The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1873-09-26
THE TRANSPORTATION QUESTION.
Who are the MonOpolists THE Anti
Monopoly Humbug-Cyrus ii. McCor-
mick Granger.


mick as Granger.
EXTRACTS from Gov. Carpenters Speech at Cedar
Rapids, Iowa.
lnow turn to consider the transportation
question. And in doing 80 / cannot state NV
position more strongly than by reading what
i said upon this issue two years ago, before it
had assumed the importance i'm discussion
which it has since attained
lido not regard the pretense that RAILWAYS are
always beyond the control Of law, in respect to
fare and freights, as worthy of more than a
moments consideration. 1t cannot be con-
coded that corporation, when asking the
right Of eminent domain, may avow the pur-
pose OF building public highway, for which
purpose alone 1t could hope to acquire this
prerogatiye of sovereignty and, when the
right has been conferred and accepted, and IS
enjoyed, may declare itself independent Of
statutory control, in the limitation of fares
and freights, on the ground that railway is
private property. Ii has been said that both
currency and internal communications between
different portions of State are exclusively
the prerogatives of sovereignty III, therefore,
banks owe debt to the community as well as
their stockholders for the prerogative fran
chises with which they have been clothed
there can be no question of the consideration
due from railways for their still greater priv
ileges. AS an individual cannot concluslvely
determine his own rights in respect to his
dealings with the community, il is not to be
supposed that vast moneyed power. subject
to the restrictions OF common carrier, can
assume prerogatives denied in this regard, to
a private citizen. 1t has always seemed to me
that railway men, to as great an extent at
least as any other persons, would have a deep
interest III the effectiveness and stability of
wholesome statutes, as upon pure and Just
law the permanent value OF their stocks and
franchises alone depend yet it is a fact that
the possession of enormous franchises breeds
a contempt for law. There can be no cleaner
duty therefore, than for the State to main
tam Its power over railway and other corpora
tons OF her own creation. And if Iowa ever
abdicates this sovereignty, she will have proved
herself unworthy the dignity of free COM
monwealth.
1T frequently happens that rival railways,
though connecting the same points. widely
diverge III their passage through the country
they traverse. III, from any cause, competi-
ton for the through business becomes sharp
at the ends of these lines, freghts have at
times been reduced below cost the companies
making up their losses by exorbitant charges
on the intervening country. An evil OF this
nature legislation ought to reach.
1.-The habit of stock-watering, which has
| grown up OF late years. not only in railway
corporations, but i'll other companies possess
ing corporate powers, ought to be prohibited
| Although throwing fictitious stock upon the
market for speculative purposes, may seem
harmless to the operators, the tax, which, in
the way of interest and tolls, must be paid by
the people, is one feature of the transaction il
which there is no fiction.
Allowing drawbacks to large dealers or
favortes, thus, in effect, driving small dealers
| from business. and breaking down competition
in the purchase of products, is opposed tc
public policy, and should evoke statutory in
hibition.
Discrimination against water Transports.
| il II nj nat M m ha
ducer, and should elicit regulations while il
the State can encourage by moral influence, the
opening of direct water communication with
the Atlantic seaboard, it will aid in giving the
West one channel for the shipment of surplus
commodities, large portion of each year
upon which competition can be made effec'
| tive"
But while l said this then, aud believe it
now there is mistake sometimes made in
stating the issue, that may lead to q miscon.
ception of what is intended in seeking the
control of railways. There is no idea ofd IRA,
upon Railways 1t by no means follows, be-
cause prudent men believe in the duty of the
government to assert the power to control cor
porations holding franchises under it, that
therefore they are unfriendly to railway enter
prises, or would prevent railway managers. ant
stockholders from making fair earnings upon
their investments. The argument that because
the people do not care to abdicate their just
|
they seek to destroy railway enterprise, il
akin to the theory that, because they will no.
consent to the repeal of the usury laws. there
fore they are opposed to banking, and to the
free Introduction of money into the State
We want more railways, and would be glad i
many Of those already built would pay thei
owners large dividends, and we believe tina
the way for these gentlemen to secure this il
by treating the people fairly, and by encourag
| ing personal enterprise and improvement IL
! the country. In word it seems to me tina
the value of railway stocks depends upon the
early solution of the exact relationship be
tween communities and these: transportation
companies: and when you convince me tina
railways are not ubject to the control of th,
government that conferred upon them thei
franchise, you convince me that neither GOO
e,nn,e1at nor franchise is worth enough to pa,
for sufficient paper whcreon to write thel
names. In this connection you will excuse
me for reading to you part OF letter writer
to me some months ago by gentleman whos'
good judgment, ability and integrity the peo
Pile of Iowa will not question:
Iowa CRY, Feb G, 1873
Is it not clear enough that the
railways must be fairfield? If the present
General Assembly will not do these things the
next one will = If | were a stock
my best to have my company consent to jul
| dicious law and if L could not get that con
sent would sell my stock. Very truly,
s. j. hISKwooD.,
A word in reference to the taxation of rail
ways 1t is thought by manytha the railways
! should be assessed by the local assessors
This is possibly true ; but the late Assessment
made by the Census Board is fair measure o.
the value of railways under the provisions Of
the law by which their valuation is to be deter
mined. The law provides as follows: " The sale
| Census Board shall take into consideration
the gross earnings per mile for the year ending
Jan. l, preceding, and any AID all matterr
necessary to enable the Census Board to make
just and equitable assessment, etc. Take
now the assessment of the Burlington anC
Missouri River railway, which is $4,000 pc
mile the gross earnings reported being 80,
S5627 per mile. No one will deny that THU
valuation is sufficiently high by whateve
standard you measure it. The local assesso
does not value your horse or your wagon a
more than one-third of the price you woui'
ask for them were you going to sell: SO con
clude the Burlington and Missouri River rail
way is valued higher than il would be by TIT
local assessor. for, it would hardly be safe t.
say that the cost of this road, and consequen
value, was $40, 400 per mile, for if we say tina
railways are very expensive and valuable whel