The daily union. [volume] (Washington [D.C.]) 1845-1857, 1856-12-05

and In my letter 70 you OF the 18th OF April 1886 Prior
10 the Let OF December 1881, the mails were conveyed
across the lsthmus under an arrangement WIN ING new
Granadian goyernment and the average rate PAID ior
transportation, including the expense OF route agents In
crossing the sthmus was fraction ever cents
pound In October, 1851, temporary arrangement was
made with the Panama Company, by which they al
lowed twenty-five cents pound, the maximum rate au-
hori1ed by law AT this time the amount OF mail matter
transported comparatively small and the service was
performed partly by and partly by mules. The
greater he amount OF mail matter carried the greater
would be the cost of transportation and il therefore seem
ed TO be but just to pay according to weight
No attempt made TO reduce the price, although tae
Of the service had increased from $40ss7 In Sepem-
ber 1851 TO Sle727 in September 1854 until the rail-
road completed and the comny had published their
tariff OF rates Ten cents per pound be their charge
on express height Tor passenger trains well for the
baggage OF but as the company alleged that
TINS dd not include the expense and responsibility of pat
ting The goods board of the steamers their convey
snee froI ship shore In which their charge
teeE cents pound, concluded not only to allow them
mat price, but in view OF the importance of the work. and
wishing to deal with them in liberal spirit fixed the
compensation eighteen cents pound As announced
IN my last report the company refused TO aequiesce in that
decision but paid at that rate until the Gath OF De-
cember 1855.
In April following the difficulties Ia Nicaragua had
closed the through that State which made il impos-
sble for have the mails of the United States con.
veyed by any other route than via Panama and then
nohed that unless the department should give them
ty-two cents pound in the future and pay them the
amount ISIS Dos ss) withheld by my order reducing the
price to eighteen cents pound the mails of the United
States should not be taken the shmus In view
the financial troubles and probable bankruptcies which
disconnuance Of the mail service would have caused TO
hundreds If not thousands, of citizens both
Atlantic and Pacific coasts compelled to submit to
what considered gross imposition and the order of the
department reducing the rate rescnded and the
pany have continued to be paid the
cents pound up to this time. The Panama railroad is
fortyeight miles Ia length and in its construction and
equipments cost is said eight millions of dollars. The
service performed is twice month each way.
To show the exorbitancy of the demand made by the
wi he ma tn nnp
of the railroads in the United States which receives
adequate compensation for the services rendered the de-
partment and like reference could be made to the
pensation received by other railroads. with similar
suit The New York and Erie railroad is AGO miles in
length and cost thirtyone millions of dollars. The
service performed is nineteen trips week. for which they
receive $4,000 year. The Panama company, with
and Erie performing but 1.-THE Of the service received
the last year 49083 3s compensation and for the
present year. likely to receive amount nearly double
that paid to the latter company. Viewing this at
tempt to draw from the treasury than properly
due II ought in my opinion to be promptly rebuked and
would therefore recommend the immediate passage of
law limiting the compensation to sum not exceeding
fifty thousand dollars per This would be libe
raj and just for all the services rendered
the government .....
In my previous reports have referred to the necessity
for increased mail facilities between Atlantic and Pa
cc coasts The great and increasing trade and
pondence between these important points demand weekly
service and would ask that power be conferred the
department to enter into contract to convey the mails
twice month, alternating with the line via Panama. by
the via Nicaragua or Tehuanepec sum not ex-
ceeding two hundred thousand dollars year.
The expenditures of the department for the past fiscal
amounted TO SlO4O5,2S &c. viz: