market for the use of persons engaged in the traffic of meat and other articles of produce in square No. 461, just across Seventh street from the market. It is provided in the bill that the market company shall not rent or sell the conduit or pipes or any part thereof, but may sell for a time not to exceed twelve months at any one sale the use of the fluid transmitted.

There is already a general act of Congress, approved May 26, 1900, entitled "An act regulating permits for private conduits in the District of Columbia." This act, however, only permits conduits within a block and prohibits them from crossing public streets, avenues, or highways. The Commissioners have recently recommended for approval a bill referred to them permitting S. Kann & Sons to lay a private conduit and steam pipe across D street for the purpose of furnishing heat and power to buildings owned by them on the opposite side of D street. The distinction between the bill now under consideration and the act of Congress and bill permitting Kann & Sons to lay conduit is that the bill under consideration allows the market company to sell the use of the refrigerating fluid transmitted by the conduit and pipes, while the act of Congress and the bill regarding the conduit of Kann & Sons limit the use of the private conduit and pipes to the permittee and prohibit the sale to other parties of what is carried in the pipes. The conditions under which such conduit and pipes are to be laid, as provided in the bill, are in other respects similar to those laid down in the act of Congress permitting private conduits in alleys. It is the intention of the Commissioners, if the bill becomes a law, to require that the proposed conduit and pipes be laid under the sewer in Seventh street, which will also bring it under all other underground constructions in the street. The Commissioners know of no objection to the passage of the bill.

Very respectfully,

Hon. J. H. GALLINGER,

HENRY B. F. MACFARLAND, President Board of Commissioners, District of Columbia.

Chairman Committee on the District of Columbia, United States Senate.

58TH CONGRESS, 3d Session.

SENATE.

{

REPORT No. 3795.

CONDEMNED CANNON TO THE NATIONAL ENCAMPMENT OF THE GRAND ARMY OF THE REPUBLIC.

FEBRUARY 10, 1905.-Ordered to be printed.

Mr. COCKRELL, from the Committee on Military Affairs, submitted the following

REPORT.

[To accompany S. R. 101.]

The Committee on Military Affairs, to whom was referred the resolution (S. R. 101) authorizing the Secretary of War to deliver a condemned cannon to the National Encampment of the Grand Army of the Republic, have given the same careful consideration and report it back with the following amendment.

In line 6 after the word "condemned" insert the word "bronze" and as amended your committee recommend that the bill do pass.

The authority has been granted many times by Congress to various patriotic organizations to procure these condemned cannon, and your committee does not know of a case where a reasonable request has been refused.

In connection with this matter attention is respectfully invited to the following indorsement of the Chief of Ordnance, and the concurrence therewith of the Secretary of War:

OFFICE OF THE Chief of ORDNANCE,
Washington, February 8, 1905.

Respectfully returned to the Honorable the Secretary of War. Should the within resolution become law this Department could supply the cannon referred to, which is on hand and is of value to the United States only as old material.

It is suggested that the joint resolution be amended by inserting the word "bronze" in line 6, after the word "condemned," so that it will read " mounted condemned bronze cannon."

one dis

WILLIAM CROZIER, Brigadier General, Chief of Ordnance.

WAR DEPARTMENT, February 7, 1905.

Respectfully returned to the chairman, Committee on Military Affairs, United States Senate, inviting attention to the foregoing report of the Chief of Ordnance, United States Army.

WM. H. TAFT,
Secretary of War.

Mr. WARREN, from the Committee on Claims, submitted the following

REPORT.

[To accompany 8. 6872.]

The Committee on Claims, which has had under consideration the bill (S. 6872) for the relief of Madison County, Ky., reports the same back to the Senate favorably without amendment and recommends that it do pass.

A bill for the relief of this claimant was introduced in the House of Representatives in the first session of the Fifty-seventh Congress, and was as follows:

[H. R. 4969, Fifty-seventh Congress, first session.]

A BILL for the relief of Madison County, Kentucky.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, is hereby authorized and required, on appeal to him made, to pay back to the treasury of Madison County, State of Kentucky, for the use and benefit of said county, out of any money in the Treasury not otherwise appropriated, any and all money collected from any and all corporations, or from any other person or party whatsoever, as internal-revenue taxes on dividends on shares of stock owned by said county in the Louisville and Nashville Railroad Company, to the extent that such taxes were deducted from any dividends due and payable to said county, any statute of limitations to the contrary notwithstanding.

The bill was favorably reported by the House Committee on Claims without amendment. But upon considering a similar bill (H. R. 477) in the present Congress the House committee decided that, in view of the report of the Treasury Department, it should be amended, giving the Court of Claims jurisdiction to hear and determine the case and render judgment, as provided in the pending Senate bill, and so reported it.

Your committee submits the report of the House committee herewith, in order that the departmental letters and other facts bearing upon the case may be before the Senate as a part of this report.

[House Report No. 2518, Fifty-eighth Congress, second session.]

The Committee on Claims, to whom was referred the bill (H. R. 477) for the relief of Madison County, Ky., beg leave to submit the following report:

The facts upon which this bill is based are set forth particularly in Report No. 1521, made by this committee to the House in the Fifty-seventh Congress on H. R. 4969, the same being a bill of the same import as the one now under consideration.

This report is approved and submitted as a report of this committee as follows: "The Committee on Clainis, to whom was referred House bill 4969, having had the same under consideration, beg to report it back with a recommendation that the same do pass.

"The bill is entitled 'A bill for the relief of Madison County, Kentucky.'

Its purpose is to authorize and require the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, upon appeal made to him therefor. to pay back to the treasury of Madison County, Ky., for the use of said county, out of any money in the Treasury not otherwise appropriated, any and all money collected from any and all corporations, or from any other person or party whatsover, as internal-revenue taxes on dividends on shares of stock owned by said county of the Louisville and Nashville Railroad Company to the extent that such taxes were deducted from dividends due and payable to said county. The amount claimed by Madison County for such taxes is about $4,000.

"The facts as stated to your committee are that between the years 1869 and 1872, inclusive, said Madison County was the owner of stock, and perhaps bonds, in the Louisville and Nashville Railroad Company, which company declared cash dividends and interest. Under the internal-revenue laws then in force (sec. 122, act of June 30, 1864), the company aforesaid paid taxes to the United States upon its gross receipts, including its undistributed surplus, the interest payable on its bonds, and its cash dividends. The taxes paid on interest and dividends were deducted from the amounts due as interest and dividends, so that the interest and dividends declared and paid to Madison County were diminished to the extent of such deductions for

taxes.

"These deductions seem to have been made under a misapprehension of the law as it applied to municipal corporations.

"The law as applicable to such corporations was afterwards interpreted by the United States Supreme Court, and that court decided that a tax under the internalrevenue act, section 122, was a tax upon the creditor, and not upon the railroad corporation paying it, and that a municipal corporation, being a part of the sovereign power of the State, was not subject to taxation by Congress upon its municipal revenues. (United States ". Baltimore and Ohio Railroad Company, 17 Wallace 322.) "The time for repayment of these taxes under the law expired before Madison County made application for such repayment, and this bill is required to remove the bar of the statute of limitations and to authorize the audit and payment back of such amount as had been collected by the Government and deducted from dividends and interest due and payable to said county upon stock and bonds owned by it in the Louisville and Nashville Railroad Company.

"Similar acts have heretofore been passed for the relief of the counties of Hardin, Hart, Logan, and Simpson, in the State of Kentucky. Your committee therefore believe that the county of Madison is entitled to have paid back to it the amount that has been taken from it contrary to law, and therefore recommend the passage of this bill.

"The following letters from the Secretary of the Treasury and the Commissioner of Internal Revenue were received in reply to inquiries made by your committee concerning this matter:

"TREASURY DEPARTMENT, OFFICE OF THE SECRETARY,
"Washington, April 1, 1902.

"SIR: I have the honor to acknowledge the receipt of your letter of the 26th ultimo, inclosing H. R. 4969, for the relief of Madison County, Ky., and requesting information relative to the same.

"In reply, find herewith copy of letter of the Commissioner of Internal Revenue, containing all the information in this Department in regard to the claim.

"Respectfully,

"Hon. JOSEPH V. GRAFF,

"L. M. SHAW, Secretary.

'Chairman Committee on Claims, House of Representatives."

"TREASURY DEPARTMENT, OFFICE COMMISSIONER OF INTERNAL REVENUE, "Washington, March 29, 1902. "SIR: I have the honor to return herewith H. R. 4969 for the relief of Madison County, Ky.

"This bill was referred to you by Hon. Joseph V. Graff, chairman of the Committee on Claims, House of Representatives, for information, and was referred from your office to me for report and return of the papers.