Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1870-04-26


aopolisss may ask. The latter now hold in |
their grasp'pver Ia, 900, 600 acres, from
the ssle of which they viii realize stupen-
dous sums We think that this brief |
exhibit will tend TO sicken people with |
the much abused system of government
aid 10 railroads. The Government might
as well build its own roads as do business
in this loose way The history of lis
transactions in this line demonstrates the
soundness of the opposition to the princi-
pie of Substituting railroads and steamboat
enterprises-and the future will make the
moral more clear. Looking at the subject
in the large way, and fully admitting all
the advantages that may accrue to the
Government from having railroad con-
nection with the Pacific, we do not sur
render our opinion that it would have
been better for the nation if it had never
given q dollar of bonds or an acre
of land to any railroad whatever,
but had left the construction
of lines to the Pacific and elsewhere to
private capital, which would have been
forthcoming in season. Exceptions might
be suggested where the extension of
national aid to railroads would turn out
public benefit, but for one of these there
will be found a dozen cases in which the
result will prove almost dead loss to the
government. AS rule, the operation of
subsidies is simply to enrich individuals at
the expense of communities. There is
some probability, which we are happy to
make mention of, that but few more of
these reckless appropriations for railroad
spectators viii pass Congress, though the
death of the bills now before that body
win be comprised more by the desperate
hates of rival lines and interests than by a
returning sense of economy among the
national legislators.
The following is the extract from the
letter of the Washington correspondent of
the Journal of Commerce, to which we
have alluded:
In commenting upon railroad matters,
newspapers seem to discover about once
a week that the government has granted
to Pacific Railroads 124, 900, 900 acres of
land. In the Journal of Commerce of
Feb. 5, 1869, that fact was stated, and
the disposition shown to be as follows:
Union Pacific.
Union Pacific, Eastern Divn 30, 600, 600
Central Pacific.
Northern Pacific. $4,000, 900
Atlantic and Pacifc............ $4,000, 900
loJal..........'....... I@f,OuO,OOo
This does not include the Western Pa
cifc, Southern Pacific, of California,
Sioux City and Pacific, Atchison and
Pixies Peak grants, or any Of the little
grabs that have been quietly slipped
through Congress since early in 1868.
With these added, the total amount swells
by several million acres Settlers who
desire to locate near any of these railroads
i UlU lllC GOhCll11lSliJ IOcA CSSllO4AD VI lahA
taken up, and are obliged to pay what
ever price for the balance the railroads
| may demand.
The government has issued to The COM
panies, whose lines are completed, bonds
| amounting in the aggregate to $64, 49,
800. Upon these bonds, all having thirty
years to run before being payable to the
government by the companies, the gov
eminent pays interest six per cent and
the companies promise to pay the govern
ment six per cent No Pacific railroad
company has yet paid q dollar an cash
to the government as interest upon the
bonds loaned, though the interest in each
case is due on the first day of January
and July of each year. The government
needs some little transportation and what
it gets it pays well for, part in cash and
part ia credits on the interest account It
has already paid Sc, 8S1, G64 90, in gold,
interest upon the bonds. On April l,
1859, S27.30 had accrued in addition
to the above amount. The companies
have paid in transportation 81, 030, 57l.04
leaving q balance of 4, S51, 093 80 paid by
the government, due in currency by the
railroads to the government, unpaid and
probably always to remain unpaid unless
the government shall use up the indebted
ness in sending supplies to the army, car
rying mails, etc. 1t is generally believed
that some of the roads are paying the in
terest in cash where they do not in trans
portation. On the contrary, the Union
Pacific, which has been generously dealt
with, has paid in transportation Sl,207,
$3.50, and owes the government in in
terest overdue and unpaid, 81, $50, 505.H.
The Central Pacific Company has paid in
transportation $193, 9l3. 55, and still owes
the government overdue interest amount
ing to 1851, 372, SO. The Sioux City
and Pacific has paid in transportation the
pitiful sum of $36940 and still owes the
government interest amounting to Sl44,-
9SS. SO. The Western Pacific does not
appear on the books of the Treasury De-
Department as ever having paid dollar
of interest in any manner.
The other day the Senate adopted a
joint resolution authorizing the Northern
Pacific Railroad Company to issue its
bonds for the construction of its road, and
to secure the same by mortgage. All
must agree that Congress has been all
along far too lavish in parting with the
public lands to railroad and other corpora
tons. The wants and welfare of the peo-
pie should be the chief consideration in
disposing of this rich heritage, and not
the ACKNOWLEDGEMENT of railroad rings.
The government would find itself and its
free institutions strengthened, and the re-
sources of the country developed, by Gre
ating larger number of small landed
properties ON the public territory, rather
than permit it to be devoured by gigan-
tic corporations which may turn
one day and rend the hand that feeds
them. This Northern Pacific road has
been from the beginning a sponge whose
absorbing capacity seems to have no limit.
When its promoters asked for their enor-
nous grant of land, they prOfessed, as
stated by Senator Thurman, that without