The weekly pioneer and Democrat. [volume] (Saint Paul, Minn. Territory) 1855-1865, 1860-02-10
HOUSE OF REPRESENTATIVES,.
RAILROAD REPORT


Mr.. CLEVELAND, from the Railroad
Committee, submitted the report of that
Committee upon the matters referred to
them, with accompanying documents, in.
Guiding bill for an amendment to the Con-
stitution.
Without reading the report, it was Or
dered that it lay upon the table, and that it
and the accompanying bill for an amend
ment to the Constitution be printed.
The report is as follows:
The Committee to whom was referred the
general subject of Railroads, Railroad
Grants, and Minnesota State Railroad
Bonds, beg leave to report as follows:
The history of the Minnesota five million
loan of credit is familiar to all. The mag
nifcent grant of lands by Congress to aid in
the construction of Railroads, was given by
Minnesota to the Land Grant Railroad
Companies, with faith that these companies
would provide the capital necessary to com.
pete the roads. Minnesota asked nothing
in return but the common benefit to be de-
! rived from the improvement.
The sequel demonstrated that the compa.
MES had no cash capital at command, and
scarcely credit to insure prompt location
of their lines of road. AS consequence,
the people at large are bitterly disappointed.
In this condition of things, an amendment
to the Constitution was asked of the peo-
pie by these companies. They urged that
their delays and weakness were owing to the
embarrassment of the times-that their per-
plexities were but temporary, and that the
aid of the State as proposed by the amend
ment was all that was required to start the
roads and insure their prompt completion.
This assistance should be but loan of credit,
inficting no burden upon the people, but
serving simply as an endorsement of the en-
terprise by the State, which they would
fully secure and indemnify against all loss
and all liability of loss. In short, the com.
panies said to the people: Lend US the
credit of the State to the amount of five mil.
lions of dollars and we will complete your
roads within the time you require, without
any tax upon you, and we will secure and
indemnify the State against the payment of
any portion of the loan" This proposition
was embodied in the Railroad Loan Amend.
ment to the Constitution, and formed the
bargain between the companies and the
people, who voted for it upon this under
standing, that is to say, upon the condition
that the roads should be built according to
the terms of the contract therein set down.
The Committee do not propose to 60 at
length into an examination of the legal con.
struction of the amendment. This question
has been fully discussed by the public press
of the State. 1t has been brought to the
attention of the Legislature in the message
Of his Excellency the Governor. The pur-
port and object of the amendment seem too
plain to be controverted, namely-That the
bonds were issued for the sole purpose of
having completed Railroads, and it was
upon this consideration, to be received by
the State, that the bonds we're issued to the
companies.
Have these companies fulfilled the terms
of their contract made with the State !? The
answer to this interrogatory is found in the