Edgefield advertiser. [volume] (Edgefield, S.C.) 1836-current, 1858-12-15
MIR. TRENNlLM,S REillRNS

| DejDfe the committee NJ ways Gh0 iitGRS g inc
House, IN support IF Me memorial of Tie Blue
Ridge Railroad Company, del'raed on Tues
day, NOrembef so, 1858.
The object Of the present application is the
removal Of the condition imposed on the grant
of $l,000000 of the State guarantee by the
Act of 1851. The Legislature, by that act,
engaged to contribute in aid of this undertaking
81 900, 900 by subscription to the capital stock,
and 81 100000 by endorsement of the Compa-
ny's bonds. Besides the conditions attached to
the subscription, it was made a condition Of the
proposed guarantee that the Company should
exhibit satisfactory proof of its ability to COM
pletc the road. This was wise and prudent
precaution, and the Company apprchended no
embarrassment from it, because they had a con-
tract for the construction of the whole road, in
which it was agreed that the contractors should
furnish half the necessary capital. But these
contractors have failed, and the Company arc
deprived of tho capital they expected from this
source. 1t is true, there were those who pre-
dicted their failure from the beginning but it is
easy to predict disappointment in human affairs,
for nothing unhappily is more common. This cir
cumstance implies, however, no neglect on the
part uf the Company; fora careful examination
into the facts will show that the Company ac-
corded their confidence to these contractors, on
proofs that it would have been unreasonable to
discredit. Neither does the fulillment of this
prediction imply any rashness on the part Of the
State in embarking in the enterprise, notwith-
standing this danger. She was resolved to have
railroad to the West, and this was not only
the best opportunity that had ever presented it.
self of accomplishing this great design, but the
only one, perhaps, she would ever again have in
her power. She acted wisely, therefore, in en-
bracing it, with its attending dangers, and there
is no reason TO regret this course; but, on the
contrary, every motive to encourage us to per-
severe. The route had been pronounced utter
ly impracticable, and if begun, would have to be
abandoned, it was s1id, on account Of natural
difficulties that no engineering skill could sur
mount. The progress Of the work has disSipa-
ted this objection. The most formidable diff
cuties on the line have been encountered, and
yield readily to the ordinary appliances of en-
gineering science. The Presidents report fur
nishes the complctcst proof of the entire practi-
cability of the work. This objection being
removed, it is proper to inquire how much more
aid the Company will require. The State has
already expended 81 100000, and the city Of
Charleston 81 600, COO. Before another 81 C00,-
900 is embarked, it is proper to ask how much
more will be necessary, and if the resources Of
the State are adequate to the proposed expen-
diture.
The estimated cost Of the road is, in
round numbers. s................$7 81, 900
Of this amount, there has al
ready been expended OH
the, work. ............. 50, l2G,UUO
Tier remaining cash Tesour-
The State aid from Tcnnes-
See IS ......... OfoVOO
The guarantee now asked
from South Carolina is. 100000 ALL 900
Leaving deficiency of. of............ S3,Ol4,GOO
1t must be frankly admitted that there is no
rope of obtaining any part of this sum from any
other source than from the State. The ComIa
ny entertain the hope that with $l,oO0,0Oo
more Of State subscription, reducing the deli
cheney to $2,000,OO0, they will be enabled to
procure the remaining $s2,Oo0,o0O on their mort
gage bonds without the States endorsement 1t
would be contrary to the experience OF the Whole
country that they should tail in such an effort.
Bnt, suppose they did? Surruse they had to
return to the State for its endorsement The
State would then acquire the road for 50 00O,-
Would this he too much 10 pay for this great
work If company presented it. cir here to-
dav, Offering To construct this great highway Of
commerce and bond Of political union, The grand
lesit.eratum of the State for tie last thirty
years at cost Of 81 600 600, and transfer it to
Tic State for the sum ur $Sj ,0W) could This
Legislature hesitate n moment in closing with
such proposal !! For, if it is insisted, contra
ry to tile experience OF Georgia, that this road
will not be profitable, that it will pay no divi-
dends to the Stockholders, then it follows that
it will fall into the hands of the Stale, in salts.
faction Of tic mortgage. Nobody can doubt
that, in this case, it would certainly pay the i'll
tercst on the S3,G40000 advanced by South
Carolina and Tennessee, and the cost 10 this
State would simply be the annual interest on
the 2,OOO,000 Of subscribed capital.
If VIC examine into the ability of The State TO
assume this charge, we cannot fail of being
fully convinced uI lIra:nplitmle of lur resources.
| If we exclude for a moment, the bonds recently
issued fur the Blue Ridge Road and the new
State llonsc, it will be seen by the Comptrol-
ler's report that the entire remaining debt will
amount to $l,330,OO0. The chief part of this
debt consists Of the fire loan bonds, and the
people have never paid one single dollar of taxes
| for the principal or interest. On the contrary,
the money has been long employed rs part Of
the capital of the Bank of the Statc and has
yielded large profit, in addition to the annual
interest. To meet this debt Of 81 $4,000 the
State possesses in tho sinking fund and capital
of the bank united, $4, lac, ,000--so that, after
the payment of this debt, sle will have still re-
manning sgSO0QO0 Of Lauk capital, which is
the clear accumulated profit of tle bank during
the long period Of its existence. Not one dollar
has come out of the pockets Of the people.
In addition to this large sum, the State pos
scsses 81, ,342 600 in railroad shares. exclude
from this, also, tho shares held in the Blue Ridge
Road. This stock may be of small value, but
this money did not come out Of tue pockets ol
the people either; nearly the whole sum was
derived from the surplus revenue. 1t is said,
however, that no profit is derived from the in
yestment and this is sometimes used as an ar
gument against the present application. But is
It on evil that the State derives no revenue
from these shares? Is it not proof that these
companies are doing the transportation and
travel of the country ut rates so low as only TO
pay the expenses of management? Suppose it
was proposed to raise the rates so high as TO pay
tho State s per cont dividend on its shares; all
the other stockholders would of course get q
similar dividend, and the public would be large
loser by the arrangement. II, on the contrary
when those companies applied for the aid they
have received, the State could have made it 8
condition that no dividends should ever be do.
c!ared, but the transportation of the country be
effected at rates adequate simply to defray tho
expenses, it would have been regarded as the
most beneficial arrangement for the public. Tho