The New York herald., 1875-03-24

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DURING THE GREATER PORTION OF THE TERM
OF forty years. through which the cost or construc
tlon OF these Ave eral canals was paid from the
canal lund, the State was obliged itself to pay IN
terest AZ the average least per cent
annum. PAID nall yearly, on the large sums needed
beyond the surplus revenues from time to time IN
hand for prosecuting the eniargemen1 o IL the 9
OF loans for nearly II not quite all or the 364
drawn from the canal iund to construct and sup
| port the lateral canals. 1t certainly may explain
why the canal deOt. at Its maximum IN 1860
should reach s27,lOL52l. AS matter merely OF
fiscal account IL cannot be unjust or unreasonable
! TO charge these lateral canals at least simple in
terest at i've per cent per annum rom the periods
various portions OF S2S, ,Os1, 1854 were actually
| drawn from the treasury OF the state.
At that moderate rate the actual cost was, -
Simple interest At ive per cent 25sl752
Total S53,3SSSS
II Is believed that q careful Investigation OF this
branch OF tine subject Dy the members OF the
| Chamber OF Commerce aud OF the OGher CONNER
cia Dodies associated IN the "Conierence," VIII
enecruaily dispel the strange and most erroneous
impression entertained in some quarters tnat all
U1 our canals, both trunk and lateral-some or
them SO urgently needed to preserve our Western
cOmmerce-could have been constructed ana COM
pleted In Que season without borrowing any
moneys whatever. but solely by uslng the surplus
tolls and revenues Of the Erie Canal.
While we NAV admit tnaG these lateral canals
have conferred measurable amount Of public
benefit IN stimulating industry and cneapening
transpor tation WITHIN the interesting districts
when they penetrate, and thas they may be con-
sidered to some extent as parts OF general sys-
tom
common burdens, We cannot ciose our eyes on
the uudenlao!e fact lhat they have already
| SUBTRACTED MORE THAN FiFTY-THREE MILLIONS
from the common treasury OF the state. The So
luton Of the difficult question OF the just and
proper disposition to be made OF these canals now
engaging the anxious attention OF the Legislature,
.wiih power fortunately divided between the two
| ind, IL possible. some wise and proper measure
which may do justice alike to the counties imme-
diately adjacent to these canals ana at the same
time relieve other ana less favored portions oithe
State from the grievous injustice of perpetually
terest. it is believed that q careful examination
OF some OF the canals which have been abandoned
~ Pennsylvania, ONO ana ~ indiana ana also n1 10
convenience and pecullor interests of the com-
muniules adjacent have been promoted quite as
1uiIy by railways IN their vicinity open LOT use at
all seasons OF the year.
The sum total OF the expenditures for our whole
system oi canals. above divided lor historical pur
poses III successive periods, from 1885 70 the close
I OF 1874, Is as iollows:-
For the enlargement Of the Erie Canal ssi
cluains its trst cost $6jl $40 6'sSloSo
and Seneca canal uncluding its hrst cost, ooo 90,
|
Total Observation-Disclosures. $42,lsal7s
lateral canals as above stated not including
interest nor the large deficiency OF tolls in - -. -
paying for repairs and mantenance)....... Hl26132
Total. sss, 264 slO
The Auditors report gives no particulars of any
! expenditure for charging or improving the Cham
PLAIN Canal beyond a single Item, stating the cost
] nj ha ErIp m n m
1t gives the particulars, to some extent, IN re-
spect to the cost OF certain minor works con-
nected with, and accessory TO the trunk canals,
Improvement, the Balwinsvllle Canal, the Cayuga
Inlet and the Seneca River rowing Patn.
TOTAL COST OF THE CANALS.
1t will be sufficient for the present purpose to
ton under the one general mead, presented by the
report Of the Auditor, showing that the cost Of
ali The canals, rom 1885 to the close 0i 1874, has
been $67.97s,S27.
TINS summary statement necessarily leads to
the interesting inquiry. now nas the state been
! enabled to meet this immense expenditure
The answer may be very brief The State has
raised temporary loans for definite periods less
than nar OF all the moneys needed lor the purpose,
the greater portion OF winch mas already repaid,
and mas PAID the residue by me surplus Tolls OF the
canals and the proceeds OF direct taxes. .
| In examining the fiscal history OF the canals, 1t
! will be necessary carefully TO consider the large
anu repeated reductions in the rates Of toll (and
especially on the immense cereal product OF our
great lnterlor). as existing IN 1885, when the en-
largsment OF the Erie Canal was directed ire Dy law,
| and which have been made Ior the purposes OF
commerce.
The rate OF So % per ton on wheat and -four
from Buffalo to Albany, existing In 1885, remained
unchanged until 1916, when 1t was reduced to
81 g. It was again reduced in 1851 to s. ly again
In 1862 to 80 IL. ana lastly, IN 1870 to 81 05. at
which 1t still remains, being only 3l-l0c. per
busnel.
aborious computation Of the precise amount by
whicn these successive reductions OF rate have
diminished the total sum which the surplus TOLLS
would have ylelded to tue treasury Il the rates
existing III 1888 mad Deen retained, may be safely
stated: tnat while the gross tolls actually received 81
the reduced rates, have amounted to-. .Sll5,31S,5O@
they woud have been at least. lS5,37S,5OA
The expenses Of repairs. superintend-
ence and collection Ol t0lis, amount
ing to s3s, 6S5 would have re.
ma1ned the same. In wcrd. the
reductions made for purposes OF
merce have been at least S20, 0C0 600
AGGREGATE EXPENSE.
The cost OF all the canals, as stated
above, has been ..... ss7, ,o7ss27
by the Auditor, has been en............. s7,237 500
Total. $685. ,ss5
or tnis iargc amount, Tor which we
have acquired our whole system OF
canals nearly twOthIrds have been
paid without imposing any burden
Whatever on the people OF TINS state.
merely by applying from time 70 time
the acuruing surplus canal Tolls,
amounting ......................... SIC. $40
The large reductions in tne rates Tor
the purposes OF commerce. coupled
with certain burdens imposed by the
constitution OF 1916, ana terenaiter
stated, nave rendered IL necessary to
lay direct taxes to pay the residue,
being S,7Ss. 500
The amount OF taxes actually imposed ana paid
between ls48 and 1874 was S3l, ,3S6 3lS sum winch
would nave fully sut1ced 10 pay the S2S. 7sS, $685.
and wholly TO extingulsh the canal debt, but Tor
tho requirements oil the constitution, winch In-
posed upon the canals tue duty OF paying not only
their own proper ueDt as above stated, but In ud-
ditiOn the wnoe OF the general lund debt,u
amounting in 1S46 to several millions OF dollars
tol when S3,000,0o0 had been loaned and
was alterWard given to the New
YORK and Erie Railroad Company ali
or which win interest rom lSlO together
with sLl urtGer sum " 5000 600 reserved py the
constitution to be PAID yearly from the SUI plus
tolls Ito deffay the ordinary expenses oi tne
state" have peen taken IRON the canal fund.
The actual amounts from lS8 10 ls7A thua diSnrknd