Monopolies -- United States; Railroads and state -- United States
that the right of eminent domain attaches to the mill or its owner? So
with railroads: They are owned by private companies--are built and
controlled by them; they are of public benefit, but not owned or
controlled by the public or by the state, or local authority, as in the
case of public highways. Their private owners can sell them, with all
their franchises, rights, and privileges. The rules for their operation,
rates of charges, and all other matters affecting their government, are
exclusively under the control of the parties owning them. Only that the
companies may become the owners of the necessary grounds over which to
build their roads, have legislatures provided that they may enter upon
lands owned by private persons, and upon the payment of the appraised
value thereof, appropriate a narrow strip (the width being fixed by
statute) for the purpose of locating their road upon it. It is not
condemned for public use, as in the case of a public highway, or where
land is needed for public buildings, or any other public purpose. The
assessed value is not paid by the government, or from the public fund,
nor by individuals for the public; but by the private corporation out of
its own purse, and for its own gain.
This is what is called, by the advocates of the measure, "the right of
eminent domain," a right that only belongs to the supreme government.
This power cannot be exercised by local or subordinate governments,
unless it is delegated to them by the supreme or superior government.
While the courts in some of the states, Iowa included, have, by
decisions, made this right of eminent domain attach to railroad
companies, it cannot be supported on principle. To allow it to obtain is
to clothe private corporations with the attributes of sovereignty. But
conceding that this right attaches to these corporations, upon no
principle of constitutional law or justice can the right to levy taxes
upon private citizens to aid in the construction of railroads, either by
acts of congress, by state statutes, or by local municipal government,
be supported. And it matters not in what form these taxes are imposed
upon the people, whether in the shape of municipal subscriptions of
stock, to be paid by assessments upon the people; by donations of land
or money, to be repaid by imposing a larger price upon lands sold to the
citizen; by indirect taxation, or by special local elections held in
cities, towns, or counties,--the compulsory taxation of the property of
individuals, under our system of government, can only be imposed for
governmental or public purposes. Taxes are levied for the support of the
government in all its departments; for the construction and repairing of
highways; for the building of school houses and all other edifices of a
public character; for the support of schools; for the necessities of
local municipal governments, and for other objects having the public
weal for their sole consideration. These taxes are legitimate and
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