Republican vindicator. [volume] (Staunton, Va.) 1849-1857, 1854-03-27
WISCONSIN RAILROAD GRANT.
Speech of Hon. John LetcheT,
OF VIRGINIA, -

speech Oh k1Ons JOnn AotCueI,
OF VIRGINIA,
In The House of Representatives., March
1854, in reply to Mr.. Disney, Of Ohio
and others. ,...f
Where do all these gentlemen live 2
Do they live in Illinois?
Mr.. Bissel. will answer the gentle
man. They do not live in the State o
Mr.. Letcher. Then You are sold out
Mr.. Bisssl. IKE gentleman from v,r
Isinia seems very unwilling TO hear answer
10 his own questions. These gentlemen
do not live in the State of Illinois, no
have they got control Of these lands at all
Is the gentleman answered NOW? The
lands are in the Eartls Ct, aid are solely
in the charge of trustees. n.
Mr.. Letcher. Trustees! Who get the
proceeds of these lands7 Who compose
the company that furnish the means to
make the road; Whose property is ex-
empt from taxation for six years'
Mr.. Bissell The company will furnish
SIT, 600, 900 to build the road. The State
receives what is equivalent to fourteen per
cent. Of the net proceeds from the time the
road is completed. When all the terms
and conditions are complied with, then
these lands ale to be sold for the benefit of
the company, and TO the payment of the
money which they borrowed to build the
road with. The lands are in charge of
trustees, and under the control OF Il com.
pany, one of them being the governor of
iheState of Illinois.
Nj. Letcher. I have shown you who
compose the company organized for the
CONSTRUCTION of this road. The gentleman
from Illinois says that trustees are the par
lies WHO are 10 nian3gei it. Who. are they
to manage it for, but these New Y orkers ,
The State of Illinois is to receive seven
per cent. of the gross proceeds when the
work is done, which is equal o-fpurteen
per cent. Of the net proceeds. stated
that $17,000,000 are to be furnished to
build the road. If the gentleman does not
acknowledge that, | can establish it by
documents which have here. The COM
papy say that they can build the road for
that amount. They value the lands at
S21 600. Who pockets the difference !
What becomes OF the trustees then?
Mr.. Bissell. The prospective value
which they may PVT upon their lands may
be more Or less. do not think they ex-
peet TO realize dollar from them un-
til they have expended four or five
years. labor, and $17.0O0,000 OF their
own MONEY upon the road. When all
tat is done, when all this oney has been
expended, they will make something hand
some out Of il, provided they realize
which have no idea they will-$20,-
900, 900 out OF the sales Of the land and
provided the entire cost of constructing the
road does not exceed S17,000,000. If this
turns out TO be correct statement Of the
amount of receipts and expenditures, they
will, in the end, make some three or four
millions out Of the operation.
Mr.. Letcher. Then the gentleman S
explanation amounts exactly to this -
These stockholders have the control Of
road, according to their own showing,
that will yield them a clear annual profit,
after paying seven per cent 10 the State,
and all other expenses, of $1,774,252. and
give them three or four millions besides,
from the sales of the lands, beyond the
whole cost Of constructing the road -
quite handsome speculation for the stock
holders
Mr.. DISNEY. Well what Of it
Mr.. Letcher. will tell the gentleman
,Shat oil it. 1t shows exactly this: that
you are asking the federal government not
only to give land enough to make the
roads, but TO make fortune for these
Wall street brokers besides. That is what
OF it, ...-st
Mr. Yates. I wish to say one word in
in reference to this proposition Of donating
isrds TO the State of Illinois to aid in the
construction of the Illinois Central railroad.
can give the gentleman an answer that
ought TO be satisfactory to him and to the
Hoesa.
Mr.. Letcher. hope the gentleman
will come to the point as soon as possible.
Mr.. Yates. The.gentleman asked what
has been done? Why, sir, we have a
road seven hundred and four miles in
length, of great importance the State oil
Illinois, of great advantage TO the people OF
that State, and of great national advantage;
and all this without the loss of one cent to
the general government. And not only
has the general government not lost any.
thing by it, but 1t has stld lands which
have been for twenty-five years in the
market and still remained unsold, so thai
| it has actually placed money in the treasu-
ry by the operation. Sir, is it nothing
that we have built the longest and mos,
magnificent railroad in the world, without
the loss of cent upon the part OF the gen
eral government?
Mr. fletcher. Let us look for mo-
ment at the past financial history Of the
State of Illinois. If am not mistaken
before that State received the benefit o.
this land from the federal government, hel
financial condition was exceedingly en-
balrassed She was not able TO prosecute
her great works of internal improvement
because of the immense debt which wa
then resting upon her. Her bonds hae
deprecated to an alarming extent. Blu
no sooner had this land been donated b,
the federal government--no sooner hat
the arrangements for the construction o
tn Central road gone into operation, thai
the credit of that State rose as If by magic
to par, showing that il is something NOR
than donation for The construction of
railroad-that it is a strong support, al
eflectual means Of restoring the credit o