New-York tribune., 1869-01-15
PRICE FOUR CENTS.
RAILWAY LEGISLATION.
THE GOVERNMENT GRANTING TOO GREAT SUR
sIDIES-THE REMEDY.
A


lFRoM AN OCCASIONAL CORRESPONDENCE
WASHINGTON, ID. c., Jan. 5.--It is quite ap-
parent by reading the report Of the Secretary
OF the Interior, that it is difficult to insure strict
compliance with the law in the matter OF completion Of
the Union Pacific Railroads That the Government Com
missoners that have had to perform the duties OF In.
spectors of the roads since their commencement havo
uniformly reported unfavorably, aud uniformly held
that the roads were not tclass is patent to ALL yet,
as uniformly, have the several companies explained
away the unavorabe conclusions of the Commissioners,
and received the subeides and grants Of land which
were to be given only upon the completion OF road
equal all respects, to fullyequpped, frstcass road.
To be sure the circumstances and difficulties attendant
upon the roads have been OF
character and magnitude and every reasonable depart
from the letter OF the law should be allowed within
reasonable limits with view to hasten the completion
Of the greatest enterprise undertaken to the
line of transit between the oceans; to eQuaze the coin
merce Of the seacOasts and the interior
But while these departures from the letter Of the law
allowed temporarily TO exist the part of the rail-
road corporations why have not proportional deductions
been made from the amounts Of subsidies paid Why
should road about half completed receive the full
amount OF subsidy bonds and landwarrants, a. If the
road had been completed In accordance with the law
granting such subsidiesl
What guaranty has the Government that the companies
will complete their roadsi how they be made
to do soi What inducement is there to prompt the
tho Government give them under the lawi Have
they not actually saved themselves the amounts OF
money estimated to be necessarily expended TO complete
the roads to the letter Of the awl
Is not the Government powerless to enforce n compli
with the letter of the act after the subsidies have
been paid and the land warrants issuedi
That there defect somewhere Is apparent and that
remedy is needed is also apparent.
The first idea that presents itself is that the Govern
ment granting too great subsidies 1t evidently
the intention Of Congress grant subsidy, equal in
value to onehaf Of the OF the road far at any
time completed; but provided to deter.
mine that cost Hence the evident fraud upon the
Government. Now this defect be remedied by follow
ing usual system of monthly estimates Of work done,
been practced all railroads in this country
when the graduation and masonry Of given section
shall been completed estimate Of the there
OF be made. and proper proportion OF the cost paid
| by subsidy.
second defect Is seemingly that no provision has been
made withholding portion Of the subsidy in the
work has not been completed the full letter OF the law
The construction of railroad may be divided into
graduation including masonry and bridgng permanent
way. including ballast and track; rolling stock com
prislng engines and all kinds Of cars engine and repair
shops with stations and other buildings Having esab
shed the value per mile Of road Of rolling stock and
building equipment the subsidy could be paid In install
mens proportional the value Of the road, work com
peted IN this way: Onehaf OF the cost Of the gradua
ton would paid when done and received, onehah tho
value of the permanent way when properly laid and In
the IN regard to the equipment for work
and business operations The land warrants should be
issued only when the road shall have been fully CON-
peted should any portion OF the subsidy payable
be paid the item OF work for which tis payable should
IN any manner DO unfinished such as narrow enlDank-
ments cuts taken out TO grade line. incomplete
| bridges. OF badly built abutments, &C., &c.
To secure the attainment Of such object, carefully
| had a,Rfhu
the conditions Of work, customary all works,
and Government agent assigned TO represent the
interests the GoyernmeB who shonld not be
BILE except for cause. and by the consent OF the Congress
by whom his appointment should be confirmed In this
connection, the question may be very properly asked,
| Why does not the Government take first mortgage
bonds suppose that the Railroad Company should show
an unwillingness TO pay the Government bonds when
due what difficulties may not be intcrpOsed to prevent
their realization by the holders OF the Grst mortgage
bonds Would not the whole matter be Oniewhat com
phcated II the subsidized roads should change hands
soon the subsidies paid up an incomplete road
Why is it that the railroad companies receiving sub
sides from the Government are In charge Of engineers OF
doubtful capacity and only experience when the
character the work calls for the highest engineering
talent the country aud why does not the Government
require that the beet engineering talent and experience
should be IN charge OF these enterprises that they may
be completed IN such manner as 10 be available
OF tr!lc trdNelf We should not then
hear OF ard shorter than circumstance
qure." of bad locations, Of narrow embanhments. Of
incomplete cuts of the insufficient and improper depth
OF pier and abument foundations, or OF badly con
structed water ways. GENIE.
A STARTLING HISTORY OF FRAUD AND DIsHON-
.. Est LEGIsLArI0N-How THE PUBLIC LANDS
ARE SQUANDERED-TEN GREAT STATES GIVEN
AWAY.
Gen Boynton writes as follows to The Cincinnati
Gazette:
The subject OF the great railroad frauds grows u.
every attempt its limits and it is only by in
yestIgatng one scheme after another that the fulJ
sounded nfamy begins TO appear.
THE SIOUX CITY BRANCH
There clause in the original Pacific Railroad bin
which required the Union Pacific Railroad Company TO
construct branch from Sioux City TO connect with their
main road by the and most practicable route"
The road thus provided for would, II any attention had
been paid the law authorizing it, have been built from
point the Missouri River, opposite Sioux City, In
direction almost exactly southwest TO ColnnDus IN Ne
braska on the main stem, distance OF 96 miles
Instead doing this, however, the road was built down
the rich ana level bottoms OF the Missouri in drec
on considerably east OF south, and FOR Cs miles Of this
distance at the OF each successive me the track.
LAYERS wero further from the Pacific Ocean than when
they began and at the sixtyeighth mile 20 miles
further east than the meridian of Sioux City. Then turn.
iny westward aud crossing the Missouri 30 miles above
Omaha the line strikes the main stem.at Fremont, max
ing the branch thus built 100 miles in length and its
minus at this point OF junction only six miles tho
Pacific Ocean than the point where It's first rail laid
And for this road lying almost wholly in the State OF
Iowa, in Pacific road, and in almost all
senses private one. bonds by way Of Governments SUBJ