The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1856-05-12
The Panama Railroad and the Postmaster
General.

V0o Panama RAILROAD ana the FO6tmastor
General.
No careful observer of the times In which live be
assnAbe to the pending question between the
General and the Panama Railroad Company. There has
appeared . Despatch from Washington, dated May 2.
scattering broadcast the intelligence that the President
has ssnt special message to Congress- enclosing the COR
sspondsnes between these parties and that the PostAs
tsr General unwingy yielded to tho unjust and exor
tantdenand Of the company, Claiming greater amount
than that heretofore allowed for carrying tho mails
across tho isthmus." The Postmaster General recon-
snds that hs be authorized to contract with that
pAny tor such conveyance Of the malls at price not ex
cssding $50 900 psr annum; ao that he bs allowed to
begin semi monthly service to Cahfornis via Nicaragua,
at price not exceeding 5000, 900 per annum.
The Correspondence has thus become public proper
IT, and have examined in advance Of Its official pub
Neaon. 1t Is pity that it could not have besn scatter
Cd widely the despatch have alluded to. If So
II would be vol understood that the company have only
claimed what guaranteed them BY law and contract
But 10 the faots
AlAw passed March 3, 1851, in oono rmiy to . re-
connendAton Of the Postmaster General OF December,
1850, directing him to enter into contract to make
suitable arrangements, for transporting the mail be-.
tween Chsgres and Panama with regularity and DESPATCH
provided the rate ofoompsnsAon shall not exceed twenty
two cents per pound and ahan the establshmen
any route between the two offering great
o or dsspAtch and economy"
uUnder this the mails have been carried at % cents per
pound, and We have strong impression that al usage
and precedent a the capital interpret this law to eirect
that the mails were carried by weight they should be
paid for ct 50 cents per pound.
On the Goth Of March, 1885, the Postmaster General
wrote the company alleging that they had reduced their
charges for eKpzess goods and that he could longer
pay ~ cents per pound He offered to pay is cents per
pound-three cents than the maximum rate charg-
cd the company for express goods This he conceded
TO the snationa Importance Of the work" He appears
to have had impression that the general
charges goods from dock to dock 10 cents
per pound-ths being the rate from city to city and not
including lighterage and other charges.
The railroad company refused to accept this rate and
in the correspondence which has passed tho subject
they state explicitly that Great Britain pays them ~
cents per pound Tor mail matter that for several years
whilst the road incompete-they paid out for mule
hire nearly tho whole of the amount they received from
the at this rate and that they regarded the
company entitled to this rate II paid by tho pound.
Beginning With the quarter ending 3lst March, 1885,
the Postmaster General ordered the payment of their
count at IS cents per pound for the that he would
not pay The difference between Is and 20 oents
Per pound amounted the 3lst December 1885, to
SIS 00o the other money received by the railroad COM
pany being acknowledged payment on account.
During the early discussion Of this question . commit
$ee Of the Panama Company waited upon the Postmaster
General, and informed him that there force In his
objections to allowing the weight Of the mails to 30
aersasiDg while they received pay st rate per pound
They propoed to make contract for fair reasonable
sum per snnum which should cover the transportation
e( any bulk weight Of mails he might send the
Head. They left him with the understanding that -
would make per CONTRACT and at such rate Of
sapsnsaton would b satisfactory to the company.
Under shsr charter they could not diminish the rate
pos por for government, without doing for I'll
e4Asf govsfnnents-but they were willing to make
limit and for long while gardei the matter adjust
Cd and that the four cents per pound would bs accounted
for when ths contract should be arranged.
Time on and became evident that this contract
would be made TIE company applied In very decided
terms their back pay s1s,oOe In reply, Mr. Camp
bs reiesred to his declaration months back that he
would pay only eighteen CENTS per pound.
Ths company at this time denied his right to give
despotc o;ders changing mutual understanding under
an express act of Congress- thus TO enforce views Of
hs own to which they had asseuted This not
more they had been in the habit Of reoevng but
the price sgrsed upon They insisted upon Its payment
ordered to BE- paid The sequel is the message to
Congress to which we have alluded.
There ia than issue In all this. No party
to any contract has the right to change It's terms and
adhss his views against the protest OF the other
party. Opinions cannot differ to this. tyranny Of
executive officers contractors is odious any
ohsr tyranny. We mistake the character Of those ori
sinatrg this great enterprise if they VIII for moment
10 such diostion We think Mr.. Campbell abandon
ed wisely this pretsnsion.
There is another and broader ISSUE Whether the price
Of TWENTY-FIVE per pound made the pay EXCESSIVE
II TO- tho plan proposed by the company remedy,
ard why was IL not adopted Tho reasons for .
. fair sroasl payment conclusive. The press
must not bs fettsred-ts power must not be circurn
scriSsd. Especially should all facilities for eorrespon-
depce extended to al or brethren the Paoife
The letter mails form small portion OF the mail bags,
that rate per pound be adopted the expenditures
mas The revenues Ct the Il.
crease with the bulk of the mails This plan Of saving
voule 30 strike ali sconomiss The charter Of the rail-
road oonpsny ecmpels them to treat oil alike. Great
Postmss General recommends gross annual pay, so
that he appears now 20 ag ee with US In this Neither
the charter the proposals of the railroad company
were antsgonstic to the press.
Our vision should exrand little beyond the present.
5onessson Of three cents pound on cunt Of
to it completed Ton years ago this wou been
bold prediction. What viii the next ten years bring
of south American coas, Australia, China and Japsn
not pour forth postal benefits with their other abun
whose pcfts and Panama line Of steamers Is already
establ bed this - ths only rapid communication At
he fast that 9vre is permanent interocsAnic
vork OF u such, ii is the only reliable link
in Tina Of war; that direct to reservoir of
wealth ths current Of merchandise from the Pacific
tries Is II wse for four per pound to tamper with
this futus2 Whether look ahead or at the past ve
cannot cesnd any bat LIBERAL policy OF
towards this enterprise. II ordinary uadertak-
ing Many regarded it chmercaI. The right Of way
was purchased By money and labor When twenty-five
estimated TO cost only third OF the actual eKpendi
turs For years this rate gave little or pro6t The
road coT p,sted offers better grade Of se:vice-ons
! almost equal to any in the United States.
fake q practical view. In one four b Of the present
.ha of
their entire mail pay for 1855. We on the eve of
Presidential election. Adopt for the present Mr. Camp
bella offer of eighteen cents per pouud and contrast 1t
vi the ropsd acceptable to the company:
che latter would cost the government many thousands
hess.
act OF Congress (July Z, 1888 makes every rail-
oad in tbs United States Ptpost road.
Another act Of Sd MAJ 1851 gives the Postmaster
nera the right to act for mails foreign ter
between port and port in the United States.