIally section 2 of oC article 13 upon which Juds Judg Burton Bur Burton ton bases his decision and which contemplates that all property In inthe inthe the tho state stale n no ratter matter how It may differ dieter in character nor what In- In Inequalities inequalities In Inequalities equalities ensue shall be taxed exactly alike Several times constitutional amendments have been proposed to make our tax tax- tax taxing ing tog system more elastic clastic so as to enable different methods to be aI ep- ep sp plied piled to different kinds kinda of prop prop- property property erty ertl but each time they thoy have been defeated As tho the first step toward sol solIng Ing log Ing the problem Mr David I ii Stine of our firm made an cx- cx ex exhaustive stud study of all alt the laws en- en enacted enacted en enacted acted by other states tates to meet this situation but the tho results were ot of little aid to m Ui Leea because use practically no other state states have the saute same sam constitutional provisions pro as a Utah CO DI nCE USE CLAUSE After considering con the problem from every ery possible pC angle wo we fI- fI fi finally nally conceived the ld-a ld that the th best way to meet inert thIS the thi difficulty was to make ufe uce of the tha commerce Continued on Ill I'll Lage L'age go CiTe I e NG TAX PLAN VALID ContInue froin Vase One clause of ot tho the of ot the i and the limitations which It places s upon even enn the state constitution as to the taxa- taxa taxation taxa taxation tion of ot prop rIY Its It is conceded that property moving In ill to Interstate commerce Is Ia not au subject to state taxation A As interstate commerce has developed do 1 certain ancillary attributes hav been eloped developed as for nce In the case ot of live live- livestock livestock stock tho ho In transit privilege lege and aj as 10 lo graIn train th the milling In transit privilege In Zu other words can be on onan onan an interstate bill of lading fro m Pocatello taken ta leen off oft the ears cars at Oc and conditioned for tho mark t here and moved on to the markets market in the centers of ot population lon at the through rate ate Pocatello Idaho to the point of ot destination In the same y w wheat grown crown In Idaho or oth other r states stat s can be shIpped from there to Ogden Oden stored In elevators here ground Into flour ana lna then shipped to other states slates OI ot the through rate from the th point of ot origin to the point of ot destination Tho The Inter Inter- Interstate interstate Interstate state Commerce commission has been liberal in 1 n the tho granting ot of these privileges and allows feeding felding In transit and milling in transit for the th period of ot 12 months In view of ot this custom wo we were ot of opinion that we w could go co the court COUlt It If any l Y attempt w were re made mado In Utah to tax this crt for the entire years year's eals taxes simply because hero heio temporarily on an In- In In Interstate bill ot of o lading and con con- coni contend contend contend i tend that it was being fed or In Iran transit sit that It was still moving in Interstate commerce providIng It t did not remain here more than a reason reason- reasonable reasonable reasonable able time What hat would be a rea- rea reasonable rea reasonable time would depend on the various opinions Qt of o different judges one mIght say 12 months as does docs the Interstate Commerce commission another a few days and In each instance there thera would be the consequent uncertainty as asto asto asto to what the tho holding holdin would be beNow Now Industry cannot be stabilized on such uncertainty uncertainly unc and nd besides It cannot thrive when constantly threatened with litigation So some ome better belter method had to be de- de devised de devised and naturally we wo hit upon this solution that the legislature determine as- as asunder x under such uch circum circum- circumstances circumstances stances it has baa a l right to do dowhen when property properly shall be considered as moving In interstate commerce so as to Insure InSUN uniformity In op operation A ASKED AKED KED DAY DO-DAY It was d t not to k for the 12 month period fixed by bythe bythe bythe the Interstate Commerce commis commis- commission commission sion slon because that would be b ob- ob obviously ob oh obviously unfair It would enable such sueh property It lf It was shipped hero here on or prior to January 1 to remain the entire year and yet escape that taxation which other property suffers suffer These Industries did not and do not desire desiro any unfair In their fa favor fa- fa favor a vor all that they asic asle Is to be put on an equal I basis with their competitors In other So It was decided to ask for tor only 90 days Accordingly the Ins follow follow tollow In Ing law wa was dratted drafted d ratted MOVING IN I 1 11 IN- IN Tg COM CO An act alt to amend chapter 3 title compiled complied laws ot of Utah 1917 relating to taxa- taxa taxation taxa taxation tion lion and assessment of iron iron- prop properly erly erty by adding one section to be known as providing for tor the ex- ex ex exemption eruption emption from taxation of prop prop- property property property erty moving In Interstate tom tom- tom com commerce merce Be it enacted by the legisla legisla- legislature legislature legislature ture ot of the state of ot Utah Section 1 Chapter amend amend- cd ad Chapter 2 3 title com corn compiled compiled piled laws law of ot Utah 1917 Is hereby amended by ad adding thereto therelo an Independent and ad additional section to 10 be bo Imo Imon n as section Sec See 5 Exempt from listing for assessment 11 property consigned to a con con con- lenee In the state stata of ot Utah from without the lie eLate clAto tato to be re- re rc forwarded to a a point without the state and which is entitled under the tariffs rules and regulations approved by the In- In In tors te commission to 10 be Lse at at rates from front the tho point ot of origin to the point of ot destination If not detained within the state of ot Ut h for a period of ot more ninety 90 00 days shall be to be Le property moving mo In interstate commerce and no consignee shall ill bo be e required to 10 list lIet for tor taxation any sueh uch prop prop- property erty arty con consigned to him so xo nov nov- Ine leg in Iii r commerce IN IS 1923 1 The in 1931 lill re- re re refused fused to adopt the llio law lan but It 11 was enacted in 1823 1923 as chapter 96 ot ottIle tIle the it laws la of that year You will nill 1 readily perceive that hat this law Iw rests upon an entirely entirety dir dir- dif different ferent basis basil from Ironi that which Ju Judg 1 burton bud haJ before him It Is simply Imply a legislative lc l l of when property In is to be consid consid- considered considered ered Ired all as a moving mo In Interstate com corn commerce merce It If so moving It Is not sub sub- subject subject sub subject to tato taxation You Toil 11 ill III also note that It re- re rela re relates lates latas la tes to all property and th Is not subject to the that It discriminates In favor tavor of certain certain tain tam kinds of ot property a as against others as Is li the caso case with the ho law In ed in the Burton Durlon decision A As a result ot of this till law our grain storage flour milling and feeding Industry has grown irown by leaps and bounds However with that short characteristic tic of those who look at a problem from rom only one point ot of l w the law has hai been attacked by those concerned with tax tox levying le and even e by our own former Weber assessor who sought to lie se- se secure e-curc e cure curo Its repeal by tLe U 1925 legia lature but thc the business Interests ot of otI I Ogden Misted assisted by those tho o of ot Salt Sail SailI Lake rallied to Its it support and prevented pre Its 11 elimination It would I be a sorry day dilY for tor Ogden Olden Weber county and toe state ot of Utah Ulah It lf It were repealed or It if any court should hold It unconstitutional but we have hav such faith In its ness ness that we w have advised our cli- cli clients clients cli clients to guarantee Bante to tho the shippers of other states that property properly ship shipped ped In accordance with Its It provis pro provisIons provisions ions will vill not be taxed In the state ot of Utah and we wo assume that they are still doing so Our faith that It Is Impregnable against t the tir at- at attack at attack tack ot of conIn ues and Is no in anywise jarred by bythe bythe bythe the Burton decision Indeed our law Is la untouched by that decision I regret that It has required so long a n communication to mak clear this situation But you ou will agree I am sure that Its Us Import Import- importance Importance ance deserves the tho space I am car car- certain certain tain the tho milling and stock feeding Industries win appreciate It It If you will give th the game sante prominence to It as to the articles already pub pub- lit The assumption by the tress Generally that Judge Judee Bur Bur- Burion's ton Bur ions ion's decision would have a a dele dele- deleterious dole dele deleterious effect upon thes these I fear has already done consider consider- considerable considerable abl able damage although based upon a just justifiable misapprehension With that loyalty to the development ot 01 Utah In Industries which h has s ever the Primo merit of ot your news news- newa I 1 know you will desire to do doall doall all 1111 in your power to correct the mistake and If it you ou concur In my flU to assure the public that no body blow has bas yet been struck at these growing Industries and that they arc are based upon a sound distinct from front that upon which Burton Durton decision rests I do not wish to be b understood lS as taking a position ono one way or the theother theother theother other as to the rightfulness of ot the Burton Durton decision My Iy only pur- pur purpose pur purpose pose Is to show that the two laws the one on upon which our milling and feeding Industries rc rest tand and the one which the judge judee had under consideration and which does not affect our Industries are arc entirely different and that the former will stand eland though the thu hatter tails falls The law lair in the Burton Durton decision was enacted to meet a condition which arises arise particularly In the I southern part of ot the state Cattle and sheep are ar not shipped In but In there then conditioned 1 for the market and either shipped out on the hoot or after being The Tho animals only lr i- i main it-main main a portion ot of o the tho year The situation calls for a remedy II It It Itcan itcan itcan can be found under our rigid con- con ItI I It is not my purpose to Inject m myself or my firm Into a ease Ase which is being belne handled by oth- oth other other oth other er attorneys but I believe by mak mak In ing use USO of ot principles to those upon which the milling and feeding law rests either the law Involved In In the Burton Durton de- de decision de decision can be sustained or another law can bo be enacted which will af- af afford afford af afford ford the needed relief relict and still bo be impervious pervious to attack Very ery trul truly yours DEVINE DEVIN HOWELL nOWELL STINE GWILLIAM WILLIAM GWILLIAM 0 By J A |
