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fax and State fax Commission meetings -Nevada* Los Angeles, July 12, 192? Mr. A# S. Halsteds While in Reno last week I made inquiry about tax matter# in Nevada, fhe Secretary of the State Board of Taxation was absent from Carson and Reno and I was unable to see him# I went over the matter with Mr. Henry X. Rives, Secretary of the Mine Owners Association and one of the recently appointed members of the State fax Commission* He is active in tax matters and I regard him as very fair* He took occasion to state to me that he was not present at the meeting held on the first Monday in January, at which time the valuation was raised on all lines of railroads in Nevada, and stated that had he been present he would have opposed it. From his conversation I inferred that the increase was fixed for barganing purposes, etc* mencing on the first day of October, 192?, for the purpose of state equalisation and may raise or lower any valuation theretofore established by it upon railroads and public utilities, etc* and will continue in session from day to day until its business is completed. The meeting is regular without notice, but the Board issues a notice to all parties interested advising them of their right to appear and to be heard in person, or by their agent or attorney, or submit evidence in documentary form* will contest the increase and I was advised that the Southern Pacific intended to attack the validity of the present Board on the grounds - 1st, -that the hoard as now constituted comprises two members from Washoe County contrary to the statutes, and 2nd, -that the personnel of the Board is not apportioned between the political parties in the state as provided by law. newly appointed member from Washoe County in my opinion will be favorable to us and I doubt if there is any merit on the second grounds. w@ should make preparations to make a showing that the raise is not warranted and that the present value Is excessive and a discrimination favorable to other classes of property in the state. The State fax Commission will meet in regular session com- The Southern Pacific, Western Pacific and Nevada Northern I doubt the wisdom of these attacks for the reason that the