Wheeling daily intelligencer. [volume] (Wheeling, Va. [W. Va.]) 1852-1859, 1853-03-10
SPEECH
MIR. SEGAR, OF ELIZABETH CITY,

SOUTH SIDE RAILROAD LOAN BILL.
Dehperedi in the House Of Delegates of Virginia.
January, 18Th and 18Th, 1858.
(CoNTINuED.)
Sir, there is but one absolutely certain reliance
for the perfection of our public works, and that is
on the strong arm of the State herself, If we
would certainly and speedily consumate the policy
which can alone redeem Virginia, and make OF this
Old Dominion new domnion;-if we would re-
.eve our agriculture of the exorbitant charges that
now depreSs that cardinal interest OF hepeople;-
if we would open to this your chief market town
the productions of the fertile valley of the Roam
oke and its tributaries; a valley, sir, whose pro-
ductive capacities, when stimulated by cheap ac-
cess to Market will rival those of the tennessee
the Hudson, and far outSrlp those OF the James,
If we would furnish an outlet for the lneXhauSt-
able mineral wealth of our south western region,
and make il an element, great element II Will be-
of individual wealth and State prosperity; coun-
try such as the sun has rarely upon, and whose
countless millions OF tons OF IRON, coal, gypsum,
and of SALT require only the shrek of the engines
whistle to be walked up from the sleeping place of
ages, and made the element of private wealth and
public powerful we design to open 10 the sea-
board the diversified products of the valley;-f we
would secure share of the great western trade,
and with it, the elements Of commercial and manu-
featuring lmportance;-lf we would rescue from
total sacrifice the numerous millions already ex-
pended on our internal Improvements; we
would, at the earliest possible hour, relieve the
people of the burden OF the internal Improvement
tax;-if we would, with the greatest certainty and
in the shortest time, realize all the advantages OF
the internal improvement policy, all the glorieS
which it is destined TO fling over this good old COM
monwealth of ours: say, again and again, that II
would certainly, speedily, economically COM
plete our public works, we must appeal to some
stronger instrumeEtality, some more active and
powerful impulse than individual enterprise and
private means. As | said former occasion,
when advocating kindred measures i'll this body,
the State must lift her own strong arm, put her
orn broad shoulder to the wheel, ere she can work
at haFF nla q ka n
on her individual citizens to accomplish the great
work. The State, sir,-the State in her corporate
capacity-commandng proportionate share OF the
resources of all her citizens-she, with her ample
means and limitleSS resources, must do the work,
or long and runouS delay will be the consequence.
l take now position which, am sure will not
be disputed by single member of the Houses
that the plan of State loans is The most expeditions
for the completion of our unfinished improvements.
The proposition is selfevidcnt. The moment the
bonds are put in market, the money is laiSed, and
the works go on without obstruction. 1t is not
few thousands this week, and few thousands
next month-the works periodically arrested, for
want of the private subscriptions required to real
ize The States subscription, as has heretofore been
often the case under the ioint-stock system: the
money is raised fast it Is wanted, and 10 the
required amount, however large, and the works
proceeded without days interruption.
Well, sir, if it be the SpeedeSt plan (Which No
one VIII deny, am prepared TO shew that it is
necessarily the cheapest, by far the cheapest.
think may safely assume, that if we rely on
Joint stock subscriptions, we cannot possibly COM
plete railroads in less than five years; whereas,
on the'loan principle, we can finish them in two.
l so assume because OF the uniform slownesS with
which individual subscriptions have been hereto
fore raised, and because am assured by those who
are well informed on the subject, that in conse-
quence of the very advanced state of the works,
our principal railroads may b. easily finished in
two years, if ready means be furnished.
Assuming, then, the difference i'll time TO be
tbrpe N Of he
superiority in point of economy can be easily de.
monStrated, and in figures, which, 1t is SaId can
not lie.
take, Tor tie illustration, the South Side, Dan
vile, and Virginia and Tennessee Railroads, in
which the State has already invested S4,O0O,00O.
Now, on this sum the State must pay annual
interest of per cent, per cent. for interest, and
per cent. for the sinking fund, and in the sinking
fund bill, provision is already made for this inter
est and the interest 81, 100000, at per cent,
is S2SO,000.
FIVE complete these three railroads in two years.
pay this amount for two years. say S56O,OOO in
the two. At the end of the two years. if the
works be completed, the interest ceases, because
the roads having become profitable by completion
Gas shall presently shew), the per cent. is there
after lurnshished from their income, and not from
the treasury.
If the roads are not finished until the expiration
of the five years, pay the interest for five years.
that is, in the aggregate, 81, 600. Thus, the
loan principle makes us pay, in the way OF inter
est, S5O0OO0; the joint stock principle, 81 400,
600; saving III favor OF the loan over the JOINT
stock plan, of $4,000.
But this is not all: there will be three years
wing of engineering expenses which, Tor the three
roads, according TO the actual returns OF the COM
panieS, amount annually to S9S,292. Three times
this amount is 1921, S76, which added to the
Ing OF interest, gives total saving i'll favor of the
loan system, of 81, 1874, S79; am which, convert
ed into sinking fund at compound interest
would soon extinguish the entire debt Of the State
nnly nc on latI In nj he
mentS, and to the whole amount of the States in
debtedneSS, and you have apparent the full extent
of the actual saving.
Calculate, next, the vast benefits which will ac
crue from three years earlier possession of our
completed railroads, and an aggregate saving is
exhibited whSch millions alone may define, and
which should stife every tone of opposition 10 the
energetic principle OF State loans.
In this calculation | have assumed five years as
the basis. But | am informed by others having
much practical experience in the premises, that
under the joint stock system, our railroads now in
progress cannot be completed in less than eight
years. If so, the saving will be double the estimate
have made. My own conviction is, that on the
jointStock principle, they will never be completed,
and consequently abandoned in their unfinished
staae, and the entire cost of construction sunk.
Sir, the State loan plan is more economical in
another respect. Our Auditor of Public Accounts
informs me that of the heaviest items of State
expense is the loss of interest on money borrowed
for the internal improvement fund, but which lies
IDLE IN the handS OF the board OF Puolc WoIkS, in
consequence of the failure or slowness of the pr-
vate subscriptions required to make the States
subscription vest Two hundred thouSa nd dollars
are now unemployed for this reason-a common
tary the joint stock system, which demonstrates
concusively its ineficency, and the necessity of a
change. We avoid this loss by adopting the loan
policy.
1t is more economical ON another account. IN
der the old plan of two ard three fifths, there
have been, in consequence of the hardness of pr-
vate subscriptions, periodical stoppages of the
works. Those stoppages, involving the discharge
of hands and change of contractors are invariably
attended with heavy loss, and the loss falls princ
paly on the State. If we loan the bonds, the
stoppages cease, and the incident losses.
1t is more economical for another reason. 1t
protects the State from the consequences of the
various shifts to which the internal improvement