The New York herald., 1870-03-14
THE CANAL QUESTION.
Speech Of Mr.. Israel 7. Hatch on the Canal Bill
Interesting Statistics and Important Sug-
gestions-The Canal Debt and How
II Should be Liquidated


gestions-The Canal Debt and How
It Should be Liquidated.
A bin being now before the Legislature which is
intended 10 effect radical change IN the direction
OF the State Canals an Information bearing upon she
question or canal management Is OF interest. The
speech OF Mr.. Israel 7. Hatch delivered before the
Chamber OF Commerce, the Commercial Union, the
Produce Exchange and the Citizens Association,
on Wednesday last an abstract OF which has already
appeared In the HERALD, being timely and interest,"
ing and containing valuable statistical inlorma.
ton, the main points are given more IN ertenso.
Mr. Hatch commenced by stating that conventions,
year after year. mad passed resolutions in favor 0f
reductions OF tolls and speedet and cheaper trans
portation. We propose now TO take them at their
word, and to inangurate the policy OF making the
canals free. II the constitution leaves the matter In
doubt we will take the DOUBT In favor. Instead
or increasing the capacity OF the canal IN
proportion TO the business which would nat.
uraiy arise from the transit OF the
rapidly increasing productions OF the West, 1t has
been and is so egregiousy msmanaged, under the
present notion Of making repairs inperiectly, when
taey are made and frequently oi avoiding them
when they ought to be made, that 1t mas gradually
become more shallow from the cavng In of the bench
waits; and STATE Engineer Richmond deemed IL his
duty TO warn the State OF New York, IN his last
annual report tnat ihcre Is less capacity than
there was Ia 1s49 and double the business 20
perorin.n BY the neglect OF the great thorough
1are, the commerce. OF che West is being expelled
from tile State. An immense diversion of the grain
trade has already taken place. The receipts vi
wheat and -four OF Montreal alone last year were
equivaenl to nearly seven millions OF bushels mere
than IN the previous year. OF The grain received at
the ports OF the lakes on its way to the East nearly
sixty-nine millions OF busnels were sent TO otner
than the commercial metropolis. Some portion OF
this grain was used Tor home consumption, but y
considerable increase mas taken place at other
ports on the Atlantic, whue THAI ut New YORK has
diminished. IL is estimated that productions OF
the West Immensely exceed those OF ten gears ago,
bat within that period there has been no increase IN
Upper aud Lower Provinces, and previous 10 1867,
Canada expended upon the rival ronte oil the 81.
Lawrence nearly s6ooo,ooo. We are now
threatened with expenditures, in compari-
with which those already made ave
trinng, ana left in no doubt as to their object
serts IN his report Of 1861 printed by order Of the
House OF Commons that "those who designed the
works S of Gsnaaa besides desiring 70
country, had also In view the prospects
OF The Western trade, and carried out their
dams On sucn scale as, in their estimation,
would he commensurate with It's requiremcnS.n
While they are thus alive to tue magnitude of the
prize for which they contend with us, we unwiseiy
rest on the merits OF past success ana Of natural
superiority already proved Needless that In these
days OF strenuous competition the ultimate victory
can only belong to those who are vigant and per-
sevcrng 10 availng themselves 10 the fullest extent
OF the best faculties within their reach. plan was
years. 1t approved and recommended
by the Produce Exchange OF New York, and subsc-
,' Sefore the se Legsiature whess. although not
presented until the session had almost closed 1t
came very near adoption, fifty nine votes being re.
corded IN its favor and only fifty three adversely
In its application TO the canal debt OF The State Mr.
Hatch recommended the adoption OF no new or
merely experimental theory but Of u principle wen
tried and sanctioned by the highest precedents in
cluolng even that section Of the constitution OF 1s46
under which he proposed to inauguate the policy OF
IS now $l2,564, 7s0 less $3,2i302l III the sinking
mnd, leaving s9,35l 100, to which IL to be added the
balance OF The general fund debt, making the total
over s120o0,0oO, for payment oi which tue
canal revenues are sacrediy pieaged, WINE to to
the constitution except by an act OF tue
Legislature. subsequently approved by the people at
general election. The intention Of our legislators
was that the smallest tax consistent with adequate
remuneration TO the owners CT rauroads should he
charged for carrying freight Ihus under the exist
ing laws OF the state the managers Of railroad cor
poratons could not divide than ten per cent
the hundred dollars they mad paid In; but they
could cali that nundrel dollars four hundred, and
levy and divide ten per cent on the whole amount.
THIS was the object sought by watering the stock OF
the Central Railroad, and, with the same motive,
that OF the Erie was secretly increased III the short
| period OF twenty months. nom 800 TO
| $4,000, ,0oo-an addition of three hundred and
twenty two per cent OF mere water" Similar
transactions have taken place all over the country.
until the railroads, rs estimated by Mr.. Adams,
nave four hundred ana fifty thousand employees
and an annual gross income of 500 0u0, ,000 The
| only direct check The people have upon mOnopOitcs
whose object to raise tho price OF transportation
is the canal, which Is open to all corners end under
the control OF the State and regulates the cost OF
carriage during the season Of navigation. Mr. Hatch
! said that what was urgently required was law
which would enable the Canal Board readlust the
toll. he conrasted The early benefits OF such law
| with the tedious ana injurious delays thar must
arise from looking solely 20 the MD Of q
! constitutional amendmeDt which could not be CON-
peted in less than three years. careful computa-
tion, made IN me ONCE oi the Canal Auditor NJ
Albany demonstrates that an annual contribution OF
S33S, 635 3D. invested at ye Der cent VIII extngush
deDt OF sio,o0o,ooO In eighteen years. Allow
| 100000 more for annual interest," on the
| debt, and the whole sum needed yearly would be
less than million OF dollars-not 30 much as one
third Of the average net receipts nom canal tolls
| under the injudicious and unnecessarily expensive
system OF managemeDt, Deen 81, Ss2 To- in 1852 and
the previous year they were So 203S BY thIs plan
| the canal would, within two years. ami At an
| expenditure OF *aooo,OoO be put in thoroughly
! good condition. Ths and the reduction Of toits
would attract very large accessons OF bnsi-
| hess, and enable the state OF New York 10 coni-
| pete triamphantiy with alien routes Tney would
/ cncctually drain the commercial channels through
which trade Is now increasingly diverted from II
the present system were persisted IN the debt wonlc
! never be extnRulshed Without recourse 10 direct
| taxation OF the people, VINO would also sustain
| loss of over S2U000,UO0. II we are alive TO
our interests ami cheaper the cost OF transporta.
tion as far AZ we are able we snail end tIat our
share or the graln-expOrtlng trade or the United
states is yet IN Us infancy. The Chicago merchants,
already carried out their intention OK placing samples
or their various grades OF lour ID the rooms OF
the corn exchanges OF several OF the Cnlel cities OF
Great Britain and Ireland, with the expectation
that sales may be promoted 10 the mutual benefit VI
themselves and their customers. TINS subject
should be refected upon before the canals are per-
mted TO go into the hands OF corporations. The
RAILWAYS have their proper freients, and let them
carry them. The canals have Their proper freghls
and railroads should keen their hands on from them
In $50 there were only twenty'hree miles OF
road in the United states by the end OF the present
year lthere will be in fun operation $4,000 OF
railroad, representing capital OF s., 200, ,O00 0o0
In conclusion Mr.. Hatch ssd that the policy OF the
people aud to save them from taxation and he had
nd doubt that under readjustmeDt of The financial
clause OF the constitution or lSsG. a by the removal
OF the restrictions upon the power OF the Canal
Board reduce tolls order To retain the trade OF
the canals, the public works can pe improved aud
made free and self-sustapng ut no distant Luue,
witncaa any recourse 70 taxation.