Daily Iowa State Democrat. [volume] (Davenport, Iowa) 1856-1859, 1858-09-07
OUR RAILROAD.

Having rid the community Of wild cat
money, and thereby placed Davenport in
position to do sound healthy business, we
call attention to the condition Of our Rail-
road from hence to Council Bluffs. 1t is q
topic upon which we have long ached 10
touch, but having had, for many months,
the whole responsibility of fighting wild
cats resting upon our shoulders, we have
not had the time or space to devote to il.
A few days since we were invited to at
tend celebration at Washington Of the ex-
tension of the NJ. d II. Railroad west from
Muscatine.
While we rejoice to see every portion Of
the State prosper, and would be glad to have
railroad facilities extended to every city,
town and hamlet in Iowa, We would like to
chronicle something done for our benefit, as
well as for the benefit Of others And in
this connection we are constrained to say
that no community has been more shame
fully treated by Railroad corporation than
Davenport and Iowa City have been by the
Directors Of the Mississippi and Missouri
Railroad Company.
The road, as is known, is simply an ex
tension Of the Chicago and Rock Island Rail
road. In order to complete that road to
Rock Island. the city Of Davenport cub
scribed $50 200, and she has ever since been
paying upon that Indebtedness what to a
municipal corporation isl the enormous rate
of ten per cent. interest.
AS soon as the Railaoad West was pro-
ieeted, the city Of Davenport was called
upon for another rlift-the..county was also
asked for subscription. In answer to the
objection made BY many to an increase Of
our corporation Indebtedness. the Railroad
Directors said that the road would he push
ed forward with vi-or, and il sll probahil
ity would he through to Council Bluffs in
tom- ana pro5abiu, in hree years.
There was much opposition to this sub
scription, and Justly, too-LeClaire. in par
ticular, objected to paying tax for the
benefit of Davenport and Rock Island. and
the opposition to the county subscription
was heavy. But both subscriptions were
carried, and bonds were issued bearing ten
per cent inf crest, and since their passage, in
July. 1853, the city Of Davenport has paid
THIRTY SEVEN THOUSAND FIVE HUN
DRIED DOLLARS, and tie county Of Scott
TWENTY-FIVE THOUSAND DOLLARS
as interest on the money borrored on those
jonds.
As an additional inducement for the sui
scriptions, the taxpaying voters were assur.
ed, that the roads when completed, would
be paying institutions, and tina. mean time
the city and county would draw ten pei
cent interest on their subscriptions until
the time when the first dividend shouH be
declared, and that after its declaration it
would not be reasonable to expect . less
dividend than ten per cent.
The Railroad Company, strange to say,
up to about one year ago last winter. or for
. little over three years, did, in this respect,
as they promised, pay ten per cent. interest,
but not in money; it was paid off in scrip,
and the city was afterwards most gracious
ly permitted to turn the same into stock,
which was not then, and never has been
since, worth ten cents on the dollar. But
the city and county were bound to besvin-
| died some way m the end; for about one
year and half ago. the Company managed
- borrow money enough to declare divi-
dend of four per cent upon the stock, and
from that time the Railroad Company ceas-
ed to pay interest. But it has been about
as well as paying in interest scrip, which
was good for nothing.
The Company, two years ago last winter.
completed the road to Iowa City. and then
because some of the counties west Of thers
refused to subscribe, Tor at least they give
taat as the reason.) they declined to push
the road further. They suddenly forgot
1 the promises they had made to Davenport,
Iowa City, and other towns, and to persons
Who had subscribed to the capital stock, and
paid their money in good faith They had
got their money. and consequently thses
vas nothing more 70 b msds out Of sAea
Another induesmsnt fue our slh1uiption
tn wa thss " vses = hase q Dsvsn-
i ~ ~ sastaa ssniaas = ~ - -