New-York tribune., 1876-06-05
ary Of the Interior to sooep. said lands in payment Of

for the conveyance aud release to The United States OF all
the lands III Nevada aud Uah rra I'D 10 the Company III
aid construction, the of the same, nekoned
at - 50 per acre 10 be he'd by TIE United states a.
moneys already due the CompaAy) On which interest
shall be credited added semi annually at tie rate OF
six per annum, to which sinking und the COM
puos sEg semianhnally add sufficient sum IN money
TO oial of the sinking fund pay of and eAnn-
gulsh tho Government bonds at neig maturity. 1898
The proposition q tie Union Pacific Railroad COMPANY
1876 and provides the conveyance and eeas to the
United states Of a the lands on IN. man me OF lts ri-
road westerly of tie lOith meridian, with provisions
similar 70 those contained III the proposition oil the Cen
tral Pacific Company.
THE coaMfTrEE's RECOMMENDATIONS
After the careful examination and consideration
Of the subject in all It's bearings which have been sug
geste the Committee has concluded report, for the
consideration Of the Senate bills for settlement with
the two lar est companies which embrace the retanser
to the Government OF portion OF the lands granted to
the companies in aid Of the construction of their roads,
credit the Indebtedness in reduction thereof OF
the value of the Lands at ~ 80 per acre. and
the payment by the companies OF such semiannual SUN
into the Treasury Will, with interest credited ana
aecumuating ttGeon create slnkng fund safheiant 10
hquidae the balance or the Indebtedness at the maturity
OF the bonds
Within past few years it is understood that diy
deuds reaching hgI eight per cent have been d
vIdCd among stockholders OF some of these eoupa
MES and that provision has yet been made cut OF cur
rent revenues to meet their obligations to the Govern
menj az maturity Your COMMITTEE regard lhis as the
object. .onabe attitude in which these companies
stand toward the Government 1t is paiiatcd to sollc
extent by the desire that they BOW profess to make se
reimbursement To tho Government of the pocunary ald
that has afforded. Ii ~ be considered III the light Of
compromise, aud can only be accepted 10y the Govern
ior Tue reason that nere no apparent leconre Dy
which they can be compelled TO payit IN full Unless the
power rests with the Government, under acts lhoo
pordtins these companies, to compel provision or
the payment of debt before its maturity, II caunot De-
expected tIat those parties who aIe the owners Ol tIe
stock OF tue companies al the present the VIII hud IL
essential to make sqch prow'on tn W. ,aeS sp % n NH
delay will have rendered such action iutc IRON the
bop,lpssness of discEarging TIC debt by any annual
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APPROPRIATED set aside Tor the purpose. livery day
that such a settlement rs deferred makes it dicuit
OF accOnpl and the terms now discussed may ne
considered, II accepted, more a. the measure OF the d
sire OF the companies 10 avoid CONTINUOUS htisa'ion
| and assaults upon them OF amy intention 10
fully pay their debt TO the Government, ON behalf
United States, the cunsit tOu must he wEti ihtI
in agreeing 20 sad terms, they will not protect uem
selves AGAINST the loss OF Ju~t 90 nTh 90 ae Moo t
amount Whatever the vauc "i Tie lands reeohN 10
| tie Government may be now aid WhhteNei losslpie
value They may attain at the maturity OF Tue bonds
issued 10y the GoSeInueh mGs DC ooisleieu Wthor @
they now, and win not bc tIcn. worm more tna
possible chance to collect IT, and viii acceptance
OF these lanes now b. the recovery Of az, n,t, upon %
Company wiii when tie dct oi the united
atts natures s.,Ies by the oG,auics and taxation by
ny oi the debt, 10 have absorbed al the eh-
tenSye domain sought TO be recovered Tor the Gov
ernment.
LAND IL PART PAYMENT.
Another reason which has induced the Committee to
consider lud propositions, AM not to insist
upon semannua money payments sufficient 10 create
sinking fund which would meet the bonds and ia crest az
maturity that the companies say at they ca not I'M
dcrake pay IN money sufficient Ia create such
sinking fund Thoy urge, with much oarhcethess' ih"'
to require them TO provide sinking fund which will pay
the whole Of the Government second mortgage lmm'-
dittA at maturity woutd nc lnpusi th'-' lh'! blso
aid aside s4hug fund suhclCht To d! al maturity
ther IN q mortgage bonds, aud that to provide uo'
these sinking uuus would exceed ueir present Oh aicl
Yaed available annual RESOURCES.
Ii 10 tia tommttce ma no lands are accepted
III part payment OF tnc debt. and annaal money pay
mems insisted upon sufficient 10 pJ on 'he "ho.e II
the debt thc c or hc maturity Of the debt must ueces-
sanly Dc EXTENDED by tLe United atatcs Arens 10
guc Committee ya6uy preferable instead OF dome th 10
accept from tue companies sthctut an"s o 50 II lc
ducc LACr nJcD cdncos thai ~ may d., provided lof Z"
maturity by annual pa! meats into sns NJ lund, sGcI
- companies may bc able ~ make WITHOUT nnjuly
bu dcLg tUeB>e ycs or rendering themselves unable 10
perform duy of Tn ir q. ncr obiis ,uous.
OF tuc loiu of the credit of the Government aud 81
donaS'u OF - certain quantity oi ic Pnbo .nds Now
money by remission of portion 81 tnc puncipal OF the
dcbi. ana Of acorrcspondn-y reduced quantity OF lhe
ianed except Tor the inability ~ thr Government 10 cu
ioce any more a.iyaut cous tcrIs aud the PROPOSITION
must bo viewed as changing thc chaIat OF Tie doi
one Of hands alone coh'1ued one Of n,oney
@canvey to tue G Svernnent oOOOo iad. and
SGa Tth e. SHo the 1S% o S TO nrI ea IsG
ThcrViy tie donation made e. them b. the tolrruhcnt
consists absolutely of SJOOOJ.JOJ IA money and l-ooV-
| 900 Oi acres OF Land.
| At the the-e railroads were Incorporated and
dssstci 10y COusres, t,ir construction "a Coisdc
national necessity Il" te pro. ued Tor at amoh' any poe
! ,'bc cost Proposition then to make tI'in shci
louo tIOn results from tine irscnt iccumncAdd1on
would vcry likely htyc with universe! favor, and
,,ur { Cnun,tt,c NAV ask the question whether tbc
| Government may not De con-tiaucu Aow Il! ioicc col
circumstance to q scale Oi lBrrt tiat IL would atone
% HnGf md tFG gfy"I Geir iof 'He ''''' D'oA VI
one feasibility Of the proposed transfer
Jy the cilpauics to the Government lands IN larl
aymCnt Of Their second mortgages arse nom tt l"o'
lands aiGcidy covered by mo tSaScs exc
,IIr, ly c coui,alj, t. bonds under wnCn are nov
outstanding. TINS objection, ever disappears "hcn
considered that the bonds issued by tIe cohpdu't
ard ae uicd by Ia n lands become que teNtd 9t"Ir
pI4ur the maturity Of the GoycInmen uortSase 80
uuGGn tie compahe provide Tor tAcn' Ms liey are
obliged do, maturity, they no longer lncum-
OIdnCes upon 1ne lands.
TrE Pr POSED SETTLEMENT.
The bills therefore, relffn the Obll on OF the com
pan.cs provide lOr the interest aad principal of TIER
land bouds provide and maintain any necessary sink
ing funds redemption at maturity. aud that they
shall duly redeem pay them at or before their ma
uuliy or shall otherwise las by issuing new ana differ
ont SECURITY III lieu tncrco) discharge lhcr lands IOn
iaud mortgages. ~ n also further specially WONhcd
tha whenever aud AZ Otea as any Euoa small De sod by
Government To sctucrr or hci Niar ne cOmr'hhh
sa pay the trust under the and rant morris Se
amounts sufficient rclcd,o and discharge tie ahds 30
soil by Inc Government lOm al claims uhucI thoso
Tntsc provisions are deemed ample to protect the Gov
eruncnt against any claim upon the lands accepted ny
tneln companies b. reason OF tHe oul 'iahdh.
land bonds IL Is asO TO hc remarked tHht tc hhd
grant issued by the COMPANIES are not OF iagc
amount, aud possibly all be paid from the remaining
lands sold to the Government.
IL necessary, before cOucluding tb report 70 con
slider what the Government VIII have, IN cast
the new arrangement proposed by the bills Ii ELECTED
tuat this new agreement VIII be carried out by the con-
ua.ios md the pay mcuts duly made hereunder. 1hc
tat tic Government WIl nave tic saiho tc'u-
ry winch IL now has, namely, lis second mortgage
Of the companies make the payments provided Tor
! under the II W arrangement.
The bills provide hat the mortgages OF the Govern
nent cested ~ tue iilII section OF We act oi Juy l.
sny way impaired release" by tie operations OF tins
new agreement uu'ss 81 unt tie obiisatohs oil lhc
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