The Grange advance., 1874-07-15
Letter from Hou. E.. F.. Drake on
the Railroad Question.

SAINT PAUL, June 20, 1874.
J. A. K1EsTER, Eso.-Dear Sir:-I
have your favor of the 18th. After
the generous reception your people
gave me when canvassing for bonuses,
and the earnest cooperation given by
yourself and others, l am deeply NOR.
tilted to be compelled to say see no
possible mode or plan for raising money
to build your road until public sen.
timent shall undergo an entire
change. The best informed of Us in
railroad operating are just waking up
to the fact that no possible income of
railroads in Minnesota can make them
desirable property until the population
becomes more dense and the people
abler to travel. The land grant in.
ducement (always over estimated) and
ne longer available, and local aid, even
if ultimately good, has but little pres.
ent value to companies. The greatest
trouble is the entire want Of confidence
in public faith and justice. The State
Of Minnesota is particularly unfortu.
nate. She has, to-day, over two mil.
lions OF bonds practically repudiated
and scarce voice, from the pulpit
down, is raised in favor of their honest
payment.
When bonuses are voted they are
repudiated on the slightest pretext.
Only three days since the U. S. Court,
sitting here, was called on to enforce
payment from the favored city of
Wlnona. All over the country, towns
and counties are repudiating debts
made to aid railroads, depreciating the
value Of aid until it was we'll nigh
worthless. Enter prlsing and sanguine
men have built roads in the Western
States, and waited long years for bene-
fetal results, and when their work has
been done, and they were anxiously
waiting for fruits, the public, through
courts and legislatures, acting through
prejudice, party aad ignorance, claim
the right practically to confscate the
property. Under all these unfavorable
Influences, l cannot see any hope for
localities where roads are not already
built. It may as we'll be laid at once
as maxim, that no more money will
be furnished by capitalists from abroad
or at home to build roads until by ju.
dicial decision, or otherwise, the ab-
solute control of roads, when built,
will belong to those who build them.
The State may rightly pass laws to
prevent fraud or oppression just as she
may regulate all other business, not
otherwise. If the State claims to fix
prices, fares, etc., at her pleasure, she
ought to, and will be compelled to build
her own roads. Ihave, personally no
fears of the future. The courts will
ultimately protect the railroads as pri-
vate property. In the meantime, the
present owners may be ruined many
Of them certainly will be. With their
ruin the toiling people
| will be dragged down.
| The withdrawal of capital almost
wholly because of the war upon rail-
roads, has already injured the
debtor class, (Which includes
US ally to the extent of
millions, and the end is not yet. The
public press, at first disposed to ioin
the cry against railroads, is now gen.
orally battling against agrarisnism.
The press, generally, in the long run.
gets right, but the mischief is done.
credit 10 gone, and capital, always con.
servative, will not again venture. The
look ahead is gloomy. Like tho epi.
zootic, the grssshoppers, the thousand
isms that curse mankind, this war on
capital will have its day. The nest
may be robbed Of the eggs already in
it, to the great grief Of the old bird,
but no more eggs will che put there.
Her wings, like that which capital
wears, will carry her to more secure
and hospitable parts. I am wander
ing. need not write this sort of .
letter to you. ~,. = 80 :,
!! I commenced this for the purpose Of